Bidding is the main advantage of the auctions. The opening price is determined by the seller and then depends on which of the bidders will offer a higher amount.
The minimum amount by which you can increase the bid is called a "bidding increment". Usually, a bidding increment is $1 (100 yen), but it can be up to $10 (1000 yen).
Normally, the price is increased by a bidding increment, but items may have a Buyout Price. This is the price at which the seller is ready to sell you the item without step-by-step bidding process.
If you offer a Buyout Price, the auction closes automatically, and you win the item.
Let's look at an example.
You decided to buy a Japanese Daikin air purifier through an auction, which has a nice price of $200 (20,000 yen).
The opening price is $200. You place a bid at minimum price $200. However you are not the only one interested in purchasing this purifier. If another bidder offers $210, you will be easily outbid. And if there is no other bids, this person wins the auction.
To avoid that and get the item you can place your maximum bid, for example, $400. In that case your bidding price will be $220, not $400.
The auction system will automatically increase the price for you by bidding increment $10 until the maximum bid $400 is reached. You don't have to do that manually.
For example, if the current price stops at $250 and there are no more bids from other bidders, you win the purifier for $250, not for $400.
Usually an auction period is limited to 6 days. If by the closing time you are the highest bidder, you win the auction and take the item.
Samurayushka highly recommends to place your maximum bidding amount from the start. The auction maintains bidding, increasing your bidding amount automatically without revealing your maximum bidding amount to other bidders.
Auction Between Customers
If the highest bidder is our customer, another customer can place a bid anyway. In that case customers compete against each other.
The current price will remain the same at the original Yahoo page. Bidding is held on our site according to the auction rules. The difference in price in this case is a commission and goes to our company's account.