Yahoo Auction Closure: the Rise of Reverse Auctions?

Does the recent closure of Yahoo! Auctions means that the eBay like auction model is falling and that new comers like Oltiby.com are on the edge of a new buying model with reverse auctions ?

Last month was marked by the official closure of Yahoo! US and Canada Auctions sites. After several years of service trying to compete with eBay, Yahoo! has decided to stop the chase and retire from this online auction market.

Yahoo! Auction site's homepage states "After careful consideration, we have decided to close down our Yahoo! US and Canada Auction sites to better serve our valued customers through other Yahoo! properties."

What happened to this giant marketplace of Yahoo? According to statistic, Yahoo! Auctions were receiving less than 1% traffic compared to eBay auction site. Some said that Yahoo! closed its auction site shortly after becoming the exclusive PPC ad’s provider for eBay.

However, Sylvain Reiter, VP of Oltiby.com, takes another direction to explain the closure: “eBay has grown tremendously and taken over most of the online auction business in the western countries. I think that Yahoo! realized there were not much room to compete with eBay and didn’t see any future growth in this market. The business model of eBay-like online auctions is reaching its limits and people start to understand the benefits of reverse auctions”.

Reverse auctions are not competing with online auctions but are following the opposite model: one buyer posts an order for an item he wants to buy. Sellers are becoming the bidders and reduce their bids to win the sale. Thanks to the competition between sellers, the buyer ends up saving money.

Oltiby.com provides a reverse online auction service for all categories of products, as wide as Yahoo! or eBay auctions. Launched in 2005, it is now offering all the services of regular auctions, plus the benefits of being in control and saving money to the buyer on a “no savings – no fee” basis.

Sellers receive free leads and bid the price they are ready to sell item for. Oltiby.com is currently available worldwide with a unique US based marketplace and is currently expanding its activity to dedicate a platform for the European users.

We can assume that Yahoo! is giving up on the US market now trying to focus on the Asian market. After paying $1 billion last year to acquire 40% of Alibaba, Yahoo! wants to become the “eBay of Asia”. But the economy is growing globally, more and more sellers are competing to sell similar items and reverse auctions are the only viable model for the future of trading business.

Discover more about Yahoo! Auctions retirement on http://auctions.yahoo.com/
Learn more about reverse online auction on http://www.oltiby.com/

Yahoo! Auction is closing, Oltiby.com is rising

Yahoo! US and Canada auctions sites have stopped thei activity yesterday, still being live but not accepting any more bids or registrations. This makes us wonder that the regular eBay like auction model is not viable anymore. Buyers are getting tired of bidding higher and higher to buy something they like, and sellers pay higher and higher fee to list more items and get more online presence.

Oltiby.com is offering an alternative solution, based on the opposite model. Buyers are in control of the reverse online auctions, they fix all the parameters and are in charge of the fees if, and only if, they save money. Sellers are competing and bidding against each other to win a new customer. This is the new market development law, and everybody has to get used to it...

Online Auctions and Security

Everyday in the IT / Tech news we can hear about identity theft and online security are raising issues. As more and more businesses and transactions are going through the internet, hackers are always trying to get one step further. On the other side, online merchants need to assure their activities and data are safe

Online auctions sites are as much targeted as online merchants as communication and exchange of information is made on a regular basis between all members. How do you know you are bidding on a real item? That it will be really shipped to you? What about accepting bids in your online auctions from unknown buyers... are you gonna get paid?

Methods of protection

Regarding the security of data, SSL communications ensure that the data you are submitting to the server are encrypted. Nobody can intercept and decode these data. You have to make sure the online auction site displays a lock in the browser's taskbar; which means the encryption certificate (from companies such as Verisign, Thawte...) is valid. HackerSafe also provides a solution to secure the program itself and validate that no security breach can hurt the server and your private data.

You also need to trust the company itself. The investment in the design and user-friendliness of the navigation can tell you a lot about importance of the business. Good website, well maintained and always looking for improvements, without any errors make you feel safer when exchange data.

For community sites such as online auctions, you will need to trust other users you are dealing with. The trust between buyer and seller is the only point that will make a website successful or not. Oltiby.com has introduced a strict verified member program to make sure users are really who they claim they are.

More on Shipping Reverse Auctions

As part of the mutual value equation, you effectively also get to decide how you want your item shipped. This does not sound like a good deal, but we all know that this is sometimes where the hidden charges are! NOW YOU CAN AVOID COSTLY SHIPPING!

The competition between sellers is enhanced because you won’t have to pay outrageous shipping fees. You get to decide the maximum shipping you are willing to pay and how you ship your item. With competitive pricing among shipping methods, you can decide how much or little you are willing to pay for your shipping. This saves you even more.

You don’t have to waste your time online to find the lowest price of an item and add up the shipping cost only to find out that its not such a good deal.

Reverse Auctions on Shipping

With Reverse Online Auctions, as part of the mutual value equation, you effectively also get to decide how you want your item shipped. This does not sound like a good deal, but we all know that this is sometimes where the hidden charges are! NOW YOU CAN AVOID COSTLY SHIPPING!

The competition between sellers is enhanced because you won’t have to pay outrageous shipping fees. You get to decide the maximum shipping you are willing to pay and how you ship your item.

Competitive Shipping Prices

With competitive pricing among shipping methods, you can decide how much or little you are willing to pay for your shipping. This saves you even more. You don’t have to waste your time online to find the lowest price of an item and add up the shipping cost only to find out that its not such a good deal.

Online Auctions Makes Sellers Compete For You

In and through the dynamics, processes and outcome of reverse auctions, you get to experience the competition between sellers by setting the price, specifications, shipping and even date you will buy the item and then watch them compete and fight over your purchase and business. You get to witness the bidding war so to speak. It’s one stop shopping with competitive pricing and fair deals for all!

Reverse Auctions

With the reverse auctions capabilities and processes at Oltiby, you (as the buyer) gets to decide shipping method and prices, timing and specifications of the bid and items you want. You are empowered to decide how long you want to wait for the item and the right price.You decide how you will pay for the item.

New MyBuyBlog Service

A new reverse auction has been launched by Oltiby. This reverse auctions site has an innovative technology that will change our lives. It introduces the new perception on how we purchase things.

MyBuyBlog is your personal reverse auction marketplace. It's a mini-oltiby venue for you and you alone to advertise to purchase products. It allows you to have your dedicated buying space.

Post Your Buying Ad and Save Money Using Reverse Online Auctions

Here are a few links to read more details about this reverse online auction service:

Press Release on a new E-Procurement Service with MyBuyBlog Online Auctions, another article talking about MyBuyBlog Reverse Auctions.

Try myBuyBlog today and experience a truly innovative procurement process with this popular Online Auction Service