Online auctions are the ones held over the Internet. As opposed to traditional auctions online ones are held at a long distance from their target audience. You can participate in them without any need to be at the venue itself, as you can stake through special computer programs or Internet sites” – that’s the short definition for “online auction” term, suggested by Wikipedia. But what are the specific features of this kind of online business, and what exactly makes it different from traditional kinds of auctions? And why did online auctions become so popular last time?
We are living in the world of top-quality communication technologies, where the information exchange processes speed increases day by day. Lots of conventional things gradually become outdated, and traditional auctions are not the exception of this rule. Just judge it for yourself: the preparatory work before the traditional auction event is rather time-consuming and involves serious costs. You should set the date of the auction, contact auction coordinators, pay the rent for the auction premises, and make the lots kept at the storehouse ready for the event. Besides, you should settle all the necessary formalities. Some auction participants use to arrive for the auction from other countries of the world (as people do in case of worldly famous prestigious Sothbey’s auction events, for example).It is still true that traditional auctions have some indisputable advantages, and, anyway, they are by way of being a long tradition. Taking part in a traditional auction event you feel like a person concerned in high lifestyle, as now it is really something set equal to visiting Opera House or Ballet Theatre.
But if we speak about online auctions, the main goal of which is to get maximum profit with minimum costs, in this relation they are beyond any comparison. Most part of costs are spent for the special software design, as well as its implementation and development. As fast as the new software product starts being used online and becomes popular with the users, the owner’s costs are minimized. And you don’t have to get ready for every single auction event any more, making arrangements and thinking over the details, as everything is happening right here, right now, right at your desk.
How did it start?
Ten years ago nobody believed in eBay’s success. People made fun of eBay founders, and nobody took this kind of business seriously. But thanks to the progress in communication technologies area and faultless eBay company management eBay held out even in that memorable 2000: when dotcoms failed, this company still continued its activities. Today eBay is the world leader in online sales. Some enterprising businessmen took advantage of eBay’s success. As far as they didn’t have any desire to rival this giant online sales company, they decided to modify a bit the existing online auction model, or, to be more precise, to make other auction kinds available online. In this way worldly famous Penny online auction Quibids appeared. Besides, Dutch auctions (famous since the beginning of the XX century, when they were incredibly popular at wholesale flower markets) appeared online. Later the system was updated, and then there was the Dutch shadow price auction Reveal. At the same time the unique bid auctions became the hit of online sales in Britain.
Today there are lots of online auctions, but the problem is that professionals in the area of special online auction software designing can be counted on the fingers of one hand, which is a rather disappointing fact. In 2008 we launched our first software product Merkeleon. It was the first software version that needed improvement, development and updating. Now this product brings profit to our customers. We are proud of the fact that we managed to design the quality software product, able to meet all our customers’ requirements as for its functionality as for its design.
We are sure that online auctions are just at the dawn of being in great demand, and there are lots of ideas that need to be put into practice. On our blog we will tell you about the ideas considered to be the most promising and worth your special attention. We are going to give you statistical data and examples of our ideas application in practice. We are going to tell you about interesting projects we have already implemented, about our own and our customers’ mistakes made while working with special online auction software products and their development. We will try to avoid posting non-informative articles, suggesting you only useful and suitable information that will be able to provide you with so to say food for thought, and help you to know more about online-sales through online auctions.