I recently got an offer to buy in an auction I lost by a lot. There was an existing bid for $xxx. Bidder #1 bids much higher than I am willing to pay with 2 minutes to go ($xxx * 2). This bid was recorded as ($xxx + increment) I, as bidder #2, bid exactly what I was willing to pay, which was essentially $xxx + increment + few bucks, with 1 minute to go. With 6 seconds to go, Bidder #3, entered the fray with a programmed bid (I presume) of ($xxx * 2 + increment) and seemingly won.
Bidder #1 and Bidder #3 then both refuse as they essentially both placed high snipes (my theory) and essentially out sniped each other.
Several days later I was offered the card and accepted the card for my original bid.
Then a second card was offered from the same seller with essentially the same scenario. I offered to buy that one for less than my bid and was turned down. He then relisted and the second card and it ultimately sold for significantly less than my second offer.
I never suspected shill bidding in this case, only a double snipe with bids higher than either sniper was willing to pay.
Moral of the story: A high snipe can guarantee victory in an auction, but just make sure you are either alone or have deep pockets.
