Auction format - bidding question

[Archive]

Posted By: Judge Dred (Fred)

I bid in many different auctions. I've seen different bidding formats where they have REGULAR BID and TOP ALL BIDS. In most cases the next valid bid entered must top the existing high bid by 10%.

Can someone explain the difference between REGULAR BID and TOP ALL BIDS.

What should happen in the following scenario:

• Lot opening is $1,000.
  
• Someone bids $1,000 - the auction shows the opening at $1,000.
  
• I bid $1,100 for the second bid - the auction shows the new high bid at $1,100.
  
• Someone else bids $3,000 (whether it be by REGULAR BID or TOP ALL BIDS) -

What should the displayed high bid be at?

[Archive]

Posted By: Hal Lewis

Is it "regular bid" or are you referring to a "Straight Bid"??

In most auctions... a STRAIGHT bid will go straight to that amount REGARDLESS of whether anyone else has bid...

while a "Max Bid" will only take you there when someone else bids and drives the price up.

In your example, a Straight Bid of $3,000 will make the price of the item $3,000...

whereas a "Max Bid" of $3,000 will make the price of the item $1,200 until the other people start bidding and drive the price up.

In BOTH cases, you will remain the High Bidder until someone bids $3,100.

BUT, your only chance for a "bargain" and for winning the item for LESS than $3,000 is to use the MAX bid.

The ONLY reason for the straight bid would be to drive the price up immediately to scare off any other bidders.

[Archive]

Posted By: Anthony

<<The ONLY reason for the straight bid would be to drive the price up immediately to scare off any other bidders.>>

And to lock them out of getting a bid in early in order to be eligible for the extended bidding.

[Archive]

Posted By: Judge Dred (Fred)

I guess there are different rules for different auction houses. In some of the auctions you can only bid on an item after normal closing if you bid on it previously. In other auctions you can bid on any item after the normal close time if you bid on at least one other item in their auction. I'm sure there are other variations of this rule out there.

I hate leaving money on the table so I'd hate to expose my ceiling bid if it were a few thousand over the existing high bid. I'd rather force people to chisel away at it or let them throw up a really high bid to find out exactly where I am. I figure that if someone is going to push it way up then it's going to happen regardless of how high my highest bid is. In any case I'd rather try to win the lot at the lowest possible bid.

That could be a pretty costly mistake if you accidentally entered the incorrect high bid method and brought an items bid up to $3,000 from $1,200.