A New Way To Bid

Bruce Knox’s first experience with West Auctions’ online capabilities came when he watched the public sale of another grower operation.

“I had followed one of their auctions in California,” says Knox, president of Knox Nursery in Florida. “I had one of my truck drivers go to pick up and he said that everything sold. Everything!”

Knox decided to use West Auctions when he had to get rid of equipment from his original location that was closing and being consolidated into another facility. He chose an online auction because he didn’t want to limit the number of people who could participate. Roughly 100 companies signed up for the Knox online auction, which improved Bruce’s chances of getting better prices for the equipment. 

For The People

The beauty of an online auction is the accessibility, says Daniel West, the general manager of West Auctions, Woodland, Calif. Growers have specialized items that only other growers or someone in a similar market would buy, so getting top dollar can be difficult.

“It’s critical to be able to reach as many potential buyers as possible, and in the case of greenhouse growers, those buyers are spread all over the country, if not the world,” West explains. “There are a number of different ways to reach all those people, but if you don’t have a lot of time to wait for the right buyer, then there is no better option than an online auction.”

The process has worked well for several of the growers West Auctions has worked with. The company has held auctions for six growers in the last two years alone, and is in talks with several more. It doesn’t only work with the green industry, either. The Web site shows auctions for all types of industries, and the company will buy booth space at appropriate trade shows in those industries to promote upcoming auctions. For example, West had booth space at last year’s SNA show to promote the auction of Baucom’s Nursery equipment.

So how well does it work? West is honest when he says it depends on the item and on the bidders.

“As one grower told me after we completely liquidated his company, ‘Most of the time, I wanted to laugh because buyers were paying so much, but sometimes I wanted to cry because they got such a steal,’” West says. “Fluctuations in secondary markets mean that some items sell for less than the seller had hoped, while others exceed their wildest expectations. We’re happy to report that, on average, our online auctions secure prices that are at least one third higher than traditional live auctions and at a lower cost, too.” 

Experience Helps

The first natural assumption when thinking of an online auction is that it runs similar to eBay, the ultra-popular general auction Web site people have been using for years. But West says there are several important distinctions between his auction site and eBay.

First off, he likens eBay to more of a flea market or bazaar atmosphere of a general marketplace than an auction site. He says West Auctions, which had conducted live auctions since 1964 before becoming completely digital a few years ago, is much more of a traditional auction. His company works with fewer sellers and manages the process all the way through, including mass advertising campaigns.

Second, the company works closely with bidders, providing them with as much information about the products up for bid as it can, even arranging for in-person inspections, as well as helping with financing and transportation.

Also, online bidding allows buyers to remain at home, rather than traveling hundreds or even thousands of miles for a live auction. “The convenient format and the large number of participants ensure competitive bidding, thereby yielding a liquidity rate that is typically higher than other auction models,” he adds.

For Knox, the online auction worked very well. “I felt very strongly that the online auction format was best for us. As they say, it takes two bidders to make a good auction. I felt like we would limit ourselves by live auction,” he says. “The West staff did a great job of coordinating and promoting our auction. They are pros at what they do and we would recommend to anyone doing this. I don’t plan on needing to do an auction again, but if I did this is the route I would go.” 

Leave a Reply

More From Equipment...
The-Capitol

July 7, 2015

Washington Gridlock Could Block Industry Research Funding

The latest standoff on Capitol Hill could have some implications for the floral industry, including future funding for floriculture and nursery research initiative activities, says Shawn McBurney, SAF’s senior director of government relations. “Republicans in the House and Senate are determined to work within the sequester-imposed limits for domestic spending in the federal budget, but Democrats have threatened to block any appropriations bills until Republicans agree to spend more money than that agreement allows,” McBurney says. “With both sides digging in, there could be an impact on budgets that affect programs and services important to the floral industry.” The back and forth over spending limits isn’t new, McBurney says. In 2013, then-Budget Committee Chairmen Paul Ryan (R-Wisc.) and Patty Murray (D-Wash.) negotiated an agreement that increased spending levels for defense and nondefense discretionary spending equally above the sequester level for two years, offset by fee increases and changes to mandatory […]

Read More
Medal of Excellence Award

July 6, 2015

Get To Know The 9 Variety Finalists For Editor’s Choice And Industry’s Choice Awards

Greenhouse Grower‘s Evening Of Excellence reception is rapidly approaching. Here, you can learn more about the varieties that are finalists for the Medal Of Excellence Editor’s Choice and Industry’s Choice Breeding Awards. Thank you to the 2015 sponsors of Greenhouse Grower‘s Medal Of Excellence Awards, Landmark Plastic, Nufarm and Stockosorb. Editor’s Choice Asclepias ‘Monarch Promise’ (Hort Couture) Basil ‘Balsamic Blooms’ (EuroAmerican Propagators) Celosia ‘Dragon’s Breath’ (Sakata Seed) Dianthus Jolt Series (PanAmerican Seed) Salvia Grandstand Series (Green Fuse Botanicals) Scabiosa ‘Kudos Pink’ (Hishtil Nurseries) Industry’s Choice Basil ‘Balsamic Blooms’ (EuroAmerican Propagators) Bidens BeeDance Series (Suntory Flowers) Celosia ‘Dragon’s Breath’ (Sakata Seed) Dianthus Jolt Series (PanAmerican Seed) Lobelia ‘Starship Deep Rose’ (Kieft Seed) Vinca Valiant Series (PanAmerican Seed)     Join us Monday, July 13 in Ballroom 2 at the Columbus Convention Center to find out which varieties will receive the coveted awards. The reception begins at 5:15 p.m. and the ceremony […]

Read More
crider-rd2-internal_Rough-Brothers_featured

July 1, 2015

Rough Brothers Is Acquired By Gibraltar Industries

RBI Solar Inc., Rough Brothers Manufacturing Inc. and affiliates have been acquired by Gibraltar Industries, a manufacturer and distributor of products for residential and industrial markets, for $130 million. Capitalizing on its 80 years of design-build experience and leadership as the largest greenhouse manufacturer in North America, Ohio-based RBI has established itself during the past five years as North America’s fastest-growing provider of photovoltaic (PV) solar racking solutions. The transaction will enable Gibraltar to leverage its expertise in structural metals manufacturing and materials sourcing to meet global demand for solar racking solutions. The company also announced that it anticipates its second-quarter 2015 financial results will be in line with its previous expectations. “Acquiring RBI is an important step in the transformation of Gibraltar into a company with a higher rate of growth and best-in-class financial metrics,” says Gibraltar CEO Frank Heard. “This acquisition directly aligns with key end markets and product platforms […]

Read More
Latest Stories
lighting feature

June 29, 2015

Customizing Crop Foliage Color With LEDs: Red Leaf Let…

In the first of a four-part series highlighting the multiple uses of light-emitting diodes (LEDs), researchers share how end-of-production supplemental lighting with LEDs enhances red leaf lettuce color prior to harvesting and shipping.

Read More

June 28, 2015

Keep Your Cool In The Greenhouse

Summer is in full swing, and that means growers need to worry about protecting plants and greenhouse employees from brutal temperatures. No sweat! These product manufacturers have offerings to help beat the heat.

Read More
Greenhouse Electrical System

June 23, 2015

Don’t Let Your Greenhouse Electrical System Come …

The size of a greenhouse operation is one of the biggest factors when determining the type of electrical system to install. Part 2 of "Don't Let Your Electrical System Come Up Short" covers locating electrical wires, meeting electrical load demands and environmental considerations.

Read More
Schaefer-fan

June 23, 2015

Schaefer Ventilation Opens Distribution Center In Atlan…

Schaefer Ventilation Equipment, a manufacturer of ventilation and thermal comfort products, has opened a new distribution center in Atlanta, Ga., to increase efficiency and provide faster services to dealers. Additionally, the company has added a new staff member to its agricultural and horticultural division to help expand markets in Latin America.

Read More
HID Lighting System

June 18, 2015

Talking Shop: Using Lighting To Boost Beneficials

Peace Tree Farm was looking for a way to maintain beneficial insect populations through the winter. It found a potential solution through the use of rotating HID lighting.

Read More

June 17, 2015

Costa Farms Reduces Greenhouse Emissions With Solar Pow…

Costa Farms is seeking to make sustainability a top priority at its headquarters and two other buildings in Miami with the recent construction of new solar panels, which will replace 25 percent of the company's power usage with solar energy.

Read More
aquatrols

June 3, 2015

Aquatrols Renews Cooperative Research And Development A…

Aquatrols Corporation recently announced a new Cooperative Research and Development Agreement (CRADA) with Dr. Matt Madsen and the USDA Agricultural Research Service. The objective of the new CRADA is to further refine and evaluate surfactant seed coating technologies for use in wildfire rehabilitation, turf and pasture grasses, restoration species and other horticultural and agricultural systems. The three-year agreement renews a CRADA that Aquatrols first signed with the ARS in 2012. The original partnership has resulted in promising field and greenhouse trials, pending patents and initial steps toward commercialization of the surfactant seed coating technology. “We are very encouraged by the work that Dr. Madsen and his team have put together over the past three years,” says Aquatrols’ President and CEO Tracy Jarman. “This innovative technology has shown incredible potential with wide-ranging impacts in multiple industries. Aquatrols’ stated mission is to change the way the world grows and this technology has the […]

Read More
Growers are looking for low-cost options for temperature control, like circulating fans and exhaust fans.

April 10, 2015

New Ways To Give Growers Control Of The Greenhouse Envi…

From heating systems to circulation fans, manufacturing companies are finding new ways to help growers control the greenhouse environment, save on energy costs and streamline production.

Read More
Polyarch Berns

March 12, 2015

The Energy Efficient Greenhouse

New coverings technology means today’s films, plastics, shade cloths and climate screens slash heating and cooling costs while improving crop productivity year round. We checked with manufacturers to see what’s new and uncovered some best practices for buttoning up your greenhouse. Here’s what you need to know about the latest trends.

Read More
FormFlex_MTZ Hanging Basket

March 11, 2015

4 New Ways To Automate Your Operation

These new automation products can help streamline labor-intensive tasks, saving time and labor and increasing productivity.

Read More
Outfitting Your Greenhouse

February 24, 2015

Save Energy With The Right Greenhouse Glazing

The glazing you choose can make a big difference in your energy bill and the uniformity of your crops.

Read More
Michigan State University Extension

February 24, 2015

Ethylene From Defective Greenhouse Heaters Damages Crop…

Malfunctioning greenhouse heaters can lead to crop damage from ethylene and carbon monoxide induced illness for workers. Michigan State University's Extension educators Tom Dudek and Randy Beaudry teach you how to recognize the symptoms and check greenhouse heaters to avoid the concern.

Read More
Havest Automation Robot

February 18, 2015

Robots Grab Hold Of Growers’ Material Handling Needs

Harvest Automation’s HV-100 robots automate one of the hardest, most labor-intensive jobs at growing operations – plant spacing. With more technology coming, investing in robots could become even more realistic for growers of all sizes.

Read More

February 1, 2015

4 Lighting Products For Your Operation

These new lighting products have been developed for maximum energy efficiency in greenhouse production. Check out the slideshow to see which products are right for your operation.

Read More
LumiGrow

January 30, 2015

LumiGrow Expands Customer Base In 2014

LumiGrow, Inc. is adding more than 125 new commercial, governmental and research customers to its roster of customers, and beyond the new accounts added this year, many existing customers significantly increased the number of LumiGrow products they use and research customers made LumiGrow a part of their efforts to add to the body of knowledge about spectral science.

Read More
harvest automation featured image

January 13, 2015

Harvest Automation Extends Robot Rental Program

Harvest Automation's robot rental program proved to be such a success for the company that it is being extended through the spring. The program was unveiled last year as a way for customers to get started with HV-100 robots.

Read More

January 9, 2015

Innovations In Irrigation

Need help improving your irrigation? Check out these new products.

Read More

December 2, 2014

Hanna Instruments, Inc. Introduces pH Electrode With Bl…

Hanna Instruments recently released HALO, a professional pH probe with Bluetooth Smart (Bluetooth 4.0) technology that transmits measurement data directly to an Apple iPad running the Hanna Lab App.

Read More