Popularity of Web auctions helps fuel growth in live auction industry
By The Associated Press
Posted: 11/25/07 Section: Diversions
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Perched in the front row is Dave Kauffman, who has come 220 miles from Marysville, Ohio, in search of vintage, remote-control model airplanes and accessories.
Within hours, Kauffman has so many planes and parts, to be resold at flea markets and online, that it takes five trips to load his hatchback at the Greene County Fairgrounds.
"I can tell from the first sale if it's going to be a good night," he said. "Tonight was a very good night."
Although auctioneers initially considered the Internet a threat, its growth and development of searchable Web sites like AuctionZip have contributed to a boom in the live-auction industry, with one-time rivals forming partnerships that produce bigger audiences for sellers, often by simulcasting live auctions on the Web.
Buyers emboldened by success on eBay and other sites are seeking live sales in search of lower prices - and the thrill of competing in person.
Sales of goods and services at live auctions totaled $257 billion in 2006, a surge of 7 percent over 2005.
A study for the Kansas-based National Auctioneers Association found residential real estate auctions have grown 39 percent since 2003, agricultural real estate grew 33 percent, and sales of commercial and industrial property surged 27 percent. Car auctions increased by 10.5 percent and charity auctions rose 16.5 percent.
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