Price Reveal Auction Software
It is a Dutch auction with a hidden price where an initial product price decreases with every bid.
This auction model presupposes a preset original price decrease. Its major peculiarity is that no participant knows what this price is. Nevertheless, every participant can independently reveal the current price, making a fee-based bid. It triggers a process of price reduction that breaks at the moment some bidder finds the price acceptable and buys this item.
Why choose Merkeleon?
A basic task of an online auction is to increase profit for a business owner and provide the most acceptable conditions for customers. The Merkeleon company can orchestrate it all. Every day our team makes Merkeleon better since this is a sure-fire way to fruitfully collaborate with customers
All in 1 Solution
Digital auctions have redefined the basic idea of general buy-and-sell activities and the ways businesses offer goods and reach their customers. With this ready-made online auction software, you save your budget - in some cases up to 90% - and stay in touch with this process at any time. The intuitive interface of this auction platform is flexible and convenient to administrate, manage, and pursue deals.
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Gamified bidding process
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Comprehensive communication system
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Crypto and fiat payments
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Advanced marketing tools
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Customizable bid configurations
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High level of transparency
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Buy-now option
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Interface customization
Price Reveal auction presentation & Demo
General Features
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Unlimited number of users and products
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Email and SMS notifications
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Flexible fee settings
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In-build commentable blog
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Integration with payment and analytics systems
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Finance management
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Multilingual mobile-friendly interface
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Login via social networks
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Data export and import
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Fiat and cryptocurrency support
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Hidden and transparent participants list
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Integrated CRM and reporting system
Major notions of a Reveal Auction
Initial price:
to immediately attract customers, a preset price is usually equal or lower to the market price of the item in question.
Price decrease:
every time a customer reveals a price, it comes down by a specified amount.
Charge for bids:
to see a price and decide on a purchase, a customer bids. Every bid requires a fixed fee to be paid.
Winner:
a product goes to a bidder who becomes the first who agrees to purchase at a current price.
How a Reveal Auction Works
The core idea of a Dutch auction with a hidden price is radically different from its classical counterpart, where the price goes up from its initial value. In the Dutch auction, however, bidders compete and slash the price. Here is the basic scenario of what happens on reveal auctions.
A seller defines the price of an item and it is only a seller who knows this amount. After that, partakers that are curious about what this price is, bid, which causes the initial price to dwindle. To see the current value - or bid - buyers pay a set fee.
The tender ends as fast as a bidder - the last one to make an entry - decides on a purchase at a current price. At this stage, this auction is complete, and the buyer pays the remaining amount for the item.
Advantages of a Merkeleon Script for Reveal Auction
At first glance, the success of a Dutch auction with a hidden price seems impossible. But in its essence, this concept is precisely tailored to the market specifics, which makes this tender variation most instrumental. Besides, the Dutch auction script from Merkeleon offers the following:
Novel auction model
A Dutch auction with a hidden price has not yet been largely adopted among entrepreneurs. For this reason, it is a wonderful opportunity to occupy a vacant niche and turn your business into a thriving success.
Quick and easy implementation
This tender is easy to comprehend for bidders and easy to navigate for owners. The Merkeleon platform has a consistent and intuitive interface comfortable for its users.
Transparent
The algorithm is highly comprehensive: each bid cuts the price. After that, a bidder chiefly decides what is their most acceptable price and purchases this product.
Bonus-incentivized
An operator can add more channels for traffic growth, create affiliate networks and bonus systems for attracting new customers.
Flexible
Apart from a tender solution, an arranging party can introduce an option to buy items at a fixed price, avoiding the bidding process.
FAQ
Here is extra information about price reveal auctions. Let’s have a look at this section and its content!
Each country has its own legislation about Internet tenders. The Merkeleon team will provide qualified assistance and help you find the right vector for your future online auction following your country's legal system.
The major strength of tenders is the opportunity for the owner to receive interests from auctions conducted by other operators. Plus, online auctions are very flexible as to the ways to sell goods - a price can increase/decrease, be unique lowest/highest etc.
For startup entrepreneurs, ready-made software is the best of both worlds. It saves time and money. Plus, you can pick from a wide range of Merkeleon software: from the classic English auction to the Scandinavian one.
In a regular auction, the initial bid is minimal; the price increases because auction participants compete with each other. In the Dutch tender, on the contrary, the price is high from the start and gradually gets lower.
It may seem possible at first: bidders await the maximal reduction and then stop the tender. In reality, however, this situation is rather unlikely because longer biddings are associated with higher risks that some other participant will overtake your product. Hence, bidders cannot linger.
Bidders get a product at a lower price, while sellers still get maximum profit. As no one knows who will agree on the price, partakers tend to buy items at a higher price driven by the desire to outplay other bidders and win.
This trading scheme is used if you need to quickly sell a large volume of lots. In this case, bidders quickly obtain lots. Moreover, Dutch auctions with a hidden price are applicable to sell low demand items. Also, electronics and consumer goods can be sold using this model. It can even be used as an alternative to standard ICOs in order to sell project tokens.
Types of reverse auction available
Depending on procedure
Auction to buy product/service
Buyers get price offers from the suppliers according to the product/service requirements.
The winner is chosen manually by the buyer.
Auction to sell product/service
Sellers get different price offers from the buyers. Usually the winner is the one who offers the highest price for the product.
Depending on winner evaluation criteria
Best price auction
The most preferable price is considered as the winning bid.
Best value auction T
he winning bid is the one providing the most favourable conditions for the buyer.
Depending on supplier visibility
Visible price auction
Bid prices are known by all the participants but the identity of the other bidders is unknown.
Invisible price auction
Bids are hidden for all participants except the buyer; the winner is chosen manually by the buyer at the end of the auction. Suppliers are only aware of where they are in relation to the “winner”.
Depending on suppliers permissions
Free access
Any supplier can register at an auction and take part in the bidding process.
Moderation or limited access
1. Suppliers are pre-screened and approved before the auction.
2.Only invited suppliers can take part in the auction.
Why are reverse auctions so popular?
Quick audience growth
Internet communication growth will pursue reverse auction script development attracting more and more participants. This is an opportunity to have a great number of both buyers and suppliers at once.
Supply chain creation
Reverse auction is the evolution of the supply chain. It provides the most rapid way to get a profitable offer from the best suppliers
So why not create your own?
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