What
are Auctions?
This section specifically looks at the ability to use Forward
auctions to Sell goods or services.
For more general information click here.
What
is a Forward Auction?
Many companies find themselves in the situation of having surplus
stock. A company in this position will generally task its sales
people to contact all of their potential sources and try to cut
deals in order to get rid of the excess inventory. This process
is very time consuming, requires a great deal of backward and
forward activity, delivers inconsistent pricing and can disrupt
the normal sales channel.
A forward auction is simply putting this process online and streamlining
the whole thing. As the seller you put the stock you wish to sell
in the system and invite bidders to make offers on what they feel
the stock is worth. Typically the highest bid wins the deal.
Typically forward auctions are used to sell obsolete inventory
items, assets and distressed or returned merchandise. A B2B forward
auction lends itself to efficiently liquidate capital-binding
items such as:
- Finished
products, merchandise.
- Custom
and fabricated industrial components.
- Industrial
and non-perishable commodities.
- Capital
equipment, machinery, office furniture.
The
Forward Auction model can also be applied as an effective tool
to allocate limited capacity or rare goods to customers or to
perform price discovery in a new market.
What
are the main benefits of a Forward Auction?
For the SELLER the main benefits are
- Faster
Sales Process.
- Faster
Results.
- Simultaneous
online negotiation with multiple bidders reduces the haggling
and involved sales process.
- Multi-currency
and multi-lingual capabilities collapse potential geographical
boundaries.
- Virtually
no limit to what goods or services can be sold.
- Simple
and easy to use ensuring sellers can run their own auctions
without the need for specialist help.
- Invitation
only events minimise the risk of items disrupting the normal
sales channel or getting into the wrong hands.
- Sellers
can either run simple multi line auctions or more complex auctions
- Multi
Variable Bidding (MVB) enables other factors such as support
and delivery to be included in the decision making process,
moving away from price and quantity.
- Dynamic
pricing enables Real Street Price validation.
For
the Bidder the main benefits are:
- More
efficient way of sourcing.
- Constant
and up to date information on where bidders are in relation
to their competition.
- Openness
to information leads to level playing field.
- Multi-currency
and multi-lingual capabilities collapse potential geographical
boundaries.
- Inclusion
in auctions from companies who have not previously sold to the
supplier.
- Much
faster way of sourcing.
- Bidders
can always see the current best price and make quick decisions
based on their market.
- Cuts
negotiation times down to hours allowing bidders to plan more
effectively.
Key
Functionality
- Software
is hosted and is accessed via the Internet using a browser.
- Easy
to set up auctions.
- Easy
to bid on auctions.
- Online
help and powerful wizards.
- Fully
controllable administration allowing for easy selection of bidders
and winners.
- Powerful
event monitoring through dashboard like interface and extensive
reports.
- Multiple
auction/bidding event formats, types and rules.
- Multi-Variable
Bidding (MVB) - beyond price and quantity.
- Multiple
Language Support.
- Multiple
Time Zone support.
- Highest
level of security.
A
couple of scenarios where a Forward Auctions could be used.
Technology: A new version of software has been released.
The software company has rotated the stock with its channel and
is left with older versions of the software.
Energy: An oil company has a number of pumps in the field
that have zero book value but would like to recover something from
them as they take them out of service.
Both scenarios would benefit from using a forward auction to fulfill
their needs. The biggest challenge that faces a forward auction
is knowing who to invite.
How
do you use Forward Auctions?
Take a look at the online
demonstration.
Is
there anything you can not sell?
I think we are more limited to our imagination and desire to make
a forward auction work more than limited by what you can sell.
Can
I have my own branded Forward Auction site?
Absolutely... provide us with your logo and we will brand your forward
auctions
Can
I resell Forward Auctions?
Sure if you would like to offer forward auction capabilities to
your clients or your entire channel then we will help you. You will
also generate revenue by reselling forward auctions
How much do Forward Auctions cost to use?
To use forward auctions costs a very small % of the total
monthly transactions. However the more you use the service the
less the %. This applies to the entire business not just your
own section or division. For example if the UK division of a company
sold £150,000 worth of goods and services and the USA division
sold $400,000 they would be added together and the appropriate
% charged. Thus providing the company with global benefits.
Why
should I use RealStreetPrice.com Forward Auctions?
Just a few reasons:-
- We
have existing relationships with over 260 of the worlds top
multi national corporations
- We
have offices around the globe
- Each
account is supported by an account team
- We
are 100% responsible for the service, its continual support
and development.
- There
is no cost unless you use the service to sell goods or services.
- To
set up Branded auctions is free
- We
provide extensive online help and training
- You
can generate additional revenue by reselling forward auctions
- The
more you use forward auctions the less you pay
- Forward
auctions can be run by yourselves or you can ask for assistance
- Global
24x7 support
- Multi
lingual support
To
find out more please complete this form
