auctions The Final Minutes of a Auction Win for $22k

[drewwash]

Recorded this video for our documentary and I doubt it will make the cut. So I tweeted it and thought it might be a fun/interesting video to watch.

We have our max bid in for $22,000.

Three different bidders have bid over $16,000 and in the last moments a new bid comes in taking it right up to our max.

Inside info... the maximum amount that I approved with my wife was $9,800.

https://twitter.com/drewwash/status/1035659311530143744

 

[urlurl]

i don't tell my wife the purchased amount... until i sell the name

 

[wwwweb]

Not show if it shows, but there were 4 of us over $20k. Not 100% sure what could have changed. The losing bidder only made a single bid waiting until like $21,500 to bid.

I have had offers on the domain since the auction. I'm happy to have it at $22k. Would have preferred $9k or $12k, which were my earlier bids. But there were like 9 bidders at like $15k.

Curious what part of the strategy was foolish? Without a constructive piece to that it is just pointless criticism.

I say your strategy was foolish because if you had time to watch the auction, by placing your top bid out there, you were putting a target on your back.

Basically you allowed them to keep bidding, trying to find your limit. For whatever sick reason there are bidders on godaddy that will try to go right up to your proxy, and then bail. If you have time, simply bid the lowest amount increment, and try to time them out with a distraction. Don’t just place a high proxy, and let someone keep poking it.

 

[wwwweb]

Nice video. Intrigued to know what the name is.. I can't see it on my phone. If you can share then please do otherwise I'll have to wait 'till I can get to a computer. Congrats on winning the auction.

Domain was photobooths.com just shy of $22k, seems kind of rich, someone bid you right up to your max, I would say foolish strategy if your watching it.

 

[JB Lions]

I say your strategy was foolish because if you had time to watch the auction, by placing your top bid out there, you were putting a target on your back.

Basically you allowed them to keep bidding, trying to find your limit. For whatever sick reason there are bidders on godaddy that will try to go right up to your proxy, and then bail. If you have time, simply bid the lowest amount increment, and try to time them out with a distraction. Don’t just place a high proxy, and let someone keep poking it.

Not necessarily - https://sites.hks.harvard.edu/fs/cavery/Strategic Jump Bidding in English Auctions.pdf

The constant back and forth can just rev up the competitive juices. High proxy bids can sometimes dissuade bids, if every time they do, they're automatically beat by a proxy bid. Opinions differ on this but that Harvard pdf is an interesting read.

I posted some examples in this thread - https://www.namepros.com/threads/pr...enemiesglitter-com.844844/page-3#post-4771246

 

[wwwweb]

Not necessarily - https://sites.hks.harvard.edu/fs/cavery/Strategic Jump Bidding in English Auctions.pdf

The constant back and forth can just rev up the competitive juices. High proxy bids can sometimes dissuade bids, if every time they do, they're automatically beat by a proxy bid. Opinions differ on this but that Harvard pdf is an interesting read.

Godaddy bidders are a different breed, the bidders basically maxed out the top bid. Lots of factors in play, a lack of user id, I myself have had two four figure high bidders not pay for their auctions in the last month alone. These are people playing on the platform without the means to make payments, but bidding like ballers.

The bidders basically made this party pay their max bid based on their proxy bid.

I welcome the study, but by bidding on the platform for over a decade, I tend to trust what I have seen, and learned first hand with direct knowledge to this specific industry, not a generalization.

 

[MediaCode]

Godaddy bidders are a different breed, the bidders basically maxed out the top bid. Lots of factors in play, a lack of user id, I myself have had two four figure high bidders not pay for their auctions in the last month alone. These are people playing on the platform without the means to make payments, but bidding like ballers.

The bidders basically made this party pay their max bid based on their proxy bid.

I welcome the study, but by bidding on the platform for over a decade, I tend to trust what I have seen, and learned first hand with direct knowledge to this specific industry, not a generalization.

This is very true. We "won" a GoDaddy auction that closed above $20,000 after the two highest bidders failed to make payment. GoDaddy offered the domain to us as third highest bidder at $2,000 and change. GoDaddy and NameBio report the domain name sold at $20,000+. Don't always believe the GoDaddy sales reports you see.

 

[Joe Styler]

@drewwash That is a really cool video you just picked up another follower on twitter. I think the name is great. I took at look at the bidding and the bidders were customers we know and are good customers. In the last few minutes auctions get a lot of action as you pointed out. You outbid another person's proxy bid which was a non round number and then someone tried to do the same to you with another odd number as their proxy. I'll share the last couple minutes of the auction history which would have been public information on the site. I will not share any non public info below, except your 22k proxy which you already made public in this thread.

The bids went like this 20777.00 at 11:21:18 AM
22000.00 (your proxy) at 11:22:03 AM which showed publicly as 21027.00 - just enough to beat the last person's proxy. - The previous public showing bid being 18850.00. So publicly on the auction there was a bid of 18850.00 but hidden below there was a proxy of up to 20777.00 which your proxy of 22k outbid by the minimum of $250 as the next increment bringing it to 21027.00. Then another bidder came in with a couple minutes to go in the auction and placed their bid of 21277.00 at 11:26:46 AM which you automatically outbid with your proxy which was the winning bid amount of 21527.00. The important thing to note here is that bidder HAD to place a bid of that amount. The minimum next bid has to be $250 more than the current highest bid shown which was yours at 21027.00. He tried to get in one bid higher than you at the minimum next bid he could make.

He didn't beat you and decided for whatever reason that he was done. It could well be that not knowing your proxy he was scared away because he knew there was a proxy since he was automatically outbid. I can't imagine that someone who bid 21277.00 wouldn't spend 800 more to outbid you if they knew you were stopping at 22k. I think the fact that they didn't know where you were going to stop may have worked in your favor. It is a guess of course. I can't be inside someone else's mind but I think it's pretty likely.

I think the real reason you won it so close to your proxy was because you didn't discuss it with your wife first and Murphy's law kicked in. I know that happens to me. Luckily for me my wife is extremely gracious to me even when I am an idiot.

 

[RickEllwood]

Great business model, I have just watched all nine of your videos that you've added to the challenge this morning, very inspirational. Cheers and keep it up

 

[drewwash]

how did the wife take the news? Mine would would of been changing the locks

She took this one okay.

We've had moments where we had variations in our money allocation priorities.

 

[NickB]

She took this one okay.

We've had moments where we had variations in our money allocation priorities.

Been there and got the t shirt!

Congratulations on the winning bid, love the show of excitement when you you know got it.

 

[~ The 34 Year Buzz!!]

I have never been really interested in the details of retail domain sales, but you certainly make it seem exciting.

...

I have had offers on the domain since the auction. I'm happy to have it at $22k....

photobooths.com
Photo Booths? Awesome, I have a long-time friend from school who runs modern 'Photo Booths' on weekends. they make really good money once you figure out how to get clients for (corporate and other) parties.

 

[alcy]

nice name
did u buy to develop?

 

[drewwash]

nice name
did u buy to develop?

Yes. That is what we do 99% of the time, unless I've been drinking and get bored.

 

[NickB]

how did the wife take the news? Mine would would of been changing the locks

 

[MadAboutDomains]

Nice video. Intrigued to know what the name is.. I can't see it on my phone. If you can share then please do otherwise I'll have to wait 'till I can get to a computer. Congrats on winning the auction.

 

[drewwash]

Domain was photobooths.com just shy of $22k, seems kind of rich, someone bid you right up to your max, I would say foolish strategy if your watching it.

Not show if it shows, but there were 4 of us over $20k. Not 100% sure what could have changed. The losing bidder only made a single bid waiting until like $21,500 to bid.

I have had offers on the domain since the auction. I'm happy to have it at $22k. Would have preferred $9k or $12k, which were my earlier bids. But there were like 9 bidders at like $15k.

Curious what part of the strategy was foolish? Without a constructive piece to that it is just pointless criticism.

 

[drewwash]

We "won" a GoDaddy auction that closed above $20,000 after the two highest bidders failed to make payment. GoDaddy offered the domain to us as third highest bidder at $2,000 and change.

While I'd love to get a domain at that kind of discount, ultimately we valued it for what we paid.

If someone would have bid up and failed to pay, getting it at $22k would have still been fine.

It would be nice to know who is bidding it up, or at least know how long they've had their account... but that doesn't change what I value a domain at.

Might keep the "come in second or third" in mind for domains I'm buying for the fun of it though.

 

[Name Trader]

I say your strategy was foolish because if you had time to watch the auction, by placing your top bid out there, you were putting a target on your back.

Basically you allowed them to keep bidding, trying to find your limit. For whatever sick reason there are bidders on godaddy that will try to go right up to your proxy, and then bail. If you have time, simply bid the lowest amount increment, and try to time them out with a distraction. Don’t just place a high proxy, and let someone keep poking it.

How does another bidder see/know when their bid is right below yours? In order to make the decision to stop bidding? Is there some tell-tail sign for that?

 

[~ The 34 Year Buzz!!]

Great business model, I have just watched all nine of your videos that you've added to the challenge this morning, very inspirational. Cheers and keep it up

No time right now to watch all 9 videos, thanks for your inspiration.

 

[drewwash]

@drewwash That is a really cool video you just picked up another follower on twitter. I think the name is great. I took at look at the bidding and the bidders were customers we know and are good customers. In the last few minutes auctions get a lot of action as you pointed out. You outbid another person's proxy bid which was a non round number and then someone tried to do the same to you with another odd number as their proxy. I'll share the last couple minutes of the auction history which would have been public information on the site. I will not share any non public info below, except your 22k proxy which you already made public in this thread.

Thanks @Joe Styler

Fun to analyze and Monday morning quarterback it.

Auctions are a blast, especially when they get four figures or higher. The added psychological stress adds to the event. I'm always trying to check myself.
- Am I acting irrationally?
- Is this decision based on data or am I a loose cannon?

I believe it sold at a market price just as it should.

 

[MadAboutDomains]

@drewwash very nice name!

 

[alcy]

.

 

[HotKey]

I hope paying 22k for this name, in the plural, you have some buyers/massive development in mind?

 

[.X.]

Congratulations @drewwash ! Best of luck with that beauty.