Online sales of used items

The general concept:
  • People can submit their products in ebay-like manner.
  • The user lists a price, anything they want.
  • Every week the product drops %10 in price.
  • The first day the product is launched, bidding opens in case multiple people want the same item. The bidding ends in two weeks. If there are no buyers, then it drops 10% and then goes on sale as “buy now”. This helps the user in two ways. One, if they list an item too low by accident because they weren't sure how much it would go for, then they can still get a higher sale. Also, if they purposely want to have bidding like ebay-style, they can offer a lower price to start and try to get bidders interested.
  • Once the item gets down to $1, it stays one more week and then it is removed from the site and the user is charged the $1 for posting the item. It was not a sellable item and a suggestion is sent to the user saying they might want to consider giving it away instead, or donate it to a local thrift store. They are not allowed to relist the item.
  • The website gets a fee for each sell/transaction. Not a percentage, but a set commision, say like $1 of each sell.
Rules:
  • No cancelling sales. Once an item has been posted and listed for sale, it has to remain up until it sells.

This makes it so users are not cancelling to try to make more money. It also deters users from using the site for selling new items like a regular store.

Outcome
  • Make the sellers responsible for adding good keywords, pictures, descriptions, etc. or their product won't sell for more.
  • It doesn't put the sellers in a bind to try to price low and then lose out if no one buys.
  • It also makes less maintenance for the seller. They can post a higher price and then leave it until it sells, instead of reposting later at a different price.
  • The increasing discount makes it so the website doesn't turn in to something like ebay or most consignment shops, where people are trying to make as much money as possible. Instead, it makes it so users know that they may not make anything off of the item at all if it doesn't sell. It is not a place to leave items up on the site for extended amounts of time to try and sell, it is a place for people who need to get rid of items and hope to make some money while doing so.
  • It allows a more flexible pricing model for sellers who aren't really sure what their item is worth, and don't want to go too low or too high. If they price it too low, a bidding war will start. If they price it way too low, then they might see a lower payout amount from bidding, but that's the only real drawback. If they price it too high, then no one will bid and someone will likely wait until it drops down to the price they are willing to pay for it. That person will likely not go too low and pay a little more so that someone else doesn't snatch it up first. It makes it so people really will pay th exact price they really think it's worth, on the higher end of the scale so the seller will likely get the best price possible from it. Everyone wins.