The online auction market, a newly emerged segment of the auction sector, has been witnessing a strong and steady growth in recent years. Auctions are increasingly moving to online platforms due to its numerous advantages, such as easy bidding, quick transactions, and huge flexibility in terms of time and locations. With the help of advanced technologies like artificial intelligence, the global online auction market is expected to witness a stronger expansion over the next 4-5 years.
Global Online Auction Market Overview
Online auctions offer enormous convenience and flexibility to both bidders and sellers. Users can join the auction activities by registering and accessing the online auction platform. This eliminates the geographical barriers and reduces the cost associated with auction organizers, therefore gaining increasingly popularity around the world. According to the latest market research report from Technavio, the global online auction market size is projected to grow by USD 1.05 billion from 2018-2022, registering a strong CAGR of over 7% during the forecast period.
Currently, the Americas holds he largest regional share of the global online auction market, accounting for over 50% of the market share, followed by the EMEA and APAC respectively. However, during the forecast period, the APAC region is expected to exhibit the highest incremental growth followed by the Americas. EMEA is expected to see a commensurate decline in its market share over the forecast period.
AI is Backing the Growth of Online Auctions
The emergence of artificial intelligence is one of the major trends being witnessed in the global online auction market. AI is used in an online auction to perform various activities such as processing customer-service inquiries, internal operations, product packaging, and delivery. Meanwhile, by using AI powered data analytics and bots, sellers are able to better identify and target potential buyers online. Such AI powered auction analytics can help sellers or auctioneers to tailor their digital marketing campaigns and ensure to provide potential buyers with the information they need and details on products that are most likely to be of interest to them.
In the recent years, AI has also led to a change of pricing strategies in auction activities. Artificial intelligence can now effectively provide accurate valuation of the products by analysing market trends and predicting future outcomes. This valuation is based on real-time data analytics and enables buyers and sellers to conduct auction within a highly accurate market valuation range. Automated market analysis means that any shifts in the market and in buyer interest during the auction cycle will cause the change of guided prices accordingly throughout the process, thereby making the bidding process more cost-efficient, which is expected to be the main factor driving the growth of the global online auction market in the near future.
AI in business is rapidly becoming a commonly-used competitive tool. It is also seen as a supporting tool for your business, rather than a replacement for human intelligence. If it is not something you can invest in right now — if you are short on money or don’t have the funding for it — you can consider obtaining a cash advance.
Check Technavio’s Global Online Auction Market Report
View Technavio’s Global Online Auction Market Report for more information about this topic. This market research report provides the latest market size and market development for major market segments in terms of product types and regional market landscape. The report contains detailed market trends, market drivers, market challenges and key opportunities. In-depth market analysis such as Porter’s five force model, and comprehensive competitive landscape including detailed profiles of top companies are also included in the report.
