I spent some time on DealDash.com to try and understand what’s going on. I spent a Sunday working the site to find ways to win. I got my money back with a couple bids, but it definitely took some work. Let’s find out how it works and some tips and tricks I found so you can win.
What is DealDash?
DealDash is a website where you can bid on items or buy them outright. Here’s the catch – each bid you put down costs money on it’s own. Anywhere from 10-60 cents a bid, which is set by DealDash when you purchase bid packs. Currently it’s at about 12.5 cents per bid.
Once you purchase your bid pack, you go into the auction area. You can start to bid on any item that is new and under $5 in the bidding process. Placing a bid means you are eligible to bid up until the end of the auction.
When you bid, 10 seconds is put on the auction clock. If someone else bids, the clock resets. If no one else bids within that 10 seconds, you win the bid.
When certain auctions hits $5, it will close to any new user. If you bid before that cap, you can always come back and continue to bid on the item.
Bidding Can Go For Days
I am currently on a auction for an iPad mini 64GB. This auction started 24 hours ago and is at about $100.00.
The Price of an Item – The Math
Let’s say you bid on a $10 gift certificate. You placed 10 bids and won the certificate at $1.25. Since you paid .125 cents for each bid, you technically paid 2.50 for a $10 gift certificate. Not too bad.
However, you might have bid for 5 other gift cards you didn’t win – each 10 times. That is an additional $6.25 you might have spent to finally win a $10 gift card.
Getting More Gift Bids
DealDash gives you more ways to win extra bids. Every time you bid, you start a “Top bidders” timer which is set by what level bidder you are. Once you expire the timer, you receive more bids. You can also get more bids by filling out your profile, referring others to the site, Tweeting out deals, and more.
Therefore, a .125 bid might technically be less the more you work the system.
Buying the Item Outright
Each item can be bought outright. The option also includes getting your bids on that item back.
Is This Legal?
I don’t see any indication of tampering of the auctions. I do believe there are people out there that will spend 300-400 or more bids just to get an item. In the case of the iPad Mini, if you were to bid to the $528 price limit and only had another bidder in the auction, you would have bid at most 2,200 times. But auctions like this will have 60-90 bidders, so you might at most make 200-300 bids.
The site uses McAfee Secure to handle any types of malicious events.
Another device the site uses to deter career bidders is a One Per Week policy. That means I can’t bid on another iPad mini for a week if I win this auction.
Tips on Bidding on DealDash
Check Who Else is Bidding
The info page of each auction includes the list of others that have placed bids. Although you see a limited history of who bid, you can determine if this item will go high or low depending on who is in the running.
Bid Early, then check in at the $5 limit
Get into the action before that $5 “No New Bidders” limit. When the limit is reached, go back in and see how many bidders there can be. This can determine whether an auction will end within an hour or take 2-3 days.
This is a service any bidder can use at any time during the auction to make sure they don’t lose out. Simply tell BidBuddy how many bids you want to place last second to keep the auction going and possibly win the item. This can be a great way to win items when you are away from your computer.
Keep in mind others might be using BidBuddy, so you will have to determine the possible amount using the service and figure how many automatic bids they may have placed. I would guess 20% of the overall price of the item (A $100 product could mean someone is willing to auto bid $10-$20). Multiply that by the amount of bidders (I would venture a guess that 60-70% of bidders set up BidBuddy at some point in the auction).
Average the Previous Winners
Look at where other people are winning the auction at. You can then make a determination of when to jump back in to bid and save your bids or even use BidBuddy at that point.
Once You Win
You can purchase the item or matching amount of bids they offer as an alternative. Keep in mind DealDash has right to substitution if the item is defective or other. Deal Dash allows for 100% Money back on your first Bid Pack purchase – no questions asked, win or lose. After that, unused bids from purchased Packs can be returned for refund.