OBO means “Or the best offer”. What does OBO mean? OBO means “Or best offer“. It is commonly used in sales announcements to indicate that the seller is open to negotiate the pricegenerally accepting offers less than the price indicated. This practice is widespread on platforms like eBay, Craigslist and other marketplaces. Understanding the meaning of OBO is crucial for both buyers and sellers in online transactions.
Meaning and usage of OBO
- Definition: OBO means “Or best offer“, inviting potential buyers to make offers on the listed item. This definition of best offer is widely recognized in online marketplaces.
- Price negotiation: The OBO meaning indicates that the seller is willing to consider offers below the listed price
- Flexibility: Understanding what OBO means allows sellers to gauge market interest and potentially sell items faster by being open to negotiations.
- Context matters: In rare cases, notably on eBay auctions, the meaning OBO may imply a solicitation higher offers than the starting price
How OBO works in practice
For buyers
- Make reasonable offers: When an item is listed as OBO, knowing what OBO means prompts you to make an offer below asking pricebut not excessively low
- Timing matters: For auction-style listings, consider bidding on the last day if the item has not received bids
- Multiple attempts: If your initial offer is rejected, the seller might counter with a price $5-10 less than the original list
For sellers
- Set a minimum: Sellers often set a minimum acceptable offer to avoid extremely low offers, leveraging OBO sense
- Default option: On some platforms like eBay, OBO can be a default setting that sellers must manually deactivate
- Flexibility: Understanding what OBO means allows sellers to adjust their price based on market demand and accelerate sales.
Negotiation Strategies for OBO Listings
- Market value of research: Know the fair market value of the article to make informed offers, taking into account the definition of the best offer(s)
- Start low, but reasonable: Start with an offer lower than your maximum price to leave room for negotiation, using the OBO direction
- Be ready to go: If terms aren’t favorable, don’t feel like you have to make a bad deal
- Be friendly but firm: Maintain a polite attitude while clearly stating your conditions
Common Misconceptions
- Not always lower: In rare cases, especially in eBay auctions, what OBO means may involve solicitation higher offers than the starting price
- Not a guarantee: Sellers are not obliged to accept any offer, even if it is the best one received, despite the definition of best offer
- Cultural differences: Attitudes towards haggling can vary by region and context, so use your judgment when deciding to haggle based on the meaning of OBO.
FAQs
What does OBO mean in an ad?
OBO means “Or the best offer”. This means the seller is willing to negotiate the price and will consider offers lower than the listed price.
How does the OBO meaning affect buyers?
The OBO meaning encourages buyers to make offers below the asking price. This allows you to negotiate the price and potentially get a better deal on the item.
What is the definition of the best offer in online marketplaces?
The definition of best offer in online marketplaces refers to a put option in which sellers indicate that they are willing to consider offers from buyers that may be lower than the listed price.
Can OBO mean accepting higher offers?
Although rare, in some contexts like eBay auctions, meaning OBO can involve soliciting bids higher than the starting price, especially for items with low starting bids.
How should buyers approach listings with OBO?
When seeing OBO in a listing, buyers should research the item’s market value, make reasonable offers below the asking price and be prepared to negotiate. Understanding what OBO means can help make strategic offers.