The Penny Auction

Swine Flu Vaccination

We have now launched a new website examining the impact on Swine Flu on the UK.

Now, back to the Penny Auctions.

The recession? How will this affect sales and business for Penny Auctions? In short, I would imagine that the recession would lead to an increase in the number of people using Penny Auctions, even though this may at first seem counter intiuitve.

The basis for this conclusion about who is most likely to use Penny Auctions, is taken from lottery user statistics. Namely, that the people whom play are generally those that can least afford it! This is because Lotteries, scratch cards, etc are ‘inspirational’ products; in my opinion you are not buying a realistic chance of winning, instead you are buying £1 worth of hope, oppertunity, ‘what if’s’. Given the struggle which many people can face when trying to pay the bills and support themselves and their families, this is understandable.

Penny Auctions can be seen to be working in very much a similar way. The chances of winning a product are not all together that great, however the potential reward is great. Also the types of products on offer through Penny Auctions are ‘inspirational’ types. Ones that many on low incomes desire, but can generally not afford. Therefore they try and win them, generally without a dedicated or specialist Penny Auction Strategy - which is highly reccomended. Whilst the bidding represents a better ‘return’ generally than a lottery, many people bidding do not properly understand what they are ‘up against’ or the processes that are used to win.

The recession will see a higher number of people out of work, with many in the lower classes being hard hit. Those whome are unskilled and have basic, low paid jobs are often the first to be made redundant. Therefore, they will have an increased amount of spare time, and so an increased likely hood of logging onto a Penny Auction website. Also given the situation of unemployment may make the appeal of winning a desireable product all the more likely, therefore increasing the user base of Penny Auction websites, especially of those that may not apply the correct strategy.

written by admin \\ tags: penny auction, swine flu, unemployment

Penny Auctions and Swine Flu, a strange combination you may argue? Well, not really! This is due to a number of reasons, and these form the wider meta business methods that will be analysed in this post.

1) Pandemics = Stay inside!

Why do Las Vegas casinos keep the lights constant, have no windows and a distinct lack of clocks? Simple, so that you lose track of time and spend as long as possible in there; and so spend as much money as possible.  Swine Flu may have a simmilar affect on the PennyAuction industry. Look at it like this, more peoeple are going to be staying inside, either sick off work or trying to avoid the disease. These people are going to need something to do, therefore if you run a Penny Auction type website, then this may be a time of increased business. Think about it, if a pandemic infects 1/2 the population (not an unreasonable figure) in the UK this would mean 30 million people.

Whilst for most it is a mild condition, people will still take time of / place themselves in quarantine. During this period, they may be bored or lose track of time. Therefore the excitement of a Penny Auction or other style of fun bidding for a prize and then hopefully winning it may well appeal to them.  Therefore it would not be unreasonable to expect the userbase of Penny Auction websites and other simmilar style auction operations to increase substantial this fall! Stay tuned to see wether these predictions concerning penny auctions will prove to be correct.

written by admin