Reserve Clause

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Posted By: barrysloate

Bruce- all good questions.

When I take consignments on ebay I insist on starting them all at $9.95 with no reserve. The reason is that every lot demands a certain amount of work and I do not want to see a lot pass, and then returned, because a high opening bid scared bidders away. If consignors need high starting bids, they are free to find another venue to sell.

I start my catalog auction minimums very low, often less than a quarter of retail, because bidders need to qualify and I don't want to discourage anyone from jumping in. The more bidders who qualify, the greater likelihood of competition at the end.

I think collectors prefer to see many bidders on a lot than hardly any. Psychologically one feels that if nobody else is bidding, the starting price may be too high.

There are many other business models but that is mine. Obviously, with the changing economic landscape there is a possibility I may have to make some concessions, but this is how I do it now.