In the course of my work, I have the pleasure of working for a variety of auction companies throughout Minnesota. In these travels, I have come to realize a few things.

1. My customers are your customers. The exclusive list of customers we maintain on file is not nearly as exclusive as I’d like to think. In fact, auction customers are auction customers. They are not my customers or your customers. In my travels, I have often visited with individuals who I thought were my exclusive customers. These customers are not loyal to a particular auction company; they are loyal to the auction method of marketing. They are in search of a particular product. Whether that product is sold by me or you, it is of no consequence to the consumer.
2. The work is done before auction day. There are differences between each auction company within Minnesota. However, the truth of the matter is on auction day very little separates each company. The major differences I see between auction companies occur prior to the auction. It is the communication, the procedures, the advertising and other intangibles. On auction day, the process is the same: we register bidders, we sell items, we collect payment, and we settle the auction. It’s the same everywhere. The best companies are outperforming the competition on non-auction days.
3. The communication with others drives change. How often are you talking to others within the auction industry about the business of auctions? I spend nearly an hour every week (sometimes two or three hours) talking to our marketing guru (plus others within the industry from other auctioneers, to marketing directors, to online auction companies). These conversations revolve around how others are marketing auctions, what technology others are using, what is working, what is not, and where technology is going in the business, just to name a few. These conversations are invaluable. They have led to many changes in how we do business. Are you spending time investing in those experts around you and gleaming knowledge from them for use in your business? If you’re not, you’re missing out on valuable knowledge.
4. Technology is changing the way we do business. I regularly travel across Minnesota providing technology solutions to auction companies. In these travels, I am increasingly aware internet technology is changing the way we do business. A recent auction realized $80,000 in gross sales. There were 31 bidders in the room and 92 bidders online. The online bidders had placed pre-bids totaling close to $55,000.00. Where would the auction have been without the online bidders?
5. Face to face contact with customers is becoming less common. With the advent of internet everywhere (computers, laptops, phones, and kiosks in airports), I am increasingly dealing with customers whose only contact with our company is via our website and emails. They have never been to an onsite auction and never talked to us on the phone. Are you capturing this market and retaining these customers? Do you have a method in place to regularly communicate with these customers?

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