iOffer is a San Francisco-based online trading community that was launched on May 1, 2002 by Steven Nerayoff. As of February 2008, it had nearly one million total users, including approximately 75,000 sellers.
iOffer deviates from the online auction business model and instead adopts the "negotiated commerce model", characteristic of garage sales and flea markets, operating on the basis of negotiation between buyers and sellers rather than bidding. When a negotiation concludes successfully (i.e. a transaction occurs), iOffer charges a "final value fee" based on a sliding scale. The website advertises this distinction, claiming: "This is not an auction. It's better!"
iOffer permits free listing of items for sale, charging fees only for premium listing services (such as bolding, highlighting, and listing on the home page). Sellers can post an asking price or request offers; buyers, in turn, can purchase an item at its asking price or make an offer. Users can also post "want ads" at no charge and barter. All transactions are recorded and can be viewed by other users.
iOffer competes with other similar negotiated e-commerce websites, as well as online auction sites such as eBay. According to Greg Holden, author of multiple books about eBay, from the perspective of sellers iOffer is both a "complement and "good alternative" to eBay. Through iOffer's software program Mr. Grabber, sellers can relist items from sites such as eBay, Yahoo! Auctions, and Overstock.com onto iOffer en masse, as well as import eBay feedback ratings.