Auctions may not be the way to go when selling your surplus supplies or heavy equipment. Let's compare the use of auctions versus buy/sell of surplus from an online marketplace.
- Selling utility surplus at auction can deter some buyers because of the competitive nature of the bidding process – not everyone enjoys that scenario.
- An Online Marketplace like Veracity Connect acts as intermediary between buyer and seller. They work more like a real-estate broker who looks for the win-win between the buyer and the seller
- When Selling utility surplus at auction, potential bidders must register to attend, and this may also put potential purchasers off.
- With an Online Marketplace like Veracity Connect, buyers can browse anonymously through all the available inventory. Only when an item interests them, will they need to provide contact info to get quote details and initiate dialogue with the seller via a Veracity agent
- When Selling utility surplus at auction, there is no guarantee that your item will reach its reserve price or sell at all. In this eventuality you may have to relist it which will incur further costs. If you are relying on the proceeds of an auction to make another capital purchase immediately, it may make the process difficult or impossible.
- With an Online Marketplace like Veracity Connect, interested buyers can provide offers at any time through the listing timeline. A seller can sell as soon as an acceptable offer is received. There is no cost for listing or re-listing at any time.
- When Selling utility surplus at auction, the price you receive may not fully satisfy your expectations. If it only just reaches slightly over the reserve price you may be disappointed. However, by then it will be too late.
- With an Online Marketplace like Veracity Connect, if an offer is close, you can accept at any time. No reserve prices to arbitrarily limit sales opportunities.
- The costs of selling utility surplus at auction may exceed agent brokerage fees, and you’ll have to pay the auctioneer’s fees regardless of whether the equipment is sold or not. Auction fees can average 15% from each of the seller and buyer totalling 30% added fees.
- With an Online Marketplace like Veracity Connect, 15% Brokerage fees for non-exclusive agreements and 13% for exclusive agreements are common. This is less than half what you would pay at auction, plus "You don't pay unless you get paid!".
Veracity-Connect's Online Marketplace Addresses the Disadvantages of a typical auction when you have surplus to sell.