All other things equal, the price you pay for each bid in your bid account is the single most important factor when bidding on penny auctions. Why? The less you pay per bid, the more bids you can spend and still have the same invested as other bidders.
Let’s assume that you spend $100 for 100 bids and your competitors spent only $200 but got 400 bids.
- Your initial investment is only $100
- Your competitors who had to spend $200. You save money up-front.
- Each time you bid, it costs you $1.
- Each time they bid, it costs them 50 cents.
- Your competitor will be able to outbid you by 2x and still have the same amount of money invested in the auction. Essentaily, they have twice the buying power.
The moral of this short post is simple- Take advantage of bulk pricing to increase your bidding power. Most penny auction bidders prefer to dip their feet (buy small bid packages). While this feels like a safe move, it actually puts them at a big disadvantage when in a competitive bidding environment.
What are the most common ways to get bids cheap?
- Buy bids while signing-up (penny auctions give bid discounts at this time)
- Bid on penny auctions for bid packages. That’s right, many penny auctions offer penny auctions for bid packages themselves. It may seem senseless to take part but this is where great bid discounts can be found.