Definition, Meaning & Synonyms

shill-bidding

noun

/ʃɪl ˈbɪdɪŋ/

Definition

Shill-bidding refers to the practice of placing bids on an item in an auction by someone who does not intend to buy the item but aims to inflate the price.

Examples

During the online auction, the seller was caught engaging in shill-bidding to drive the price up.
It’s important to be wary of shill-bidding when participating in eBay auctions.
The company’s reputation suffered when it was discovered that employees were shill-bidding on their own products.

Meaning

This term is often used in online auctions and can involve colluding parties attempting to create a false sense of demand for an item, ultimately misleading genuine bidders.