WireBids allows sellers to place reserves on higher value items to ensure the seller gets a fair price for their equipment. Each reserve must be approved by WireBids prior to the auction launch.
These reserve prices give sellers the peace of mind that their equipment won’t sell for less than they are comfortable with- but could these reserves be reducing the final selling price of their lots?
We have previously discussed the downward trend of reserve prices upon relisting in subsequent auctions but we hadn’t delved into whether or not reserve prices result in the best possible price for the seller.
Although it is impossible to tell what the same lot would have sold for in the same auction without a reserve, we can analyze other reserve metrics.
From May 5th 2016 through January 26th 2017 there were 357 reserve items placed in 13 multiple location auctions. Only 37% of these items met their reserves. Of these met reserves, only 55% of them matched or exceeded the reserve by $100. 45% of these reserves climbed more than $100 over the reserve price.
This suggests that more often than not, users across the board slow their bidding once the reserve price has been met. On average, each WireBids auction lot has about 8.12 users vying to purchase. The number of interested users bidding on items with reserves drops to 4.14 bidders per lot. This data would indicate that nearly half of WireBids users won’t bid on reserve items- and when they do, they are unlikely to bid much more than the reserve price.
Watch our new tutorial on bidding on used equipment!
Obtain accurate dimensions for equipment.
These measurements can sometimes be found in the product manual. If the manual is absent you can try a google search to find it. Some manuals even offer tips for moving the equipment safely. Make sure the equipment can clear your new location.
Thoroughly secure equipment
Wrap and secure blades, cover vulnerable areas and ensure fluids are contained. An experience rigger can offer advice on how to band and secure equipment for transport.
Know what is insured
Know what is covered under your transporter’s insurance. The industry-standard liability coverage offered by most LTL is $.10 cents per pound. Photograph equipment upon delivery to make sure everything has arrived safely.
WireBids connects buyers and sellers of industrial equipment online. Our easy to use platform allows users from 152 countries to place bids on and win the equipment they need to run their printing business at an affordable cost. Although WireBids attracts equipment buyers across the globe, the majority of our users are from the United States. Beyond the United States, the majority of our users are from Canada, Mexico, India, Pakistan and Peru.
Within the United States, most of our bidders reside in California, Ohio, Pennsylvania, New York and Illinois. Broken down by region, nearly 32% of our users are from the Midwest.
Since the inception of the auction around 500 B.C., different industries have relied on several unique styles of auctioning goods. Through the internet, buyers and sellers alike enjoy the freedom to conduct business from anywhere at any time.
WireBids’ online timed auctions most closely resemble English auctions where bids ascend in price. Even the word “auction” is derived from the Latin word for “I augment,” or “I increase.”
On the other end of the spectrum, a “Dutch Auction” is based on descending prices. Often used to sell produce, fish, flowers or other perishable goods, the bidding starts very high and is lowered until a buyer claims the item for their own.
Beyond English and Dutch, silent and shouted- there are sealed bid auctions, sometimes known as Vickrey Auctions. In this type, bidders submit sealed bids without knowing the intentions of other bidders. The highest bidder wins the item and pays the second highest bid. This is sometimes referred to as a Second-Price Sealed-Bid Auction and has historically been used by stamp collectors since the late 1800s.
With WireBids, lots close at a predetermined time. Unlike a live “ballroom auction,” online bidding takes place over the course of a couple of days, allowing bidders plenty of time to research and make decisions. With WireBids, if a buyer places a bid in the last ten minutes of an auction, the time automatically extends several minutes.
WireBids’s top goal is your satisfaction. Our website makes it possible for sellers of commercial assets to reach buyers online.