Although there is still plenty of time before the draft date of Saturday November 29, Bailey indicated it was down to four players, Nicholas Naitanui, Daniel Rich, Tyrone Vickery and Jack Watts.
"We probably, to be fair, haven't finalised the actual player [with the first pick] and we're still accumulating the last piece of the pie, if you like," Bailey said at the NAB AFL Draft Camp, held at the Australian Institute of Sport in Canberra.
"If you think of the pyramid, we're two thirds of the way up Everest at the moment and we've got the summit to come … Then we've got to plant the flag and then we'll announce the name.
"So the top of Everest, we're starting to work towards and to some degree that could be the most difficult."
Bailey said Melbourne is simply after the best available player with its first selection, and noted how important it was that the chosen player would "represent the guernsey, the club and the history".
"The earlier that we can get them to feel that it's their club and they own the club and their responsibilities to produce and become great people as well as great players – we're going to get a great player," Bailey said.
He added that the 'go home' factor would not come into deliberations opening the door for West Australians Naitanui or Rich to be selected.
However, Bailey ruled out marketability as a factor, with some suggesting Naitanui would create an instant cult following at the club that picked him up.
"If you look at Jack Watts, who is quick and athletic and he's certainly appealing and Daniel Rich is certainly an appealing player – he's got the blonde looks and he's a great kid, we interviewed him yesterday," he said.
"Then there is obviously Nicholas and Tyrone Vickery has got a bit of the 'do' working beautifully with the hair, so they've all got marketability.
"We're just after players who are going to be very good footballers for us and they're going to be full of the right character, values and principles. Those kids have all been impressive at this stage, so I don't think we're going to miss to be honest."
Now entering his second season as Melbourne coach, Bailey conceded there is a lot of pressure with having the first selection in the NAB AFL Draft.
"There's no doubt there is a lot of pressure that comes with it," he said.
"[Recruiting manager] Barry [Prendergast] and his recruiting staff have spent a lot of time really finding out as much as we can about an array of players – rather than just one or two.
"The decision is going to be tough … we're getting near towards the decision-making time, but that's still not until the end of November."
But Bailey said opening the batting on draft day was no guarantee for long-term club success.
"The book of national drafts are full of guys from [selection] 20 to 50 who become very very good players, and there is great depth this year and I think clubs are going to be rewarded for second and third round picks," Bailey said.
