Auctionair
Encyclopedia
Auctionair.co.uk is an online retailer based in the UK operating a sealed-bid auction (or "Blind Auction") system where bidders cannot see what others have offered.
There are two bidding products, the High Bid and the Low Bid.
founder Duncan Hilleary and Pulitzer Prize
winning journalist Albert Scardino as an experimental project for British Airways
to provide entertaining retail opportunities to passengers. After various further trials in 2002 the business was launched online in July 2003. In 2006 the company launched The Times Online Auction Room as a co-branded partnership with The Times. In 2008 the company launched the FT Auction Room with the Financial Times
. The company now claims to enjoy over 40% repeat business from its customers and has carried out over 600,000 profitable transactions with them. Auctionair is funded by private investors.
all bids above an undisclosed Secret Price can also win. When bids win there
is no obligation to go ahead and purchase but the non-refundable entry fees
cost £5 per bid. The range of lots is strictly limited to a hand-picked
selection of luxury holidays, weekend breaks; high-end technology and luxury
goods. The average discount achieved against supplier suggested retail
prices has been 48% for the last 20,000 winners up to the end of year 2009.
where the lowest unique bid wins the
chance to buy at the price offered once a predetermined number of bids have
been placed. Entry fees vary from £3 to £25 per bid. This requires thought
and skill. The last 700 bids to win up to the end of the year 2009 enabled
£708,324 worth of luxury goods, holidays and cars to be purchased for
£17,323 - an average saving of £1,004 per winning bid. 18 BMW Mini Cooper S
have sold for an average of £62 each by Low Bid. One in 58 people who
entered had a winning bid.
chance to take up winning bids that have not been used to purchase by other
winners. (Auctionair High Bid customers often make multiple bids and then
decide not to purchase everything that turns out to have won. They therefore
accumulate many unclaimed winning bids)
Consumers pay an entry fee and can then name their own price in an entertaining environment without being bound to their offer.
Suppliers gain promotion and data and can also dispose of excess inventory discretely without undermining published rates. Suppliers include, Taj Hotels & Resorts, Orient Express, Abercrombie and Kent, Small Luxury Hotels, Sofitel, Swissotel, Sony, Dunhill, Cartier, Jimmy Choo, Ducati, Apple, MG and Sir Hans Sloane Chocolates.
Auctionair also deploys its technology as co-brand partner for The Financial Times, The Times, The Sunday Times, The Button Club, Small Luxury Hotels, Ink Publishing and several charities.
There are two bidding products, the High Bid and the Low Bid.
History
Auctionair was founded in 2001 by SpafaxSpafax
Spafax is a custom content agency that focuses on consumers in transit such as frequent flyers and travellers and was founded in London in 1985...
founder Duncan Hilleary and Pulitzer Prize
Pulitzer Prize
The Pulitzer Prize is a U.S. award for achievements in newspaper and online journalism, literature and musical composition. It was established by American publisher Joseph Pulitzer and is administered by Columbia University in New York City...
winning journalist Albert Scardino as an experimental project for British Airways
British Airways
British Airways is the flag carrier airline of the United Kingdom, based in Waterside, near its main hub at London Heathrow Airport. British Airways is the largest airline in the UK based on fleet size, international flights and international destinations...
to provide entertaining retail opportunities to passengers. After various further trials in 2002 the business was launched online in July 2003. In 2006 the company launched The Times Online Auction Room as a co-branded partnership with The Times. In 2008 the company launched the FT Auction Room with the Financial Times
Financial Times
The Financial Times is an international business newspaper. It is a morning daily newspaper published in London and printed in 24 cities around the world. Its primary rival is the Wall Street Journal, published in New York City....
. The company now claims to enjoy over 40% repeat business from its customers and has carried out over 600,000 profitable transactions with them. Auctionair is funded by private investors.
High Bid
The highest bid wins at a fixed date. Also for some auction lotsall bids above an undisclosed Secret Price can also win. When bids win there
is no obligation to go ahead and purchase but the non-refundable entry fees
cost £5 per bid. The range of lots is strictly limited to a hand-picked
selection of luxury holidays, weekend breaks; high-end technology and luxury
goods. The average discount achieved against supplier suggested retail
prices has been 48% for the last 20,000 winners up to the end of year 2009.
Low Bid
This is a reverse auctionReverse auction
A reverse auction is a type of auction in which the roles of buyers and sellers are reversed. In an ordinary auction , buyers compete to obtain a good or service, and the price typically increases over time...
where the lowest unique bid wins the
chance to buy at the price offered once a predetermined number of bids have
been placed. Entry fees vary from £3 to £25 per bid. This requires thought
and skill. The last 700 bids to win up to the end of the year 2009 enabled
£708,324 worth of luxury goods, holidays and cars to be purchased for
£17,323 - an average saving of £1,004 per winning bid. 18 BMW Mini Cooper S
have sold for an average of £62 each by Low Bid. One in 58 people who
entered had a winning bid.
Sale of Unclaimed Winning Bids
Once a customer has bid with Auctionair they are subsequently given thechance to take up winning bids that have not been used to purchase by other
winners. (Auctionair High Bid customers often make multiple bids and then
decide not to purchase everything that turns out to have won. They therefore
accumulate many unclaimed winning bids)
Charity Auctions
Auctionair dedicates proceeds from certain auctions to charity and has worked with The British Red Cross, Sightsavers International, Orbis, Save The Rhino, The Royal British Legion and Marie Curie Cancer Care.Overview
This business model alters the relationship between suppliers and consumers for the benefit of both:Consumers pay an entry fee and can then name their own price in an entertaining environment without being bound to their offer.
Suppliers gain promotion and data and can also dispose of excess inventory discretely without undermining published rates. Suppliers include, Taj Hotels & Resorts, Orient Express, Abercrombie and Kent, Small Luxury Hotels, Sofitel, Swissotel, Sony, Dunhill, Cartier, Jimmy Choo, Ducati, Apple, MG and Sir Hans Sloane Chocolates.
Auctionair also deploys its technology as co-brand partner for The Financial Times, The Times, The Sunday Times, The Button Club, Small Luxury Hotels, Ink Publishing and several charities.