How Do Multiple-item Auctions Work on Ebay?

A multiple-item (‘Dutch’) auction is an auctionpays the lowest price that was bid by one of the
where more than one of the same item is being soldwinning bidders. Let’s say there are 10 of an item
at once. There are two kinds of Dutch auctions.for sale. Anne bids $5 each for 4, while Bob bids $4
Without Bidding.for 6. Anne will get her 4 and Bob will get his 6, but
The most common Dutch auctions are actually athey will both only pay $4.
combination of two auction types: they’reHere’s another example. If there are 5 items for
multiple-item fixed price auctions (Dutch Buy it Nowsale and Anne, Bob, Carol and Dean want to buy 2
auctions to you and me). This just means that you caneach, then obviously someone is going to lose out.
offer more than one of an item at a time for a fixedWhoever bid the lowest will only get one of the items.
price.If Anne bid $5 each, Bob bid $4 each, Carol bid $3
This is very powerful if you’re selling somethingeach, and Dean bid $2 each, then Anne will get 2, Bob
small in large quantities. You can just say how many ofwill get 2, Carol will get 1 and poor Dean gets nothing.
the item you have, and the Buy it Now auction will staySo then: how much they pay for the items?
there until its duration is up or all the items have beenStarting to sound like a particularly evil math problem,
sold.isn’t it? The answer is that everyone will pay $3, as
Buyers aren’t limited to only buying one item at aCarol’s bid was the lowest one that won anything.
time, either: they can enter how many they want andIf you have trouble getting your head around that then
then just click Buy it Now to get them. for more detailsdoesn’t worry – everyone else does too! Foe
visit to If you’re selling small things loose, then thismore details visit to That’s why Dutch auctions with
can be really great – instead of selling them inbidding are so rare.
packs of 50, you can sell 24 to one person and 95 toIn fact, even eBay's normal one-item auction format
the next. It lets buyers save money by buying exactlyhas all sorts of problems, not least of which is auction
what they need, and it lets you offer them the flexibilitysniping. Snipers are buyers who come along at the last
to have as many or few of an item as they want.minute to bid a few cents more than the highest bidder
With Bidding.and win the item. Your buyers will find this infuriating
Dutch auctions can also be done by bidding, but the– and you’re the only one with any power to
process is rather complicated. Buyers bid a price andhelp them out by stopping it. The next email will show
say how many items they want, and then everyoneyou what you can do.