etzee

Setting a starting price

A low start usually ends higher. Here is why, and the cases where it does not.

The Metzee team13 Oct 20261 min read

The instinct is to start near what you want. It is usually the wrong move.

Why a low start ends higher

An auction needs bidders, and bidders join when the price looks like an opportunity. A low start pulls more people in; more people means competition; competition is what finds the real price.

A high start does the opposite. Nobody bids, the room concludes nobody wants it, and the item that does not move in the first minute often does not move at all.

There is also something human in it: a bidder who has bid once is invested. Getting somebody to bid at all is most of the work.

When a low start is wrong

When the room is thin. A low start with three people watching is a cheap sale, not a discovery. Early on, or at an odd hour, be more careful.

When the item has a floor you cannot go under. Materials, cost of goods, the hours in it. That is what a reserve is for.

Pace

Open strong. The first item sets whether people stay, so lead with something good rather than clearing your worst stock first.

Questions people ask

What if it sells for less than it cost me?

That is what a reserve prevents. Set one rather than starting high.

Should every item start low?

Low relative to its value. "Low" for a ₹300 item and a ₹30,000 item are different numbers.

Can I change the start price?

Before bidding opens, yes.

What if nobody bids at all?

There are moves, and most of them are not about price.

Next: what a reserve price is.

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