If you’re new to the auction space, you likely have a lot of questions … and probably some confusion coupled with excitement to get started.
If you’re new to the auction space, you likely have a lot of questions … and probably some confusion coupled with excitement to get started. With so many auction platforms to choose from, it’s hard to know who to trust and where you can get the best equipment at the best prices.
That’s where Surplus Asset Management comes in. With over 35 years of experience, we have grown to be the name that buyers trust nationwide. And since we sell equipment from the likes of HEB, Kroger, Walmart, Whole Foods, and so many other respected household names, you can rest assured that the quality of grocery, restaurant, and commercial equipment you’re buying is top notch from these top brands. To make the process seem less intimidating, and to make sure your experience is a successful one, we’ve created a list of important tips for you to consider as you dip your toe into the rewarding world of online auctions.
Thoroughly research the item you're interested in. Look for its current market value, brand, model, and condition. Check for similar items sold recently on various platforms to determine a fair price range.
Not all auction houses are created equal. Some are new to the space, don’t have the in-depth product knowledge to truly understand the products they’re listing, are stretched too thin to help answer your questions, and don’t have the experience needed to build trust and gain long-term bidders.
When available, review photos and read the item description carefully. Determine if the item is new, used, or refurbished and note any wear and tear or defects mentioned. These points will help you determine where to set your bids so the price you pay is in line with your needs and expectations.
Understand Features: For complex items like large-scale equipment or collectibles, make sure you understand the specific features or details that could affect value.
If any details are unclear or missing, contact the seller for clarification. This helps you avoid surprises and ensures you know exactly what you're bidding on.
Factor the combined cost of your bid amount along with any additional costs like shipping, handling, taxes, and any auction fees. These extras can add up and affect your final price.
Decide on a realistic maximum amount you’re willing to spend and don’t let emotions drive you higher. This helps you avoid getting caught up in bidding wars and overspending.
Follow your pre-determined budget and bidding strategy. If you find yourself tempted to bid more than planned, decide whether your current bid will match your future expectations for the equipment or item.
Online auctions can be thrilling, but it’s important to remain level-headed. Don’t let the excitement push you into making impulsive decisions.
Auctions and individual lots within them typically have specific end times. Make sure you know the exact time and time zone the items you want are ending.
Use alarms or calendar reminders to alert you to when each auction and each item you want is about to end, since different lots end at different times on most auction platforms . This ensures you don’t miss the final bidding window. If you can’t be present at auction end and you’re using a platform like Proxibid, set your maximum bid amount at a price you’re comfortable spending and the system will incrementally bid for you.
Watch how frequently other bids are placed and the timing of those bids. This can give you insights into how aggressive your bidding competition is.
If bidding is intense early on, you might need to place your bid closer to the end. If bidding is slow, you may have more flexibility and an ability to ‘claim your stake’ early on. Someone might see your bid and decide not to bid against you.
Different auction sites have different rules, terms, and conditions. Understand important terms like pick up and shipping processes, payment types and terms, buyer’s premiums, and returns, if applicable. Understanding the fine print will help you avoid potential headaches. Some sites may have reserve prices (minimum bid prices) or incremental bid increases, others might require a vetting process in advance or a credit card up front. Familiarize yourself with these rules, register early on the site, and get familiar with it prior to auction day to avoid surprises. <<Surplus Asset Management | SAM Auctions>>
Some platforms offer proxy bidding, where you set your maximum bid and the system automatically increases your bid incrementally to maintain your winning position up to that limit. For example, SAM Auctions uses Proxibid <<SAM Auctions powered by Proxibid>>
Some auctions offer a "Buy It Now" option or allow you to make an offer. Know how to use these features if available. SAM Marketplace is a great example of this: <<SAM Marketplace | Equipment Sales and Auctions | Phoenix, AZ>>
If you’re bidding low, be prepared for the possibility that you might be outbid. The desire to get a whale of a deal might cost you an item you really wanted for a price you may have been perfectly fine paying for it.
By implementing these detailed tips, you’ll be better equipped to navigate the complexities of online auctions, make informed decisions, and improve your chances of winning items at a fair price. And just like with anything else – practice makes perfect. The more you participate in online auctions, the more comfortable you’ll feel bidding. Whether you start with lower-priced items at first and work your way up to bigger tickets equipment, SAM is a great place to begin your auction adventures. You can’t stay in business for 35 years and counting without a community of bidders who trust what you sell. We’re experts who care, with a reputation you can trust.