eAuctions have been around for awhile now… but what is new in this area? Come to this session to see what is new with Auctions in the Ariba and to hear what customers are doing with Auctions in the cloud today. We will work through an exercise in groups to demonstrate some auction concepts, and a member of the Ariba Best Practice Center will be on hand to facilitate discussion about driving toward auction success.
5. #AribaLIVE
Paint Auction Example
• Category: Paint
• Leveraged volume with Smile Brands
• Annual Spend: $2 Million
Category spend grew 40+% previous year
• 4 paint types = 92% spend
• Primary incumbent for both brands
• Locations also purchasing from 10+
other vendors in a mix of colors and
container sizes
• Incumbent increased PPG (Price Per
Gallon) by 8% in Jan 12’
• 25 bids received during the auction
• Achieved lower price on all items
Background
Build Auction
• Collect baseline data and specs
• Supplier discovery via Ariba Discovery
Network
Auction
Released
• Auction released to 5 pre-qualified national
paint suppliers
Pre-Bids
Solicited
• Pre-Bids received and reviewed
Auction
• Auction held one week after pre-bids received
• Draft auction held 2-3 days prior
Supplier
Selection
• Supplier selection made one week after
auction
• New prices effective within 2 weeks
Process
5-7Weeks