Auction Terminology You Need to Know

Introduction
Understanding auction-related terminology is essential when buying or selling websites through readyFlips. This glossary explains key auction terms to help you navigate the process with confidence. By familiarizing yourself with these terms, you can make informed decisions and maximize your auction experience.

1. General Auction Terms #

Auction #

• A process where a website is listed for sale, and buyers place bids to compete for ownership.

Bid #

• An offer made by a buyer to purchase a website at a specified price.
• Example: Placing a bid at $200 means you’re offering to pay that amount for the website.

Bid Increment #

• The minimum amount by which a new bid must exceed the previous one.
• Example: If the current bid is $150, the next bid must be at least $160 with a $10 increment.

Winning Bid #

• The highest bid at the end of the auction, securing the website for the bidder.

2. Pricing Terms #

Starting Price #

• The minimum price at which bidding begins for an auctioned website.
• Example: Most readyFlips auctions have a starting price set at $149.

Reserve Price #

• The minimum price that must be met for the auction to result in a sale. If the reserve price is not met, the seller is not obligated to complete the sale.

Buy Now Price #

• A fixed price allowing a buyer to purchase the website immediately, bypassing the bidding process. This price is typically higher than the reserve price.

No Reserve Auction #

• An auction without a reserve price, meaning the highest bid wins regardless of the amount.

3. Auction Timing Terms #

Auction Duration #

• The time period during which an auction is live and accepting bids.
• Example: Auctions on readyFlips typically last 7–14 days.

Countdown Timer #

• A visual timer showing how much time remains until the auction ends.

Automatic Extension #

• A feature that extends the auction’s duration if a bid is placed in the final moments. This prevents last-second bidding wars and ensures fair opportunities.

4. Buyer and Seller Terms #

Bidder #

• A person participating in an auction by placing bids on listed websites.

Winning Bidder #

• The bidder with the highest offer at the auction’s conclusion, securing the website.

Seller #

• At readyFlips, the seller is always readyFlips, as we operate as the sole provider of auctioned websites.

5. Transaction Terms #

Deposit #

• A portion of the payment made to secure a winning bid. The remaining balance must be paid within the specified time.

Payment Window #

• The period after the auction ends during which the winning bidder must complete payment.
• Example: readyFlips requires payment within 24 hours of winning an auction.

Relisting #

• The process of listing a website again if the winning bidder fails to complete the transaction.

6. Special Auction Features #

Proxy Bidding #

• A system where a bidder sets a maximum bid, and the system automatically increases their bid incrementally to maintain the lead until their maximum is reached.

Shill Bidding #

• The act of placing fake bids to inflate the auction price. This is strictly prohibited and non-existent in readyFlips auctions, as all auctions are conducted in-house.

Final Price #

• The price at which the auction concludes, determined by the highest valid bid.

7. Post-Auction Terms #

Website Transfer #

• The process of transferring ownership of the website to the winning bidder, including files, databases, and domain.

Migration Assistance #

• Free support provided by readyFlips to transfer the purchased website to the buyer’s hosting environment.

Conclusion
Understanding these auction terms will help you confidently navigate the readyFlips auction process. With a clear grasp of concepts like reserve price, buy now price, and auction duration, you’ll be better equipped to bid wisely and secure your desired website.