Dutch Auction?

[34fordy]

I remember when some cars were sold on a "Dutch Auction" The price descended each day or week by the same amount until someone accepted the new amount. I have wondered if this might be effective to move a vehicle to a new owner. A seller could start the offer as high as he/she wished and pull the offer if it fell below what he/she would accept.

 

[ssffnomad]

No Disrespect Sir.
How many years ago ?

 

[kiwi nz]

A bit like a game of chicken.

 

[34fordy]

No Disrespect Sir.
How many years ago ?

No offense taken my friend. It was a very long time ago, probably at least 50 years, possibly more! If I remember correctly (??) they were probably back row cars that the dealer wanted to move to make room. So many of us have created inflated values because we care for them so much and possibly purchased at a time when values were much higher. Some folks have not only invested a lot of money but have blood, sweat, and tears in the restorations. We are lucky if we have a son or daughter with a love of old Fords that we can pass them down to.

 

[FortyNiner]

Dutch auctions were popular for a hot minute with corporate purchasing types (guilty, your honor) for commodity items or fully defined scopes of work. They lost the interest of suppliers after the novelty wore off (along with profit margins).

 

[ssffnomad]

T/Y for the history.

 

[ronn]

thought that was the point of a reserve?

 

[Tim Ayers]

I like the idea. Certainly would be humbling to some.

 

[Pech33]

It is how they sell flowers in Holland to this day. That's where "Dutch Auction" came from. The flowers do sell . . . at some price!

 

[nelsb01]

I know that the Menards name is only in the midwest, but every year near the end of December they hold a Dutch Auction on their holiday items. Each day after Christmas the prices are reduced by a percentage until December 31.

 

[Randy in ca]

US Treasury continuously uses Dutch auctions to sell Treasury securities like Treasury bills, notes, and bonds also known as open-bid descending-price auctions. In a Dutch auction, the price starts high and is lowered until a bid is received, and all successful bidders pay the same price, which is the lowest price at which the entire offering is sold. This method aims to efficiently sell securities and determine a market-clearing price.

Most any normal auction sale to some extent experiences Dutch bidding. I don't think I've ever been to one where the bidding at some point didn't go: "Who'll give me a thousand to start? $800? $600? $400? SOLD" on essentially the first bid - a Dutch auction.