It's unique bid auction which is a type of strategy game related to traditional auctions where the winner is usually the individual with the highest and latest unique bid by the closing date. Unique bid auction is used as a form of competition and strategy game where bidders pay a fee to make a bid.
Social Auctions is a service for personal and business sellers to offer new or used product at a huge discount. Buyers can compete in the paid auction to win the item at over 95% off RRP but earning the seller over 200% profit.
Unlike traditional auction websites, Social Auctions offers high-end goods at huge discounts that could not be found anywhere else, as each shopper pays to bid so the item can be bought new at over 95% off. The last person who places the latest and highest unique bid by the closing date wins the item at the auction price (e.g. instead of buying a new product at €500+ you can buy from €2+ etc).Mechanism
This type of auction requires bidders to place bids that are global unique bids. That is, for a bid to be eligible to win no other bidder can have made a bid for the same amount. Bidders are generally able to place multiple bids and the number of current bids at each amount is typically kept secret.
In a highest unique bid auction, the bid that is the highest and unmatched when the auction closes is the winning bid. A maximum bid value is set at a much lower level than the actual value of the lot.
The legality of unique bid auctions depends on a combination of governing gambling laws and the design of the specific auction model. If an investigating authority were to determine that randomness or chance plays too large a role in the outcome, the auction may be considered a type of lottery. If, on the other hand, the investigating authority found strategy and skill played a sufficient enough role in the outcome, they may find the auction to be legal. Worldwide, there are no reported cases or statutes specifically outlawing the unique bid auction model.
Under English common law, a lottery includes any game, method, device, scheme or competition whereby money or money’s worth is distributed or allotted in any manner depending upon or to be determined by chance or lot, whether the same is held, drawn, exercised or managed within or without the jurisdiction.Chance or Skill?
Chance means that the result be uncertain, indefinite or doubtful.
Although the role of chance makes a scheme a lottery, unique bid auctions may avoid lottery classification if chance plays only an incidental role when skill is the overriding factor. The legal question becomes whether "chance predominates and is the one outstanding feature". "The exercise of any skill, greater than a mere scintilla, which, looking at the scheme as a whole, has contributed to the successful result, will be sufficient to take the case out of the (English) Act."
A distinguishing difference between unique bid auctions and traditional lotteries, games of chance, and sporting events (gambling) is the absence of an external randomizing device. All cards games, lotteries, raffles and mechanical games typically found in casinos utilize an exogenous device to introduce chance into the game. In card games it is the deck of cards. Lotteries use randomly selected numbers while raffles rely on randomly selected tickets or markers to select the winner. Table games in casinos use dice. In sporting events, the participants in the competition (football players for instance) represent the element of chance since their behavior is outside the control of those wagering on the outcome.
In our unique bid auction, there is no external device that introduces chance or randomness. The outcome of the auction, while not controlled exclusively by one player, is controlled exclusively by the collective group of players wagering on the outcome. And only those participating in the game can wager on the outcome. Skill is the overriding factor since you have a leaderboard of bidders. All bids are sealed (except your own) but you can always see who is on top of the leaderboard (like a strategy game). If you submit the latest and highest unique bid by the closing date then you will be on top of the leaderboard and 100% GUARANTEED to win the auction.
Social Auctions offers a win-win proposition for both buyers and sellers. Buyers get to purchase the high-end goods at a huge discounts (over 95% off), and sellers can make more money with their products - over 200% profit in most cases.Profitability for sellers
Although items worth thousands of dollars can, under some circumstances, be won by very low bids of far less than their value, the auction charges a participation fee, which in an auction with a sufficiently large number of bidders will exceed the value of the item being sold, allowing the seller to make a profit.
For example: If retail price is $100, a seller can set the minimum bid at $2, if buyers pay $2 x 250 bids minus the retail price of $100, the seller can make $400 profit but the winner can purchase at only $2. Buyers can share on multiple social networks so friends can join in the auction contest.
1. User enters minimum unique bid (e.g. $2.07 etc)
2. They click button to pay for their bid with payment processor (e.g. PayPal)
3. On the closing date, the person with the highest and latest unique bid, wins the auction and can buy the item at the price they bid (e.g. $2.07).
Skill is the overriding factor since you have a leaderboard of bidders. All bids are sealed (except your own) but you can always see who is on top of the leaderboard (like a strategy game). If you submit the highest and latest unique bid by the closing date then you will be on top of the leaderboard and 100% GUARANTEED to win the auction!
Buyers can pay via PayPal using their paypal balance, bank account or Credit/Debit card. Card types accepted are Visa, Visa Electron, Mastercard, Maestro.
Yes, the will be redirected to PayPal website or pay via Stripe that has high-security SSL-encoding, the same as banks do, in order to process their payment online.
The seller. This could be via email (if digital or voucher code) or postal (if physical product). Social Auctions is an auction platform for sellers so we are not responsible for non-delivery of products. If you do not get the product, please report it and we could ban the seller from our platform. But always check the comments and feedback before you join an auction.
Thats to the discretion of the seller to accept returns. Because the bid items are bought at such a low cost, some returns may not be feasible.
This is how much the item usually retails for (in high-street shops)..Auction Price
Based on the minimum bid price..Target Price
This is how much the seller wants to earn for the auction..Min bid price
This is the minimum a user must enter to place a bid (e.g. $2 etc)..Max bid price
The max bid price is usually the retail price..Minimum Bids
Calculates amount of paid bids needed to reach target price..Profit
Calculates the amount of profit earned based on retail price, target price and bids needed..Closing date
If auction does not reach minimum bids by closing date, the system automatically extends auction for another 48 hours (indefinitely) until minimum binders are reached (so seller can make profit).
Then contact our dedicated Customer Service Team. They will help you with any enquiries you may have.