BidPax - Save Money?

Bumped onto the website called bidpax.com via facebook ads on the right where it said buy an Apple Mac for Rs. 9.58 only.

So there I was...it took me time to figure this out but they are one heck of a website...guarantee making money on all products even if they sell them at 98% discount. 

So here it goes how they make money (i will go step by step):

1)     They put up an product up on for say 30 mins to go and product might be an 42" LCD, MAC Book, Nikkon DSLR etc etc

2)     Initial cost of the product Rs. 0.00 with 10 mins pending

3)     You can bid them but before that few steps more

a)     Create a login

b)    Buy Bid Packages [Bid packages are the number of bids you can do but you have to pay up for that check at the end]

c)     Now you can start bidding

4)     Now click on the product you want to bid.

5)     The bid amount will go up by 1 paise…yes yes 1 paise!!!!

6)     After you bid the time also increases by 10 seconds giving other users opportunities to bid higher than you.

So at the end when the clock which finally turns to zero, the highest bidder buys the product

So you would say what I am getting to...well look at the chart below 

      Bids           Cost          Cost/Bid

      30 Bids       Rs. 2,160  = 72

      60 Bids       Rs. 3,456  = 58

      100 Bids     Rs. 4,608  = 46

      200 Bids     Rs. 5,760  = 29

      350 Bids     Rs. 11,232 = 32

      500 Bids     Rs. 14,400 = 29

      1150 Bids   Rs. 24,000 = 21

You can see you have to buy out bids as said before, if we calculate each bid approximately cost Rs. 65 and below as we increase the number of bids we want to buy.

So you start to think of buying a LCD 32” Samsung TV on an average around 50K. People start bidding and coz they see only that product is sold for Rs. 0.01 and to the max at Rs. 10.01 and in the end the one highest bidder say Rs. 10.01 wins.

So let me start my maths here, as you can see the cost per bid in the column above maximum being 72 and minimum being 21 so overall average is around Rs. 40/bid

Let us now calculate 10.01 is the final winning cost, so 1001 times product bidding was done. Multiply it with 40

1001 x 40 = Rs. 40040

The website got back Rs. 40040 back from the user itself plus Rs. 10.01 as a bonus.

Now doesn’t that make a good business deal?

I would like to congratulate the guys who did it all…