The progressive-price tender (reverse auction)

The phrase "progressive-price tender" (or "interactive progressive price") most often refers to an electronic reverse auction. After an initial evaluation of bids, the buyer opens an online phase where candidates can, in successive rounds, improve their price (or other quantifiable elements). The price "progresses" downwards, in real time, until closing.

How a reverse auction runs

The buyer states the rules in advance: elements subject to the auction, ranking formula, schedule of rounds. During the auction each candidate sees its rank (without knowing competitors' identities) and can submit a new bid. The final ranking follows automatically from the announced formula.

Legal framework and limits

Electronic auctions are governed by the Public Procurement Code (articles R2132-16 onwards). They may only cover quantifiable elements and are unsuited to complex intellectual-service contracts. Beware: a price race can tip a bid into the abnormally low zone. Always keep your cost price in mind.