© FedBid Inc. | CONFIDENTIAL AND PROPRIETARY | www.FedBid.com 1
Intro to FedBid
Louis Schiavone, SVP
State and Local Government
And Education
2013
What is FedBid?
• A multibillion dollar online marketplace
• A managed network of 65,000+ Sellers
• A Buyer-powered marketplace driving Seller competition to
deliver best value on simple goods and services
• A streamlined process that saves time and money
• A fully-managed marketplace with customer support and
quality assurance
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By the Numbers - 2012
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$1.5B+ Gross Marketplace Volume
$142M+ Savings
30,000+ Buys Awarded
59,000+ Registered Sellers
13,000+ Registered Buyers
78% Awarded to Small Businesses
Smarter Selling
• Equal access to more real opportunities
• No cost and no risk to join and participate
• Free marketplace training
• Fully-managed sales support services
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• No upfront costs or investments to participate
• Free training for Buyers and their requested Sellers
• No risk guarantee: We only get paid if an award is made
• Experian-verified, FedBid-qualified Seller network
• Quality assurance managed throughout buy lifecycle
Better Buying
The Opportunity
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20% of spend is undermanaged,
representing significant potential savings.
STRATEGIC SPEND TRANSACTION SPEND THIRD SPEND
VA
LU
E (
$)
<$300K
>$3K
Direct Spend Indirect Spend
What Makes a Buy FedBidable?
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THE 3 C’S
Clear Specifications Competitive Supply Base Compelling Spend
How it Works
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The managed marketplace that delivers better buying,
smarter selling, healthy markets.
1 BUYERS
SIGN UP
& LOG IN
2 POST
A BUY 3 REVIEW
BIDS 4 MAKE AN
AWARD
SELLERS
SIGN UP
& LOG IN
SELLERS
NOTIFIED &
COMPETE
SELLER
DELIVERS
Performance Based Economic Model
FedBid makes money by adding an equal percentage transaction
fee to all Sellers’ bids prior to the submission to the Buyer.
When the Buyer makes an award, FedBid collects the included
fee from that Seller.
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BUYER
POSTS A
BUY
SELLER
BIDS
$10,000
SELLER
KEEPS
$10,000
BUYER
AWARDS
$10,300
TO
SELLER
FEDBID INVOICES
SELLER FOR FEE
FEDBID ADDS
FEE
TARGET PRICE:
$12,000
A Managed Marketplace
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Each buy is managed, not just by the Buyer, but by
an entire team driven to ensure results.
MARKET
OPERATIONS
CLIENT
SERVICES QUALITY
ASSURANCE
ACCOUNT
MANAGEMENT BUYER
SUPPORT
SELLERS
NOTIFIED
& COMPETE
POST A BUY MAKE AN AWARD
Proven Success by the Numbers, 2012
Buy Metrics Federal Org Education Org Commercial Org C
Number of Buys 6,472 101 14
Independent Cost Estimate $318,970,427 $1,781,274 $121,037
Final Awarded Volume $279,602,978 $1,547,006 $92,879
Net Savings in Dollars $39,367,448 $234,267 $28,161
Net Savings in Percentage 12.5% 13.15% 23.27%
Average Final Awarded Price $43,202 $15,317 $6,634
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Different areas, vibrant marketplaces, savings to Buyers.
Who Gets Awarded? Small Businesses.
$1B
$333
$264 $239 $202 $181
$113
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In 2012, over $1B was awarded to small
businesses through FedBid’s online marketplace.
2012 Small Business
Award Volume ($M)*
Drives Volume for underrepresented businesses
Number of Awards
22%
78%
Small Business
Other
In 2012, FedBid Buyers Bought:
MEDICAL SUPPLIES
$179M
LAB EQUIPMENT
$47M
COMMUNICATIONS
$40M
OFFICE SUPPLIES
$14M
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Buys on FedBid average $44K for over 30K buys.
IT HARDWARE & SOFTWARE
$587M
FURNITURE
$31M
CLOTHING
$36M
SERVICES
$96M
How we help you
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IMPROVE SPEND
MANAGEMENT
AND VISIBILITY
PROMOTE CORPORATE
SOCIAL RESPONSIBILITY
OBJECTIVES
SUPPORT
SUSTAINABILITY
APPLY REAL-TIME DYNAMIC
COMPETITION
DELIVER SAVINGS
AND CONTINUOUSLY
OPTIMIZE SPEND
FUEL GROWTH IMPROVE AUDITABILITY
AND MITIGATE RISK
EXTEND REACH OF
PROCUREMENT
RESOURCES
Case Studies
Landscaping Services
Category Landscaping Services
Line Items 3 – 1 base, two option years
Target Price $18,000 – Base year
Award Price $12,360 – Base year
Savings Amount $5,640
Savings Percentage 31.3%
Number of Sellers Responded 5
Number of Bids 13
Books
Category Books, Maps, and Other Publications
Line Items 6
Target Price $4,509
Award Price $3,594
Savings Amount $914
Savings Percentage 20.3%
Number of Sellers Responded 5
Number of Bids 17
Case Studies
Cleaning Supplies
Buy Number & Description: 257467_02 – Cleaning Supplies
Awarded Seller: PSI RECRUITING, INC. DBA A1 BARCODE SYSTEMS
Line Items: 4
Target Price: $19,372
Award Price: $16,552
Savings: $2,820
Savings %: 15%
# Sellers Bidding: 3
# Bids: 16
Toner
Buy Number & Description: 328575 – Toner
Awarded Seller: COMPUTER NETWORKING, INC.
Purchase Requirement: Exact Match
Line Items: 4
Target Price: $9,092
Award Price: $7,832
Savings: $1,259
Savings %: 13%
# Sellers Bidding: 12
# Bids: 26
Transportation Buy Number & Description: 325744 – Bus Transportation
Awarded Seller: NASON PARTNERS LLC DBA KELLEY TRANSIT COMPANY
Line Items: 2
Target Price: $14,000
Award Price: $9,270
Savings: $4,730
Savings %: 34%
# Sellers Bidding: 8
# Bids: 11
School Furniture
Buy Number & Description: 376067 – Office Furniture
Awarded Seller: HERTZ FURNITURE SYSTEMS LLC
Purchase Description: Meet or Exceed
Line Items: 4
Target Price: $5,474
Award Price: $3,349
Savings: $2,125
Savings %: 39%
# Sellers Bidding: 6
# Bids: 19
Case Studies
School Books
Buy Number & Description: 376150_02 – Student Handbooks
Awarded Seller: FOLLETT EDUCATIONAL SERVICES, INC. [DUNS:195202739]
Purchase Description: Purchase Description Determined by Line Item
Line Items: 9
Target Price: $20,468
Award Price: $15,481
Savings: $4,987
Savings %: 24%
# Sellers Bidding: 4
# Bids: 12
Court Reporting Services
Category Administrative Support Service
Line Items 1
Target Price $17,310
Award Price $9,711
Savings Amount $7,598
Savings Percentage 43.8%
Number of Sellers Bidding 3
Number of Bids 14
Case Studies
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