Dipping Toes with PurchasePro

Two new customers test-driving e-sourcing tool on "per-use" basis

Las Vegas  January 25, 2002  Ceramic tile manufacturer Dal-Tile and utility company Conectiv are set to use an e-sourcing solution from PurchasePro on a per-use payment program.

The two companies will use the solution provider's e-Source product, which offers such e-sourcing functionality as spend analysis, supplier qualification, request-for-information and -quote management and supplier relationship management, in addition to reverse auction functions. PurchasePro released version 7.5 of e-Source earlier this week.

The company's new customers are taking advantage of a pricing strategy that PurchasePro announced late last year to provide a per-use payment option for its solution rather than a flat licensing fee.

Chris Benyo, PurchasePro senior vice president, said that per-use pricing offered a way for company to "dip its toes in the water," that is, to get acquainted with e-sourcing and evaluation the e-Source tool before making a long-term commitment. "Offering our solution on a per use basis is a way for companies of any size to gain the benefits of the strategic sourcing process without committing to large capital expenditures or outrageous consulting fees," Benyo said.

The solution provider reported earlier this month that Honeywell had signed a license agreement for e-Source following its run of six per use strategic sourcing events.

Dallas-based Dal-Tile is the largest U.S. ceramic tile maker. The company, which had 2000 sales of just over $950 million, agreed in late 2001 to be acquired by Mohawk Industries.

Headquartered in Wilmington, Del., Conectiv, with $5 billion in sales in 2000, provides energy service in New Jersey, Delaware, Maryland, and Virginia.