Online reverse auctions are electronically managed auctions. During the operation, several potential suppliers compete against each other to offer their products and services at the lowest prices to a buyer. This type of auction is the opposite of a public auction where a single seller offers several buyers a product or products.
The buyer undertakes to draw up his specifications and to communicate them to the suppliers. If they are interested, they can offer competitive prices over their competitors in a limited time. The buyer is the one who ultimately decides by choosing the product or service that fits his budget and that meets his criteria. There are two types of auctions. On the one hand, open inverted auctions where each supplier knows the proposal of the other suppliers. And on the other hand, sealed reverse auctions where suppliers cannot access the offers of their competitors.
Saving money is the first benefit the buyer gets from this mode of purchase. Thanks to the competition established between the suppliers, the buyer profits from a fall in price and can realize a saving of the order of 20 to 40% or more according to the number of competitors present. In addition, this is an opportunity for the buyer to develop his business relationship with suppliers. The buyer is gaining more time by dematerializing his tenders with better visibility in his purchases.
Deal with more suppliers
The buyer will have the opportunity to work with many domestic and international suppliers. New suppliers will come into play to compare different offers and identify the best. It is also for suppliers to attract and win new customers without the intervention of sales teams. Electronic reverse auctions provide seamless access to all relevant information and documents (price, quantity, features, invoices, order form, etc.). All the actors profit with this system of the formalization of the transactions.
The opportunity of a good deal
The first advantage online auctions of buying a property at an auction are certainly the chance to buy it at a price that can defy any competition. Indeed, the objective of an auction is to somehow get rid of items, in many cases, the buyer can appropriate a property sometimes at a price up to less than 90% of that posted on the market. In addition, items for sale are generally in good condition. What more?
Find rare items
Collectors and lovers of antiques have a very good chance of finding a shoe to their feet in an auction. In addition, if you are looking for a rare model or an imported item, it is also a place to focus. Indeed, it is often a process during which items are sold that you will certainly not have the opportunity to find on the market. Some items are even very valuable.