In consumer auctions, the term is often used to refer to sales process that share some characteristics with auctions, but are not necessarily auctions.

Introduction

This article focuses on the "e-procurement" definition of the term, as this is the most commonly found application of reverse auctions and the term "Reverse Auction" has become synonymous for most people with this type of auction.

Reverse auction is a strategy used by many purchasing and supply management organizations for spend management, as part of strategic sourcing and overall supply management activities.