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Can Anyone Explain A RATIONAL Reason For An eBay Seller Refusing To Reveal Their Reserve?
RBinTex
Posts: 4,328 ✭
i.e. one that would be a reason revealing it would actually serve to REDUCE the final selling price of an item. 
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Badger
Link to 1950 - 1964 Proof Registry Set
1938 - 1964 Proof Jeffersons w/ Varieties
if the seller did not want this unknown aspect, they would just start at their minimum
the seller is paying for the hidden reserve option
say a seller wants $200
he could start it at $200 or $1 with a $200 reserve
as a buyer how would it affect you? if you are a buyer, bid as much as you are willing to bid and forget it
Revealing the reserve defeats the whole purpose. Might as well just set that as the starting bid.
That's a good point. I don't understand why anyone does use a reserve. It costs more than starting your bid at the reserve, and just keeps a number of folks, who don't like reserves, from bidding.
<< <i>That's a good point. I don't understand why anyone does use a reserve. It costs more than starting your bid at the reserve, and just keeps a number of folks, who don't like reserves, from bidding. >>
Because it's a whole different mentality. If you start the auction at your reserve price, you generate very little interest. If you run it as a true auction ( with or without a reserve), the competitive side of the buyers usually makes for a much better sale. It was said before, but I agree... stop trying to get something for nothing!
Russ, NCNE
<< <i>If you run it as a true auction ( with or without a reserve) >>
If you have a reserve, it isn't a true auction.
Russ, NCNE
& how would a bidder knowing a reserve prevent others from bidding?
"if they have a reserve, they want interest to gain to increase possible sales price"
I thought the point of a reserve was to prevent the item from selling below a certain amount. I thought the best way for "interest to gain..." was to have a no reserve auction starting at 1 cent. Silly me.
"if the seller did not want this unknown aspect, they would just start at their minimum"
I thought the fact that a reserve was unknown was just ancillary (& the way eBay simply has decided to do it) to preventing an item from being sold for less than a certain amount.
"the seller is paying for the hidden reserve option"
I thought the seller was paying to protect his item from selling below a certain price.
"say a seller wants $200
he could start it at $200 or $1 with a $200 reserve"
Very true but most likely more bids & interest will be generated if he started it at the lower amount.
"as a buyer how would it affect you? if you are a buyer, bid as much as you are willing to bid and forget it"
More good advice but what about the marginal circumstances where the seller has a reserve at, say, 175.05 and you set your snipe at, say, $175. Would it not be in the sellers interest to let you know so that you might decide to "stretch": for the extra nickel?
"If you give and exact amount then they just set thier sniper software for $1 more"
What's wrong with that? Don't you want them to bid MORE than the reserve? Doesn't letting them know the reserve INCREASE the chance the snipe is set ABOVE the reserve?
"If the reserve is too high then they don't bid and you havent generated interest."
That goes without saying. But if it is "too high" the item won't sell anyway.
"Revealing the reserve defeats the whole purpose. Might as well just set that as the starting bid."
I totally disagree. All else equal, a low start with a reserve generates more bids than a high start with no reserve.
"The seller doesn't have any reason to let someone know their reserve, think of this way, if you want a certain price for a coin put a reserve on it, #1 if you don't lose money, and if collectors get into a bidding war they understand a value of a coin, the reserve should be met with no problems, STOP TRYING TO GET SOMETHING FOR NOTHING!!"
Huh?
"I don't understand why anyone does use a reserve. It costs more than starting your bid at the reserve, and just keeps a number of folks, who don't like reserves, from bidding."
Barry. You might be seeing things the clearest so far but I really think that the number of bidders would be higher with the reserve/low start than with the high start/no reserve.
Russ, I agree with you 110%.
"Well I may be interested in the coin but NOT at his reserve price AND I do not want to find it by accident. If he won't tell me I won't bid AT ALL."
"Nearly every coin in every auction has a reserve, whether you realize it or not."
That's a SCARY statement.
Of course, I NEVER use a reserve & in only about 1% of my auctions do I even use a high starting price.
<< <i>Nearly every coin in every auction has a reserve, whether you realize it or not. >>
This thread is about eBay, not auction houses.
Russ, NCNE
If an eBay seller plays games with me, I won't bid.
<< <i>Well I may be interested in the coin but NOT at his reserve price AND I do not want to find it by accident. If he won't tell me I won't bid AT ALL. >>
Of course it is your right not to bid in such auctions. Further, if you only want to buy coins for which you know the reserve I might suggest you'd be better off purchasing coins from dealers whose prices are listed in plain sight so you know exactly what you'll need to pay. Wouldn't that be easier?
As for why an unpublished reserve might be a rational decision, to me its quite simple:
If I am offering a coin and tell you my reserve is 10, you might bid 10.01 even if you might have been willing to pay 12.
If I am offering a coin and don't tell you my reserve, you might bid 12. And even if you are, as you stated, someone who won't bid at all in such auctions I would venture to guess that there might be 1 other bidder in the world who WILL bid.
If I am offering a coin and don't tell you my reserve, you might bid 12. And even if you are, as you stated, someone who won't bid at all in such auctions I would venture to guess that there might be 1 other bidder in the world who WILL bid."
If I'm the only one bidding 12 it still sells for 10 if the reserve is 10.
& how would a bidder knowing a reserve prevent others from bidding?
-It doesn't stop others, but it may discourage the person asking about the reserve from bidding. The bidding fever takes at least two to get it going. The reservist may be one of the two.
Badget
Link to 1950 - 1964 Proof Registry Set
1938 - 1964 Proof Jeffersons w/ Varieties
<< <i>Revealing the reserve defeats the whole purpose. Might as well just set that as the starting bid.
That's a good point. I don't understand why anyone does use a reserve. It costs more than starting your bid at the reserve, and just keeps a number of folks, who don't like reserves, from bidding. >>
On the other hand, it allows people to bid on it so it remains on their Bidding list and also allows a BIN to remain in place.
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since 8/1/6
<< <i>-It doesn't stop others, but it may discourage the person asking about the reserve from bidding. >>
Potential bidders who do ask about a reserve generally come from that camp that refuse to bid without knowing the reserve. The simple fact is that on eBay there are many like this, and the seller costs themselves money by refusing to reveal it.
Russ, NCNE
Russ, NCNE
Of course it is your right not to bid in such auctions. Further, if you only want to buy coins for which you know the reserve I might suggest you'd be better off purchasing coins from dealers whose prices are listed in plain sight so you know exactly what you'll need to pay. Wouldn't that be easier?
As for why an unpublished reserve might be a rational decision, to me its quite simple:
If I am offering a coin and tell you my reserve is 10, you might bid 10.01 even if you might have been willing to pay 12.
If I am offering a coin and don't tell you my reserve, you might bid 12. And even if you are, as you stated, someone who won't bid at all in such auctions I would venture to guess that there might be 1 other bidder in the world who WILL bid.
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My point was that I do not want to accidentally exceed the reserve and obligate my self to purchase the item nor do I want to incur the embarassment of having to retract my bid. If the seller sets a reserve of $200 then he shud be ok with getting $201 IMO.
<< <i>
<< <i>Nearly every coin in every auction has a reserve, whether you realize it or not. >>
This thread is about eBay, not auction houses.
Russ, NCNE >>
But we were talking about REAL, TRUE auctions!
< If you run it as a true auction ( with or without a reserve) >>
If you have a reserve, it isn't a true auction.
Russ, NCNE
I had an interest in one once and asked the seller what the reserve was.
He got downright snotty. Screw him.
Coins are like city busses. Miss one, just wait a little while and another will come along.
Ray
<< <i>There is no rational reason for refusing to reveal it. >>
There are a small number of sellers who set reserves which they consider to be quite conservative. If the sellers were to reveal the reserves, it might discourage bidders from bidding as high/aggressively as they might otherwise bid.
<< <i><< There is no rational reason for refusing to reveal it. >>
There are a small number of sellers who set reserves which they consider to be quite conservative. If the sellers were to reveal the reserves, it might discourage bidders from bidding as high/aggressively as they might otherwise bid. >>
If it's a strong coin, it will attract strong bids even if the reserve is revealed. And, far more eBay bidders will refuse to bid if they don't know the reserve, than the relative few who would bid less aggressively. Right or wrong, this is a fact of life on eBay.
Russ, NCNE
Experience the World through Numismatics...it's more than you can imagine.
I saw a coin you just listed. I would like you to tell me the reserve you have set. I know I could bid with the other Ebayers but I dont like fair competition. Besides I might have to pay more than I want to. This would be good for you, the seller, but as a buyer I want to get the lowest price possible so you should reveal your reserve. This way , if its a real rip, I can set my sniper software to 1 buck more and snipe the people who were bidding in earnest.
Don't misunderstand, if I actually wanted the coin, I would bid what its worth to me. What I really want is to get a rip so I send out this email to 100 sellers and look for a good deal I can snipe and resell.
Thanks for you help, oh by the way, could you also tell me how much you paid for it and what the bottom amount you will accept if it doesn't sell.
Also
please give me your paypal username and password while were at it