Auctions

eBay is the largest auctions site on the planet, but a niche auction site can be successful in the otherwise dominated market.

eBay is focused on the consumer market and has a significant share of the corporate environment, but if you focus your auction site on a niche market and make it easy for customers in this space, you will be able to succeed with an auctions website. For example, you might focus your auction site on ATM machines and parts. By focusing in this area, ATM providers and banks could utilize your service knowing that your focus is on them and not spread across thousands of sectors and the consumer space.

Creating an auction site from scratch is a large task, fortunately, there are many software companies out there who have produced software which you can use to quickly setup an auction site. Additionally, there are many hosted software solutions for auctions and you could utilize one of these services to setup your auction website.

The most important thing for your auction site is finding the right customers to use it and pricing your service accordingly. You should understand the typical volume your site might produce, the cost of items sold, and how to price it so that customers will use your service versus a different auction provider.

How do I get started?

First, you need an auction site developed for your company. You can do this by hiring an experienced web developer, purchasing off-the-shelf software and customizing it for your business, or using a hosted solution (typically a monthly fee and/or a percentage of auctions processed).

At startup, you most likely will want to use an off-the-shelf solution or a hosted solution to startup the business. With a hosted solution, you will want to make sure you can export your customer information in case you decide to move to an in-house auction solution – you do not want to lose your customer information to a hosted auction site firm.

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