The auction begins and there are bidders on Platform X, other bidders on Platform Y, and yet other bidders on Platform Z. In addition, there may be live bidders, absentee bidders, phone bidders … and the auction starts.
While the argument may be that this maximizes the exposure for the seller’s property, the potential problems seem real. For instance, what if one or more platforms (Platform X and Platform Z, for example) declare a lot “Sold!” to each of their different bidders?
Or, one platform shows a high bidder at $2,500 with no apparent reason to bid again, while another bidder on another platform bids $2,600, and this $2,500 bidder is not notified within sufficient time — or at all — that’s he’s out?
We wrote about terms addressing this issue, which seemed confusing and almost patently unreasonable at first sight: https://mikebrandlyauctioneer.wordpress.com/2020/06/06/youve-got-to-be-kidding-me/. Yet, the practice continues.
Indeed there are those who manage multiple platforms successfully. If you are an auctioneer desiring to sell live and then with multiple online platforms simultaneously, be sure to secure someone competent to manage, and/or be sure property is not being “Sold!” to more than one bidder, nor otherwise allow bidders to think they are they the high bidder when they are not.
Further, we’re contacted somewhat regularly by bidders who are notified they “may have won” an item — indicating either they have won — or haven’t won — without the opportunity to bid any further to actually win if they haven’t. https://mikebrandlyauctioneer.wordpress.com/2018/06/01/auction-bidders-are-told-they-may-have-won/.
This issue stems from some platforms taking over the closing of the auction [any particular lot] from the auctioneer. This amounts to having two or more auctioneers bid-calling at the same time on the same lot, both possibly saying, “Sold!”
It appears to us that if there is any risk of actually saying, “Sold!” to more than one person for any lot, that property should be limited to solely one online platform, with additional bidding live, absentee, or by phone. For that matter, with a live auction with online bidding (simulcast), there is a risk of the same if mismanaged.
In the last 12 months or so, we’ve had dozens of phone calls and emails regarding software noting the inquirer is the buyer, only to be told later that some other bidder was actually the buyer. The question usually regards, “If I was told I was the buyer, how am I now not the buyer?”
Some auctioneers ask me why bidders have problems with such issues, as “life isn’t perfect” and “they have to understand.” I agree life isn’t perfect, but in virtually no other retail environment do vendors sell the same item to two different persons.
Let’s further consider Platform X, Platform Y, and Platform Z. We use all these platforms because we want all these bidders, right? So none of Platform X’s bidders also use Platform Y nor Platform Z? For that matter, do you really need all these bidders? Do you only need certain bidders?
While we’re always trying to maximize the bidder pool, at some point the cost of one more bidder exceeds the benefit. We’ve analyzed this phenomenon more than once:
1. https://mikebrandlyauctioneer.wordpress.com/2010/01/12/auctioneer-looking-for-alpha-and-beta/ 2. https://mikebrandlyauctioneer.wordpress.com/2019/04/01/auctioneers-alpha-and-beta-and-more/ 3. https://mikebrandlyauctioneer.wordpress.com/2021/12/03/auctions-and-the-chances-of-alpha-and-beta-etc-2/
It seems with the proper marketing — including targeted marketing on social media and related — that the “right” bidders would find the one platform, rather than the auctioneer feeling the need to use various platforms to find those same bidders.
In summary, it appears the cost likely outweighs the benefit when an auctioneer is using more than one platform if more than one can possibly denote “Sold!” to two or more different bidders at the same time. And rest assured, my phone will ring in less than a week with yet another story of this exact — avoidable — predicament.
Mike Brandly, Auctioneer, CAI, CAS, AARE has been an auctioneer and certified appraiser for over 30 years. His company’s auctions are located at: Mike Brandly, Auctioneer and Goodwill Columbus Car Auction. He serves as Distinguished Faculty at Hondros College, Executive Director of The Ohio Auction School, and an Instructor at the National Auctioneers Association’s Designation Academy and Western College of Auctioneering. He is faculty at the Certified Auctioneers Institute held at Indiana University and is approved by The Supreme Court of Ohio for attorney education.
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