Online vs Telephone Bidding: Which Is Better for Property Auctions?
Online Bidding vs Phone Bidding at Property Auctions
A practical comparison for real estate agencies and auctioneers choosing how to support remote participants, including buyer control, staffing, bidding authority, technology and operating costs.
Key Takeaways
- Online bidding is more direct. The approved buyer submits their own bids through the platform.
- Phone bidding relies on a representative. A person receives the buyer's instructions and bids on their behalf.
- Neither removes the auctioneer's authority. The auctioneer controls accepted bids under the applicable auction conditions.
- The operational costs differ. Online bidding requires digital access and monitoring; phone bidding requires representative availability and clear communication.
- The best method depends on the buyer and event. Agencies may offer both where supported, appropriate and operationally manageable.
How Does Each Remote Bidding Method Work?
Both options allow an eligible buyer to participate without attending the auction venue. The difference is how the buyer's bidding decision reaches the auctioneer.
Direct Online Bidding
The buyer registers, satisfies the relevant approval requirements and accesses the supported digital bidding interface.
During the auction, the buyer selects an amount and submits a bid through the platform. The submission is processed through the auction controls, subject to the auctioneer's acceptance and applicable rules.
Key distinction: The buyer operates the bidding interface directly rather than communicating each bid to a person by telephone.
Phone Bidding via a Representative
The buyer registers and provides the necessary authority for another person to bid on their behalf.
During the auction, the representative communicates with the buyer by telephone, receives instructions and places bids through the approved auction process.
Key distinction: The buyer makes the bidding decision, but the representative communicates or submits the bid.
The representative's role is not to independently determine what the buyer should bid. The arrangement must follow the buyer's authority and instructions, with the auctioneer retaining control over bid acceptance.
How Do Online Bidding and Phone Bidding Compare?
The following comparison addresses the practical differences an agency should consider before selecting a remote participation method.
| Consideration | Online Bidding | Phone Bidding |
|---|---|---|
| How a Bid Is Placed | The approved buyer submits a bid directly through the platform. | The buyer gives instructions to an authorised representative, who places the bid on their behalf. |
| Buyer Control | The buyer directly controls the amount submitted through the bidding interface. | The buyer directs the representative, who must correctly receive and implement their instructions. |
| Audience Suitability | Buyers comfortable using digital platforms and able to maintain suitable internet access. | Buyers preferring personal communication or who cannot conveniently use the online bidding interface. |
| Registration & Authority | Requires bidder registration, approval and any applicable authority where the bidder represents another party. | Requires registration, approval and appropriate authority for the person bidding on the buyer's behalf. |
| Staffing | Requires auction control, monitoring and support. Not normally a dedicated representative for each online bidder. | Requires a representative available to communicate with the buyer and bid for them during the auction. |
| Technical Dependencies | Buyer device, platform access, reliable internet and the auction's bidding connection. | Working telephone communication and any devices, internet or platform access required by the representative. |
| Communication Delay | Network and platform delays may occur. Livestream video can also lag behind the current bidding state. | Telephone delay, spoken confirmation and representative response time can affect how quickly instructions are acted upon. |
| Bid Records & Data | Platform activity can support digital bid records, subject to system functionality and accurate reconciliation. | Accepted bids must be recorded against the correct bidder. The telephone conversation is not automatically a recorded bid history. |
| Commercial Trade-Offs | Software, setup, technical support and training costs; less reliance on a dedicated person per bidder. | Representative time, coordination and communication costs; capacity is limited by available personnel. |
| Primary Risk | Device, browser or network problems affecting the buyer's ability to submit bids. | Misheard instructions, call interruption or delays between the buyer and representative. |
| When It May Suit | Remote buyers who want direct control of their bidding and have suitable technical access. | Buyers who prefer a human representative and can establish clear bidding instructions in advance. |
Neither method is universally superior. Online bidding reduces the need for a person to relay each instruction, while phone bidding provides a human communication pathway. Both introduce different opportunities for delay or error, which must be managed.
When Should an Agency Recommend Online Bidding or Phone Bidding?
The decision should consider the buyer's circumstances, the available infrastructure and the agency's capacity to manage the selected process.
When Direct Digital Participation Makes Sense
- The buyer is comfortable operating the supported bidding interface.
- Their device and internet connection are suitable for live bidding.
- They prefer to select and submit their own bids.
- The agency can provide the necessary platform access, monitoring and support.
- The auction has several remote participants and sufficient operational controls.
When Representative Participation Makes Sense
- The buyer prefers speaking to a person during the auction.
- They cannot conveniently use the online bidding interface.
- A suitable representative is available for the event.
- The required authority, buyer instructions and communication arrangements can be confirmed beforehand.
- The agency can manage the additional staffing and associated responsibilities.
For example, an interstate buyer with a reliable connection and experience using online platforms may prefer to submit bids directly. Another buyer may prefer to communicate with an assigned representative throughout the auction.
Neither preference should be taken as evidence that the buyer is more committed or more likely to purchase.
What Additional Responsibilities Come with Representative Phone Bidding?
Representative phone bidding requires more than providing the buyer with an agency telephone number.
The agency must identify who will represent the buyer, confirm the necessary authority and ensure the person is available to receive and act upon instructions.
Authority and Instructions
- Confirm the buyer and the person authorised to bid.
- Complete relevant written authority requirements.
- Agree on telephone contact and communication arrangements.
- Establish how instructions and bidding limits will be communicated.
- Explain how the representative will act during the auction.
Representation and Accountability
- Assign an eligible and available representative.
- Confirm their contact information and access to the required controls.
- Make sure the representative understands the buyer's instructions.
- Establish how accepted bids will be recorded.
- Agree on the response if telephone contact fails.
Auctions Live-specific requirement: Phone Bidding via an Agency Representative is available for eligible Onsite and Multi-Lot listings. A representative must be assigned before the phone bidder can be approved. Each eligible representative can be assigned to only one registered phone bidder per auction.
This makes representative capacity an important planning consideration for agencies managing several telephone bidders at one event.
How Should an Agency Prepare Both Bidding Methods?
Agencies can use one overarching preparation process, with separate approval and communication checks for each participation method.
Confirm the Buyer’s Preferred Method
Explain the available remote bidding options and ask the buyer which is most appropriate. Clarify whether they intend to submit bids themselves or authorise someone else.
Output: An agreed participation method for each buyer.Complete Registration, Identity and Authority Checks
Provide the relevant auction documents and registration process. Verify the buyer's eligibility and any authority required when another person bids on their behalf.
Do not assume that submitting a registration form means bidding approval is complete.
Output: Properly prepared and approved participants.Configure Access or Assign the Representative
For online bidders, confirm the supported bidding interface, account access and relevant auction registration.
For representative phone bidders, assign an eligible person, complete the required approval sequence and confirm the representative's contact details with the buyer.
Output: Functional platform access or confirmed representation.Test the Relevant Communication Pathway
Online bidders should check device readiness, login and connection stability. The auction team should test the bidding controls.
Telephone bidders and representatives should confirm contact arrangements, call timing and a clear method for repeating and acknowledging instructions.
Output: Tested technical and communication arrangements.Coordinate Bids During the Live Auction
The auctioneer retains control of accepted bids. Supporting staff monitor online activity and ensure representative bids are correctly identified.
Any discrepancy between a submitted bid, spoken instruction and accepted bid must be resolved through the auctioneer.
Output: A coordinated and accurate accepted bidding record.Confirm the Result and Review Any Issues
Complete the required sale administration and ensure the relevant bidder and auction records are accurate.
Review technical interruptions, communication difficulties, staffing needs and the suitability of each participation method.
Output: Completed records and practical improvements for future auctions.What Technical Risks Differ Between Online and Phone Bidding?
Both methods depend on reliable communication, but failure can occur at different points. An agency should understand these dependencies before relying on either method.
| Situation | Online Bidding | Phone Bidding |
|---|---|---|
| Buyer Loses Connectivity | The buyer may lose access to the bidding interface or current bid information. | A telephone connection may continue if internet access is unavailable, but the representative still requires an approved bidding process. |
| Communication Is Delayed | Internet and platform latency may affect how quickly information is received or submitted. | A delay can occur while the buyer hears the bidding position and instructs the representative. |
| Venue Internet Fails | The auction control and online bidding arrangements may be affected. | The telephone call may remain connected, but representative access to digital controls may also be affected. |
| Bid Confirmation Is Unclear | The controller checks the platform's submitted and accepted bidding information. | The representative clarifies the buyer's instructions and the auctioneer's accepted bid. |
| Primary Method Fails | Notify the auctioneer and assess the approved contingency arrangements. | Attempt the agreed contact procedure, notify the auctioneer and assess any lawful alternative. |
Important: Phone bidding is not automatically an offline alternative to online bidding. If the representative uses a digital auction controller or Mobile Console, their internet connection may still be required. Likewise, switching a buyer from one method to another during an auction may require additional approval or authority. Do not assume an unprepared fallback is available.
Livestreaming introduces another consideration. Video may lag behind the live bidding position regardless of whether the buyer is using an online platform or following the auction remotely while speaking to a representative.
Neither bidding method can promise zero delay or uninterrupted service. The appropriate response to an interruption depends on its effect on participation, the auction conditions and applicable law.
How Should Agencies Record Online and Phone Bids?
Regardless of how a buyer participates, the agency must maintain accurate records of the bids accepted during the auction.
For online bidding, platform records can support the bidding history, subject to the available functionality and accurate operation of the system.
For representative phone bidding, the accepted bid should be connected to the correct bidder, rather than being treated as a bid belonging personally to the representative.
Agencies should not assume that a telephone conversation is automatically recorded, transcribed or retained by the auction platform. Any separate call recording requires consideration of applicable consent and privacy laws.
Record-keeping principle: Distinguish the buyer, their representative, the amount instructed or submitted, and the bid ultimately accepted by the auctioneer. Statutory bidder records must be handled according to the relevant jurisdiction's rules and must not be repurposed for marketing without a separate lawful basis.
Which Method Is More Efficient for an Auction Department?
Efficiency depends on the number of remote buyers, the agency's available staff, technical capability and the support required.
Online bidding can reduce the need to assign a person to relay every bid, but the agency still requires registration checks, auction control, technical monitoring and participant support.
Phone bidding can accommodate buyers who prefer direct communication, but dedicated representative time becomes a significant resource consideration when several people want to bid by telephone.
For a single buyer with an available representative, telephone bidding may be practical. For numerous remote buyers, managing a separate representative for each can require considerably more staffing.
Agencies should compare the total service and delivery costs rather than assuming either method is universally cheaper or more reliable.
What Does the Choice Look Like in a Real Auction?
Example: Two Remote Buyers, Different Needs
An agency is preparing an onsite auction with two genuinely interested buyers who cannot attend the property.
Buyer A is interstate, has a suitable device and internet connection, and prefers to submit bids directly. The agency makes online bidding available and completes the required registration and approval process.
Buyer B prefers to communicate by telephone. The agency arranges an authorised representative, confirms the required written authority and prepares the representative for the live auction.
During the auction, Buyer A submits bids through the supported digital platform. Buyer B communicates bidding instructions to their representative, who bids on their behalf.
Both participate in the same auction, and the auctioneer remains responsible for accepted bids.
Neither arrangement gives one buyer an automatic advantage. Both involve different communication pathways and the possibility of technical or human delays.
What Legal Requirements Apply to Online and Phone Bidding in Australia and New Zealand?
Remote participation does not remove the laws governing property auctions. Requirements can differ according to the jurisdiction, property type and whether someone bids on another person's behalf.
- New South Wales: Relevant residential and rural property bidders must meet statutory registration requirements and receive a bidder number. A person bidding for another individual or company, including on the telephone, generally requires appropriate written authority. NSW also imposes strict confidentiality requirements on the statutory Bidders Record; it cannot be used for ordinary marketing or prospecting. See NSW Government auction responsibilities .
- Queensland: The auctioneer must ensure applicable bidder registration and identification requirements are met. Queensland's auction registration rules also address bidding on instructions received from another person by telephone. The auctioneer must hold the appropriate licence. See Queensland Government auction guidance .
- Victoria: The auctioneer must comply with the applicable auction conditions, announcements and bidding rules, irrespective of how participants communicate. For relevant auctions from 16 October 2026, the reserve-price publication requirements must also be satisfied. See Consumer Affairs Victoria .
- Other Australian jurisdictions: Auction licensing, bidder registration, vendor bidding, authority to bid and record-keeping requirements vary by state and territory. Agencies must verify the local rules before adopting a common remote bidding procedure.
- New Zealand: The Real Estate Authority recognises direct online participation and telephone bidding arrangements. Where a licensee bids by telephone on a buyer's behalf, the buyer's permission should be obtained in writing and provided to the auctioneer. Agencies should also clarify the communication arrangements, buyer instructions and auction documentation before the event. See New Zealand Real Estate Authority .
In both countries, agencies should consider applicable privacy, record-handling and communication obligations. The presence of online or phone bidding technology does not replace professional legal and compliance checks.
Frequently Asked Questions
Is online bidding better than phone bidding at a property auction?
Neither is universally better. Online bidding provides direct digital participation, while phone bidding allows a buyer to communicate through an authorised representative. Suitability depends on buyer preference, technology, staffing and the auction arrangements.
Does a phone bidder need to provide written authority?
Written authority is required or recommended in relevant representative-bidding circumstances, depending on the jurisdiction. NSW has specific authority requirements, while the New Zealand Real Estate Authority advises licensees to obtain written permission before bidding by telephone on a buyer's behalf.
Does phone bidding work if the internet goes down?
Not necessarily. A telephone call may remain connected without internet, but a representative using a digital auction control platform may still need connectivity. Any alternative bidding procedure must be approved and appropriate for the auction.
Can one agent handle multiple phone bidders at the same auction?
The general practical arrangement depends on the agency and applicable rules. Under Auctions Live's Phone Bidding via an Agency Representative feature, each eligible representative can be assigned to only one registered phone bidder per auction.
Are online bids automatically accepted when the buyer clicks the bid button?
A submitted bid should not automatically be assumed accepted. Buyers should follow the relevant platform confirmation and current bidding status. The auctioneer controls accepted bids under the auction conditions.
Can an agency offer both online and phone bidding at the same auction?
Yes, where the relevant configuration supports both methods and the agency can meet the registration, authority, staffing and operational requirements. Both forms of participation must be coordinated within the same live auction.
How Does Auctions Live Support Online and Phone Bidding?
Agencies offering remote bidding need processes for registration, approval, bid communication and accurate records. The required setup differs depending on whether the buyer bids directly or through an assigned representative.
Connected Remote Participation Options for Professional Auctions
Developed by RE Software, Auctions Live provides electronic bidder registration, online bidding, auction management, livestreaming and reporting for professional real estate teams.
Approved buyers can participate online through the supported Auctions Live and Bid Buy bidding environment.
The platform also supports Phone Bidding via an Agency Representative for eligible Onsite and Multi-Lot auctions when the relevant settings are enabled.
In this representative workflow, a buyer selects phone bidding during registration. The agency assigns an eligible representative, and the representative can access the assigned buyer through the Mobile Console and place bids on their behalf.
The wider Auctions Live platform supports Onsite, In-Room / Multi-Lot, Virtual, Timed and Stream Only auction workflows, alongside website widgets, supported CRM integrations, Prezo Studio and Stream Studio capabilities.
These tools help agencies offer different approved participation methods, but do not guarantee a particular number of bidders, uninterrupted connectivity, higher selling prices or improved clearance rates.
Explore Auctions Live Solutions →Related Auctions Live Knowledge Hub Guides
These resources explain how to configure and manage the bidding methods discussed in this comparison.
Important information: This article provides general operational guidance for real estate professionals and does not constitute legal, regulatory or professional advice. Auction licensing, bidder registration, representative authority, auction conditions, privacy and record-keeping requirements vary by jurisdiction and circumstances. Agencies should verify current obligations with the relevant regulator and their professional advisers. Technical performance depends on network conditions, devices, service availability, configuration and third-party systems. Auctions Live functionality may depend on subscription, account settings and supported integrations. Information reviewed October 2026.
Posted 31st October, 2026