eBay Auction Bidding Strategies--Overcoming the most Frustrating Situation on eBay

The Problem...the item sells for the higher the "final value". This
It's happened to the best of us.makes eBay very happy. That's why you'll never find
You've been watching the auction all week, and finallyany tutorials anywhere on eBay telling you to wait until
you're about to claim your prize--a rare bronze statuethe end of an auction to bid.
from the Qing Dynasty.The Solution...
Or something just as tantalizing.OK, so now that we understand the benefits of
You log on a few minutes before the auction closes,sniping, lets get back to our friend "SpeedyFingers123".
and confirm that you're still the top bidder -- no oneSpeedy probably started out in life just like I did. She
has challenged you in several days. You're alreadylearned everything she knew about eBay from eBay
picturing "your" statue prominently displayed on theand never realized there was such a thing as bidding
living room mantelpiece, your friends green with envysoftware. Never knew a computer could do your
as you tell them about the great deal you got on eBay.sniping automatically, bid on your behalf in the last 2 to
You refresh the page a few times, to make sure8 seconds of an auction, and do it while you're asleep.
you're still number 1. You even up your bid a little just toWith sniping software, you tell the software program
make sure no body tries to outbid you at the lastwhich auctions you're interested in and how much
minute.you're willing to pay. eBay never knows you've seen
50 seconds to go...30...10...the auction has ended and thethe auction until your friendly sniping service swoops in
statue is yours!! You refresh the page for the last timeand places your bid with only seconds to spare.
so you can see your eBay ID announced as theNeither does your competition. They never see you
winning bidder. And that's when your heart drops tocoming. The only way you can lose is if someone else
your toes. It's not your eBay ID at all, but some jokeruses the same program sets their maximum bid higher
who calls themselves "SpeedyFingers123".than yours.
How could this have happened?(Yes, my friend, you can still lose. There's no guarantee
You were the winning bidder with only 10 seconds toof winning an auction no matter what system you use,
go!! Speedy or not, it just doesn't seem humanlyif someone else is willing to pay more. If you set your
possible.maximum bid at a million dollars for a hunk of Elvis'
Well, you're right. No one is that fast. SpeedyFingers123belly button lint and some nut is willing to pay a million
(I made that one up, so if it's your actual eBay ID,ten, you're still going to lose!)
please don't sue me!) won the auction in the final 4"Bidding Fever" Cured
seconds. It isn't humanly possible because "speedy"Let's face it, there IS a positive side to losing an
didn't actually place the bid. The bid was place on hisauction. It's the satisfaction of knowing that you didn't
or her behalf, from a remote server, using somethinglose your head and spend more than you could afford!!
called Bidding Software.Trust me, I've been there, done that, and come to
You've Been Sniped!regret it. With sniping programs, you can "set it and
The act of placing a bid during the final seconds of anforget it" and walk away knowing that if you don't win,
online auction is called "Sniping" and it's perfectly legalyou couldn't have afforded it anyway.
on eBay. Bidding wars and sniping are an eBay sellersWhat's that I hear you saying? "But I could have had it
dream and a buyer's nightmare. Why, you're askingif I'd just upped my bid by another fifty cents!" Hey, did
yourself, don't these people just use eBay's trustyyou listen to anything I just said? Do you want to drive
proxy bidding process? Why not just discreetly enteryourself nuts? It's only stuff, after all. You can't take it
the maximum they're willing to pay at the beginning ofwith you, and there will always be more. The beauty
the auction, then let the cards fall where they may?of eBay is that there will probably be another just like it,
Well, for a couple of reasons. First, it's not humanor at least something just as fabulous.
nature. If all you have to do is outbid the next guy byYou're in Control
fifty cents or even five dollars to win, wouldn't you?There's another big advantage to using bidding
Second, it doesn't make economic or strategic sensesoftware. Two things, actually.
to place a bid anytime before the last five minutes ofFirst, sniping programs allow you to do something
an auction.called "contingency bidding". Suppose you're interested
Think about it. eBay encourages bidders to use thein several very similar items and you want to win at
proxy system and place bids early. What this means isleast one of them but not all. Provided they're not all
that an inexperienced bidder who wants an item willending at the same time, you can create a
want to be the highest bidder right away, and will keepcontingency plan telling the bidding software to cancel
upping their bid to hold that winning position. They'll onlyyour bids on the other items as soon as you win one
stop when the bidding exceeds their budget. Then theof them.
next guy comes along and continues the process. IfSecond, you can change your mind about an item
this starts at the beginning of a seven or ten dayyou're bidding on at any time (except in approximately
auction, and ends with a bidding war in the last 10the last 15 minutes).
minutes, the final price for the item can spiral out ofOn eBay, it's a huge "no-no" to retract a bid. You can
control. Many items sell for far more than fair marketonly do this under the most dire of circumstances. Do it
value because people get caught up in "bidding fever"too many times you'll be politely asked to leave.
-- all they want is to WIN, they're not even thinkingPermanently. But, because eBay doesn't register your
about whether the price is realistic.bid until the Sniping program enters it for you, (at the
What to Do?very end of the auction) you can cancel your "snipe"
A better strategy would be for everyone to "watch"with no penalty. You're canceling what you've
the auction until the very end. Again, there's two goodprogrammed into the sniping software, not an actual
reasons. One, the price doesn't spiral up as justbid on eBay.
illustrated. Two, the auction has zero bids, so it attractsIsn't that nice? No more "watching" an auction you're
fewer bidders-- less competition. It's a fact that onceunsure about, and then forgetting to bid on it. No more
an auction has at least 1 bid, it becomes a magnet forbabysitting your computer so you can be there for the
additional bidders. Shoppers scanning an auction pagefinal moments of the auction. No more finding out
tend to jump to the ones with bids, figuring there mustyou've read the description wrong and you're bidding
be something that attracted other bidders. The moreon an item you don't want. Or finding something you
bids, the more interesting the item looks.like better after you've already committed yourself to
Wouldn't it be great if a seller started a two caratanother item, and having to pass on it. (Or worse,
diamond ring at $0.99 and no one bid until the last fivespending way too much on both!) And, finally, you have
minutes, and they all bid in fifty cent increments?the satisfaction of knowing that winning doesn't
Someone might win the ring for just a few bucks!! Ofdepend on the speed of your fingers or your internet
course, that never happens, but it would be the idealconnection.
situation for a buyer-- and it would put eBay out ofBelieve me, the first time you snatch an item away
business in a hurry. eBay encourages early bidding andfrom SpeedyFingers123-- or anyone else for that
smiles upon the snipers of the world. eBay makes theirmatter-- you'll be hooked.
profits on listing fees and "final value" fees. The more