The Positives and Negatives of Online Auctions

Internet auctions have become increasingly popular over the years for a number of reasons, from their broad geographical reach to their absence of time limits. If you are contemplating moving into this area of selling there are a wide variety of attractive benefits to consider, but also some negative aspects to take account of. Here is an outline of some of both the pros and cons:

Cost-effective

Auctions can be one of the most cost-effective ways of selling goods online. There’s a plethora of cost saving measures sellers and auctioneers can take. It is considerably cheaper to organise an online auction than an offline auction event – with an offline auction money needs to be spent on a venue, a professional auctioneer, item storage and various other necessities. There are comparatively few expenses to worry about online… Auctions can also be an excellent way of liquidating old or excess stock. Selling these items by auction tends to bring in significantly higher profit margins than selling them off at a fixed discounted rate. Marketing is another area in which Internet auctions can save on costs. Marketing materials in the offline world can be costly and time-consuming to produce and distribute. Online marketing is relatively cheap, and has numerous other advantages.

High profits

Online auctions are open 24 hours a day, 7 days a week. They can go on for weeks (or even months). This is in contrast to physical auctions, which typically last for no longer than a few hours. This lack of time constraints is a great asset. It means that bidding can carry on for longer and thus lots are likely to sell at a higher price. Bidders find the competitive environment of auctions exciting and exhilarating. This is true of Internet auctions just as it is of auctions in general. This atmosphere can encourage participants to bid for items at significantly higher prices than they would in other situations. It is not surprising that online auctions have often been compared to gambling. As in gambling, participants can become caught up in the excitement of the event and become increasingly reckless with their money. This can lead to prices being driven well above and beyond market value.

Wide reach

Whereas in the offline world auction attendance is limited to those who can manage to physically be present at the event, auctions on the Internet can potentially be accessed by a vast and diverse audience of people from every corner of the globe. Items can be sold to people sellers would never have had access to previously. The larger the number of participants in an auction, the higher the prices that items are likely to sell for. There can also be a larger number of products up for auction. The increased reach of online auctions can allow sellers and auctioneers to create new specialist markets within their sector. Online auctions provide an astonishing degree of access to unusual or niche items that rarely turn up for sale in normal circumstances. For example, in the offline world machinery tools may become available for sale only occasionally and go for a high price when the do come up for sale. There is a wide geographic market for these items online. If marketing is targeted effectively, you can make lucrative sales.

Efficient marketing

Trading online offers the opportunity to market products in an exceptionally efficient and effective way. Data from your website can be used to identify customers’ and visitors’ buying and viewing habits. This means you can make highly informed decisions based on your customers’ interests and tendencies, and target your marketing activities more accurately. Social networking and blogging are very useful tools for anyone with an online business. Social networking can provide a steady stream of contacts and sales leads, as well as allowing you to publicise your auction site in a general way. If you frequently take part in online discussions relevant to the goods you sell you can offer your advice and expertise in the area and encourage people to put their confidence in you as an auctioneer or business partner. Writing a blog can also provide excellent publicity and customer interaction, as well as another route to your site for search engines.

Downsides

However, Internet auctions can also have their downsides…

• All websites are vulnerable to technical glitches. Technical glitches could cost you significant amounts of money, and customers who encounter a glitch when using your site may be permanently put off from buying from you.

• Criminal activities are something else to which e-commerce websites can be susceptible. If customers pay for items through your own site it is important that you scan the server for any potential security risks and comply with PCI DSS requirements.

• It shouldn’t be forgotten that there is still a significant number of people (particularly older people) who are not adept at, or not enthusiastic about, using the Internet to buy goods. Basing all commercial activity online may cause companies to lose these customers.

• Online auctions tend to lack the bustling, highly-charged, highly competitive atmosphere of auctions in the real world. This could lead to less competitive bidding and thus lower prices. Online auctions tend to see a dramatic surge in bidding activity towards the end of the auction, rather than sustained competitive bidding throughout the auction.

• Some bidders engage in a practice known as “sniping” – not placing any bids until the very last moment of an auction (when it is impossible for other participants to place competing bids) so as to avoid a bidding war that will drive the price higher. Naturally, this is not very beneficial for sellers and can result in lots selling for well below market value when in a physical auction they would have sold for a higher price.

Overall, the benefits of online auctions tend to outweigh the risks and downsides. However, it is important to research and consider all aspects of online auctioning before making the decision to move into this area of commerce.

Payday Loans in Australia

Do you need instant payday loans in Australia but don’t know where to go to? Well, then worry no more as Cash Now Perth is right here to help you out with all your emergency cash flow requirements.

Gone are the days when in-store payday lenders used to be the only alternative for an emergency cash flow to people who are unable to take bank loans due to poor credit score. Now with online cash advance loans offered by Cash Now Perth, getting payday loans in Australia has become easier, quicker and hassle-free.

Read on to know more about how Cash Now Perth has made getting the emergency cash you need simpler than ever with its online loans payday services.

Situation Where Payday Loans Help the Most

Managing some medical emergencies, dealing with unexpected or ordinary day-to-day expenses, or paying for the EMIs, etc. are some of the most common reasons for choosing a payday loan. But there is one situation that is common behind all these reasons for choosing payday loans and that is being out of cash. When you are out of cash or require some emergency funds that you are unable to acquire from anywhere else, payday loans in Australia turn out to be the ultimate savior.

Factors Making Our Online Payday Loan a Better Option

By now you’ve probably realized that payday loans Perth can be your ideal solution to manage your sudden financial emergency. But do you know from where you can get a fast and secure payday loan that is free from all that stress of applying for a loan? Well, that’s where Cash Now Perth comes in, a one-stop solution for all your requirements of online cash advance loan in a secure way.

At Cash Now Perth, our deft professionals take care of all the groundworks for you; requiring you to only provide us with certain information such as your bank account details, your job location, etc. Paying maximum attention to each loan application, we ensure fast approval of payday loans in Australia with instant fund transfers in the accounts of the applicants or the borrowers.

Unlike in-store cash advance loan, at Cash Now Perth, you get both flexibility and time to go through the loan options and apply for payday loans Perth that best fit your needs. We neither have hidden charges of any kind, nor we conduct any hard credit history check. Rather, we take care of the necessary web page security to ensure secure and fast loans payday by implementing the latest digital technologies.

Serving the people of Australia with our fast approved, simple and secure payday loans for over the past 15 years, Cash Now Perth has now turned into one of the most trusted names in the cash advance loan industry of Australia.

So, next time you are in a situation of financial distress and need payday loans in Australia, you know Cash Now Perth is the reliable payday loan provider to opt for. Apply at Cash Now Perth today and deal with all your financial problems like a boss!

Auto Auction Bargains: 10 Guidelines for Smart Buying

Yes, you CAN save a bundle on a used car. If you shop the auctions, and shop smart.

There are plenty of opportunities, at government auctions, police auctions, repo auctions, and more. Lots of auctions, with inventories that change constantly.

Many prospective buyers don’t know there are auctions, or where they are, or how to participate. Smart buyers know where the good auctions are, and understand how to make the moves that lead to a successful bid. Here are a ten important guidelines every buyer should know.

1. Understand that for smart auction buyers, information is king. Don’t just walk in and start bidding. Do your homework. Know where the best auctions are. Know about the vehicle you’re bidding on. Ask questions. Know what’s the right price for the car you want.

2. Come to the auction site early. Give yourself time to look around carefully and identify the cars you’re interested in. Generlly, you’re not allowed to start the vehicles, or drive them.

3. You may want to consider traveling to auctions that are some distance from big cities or towns. They’re likely to be less crowded with bidders, and the cars may fetch lower prices.

4. Check the history of any car you intend to bid on, with CarFax or similar data base. Some buyers at an auction use their cell phones to send cars’ VINs (Vehicle Identification Numbers) to friends at home, who go on line to check vehicle service histories, then phone back the information before the bidding starts. Some auctions supply car histories to prospective bidders.

5. Check VINs on a car’s trunk, hood, doors, etc. If all the VIN markings on a car aren’t the same, the vehicle has been assembled from parts of other cars, and may have been stolen.

6. Look up the prevailing market value of the cars that interest you. Search for information in authoritative publications: Edmonds, nada (National Automobile Dealers’ Association), or kbb (the Kelley Blue Book). You may also want to check on line at AutoTrader.com.

7. Don’t catch “auction fever.” Set a limit on how much you’ll pay for a car you’re interested in, and don’t bid above that limit. It’s easy to get caught up in the excitement of bidding, and feel you must win the bid no matter how high it goes. Keep a cool head. There are a lot more cars to choose from.

8. Find out the auction’s buyer’s premium before you bid. Remember, you’ll actually pay more than your winning bid. You’ll also pay a buyer’s premium to the auction house, generally 10 percent of the bid. Also, some auctions charge an entrance fee to get the number that makes you eligible to bid.

9. Read the contract carefully. When you win a bid, you’ll be asked to sign a contract that sets down the details of the deal. Read the contract carefully, paying particular attention to how long you’ll have to wait for the car’s title, if the auction house doesn’t have it at the time of sale.

10. Be sure you have the money. You can’t finance an auction car. Know the auction’s payment requirements.