How Unique Bid Auction Works
Unique bid auction requires bidders to place bids that are unique. That is, for a bid to be eligible to win no other bidder can have made a bid for the same amount. Bidders are generally able to place multiple bids and the number of current bids at each amount is typically kept secret.
Hailer Bargains is a lowest unique bid auction, the bid that is the lowest and unmatched when the auction closes is the winning bid.
Unique bid auctions will typically allow bids to be very precise, in that each bid can be specific to the 'penny'.
For example, a unique bid auction might run as follows:
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Value Number of bids Comment $0.01 34 $0.02 9 $0.03 17 $0.04 57 $0.05 35 $0.06 1 Lowest unique bid $0.07 17 $0.08 0 $0.09 1 Highest unique bid $0.10 2
In a lowest unique bid auction, the bidder who submitted the single bid of $0.06 would win the auction, and would be eligible to purchase the product or service for $0.06, because their bid was the lowest unique bid.