Is a Scam?

I don’t think that is a scam but I do think that it’s a rip-off to the consumer. The truth of the matter is that once you sign up with them they get your credit card, that’s the only thing they’re after nothing else matters them. The reason why I don’t like and all the penny auctions for that matter is that they make so much money and if you watch most of these penny auctions online what do most of them do they make a bunch of money and then one day they stop shipping out items to their customers and then one day they close their doors. I’ve seen this happen plenty of times the biggest one to do this was

My complaint with and why I think people should stay away is doing exactly what a lot of the other fly by night penny auctions have done which is they have their bid prices at different rates. If you purchase a smaller bid back at $69, each bid costs you 0.60 cents if you buy their huge bid pack at $119 each bid cost .35. Now I’m not saying that dealfun will do this but the last time I saw a company do this it went out of business within a few months. It’s very easy to make and lose profits in a penny auction business. Another thing you have to take into consideration is the faulty penny auction business model.

A lot of penny auction websites have inflation problems which are caused by them having too many auctions for bid packs. Penny auctions usually do this when they’re low on money or on merchandise and need to keep the game a float. What happens is there will be a bunch of users that have a bunch of bids raised from bid packs which will enable them to win a lot of auctions for close to nothing. The truth of the matter when it comes to penny auctions is that most of the people who lose don’t come back. So the smart ones that are hoarding bids start winning things for cheap and don’t forget that penny auction has to keep advertising to stay afloat which in reality will in time drain it’s ‘treasury’ if the owner hasn’t done proper accounting. is one huge marketing gimmick!

The whole penny auction industry is just one huge marketing gimmick personally I recommend staying away. I also don’t recommend buying your own because the penny auction industry is very competitive and unless you have the dollars to advertise you will lose big. On the buyers side in my opinion and all the sites like it are borderline gambling and should be treated as such. I can’t call a scam until they decide not to deliver the merchandise to the winners of their auctions. I don’t think you should join.

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