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How Lowest Bid Auction Website Works?
Let us say you put up an item worth $100 on auction.
Users pay say $1 for posting a bid. They can bid any amount like say $1.25, $4.56 etc.
After you get say, 100 bids, you earn $100 (as each bid costs $1).
At this stage you close auction and the person making lowest unique bid (e.g. say $1.49) gets the item for that price.
This way winner gets item worth $100 for a very small price.
And you as webmaster can make huge profits in terms of Bid placing costs.
This whole contact is a WIN-WIN situation for all.
This concept of selling websites has great entertainment value. So, users love it... VERY LOW PRICES + GREAT FUN