If you’d like an unbiased review of Penny and DealDash auctions, read on. Unlike the majority of what you read or see online about penny auctions, no business is bribing me and my information is factual not merely a mad person spouting off about it being a scam. I signed up last week for DealDash. Read below for my synopsis.
The first thing to consider: Each cent bought at full price on DealDash is 60 cents. Those 3,000 bids really equal 1800 for the business. At the Apple Store, an iPad 64 with WI-fi costs 699.00. That is more than twice the amount of the real merchandise. I’m sure they’re buying these items in volume, thus marked down which equates to probably an even bigger profit. The winner has paid whatever they rolled out in “credits” or bids plus shipping.
I’ll describe more in detail 30 actually equals $1800. $30.00 equal 3000 cents. You need to buy that ability to spend that “cent”. It’ll cost you 60 cents in advance for each “penny” you would like to offer. Each creditor “cent” equals 60 cents. So 60 cents (the cost of a bid or “cent”) times 3000 bids or cents equals $1800. They offered me a “deal” last week when I signed up at allegedly half away. I purchased 200 credits for $60. That means that each credit was 33 cents, or so I believed (which I explain below). Individuals can also bid on credit bundles.
As an example, there was an auction for 40 credits in which 5 people participated. If one were to buy 40 credits from Dealdash.com, it’d cost them $24. The last price of the auction was .69 (which means DealDash made about $41 for something they value at $24). If I divided this up equally, each person bid 13.8 times. This means the winner probably spent about $8.28 if their credits were bought at the 0.60$ cost. When they purchased the credits at half away like I did or won the credits for a fraction of the price that causes a serious imbalance in purchasing power between bidders.
Is it legit? Well yes. Is the vending machine in the arcade, mall, or grocery store legit in which you win an IPad, or other such virtually impossible to win prizes and place in a quarter? This competes with more or 10 other people to win that same prize and is more like the place of $20 or more. 9 times out 10 you’ll walk away with nothing.
It is essentially betting along with the majority of those who play seems to possess that mentality that is betting. A whole lot of, I will call them players rather than bidders as it’s more of a game in which cash is at stake and is actively being gambled, will spend far more on the gambling than on the actual winning. I watched many people blow way more on a product about the worth, not win, then blow more on other products. How are these people managing to do this?