Reverse Auctions

On-line Auctions enable real time dynamic bidding between Suppliers for maximum cost savings.

Use of Reverse Auctions can benefit Companies of all sizes, including federal agencies, for specific categories of spend. When implemented successfully, online bidding software can generate significant cost savings. Including Reverse auction software in your e-Sourcing process can be a powerful addition to your e-procurement process. Real-time online bidding creates a competitive marketplace among your suppliers for the products, services, and even complex purchases. When implemented properly, on-line auctions can complement an organizations strategic sourcing process and help lower the overall cost of purchases; as well as, positively impact budgets.

ProcurePort’s On Demand auction software is delivered via the cloud as a SAAS solution. Our state-of-the-art e-Sourcing Software can be used for conducting a reverse auction for any category of spend. Be sure to view a list of the categories sourced and see if there is a particular category of spend that ProcurePort can help your organization with generating cost savings. Fortune companies, small business, federal government or other public sector agencies, non-profit organizations, hospitals and law firms can benefit by ; implementing a Procurement method that includes the use of an auction website for purchasing certain goods and services. Using e-Sourcing software in your organizations business process; specifically, online auctions, can get your organization the lowest price in the market for goods and services, thereby providinge competitive advantage.

ProcurePort can be your strategic sourcing service provider for conducting your e-Sourcing events. Our full suite of services includes:

  • Assessing your spend category and determining suitability for reverse auction
  • Validating Supplier List
  • Additional Supplier Sourcing if necessary
  • Provisioning the web – based auction site for real time dynamic pricing
  • Creating Bid Strategy
  • Supplier Training and consultation for the online e-Sourcing event
  • Facilitate real time chat and messaging services between the buyers and suppliers during the live auction
  • Proxy Bid for Suppliers who have connectivity or other technical issues
  • Overall bidding process orchestration, including Initial setup and management of the entire procurement process
  • Post Bid analysis and reporting

ProcurePort provides per event pricing as well as package pricing. Contact Us to learn more about our full service offering.

What Is a Reverse Auction?

In simple terms, it is exactly opposite of a forward auction (eg: eBay). In a reverse auction, the buyer initiates the auction as opposed to the seller (as is the case in a traditional forward auction). The end goal of the online auction is to purchase the goods or services at the lowest price.

Typically reverse auctions are conducted via an invitation only process. Buyers and Suppliers engage via a live online auctions website. A buyer or contracting officer creates detailed specifications of the items/services that he/she is looking to procure. Reverse auction companies (such as ProcurePort) provide a cloud hosted auction software solution, which is used to publish these specifications to a select group of verified suppliers. The online bidding event is scheduled for a specific date/time during which the invited suppliers log into the secure web based auction software and submit their bids in real time. The cloud hosted sourcing software provides real time bid feedback to the suppliers, which allows the suppliers to competitively improve their bids to win the business. Additional price components such as shipping, taxes, cost of change, etc. are also used to determine the best supplier offer and the lowest bid does not necessarily win.

ProcurePort provides various formats of Online Auctions such as:

  • Reverse Auction
  • Forward Auction
  • Rank Only
  • Vickery
  • Dutch Auction
  • English Auction
  • Japanese Auction

ProcurePort also creates custom reverse auction solutions for organizations with unique needs. Visit our Custom Auction Platforms area to read more about our custom solutions.

Reverse Auction Benefits

Procurement leaders of global enterprises are facing increasing challenges to do more with less in today’s intensely competitive landscape where spend management is one of the key factors of survival. Reverse auction software is a good addition to any strategic sourcing process and provides several benefits such as:

  • Cost Savings
  • Significant time savings related to collection of bids from various suppliers
  • Benefits of discovering true market pricing including discovery of new suppliers
  • A more transparent auction bid process allowing suppliers to compete in real time to win the business
  • Increased benefit of indirect cost savings for all goods and services, generated via process automation that accompanies the implementation of a web based reverse auction software

ProcurePort’s e-Sourcing Software can generate double digit savings for your organization.

Implementing a well thought out procurement method within your business process, accompanied with the best in class service provider of on-line auctions, can improve supply chain cost efficiencies and deliver significant cost savings.

Reverse auctions can be beneficial for procurement of various goods and services, including energy procurement, renewable energy, construction services, raw materials, print services, services provided by general contractors for construction services, freight and logistics, legal services, etc.

ProcurePort can also integrate with your organizations internal ERP solution using Biztalk server / API Integration for seamless flow of information between ProcurePort and your internal IT systems.

Contact us today or register for a Live Demo, and discover how easy it is to implement Strategic Sourcing Software in your organization.

Customer Testimonials

When used appropriately, reverse auctions support the goal of strategic sourcing to significantly reduce the cost of purchases without sacrificing quality and service.
About ProcurePort

ProcurePort is a global leader in providing reverse auction software Solutions and Strategic Sourcing Services delivered On Demand via the Cloud. Access industry leading online auction technology including Reverse Auction Software, Spend Analysis Software and Contract management Software via the cloud and experience world class technology support and procurement consulting services. Contact Us today for On Demand e-Sourcing software.

Learn how ProcurePort’s Spend Analysis Services and Auction Software can help your business with your Strategic Sourcing initiative. Contact us today to get an estimate on your spend analysis / e-Sourcing project. Ready to get started?