Thursday, July 23, 2009

Some people are just nuts

This auction on Swoopo is right now at $31.32 -- and still going! The insane part is that the auction is for 50 Swoopo bids worth 60¢ each: the whole package is worth $30 at the absolute maximum. It even says so right on the auction page: "Worth up to: $30.00". But several people are still bidding.

Now it's $33.72. Sigh. What will happen next in the world of penny auctions?

3 comments:

  1. Wow. I mean wow. Reminds me of a time late last year when yields on some U.S. Treasuries went negative. However, with Treasuries there are several justifiable reasons why investors would pay more for them then they are worth on paper (and these reasons are beyond the scope of this comment). However, with Swoopo auctions I can't see any justifiable reason for buying bidpacks for more than they are worth.

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  2. Just an FYI - there were 59 bids placed after this Swoopo bidpack reached its retail price. Meaning people collectively spent $35.40 for the privilege of getting a bad deal on this product. Either they just love Swoopo or they all accidentally set their bidbutlers incorrectly.

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  3. Those were single bid! 59 times people said, "Do I want to pay 60¢ for the chance at grossly overpaying for more bids? Why, yes, yes I do."

    I'm still thinking about this issue.

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