An industrial auction is the process of buying and selling industrial goods and services by offering them for bids, and selling the product or service to the highest bidder, or buying a product or process from the person offering the lowest bid. Industrial auctions can be very useful for a variety of industrial products in making them visible to potential buyers and helping to obtain a reasonable price for them. They help industries give away their products that may not be suitable for them anymore but would be beneficial for another industry or a smaller industrial set up. The buying bidder benefits from obtaining a sustainable outcome for industrial surplus and utilizing it for their own industrial purpose.
Auctions can be done with an in-person format where a person calls for bids and declares the winner of the bid for each product. This is done either at the industrial site for heavy machinery or high cost items, or off site when a large number of products are being auctioned to a large number of potential bidders, necessitating requirement for a designated space. This helps the bidders to make a physical verification of the industrial product being sold, or industrial service being offered through a demonstration of the same. It is thus an auction with higher safety and ensures good value for money.
However, in the increasingly digitized world, many industries are moving to online industrial auctions too. These are done by putting up notifications on the industry’s website and social media platforms in advance and display the products with specifications and years of previous use for the potential bidders to see. This also allows for a window of time for the bids to come in and for the seller to decide which the best bid for their product is. Like the in-person industrial auction, the online auction also works on the principle of forward auction, i.e. looking for the highest bidder.
Industrial auctions are very useful for the auctioneers to solicit bids from a wide range of buyers and for a large number of commodities. They can also make unique or rare industrial products sell for very high rates thus increasing the profit margin for the seller. The auctions pave the way for businesses to sell their assets externally to a set of qualified buyers. They also help automate one’s asset recovery with redeployment and resale of industrial goods or services.
In today’s world many online platforms have been created for the purpose of helping industries create wealth through selling their surplus equipment, and giving a reasonable quality industrial product to the buyer. The online platforms help validate the authenticity of the product, verify its credibility and conduct the industrial auction process that benefits all concerned bidders and sellers.
For this process to be seamless, the industry auctioning its products is expected to provide detailed information and photos of the product to be put on the auctioneers website, since it has been found that more successful sales are made when the buyers or bidders can see photographic evidence of the products along with details of their usage history and reliability. The buyers on the other hand are expected to submit their requirements for specific industrial products or services so their requirements can be matched with the closely matching product or service.
In a nutshell, industrial auctions are a great way for various industries to gain value from the assets they own and the assets they look to either dispose off or acquire. Find out which online auction companies suit your requirements from the points outlined in this blog.
