OfferUp, the mobile marketplace for local buyers and sellers in the US, announced it has released Hold Offers, an industry-first feature for mobile marketplaces that allows a buyer to reserve an item they want by making an offer with a digital payment.
Hold Offers improves the buyer-seller experience by giving sellers assurance that the buyer is serious, and provides both parties with the convenience and safety of integrated digital mobile payments.
Along with Hold Offers, OfferUp is also the first local marketplace to offer integrated mobile payments, including Google Pay, and Samsung Pay for person-to-person transactions.
Over 90 million Americans use mobile payments to conduct day-to-day transactions, which means it’s now more convenient to pay digitally for items bought on OfferUp’s marketplace.
OfferUp tackles “flakes”
According to a nationwide survey, one of the most discouraging aspects of peer-to-peer marketplaces is flakes.
More than half of Americans have had buyers cancel their meet-up at the last moment and nearly the same have had buyers ‘ghost,’ or become unresponsive after showing initial interest.
OfferUp is tackling this crucial pain point head-on with Hold Offers.
“OfferUp is bringing transparency and accountability to local transactions with Hold Offers. If I see a must-have item, I want to stand out as a buyer, so making a Hold Offer shows a seller that I’m committed. And as a buyer, I don’t have to deal with the hassle of going to the ATM for cash or juggling multiple apps for payment. Hold Offers is a giant leap towards building the simplest, most trustworthy marketplace because we’re giving people more tools to have a successful exchange experience.”
Nick Huzar, CEO and co-founder of OfferUp
How to use Hold Offers
Hold Offers allows buyers to lock in a great deal and surfaces serious buyers to sellers.
Buyers can secure a difficult to find item by committing to an offer in advance, with a credit card, Google Pay, or Samsung Pay.
When a buyer finds an item they are ready to purchase, they can tap “Hold for Pickup,” select their preferred mobile payment method, and the app will automatically send a notification to the seller with their request to hold the item.
In exchange, sellers agree to hold reserved items exclusively for the buyer to pick up in person.
When the seller accepts the Hold Offer, the buyer is notified that the seller is agreeing to exclusively hold the item for them, and the buyer’s credit card is authorized.
The item is also marked “sold” to notify other engaged buyers the item is no longer available.
When the buyer and seller meet up for the final item inspection, they can adjust the price in the app if they decide on an alternative value.
To purchase the item, buyer taps “Pay” and a unique QR code is brought up on their screen. The seller scans the buyer’s QR code with their phone and the transaction is complete.
Hold Offers was in limited beta, but is available now in every market across the US.