Understanding The Differences Between Traditional Auction Sites And Penny Auction Sites
Penny auctions are a new, popular type of auction site that is becoming more and more popular on todays internet. Websites like BidHere, BidRivals, and Quibids are promoting peoples chances to win expensive items for bargain prices.
Penny auctions work differently than popular auction sites like eBay. On eBay, an item is being auctioned for a specific amount of time by a third party seller. Once the time on the auction has run out, that is it. The auction is over. The person who had the final highest bid before the clock ran out is officially the winner of that item.
Auction sites like BidHere, BidRivals, and Quibids all claim to be more like traditional auction houses with an auctioneer. Instead of having a specific time period for the auction to take place, the auction takes place as long as customers are actively bidding on items.
Each time an item receives a bid, the clock resets to allow the rest of the bidders time to decide whether or not they want to continue. If the rest of the bidders decide they are done with the auction, then you are the final bidder, and thus, the winner.
However, BidHere, BidRivals, and Quibids are different than eBay in other ways as well. First, you must pay for each bid you place, which means you are paying money toward the item you want to win throughout the bidding process. If, at the end of the auction, you do not win the item, you have the option to purchase that item at the full retail price, placing the amount of your bids toward the price of the item.
Also, there is no third party seller in penny auctions. The website is both the auctioneer and the seller. This upsets some people and causes them to call penny auctions a scam. While there are some people out there that are giving penny auctions a bad name, other companies assure their customers that their policies are transparent and they can contact customer service at any time with complaints or questions.
In general, it seems as though penny auctions are rising in popularity because they are selling current, popular, big ticket items that are often hard to get, like the iPad or the Kinect for discounted prices.
However, since you are paying for bids, it is always a good thing to keep in mind that you should bid on items that you truly want enough to pay full price for, since that might be the position you find yourself in if you lose the auction.
For more information, please check out BidHere.com Scam and BidRivals Scam reviews.