Saturday, February 3, 2007

Noteable eBay Regularity

I've noticed that a lot of sellers will post an item with both an initial bid price, and a very slightly higher "buy it now" price. For example, you can bid $74.99, or Buy It Now for $79.99. What's up with that?

3 comments:

Anne said...

Either 1. They have a very, very low discount rate or 2. they don't think the auction will ever go above $79.99.

Anonymous said...

3. They think e-bayers on the buying end have a very low discount rate.

JVH said...

I think it has to do with buyers being averse to losing. They're framed by the bid price, and then, for "just a few dollars more," they can purchase certainty.