This is how much the item going for right now. It could be the last offer from another bidder or it could be the starting price. In any case, you'll have to beat this bid if you want the chance to win the auction and buy the item. The minute you click the bid button, we automatically set you up with a bid that is higher than the current bid by one bid increment. In Dutch Auctions, bidders compete for multiple quantities of a single item - five Barbie Dolls, or 20 rocks that bear a striking resemblance to Hank Williams.
Bidders submit both how many they wish to buy, and how much they want to bid per item.
The final per-item price in a Dutch auction is determined by the lowest of the winning bids. The bidder who submits the highest of the winning bids is entitled to the quantity he or she specified, but at the lower per-item price. Remaining quantities of the item are used to fill other winning bids in order to their bid price. Reading this example will clear things up. Joe and Fifi are the individual high bidders in a Dutch Auction for 30 lamps.