Selling cars and motorcycles at an online auction can be an easy and fun way to make money, but it also comes with some drawbacks. One of the most significant issues is the online auction company dictating reserve prices to the Seller in order to list their vehicle. Let’s take a closer look at the problem with dictating reserve prices and why it can be so costly and downright insulting for sellers of cars and motorcycles.
What is a Reserve Price?
A reserve price is an agreed-upon minimum amount that must be met in order for an item to be sold during an auction. This is typically determined by the seller and works as an insurance policy against not receiving enough money from the auction itself. If an item does not meet its reserve price, then the buyer has no obligation to purchase it, and the seller has no obligation to sell it.
The Problem With Dictating Reserve Prices To Sellers
The problem with other online auctions dictating reserve prices is that they dictate to the seller what they think the reserve should be making it uncomfortable and difficult for sellers to get what they want and leaving them without any profit in their pocket. For example, let’s say you are selling your classic car on one of these sites and you set your reserve at $20,000—but they insist on a reserve of $11,000. First off, it’s obvious they are looking at only getting your car sold so they make their commission regardless of your potential loss. That is absolute B.S and wrong. It’s easy to see why this could lead to anger and frustration when trying to sell a car or bike on their platform. Even worse, they all charge a listing fee and if your car does not sell, they keep the listing fee, end the auction, and kick you down the road.
Why Sell With BK Auto Auctions
At BK Auto Auctions we strive to make the listing and selling process smooth, comfortable, and professional. We allow our sellers to set the reserves on their cars or motorcycles. If their vehicle does not sell, we give them the option to re-list again to give the auction a second chance. Nobody else does this except BK Auto Auctions. By incorporating this strategy, it allows sellers to feel at ease and comfortable, not nervous about what their car might bring at the end of auction and what they stand to lose. To learn more click here and find out how to sell with the auction that works for you, not them.
