While easy to admire the business model and psychological tools being employed, 
it has a poor reputation among those giving feedback on the site. Honestly, it 
seems likely that they could have hired persons to boost bids (which is 
certainly unethical and usually illegal). 

Check out this evaluation site. (I run an app in my browser that checks sites 
against these ratings to warn me of scams, etc.)

http://www.mywot.com/en/scorecard/quibids.com

Paul C. Bernhardt
Department of Psychology
Frostburg State University
Frostburg, Maryland



-----Original Message-----
From: Rick Froman [mailto:[email protected]]
Sent: Sat 1/7/2012 12:46 PM
To: Teaching in the Psychological Sciences (TIPS)
Subject: RE: [tips] Social Psych example
 
I saw it as an amazing refinement on the simple dollar auction (bidding for a 
dollar) where both the winner and the second place bidder have to pay. In this 
case, all of the bidders have to pay and they pay before the bidding has begun 
so they don't have to be bothered with the feeling that they are spending money 
during the auction. They are just consuming something (bids) they have already 
bought. Bids are limited to increments of one cent so it increases the number 
of bids. This also makes it impossible for a winner not to end up paying what 
they bid. The site even provides helpful information on starting small with 
bids that are more likely to win therefore providing customers with initial 
successes (reinforcement) that might tend to immunize them from the later 
experiences of not winning (partial reinforcement extinction effect instead of 
consistent punishment).

And, although dollar auctions can provide some return on an investment over a 
dollar, it would be dwarfed, as Ken Steele shows, by the profit margin on 
quibids.com. If you are fortunate enough to win a bid, you may get it for less 
than it would cost at retail but the site makes (from all bidders) much more 
than they could get from retail. In this sense, it makes it seem similar to 
gambling where someone (and certainly "the house") in this case makes (or 
saves) a lot of money while many spend a lot of money for no tangible benefit. 
It certainly fits with the "I'm hooked" comment by one excited and satisfied 
user.

Rick

Dr. Rick Froman, Chair
Division of Humanities and Social Sciences
John Brown University
Siloam Springs, AR  72761
[email protected]
________________________________________
From: Michael Britt [[email protected]]
Sent: Saturday, January 07, 2012 5:31 AM
To: Teaching in the Psychological Sciences (TIPS)
Subject: Re: [tips] Social Psych example

Rick,

I discovered quibids a while back and it is an interesting site.  I haven't 
participated in it, but I noticed they now have commercials on TV so it must be 
gaining in popularity.  The connections to psych I saw with it were in the area 
of Cialdini's influence principle of scarcity - if buyers doesn't act quickly 
enough they'll "lose out on an incredible price" kind of thing.

There's also an excitement about the site.  Things are moving really quickly.  
Not sure where that aspect of it fits into psychology.  What principles of 
social psych did  you see in it?


Michael A. Britt, Ph.D.
[email protected]
http://www.ThePsychFiles.com
Twitter: mbritt





On Dec 31, 2011, at 10:56 AM, Rick Froman wrote:

> I just found this website (quibids - I didn't provide a clickable link in 
> case it would be blocked as spam - just add .com to the end of the name) and 
> thought it would make a great example for anyone teaching Social Psychology. 
> I don't suggest actually participating in it. I do think it is quite 
> interesting in the number of Social Psychological principles applied in its 
> operation. Its almost like someone created it as a term project in Social 
> Psychology. I think it is funny that one of the comments on the site included 
> the term, "I'm hooked!" in a positive way.
>
> Rick
>
> Dr. Rick Froman, Chair
> Division of Humanities and Social Sciences
> John Brown University
> Siloam Springs, AR  72761
> [email protected]<mailto:[email protected]>
>
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