What are the reserve priced auctions?

The seller may have set a reserve price for the auction. This is a hidden amount, under which the seller won’t sell the item. If the highest bid does not reach this amount, the seller is not obliged to hand over the item.

With the reserve price, sellers can determine a lower starting price, by which the auction can be made more attractive to visitors and can ensure a greater willingness to participate in the auction. At the same time, the reserve price ensures that the item will not be sold at a too low price.

The amount of the reserve price is not public, but the seller can indicate this in the item description or inform a user if they inquire about the amount of the reserve price in a message. However, the seller cannot be obliged to do so.

Until the highest bid does not reach or exceed the reserve price, the message “reserve price not met” appears under the current bid.

How does bidding work in case of a reserve price item?

If your maximum bid reaches the reserve price, we will adjust your current bid to the reserve price, meaning that your current bid will be equal to the reserve price.

Example:
The seller starts the item at a starting price of 1,000 HUF and determines a reserve price of 10,000 HUF. User “A” offers 1,100 HUF for the item, which means that the current price of the item will be 1,100 HUF. This amount does not reach the reserve price determined at 10,000 HUF, therefore, if no new bid is received, the auction fails and the seller does not have to hand over the item.

Let’s suppose user “B” places a bid in an amount of 15,000 HUF. The current price of the item will be 10,000 HUF (the amount of the reserve price), so the current price reaches the reserve price. If there are no more bids, the winner of the auction style item will be bidder “B”.
From the above example it can be seen that if the maximum bid offer of a bidder exceeds the reserve price, the current price will not increase according to the bid increment, but the current bid will be automatically set to the amount of the reserve price.