I've been thinking off and on about how to incentivize people to [
en.wikipedia.org]
bid their true value on an item, so that there's less benefit to waiting until the last minute to bid. Problem is, they're all either difficult to implement trustworthily, or strange compared to the way we normally do things. (Precise technical communication is already difficult given the international nature of the forum and different language proficiency levels. In addition, even though the rules have stayed the same for years, a surprisingly large number of invalid and canceled bids are still made today.)
One answer is to have a random ending time inside a set interval, which no one knows in advance. That way, for everyone who truly wants an item, it's in their interest to have bid their highest bid by the start of the interval.
Another answer is for all bids to be made by proxy, so that each item has a public current going price (the price the highest bidder would pay if the auction ended at that moment), and each person interested in the item has a secret submitted max bid. This way, once two people have (secretly) declared a particular max bid, the price immediately rises to the max bid of the
second highest bidder (which the price would have eventually risen to anyway once the hard fighting begins in the last 15 minutes, the way we currently do things). In this situation, a party may as well send a max bid close to their true max bid from the beginning, rather than the type of many frequent back-and-fourth bids at the end that happens currently. Problem is, this requires the bidder to trust the proxy system.
Another answer is for parties to be allowed only one bid, which is kept secret until the end of the auction, at which point everyone's bids are revealed at once and the highest bidder pays their bid and wins. So, people have an incentive to bid their true value of the item, and not any more or less.
There are other similar strategies, but they all have the same coordination problem.
Another possible answer, for sniping, is to have a long extend time, such as an hour or a few rather than 15 minutes, decreasing the chances of the person they're sniping losing track. It could also make things much less hectic during the end time.
Another answer for sniping is outbid notifications, but they already exist.
Though, for high-value items, I think most bidders are already smart enough and interested enough to keep from being sniped. It's the low and medium-value items that few pay attention to that are vulnerable to that sort of thing.
If anyone has any ideas, feel free to suggest...