Online Car Auctions: Bidding Strategy

It wasn’t so long ago that car auctions were only conducted in-person. Competition came naturally as peers gathered to procure vehicles that could boost their business. Participating in multiple auctions meant commitment – traveling, crowds, in-person rules and procedures, financial planning, etc.   

Executing a well-planned strategy for purchasing auction vehicles in-person included all of these elements. Despite these challenges, some still view it as a simpler time than the evolving digital age of online car auctions we are in now. Whether you’re an old-school bidder or a new-age buyer, we know you have questions about the online bidding process. There can be a learning curve to bidding and buying, including building a plan to match the pace of auctions and how you participate. Understanding the benefits is an important step in deciding to register to bid in online auctions.  

A key benefit with digital auctions is that locations no longer matter. If you're a buyer in Texas, you can bid on and buy a car located in New York without needing to leave your home or business, then have it shipped directly to you. Virtual auctions are held Monday through Friday and feature inventory from hundreds of locations in North America and around the world. Buyers can participate in as many auctions as they like – even if several are happening at the same time, which is often the case. Additionally, vehicles hit the auction block online on average for a total time of less than one minute. Given the amount of vehicles being auctioned per day, at numerous locations, for a short period of time, preparation is critical.  

How do you find vehicles you’re interested in purchasing? One of the enhanced features available to most online vehicle buyers is the ability to build a list so you can track vehicles of interest no matter where they’re located. Every piece of inventory in an online auction has its own listing containing the vital info you’ll need – the damage assessment being one of the most important categories. Evaluating damage online is made more efficient and trustworthy with modern auction platforms providing the tools you need to feel confident about these assessments.  

By curating your search results, you’ll get a clear picture of which vehicles will be on the block and when, giving you a chance to consider unique approaches such as submitting pre-bids before an auction, along with setting a maximum on what you’re willing to spend.  

Online vehicle auction platforms also feature some smaller touches designed to streamline the experience and keep you focused on the vehicles you’ve prioritized for bidding, including the above-mentioned Watch Lists along with clear and visible bid tracking and countdowns until the auction has concluded. Adding vehicles to a Watch List that updates in real time allows you to easily follow when the vehicle is coming up for auction. If vehicles on your Watch List are being auctioned at the same time, you can follow multiple auctions at once to bid on multiple vehicles within one browser in one single view. Cars you’re eyeing can be followed within one browser tab so you can follow every vehicle, within every auction lane, with a clear auction countdown and interface that lists every bid so that you’re always informed in real time. And there is no shortage of auction formats for you to acquire a vehicle.  

Some auctions specialize in certain types of vehicles such as motorcycles, trucks, watercrafts and more. Others allow buyers the opportunity to purchase heavy-duty equipment. While some online car auctions highlight salvage vehicles, rare gems and vintage vehicles are available as well. And, if you’re interested in avoiding the auction process altogether, you can typically find select vehicles available for purchase at a set price.  

No matter how you go about bidding on vehicles at online auctions, understanding the process and how to prioritize your bidding is essential. Do your research, develop a sound bidding strategy, and register to bid and buy with IAA when you’re ready. Although buying auction vehicles is drastically different in the digital age, the online process provides many advantages for businesses to be more efficient. All the tools you’ll need are available to help prepare you and give you confidence in your purchases.