Network auction system and method

• US 20050197950A1
• Filed: 02/24/2005
• Published: 09/08/2005
• Est. Priority Date: 02/25/2004
• Status: Active Grant

• Current Assignee: Avrom Joshua H. Parker, Jean-Guy Moya, Paul Walter Dinkel
• Original Assignee: Avrom Joshua H. Parker, Jean-Guy Moya, Paul Walter Dinkel
• Inventors: Moya, Jean-Guy, Dinkel, Paul Walter, Parker, Avrom Joshua H.
• Granted Patent: US 7,555,445 B2
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

The present invention provides a computerized system and methods for conducting on-line auctions. One or more concurrent auctions for one or more lots of products or services may be conducted. A dynamic pricing mechanism allows bidders to view the price at which a lot is offered and to make a bid when the price is acceptable to the bidder. In some embodiments, the results of the auction of one lot affect the starting price, reserve price and other characteristics of auctions for subsequent lots. In some embodiments, the pricing of a lot may depend more generally on the demand for similar products. Mulitple stage auctions with declining price and rising price aspects are also provided.

Claims

1. A method for auctioning a plurality of lots, the method comprising:

(a) providing an auction server;

(b) recording an auction item profile for the lots in the auction server, wherein the auction item profile includes;

(i) a first starting price at which the auction of a first lot will commence;

(ii) a spread factor for determining a starting price for a second lot and subsequent lots;

(iii) an auction price change; and

(iv) a first reserve price,

(c) initiating a first auction for the first lot, wherein the first auction begins at the first starting price, and wherein the first auction has a first current price that is initially set equal to the first starting price;

(d) during the first auction, changing the first current price according until the first current price reaches a first reserve price or until an offer is made for the first lot, wherein the offer is made from an auction interface coupled to the auction server through a communication network; and

(e) after (d), initiating a second auction for a second lot, wherein the second auction has a second starting price that is determined, at least in part, by combining the spread factor and the outcome of the first auction.

2. The method of claim 1 wherein, during (c), the auction server transmits the first starting price, the auction price change factor and the first reserve price to each of the auction interfaces and wherein during (d), the auction server periodically, after a sleep time, transmits a new first current price to each of the auction interfaces.

3. The method of claim 2 wherein, during each sleep time, each auction interface periodically changes the first current price based on the auction price change factor and displays the changed first current price.

4. The method of claim 1 wherein the current price for the auction that is being carried out is manually changed at the auction server and wherein the auction server transmits the new current price to the auction interfaces.

5. The method of claim 1 wherein the reserve price for the auction that is being carried out is manually changed.

6. The method of claim 1 wherein the reserve price for the auction that is being carried out is changed, at least in part, based on the outcome of another auction.

7. The method of claim 1 wherein the current price for an auction that is being carried out at any point in time is adjusted by periodically changing the current price based on the auction price change factor.

8. The method of claim 1 wherein the current price for an auction that is being carried out at any point in time is adjusted by incrementally reducing the current price by the auction price change factor.

9. The method of claim 1 wherein the current price for an auction that is being carried out at any point in time is adjusted by incrementally increasing the current price by the auction price change factor.

10. The method of claim 1 wherein the current price for an auction that is being carried out at any point in time is adjusted based on the outcome of one or more other auctions.

11. The method of claim 10 wherein the other auctions relate to other lots similar in at least one characteristic to the lots and the other auctions are selected because their outcomes may indicate a trend in the demand for the lots.

12. The method of claim 1 wherein, in (d), the first current price is progressively reduced and wherein, if the first auction ends when the first current price reaches the first reserve price, then second starting price is lower than the first starting price.

13. The method of claim 12 wherein the second auction has a second reserve price and wherein the second reserve price is lower than the first reserve price.

14. A method for auctioning a plurality of lots, the method comprising:

(a) providing an auction server;

(b) recording an auction item profile for the lots in the auction server, wherein the auction item profile includes;

(i) a first starting price at which the auction of a first lot will commence;

(ii) a spread factor for determining a starting price for a second lot and for subsequent lots;

(iii) an auction price change factor; and

(iv) a first reserve price,

(c) initiating a first auction for the first lot, wherein the first auction begins at the first starting price, and wherein the first auction has a first current price that is initially set equal to the first starting price;

(d) during the first auction, reducing the first current price incrementally by the auction price change factor until the first current price reaches a first reserve price or until an offer is made for the first lot; and

(e) during (c) or (d), initiating a second auction for a second lot, wherein the second auction has a second starting price and wherein the second auction has a second current price that is initially set equal to the second starting price; and

(f) during the second auction, reducing the first current price incrementally by the auction price change factor until the second current reaches a second reserve price or until an offer is made for the second lot, wherein the first current price and second current price are simultaneously displayed on one or auction interfaces coupled to the auction server.

15. The method of claim 14 further including, when any auction ends, initiating a new auction for a new lot, wherein the new auction has a new starting price and new current price and wherein the new starting price is based, at least in part, on the spread factor and the ended auction and wherein the new current price is displayed on the auction interfaces with the current price of the other auctions that have not ended.

16. The method of claim 14 further including synchronizing the display of the first current price on the auction interfaces.

17. The method of claim 16 wherein the display of the first current price on the auction interfaces is synchronized by:

(i) determining a lag time for each auction interface; and

(ii) transmitting the first current price to each auction interface at a time selected based on the lag time for that auction interface so that the first current price is received at the auction interface at approximately the same time.

18. The method of claim 17 further comprising making a list of auction interfaces and their corresponding lag times, ordered from the longest lag time to the shortest lag time, and transmitting the first current price to the auction interface with the longest lag time first and then transmitting the first current price to each successive auction interface in the list at a time selected based on the difference between difference between the longest lag time and the lag time for the successive auction interface.

19. The method of claim 14 further including:

(g) after (d), initiating a third auction for a third lot, wherein the third auction has a third starting price and a third current price that is initially set equal to the third starting price, and wherein the third current price and the second auction price are simultaneously displayed on the auction interfaces,

wherein the third starting price is determined, at least in part, based on the spread factor and the outcome of the ended auction.

20. The method of claim 19 further including, when any auction ends, initiating a new auction for a new lot, wherein the new auction has a new starting price and new current price and wherein the new starting price is based, at least in part, on the spread factor and the ended auction and wherein the new current price is displayed on the auction interfaces with the current price of the other auctions that have not ended.

24. The method of claim 14 further including, when each auction is initiated, the auction server transmits the starting price and the reserve price for the auction to each of the auction interfaces and wherein each auction, the auction server periodically, after a sleep time, transmits a new first current price to each of the auction interfaces.

25. The method of claim 24 wherein, during each sleep time, each auction interface periodically changes the first current price based on the auction price change factor and displays the changed first current price.

26. The method of claim 14 wherein the current price for each auction that is being carried out at any point in time is adjusted by periodically changing the current price based on the auction price change factor.

27. The method of claim 14 wherein the current price for an auction that is being carried out at any point in time is adjusted by incrementally reducing the current price by the auction price change factor.

28. The method of claim 14 wherein the current price for an auction that is being carried out at any point in time is adjusted by incrementally increasing the current price by the auction price change factor.

21. The method of 14 including, during the first and second auctions, initiating a third auction for a third lot, wherein the third auction has a third starting price and a third current price that is initially set equal to the third starting price, and wherein the first second and third current prices are simultaneously displayed on the auction interfaces.

22. The method of claim 21 further including, when any auction ends, initiating a new auction for a new lot, wherein the new auction has a new starting price and new current price and wherein the new starting price is based, at least in part, on the spread factor and the ended auction and wherein the new current price is displayed on the auction interfaces with the current price of the other auctions that have not ended.

23. The method of claim 22 wherein, when a new auction is initiated, setting the reserve price for the new auction and the other auctions that have not ended to a new reserve price based, at least in part on the outcome of the ended auction.

29. A method for selling one or more lots, the method comprising:

(a) providing an auction server;

(b) recording an auction item profile for the lots in the auction server, wherein the auction item profile includes;

(i) a first starting price at which the auction of a first lot will commence;

(ii) an auction price change factor,

(c) initiating a first auction for the first lot, wherein the auction begins at the starting price, and wherein the first auction has a first current price that is initially set equal to the first starting price;

(d) during the first auction, incrementally reducing the first current price by the auction price change factor until either (i) the first current price reaches a first reserve price or (ii) an offer is made for the first lot, wherein the offer is made from an auction interface coupled to the auction server through a communication network; and

(e) continuing the first auction by receiving additional offers for the first lot during the time period, wherein when an additional offer exceeding the first current price is received, changing the first current price to the value of the additional offer.

30. The method of claim 29 further comprising:

(f) after (e), determining a second starting price for a second auction, wherein the second starting price is determined, at least in part, based on the outcome of the first auction;

(g) initiating a second auction for a second lot, wherein the second auction has a second current price that is initially set equal to the second starting price;

(h) during the second auction, incrementally reducing the second current price by the auction price change factor until either (i) the second current price reaches a second reserve price or (ii) an offer is made for the second lot, wherein the offer is made from an auction interface coupled to the auction server through a communication network; and

(j) continuing the second auction by receiving additional offers for the second lot during the time period, wherein when an additional offer exceeding the second current price is received, changing the second current price to the value of the additional offer.

31. A method for selling one or more lots, the method comprising:

(a) providing an auction server;

(b) recording an auction item profile for the lot in the auction server, wherein the auction item profile includes.

(i) a starting price at which the auction of a first lot will commence;

(ii) an auction price change factor,

(c) initiating an auction for the lot, wherein the auction begins at the starting price, and wherein the auction has a current price that is initially set equal to the starting price;

(d) during the auction, incrementally increasing the current price by the auction price change factor until either (i) the current price reaches a reserve price or (ii) an offer is made for the lot, wherein the offer is made from an auction interface coupled to the auction server through a communication network; and

(e) continuing the auction by receiving additional offers for the lot during the time period.

32. The method of claim 31 further comprising:

(f) after (e), determining a second starting price for a second auction, wherein the second starting price is determined, at least in part, based on the outcome of the first auction;

(g) initiating a second auction for a second lot, wherein the second auction has a second current price that is initially set equal to the second starting price;

(h) during the second auction, incrementally increasing the second current price by the auction price change factor until either (i) the second current price reaches a second reserve price or (ii) an offer is made for the second lot, wherein the offer is made from an auction interface coupled to the auction server through a communication network; and

(j) continuing the second auction by receiving additional offers for the second lot during the time period, wherein when an additional offer that is less the second current price is received, changing the second current price to the value of the additional offer.