The speed with which new companies can enter this space is increasing with the rollout of new auction applications that are faster and easier to implement. A key factor in the movement to dynamic pricing is the buyer experience itself. Auction sites including eBay, eWanted, and Mercata have shown the highest visitor time, and buyers and sellers in the B2B space require the same fast selection of the most optimum solution at the very best price. Implementing dynamic pricing applications helps businesses decrease costs and increase revenues by creating more efficient markets. These applications also help companies deliver better Web experiences by providing more excitement, an increased sense of community, and a higher degree of personalization.
Middlemen offer a lower cost to a better-informed investor.
Processing of bids to sell, including the ancillary services of financing, insurance, and repair services, is propelling the automotive exchange to the number three category on the Internet in terms of dollars spent. Given the time constraints put on business travel, shopping around usually isn't a luxury that time affords. But as intermediaries appear on the horizon with technology and buying power, B2B travel exchanges may arrive sooner rather than later. Computers, Peripherals, and Software Strong momentum in this industry, which exceeds 500 billion dollars, continues to make this the number one market sector. Both have used extranet technology successfully to maintain top accounts, but the reverse auction model may help computer and parts suppliers liquidate older inventory for smaller businesses, which will undoubtedly be facing more pressure to integrate their business processes using expensive technologies that auctions may put within their reach.