Wednesday, March 2, 2011
I am sure most of my blog readers are just like me. I have been following and shopping on penny auction sites for two years now. I have seen a lot in the past two years. The industry started small with companies like Swoopo, BidCactus, Quibids, and more. Then it grew so fast in 2010 with seriously over 300 new penny auction sites. With a tough competitive market hundreds of penny auction sites went out of business in 2010 also. You can see this list on my closed sites tab. During 2010 sites grew in populatrity. Websites like Quibids sold thousands of items a day. Some customers imbraced penny auctions while others thought these sites were a scam. Now with several sites having lawsuits including Quibids and others, what is the future of penny auctions? Will penny sites be federally regulated? I love these penny sites and I hope they stick around. Some will continue to go out of business but the strong will remain. I hope the government does not regulate the penny bidding sites. Let the invisible hand regulate them. Customers can determine who stays and who doesn't depending on where they shop. These bidding sites will still continue as they offer deep discounts where you can buy electronics, Apple products, concert tickets, gift cards, and more for just pennies.