What factors should I consider when pricing a custom object for an online auction?

When pricing a custom object for an online auction, there are several key factors to consider:

Estimate vs. Reserve Price

It's important to understand the difference between the estimate and reserve price:

• The estimate reflects the perceived value of the object
• The reserve is the actual starting price for bidding

For custom objects, you want to show their value through the estimate while ensuring they sell by setting an appropriate reserve.

Factors Affecting Value

Inherent Value

Consider if the object has an inherent base value in its unmodified state. This can help guide the low end of the estimate range.

Impact of Customisation

Evaluate how the customisation has affected the object's value:

• Customisation by a well-known artist typically increases value
• However, it may decrease appeal if the object is collectible on its own
• Ensure customisation doesn't impair functionality, as this limits potential buyers

Ease of Ownership

Consider how easy the item is to display, maintain, and insure. More challenging items may have a smaller but potentially higher-spending audience.

Artist Range

With multiple artists, consider giving items the same wide estimate range. This lets bidders determine value and avoids comparisons between artists.

Setting the Reserve

For unique custom objects without auction precedent, it's best to set conservative reserves:

• For charity auctions, price to sell and maximize fundraising

Otherwise, have a plan for unsold items post-auction.