Hewlett-Packard Co. and the WorldWide Retail Exchange are launching the OneStop IT Shop, a computer technology procurement web site for WWRE’s 64 members. The companies say the arrangement could results in savings of up to 25% through a combination of discounted prices and a streamlined procurement process. HP says it expects the site to generate $50 million in first-year sales.
HP and WWRE did not cite specific price discounts on the desktop and laptop computers, servers and monitors that HP will make available through the OneStop IT Shop. HP and WWRE are figuring that WWRE’s members, including such large names as Kmart Corp. and Albertsons Inc., will forgo the process of searching multiple technology providers for the best deals in favor of going directly to HP for steady savings. Products procured through the OneStop IT Shop are only for a buying company’s own use and are not meant for re-sale, HP says.
The WWRE will not receive commissions or fees for purchases made by members through the OneStop IT Shop. There are no minimum purchase requirements and WWRE members will be offered previews of discount prices before placing orders. The site, which requires authorized log-in, is accessible through either WWRE.org or HP.com.
“The whole idea is to drive out the costs of the procurement process as well as cut the price of products,” an HP spokeswoman says.
HP will offer HP-branded technology, including its ProLiant servers. But it will also work with the WWRE to expand its range of product offerings through the OneStop IT Shop as it learns more about what WWRE members want to purchase, the spokeswoman says.
Although the computer technology procurement service will be exclusive with HP, WWRE also maintains other procurement arrangements for indirect goods in categories such as office supplies. “We will continue to develop similar agreements when there is an identified member demand or need,” a WWRE spokeswoman says.
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