When people hear the word “auction” they think of a fast talking man with a gavel and people raising their bid cards on items they want, right? There is SO much more to auctions than just that, though!
When it comes down to it, professional auction companies have a lot more resources and tools than just speaking quick. In fact, there are a lot of different formats of auctions that don’t require an auctioneer calling numbers out at all. Here is your guide to the different types of auctions:
Traditional Live Auctions:
This is what most people think of when they hear the word “auction”. This is the most standard version of an auction. An auctioneer calls out the bid in real-time to a live audience. Buyers bid on the items they want and highest offer gets the product. Plain and simple, cut and dry.
This auction type is a hybrid of both live and online auctions. The auction itself has a live crowd that is bidding but it is being streamed to an online audience that can also bid.
Online Timed Auctions:
This style of auction is done completely online. It is essentially run like eBay where there is a set time that the auction ends, and auction registrants have until that closing time to bid and win the items. Unlike eBay though, we use a soft close process. This allows bidding to keep going as long as bids are still being entered. This ensures the item goes to the highest bidder, not just the last bidder- which is of huge benefit to our sellers.
Online Virtual Auctions:
This auction is formatted to be completely virtual but happening in real time. There is no in-person crowd, but the auctioneer is doing a live outcry and bid calling via webcast to an audience watching and bidding online.
Single Sealed Bid Auctions:
In this auction approach, bidders will submit a written bid that is their highest and best offer. It is sealed and submitted all at the same time to the auctioneer. By sealing and submitting simultaneously, no participant will know what the others are willing to give. The auctioneer then unseals the bids, and the winner of the lot is the individual that submitted the highest price.
Reopening Sealed Bid Auctions:
Just like single sealed bids, the auction participants will give their sealed, best bid to the auctioneer. Where this differs though, is that the auctioneer and seller can bring back the top bidders and reopen the bidding with a select few participants. This allows some of the bigger players a chance to negotiate further with the seller and auctioneer.
Written Offer Auctions:
In this sort of auction, bidding is conducted by hand. Bids are written and turned into the auctioneer up until a certain date/time with a current bid and a maximum bid the participant is willing to reach. In this situation even the best bid is not final, and the seller can negotiate the offer.
As a professional auction company, we have a variety of auction styles to help fit each individual clients’ needs! Being a champion auctioneer, I am confident we can find the ideal auction format to best suit our customers!
David Whitaker | Champion Auctioneer