Learn How to Win eBay Auctions … at YOUR Price!

by Suzanne on August 1, 2008

Do You Wish You Knew More
About How to Win eBay Auctions …

At the Price You WANT to Pay?


My name is Suzanne Franco and I’ve been an eBay buyer and seller for over 5 years now … and I’ve learned quite a bit in that time.

I had someone who taught me the ins and outs while I was getting started and I still made some mistakes … mistakes that cost me time and money!

A couple of years ago I had a business helping Budget air compressor center list their compressors on eBay … and that’s when I realized how many people there were out there who wanted to bid and purchase on eBay … but they wouldn’t actually do it because they were afraid of making a mistake … and afraid of being taken advantage of. They let that fear keep them from getting some great deals on eBay and I don’t want you to miss out on hot deals due to inexperience or fear.

eBay offers a free service for buyers and it’s pretty easy to get your account set up with them. If you don’t have an eBay account you can use the link at the bottom of this page to get yourself registered.

The two most important things to learn about bidding is their “incremental bidding” process and about “proxy bidding.”

The bid increment is the amount by which a bid will be raised each time the current bid is outdone. It is predetermined based on the current high bid. Below is a chart:

Here is how increments are determined:

Current Price Bid Increment
$ 0.01 – $ 0.99 $ 0.05
$ 1.00 – $ 4.99 $ 0.25
$ 5.00 – $ 24.99 $ 0.50
$ 25.00 – $ 99.99 $ 1.00
$ 100.00 – $ 249.99 $ 2.50
$ 250.00 – $ 499.99 $ 5.00
$ 500.00 – $ 999.99 $ 10.00
$ 1000.00 – $ 2499.99 $ 25.00
$ 2500.00 – $ 4999.99 $ 50.00
$ 5000.00 and up $ 100.00

So if a bid is at $1.00 the next allowable bid is $1.25 (bid increment of $0.25). Sounds easy enough but the confusion usually sets in when there are other bidders involved who have placed a “proxy bid” so let’s take a look at how that works.

A “proxy bid” is eBay’s “automatic bidding system” and once you understand it you’ll see that it actually makes bidding much more convenient than watching your auction like a hawk. There’s nothing you need to set up, the system is already in place.

eBay uses an automatic bidding system to make bidding on auctions more convenient and less time-consuming for bidders. There is nothing you have to set up in order to bid in this way. When you bid on an auction style listing you will be placing bids using this method.

Here’s how bidding on eBay works:

  1. When you place a bid, you enter the maximum amount you’re willing to pay for the item. The seller and other bidders won’t know your maximum bid amount.

  2. eBay places bids on your behalf starting with the next bid increment for the auction. eBay will bid as much as necessary to make sure that you remain the high bidder (or to meet the reserve price). They’ll keep bidding for you until bidding reaches your maximum amount.

  3. If another bidder has placed the same bid before you or a higher maximum bid, they’ll let you know that you’ve been outbid so that you can place another bid if you want. However, if no other bidder has a higher maximum bid at the end of the auction, you win the item even if your bid doesn’t go as high as your maximum bid. You could pay significantly less than your maximum price. This means you don’t have to keep coming back to re-bid every time another bid is placed.

You won’t necessarily pay the amount of your maximum bid. eBay will increase your bid on your behalf, using only as much of your bid as is necessary to maintain your high bid position. Your maximum bid is kept confidential (until it is exceeded by another bidder).

Using our example from above, if the current bid is $1.00 you could either place a bid for $1.25 (the next incremental bid) or you could bid $5.00 (the most you want to pay for the item). eBay would place a bid on your behalf for $1.25. No one else knows that your proxy (or maximum bid) is $5.00 ~ the seller can’t see it … the other bidders can’t see ~ JUST YOU. Now, where it gets tricky is if there is another bidder (or several). If you bid the $1.25 and another bidder has a proxy bid of $3.50 it will place your bid of $1.25 but it will automatically place the other bidder’s bid at $1.50 and you will be out bid. Now, if your proxy bid was the $5.00 and theirs $3.50 … it would automatically place your bid for $3.75 out bidding them … but ONLY by the amount necessary to place the next necessary incremental winning bid … it WON’T automatically place your $5.00 bid.

When bidders don’t understand how this works they would swear that some other bidder can see what they are bidding and that they are sitting at their computer laying low for them … and they place a higher bid … EXACTLY at the same time … just narrowly beating them out … every single time they bid … LOL … when it’s eBay’s proxy bidding system hard at work for them.

This takes a few times over to really “get it” so re-read it … and please contact me (honestly) if you need a different or better explanation.

eBay is really fun and addicting once you get the hang of it. I have saved hundreds … if not thousands … of dollars by shopping on eBay. I even purchased one of my cars on eBay and it was an awesome experience. Happy bidding and good luck!

Again, if you’re not yet registered with eBay please use the banner below to get all set up. It’s free and pretty simple to do. Besides, if you use the banner below eBay will thank me for referring you and they’ll throw a “tip” in my piggy bank. LOL

And remember, I’m a “real” person (Suzanne Franco) and I actually enjoy helping others. If you need some help just let me know.


P.S. Would you like some help making money online? Did you know that sites like Amazon and eBay will pay you to help them sell items that are listed for sale on their site? I can show you how I do it k? Click the banner below or contact me here for more info!

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{ 8 comments… read them below or add one }

http proxy list November 23, 2008 at 4:10 am

Hello suzanne.. Here is one of my favorites. I love Ebay. I dont know what it is but I love getting junk in the mail. I used to always get beaten at the last second. I found a way to beat the system with automatic bidding from a third party website. I think the third person was snipping and thats how they beat me! This definitely helps level.


Lorne Campbell - West Yorkshire Editorial Photographer December 1, 2008 at 5:59 pm

Hi Suzanne
Great info on how to use ebay. I live in England and one story I really like is the one about James Blunt (singer) selling his sister on eBay. Best of all the story is almost true, so I guess you can sell or buy just about anything on eBay.


Proxy December 24, 2008 at 4:19 pm

Use proxy.my to surf youtube and other social sites in your college and workplace.


Kash @ Tax calculator May 2, 2011 at 1:51 pm

Look for the listing with pictures missing, and listings with poor description, -these usually get sold at a less price. Before you bid on these with poor desc and no image -contact the seller and ask your questions, like if the item is new, has it got any scratches, etc.


scumlabs September 22, 2011 at 9:19 am

Thanks for the helpful info on winning ebay bidding’s. Really good information, thanks for sharing.


Web design New York October 13, 2011 at 1:07 am

Ebay gives me great benefit and if you have some unique products which are not available easily and want to make it more popular ebay auction listing is a great option. No doubt you have to list it at low cost, but if we think of long term goal It can be more beneficial. Will try your ideas and see if I can get benefit too..


web design new york January 15, 2012 at 3:50 am

hi this is very good blog for new web Masters that will help more for newbies… we also web design company,, good blog keep on posting..


Youtube proxy July 22, 2013 at 10:45 am

I am new to ebay. but this is good info to read. thnx for posting. 🙂


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