By Lewis Findley on Sep 5, 2019 10:02:32 AM
The biggest myths in auctions
Contrary to popular belief, what you may believe about auctions may not be true!
We've taken out the myth buster to destroy previous notions of the auction industry.
By the end of this post, you'll have a clear understanding of how auctions work and how they can provide a great alternative for both buyers and sellers.
Kicking off our countdown is the belief that you can only buy luxury items at auction.
Myth 1: Auctions are only for luxury items
What ultimately steals the headlines are stories like this:
Auctions aren't just for luxury items, they are more than that.
Auctions present a great route to market for a plethora of goods ranging from consumer goods like clothing and electronics to trade and industrial items such as retail returns, liquidations, bulk items and more.
You'll still find auctions of luxury watches, jewellery and classic cars but you can also find everything in-between those extremes.
Myth 2: You can only buy second-hand goods
It's not uncommon for shoppers to believe items listed in auctions are second-hand or even broken.
Auctions consist of a variety of items ranging from returns all the way to brand new across an array of categories.
The good news is that auctions are continuing to diversify. For example, the different ways that you can get involved such as online. This is attracting new vendors and bidders for being a new alternative to online selling and buying.
If you're new to online auctions, check out our guide: How Do Online Auctions Work?
Myth 3: Auctions are a last resort
Why do people sell at auction? A new route to market? A last resort?
It's not uncommon for the latter to be believed but it actually has a name! It's called the triple Ds which stand for death, divorce or debt.
Russell Crewe illustrated this with his famous auction called the "Art of Divorce". You can read more here: Russell Crowe cashes in at Art of Divorce auction.
Fortunately, the triple Ds are not the only reasons why people sell at auction! There are endless reasons for you to participate and they are closer than you think!
Myth #4: Auctions are on-location events
When you think of auctions for the first time, what do you think of? An auctioneer in the room, or even in the street, talking at an increasing speed until they bang the gavel down shouting SOLD?
That isn't always the case and the emergence of timed-online auctions have revolutionised the world of auctioneering as we know it.
Now? You can bid from the comfort of your own home or even through your smartphone, wherever you are in the world. Check out these auction tips:10 Tips for Bidding in Online Auctions.
Myth #5: It costs a fortune to sell at auction
The cost to sell at auction can vary from auction to auction house.
They can charge the seller a fee of up to 25% on the item's hammer price.
At William George, we charge 0% seller commission. This means that you keep 100% of the hammer.
Of course, there are many other benefits to selling at auction with us. Check out our guide here: Selling at Auction.
As auctions become increasingly popular, we hope this myth buster will help to demystify the world of auctions for anyone who is considering to get involved.
If you enjoyed the article then hit the comments and start a conversation.
If you want to start your auction experience, or even get an idea as to how they work, hit the button below!