This is an issue that comes up on eBay a lot.
A seller sets a reserve price to ensure that an item doesn't sell for less than a certain price. Is there a good reason to keep the reserve secret?
Some sellers will reveal their reserve if you ask them, but others say, "I never reveal my reserve price."
Is there any benefit to keeping the reserve secret? Does is make people want to bid, or does revealing the reserve give bidders an idea of how high to bid?
I'm sure that all of us have either sold items with a reserve price, or bid on items that had a reserve, so everyone should have some opinion on this!
personally i dont like reserve price auctions because it sucks to wait for the reserve to be met by other bidders or it sucks to bid early to put yourself on the line not knowing what the hidden price is.so rarely do i generate interest on a reserve auction or bid on them unless it is something i really need badly.
i can understand though why some sellers would use a reserve as they are trying to protect what they have into the item,especially the big ticket items.
most times though the open auctions do get much more than a reserve auction because it is much more emotional and exciting to bid to win!