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Be sure to read the user agreements when you sign up for these accounts Make sure you know whether you will incur fees for making or accepting payments and whether restrictions exist on how you can use the account If you are a merchant, expect reasonable fees these services have to make money, too
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Auctions are popular on the Internet just look at the success of eBay (wwwebaycom), the Internet s largest auction site eBay and Yahoo Auctions (auctionsyahoocom) are the largest sites, but there are many others The vast majority are for specialty and niche sales
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What is an Internet auction It s the same as an auction at Sotheby s or a county fair, except there s no person with a gavel shouting and pointing Items are made available for bidding by sellers, with a date and time when the auction will end (usually from two to nine days after the start of the auction) Bidders can bid on items by telling the system how much they are willing to pay Whoever has the high bid at the end of the auction wins the product The seller and high bidder then arrange (usually by e-mail) for payment and shipping; the auction site usually doesn t get involved once the auction is over Figure 32-4 shows an eBay auction in progress Some auction sites include proxy bidding This system allows the bidder to tell the auction system the maximum amount that you plan to bid The auction site software then automatically bids on your behalf, bidding only as much as required, and not going over your maximum For example, if you specified a maximum bid of $10 for a used book, the bid increment was $1 (that is, each bid must be at least $1 above the last bid), and someone else bid $2 for the book, the auction software would place a bid of $3 in your name Proxy bidding allows the auction to go on without requiring you to hover over the computer, waiting for others to bid eBay and Yahoo Auctions both offer proxy bidding Some auction sites (including eBay) also offer online payments for auctions That is, they accept credit card payments from buyers and remit the money (less a handling fee) to the seller This service is useful for sellers who don t otherwise have a way of taking credit cards, although PayPal, described in the section Alternative Payment Service Providers earlier in this chapter, is a good alternative Internet auctions can have other variations Some eBay auctions have a Buy It Now button that allows you to grab the item, ending the auction immediately, if you are willing to pay a price set by the seller You may not get the lowest possible price, but if you really want the item, you don t have to wait, or take a chance on the price rising above the set price Most auction sites require verification by credit card some to sell, some to buy, others both
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You can bid on this motorcycle over the Web, but you only have 47 minutes left!
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Finding Internet Auction Sites
A good place to start looking for auctions is the Internet Auction List (wwwinternetauctionlistcom), which does its best to list all auction sites on the Internet For auctions that specialize in a particular product, use a search engine like Googlecom to search for auction and the type of product you are interested in
Selling and Bidding
Before you can either list an item for sale, or bid on an item, most auction sites require you to sign up for an account, which is usually free eBay pioneered a system of feedback ratings, so that the more successful auctions they complete, reliable buyers and sellers acquire higher and higher rating numbers To list an item in an auction, you sign in using your user name and password for the site, and provide information about the item you want to sell, including a description, minimum price, and (optionally) a picture To bid on an item, you sign in using your auction site user name and password and type your bid (or for systems with proxy bidding, your maximum bid)
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