Last updated on July, 22
🏆 Best Online Auctions for August 2021
Have you ever wanted to sell your old stuff? Online auctions are a great way for people to buy and sell their items. You can find anything from clothes, electronics, cars, furniture, and more!
What are online auctions?
Do you have something precious that you think people would be lining up to buy? Or are you looking for rare pieces that are taking you forever to find? An online auction is a marketplace where you can buy, sell, and trade items. To date, these platforms remain to be a competitive marketplace for both sellers and buyers.
Why do you need online auctions?
Online auctions are usually high-traffic websites where people can check out goods for the day, and these sites can help you find and sell precious items on the internet. Besides that, there are other benefits to gain from online auctions. Here are some, to name a few.
Save More Money
As a seller, online auctions help you land the most amazing deals you can’t have on usual marketplaces. But a large profit is not the only thing that makes these websites attractive. By using auctions online to market your items, you are getting the benefits of traditional bidding without paying much.
Save Your Time
Online auctions don’t only save you money, but they also save time for buyers and sellers alike. There’s no need for sellers to create an eCommerce platform, which would require time to build. You can start your business as soon as possible. For buyers, once the items are posted, you can easily buy them, which makes shopping convenient. Plus, items are usually discounted!
Buy Anything at Home
For buyers, you don’t have to travel far to buy the things you need. You can find whatever you are looking for in the comfort of your own home. Rare and collector’s items are even available on these websites. You can find whatever you’re looking for, even at a fraction of a cost, in online auctions.
Do Worldwide Marketing
If you want the farthest reach for your products, then online auctions are something you should seriously consider. People who participate in bids come from all over the world. If you have high-priced items, which you think would appeal internationally, then worry no more. Online auctions can open marketing opportunities to sell your items on the largest scale possible.
Attract a Niche for Your Products
You might lose hope in finding the right buyers to appreciate what you’re selling. Luckily, online auctions understand that some items might click with a particular niche. So, the best online auctions help you attract a niche of loyal buyers as well. Online auctions have high-level categorizations that allow segmented targeting, allowing your items to reach the right buyers.
Reach Customers 24/7
It doesn’t matter which time zone your customers are in; you’ll be able to reach them at their most convenient time. Once your item is posted on the online auction website, they are there for everyone to see. You can even market your products in the other parts of the world while sleeping because the marketplace has no time and geographical boundaries.
Core features of the best online auctions
Online auctions have increased their popularity over the years because they modernized the classic bidding you see in movies. Before diving into bidding, you should first know the different core features to look for in an online auction platform.
No Location Boundaries
One of the primary advantages of bidding online is its worldwide reach. As a seller, you can reach millions of possible buyers through online auctions. Unlike traditional biddings that require the presence of buyers in the venue, online auctions allow as many participants as possible in the virtual space.
If you’re a seller, and you’re selling something precious, you might be particular of your buyers. Usually, only the buyers who have a great desire for the product can participate in the bidding. Since this is not the usual add-to-cart online purchase, the bidding process already screens the buyers. This way, you don’t have to worry about your item falling into the wrong hands.
Wide Range of Products
Online auctions accept all sorts of products and list any item you want to put for bidding. You are also spared the effort in looking for a buyer. In just a few clicks, your product is up on the site. Also, all buyers are welcome in online auctions. It doesn’t matter where you are or what you’re looking for; you can participate in the biddings once you find an item you want to buy.
As a buyer, online auctions eliminate the need for agents, brokers, and mediators, especially for high-ticket items like in online estate auctions. Therefore, items are priced at a significantly lower cost. Because of these deals in an online auction, you’ll surely come back to buy more items soon.
Quick and Reliable Transactions
If you’ve been in a traditional auction, you’ll know that completing a transaction takes months. Online auctions are different. It spares you from the tedious process and months of waiting just to get the item you bought. Sales in online auctions are also reliable since most platforms screen the credibility of the seller. You never have to worry anymore about whether your transaction is legit or not.
Items put for bidding have a base price given by the seller, and buyers then use that as a reference in making their next bids. This system allows a fair bid considering that both sellers and buyers are given a chance to present their prices for the items. This process ensures that the items will be priced reasonably.
Repeat Buying Possibilities
After selling an item for a high bid in one crazy deal, a seller will go back to an online auction to hunt for a similar or even a better transaction. Buyers can experience a hassle-free transaction, which encourages them to go back for future purchases. Good buying experiences encourage buyers to share positive reviews, which creates the buzz that further increases the customer base of online auction websites.
Types of online auctions
Joining an online auction can be fun and exciting. But, it’s best to know the difference between each type of online auctions available today. That way, you can fully determine which one will fully suit your tastes and needs.
Reverse Online Auction
As the name implies, reverse auctions work the opposite way. Instead of the usual way wherein the seller gives the base price while the buyers will bid, sellers in reverse auctions vie to provide the product or services. They lower the costs of their service until the customer chooses a seller. The catch for this type of auction is that the customer does not always choose the lowest bid since they select the offers based on preferences and not price alone.
Since service providers or sellers compete to be chosen, they give their prices lower to customers. If you are a customer looking for great deals on a significant project, reverse auctions will help you save a great deal of money.
With reverse auctions, you don’t have to search hard to get a variety of choices. The bidders will lay everything in front of you. Reverse auctions also attract several bidders depending on the project, so you’ll have a lot to choose from at the end of the day.
One of the issues in reverse auctions is customer subjectivity. Because customers can choose whoever they want, losing bidders might never know why their products or services weren’t chosen. If the competitors have a connection with the customer or the company, the other bidders are indeed at a disadvantage.
As a seller, doing reverse bidding can lower the profit you’ll be getting for the project. Because you are trying to win the customer, you will reduce your price to compete. This may take a toll on your profit later on, especially if your competitors are going too low.
Penny Online Auction
Penny auctions are also known as bidding fee auctions, wherein customers pay for a small amount to get a bid. The price goes up by a penny every time a new offer is made. The base price of penny auctions is extremely low since the seller usually gets the profit from the small bid purchases and not the actual auction. So, penny online auctions attract buyers who want to buy expensive items for a fraction of the cost.
The base price for items in penny auctions is extremely low. If you have a limited budget but are keen to participate in the bidding, penny auction websites will accept you with open arms.
People can win expensive phones, laptops, or other items in penny auctions. Because most of the sellers’ profit comes from the small bids before the auction, they usually don’t set the base price high anymore.
Penny auctions may be a heaven for buyers looking for cheap finds, but the competition is stiff. Since many people are hoping to buy expensive items at a lower price, you have thousands of other customers to outbid.
Because of penny auctions’ wide popularity, you have to be careful in choosing an online auction site. Some people who won penny auction biddings did not receive the items after their payment.
English Online Auction
An English auction is the traditional type of auction but is done online. This type of auction is present in most free online auction sites. The seller sets a base price while the buyers try to outbid one another, and the buyer with the highest bid will be granted the opportunity to purchase the product.
Since English auctions allow the bids to go on for days or weeks, buyers can observe other bidders’ behavior. You can follow when they drop out and what are the highest offers in the past weeks. You can use this information to take advantage of the bidding process later on.
Given that this type of online auction copies the traditional process, you’ll have an easy time navigating through it. There’s no need for you to stress out in learning the auction methods because it’s easy as pie.
English auctions are prone to the winner’s curse, wherein the heat of the moment causes them to spend more than the item is worth. Instead of snatching a good deal, you may end up losing more money.
Another downfall of English auctions is the lack of product information. Most sellers just post the picture of the item without enough information to help the buyers. This is sometimes a tactic to lure the buyers into buying something that is not of suitable condition.
Dutch Online Auction
The Dutch auction is like a reversed English auction. The base price starts high and goes lower and lower until a buyer agrees to pay the price. However, Dutch auctions are not reverse auctions in essence because there is only one seller but multiple buyers. The price for the Dutch auction changes based on the demands of the buyers for a lower price.
Unlike competing in traditional bidding, wherein the prices go higher until only a few can afford, Dutch auctions allow buyers with limited budgets to be still included in the auction. The cost can go insanely low, making the winning bidder snatch a good deal.
Since Dutch auctions are not very different from traditional auctions, it’s easy to implement. There is not much confusion in this type of online auction compared to others.
Dutch online auctions are very competitive by nature. Since sellers auction high ticket items in the bidding, many buyers are expected to participate. A slow internet connection can cost you the deal of your life.
Sellers who participate in Dutch auctions are expected to write a full product detail description. They are also encouraged not to post other products when they have an item on the bid because of the attention required for just one product.
First-Price Sealed Online Bid
First-price sealed bids remove the competition in online auctions. Unlike in other types of online auctions wherein competitors see how much others are willing to pay for the product, all bids are sent privately to the auctioneer. After a few days, the auctioneer will announce the winner.
Since your bids are made quietly, you are spared from the frustration of almost winning the bid. You bid silently and lose quietly. There is not much emotional attachment.
If you are just looking for cheap finds in online auctions but don’t want the adrenaline rush that goes with the bidding, this type is for you. The process is done with utmost anonymity and speed, which would not stress you out for sure.
Since all bids are made anonymously, you won’t see how much others are willing to pay for the product. If you lose in the bidding, you won’t be given even the slightest idea as to why you lost.
In this type of auction, the highest bidder will only pay the amount set by the second-highest bidder. This prevents buyers from placing bids that are too high or low so that the items will be sold in more accurate values. Also, all bids remain hidden, so the customers will only bid how much they think the items are worth.
Vickrey bidding is also called truthful bidding because the prices are mid-range and close to the actual value of the products. This prevents unnecessary price increase due to the heat of the moment.
Since the competition in Vickrey bidding is not tight, you won’t be pressured in the process. It’s just like submitting a price and waiting if you win or not. Plus, if you win, you’ll be paying for an amount lower than your bid.
Similar to first-price sealed auctions, bids in Vickrey bidding are anonymous. Thus, you will not know how much your competition is bidding against you.
It’s a seller’s dream for a price to skyrocket during a heated bidding process. However, that’s unlikely in this type of bidding. Since the prices are accurate and the process removes unnecessary inflation of the bids, then sellers can bid high profits goodbye.
Who needs online auctions?
Starting a business is a bold financial move. If you want to get the proper equipment for less, you can get one through online auctions. You can get pretty good deals for a fraction of a cost so you can save more of your capital. You can find whatever you’re looking for in online auctions as long as you know where to look.
If you have been selling online but want to kick your business up a notch, you can try posting your items on online auction sites. The best online auctions for sellers can help you market your products globally and increase the profit you are usually getting in your sales. By experimenting with new platforms, such as online auctions, you are expanding your business’s horizon and creating new niches of customers from all over the world.
If you are looking for rare finds, online auctions are the place to be. Items that you cannot find in malls or other online platforms can be found on these websites. Since sellers may come from different parts of the world, the chances of finding the items you are looking for is remarkably higher compared with other sites and local malls.
Some artists need unique art materials for their projects. It can be a struggle trying to find specific products to help you create a masterpiece. Online auctions are a haven for artists. They offer all sorts of stuff released in the market even from years back. Artists who are struggling to find discontinued products usually go to these auctions to buy the items they need.
Real Estate Owners
Real estate owners who wish to sell their properties for a reasonable price need to be familiar with online auctions. If you are hoping to reach a broader market in selling your property and get a good deal for it, online auctions can help you. High-ticket items like real estate properties are hot in biddings. You’ll get the most from your sale than hiring an agent with online auctions.
Real Estate Buyers
Real estate buyers who want to purchase properties for a reasonable cost can score great deals in online auctions. Since agent commissions are eliminated from the sale, and you are talking to the seller directly, you are getting the lowest possible price. If you do your bidding right, you can get the house of your dreams below your budget through online property auctions.
Step-by-step guide in bidding and buying in an online auctions
Step 1: Browse auctions and create your account.
Once you find items you want in an online auction, you have to create your account. Similar to other shopping websites, you have to input your basic information and contact details.
Step 2: Register for the auction.
If you already have a product you want, you have to register for the auction. There is usually a button on the page that will register your account so you can participate in the bidding.
Step 3: Place and confirm your bid.
This step usually depends on the type of online auction you are participating in. After the registration, you’ll now be allowed to submit your bid or compete with other bidders for the product purchase.
Step 4: Pay for your purchase.
In case you win the bid, you will be notified through the page or a private message. You can now proceed with the payment and delivery or pick up confirmation.
Frequently Asked Questions (FAQs)
Yes, it’s safe to buy jewelry in online auctions as long as you read the seller reviews well. There are online jewelry auctions that sell legitimate jewelry for affordable base prices. Most auctions showcase vintage, estate, or even brand-new jewelry for the buyers to choose from. You just have to do your research before participating in the bids to make sure you’ll make a legitimate purchase.
Yes, online auctions sell all sorts of items, which include cars. There are online car auctions that sell both brand-new and used cars. Items like this usually have a heavily detailed product description from the seller, including any existing condition the vehicle has.
Online auto auctions cover almost all types of cars at affordable base prices. If you want to find the best online car auctions for your needs, you can choose according to good reviews before proceeding with the bid.
Police auctions sell items confiscated by the police, which cannot be returned to the owners anymore. Possessions of retired or deceased police can also be found in this type of bidding. Police auctions online sell the same kinds of items but on a web-based platform. When accessing these sites, you have to be careful because there are online scams, which use the name of the police force to steal money from bidders.
Military online auctions sell surplus military equipment online. A publicly-traded company usually runs the process, and this auction is one way for the government to make money.
Military auction items include vehicles, exercise equipment, boats, scrap metals, and whatever previously used by the military. Most of the time, winning bids will come from big private enterprises. Some online auctions in Minnesota specialize in equipment liquidation, which is similar to what military auctions usually sell.
Storage auctions online sell belongings in a storage unit to the highest bidder. This is one way for storage companies to make up for the loss of rental fees because the storage units being auctioned belong to their delinquent tenants.
Most online storage auctions are done through traditional English bidding. However, the best sites for online storage auctions allow other types of biddings, such as Vickrey, to ensure price accuracy. Online storage auctions in Texas offer one of the widest varieties of storage auctions in the US.
When searching for online auctions, some resort to seeking the usual “online auctions near me.” However, since this type of bidding does not have location boundaries, you don't need to look for online auctions near you. Unless you want to pick up the items personally and not via courier service, then you can opt for online auctions from anywhere across the world.
Winning bids that are not paid or claimed by the buyers would be quietly returned to the sellers. These items will be put in the online auction again for future bidding. The problem with unclaimed items is that the base price will be significantly lower for the next bidding. This may be good news for buyers. However, this is an unfortunate event for sellers who can only hope that the bids will go high to earn a decent profit.
Yes, you can inspect real estate properties before bidding. Most online auction sites require their sellers to allow their buyers to check the property at least two days before the start of the auction. Online auction companies acknowledge how crucial buying a property is. Thus, they give this inspection opportunity to buyers.
You can get a lot of items for your business from online auctions. For instance, if you plan to make deliveries, there are car auctions online where you can find excellent and sturdy delivery vehicles. You can also buy the right equipment to improve the ambiance of your store on websites with the best online auctions for electronics.
This depends on the terms and conditions set by the online auction you chose. However, most auctions do not allow their buyers to return their items once they have been received. So, before bidding for an item, read the platform’s terms and conditions to avoid complications.