The Art of the Deal: Auctions 101

by Carlos Hernandez

We've all been there before. It's past midnight on auction night, and instead of being asleep, you've got a telephone to your ear, cursing the redial button and trying to dial quick enough to get past the constant busy signal.... This scenario sound familiar? Generally you're faced with two choices; either you give up, try to sleep, and hope for the best, or persevere with your phone into the night. But what if I told you there were proven strategies you could use to both get that wanted Bat-item while not losing any of that beauty sleep. Interested? Then read on...

When bidding, I generally choose between two approaches; depending on the item, it's condition, the minimum percentage of bid increase, and who's auction it is. The latter may not seem all that important but believe me it does make a difference. Case in point; if you stick with established dealers, e.g. Toy Scouts or Hake's, you generally will have no problems. But some other auctions  have a history of "discrepancies" when it comes to descriptions of item condition. They'll say an item is near mint, only to find out later that it's VG at best. They'll always take back the item, but you're still stuck with the hassle of returning it, much less the long distance calls and time. To get around this, I recommend always calling and getting a detailed description before the auction; even when one is provided in the ad. Taking the time to do so will avoid any misunderstandings come auction night or subsequent surprises when your package arrives. It should also go without saying that you should always know what you're bidding on. Be familiar with the particulars of the items such as the pieces it brought, the box, and it's "age" (hint: just because something is marked NPP 1966 does not necessarily make it a "60's" item.) Again, you generally don't have to worry about this unless you're dealing with some small "mom & pop" auction.

But say you've done your homework; you've called and got a satisfactory description of the item and are ready to place a bid. Now what? Well I usually do one of two things, either I hit them with a big bid or just bid what I think the item is worth and forget about it. Both have advantages and disadvantages; again dependent on how much I want a particular item.

The big bid or "neutron bid" as I call it (because it hopefully kills off the competition while leaving the item intact..) generally weeds out the competition and lets you know if there is someone out there who wants an item as bad as you do. Here is where you have to consider whether the bid increases are 10 or 15%. For example, say there is a loose NM Joker music box with an opening bid of $20. So what do you do? First off you ask yourself some basic questions, knowing that your answers will dictate how you will approach it.

You first must see how bad you want it, and as such, how much are you willing to pay. For the sake of this article, lets say you really want it but do not want to pay over $125. Now the hard part; math. Presently there is a bid of $45, you call and blow it up to $100, thus effectively getting rid of all the "bottom feeders". As bids must be increased by 10%, you've left yourself one more bid before your price limit of $125. You call again and some other person has it up to $110; no problem, bid again and it's up to $121. See how easy?

The major disadvantage to this type of bidding is evident in that you generally don't get too many "steals". On the flipside though, you don't spend the better part of an evening with a receiver to your ear worrying about the price of an item you really want. You just make your bid, call back once to check on it once, then off to bed.

The alternative to this approach is the one shot, bid what I'll pay, maneuver. This is good when you know beforehand you have plans auction night and don't want to be bothered with trying to get to a phone. Here you really have to ask yourself what the item is worth to you, then have the self control not to check on it. Most auctions now end at midnight or until 15 minutes pass without a call, so in truth you can count on them usually running about an hour or so more. That is of course unless you deal with Hake's, who's auctions are infamous for going until the next morning.... So don't waste your money calling every hour (unless you want to). After you've made your bid, wait until around 10 or 11 to check up on it, then you know if your still in the hunt or your bid has been left by the waste side. Best thing to do in situations like this is to bid what you think the item is worth, then leave it. That way you eliminate the tendency of getting wrapped up in the "chase"; only to later realize you've paid way over the item's worth. Of course there's always the good ol' fashioned approach, where you immerse yourself in the middle of it and call to your heart's content ....

In closing, if there's one thing I can not stress more is to be prepared before you bid. Know your item and be ready to ask questions if you don't. Familiarizing yourself with what an item is really worth; knowing it's relative "scarcity" and overall completeness, will provide you the power to make a realistic bid and hopefully give you the advantage over less informed individuals.

*Next issue: I'll continue the series with strategies to use when faced with people who are "civilians" and want you to make an offer on their bat-pieces.