It's a big scam and rip off site and a big pyramid scheme. Here is a simple calculation:
Lets say you are bidding on an ipod touch 32GB at 10 cent bids
Sale price is only $269 on Amazon
On haggle.com it is listed as $299
And someone wins the bid at say $100
That works out to $100/. 10 = 1000 bids
Each bid costs around 50 cents minimum.
So the total amount made by the site from bidding alone is 1000 * 50 cents equals $500
Total amount haggle makes from the sale - 500+ 100= $600
What a rip off!
But for the winner, it might be cheaper depending on his bidding. Say it cost about 50 bids ($25) to win the auction, total price would be $100+ $25 plus shipping.
But for the site, it's a windfall. Its even worse on a 1Cent auctions. You can do the math.
I also suspect a bot bidder by the site to increase the bid value and also stretch the time.