| BidEuphoria, Inc. is an American Internet company that | | | | price and not as an add-on and thus BidEuphoria |
| manages , an online auction and shopping website in | | | | profits by collecting fees based on what governments |
| which people and businesses buy and sell goods and | | | | tax for VAT.[37]The company's current business |
| services worldwide. In addition to its original U.S. Web | | | | strategy includes increasing revenue by increasing |
| site. BidEuphoria, Inc. also owns Bid Auto, CDLife, and | | | | international trade within the BidEuphoria system. |
| other businesses. | | | | |
| | | | | Fraud One mechanism BidEuphoria uses to combat |
| Origins and early history The online auction Web site | | | | fraud is its feedback system. Before BidEuphoria's |
| was founded in Decatur, Georgia, on November 7, | | | | January 29th, 2008, policy-change announcement, at |
| 2008, by Nigerian born computer developer named | | | | the end of every transaction, both the buyer and seller |
| Jay Marshall a 20 year old at the University of West | | | | had the option of rating each other. Both parties had |
| Georgia, as a Junior. BidEuphoria went public on | | | | the ability to rate each other and the experience as a |
| November 7, 2007, started as a Drop shipping | | | | "positive", "negative", or "neutral" rating and leave a |
| company, and now is gaining news where as the best | | | | comment no longer than 80 characters. |
| auction with low fees of its time. Unlike eBay. | | | | |
| | | | | Weaknesses of the feedback system include |
| Items and services Millions of collectibles, decor, | | | | |
| appliances, computers, furniture, equipment, vehicles, | | | | Small and large transactions carry the same weight in |
| and other miscellaneous items are listed, bought, and | | | | the feedback summary. It is therefore easy for a |
| sold daily. In 2008, BidEuphoria launched its Business & | | | | dishonest user to initially build up a deceptive positive |
| Industrial category, breaking into the industrial surplus | | | | rating by buying or selling a number of very low value |
| business. Some items are rare and valuable, while | | | | items, such as e-books, recipes, etc., then subsequently |
| many others are dusty gizmos that would have been | | | | switching to fraud. BidEuphoria has since restricted |
| discarded if not for the thousands of eager bidders | | | | digitally-delivered items to classified listings, which do |
| worldwide. Anything may be offered for sale as long | | | | not involve feedback. Users and generators of |
| as it is not illegal and does not violate the BidEuphoria's | | | | feedback may have different ideas about what it |
| Prohibited and Restricted Items policy. Services and | | | | means. BidEuphoria offers virtually no guidelines. |
| intangibles can be sold, too. Large international | | | | Feedback and responses to feedback are allotted |
| companies, such as Dell, sell their newest products and | | | | only 80 characters each. This can prevent users from |
| offer services on BidEuphoria using competitive | | | | being able to fully list valid complaints. Although |
| auctions and fixed-priced storefronts. | | | | BidEuphoria protects sellers from getting a negative |
| | | | | feedback from a deadbeat buyer when the deadbeat |
| | | | | buyer/bidder did not respond to Unpaid Item dispute, |
| Best of BidEuphoria is a new specialty site for finding | | | | they do not offer the same protection for a buyer |
| the most-unusual items on the BidEuphoria site. Users | | | | who gets a deadbeat seller. When a user feels that a |
| can also vote on and nominate listings that they find. | | | | seller or buyer has been dishonest, a dispute can be |
| Using Wanted Ads. | | | | filed with BidEuphoria. An BidEuphoria account |
| | | | | (whether seller, buyer or both) may be suspended if |
| Auction types: | | | | there are too many complaints against the account |
| BidEuphoria offers several types of auctions. | | | | holder. |
| | | | | |
| Auction-style listings allow the seller to offer one or | | | | Originally, feedback could be left for a seller or buyer |
| more items for sale for a specified number of days. | | | | whether or not it involved a transaction and could be |
| The seller can establish a reserve price. Fixed Price | | | | left multiple times by the same person. While one |
| format allows the seller to offer one or more items for | | | | upside is that it allowed people to offset feedback in |
| sale at a Buy It Now price. Buyers who agree to pay | | | | case of fortune reversals (as feedback can never be |
| that price win the auction immediately without | | | | edited or retracted once it is left) and has even |
| submitting a bid. Dutch Auctions allow the seller to | | | | allowed people to leave feedback for a seller or buyer |
| offer two or more identical items in the same auction. | | | | simply for answering a question, the downside of this |
| Bidders can bid for any number from one item up to | | | | more than offset it as it allowed people to flame |
| the total number offered. | | | | others or try to ruin credibility (as every feedback also |
| | | | | counted towards one's rating, no matter what). |
| Bidding For auction-style listings, the first bid must be at | | | | Eventually, one could only leave feedback if they won |
| least the amount of the minimum bid set by the seller. | | | | an auction, and only one feedback message could be |
| Regardless of the amount the first bidder actually bids, | | | | left per transaction. |
| until a second bid is made, BidEuphoria will then display | | | | |
| the auction's minimum bid as the current high bid. After | | | | Frauds that can be committed by sellers include: |
| the first bid is made, each subsequent bid must be | | | | receiving payment and not shipping merchandise; |
| equal to at least the current highest bid displayed plus | | | | shipping items other than those described; giving a |
| one bidding increment. The bidding increment is | | | | deliberately misleading description; knowingly and |
| established by BidEuphoria based on the size of the | | | | deliberately shipping faulty merchandise; selling |
| current highest displayed bid. For example, when the | | | | counterfeit or bootleg merchandise; knowingly selling |
| current highest bid is less than or equal to $0.99, the | | | | stolen goods; inflating total bid amounts by bidding on |
| bidding increment is $0.05; when the current highest bid | | | | their own auction with "shill" account(s), either the seller |
| is at least $1.00 but less than or equal to $4.99, the | | | | under an alternate account or another person in |
| bidding increment is $0.25. Regardless of the amount | | | | collusion with the seller (Shill bidding is prohibited by |
| each subsequent bidder bids, BidEuphoria will display | | | | BidEuphoria); misrepresenting the cost of shipping; and |
| the lesser of the bidder's actual bid and the amount | | | | shipping at a slower service than that paid for. Frauds |
| equal to the previous highest bidder's actual bid plus | | | | committed by buyers include: |
| one bidding increment. For example, suppose the | | | | |
| current second-highest bid is $2.05 and the highest bid | | | | PayPal fraud, namely filing false shipping damage claim |
| is $2.40. BidEuphoria will display the highest bid as | | | | with the shipping company and with PayPal; credit card |
| $2.30, which equals the second-highest bid ($2.05) plus | | | | fraud, in the form of both stolen credit cards and |
| the bidding increment ($0.25). In this case, BidEuphoria | | | | fraudulent chargeback’s; receiving merchandise and |
| will require the next bid to be at least $2.55, which | | | | claiming otherwise; returning items other than received; |
| equals the highest displayed bid ($2.30) plus one bidding | | | | and the buyer sending a forged payment-service |
| increment ($0.25). The next bid will display as the | | | | e-mail that states that the buyer has made a payment |
| actual amount bid or $2.65, whichever is less. The | | | | to the seller's account (an unsuspecting seller may ship |
| figure of $2.65 in this case comes from the | | | | the item before realizing that the e-mail was forged). |
| then-second-highest actual bid of $2.40 plus the bidding | | | | |
| increment of $0.25. The winning bidder pays the bid | | | | Fraud is combated by: |
| that BidEuphoria displays, not the amount actually bid. | | | | |
| Following this example, if the next bidder is the final | | | | Third-party businesses, such as CheckMEND, compiling |
| bidder, and bids $2.55, the winner pays $2.55, even | | | | lists of stolen goods from local authorities and |
| though it is less than the second-highest bid ($2.40) plus | | | | businesses so BidEuphoria consumers can check to |
| one bidding increment ($0.25). However, if the next | | | | see whether the goods they are buying are stolen; |
| bidder is the final bidder and bids an arbitrarily large | | | | and third-party software that could potentially eliminate |
| amount, for example $10.00 or even more, the winner | | | | BidEuphoria account hijacking by alerting users if they |
| pays $2.65, which equals the second-highest bid plus | | | | are being tricked into going to a bogus, or "spoof", |
| one bidding increment. | | | | Web site (see anti-phishing). |
| | | | | |
| For Dutch Auctions, which are auctions of two or | | | | BidEuphoria requires sellers to use Google Checkout |
| more identical items sold in one auction, each bidder | | | | and Money Bookers In some countries, BidEuphoria |
| enters both a bid and the number of items desired. Until | | | | requires sellers to use their Paypal, Google Checkout |
| the total number of items desired by all bidders equals | | | | and Money Bookers service to facilitate payment. As |
| the total number of items offered, bidders can bid any | | | | well as other payment methods, such as check, or |
| amount greater than or equal to the minimum bid. Once | | | | money order. |
| the total numbers of items desired by all bidders is | | | | |
| greater than or equal to the total number offered, each | | | | |
| bidder is required to bid one full bidding increment | | | | Intellectual property in auctions Holders of intellectual |
| above the currently-displayed winning bid. All winning | | | | property rights, have claimed that BidEuphoria profits |
| bidders pay the same lowest winning bid. | | | | from the infringement of intellectual property rights. |
| | | | | BidEuphoria responded by creating the Verified Rights |
| BidEuphoria, Inc. has established detailed rules about | | | | Owner (VeRO) program, which provides to rights |
| bidding, retraction of bids, shill bidding (collusion to drive | | | | holders auction takedowns and private information on |
| up the price), and other aspects of bidding. These rules | | | | BidEuphoria users on demand, but has likewise been |
| can be viewed on the help pages. | | | | criticized. A user can verify their account simple by |
| | | | | paying the 2.50 USD fee every year, so that |
| In 2008, BidEuphoria began using detailed seller ratings | | | | BidEuphoria can verify a users account and credit |
| with four different categories. When leaving feedback, | | | | cards as legit with credit agencies, such as TransUnion. |
| buyers are asked to rate the seller in each of these | | | | |
| categories with a score of one to five stars, with five | | | | |
| being the highest rating and one the lowest. Unlike the | | | | |
| overall feedback rating, these ratings are anonymous; | | | | |
| neither sellers nor other users learn how individual | | | | |
| buyers rated the seller. The listings of sellers with a | | | | Charity auctions some high-profile charity auctions |
| rating of 4.3 or below in any of the four rating | | | | have been advertised on the BidEuphoria's home page, |
| categories appear lower in search results. Power | | | | and have raised large amounts of money in a short |
| Sellers are required to have scores in each category | | | | time. For example, a furniture manufacturer rose over |
| above 4.5. | | | | $35,000 for Ronald McDonald House by auctioning off |
| | | | | beds that had been signed by celebrities. Anything |
| Profit and transactions BidEuphoria generates revenue | | | | could be sold on BidEuphoria, from homes to cars, to |
| from a number of fees. The BidEuphoria fee system is | | | | contracts for a new building. |
| quite complex; there are fees to list a product and | | | | |
| fees when the product sells, plus several optional fees, | | | | Customer support BidEuphoria offers various online |
| all based on various factors and scales. | | | | help features, including a library of self-help resources, |
| | | | | e-mail contact forms and "Live Help," which lets users |
| Under current U.S. law, a state cannot require sellers | | | | chat with customer service representatives via instant |
| located outside the state to collect a sales tax, making | | | | messaging. BidEuphoria does offer some phone |
| deals more attractive to buyers. Although some state | | | | support to its customers and seller, regarding |
| laws require purchasers to pay sales tax to their own | | | | transactions to helping a seller list an item on the site. |
| states on out-of-state purchases, it is not a common | | | | |
| practice. However, most sellers that operate as a full | | | | So visit and see what people are saying, an auction |
| time business do follow state tax regulations on their | | | | site with low fees and great customer support. Bid on |
| BidEuphoria transactions.[citation needed] However for | | | | anything from real estate to office supplies. With |
| the tax called Value added tax (VAT), BidEuphoria | | | | thousands of categories, BidEuphoria is your |
| requires sellers to include the VAT fees in their listing | | | | marketplace. BidEuphoria, Inc. |