ValueMax Indonesia – Ahead of Eid, the COVID-19 pandemic is expected to change the trend of redeeming and auctioning pawned items. The auction process of pawned objects is currently hindered. The pandemic has limited public activities, which also affects the pawn industry, which is closely linked to face-to-face interactions. The ongoing pandemic approaching the Eid holidays will strongly influence redemption and auction trends of pawned objects. These activities usually peak during the homecoming season before Eid. People typically pawn items to obtain cash for traveling to their hometowns, and redeem them when returning to the city where they work.
This year, due to the pandemic, everyone stays at home, some are not working, and they fulfill their needs by pawning items without needing them during Eid. Redemptions are now for selling items to cover living expenses, not for immediate use. The pandemic also affects the auction process of pawned items, reducing the number of auction participants and lowering market prices for auctioned goods. Despite this, face-to-face auctions still take place, as participants need to inspect the items before bidding, especially to consider the price.
