Teka, Ano Nga Ba Ang "Penny Auction"?

According to wikipedia, "a penny auction is a type of all-pay auction in which participants must pay a non-refundable fee to place a small incremental bid. When time expires, the last participant to have placed a bid wins the item and also pays the final bid price, which is purportedly significantly lower than the retail price of the item." 

Hmmm, bibili ako ng bids para makasali sa bidding at kapag ako ang huling nag-bid ay mapapanalunan ko yung item na for bidding.

Items for auction vary in different penny auction sites. It may be:

• Gadgets like Iphone, Samsung Galaxy Tab, PSPs 
• Gift Checks from popular malls, restaurants or shops
• Appliances like LCD TVs, DVDs and even Microwave Ovens
• and even vacation packages!!

All these items are sold at a very low price, meron pa nga nabili at a price of P0.01! Can you believe that, One Centavo!

But please be reminded that you have to register and purchase bids from these penny auction sites to be able to join in the bidding. Price per bid varies on each site and the prices are lower if you purchase in bulk. It ranges from P5 to P15 per bid or average of P10.

So that guy who won at P0.01 actually spent P10.01 for the item he won. He used 1 bid at P10 average bid cost plus the final price of P0.01.

Better watch out for promos being given by these sites. They are giving discounted bid packs or sometimes additional free bids per purchased bid packs. One best promo I saw from one penny auction site was the One Peso per Bid Sale!! Too bad the promo period was only for two hours.

Before joining any penny auction site, you should first investigate the reputation of these sites as some may be scams. Isang site pa lang ang nakita kong site na halatang scam, ang pangit ng pag-kakagawa ng site eh. Don't worry, I did not include that site in my previous post. Yung iba naman ang tingin ko eh hindi talaga scam, nagkataon siguro na nalulugi sila kaya hindi na ma-deliver yung items.

I suggest that you should first study and analyze how the bidding works before joining any bidding and know your competitors. at wag na wag kayong mag-bid kapag naka-inom at mauubusan lang kayo ng bids (out-of control bidding) hehe, based on my own experience.

If you believe you are already prepared to join in the bidding in these penny auction sites, well good luck and balato ko ha.