Differences in the Types of Auctions That Take Place Around the World

Auctions are those events where properties or goods are sold to the highest bidder. Auctions are mostly public events, where bidders make a series of bids and purchase a particular item for a high price. During auctions, bidders decide the price of an item rather than the seller. It depends on bidders to decide the amount they would want to pay for a specific item. During an auction, a bid is a proof of a legal binding. Bidders agree to pay the amount that they have bid. In a high profile auction, bidders may have to pay a deposit in escrow accounts or give a proof that they can pay for those items.

Types of Auctions:

Different types of auctions take place around the world. Below mentioned are some types of auctions:

1. English auction:
This is a basic type of auction. In this type, people can see the item and then start bidding. Bidders slowly raise the value of their bid until everyone gives up. The highest bidder is the winner. An auctioneer manages an auction, keeps records of the on going bid and decides the winner. Sometimes, the seller will quote a minimum amount for an item to the auctioneer, below which the auctioneer cannot sell that item.

2. Dutch auction:
In this type, the auctioneer sets a particular price and then gradually lowers the price. People in public will start bidding and later decide which prices are suitable for the item. A seller may use this type of auction to sell large quantities of same products to the public. For instance, a seller may want to sell a large amount of hay and will thus, decide to sell this hay to people for the same amount, once a reasonable price is decided.

3. Silent auction:
In this type, the bidders in public will present their bids in a sealed format. These sealed bids open at the same time and bidder with the highest bid wins. There could be a modification in this type of auction. The bidders are allotted a specific period to bid. They can roam in a room displaying the items, and write their bids on an associated sheet of paper. The bidders are allowed to see bids of other bidders and can choose a higher price for an item. At the end of the allotted time, bidder with the highest bid is the winner.

Examples of Auctions:

Auctions can be of two types either public or private. Sellers may trade any kind of items in both types of auctions. Some areas where auctions take place are:

1. Antique auction: An antique auction consists of a trade opportunity as well as provides entertainment.

2. Collectable auction: In a collectable auction, the seller may put up collectables like coins, vintage cars, luxury, stamps, real estate, and luxury for sale.

3. Wine auction: In wine auction, bidders can bid for rare wine, which may not be available in retail wine shops.

4. Horse auction: Bidders can bid for young horses of the best breed.

5. Livestock auction: In livestock auction, bidders can buy pigs, sheep, cattle, and other livestock.

The other examples of auctions may not be public. These auctions are for bidders from corporate levels. Some examples of private auctions are:

1. Timber auction
2. Spectrum auction
3. Electricity auction
4. Debit auction
5. Environmental auction
6. Auto auction
7. Electronic market auction
8. Sales of business auction

Bidders in an auction need to examine the items displayed and decide an appropriate price for an item. Thus, auctions help buyers in getting the best deals and in gaining better profits for sellers.

Home-Based Business Success: 3 Key Marketing Essentials

As the economy waffles along increasing one minute and decreasing the next, and unemployment hovers near 10% nationwide, people are fast realizing that they need to take control of their own destiny. As a result, home based businesses have jumped to the fore as a way for anyone to supplement or replace their income without being dependent on others to provide work.MSNBC recently completed a study shows that 75% of all newly created jobs are directly related to home-based businesses. The US Census Bureau states that 49% of all businesses in the US are home-based businesses. A recent survey conducted by Yahoo revealed that 75% of its user base claimed the Internet helped them to start their own business. These numbers are just skimming the top of a mushrooming trend of people ready to get out of the rat race, and take control of their lives.While it’s great news, that people can take control of their income and their future, there is another alarming statistic we need to recognize. Of all the new home-based businesses started over the last few years, a whopping 97% are failing. That means that only 3 out of every 100 businesses started in America are going to survive. Most of them go down within the first few months. Why is this happening?It takes two essential ingredients to start and run a successful home-based business, customers and prospects. For any business to succeed, there has to be a steady influx of customers to buy your product or service. There must also be a steady flow of leads or prospective customers so you can continue selling your product or service, and grow your business. Knowing this, you can logically deduce that you must have a way to attract and keep your customers.That’s where marketing comes in. Without an effective marketing plan a company is doomed for failure. Marketing is considered by the successful as an essential investment, in money and or time. When done correctly, yields massive returns. Done badly, marketing costs can double or triple, in addition to not attracting customers to your business. While you often hear that companies close because of cash flow problems, the root of those cash flow problems stems from a lack of marketing or bad marketing. Without customers, there’s no business, and naturally, cash flow problems arise. This means budgeting for marketing right from the beginning.Use the following three powerful and effective marketing strategies to help ensure your business success:1. Offer Value
Marketing your business properly is a key component of having a successful business. Some people claim that instead of marketing, they on word of mouth and referrals. In today’s parlance, this has become known as viral marketing, and it can be extremely powerful in today’s marketplace. If you provide top-notch customer service that not only encourages customers to return, it also influences them to recommend you to others. No matter what approach you take to marketing, you must offer your customers value. If they do not feel like they have received anything of value then they are unlikely to return, and very unlikely to recommend you to others. On the other hand, great customer service, drastically increases the likelihood of them returning and referring.2. Use Social Networking
When you offer great customer service as well as implied value, you can then turn to the social networking sites to exponentially increase your market presence. Sites like Twitter and Facebook are uniquely designed to allow Internet marketers to exploit the power of marketing through these social networking sites.3. Offer a “Loss Leader”
Another key way to draw customers in attract customers is to offer a “loss leader”. What this means is, you offer something at a discounted price, or for free, to get prospects to your site. Once there, you give them a reason to buy, i.e. you offer something of value to them, and then you provide excellent customer service. Marketing your business can be done in many different ways. If you are not marketing savvy and know how to market a business, then take the time to learn using the Internet, reading books, or attending sessions offered by the experts. Marketing your business is key to your survival and to your success.What are you waiting for, get out there and start promoting your business today!

How Important Is the Fundraising Auctioneer to the Success of Your Event?

I want you to think about the term “Fundraising Auction”.

A “Fundraising Auction” is an event where items of value are gathered, and then sold in a competitive bidding situation, either in a Silent Auction format, or in a Live Auction format by a Live Auctioneer. And since typically the best items are saved for the Live Auction, arguably it is the Live Auction that should generate a significant portion of the proceeds in any Fundraising Auction.

So why do so many non-profit groups consider the Fundraising Auctioneer to be the least valuable component in a Fundraising Auction?

The Hosting Facility gets paid.
The Printer gets paid.
The Caterer gets paid.
The Liquor Store gets paid.
The DJ gets paid.
The Florist gets paid.
But the Auctioneer … the individual who is expected to raise the lion’s share of the event’s proceeds… is expected to work for Free. And is usually under-appreciated for the professional services he/she provides.

I’m not trying to underscore the value of the invitations & programs, food, booze, music, and decorations. All are important in their own way. But each of these are “Expenses”. It is the Auctioneer who is going to bring “Revenue”… and thus, the “Profits”… into any event. Which is the ultimate objective of any Fundraising Auction.

Here is a real-life example of how under-appreciated the Auctioneer can be. In two comparable events we worked last year, during the dinner portion of the event one non-profit group sat the Auctioneer (me) at a table with the DJ, the Interns, the Volunteer Staff, and other event “Help”. The 2nd non-profit group sat the Auctioneer (me) directly next to the CEO of their organization, where we chatted about how important the pending revenue would be to their organization. Which group do you think valued the services of the Fundraising Auctioneer more?

Don’t ever under-estimate the value that a professional Fundraising Auctioneer can bring to your event. The Auctioneer adds value as a pre-event consultant. And the Auctioneer can change an event from a moderate to a huge success.

A Case Study Once I was scheduled to call an Auction for a major local non-profit group. They represented a very good cause and they had a strong and dedicated following. Their event was sold out, quality Live & Silent Auction items had been solicited, and the Special Pledge Appeal had been choreographed and was ready to go. The facility was first class, the appropriate caterer was booked, and the food was ready to cook.

But quite unexpectedly, some unseasonably inclement weather forced the event’s cancellation. Despite all of the committee’s hard work, cancelling the event was the proper decision considering the circumstances.

So the Event Committee scrambled to re-schedule the event for the following weekend.

They confirmed with the Hosting Facility.
They confirmed with the Caterer.
They confirmed with the Liquor Store.
They confirmed with the DJ.
They confirmed with the Florist.
Since they already had the Mailing List of those scheduled to attend, no new invitations had to be printed as all were contacted by email or telephone. So with everything in place, the group went ahead and re-scheduled the event for the following weekend.

But guess who they failed to confirm? You got it… the Professional Auctioneer. They thought so little of the Auctioneer’s contribution that they “assumed” that the Auctioneer would be available and at their beck and call.

But the Auctioneer already had another Fundraising Auction booked for that date with another non-profit group. It was only hour away from the re-scheduled event, and things could have been easily worked out. All Group #1 had to do was start their event one hour earlier, or one hour later, than the Group #2, and the Auctioneer could have helped both groups on the same day.

But because Group #1 failed to anticipate a possible Auctioneer conflict, because they failed to confirm with the Auctioneer before re-scheduling their event, their preferred Auctioneer had to bow out and they had to scramble to locate substitute “Volunteer” Auctioneer only days before their event.

And it cost them.

Learning Points

The Live Auction is usually where the profits are made at any Fundraising Auction.
A Professional Fundraising Auctioneer can be vital to the success of any Fundraising Auction.
The better Fundraising Auctioneers usually get booked quickly.
You need to recognize the important contributions that a good Auctioneer can make to your event.
Michael Ivankovich is a Bucks County Fundraising Auctioneer based in Doylestown PA, and serves the Great Philadelphia PA area. He has been a professionally licensed and bonded Auctioneer in Pennsylvania for nearly 20 years, has been named Pennsylvania’s Auctioneer of the Year, and has considerable experience in conducting Fundraising Auctions. Michael loves helping groups raise needed funds for good causes and one of his specialties is the “Special Pledge Appeal” or “Fund-A-Cause Appeal” which usually enables clients to double their revenue in a single evening.


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