Penny Auctions: What You Should Know
As each day passes, penny auctions are becoming more of a household name. Quibids and Beezid, two of the larger penny auction sites, recently started running national ad campaigns, guaranteeing that these sites get more attention in the future. However, there are important differences between penny auctions and standard auctions. The bids you place in these auctions cost money, so unfortunately losing an auction means not only losing the prize, but your money as well. Because of this, do not simply ignore the various Quibids, Beezid, or DealFun reports you see online, but check them out for tips and tricks.
Many people have come to expect auction sites to have set time limits for their auctions, like eBay, but Beezid and DealFun do not. Instead, every time a bid is placed, the clock is extended by ten seconds. Many times this results in auctions that go on for incredibly long stretches of time. Only people with strong, reliable internet connections should consider getting involved in these types of auctions. A weak internet connection means a higher possibility of losing an auction, and with the amount of time invested in these auctions, that can be incredibly frustrating.
Each time you make a bid during a penny auction, it will cost you money, as referenced earlier. Sixty cents seems to be the most popular cost per bid, but some sites charge higher prices while other charge lower. If the site you are considering charges more than sixty cents per bid, try to see if there is a reason why. What advantages do you get for the extra money you will be paying? If that site does not have benefits over other sites that justify their higher charges, then you should look elsewhere.
The site you are interested in using should absolutely have a Buy It Now feature. This feature allows you to place the cost you spent on bids toward the retail cost of an item, if you lose an auction. This is really the only smart way to bid on a penny auction site. Make sure you are bidding on an item that you feel comfortable paying full price for. Using this feature helps you not lose money even if you lose an auction.
Never hand over your credit or debit card number to a website unless you have already read the reviews of that particular site. Especially look for people who had bad experiences with receiving their items, dealing with customer service, or other problems related to the company itself. You are likely to see many complaints of these sites have questionable methods toward raising the price of auctions, but usually these claims are unsubstantiated. But numerous complaints about issues with their products or services show an actual problem, and indicate that perhaps you should go elsewhere.
Penny auctions are often compared to gambling, in that you must pay for a chance to play. Some people really like this auction format, while others hate it. You will not know if this auction format works for you until you do some research and observation for yourself. You may find that a standard auction format fits you best. Or you may realize you do not even like auctions, you would rather simply purchase your items like normal. Remember that you are the person who benefits from having this knowledge before you begin investing in penny auction sites.
