What is a Weighted Reverse Auction?
A reverse auction is an electronic auction where suppliers bid online against each other and compete for business against a published contract specification. Suppliers can view each other's bids and in competing for business, prices typically decrease over time.
Auction weighting can be used to secure the optimum terms the market is willing to offer. Reverse auctions can control costs, gain efficiencies, and maximise the total value received from purchases.
Benefits of Maia Energy Reverse Auctions
- Cost and time savings
- Typical cost savings range between 5% and 15%
- Government data demonstrates reverse auctions are up to 18% more cost-effective
- Collaborative purchasing opportunities can secure additional savings
- Up to 30% time savings
- Transparent, secure online platform and legally compliant
- Transparent, secure online reverse auction
- Fair and transparent contract award process
- Suppliers can re-visit bids at any time
- Audit trail records all auction activity
- Legally compliant.
- Online communications and bid alerts make it easy to track auction events
- Participants receive emailed bid and ranking updates
- Auction participants don’t have to log in to track the auction
- Online messaging system
Features of Our Reverse Auction Platform
- Secure environment for setting up auction rules, weighting questionnaire (if appropriate), approving supplier participation, and monitoring events
- Collaborative procurement opportunities
- Choice of weighted or non-weighted auction formats allows fine-tuning of Reverse Auction tool
- Ability for buyers to upload images, specifications, and other documents
- Emailed bid alerts with updated rankings
- Analysis tools for bid evaluation, including vivid charts
- Automated award notification to the winning bidder
- End of auction management information reporting
- Event log showing minute by minute bidding activity
- Audit trail
- Auction archive
- Different cost options available:
- Supplier pays
- Suppliers take part in the auction on a “no win, no fee” basis.
- The fee is agreed with you, the buyer
- Suppliers instructed to build this fee into their bids.
- Winning supplier pays a success fee.
- The success fee is covered several times over by the efficiency of the reverse auction process.
- Percentage of the realised savings – no saving, no fee
- Maia Energy takes a percentage of the savings realised by the buyer on the agreed contract. No saving, no fee.
- Fee is paid by the buyer. The baseline for savings is the Supplier renewal offer, and savings accrue as suppliers bid against each other for your business.
- Supplier pays
The reverse e-auction provided by Maia Energy for a recent OJEU contract was very successful and efficiently run. The savings were tremendous and my Financial Director was very impressed. I would recommend to anyone the use of this tool for the procurement of energy and look forward to using it again soon.
Purchasing Manager, Major London based Housing Association
Our Organisation entered into a reverse e-auction provided by Maia Energy for a recent gas tender. The reverse auction significantly reduced our contract renewal price and minimised our overall cost increase. Our Director was pleased with the outcome. We will use this tool again.
National Facilities Manager, Major Animal Charity
The Reverse Auction website is very good – one of the best I have seen. Also very easy to use.
Senior Manager B2B, Energy Sourcing & Customer Supply, EDF Energy
With our guidance, our clients can conduct successful and fair auctions that meet their objectives and needs. Contact us now to learn how we can help you achieve optimal results with our auction services.