Different Types of Auctions
The previous section described a normal eBay auction. eBay offers some variations on this traditional auction format, however. These variations include the following:
- Reserve price auction. In this type of auction, the seller sets a higher "reserve" price above the initial bid price. The item doesn't sell until the reserve price is met.
- Buy It Now option. This is a traditional auction where the seller offers the option of purchasing the item at a fixed price before the end of the auction. (The Buy It Now price must be 10% higher than the initial bid price.)
- Fixed-price listing. This is a non-auction listing in which the item is offered at a set price; the first buyer opting to pay this price buys the item.