What is a Penny Auction?A penny auction is a type of all-pay auction in which participants prepay a non-refundable fee for each bid they enter. Each bid raises the price by only one cent, thus the name of the auction. The clock restarts each time someone enters a bid and as the auction progresses the restart time decreases. The auction ends when the last participant to place a bid wins the item and also pays the final bid price, which in most cases is much lower than the retail price.
The auctioneer has two ways of making money: with the sale of credits needed to enter bids and of course from the amount of the winning bid. So many people would love to own iPads and other expensive gadgets but with these uncertain economic times, who can afford them? Penny Auctions are a popular way to acquire these things without paying an arm and a leg for them, because most auction winners save up to 90% or more off retail. You just have to be careful not to go into an auction without a strategy and a budget. In the heat of the moment, things can get out of hand pretty quickly and you could end up spending a whole lot more than you had anticipated. |
How can I make money here?There are a couple of ways to make money from penny auctions. If you are a member of SFI you can sell TCredit packs and earn pretty good commissions because most people who participate in penny auctions will buy TCredits regularly. That means you can earn residual income, the best kind!
The other way you can make money is by selling an item you have won. You can make a tidy profit from the sale given that most auction winners get popular brand-name items for up to 90% or more off retail. At TripleClicks the TCredits you use to bid on a Pricebenders penny auction can cost as low as .29 cents each, depending on which TCredit Pack you choose to buy. To level the playing field, they have auctions for newbies who have never won an auction; intermediates who have won up to nine auctions; unlimited auctions for hard-core bidders, who can sometimes be pretty ferocious and highly competitive; and regular penny auctions where anyone can participate. If you are not familiar with penny auctions, you should go and observe a few first. And while you're there, enter the hourly T-Time contest to win a few free TCredits. Then, when you are ready, you can use them to bid on something less popular to begin with and, as you become more experienced, you can bid on the more popular items. At TripleClicks, even when you don't win an auction you are still a winner, because each TCredit you use gives you 5 TripleClicks Member Reward Points (MRPs), or 10 MRPs in a 'Double MRP' auction. You can use those MRPs to buy more TCredits or many other products in the store. |