No reserve price..how well does it work?
  • Hi,

    I have seen some auctions which sold well and they have no reserve price.

    Is it risky?

    I have seen others which sold a site for $1 because there is no reserve price...

    I know by setting no reserve price is to get bidders.

    Want to hear your views.

    Thanks,
    John
    Post edited by Unknown User at 2010-08-16 14:32:55
  • That's really basic logic. If you set a no reserve on a site that has poor copy, poor/unstable/no revenue streams, and has no real value then yes.

    If your site has value such as a good domain name, solid revenue, and solid traffic then no. The entire point of a no reserve listing is to gather a few extra "eyeballs" and to you listing. If you don't have a site that bidders will bid on then you'll get screwed.

    Pretty simple really.

    Fruit
  • The plus side of this, if you have a low quality site, is that is will still usually sell (even for just $10 or something) and then you then get to upsell :) I sold a site for a really low price, didn't even cover my fees but I then got a nice $100 hostgator affiliate payment for refering them for hosting :) Then you've also got another buyer on your list for future sales. It's still relatively low profits, maybe $90, but for a site you built in 30 minutes, it's not bad.
  • Honestly, rather than put up a reserve price,I would just list the site at what your reserve price would be. If it's worth more than that people will bid, if no, they won't simple as that.

    I usually put up my auctions (ebay that is) for whatever I bought the item for (knowing it's undervalued). That way even if it only sells break even, I didn't lose money.
  • [quote="NikGoodrich"]
    Honestly, rather than put up a reserve price,I would just list the site at what your reserve price would be. If it's worth more than that people will bid, if no, they won't simple as that.

    I usually put up my auctions (ebay that is) for whatever I bought the item for (knowing it's undervalued). That way even if it only sells break even, I didn't lose money.


    The problem with this is that you really want to try to get your listing to the most active section to get those extra eyeballs. Not to mention the more bids your listing gets, the more social proof to potential bidders that your listing is worth bidding on.
  • [quote="Brent Jacoby"]
    The problem with this is that you really want to try to get your listing to the most active section to get those extra eyeballs. Not to mention the more bids your listing gets, the more social proof to potential bidders that your listing is worth bidding on.


    This is exactly correct. You'll see a lot of infrequent sellers list with high starting prices - it's really not the best way to go. I start all of my auctions at a $1, whether the site is worth $50 or $50,000.