Developing Swoopo – Scam or Well Designed Gimmick(Pay to Bid)?

Our company Globussoft is a product company and we are always in search of killer product ideas. This is one major reason why I keep myself updated with Freelancing sites like GAF, Odesk and Elance. They are a great place to search of killer product ideas and what’s hot and what deserves the next major development investment. clone is another such story.

After seeing its great success on US and UK and seeing its popularity in GAF and other freelance sites , we finally decided to get rolling with development. The best thing with Globussoft is that , being in this field for past 3 years , we have developed a lot of reusable components, which we reuse in most of our web projects.

This greatly reduces the turnaround time for all web applications that we develop. And this also helps us in delivering a robust , stable and high performance application to all our clients.

So we set out to study swoopo first. What exactly is Swoopo?

Swoopo is more like a real auction than eBay.  Each bid raises the price by a set amount (usually about 15 cents) and the auction is extended by 10, 15, or 20 seconds with each bid.  Here’s the catch, it costs you $1 for each bid you place and you must purchase bids ahead of time.  That also adds an element of risk.  You might try 5, 10, 20, 100 bids to win an item and get… nothing!  The payoff is tempting though.  A $125 Wii that you bid on 50 times still only costs $175 total.  Pretty good considering it’s hard to find a Wii system on the shelves for the retail $250.  There are also some gimmik auctions were the final price is waived or the final price is set and the final bid amount doesn’t matter.  How does that work?  Keep reading.

What an ingenious way for Swoopo to make money.  Consider the previous example of a Wii for $125.  Assuming a start price of $10. There had to be 767 bids at .15 increments to get the price to $125.  That means Swoopo raked in $767 ($1 per bid placed x 767) + $125 final price = $892 for a $250 video game console!
The system isn’t terribly fair either, because they have such a thing as a bid butler, which you can set to automatically place bids for you. Sounds good in theory, but if somebody else puts a bid butler on as well, the two butlers just battle it out until one or the other has spent all their bids, and it ends up costing both people a fortune.
It’s not a scam though, and it IS possible to win, but it’s just very difficult, and there’s not really any skill involved to be honest.
Swoopo is NOT a place to find a random deal.  However, if you are specifically looking to purchase one of the items offered on the site, it might be worth a look.

So all in all I call it a great business model to fool emotional fools who feel they are the best outta there and they can outsmart anyone bidding out there.

Wanna try your luck at swoopo? Try it out!swoopo

Developing Something like Swoopo?

So if you are looking for developing something like Swoopo do get in touch with us , our contact details are available at . We can discuss the product script costing and also show you the current stage of development. If you have a great idea which can turn down Swoope inside out, you are most welcome to share it with us and see your dream turn to a reality.

The development is going on in following languages/technologies –

For Linux adoring companies –

Php/Mysql, Globus Framework 2.4, Ajax

For Microsoft Fanatics 3.5 – MVC, Ajax Tool Kit.