Classic (English) auction
Each bidder makes an entry, exceeding other bidders’. The price scales up by a fixed step specified by the provider or greater. Every participant knows all previous bids, so can adjust their strategy accordingly. The bidding goes on until one of the buyers offers a sum no one overtakes. At that point, the bidding ends. The highest bidder gains the upper hand.
Why choose Merkeleon?
Merkeleon is your assistant in implementing any idea, whatever its complexity. We specialize in non-standard approaches and novel methods of business. To launch an online English auction, you need our extensive 10-year experience in tenders and software products. We are willing to share it!
All in 1 Solution
Do you want to set up an online tender that will make your business prosper? With Merkeleon user-friendly software for classic auctions, you get a convenient flexible system. The auctioneers put their products up for sale without any hassle. The bidders offer their prices to be the winner and acquire products. The platform operators profit from this race.
- Autobid assistance
- Deals at a fixed price
- Reserve minimum price
- Elaborate marketing inventory
- Multi-lot auctions
- Multiple payment methods
Classic auction presentation & Demo
- Buy Now button and anti-sniping timer
- Unlimited users and products
- Flexible fee settings
- Integration with payment and analytics systems
- Mobile-friendly multilingual interface
- Data export and import
- Advanced auction setting
- Email and SMS notifications
- Autobid algorithm
- In-build commentable blog
- Finance management
- Login via social networks
- Fiat and cryptocurrency support
- Integrated CRM and reporting system
- Integrated CRM and reporting system
Classic Auction Rules
An operator of the English auction sets a starting minimum price and duration, the basis for the subsequent bidding process. Here, the price increases, with bids being visible to all participants. The winner is a bidder with the largest entry.
To keep updated with the tender, participants get notifications about the status of their bids. During the auction, participants’ behaviour centres around the response to their opponent’s actions. Thus, classic auctions are a fight for the so-called ultimate say or a final winning bid.
English Auction Bidding Strategies
English tenders are a common way of obtaining goods and services. An operator sets the minimum value for their item whose initial price is generally lower than the market. Then, the auctioneer starts the auction and observes bidders using various auction strategies.
This tactic involves sharp bidding spikes. For example, the current entries are 10$, 12$, 16$. When you leap, you stake something like 100$. That is how the bidder overtakes control and possibly wins the tender. However, the final price may well surpass the value of a product.
The next method means a partaker will rise till the final victory. This is how their opponents get fought off and leave the auction, whatever the money they might have planned to spend. The risk for neverending bids followers may cause them to overspend because their opponents will rise knowing the consequence.
A bidder makes an entry every time in the last few seconds before the auction may end, thus delaying the conclusion for a long time.
Want to know more about English auctions? Check this Q&A to fully satisfy your curiosity.
Digital tenders have been successful in public procurement for a long time. In the context of high competition and economic crisis, auctions become an example of a way out to keep businesses afloat. Other advantages include remote bidding, transparency of control, accessibility for individuals and businesses, security of transactions, fair competition.
Online auctions sell almost anything, from personal items to advertising posts. In a classic (English) auction, the range of items that exemplify frequently searched goods is incredibly diverse. These include equipment, furniture, decorative components for houses, jewellery, objets d’art, vintage items, luxury articles, cars, immovables, services.
The idea of this bidding variation lies in price advancement. Nevertheless, there is a reverse (Dutch) auction variation. Its reverse nature presupposes price decrease. In this case, a reverse course of action takes place, and smaller bids are accepted.
Matured and well-tested systems open more opportunities than freshly developed. When you decide to launch an auction site, the best solution is to employ a ready-made software because proprietary development takes too much time, energy, and money, that may be retargeted to other tasks otherwise.
All levels of customization are available for an auction platform. Additionally, you can create a unique design. The flexibility of the “Merkeleon” system allows the implementation of any ideas. It is even available to create multiple styles to switch in a click.
To secure the profit from an auction, an operator states a minimum price they will sell their product at. Participants can’t see this sum. The deal is concluded in case a winning price is equal to or exceeds the preset value.
- 1. Storage with voting
You get an online store where users can find goods to purchase at a fixed price without bidding or they can vote for putting these goods for an auction.
- 2. Reserve price
A seller states a backup price, known as a reserve price, that may be used both to generate income for a platform provider and as an extra safety measure for the seller.
- 3. Multi-lot auctions
An auctioneer sets an auction stream with several lots. The seller launches the first tender themselves, while the rest start immediately after the prior ends.
People can make one bid and become winners, or make hundreds and stay unsatisfied. Regular folks attend auctions, so there is no single strategy on the list on how to win an auction. A few pieces of advice: inspect the situation, be confident and reserved, use intuition.
The first thing that comes to mind is the legal issue, namely the complete illegality of places alike. However, this is not the case. It is simply a matter of competition on the market. It is a vivid demo of business owners giving up too early when they lose more than they get. Remember that it is only natural before you tap into an adequate strategy and commence a progressive development.
Hardly so. Functionality is different. In gambling, it is a combination of luck and strategy, depending on the game. In a penny auction, an item goes for sale at a minimum cost. And everyone can raise a bid in a penny auction, adding a small amount to a starting cost. Any user has equal rights for a win. The only limit is their will. Nevertheless, it is worth consulting a specialist who will expose all details and requirements.