Reverse auction action – snagging a bargain

In a traditional auction, the price of each item begins with a starting bid. As people bid, the price goes up. Reverse auctions work in the opposite way. There’s a set opening price for an item and, as bids are received, the price goes down.

Reverse auctions are great for fundraising and not-for-profit organisations. In this case the auction items have probably been donated, so there’s no outlay to cover. Commercial reverse auctions, like DubLi, source auction items wholesale and attach a value to each bid.

Reverse auctions cover the cost of goods by giving each bid a value. Participants in the reverse auction purchase bids before the auction begins. With each offer, the price of the auction item drops by a pre-determined value.

Sometimes people snag the most incredible bargains at reverse auctions. Whether it’s goods, services or even gift cards, auction items frequently sell for half their retail or face value. In the case of a gift card, buying below the face value is just like purchasing discount money.

Reverse auctions are still a quite new way of buying or fundraising. You may find some reverse auctions close to home. But the internet is a much better place to look. The most popular reverse auction site is DubLi. DubLi stock lots of popular, brand name products, as well as Visa/Mastercard gift cards, petrol/gas vouchers and gift vouchers from well known hotels, department stores or supermarkets.

Why not try your luck at reverse auction?