New to Reverse Auctions? ProcurePort provides managed reverse auction services to fully manage your e-Auction. Small or large, local or global, our experienced sourcing team can deliver successful results for your reverse auction of goods or services.See how we do it
If you are looking to implement the use of e-sourcing, specifically Reverse Auctions within your company’s bidding process, connect with us to discuss your requirements. ProcurePort has over a decade of experience in conducting online reverse auctions for various products and services. Below are some of the key where we can help your organization generate cost savings:
Logistics: Land, Air and Ocean Freight including Small Parcel
Multiple Indirect Categories
Energy: Electric Energy, Natural Gas
MRO Materials & Services
Web based e-Auctions are an integral part of the overall strategic sourcing process. When implemented successfully, reverse auctions can generate significant cost savings in certain categories of spend by facilitating real-time competitive bids between sellers. Sellers provide their lowest price during the bidding process to win the business.
Our reverse auction managed service offering consists of the following reverse auction process workflow implemented by our experienced sourcing staff:
Identify Spend Category - Clearly define the Spend Category for the sourcing event including any Sub-Categories. Collect Spend Data to identify buying patterns, including historic and target pricing.
Identify Line Items / Categories - Collect item level information for the identified spend category, including any specification documents. (In case of an RFI, short list survey questions)
Identify Suppliers - Shortlist Suppliers for the Identified Spend Category and gather supplier profiles.
Identify Location of Suppliers - Geographical location of participants allows for decisions related to base currency, time zone and language related settings for the sourcing event.
Buy Side (Event Manager, Approver, Collaborator & Viewers) - Identify members of the procurement team involved in various aspects of the sourcing event.
Sell Side (Suppliers) - Onboard selected Participant suppliers and train participants on sourcing platform
Supply Chain Support Personnel - Onboard and train buyer team for accessing and viewing sourcing event and post event reports/analytics
Finalize Sourcing Event Strategy - Discuss and finalize strategy for sourcing events based on type of event and business goals.
Schedule the event
Determine time frame
Type of auction
Number of extensions
Number of suppliers to invite
Ensure supplier accessibility
Starting price strategy
Lots and items entry
Send out supplier invite email
Confirm supplier participation
Discuss RFQ specs with bidders (questions/clarifications)
Participant Training - Train all participants on the use of the sourcing platform. Confirm internet connectivity as well as browser compatibility for all participants.
Conduct Mock Event - Conduct a mock event that is set up similar to the live event and have each participant provide a response/bid in the mock event, confirming their access to the platform as well as their understanding of the event rules.
Send Event Notification to Suppliers - Finalize sourcing event and send invitation emails to all participants providing access to the live sourcing event. Follow up with participants to confirm their intention to participate in the sourcing event.
Act as the events administrator
Remind suppliers of the event
Answer supplier questions prior to and during the event
Monitor the supplier activity and status on platform
Provide technical support if needed
Thank All Participants - Email notification to all participants thanking them for their participation in the sourcing event along with evaluation timelines
Create Post Events Reports - Bid analysis, attendance audit and custom reports as requested by Client provided in Excel format
Follow Up - Vendor feedback, participant feedback, bid award analysis using decision variables
Conducting successful web based reverse auctions often requires specialized knowledge, expertise, and familiarity with the process. Online auction works and allows companies to collect the lowest bids from participating sellers. For organizations implementing e-auctions for the first time or lacking internal resources, ProcurePort provides the necessary blend of software and services for conducting a successful e-sourcing event. ProcurePort provides services for fully managed e-Auctions for both, the public and private sectors.
The key components of executing a successful online auction are:
Using the right e-Auction tool
Inviting the right qualified suppliers
Structuring the event optimally
Properly executing the event
ProcurePort provides per event pricing as well as package pricing. connect with us to learn more about our full service offering. ProcurePort can be your full service partner for conducting online auctions.