Silent bidding is a type of auction where bidders submit their offers privately rather than openly competing in real time.
Example
- The seller lists an item in a silent bid auction.
- Hundreds of bidders submit offers on the item.
- The highest three bids are $7,500, $7,800, and $8,650.
- The $8,650 bid wins.
- None of the bidders see the other bids — only the final winning bid is revealed.
See also: Silent Bid Auction Format.