The popularity of auctions has ancient roots and is widespread in the trading culture of different markets and countries. Initially, the word “auction” implied a public sale of goods, securities, works of art and other objects, which is carried out according to predetermined auction rules.
The principle common to all auctions is the competence. among potential buyers. During the process of competition between buyers for the right to purchase goods, the winner of the auction is revealed. The auction winner is the person who won the auction according to his rules. In this case, the object is acquired by the auction winner.
An auction website is used to automate real life auction procedures through an online platform where users can buy or sell their items. The most famous example of an auction website is eBay, launched in 1995.
The eBay site has become one of the most profitable companies in the United States. eBay’s annual net revenue in 2021 reached the milestone of US$10.42 billion.
Amazon, a Commerce Site Launched in 1994 by American businessman Jeff Bezos, it became another popular online auction website.
REASONS FOR THE EFFICIENCY OF THE AUCTION BUSINESS MODEL LIKE EBAY
- The absence of geographic barriers – Sellers and buyers can bid on eBay from anywhere in the world. All you need is Internet access. This increases the number of sellers or lots and the number of buyers who bid.
- No time limits – You can bid on eBay products 24/ 7. The lots, in turn, can be exhibited for up to 30 days, a period sufficient to search, discover and buy.
- User-friendly interface – The ease of use of the eBay auction services is also attractive to sellers. In addition, each member can become a seller.
- A wide range of functions – Listing, credit card payment, delivery and other Options are the core features you need to consider when creating an auction website like eBay. The number of additional functions that can be developed is almost unlimited.
- Absence of language barriers – Auction participation is possible in several languages. Many countries have their own local eBay auction branches.
- Large Number of Buyers – Millions of buyers are drawn to a wide variety of of products. at a relatively low price.
Due to the above facts, Amazon and eBay online auctions have become the most popular retail websites in the United States.
HOW TO CREATE AN AUCTION WEBSITE
Auction website development is a complicated process that involves a lot of crucial stages. Below you will find a detailed and consistent guide on how to create an auction website and succeed.
Step 1. Buy name from domain
You need to think of a domain name idea for your website. Every website must have a domain name to be accessible to users on the Internet. It usually comprises the name of a website, so users can easily find it online.
Ideally, the domain name should be short and catchy, so that users can easily associate it with something and remember it. Ebay.com is a great example of a perfectly chosen domain name.
Many online services and web hosting providers offer the opportunity to find available domain names to choose from and purchase so that users can find their online auction software on the Internet. Google Domains is one of the most popular services.
Here are some tips to know when buying a domain name so you don’t go wrong:
- Choose top-level domain names (TLDs) like .com, .org , .net
- Check the domain rating using SEO tools like the Ahrefs website “authority” checker
- Check the history of a domain name using the Wayback Machine, the largest internet archive
In case you already own a domain, you can easily attach it to a new server, so there is no need to buy a new one. Also, don’t forget to renew your domain name reservation so you don’t lose it.
Step 2. Prepare for website development
To develop stress-free online auction software and eliminate possible bottlenecks, it is convenient to prepare well. If you don’t know how to make a sales website, we recommend preparing the following:
Product Vision
You need to clearly understand what you want to achieve and prepare a product vision. .It is a document that describes the main objective of developing an online marketplace. Also, it should imply the list of short-term and long-term business goals that you want to achieve. A clear product vision will help you develop a detailed roadmap for building an auction website.
User Roles
An online auction marketplace can have many different users. Different types of users have access to different functionality, depending on their goals. You must define the user roles and the essential characteristics for each of them.
The main roles of users of an auction website are:
- Buyer: a person who uses a site to search for new items and share offers. Buyers must be able to create an account, place offers, monitor bidding processes, communicate with sellers, find items, share reviews, etc.
- Seller: a person who sells items. using online auction software. Sellers should be able to create an account, add new products, edit item descriptions, monitor sales, receive payments, etc.
- Admin: Admins can have different permissions set by the seller. main admin user. They must be able to moderate auctions, delete user profiles, update content, check statistics, etc.
List Features
Create a list of features that software engineers need to develop. It will help them properly choose a technology stack and discuss the approximate scope of work.
The set of functions may depend on the needs and specifics of a particular business. For example, such platforms are popular and have been successfully implemented for auto and motorcycle trading, selling collectibles, antiques, etc.
Explore the main features to find out how to create a car website. auctions you anticipate the opportunity to bid online in more detail.
Feature Detailed Description Add, Delete, and Change Listings These features are required in order to successfully sell products. Each listing should also have features such as detailed features, descriptions, photos, videos, and user reviews. Newsletters
This can be sending an email after the end of the auction and informing customers daily about new listings of interest. To implement this feature, it is necessary to remember about integration with mail services and RSS implementation.
Secure data storage This is one of the most critical features. Today it is impossible to implement any web platform without security features. You should think about secure transactions between users, the storage of personal data, passwords, personal information, etc. Bidding Function There are a large number of auction types and bidding strategies for products. The most popular auctions are: English auctions, Dutch auctions, First Price Sealed Bids and Reverse auctions. Payment gateways Currently, web platforms use a considerable number of payment systems. The most popular solutions are PayPal or Stripe integration. Messaging The opportunity to communicate between the seller and the buyer is just as important as the communication with support. Analytics For sellers who can potentially start promoting their business through their auction platform, receiving insight into product views, purchases, and conversions is essential.
Website development method
The two most commonly used methods for building an auction website are:
- Ready-made solution – A pre-built website that has basic functionality. The owner must install it and add content. Out-of-the-box solutions usually come with content management systems (CMS) like WordPress.
- Custom Website: A unique website built from scratch. With the help of custom website development, you can get a site that meets all your requirements and is 100% customizable.
Let’s look at the comparison of the two most popular site development approaches to find out how to create an online auction website in more detail.
Turnkey Solution Site Development custom websites Scalability The ability to scale a website is limited by a system. Developers can easily scale a custom auction website. Security Poor security due to the use of a large amount of third-party code. High level of security and low risk of loopholes. Functionality Limited number of features. In some cases, new features can be added by installing third-party plugins. The number of features is not limited. Developers can improve the functionality of a website on request. Search Engine Optimization Poor Search Engine Optimization because the code is generated by a CMS. Excellent search engine optimization because developers can update the code. Low price or free. In most cases, users need to make recurring payments. Single payment. The cost of building an auction website is higher because the code is written from scratch and involves third-party integrations. Design Pre-built website design.Users can usually make minimal design updates and add content. Custom website design. It can be easily upgraded to create a solution to match all requirements. Website loading speed Low or moderate loading speed. A CMS generates new code every time a user updates a web page. Fast charging speed. Browsers access well-optimized code to load content simultaneously.
Monetization model
It is vital to consider how an auction website will generate money before development begins. The most popular monetization models applied when creating an auction website are:
- Seller Commission: Vendors are required to share a percentage of the money they earn from bidding .
- Listing Fees: Sellers must pay a fee to add new items to a website.
- Buyer Fees: bidders must pay a commission for each transaction they make.
- Ads – No commissions or charges. The website owner earns money by showing ads to customers.
Choose the most suitable monetization model for software engineers to create an auction website with the required functionality. In some cases, different monetization models can be combined.
List of Integrations
Most auction websites have integrations with third-party services. The main ones to consider are:
- Shipping – Calculate the delivery price in real time and ship the goods quickly. For example, FedEx and UPS, the largest delivery companies in the US, have API solutions for developers to integrate their services into an auction site.
- Social – Integrations with social networks can facilitate the registration process. In addition, they can be used to develop chat and comment features.
- Payment Processing: Receive and make payments without stress using third-party services. PayPal, Stripe, and Braintree are the most popular payment processing integrations.
Technical Requirements
Accurate technical requirements help developers choose the right technologies to build an auction website. This is the essential technical requirements checklist that must be completed.
- Load: the estimated number of users that will use a website. It will help developers create the right solution and choose a server.
- Website structure: the structure of pages and their hierarchy to understand how users will use a site.
- Wireframes: the rough layout of elements on web pages.
- Browser and device compatibility: a website must support this list of browsers and devices, including smartphones, tablets, and laptops.
- Page Load Speed: The maximum, desired speed to load a page. Affects customer satisfaction and ranking.
- Legal Compliance: Any legal requirements that must be met. For example, all sites operating in the European Union must comply with the General Data Protection Regulation (GDPR).
After sharing all the details with the developers, they will estimate your project to provide the approximate cost to build an auction website and timeframe.
Step 3. Create User Interface / UX Design
Website design development is a crucial stage that needs to be done when creating an auction website. Once the wireframes are ready, designers need to make the mockup of their site. They must design a logo, choose the color scheme, and create UI elements placed in a particular order.
To develop the right user experience design, experts need to analyze business requirements thoroughly. It will help them develop a well-thought-out UX design that helps achieve business goals.
Step 4. Choose Tech Stack
Share all collected documents and technical requirements with developers so that they can offer a technology stack proposal. Software engineers who know how to create an auction website will research and offer the best technologies to achieve all goals.
There are many different technologies that can be used to create an auction website. Nowadays, you don’t just have to compose the HTML code of the online auction together with CSS and JavaScript to develop the front-end. It is also advisable to consider various new technologies such as BootStrap, especially the plethora of JavaScript frameworks such as Vue.js, React.js, Angular.js and others.
In addition, you should choose a programming language for your back- end and define a database. You can use Java, C#, PHP, Python, and even JavaScript (MEAN Stack). Before deciding on any of these languages, you should review your requirements analysis documentation and think about which language might best meet your requirements.
Step 5.Integrated Developer Team
Whether you have an in-house team or hire a dedicated team of developers, you need integrated software engineers. The key activities that will help you prepare the developers to start working on your project are as follows:
- Share the product vision and requirements: the developers They must clearly understand the business objectives. and technical requirements.
- Choose a development methodology: There are many methodologies that help manage a team of software engineers effectively. Waterfall, Agile, Rapid Application Development, and Spiral are the most popular.
- Set up a task management tool: Project management software will help developers organize their work and tackle all tasks effectively. In addition, you will be able to monitor their performance. Jira is one of the most popular tools for assigning tasks and monitoring their completion.
- Create a task backlog: compose a list of tasks that software engineers need to address when creating an auction website. It will be used to form sprint backlogs if the Agile methodology is applied. Also, it will help you understand how to build an online auction website by breaking large tasks into smaller tasks.
- Set up communication tools: To stay in touch with everyone on your team, you need to create a communication environment using tools like Slack.
- Establish code quality standards: In order not to compromise development quality, it is recommended to establish code quality standards that all team members must follow.
Step 6. Develop MVP
Start the auction website development process by creating all the features defined in the preparation stage. It is recommended to first develop a minimum viable product (MVP). It will help you launch your website faster and focus on developing crucial features.
Today, development can refer to many factors, including security installations or client-side scripting. This can be time consuming as you have to identify scripting and network issues and at the same time find a way to resolve them.
To customize your website and add all the desired features and functionality, you can hire an outsourced team of professional developers. This option is more affordable and can also give you more freedom in building your website.
When building online auction software, you should also do the following:
Keep in mind the security
Having an SSL certificate is necessary to increase the trust of your target audience and increase your site’s ranking. Also, it is required to have an SSL certificate installed on websites that process payments.
To keep user data safe, you should develop functionality that creates regular backups of your site and stores them in a safe place.
Adding Content
Embed web content into your website. You usually include images, videos, and text on your website. While loading your content, follow these tips:
- The font size of your text should be large enough to make it readable. Your choice of font should also be legible.
- Always use high-resolution images for websites. For an auction website, image quality is crucial.
Step 7. Test your auction website
To make sure all features are working Properly, software engineers need to do coding and unit testing after creating an auction website. In addition, QA engineers must perform manual or automated tests. In addition, it can help you highlight serious bugs and security issues.
Acceptance testing is the final stage step that helps ensure all features are working properly before launching an MVP.
Step 8. Publish MVP
When the first version of your auction website is ready, you need to set up a server and make your website live. Based on shared technical requirements, developers can help you choose the best option to launch your site.
If you want only selected people to access your website, enable “under construction” mode. Meanwhile, all other users will be redirected to a page informing them that a site is not finished yet and will launch soon. So developers will be able to access your auction website and test it on a live server.
Also, it is recommended to take an extra step when launching an MVP.
Create a website design documentation
It is a good idea to create website design documentation while developing your auction website. Properly prepared documentation facilitates the work of software engineers. It will help to keep all the technical information about a product structured. In addition, it involves a user manual and a description of the system.
Step 9. Develop new features
After releasing the MVP and testing it, do not stop the development process.Feel free to analyze customer needs and improve the functionality of your site by developing new features. In addition, it is advisable to collect feedback from website users to understand what functionality they are missing to enjoy your auction website.
Maintain your website and keep developing new features constantly to improve the website and earn your business.
CODEIT EXPERIENCE
At CodeIT, we know how to build an auction website. Check out our successful projects to learn more about our expertise in the niche.
GIObikes
GIObikes is a feature-rich website focused on selling recreational lifestyle products. Thanks to convenient and intuitive navigation, users can easily find required products, choose a shipping option, and make an online payment.
Issue
Because the client no longer runs an eBay retail business, they asked our team to implement an auction function similar to your new website.
Solution
We have developed the auction functions, which are the main functionality of the website. Users can browse products and share their offers with just a few clicks. Meanwhile, users can buy products quickly by paying a fixed price.
Tendermaster
Tendermaster is a system that helps the Ukrainian government to make its offers. Private companies can review them and share their offers. The system has many features that ensure high transparency and security.
Issue
The client asked our experts to create an online auction website for transparent bid management. Our team was asked to develop a high load system integrated with the official state procurement platform.
Solution
We have many experts who know how to create a bidding system. It offers the possibility to create an offer, share offers and negotiate. Also, all users are thoroughly verified and checked to prevent fraud. Therefore, our team has built a stable system that meets all the requirements shared by the client.
SUMMARY
Statistics show that creating an auction website is a kind of profitable business. Success stories from market leaders prove it. If you don’t know how to build an auction website, follow CodeIT’s nine-step guide:
- Buy a domain name
- Prepare for website development
- Create a UI/UX design
- Choose a technology stack
- Incorporate a team of developers
- Develop an MVP
- Test your auction website
- Launch MVP
- Develop new features
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If you want to build an auction website in line with great functionality, look for a Strong technology partner is recommended. CodeIT has extensive experience building auction websites. Feel free to contact us and share your ideas. We will help you develop a website that meets all your needs.
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