Dutch auction

In addition to the usual English auction , the Dutch auction (reverse auction) is also available.

In a typical online auction (English auction), the customer auctions off an item with a starting price. Several suppliers can place bids for the item during the auction period; the lowest bid at the end of the auction wins the auction.

In a Dutch auction the auction process is reversed. Here, the customer also auctions off an item with a starting price. The difference to the English auction, however, is that the starting price increases during the term of the auction. Suppliers can submit their bids at any time. The longer they wait, the higher the price.

In contrast to an English auction, where the highest bids are not expected until the end, in a Dutch auction the item can be sold very quickly because the suppliers are under time pressure. If you bid too late to get a high price, the item may have already been sold to another bidder.

Under Sourcing → RFX and Auctions → New Auction, you can choose between a Dutch and an English auction. Depending on the auction form, the fields below vary.