GeM & Procurement
GeM Forward Auctions: What Sellers Miss
· 10 minute read
A forward auction is usually the buyer selling or disposing, or a price that moves up. Treat it as a different verb from the reverse auction you trained sales on.
Most GovTech sales teams learn one GeM auction: the reverse auction, where qualified bidders push a price down after a technical filter. They then see the words forward auction in a dashboard or a training deck and assume it is the same sport with a friendlier adjective. It is not. In marketplace English, forward usually means the price can travel up, or that the auctioneer is disposing of something rather than buying a requirement. The exact behaviours, who can start one, and which categories allow it are portal rules. Read those rules on gem.gov.in before you let a CRM stage say we will win the forward.
This explainer is what sellers miss. It will not claim that forward auctions doubled in a fiscal year. Growth claims need a primary GeM or MeitY source. If you need a trend, screenshot the current official statistics. We will talk about verbs, incentives and the ways a software firm can embarrass itself.
If your product is an on-prem agent platform, you will meet reverse auctions far more often than forward ones. Learn forward anyway. Buyers who misuse the tool will still invite you, and saying yes to the wrong verb is how you sell a licence like scrap steel.
Two verbs: buying a requirement versus moving a price up
Reverse auction: the department has a requirement; qualified sellers compete; the price of that requirement is pressured down. This is the tool that wrecks thin software markets when the ATC forgot quality. It is still a buying tool. Forward auction: treat this, until the live help text says otherwise, as a tool whose price direction or whose starting role is different — often associated with the sale or disposal of goods, or with a bidding-up mechanic. Sellers who show up with a discount matrix designed for reverse will bid in the wrong direction or on the wrong side of the table.
Because GeM's labels and help articles are updated, your SOP should quote the current seller FAQ paragraph, not this article, when you train a new hire. The durable lesson is: read who is the auctioneer, what lot is on the block, and whether the number is supposed to fall or rise.
| Check | Reverse auction (typical buy) | Forward auction (do not assume) |
|---|---|---|
| Who needs something | Buyer needs a platform / service | Often the portal side is disposing or inviting upward bids — confirm live |
| Price pressure | Down, after qualification | Not your RA playbook; read the event |
| What you risk | Winning a delivery you priced as a race | Standing on the wrong side, or bidding on a lot that is not your SKU |
| Air-gap annexure | Must already have filtered bidders | Unlikely to be the right home for an isolation drill |
| Training mistake | Racing before you re-read ATC | Treating forward as friendly reverse |
What software sellers get wrong
They join events whose lot is hardware disposal or surplus and try to position the platform. A forward lot of used servers is not a demand-gen channel. It is a pile of metal. They automate bidding agents tuned for reverse — shave a percent, shave a percent. An upward mechanic will make that bot look drunk. Turn bots off until a human has read the event type. They cite hockey-stick auction counts in investor updates without opening the official dashboard. Auction counts mix tools. A reverse-auction spike in chairs says nothing about agent platforms. They ignore that some buyers will misuse labels. If a department invites you to a forward event that is clearly a purchase of software, ask a written clarification. Do not perform in a misnamed ring.
When to walk
Walk if you cannot state in one sentence who is selling what to whom. Walk if the lot is not your object. Walk if the only way to win is to treat a versioned, isolatable platform as a homogeneous commodity tonne. Walk if your counsel cannot find the event type in the current terms. Stay only if the event type, the lot and your fulfilment note agree, and if a human — not a bot — is on the button.
- Open the event and write: auctioneer, lot, price direction, eligibility.
- Paste the live FAQ definition into the deal channel.
- Disable reverse-auction bots.
- If it is a buy of your software under a confusing label, query; do not guess.
- If it is disposal or a different object, close the CRM stage.
- Never brief a board with an unsourced forward auctions doubled line.
Objections you will hear — and what to do with them
These are the lines that stall the file. Answer them in the room, then put the answer in the note. A spoken answer without paper will be forgotten by the next officer.
Our GeM consultant says forward is the new reverse for services.
Ask them to show the live help text. Consultants flatten vocabulary. You own the click.
We should still participate for visibility.
Visibility in the wrong lot is a support ticket and a reputation nick. Publish a catalogue entry instead.
Everyone is quoting the doubling statistic.
Everyone can be unsourced together. Be the dull firm with a screenshot.
Teach the verb in one sales meeting
- Open a live reverse-auction help paragraph and a live forward-auction help paragraph on a projector.
- Write the two verbs on a board.
- Ban auction as a CRM stage without a type.
- Disable generic bots.
- Assign one person to refresh the FAQ quarterly.
How this shows up in the file
For any auction you enter, file the event type screenshot, the lot text, and who authorised the click. For any statistic you publish, file the primary. If you cannot file those, you are not in an auction. You are in a rumour.
Train the CRM, not the slogan
Add a required field: event type, with values reverse, forward, other, unknown. Unknown cannot move to submitted. Other requires a pasted FAQ paragraph. This is unglamorous CRM hygiene. It is also the only way a growing sales team does not repeat the bot story. Once a quarter, a founder should open gem.gov.in help and re-read the auction paragraphs. Portals edit words. SOPs rot.
Buyers misuse names too
If a department invites you to something labelled forward that is clearly a purchase of your licence, reply on the portal: please confirm whether this event is a purchase of [object] and the intended price direction. If they cannot answer, walk. Performing in a misnamed event is how both sides write a file that cannot be explained.
Statistics again, because people will keep asking
If your board wants an auction trend, assign a named person to pull the official series, label the tool, and date the pull. If the official series does not break out forward auctions the way the board wants, say so. Inventing a double in FY26 is how you fund a correction later. This article will not do it for you. Internal OKRs should not be win n forward auctions. They should be win n events whose object we can fulfil. Verbs before counts.
This article is informational field guidance, not legal or procurement advice. GeM screens, fees, preference rules and dashboards change. Confirm on gem.gov.in and current FAQs before you act. Do not treat any figure here as a live statistic.
How a buyer or seller should act on this
Treat “GeM Forward Auctions: What Sellers Miss” as an operating problem, not a thought piece. A P5 GovTech Founder who searches “GeM forward auction” is usually one bid, one CRAC, or one rejection away from a cash event. The file that wins is the one with dates, document names and a named officer — not a paragraph that restates GeM’s homepage.
A forward auction is usually the buyer selling or disposing, or a price that moves up. Treat it as a different verb from the reverse auction you trained sales on. That is why this explainer ends in artefacts: screenshots of the live portal term, the clause you invoked, and the date you last checked it. GeM, GFR notes and state portals move. A citation without a date is folklore.
Confirm the live GeM FAQ, the current revenue policy and the bid text before you copy any number from a blog — including this one. If the portal and this article disagree, the portal wins. Put the printout in the file.
- Write the purpose of the buy in one sentence a DDO will sign.
- Name the route: catalogue, custom bid, bid, RA, CPPP, or state portal.
- Attach the exemption or preference documents you will actually upload (Udyam, DPIIT, MII, OEM).
- Record who can accept the consignee receipt and who raises the bill.
- Do not invent a category, a PAC, or a price-reasonableness story after L1 is public.
Close this loop before the next CAB
Put “GeM Forward Auctions: What Sellers Miss” on the next change-advisory or bid-opening agenda as a single line item with an owner. If it cannot earn a line item, it will not earn a control. The owner should be a P5 GovTech Founder, not “the vendor.”
Revisit the item when the model, the GeM term, the region, or the SI changes. “GeM forward auction” is not a one-time workshop. It is a watch item. Date the last check. Unsigned watch items are souvenirs.
Questions this usually raises
- Did GeM forward auctions double in FY26?
- This article does not say so. Check the latest official GeM dashboard or report. Repeat only what you can footnote.
- Is a forward auction the right way to buy an AI platform?
- Usually you want a bid or custom bid with quality rows, sometimes followed by a reverse auction if your rules say so. Do not pick a tool because the name sounds assertive. Confirm the verb.
- Where are the official definitions?
- Seller and buyer help on gem.gov.in, and the terms attached to the event. Those beat any explainer, including this one.
- Can we use a bidding bot?
- Only if you fully understand the event type and the portal allows it. Default to a human. Bots trained on reverse will misfire on anything else.