Penny auction is one of the most innovational selling ideas I have seen. It exploits the greed of buyers in finding extraordinary deals and their willingness to take risks in exchange of the deals. The way penny auction works is basically letting many auction losers pay for the victory of the winner. I take it that some might find the activity amusing even though they do not end up winning. It is ok if you can somewhat keep your drive of contention in check.
The business model makes exceptional deals possible, especially for very popular items such as Apple iPad, Apple MacBook Pro, MacBook Air, Samsung Galaxy, as well as some other high-priced items such as large-screen LCD TV. In order for penny auction sites to be more rewarding, they want as many bidders as possible. Hot items help to pull bidders. Large-ticket items also show more potential in money saving and supposedly are more desirable to penny auction participants. Apple iPad and Appl MacBook are obviously no-brainers when it comes to recognition. This can be easily seen in Google keyword tools search volume.
So how extreme are the deals? Clearly, each final bid is different depending on contest of the bidders. Sometimes there are more bidders. Other times, bidders are more aggressive. Some auction lasts more than a day. So penny auctions can be both emotionally and physically exhausting. According to summaries from pennyauction007.com, Apple iPads are frequently sold around $30-$50. How is that for a deal, comparing to retail price in the range of $500 or more? Apple MacBook Pros are regularly sold from $50 to $100, comparing to the retail price in the ball park of $1500 or more. Of course, you have to have good idea of the penny auction game before you participate. The total you pay, as the winner, is not just the final bid. Every bid you have placed costs you money. It can be a jeopardous game if you do not play prudently.
Depending on penny auction sites, some of them offer so-called buy-it-now which let you get credit from your losing bids. Largely speaking, the idea is that you do not walk away empty-handed. Rather you get to buy it for the retail, or often a pre-set price which can be higher than retail. I guess you can consider that a penalty for taking risks.
No matter how you participate in penny auctions (with a variety of strategies), studying bidding histories can be beneficial. At least you have some ideas about how long the auctions can last, and how much money you are willing to risk. You certainly have to study the particular rules of the penny auction sites that you are going to register on. Penny auction is a concept, but details of rules can change. For example, each site can have different cost per bid. Cost per bid can also penalty depending on the size of the bidpacks you buy. Obviously larger bidpacks give you some kind of “wholesale pricing.” Penny auction sites definitely want you to buy and use more bids. So they lower the cost per bid by selling large bidpacks. Detailed comparisons can be found on Penny Auction Sites.
MacBook Penny Auction