Terms Explained
Absentee Bids
This is when a prospective buyer places a bid on an item without attending the sale. The bid is submitted prior to the auction by whatever means the auctioneer has stipulated

Absolute Auction
The highest bidder without any limitations or reserve prices being imposed wins absolute auctions

American Auction
This type of auction has a number of items offered at the same price; the highest bid for the most items wins the bidding

Appraisal
When an item is valued or confirmed by an auctioneer it is known as an appraisal. The person doing appraisals may also be known as an appraiser

Auction
A public sale of goods or property in which prospective purchasers bid until the highest price is reached

Auctioneer
The person who conducts an auction sale

Auction House
Usually refers to auctioneers who hold auctions at their own premises. The company is referred to as an auction house

Bid
The amount someone offers to pay for something

Catalogue Auctions
These auctions are usually held in a location different to where the actual goods for auction are kept. Viewing of the goods will have taken place prior to the auction

Dutch Auction
An auction where a seller has listed multiples of the same item. All winning bidders pay only the lowest successful winning bid amount

Hammer Price
The price reached by the auctioneer when the hammer or gavel is dropped

On Site Auctions
Sometimes it may not be cost-effective or practical to transport surplus or liquidated goods from the company's premises to an auction house (for instance where large items of fixed plant and machinery are involved). Under these circumstances, the auction will be held "on site" at the company's premises

Online Catalogue
This is when the catalogue is made available for download or viewed directly from the Internet

Opening Bid
The first offer made to the auctioneer

Minimum Bid
The smallest offer which the auctioneer or seller will accept. To be successful you must bid higher than the minimum bid.

Private Auction
Bidders identities are not disclosed in this type of auction

Proxy Bidding
Submitting a confidential maximum bid to an auction service. The auction will automatically increase the bid to maintain the high bid. The proxy bidding will stop when the bid has won the auction or reached the limit of the proxy bid

Reserve Auction
The seller has set a minimum (reserve) price for the lot and can decide whether to accept or refuse a bid. The reserve price may not be disclosed

Sealed Bid
Used in sales by tender, rather than auction. Confidential bids are submitted and opened only at a predetermined place and time

Yankee Auction
An auction where a seller has listed multiples of the same item. Each winning bidder pays their exact high bid