posted on June 14, 2004 05:08:03 AM new
I just happened to come across an item in my search that is being sold via the eBay live auction hybrid. I normally wouldn't have even looked at the description, but it was an auction house near me, and I found the terms interesting. In addition to the usual hoo-ha about shipping fees, etc. was the buyer's premium. Now, this auction house has a 17.5 percent buyer's premium (or as one of the trade papers used to more accurately describe it, buyer's penalty). However, for eBay live auctions, the premium is 22.5 percent. My guess is that they are doing this in order cover their eBay fees in case the item is sold through eBay, and in reading these terms, apparently ok with eBay.
So, maybe it would make sense for other eBay sellers (at least those with big-ticket items) to set up a "live" auction in their garage, then skim the buyer's premium off eBay as well.
This is pretty much just tongue-in-cheek, since looking at closed auctions, it looks like most of these still wind up going to floor bidders, and most savvy buyers will just do a left bid at the auction house, which is a free service (at least so far).
