Subject:
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Re: Thoughts on having preferred customers in auctions
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Newsgroups:
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lugnet.general
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Date:
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Wed, 27 Jan 1999 17:46:53 GMT
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Viewed:
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845 times
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Michael Ulring writes:
> A potential solution I have considered, but not yet implemented, is to
> create a preferred customer situation where I grant a select group of
> people a blanket discount in my auction. So if bidder X wants a set in
> my auction, and they are on my special list, I grant them a predefined
> discount on anything they win. Say Mr. X wins 4 sets totalling $200,
> and my discount is 20%, then I only ask them for $160.
I would agree that this would be considered unfair - regardless of why you're
doing it, you are tilting a (theoretically) even playing field, which is one
reason people run auctions rather than straight sales(1).
> Final thoughts:
> There is of course the first rule of auctions which states that the
> auctioneer can do whatever the heck he wants [3]. There is always going
> to be someone who has more money and can bid higher if they want to.
> Okay, so in some cases there are people who have seemingly unlimited
> Lego budgets (you know who you are, point point), but in general it is
> true. I'm open to any opinions people want to share on this, I have not
> yet decided one way or the other myself.
What I have considered (but not gotten around to) doing to solve the same
problem(2) is this: Give your friends "first crack" at the sets, send them the
list, and let them put a price on the items. Then, when you run the auction,
inform bidders that certain sets have a "reserve" (a la ebay), and if the
bidding does not rise above that reserve, you will not sell the set. If the
set doesn't rise above the reserve, then sell it to your friend at whatever
price the bidding did reach. OF course, if it goes above the reserve, your
friend still has the option of bidding on it if they decide they want it more
than they originally thought.
This lets you give your friends the preferential treatment (1st chance at the
list, and potential savings from a 'straight sale' at their price), while still
giving you the maximum benefit of the auctions profit margin. It also avoids
offending other bidders (except for the righteous who feel they want to be on
your list, but aren't) :)
Does that help?
1: the other being, of course, greater profit.
2: that problem being the balancing of giving a friend a break, and getting the
best value for a set
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