Introducing Step Sales™ 😃
A new pricing mechanic to help price discovery and to encourage collector commitment
As we continue the rollout of the new features at KnownOrigin, we are pleased to announce the launch of what we call step sales™
Multi-edition art has always been at the core of KnownOrigin’s platform, we believe that engaging with multiple collectors from a single edition can provide a sustainable and successful way for artists to create solid and foundational collector relationships.
Traditionally, most auction mechanics focus on 1 of 1s but today we are launching a feature that focuses on multi-edition artwork.
What is a step sale?
When researching options for how to handle larger editions we wanted to solve a few problems which are typically harder with multi-editions vs 1 of 1s pieces.
Typical offers mechanics when applied to editions can be both costly and painful from a users standpoint. Offers are made one-by-one and then settled one-by-one, this can be inefficient and generally cumbersome from a sellers and buyers perspective.
Buy now pricing models can work great, but it can be hard to know what price to set. A common issue we have is that pricing and discovery is hard in general, there may only be one chance to get it right.
This is where Step Sales come into their own.
First, you define a base price e.g. 0.1 ETH
Second, you define the step increment e.g. 0.1 ETH
Everytime a sale happens the base price is increased by the increment. This will help creatives find better price discovery, encourage new prospective collectors by rewarding earlier purchases with lower prices, but also due to our unique token issuing logic it will reward those later buyers as they will receive the lower token IDs.
Also as a creator you can then convert the price to a buy now listing at any point once a suitable pricing level has been established if they desire.
We have also included a nice feature for very hot drops 🔥 where a collector can define the maximum amount they are willing to pay and then depending on where they land in the “steps”, any extra is refunded in the same transaction.
To summarize: All transaction are processed sequentially and the buyer gets the cheapest token possible, tokens are purchased from the highest edition no. to the lowest, refunds are automatic within the same transaction. Unfortunately if buyer is beaten to the token and have not supplied a max step, the transaction will fail.
We hope this will provide a new and interesting way to gauge and reward collectors and find equilibrium in price discovery for creatives.