The thinking behind Fixed Price Offers
This is one part rant, one part genuine question, feel free to downvote or tell me to get lost, whatever... I've just been confounded for so long by this behaviour that I'm finally asking other trademe members about this, because I simply don't get it.
We all watchlist auctions that we don't intend to purchase. Most are 'start = reserve'. sometimes, they fail to sell week after week.
My question is - why do the majority of sellers put up fixed price offers higher than the reserve in which no-one was interested?
Is this some clever tactic the logic of which has escaped my average intelligence?
Thanks for reading, have a nice day. :-P
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Gary-NZStocked Community Superuser
Offering a fixed price offer higher than s/r is an indication the seller wants people to bid, and that they won't get it cheaper by waiting for a fixed price offer. It doesn't apply to you if you are not wanting to purchase, but a genuine buyer would get the message and place a bid next time.
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What it means is that the seller set the s/r price lower than what they hoped to get. I do this, because getting a bit of a momentum in an auction, started by a low reserve, can boost the final price. The extreme example of this is $1 reserve.
There's a risk in this, because you might only get one bid, and the item sells for less than you wanted: if so, you accept that your wanted price was too high, or it was a bad week for selling that kind of thing. But if you get no bids, then you might, at least the first time, offer it at the lowest price you'd be happy with, which is above the reserve.
I'm no expert, but this seems a fairly reasonable set of reasons for doing that. Of course, when I've been watching an auction and see an offer like that, sometimes I think "You're pretty ambitious, friend." But goods have different values to different people, for quite sensible reasons: for one buyer, the trade might be over a generic, fungible widget; for another, it is an apparently ordinary item that has one specific uncommon feature that just fits their needs.
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Just like to know when is the system notify bidders/watchers about the fix price offer?
Is it x number of days before the listing ends or the system notify bidders/watchers when the listing ends?
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If I understand what you're asking, Trade Me doesn't do automatic Fixed Price Offers. If the auction ends without the item selling, the Seller is automatically notified by TM, and given the option of relisting, or making a fixed price offer. Normally it goes to people who've bid, or have the auction on their watch list. People who have had the item on their watch list are notified when the auction ends, and invited to contact the seller to request a re-listing or a Fixed P. O. It all depends on the seller, ultimately.
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Sometimes I have given stupidly high FPO's to watchers as I just want them to go away due to them being serial watchers who have no intention of buying the item regardless of the price, be it 50 cents or $50. These are watchers that have been watching every time an item is listed for years. Even after they have been blacklisted for being stalkers, they still watch. Yes, I treated them as genuinely interested buyers to begin with, but after they didn't respond to FPO's and continued watching, it got old very fast. I have just complained to Trade Me once again regarding a certain watcher that I blacklisted over 2 years ago that is still watching my trades. I no longer make FPO's to the genuine watchers for these listings as 14 times out of 15 the watcher is the blacklisted person wasting my time. If a person is blacklisted they can't bid, this should apply to watching too. It doesn't stop them looking at an auction to see what it sells for, they just shouldn't be able to put it on their watch list.
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I have a serial watcher. It has been going on for months. Just watches, never bids. So I created a listing just for her lol, and nope that didn't work. Mentioned to trade me but not much they can do, so I blacklisted and guess what... this trader is STILL adding my listings to her watch list. Actually very off putting listing any items now.
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Hello I'm Duncan.! I'm just querying about these fixed price offers as I'm still learning about trademe and buying and selling items. I'm currently selling a couple items. However I was mixed emotions about what the charge fee would be to me/for me to have to pay to trade me/buyer? Can someone please help explain this process to me?. Would be appreciated.! Thank you.!
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Gary-NZStocked Community SuperuserEdited
Duncan a fixed prce offer (FPO), is just like any other sale in that the success fee is paid when the item sells. If you had 2 for example and one sold with res met or Buy Now and one sold by FPO, you pay a success fee on each sale. All selling and other fees are paid to Trademe directly from your Trademe account. Listing fees are automatically taken from your Trademe account when you list and sale fees are taken when something sells. It's an automatic system.
The fees vary based on what category the item is listed in and all the differences are detailed on the Fees page of the online help pages.
FPOs in addition to a sale from the same listing are great if you have paid listing or promotional fees as effectively you have spread the fees between the 2 sales. Each still has it's own success fee thoiugh of course as there are 2 sales.
Marketplace fees – Help - Trade Me
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