Business Council Company SPOTLIGHT
Brief Description and History
IronPlanet is a leading online marketplace for selling and buying used equipment and other durable assets. Founded in 1999 to transform the global used equipment market, IronPlanet has built a database of more than 1.8 million registered users worldwide. GovPlanet is our dedicated government seller marketplace, and is designed specifically to align with, and meet the needs of Federal, State, and Local government sellers. Our technology based solutions offer government sellers the ability to tailor a program specific to their needs and capabilities, while maximizing speed to market, optimized efficiency, and returns for their items.
Products/solutions unique to the government
For years GovPlanet has provided government agencies a cost effective and time saving platform to manage and dispose of surplus assets. Our solutions connect government agencies to business and consumer buyers throughout the US and around the globe – providing the audience and demand to achieve the prices you deserve. We also offer and efficient, easily integrated solution for government to government sale of surplus. Our solutions allow you to choose the best format to sale items based on the type of equipment and the characteristics of the ideal buyer.
GovPlanet Featured Auctions – Focused Demand, Fastest Time to Cash
Our weekly Featured Auctions are a must attend event for many buyers on the web. Featured Auctions are designed to move larger, heavier rolling stock and vehicles more quickly and at the most efficient cost. Because these auctions replicate physical live auctions, they are designed to funnel a large number of buyers into a shorter auction window. This maximizes revenue, while ensuring that the item sells. We work with you to inspect and list your equipment with our IronClad Assurance®. Our team of auction specialists set the pricing and the bidding parameters to ensure that the inventory sells at the best price. When the auctions close, we handle payments and other processing such as title transfers and tax calculations.
Govplanet Direct is our new software as a service (SaaS) application designed for smaller equipment or inventory. With this format, sellers are able to list items directly to the web without help from a GovPlanet representative. Sellers can select from multiple auction formats, from buy now to make an offer to the traditional timed auction. Regardless of the auction format, listings can be scheduled to start instantaneously or at a later date. Sellers have the ability to take payment or GovPlanet can provide payment processing services. This inventory is exposed to our large GovPlanet buyer base as part of the site merchandising, and search engine optimization. In addition, each entity will have the ability to set up their own storefront.
An example of a government-related project that was innovative - something that helped solve a problem or contributed a solution
In 2012, the United States Department of Defense was faced with a challenge as its contract to offload thousands of still-viable but surplus pieces of heavy equipment from the Defense Logistics Agency (DLA) came up for bid in 2014. Their goal: maximize the financial return to the government, and in turn, to taxpayers. Agency officials had determined that there had to be a better way to extract value from surplus military assets. After a fresh evaluation of their surplus asset disposition strategies, the DLA split the contract into its Commercial Venture 4-Rolling Stock (CV4-R) and non-rolling stock assets. This decision made for increased competition for the contracts and, importantly, allowed them to implement a pricing method that was more in line with commercial practices.
The DLA met this challenge by putting its rolling-stock contract up for auction in April 2014 – a first in its 16-year history of usable property term sales.
IronPlanet had been paying close attention and prepared to bid with a strong proposal for the rolling stock contract that they knew would surpass any profit structure the DLA had seen before. IronPlanet drew on its 13+ years of experience selling used heavy equipment online. It was a serious contender bringing an exciting new business model that combined its patented digital auction technology with its more than one million registered user base. By leveraging the formula for disposal success that had served IronPlanet buyers and sellers well for so many years, the company’s leadership knew it could not only match the previous contract-holder’s performance but leave it in the dust.
They were right. IronPlanet’s bid to return 75.29% of gross proceeds back to the DLA (on top of a minimal percentage of the original acquisition cost of rolling items upon receipt) won and the company was awarded the CVR-4 contract in July of 2014. The IronPlanet team sprang into action to create the best possible environment to execute on their proposal.
New technologies being developed or adopted that will have an impact on the way products and/or services are delivered
Our live online auctions are unique as they utilize a patented inspection process and IronClad Assurance® program. These provide our bidders with the confidence that what they are buying is accurate. They remove the need to physically view an item as the include everything from photos and videos, to fluid samples and condition assessments. IronClad Assurance® is our guarantee that they will receive the item in the condition that is detailed in the inspection report and sales listing. Ultimately, this process results in more bidders, bidding confidently on more items, at higher sales prices.
Our newly engineered Software as a Service (SaaS) auction model called GovPlanet Direct is designed to replace all similar competitive offerings. GovPlanet Direct is designed on 2016 technology out of Silicon Valley and brings many differentiators when compared to the legacy solutions that are currently employed by government sellers throughout the marketspace.
Suggestion for improving the procurement process...
Investment recovery is an important function within the procurement process. In order to best ensure that your agency is maximizing your return on invested capital, we recommend procurement professionals focus on our four Keys to Successful Remarketing:
- Make an upfront time investment
- Understand the products you are selling
- Always look for “Total Value”
- Measure results and communicate
As a member of the Business Council, GovPlanet hopes to impact the public procurement community by...
We hope that our partnership with government agencies will help the public procurement community as well as the American public by providing outstanding investment recovery support that maximizes return on invested capital by public agencies.