Survey Report: Investigating the 'Reserve Price' Strategy to Maximize Final Sale Prices in Used Car Auctions

Quick Network Co., Ltd. (CEO: Shori Taba, headquarters: Kobe City, Hyogo Prefecture), which operates the used car auction-style vehicle buying service 'Sellca', has conducted a survey based on auction results from April 2025 to April 2026, analyzing how the setting of the 'reserve price (minimum desired bid price)' at the time of listing affects the final sale price.

The survey results revealed that setting a high reserve price due to the desire to sell at a high price actually dampens buyer bidding enthusiasm and hinders price growth. In contrast, vehicles with conservative reserve prices set with market value in mind achieved higher final sale prices.

■ Definitions in this report

Reserve Price (Minimum Desired Winning Bid)

The minimum amount set by the seller, indicating 'I will definitely sell if the bid reaches this amount.' When the bid amount reaches this price, the 'sold light' illuminates, confirming the sale. Note that this set amount is kept confidential from buyers during the auction. However, buyers can see when the 'sold light' turns on, allowing them to confirm whether the reserve price has been exceeded.

Market Value

At Sellca, during vehicle inspection, we cross-reference the customer's vehicle inspection results with vast recent market data to calculate the expected market price at that time.

We calculate both upper and lower bounds, and in this release, we refer to the lower bound as 'market value' for analysis and explanation.

■ Survey Overview

Survey Target: Listing and bidding data from used car auctions on 'Sellca'

Survey Period: April 2025 – April 2026

■ Survey Results: Setting the reserve price close to market value energizes the bidding.

By analyzing vehicles that reached versus did not reach their reserve prices, we found that the difference in 'how much sellers set their reserve price' significantly affected final bid counts and bid amounts.

Item

Reserve Reached

Reserve Not Reached

Reserve price set as what percentage of market value

100.8%

136.9%

Sold at what percentage of market value

112.2%

105.1%

Average number of bids

34.6 times

21.7 times

April 2025 – April 2026 (data calculated from Sellca auction results)

The results show that vehicles receiving bids above the reserve price had their reserve prices set close to the market value determined by Sellca staff's survey data. Due to competition among buyers, the average number of bids reached 34.6 times. The final price also rose to 112.23% of the market value at the time of sale.

On the other hand, vehicles that did not exceed their reserve prices had aggressive reserve price settings above market value. The number of bids averaged only 21.7 times, and the final bid price barely exceeded the market value by over 5%.

These results demonstrate a fact in auctions: the higher the reserve price is set due to the desire to sell high, the more the final price stagnates. Conversely, the lower the reserve price is set relative to market value, the higher the final price soars. To achieve the highest possible sale price, it is a crucial turning point at the initial setting stage to suppress subjective overpricing and align with objective market value.

■ Analysis: Why does setting a lower initial price lead to a higher final price?

In an auction where buyers cannot see the reserve price, why does 'setting a lower initial price (as recommended by staff)' result in a higher sale price? The following psychological mechanisms are considered to be at play.

1. A subjectively 'too high barrier' causes buyers to drop out

Even for vehicles where the 'sold light' never turned on, buyers on average bid up to 105.1% of market value. However, because the reserve price is set too high, no matter how much they bid, there is no sign of the light turning on. Precisely because buyers do not know the amount, they rationally judge, 'This seller has unrealistic high expectations far exceeding market value. Chasing further will lead to failed negotiations and waste of time,' and thus give up bidding midway.

2. 'Strategic low setting' accelerates buyers' competitive psychology

Conversely, vehicles with reserve prices set at a realistic level easily reachable by bids will have the 'sold light' illuminate at an early stage of the auction.

For buyers who do not know the reserve price, the illumination of the light serves as a signal that 'if I outbid others, I can definitely get this car,' marking the start of serious competition. Due to the need to outbid competitors, intense bid exchanges occur, averaging 34.6 bids.

By appropriately setting the reserve price based on market value, competition among buyers is triggered, becoming the driving force to push the final price to its limit.

■ Tips for achieving high-value sales: Setting the reserve price effectively

1. Data-based appropriate pricing is effective

Controlling the reserve price on the lower side does not mean 'selling cheaply.' Rather, it is the 'smartest strategy' to ignite buyers' competitive psychology and push the final price above market value. Setting it too high not only hinders bidding growth but also risks losing the sale of high-potential vehicles that could have been sold.

2. Utilize support from Sellca inspectors

While the final setting amount is decided by the seller, Sellca inspectors are professionals who thoroughly understand 'at what level the price should be set to maximize buyer competition.' By combining the latest market data with buyer psychology, they propose a 'strategic price (optimal value)' to extract the highest possible price, which sellers alone cannot derive, supporting the maximization of the final sale amount.

■ About 'Sellca' Winning Appraisal

'Winning Appraisal Sellca' is a CtoB auction service, the largest in the industry※1, designed by Quick Network Co., Ltd. for users who want to sell 'without hassle and at the highest possible price.' In auctions where over 8,000※2 used car sales businesses nationwide participate, prices are determined through competitive bidding. We provide bidding opportunities to many businesses. For vehicle sales, where achieving a high price requires as many buyers as possible to place bids, this is an efficient and effective system.

Furthermore, by digitizing the used car distribution, which has traditionally been criticized for its outdated structure, we promote efficiency and transparency in transaction processes. Without complicated procedures, users can sell their vehicles at satisfactory prices. Additionally, by visualizing the process of prices rising through multiple bidders, we offer a unique Sellca experience that goes beyond mere selling, allowing users to feel and enjoy the sense of their car being valued and its worth increasing.

※1: In-house survey (as of March 2026. Calculated based on the number of participating businesses and transaction volume in domestic CtoB used car auction services)

※2: As of June 2026.

[Service Overview]

Service Name: Winning Appraisal 'Sellca'

Strengths: Nationwide network of over 8,000 buyer businesses, sales support by sales advisors

Benefits: No phone spam, one inspection, flat commission fee of 33,000 yen (tax included)※3

Official Website: https://www.sellca-sellcar.com/?source=prtimes

※3 As of June 2026