Auction - lowest bid wins

Sounds strange, doesn't it? Actually it is a really smart business idea. The one who place a unique lowest bid on an item wins it and it will cost you a fixed fee for placing the bid plus the amount of the lowest bid.
When I place a bid I will instantly know if it is unique and if it is the lowest, but it will always cost me the fixed fee. If it is unique and the lowest I can choose to stay and hope noone else will place a lower unique bid. I can also choose to place another one. This way I can in theory call in a plasma television 42'' for something like 50 SEK, that's about 6 US£.
Here's the swedish bidplayer.com.