With Proxy Bidding Below Reserve Price

This page describes how the bidding will transpire with Proxy Bidding Below Reserve Price turned on.

"Proxy Bidding Below Reserve Price" can be turned on from the Admin Control Panel > Listings > Auction page.

Proxy Bidding Below Reserve Price Scenario

This scenario explores how an auction listing with Proxy Bidding Below Reserve Price enabled would turn out.

Proxy Bidding Below Reserve Price allows the system to bid only as much as necessary to make sure that the user remains the high bidder while the Reserve Price has not yet been met. In other words, the Reserve Price never triggers a higher proxy bid to be placed, rather, the bidders are still driving the Current Price with normal Proxy Bidding mechanics. If the listing never reaches the Reserve Price than the listing ends unsuccessfully. One consequence of this scenario is that if a listing has a reserve price defined, and only ever receives bids from a single bidder (no matter how high the bid amount), then it will not end successfully since no other bidders triggered the current price to increase to the reserve price.

In this example the proxy bidding is not deterred by the Reserve Price:

1. Admin creates a listing with a starting price of $100.00 and a reserve price of $130.00.
2. AuctionBob starts the bidding with $122.00
3. BidderBill sees the price is very low at $105.00 and bids $120.00
4. AuctionBob is automatically rebid for $120.00
5. BidderBill sees that he was out bid by a proxy bid and bids the minimum, $125.00
6. AuctionBob notices that he has been out bid and bids again for $150.00
7. BidderBill sees that he has been out bid and raises his bid to $145.00
8. AuctionBob again rebids automatically for $150.00

Note: For a better understanding of how proxy bidding works be sure to read through the With Proxy Bidding example.