The bid increment is the minimum amount by which each successive bid must exceed the previous one. Increments scale with the price level — a $25 lot might increment by $1, while a $5,000 lot increments by $250 or $500.
Auctioneers can adjust increments mid-auction to maintain bidding pace (“I’ll take twenty-five” instead of fifty when momentum slows). Online platforms typically use auto-scaling tables: under $50 = $1, $50–200 = $5, $200–1,000 = $25, $1,000–5,000 = $100, and so on. Bidders can also place “cut bids” — smaller-than-standard increments — if the auctioneer accepts them.
Bid increment strategy is one of the underrated skills in auction operations. Set increments too small and the auction drags as bidders nibble up by tiny amounts. Set them too large and bidders drop out because the next bid feels like a cliff. Veteran live auctioneers read the room and adjust dynamically — tightening increments when momentum stalls, loosening them when bidding is hot. Online platforms can’t read the room, so they rely on pre-set tables and bidders’ willingness to place cut bids manually.