Using a BUY NOW price on an item will allow someone that really wants an item a way to purchase it without having to worry about losing the item at the last minute of the auction. BUY NOW should be considered an "auction stopping price," because you are effectively taking the item off the auction. However, determining the BUY NOW prices or deciding which items to use BUY IT NOW on can be difficult. Below are some guidelines for you to consider:
- For items that have a clear retail value, a good rule of thumb is to set the BUY NOW price at 150% of the retail value. This means a $50 restaurant gift certificate would have a BUY NOW prices of $75. If you think the item will be popular with your audience, set the BUY NOW prices at 200% of the retail value. In this case, the $50 gift certificate would have a BUY NOW prices of $100.
- For items that don't have a clear retail value, such as autographed merchandise, it might not make sense to have a BUY NOW price. If these items are popular with your audience they can often go for more money due to competition and uniqueness.
NOTE: The app will not let a user bid above the BUY NOW price. If the user bids at the buy it now price, the system will record the purchase and put it on their invoice.
If you think bidding will exceed the buy now, price, you should raise this price prior to that happening.