January 29, 2010 • 11:36am in eBridge, Event Summaries, Furniture, Fixtures and Equipment, Insurance Company
A national insurance company partnered with BidBridge for the purchase of steel case furniture through its dynamic eAuction platform.
Due to the unique nature of the furniture, two steel case suppliers competed in the reverse auction process, logging 56 bids and 25 time extensions, demonstrating the competitive nature of the dynamic bidding environment.
First place changed hands 19 times, with the two suppliers concluding their bidding with a 0.01% spread between first and second place, indicating true market value was achieved.
The insurance company achieved a 23% savings versus budget for this purchase.
August 24, 2009 • 1:39pm in eBridge, Event Summaries, Furniture, Fixtures and Equipment, Insurance Company
A nationwide insurance company partnered with BidBridge to purchase office furniture.
Two suppliers competed against one another to provide Steelcase furniture. The suppliers placed 50 lowering bids over the course of the 45 minute bid, generating 22 time extensions and 28 first place turnovers.
At the conclusion, the two suppliers were separated by a mere .16%, indicating that true market value was achieved for this purchase. Additionally, the winning bid came in 23.8% below the initial amount budgeted for the furniture. This budget number was established using catalog pricing given by Steelcase.
The company was unsure before this bid whether Steelcase suppliers would compete against one another, so they asked BidBridge. By polling our supplier network, we were quickly able to discover that Steelcase distributors will in fact go head to head with one another. BidBridge’s unique position as neutral party between buyer and supplier allows us to be such a resource.
This company typically uses negotiation with suppliers to ensure that dollars are spent effectively. The buyer, however, has found that the reverse auction format is the most effective way to maximize spend.
July 23, 2009 • 3:00pm in Construction, Insurance Company
BidBridge partnered with this insurance company to purchase cable and wire to outfit a new office building. Six suppliers competed for a contract for cable and wire. Four of the six suppliers were sourced by BidBridge. A total of 72 bids were placed on seven line items. The 46 minute event, including 28 time extensions, resulted in a 50% savings versus budget.
The contract was awarded immediately, and thanks the competitive bidding environment and strategically sourced suppliers; the company already scheduled their next event with BidBridge.