What is proxy bidding?

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Flippa uses proxy bidding in our auction listings to place bids on your behalf automatically up to your set maximum bid amount.

When you place a bid in an auction, you authorize Flippa to bid on your behalf up to the maximum amount entered in your bid. 

Once your bid is placed, Flippa's system automatically bids in the following increments up to your maximum bid amount:

• If the starting or current bid price is under $1,000, $5 per bid.

• If the starting or current bid price is under $10,000, $50 per bid.

• If the starting or current bid price is under $100,000, $100 per bid.

• If the starting or current bid price is above $100,000, $1,000 per bid.

Once a number of proxy bids are in place, bidding can increase the current bid price very quickly since the process is entirely automated.

Some scenarios for an example auction where the current bid price is $1,000 and the reserve price is $5,000:

Scenario I
A new bidder bids $3,000. The Flippa platform will place a bid of $3,000 for this user, completing the proxy and increasing the current bid price to $3,000.

Scenario II
A new bidder bids $5,000. The Flippa platform will place a bid of $5,000 for this user, completing the proxy and increasing the current bid price to $5,000. That amount meets the listing's previously set reserve price, so if the auction ends without another bid, that bidder is the winning bidder and Buyer.

Scenario III
A new bidder bids $8,000. The Flippa platform will place a bid of $5,000 for this user to meet the listing's previously set reserve price. If the auction ends without another bid, that bidder is the winning bidder and Buyer. If there are further bids above $5,000 from other users, the Flippa platform will place new proxy bids for this bidder against the other new bidders up to their maximum $8,000 proxy bid amount.