If you set a reserve, thats the minimum anyone bids.
If you dont set a reserve, you are legally bound to accept any offers. Defaulting to do so would make you liable for either account closure or 20% fine.
Now comes the question of whether some people will set a very high reserve. Well you can have a panel fo experts to check that and make the seller lower the reserve if need be (like sedo does).
I'm not sure if I'm missing something but if a reserve is met than there should be no buyout clause, something has to be binding. If i want to sell my domain for $100.00 ( While realizing that this would be mostly a domain resellers auction) than once someone bids $100.00 the sale is binding at that point because that is the reserve. It is sold. I cannot back out.
As far as I know this was the first LLLL auction. I think it's a good concept, a few wrinkles can be ironed out such as timing, types of buyouts, ect.. If there is to be another auction, it would be more solid. Also with advertising, emails, stickies, letters ect... you can possibly attract some possible end-users on certain LLLL names. This can make the auction more exciting.
The LLLL market itself seems to be trying to get comfortable and adjust itself so sellers don't want to sell too low and buyers don't want to be stuck with something they are not too sure about the future with.
I'ts good to allow all types of LLLL's from the ones that are called non- premium to the highest premiums but it's all in how you space them and treat them. In some of the antique auctions they have the "box lot" section, this is usually the cheap fun stuff so to speak that are sold with no reserve or a very low reserve. Perhaps setting an automatic reserve of say $40.00 (hypothetical, whatever the min wholesale is estimated to be) for the 'non premiums' at which point $41.00 the domain is sold. This way the seller and the buyer know what's up. So if I need some cash and I have 10 non premiums, I would know the minimum i would get if somebody bids and this would speed up the auction while at the same time everyone can participate.
I guess it's not possible (or maybe it is?) but audio would be cool and it will end chit chatter as people would pay attention to the audio, going ..going.. ect... a respectable amount of chit chatter is o.k. as it's all in the fun and ambiance of the auction which psychologically can create more bidding but should be checked to keep at a minimum.
If a reserve listed item meets its reserve it has to sell. Thats really not open to buyout. If the person fails to sell once reserve has been met it should be treated as a default.
If no reserve has been set a buyout clause has to be there and at a figure that is reasonable enough to encourage people to list their domains in said auction. 10% of high bid is too high, thats why I even suggested listing all domains with reserves.
Anyway this is all academic interest now that the auction is over and a new one not planned for now. Probably will be held by NamePros management itself and their rules are already known, so thats cool with me.
I can see the faults and I agree with most of you guys (if not all). I am truly sorry the prices did not reach what they should have. There will definitely be reserves next time. I am going to inquire about using the NP auction script, because people are used to that. I like the rules you guys are talking about.
I would respond to all of the posts but that would take me hours.
Thanks for all of the support. I plan on holding another one (with more feedback from the members here).
bfluid, first and foremost i REALLY appreciatet the time and effort you put into this (and all those that helped you organize and run the auction too).
i am also looking forward to the fine-tunings for the next auction, as i didnt plan to sit on the auction for 4 hours to make $10 in buyouts..... i wanted to win names and was a bit frustrated that they were bought out because i WOULD have bid more but, since none of the other +70 people in the auction wanted the names for more, i won them for the price i did.... which didnt meet the sellers expectations. no offense at all meant to the 2 sellers that chose the buyout option, i can understand their wanting/expecting more for the names, but it was still discouraging.... so, i suppose i am with the crowd waving torches and demanding reserves or higher buyout fees ....
a few suggestions:
a reserve price is optional with the following stipulations....
sellers can choose to submit their domain or packages with minimum reserves. IF they are selected for the auction and the reserve is NOT met, the auction will at least be very short, and the seller should pay the auctioneer a (?$) listing fee for the time and effort. if the reserve is met its sold.
if a seller opts NOT to set a reserve, the buyout fee should be higher. I personally think that it should be a % of winning bid, NOT capped at $5, because a higher buyout fee at least signals to potential buyers that the winning bid has a higher chance of actually getting the name, or at least makes the time and trouble of waiting for, and bidding on, a name more worthwhile if the buyout is higher.
I actually sold one of my lots, #49 if I remember correctly, just to keep the momentum going and welcome one more buyer to the group.
Haven't had a response to the 3 prem LLLL.nets but will sell those too in case the pre-bidder wants them, that is 66% strike rate for me.
I've also heard of other people in this thread completing sales, so I'm assuming that at least a percentage of the list was sold, which can only be a good thing.
Thanks again, repped and have sent you a few np$'s.. Mwzd you too deserve some recognition, thanks to you repped! Can't wait for the next one.. Member of the month nomination... Bfluid !
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