Q. Do you tell people your reserve price?
A. How often do you get the email "What is your reserve?". If you ever use the reserve price format, then you probably get them quite often.
Should you spill the beans or not? I can't really give a definitive Yes/No on this one. Let me explain...
Here is how I view it. Why did you use a reserve in the first place? Was it so you wouldn't get ripped off and have to sell the item for a painfully low price?
When you set your reserve, do you set it at your cost, OR at the minimum profit level that you want for the item?
For example, you are selling a widget that cost you $50. You will be happy to get $70 (40% markup) for the item. Would you set your reserve at $50 or $70? If my reserve is at $70, then yes I would tell them the reserve. If they buy it, I made my profit.
If my reserve is set at my cost of $50, then I might tell them (Stick with me here :-) If I have only one of these, I probably would NOT. Especially if it a collectable item that has it's value determined by the buyer.
Do you know what I mean?
Here is an example: Recently we listed an original Elvis Presley t-shirt from 1956. It was worn with holes in the armpits, but the logo was in very good shape. (It could be mounted in a frame and look very nice). My wife and I had no idea how much it would sell for. There was no eBay history on this type of item. We knew the value would be determined by how badly a buyer wanted it. We set a $25 reserve on it. We wouldn't tell anyone the reserve. Why? Because we were afraid the first bid would be for $25 to meet reserve, and then it would get sniped last minute for $25.50. (BTW, the shirt sold for $283.16 including S/H. It was amazing. A bidding war occurred between SERIOUS Elvis fans. Their eBay IDs made clear their devotion. You can view the auction action by clicking here) The first bid was for $65 blowing way past our miniscule $25 reserve.
On the other hand, if I set my reserve at my cost, and I have multiples of the item, then I probably would reveal the reserve to someone who asks. The reason being that even if it sells for my cost or close to it, I am still making $$$ on the S/H, and I can average my profit out with the other ones that I have to sell.
So, in a nutshell....
If your reserve includes the minimum profit you are willing to accept, then yes tell them what it is.
If you have a collector's item then I would NOT share the reserve.
If your reserve is set at your cost and you have more than one, then yes tell them your reserve price.
If your reserve is set at your cost and you have only one, then no, keep them guessing.
diva (aka Dag)