Auctions - Why do people seem to overpay?
Discussion
I'm following a live auction online at the moment as it's got a few things that interest me in it, People seem to be paying for used stuff way over it's value. You could buy some of the stuff new for cheaper than they're bidding on it...especially when you think you need to add 20% - 25% on at the end to cover the auction fees. Is there something I'm not getting? This is mainly country sports equipment stuff, not cars.
Could it be shill bidding to make anything that goes for less than the ridiculous sums of the highest priced items appear good value, despite still being higher than on the open market?
A car auctions it is not unknown for the same cars to be back week after week despite appearing to be sold on each occasion. Catching Mr Gullible on his first visit may be the plan?
A car auctions it is not unknown for the same cars to be back week after week despite appearing to be sold on each occasion. Catching Mr Gullible on his first visit may be the plan?
Few friends get caught out regularly but carry on bidding for stuff:
One runs an outside catering business/food trailers and seems to have been stung with non-working fridges or kitchen equipment. Another is in the building trade and picks up all sorts of awful abused tat. Sometimes I think it's much like a hobby or a gambling addiction putting money on the next horse hoping for a win.
One runs an outside catering business/food trailers and seems to have been stung with non-working fridges or kitchen equipment. Another is in the building trade and picks up all sorts of awful abused tat. Sometimes I think it's much like a hobby or a gambling addiction putting money on the next horse hoping for a win.
QJumper said:
I see the same on eBay, with used things sometimes selling for more than new.
I think some people assume that auction=bargain and get carried away with the bidding process.
Years ago when I actually used eBay, I sold an ASUS eePc for £70 more than I bought it for brand new.I think some people assume that auction=bargain and get carried away with the bidding process.
I actually messaged the person saying ASUS weren’t short of stock, but he went ahead and bought it.
Still feel a bit guilty about it, which is why I will never make it in business.
QJumper said:
I see the same on eBay, with used things sometimes selling for more than new.
I think some people assume that auction=bargain and get carried away with the bidding process.
I've seen it on eBay a lot. But with this actually being a more bespoke live auction and many of the items needing either a FAC or to be a RFD, I assumed stuff wouldn't go over guide price...certainly not over double the guide price. There was one rifle that had a guide price of max £400 and went for over double that by the time you add on the fees.I think some people assume that auction=bargain and get carried away with the bidding process.
jackofall84 said:
I assumed stuff wouldn't go over guide price...certainly not over double the guide price. There was one rifle that had a guide price of max £400 and went for over double that by the time you add on the fees.
From watching fly on the wall tv shows about auctioneers, namely Bangers & Cash about Matthewsons selling classic cars and Scouting for Toys following Vectis toy Auctioneers, the low guide price is just to draw bidders in. Then once bidders get going, and 'auction fever' sets in the price goes beyond what it would normally be.The phrase ''Start them low watch them go, start them high watch them die'' was used in one of the two by an auctioneer (sorry but I cannot remember on which, as I watch all sorts of rubbish tv
)ChevronB19 said:
QJumper said:
I see the same on eBay, with used things sometimes selling for more than new.
I think some people assume that auction=bargain and get carried away with the bidding process.
Years ago when I actually used eBay, I sold an ASUS eePc for £70 more than I bought it for brand new.I think some people assume that auction=bargain and get carried away with the bidding process.
I actually messaged the person saying ASUS weren’t short of stock, but he went ahead and bought it.
Still feel a bit guilty about it, which is why I will never make it in business.
It got bid up by two people to well over RRP for a brand new one.
Some guy messaged me and told me how I was 'ripping people off' for selling it so high above list.
Auction ended, winner send paypal straight away, all worked out fine etc..
I was quids in, the buyer was happy.. win win! (But yes, it was odd that the buyer didn't do any more research)
GliderRider said:
Could it be shill bidding to make anything that goes for less than the ridiculous sums of the highest priced items appear good value, despite still being higher than on the open market?
A car auctions it is not unknown for the same cars to be back week after week despite appearing to be sold on each occasion. Catching Mr Gullible on his first visit may be the plan?
If cars don't make their reserve, they finish the auction as "provisionally sold" to the highest bidder and then the bidder/auction house go to the buyer to see if they'll accept less than the original reserve and/or if there's a deal to be done in the middle... I guess sometimes it's "yes" and the car is sold, sometimes it's "no" and the car is back next week. Not so much shill bidding as hopeful/dreaming/bloody-minded reserve pricing from the seller.A car auctions it is not unknown for the same cars to be back week after week despite appearing to be sold on each occasion. Catching Mr Gullible on his first visit may be the plan?
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