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TanksAndSpartans 02-07-2014 08:19 AM

Question on eBay Auctions
 
Here is the hypothetical case:

I create an auction and partner with a shill bidder - Bill

Someone legitimately bids $50 as their first bid, Bill then bids $100 and becomes high bidder at $51. He now retracts his bid and submits a new bid for 49.

Question: Can this happen on eBay?

Reason I ask - just sent a lot off to a consignment house and I was surprised a simple Google search returns so many hits pointing to posts which I would consider to be negative about the same consignment house - the common theme seems to be shill bids, bid retractions, etc. stuff which I knew could happen in theory, but never really bothered me because I'm always using my judgement, if I learn something new, then I apply it next time and take the bad experience as a lesson. (there will always be someone trying to scam and cheat - CNBC made a show about it). Thanks!

P.S. I've never retracted a bid, but I would think your eBay rating would take a hit for that, no?

D.P.Johnson 02-07-2014 09:25 AM

He could retract the bid, but he wouldn't be able to enter the new bid of $49 because it would be less than the current bid of $50...

TanksAndSpartans 02-07-2014 09:35 AM

Thanks D.P - I'm not so sure though....

If the first and only bid is $50 and the starting bid was .99 (99 cents), if there was only one bidder at 50, the auction shows 99 cents until someone "pushes up" that bid. So once the $100 is retracted, I would think the current leading bid goes back down to 99 cents. If the shill bidder now placed a bid at 49, the legitimate bidder would become the high bidder at 50. So the shill drove up the price, but avoided winning.

Anyway, this is just my example - interested in hearing real stories on why people get concerned when they click on a bidder and it shows a high percentage of bids with same seller and a high number of retractions - just trying to work it out in my head. Thanks.

D.P.Johnson 02-07-2014 10:06 AM

Quote:

Originally Posted by DezHood (Post 1238084)
Thanks D.P - I'm not so sure though....

If the first and only bid is $50 and the starting bid was .99 (99 cents), if there was only one bidder at 50, the auction shows 99 cents until someone "pushes up" that bid. So once the $100 is retracted, I would think the current leading bid goes back down to 99 cents. If the shill bidder now placed a bid at 49, the legitimate bidder would become the high bidder at 50. So the shill drove up the price, but avoided winning.

Anyway, this is just my example - interested in hearing real stories on why people get concerned when they click on a bidder and it shows a high percentage of bids with same seller and a high number of retractions - just trying to work it out in my head. Thanks.

Yes, the way you explained it in your second post is correct...There are quite a few posts on this board regarding shill billing and bid retractions...

TanksAndSpartans 02-07-2014 11:59 AM

Thanks, wanted to make sure I had it straight. I appreciate it.

I know a lot of board members strongly hold the opposite view, but I find myself on the side of not expecting the consignor to police their auctions. I would think they have enough to deal with. eBay should be the ones doing the policing in my opinion.

D.P.Johnson 02-07-2014 12:35 PM

Quote:

Originally Posted by DezHood (Post 1238157)
Thanks, wanted to make sure I had it straight. I appreciate it.

I know a lot of board members strongly hold the opposite view, but I find myself on the side of not expecting the consignor to police their auctions. I would think they have enough to deal with. eBay should be the ones doing the policing in my opinion.

I hear what you're saying, but there are quite a few buyers who won't bid with certain sellers when they find out they're not actively policing their auctions. It becomes a moral/ethical thing for the buyers. Anyway, it sounds like you're already aware of all this so there's no need to preach to the choir. Good luck with your consignments...

bn2cardz 02-07-2014 02:14 PM

Quote:

Originally Posted by DezHood (Post 1238157)
Thanks, wanted to make sure I had it straight. I appreciate it.

I know a lot of board members strongly hold the opposite view, but I find myself on the side of not expecting the consignor to police their auctions. I would think they have enough to deal with. eBay should be the ones doing the policing in my opinion.

I agree that eBay should enforce the rules they say they have in place.


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