How to get the most from eAuctions Stacey Coote | CEO | Yerra Solutions Ltd STACEY COOTE CAROLINE O’GRADY Chief Executive Officer Chief Operating Officer and General Counsel +44 0203 755 5290 +44 0191 500 7832 Yerra Solutions LTD UK Yerra Solutions LTD UK 24 Chiswell Street 24 Chiswell Street London, EC1Y 4YX London, EC1Y 4YX STRATEGY, OPERATIONS and TECHNOLOGY for Legal and IP I www.yerrasolutions.com STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM
Contents How to get the most from eAuctions Background & main reasons for use How to manage the process Legal Services Auction Review video Key questions to ask / know in order to manage auctions effectively Final advice STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM
How to get the most from eAuctions Background & Main Reasons For Use Average saves – 40%. Have seen saves of 70%+ and some free Typical auctions are 4-5 bidders but you can ask how many are involved and possibly see how many during event as well too! Timing – 15-30 minutes normally ( although have seen one go a day Prices are bid downwards and a half! And did run one for a week once – this was due to complexity ) Speed and savings – but let’s be honest it’s mainly savings! Plus Point: It is generally speaking the pre-cursor to getting some actual work and I saw one firm win £5M in completely new business from an auction process and another firm win £25M as part of the panel auction process (new entrant to panel) STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM
How to get the most from eAuctions How to manage the process An auction is not always about price. Intelligent firms can use an auction to create a good impression with clients. General advice for auction success includes: Even if you are not bidding, always login (and login early) so you can track where you’re pricing ranks and gain valuable Don’t bid at the last second as the bid may not go through in time. It’s not eBay and there is no advantage to bidding late market intelligence Build a strategy much like you would a normal negotiation. The law firm’s decision maker should always be at the event Know your walk away position and stop bidding then. Also, be sure to know if “first place wins” or if other factors are being taken into consideration as you can then build a more robust pricing strategy NOTE: Key Stakeholders are nearly always present at auctions so make a good impression STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM
How to get the most from eAuctions Key questions to ask/know in order to manage auctions effectively QUESTIONS FOR THE CLIENT WHAT YOU NEED TO KNOW What is your starting bid? What basis is auction e. g. 1st place wins or not? What is your ideal price? What is Minimum bid decrement? What is your walk away position? What weightings apply, if any? NOTE: Weightings can make a huge difference to events! I have seen weightings of over £100K in certain events! STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM
How to get the most from eAuctions Final advice Don’t keep bidding just to win. Remember that your firm will have to do the work and that bids are legally binding In my time, I’ve seen firms bidding to do work for free, at really low and / or at unprofitable pricing levels, which they ha ve later regretted Additionally some firms I worked with have staffed matters with lower level resources - as they priced the work so low - which has created a really bad impression with the client PLAY THE GAME! Bid in minimum bid decrements to look like you are really active . STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM
STRATEGY, OPERATIONS & TECHNOLOGY FOR LEGAL & IP WWW.YERRASOLUTIONS.COM
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