Houston, United States
Network International, the global marketplace for buying and selling energy equipment, sold their largest single lot of equipment for $2.4 million in their June 2007 online auction. The lot, located in Singapore, contained over 5,000 tons of unused steel plate and steel structures and was sold to a company, also located in Singapore.
The success of the online auction illustrates the continued demand for steel and other building materials in Asian markets. According to Merrill Lynch & Co Inc. (MER), China's steel demand has grown 20 percent a year on average since 2000 (source: Bloomberg News). Additionally, Singapore is seeing an economic growth that most economists did not originally anticipate. They are now forecasting an economic growth ranging from 5% to 7% from their initial forecast of 4.5% to 6.5% (source: The Wall Street Journal).
"This sale showcases our online auctions as a valuable resource for in-demand equipment, reaching across global lines in some cases," said John Hrncir, Vice President of Global Sales and Marketing. "We have several auctions lined up for the Asia-Pacific market through the end of 2007 and into 2008. I certainly see this trend continuing in the future."
Network conducted an extensive marketing campaign in Southeast Asia, recognizing that a regional buyer would be more likely to pay top dollar for the material, and that shipping costs might discourage those outside the region from purchasing the lot. In addition to targeting thousands of contacts in their existing database, Network targeted prospective buyers through advertising and direct calling efforts within the region.
Additionally, Network handled the collection of funds and all proper documentation including invoices, bills of sale with proper HSE terms, title transfer, appropriate local tax documents and coordination of the equipment load-out process. For all international transactions, Network researches each market to ensure that local taxes, import and export regulations and financial institution requirements are fully explained to buyers.
About Network International
Network International, Inc. is the global marketplace for buying and selling energy equipment through online auctions in the oil & gas, petrochemical and power industries. For more information visit: www.Networkintl.com.
Source: Business Wire (Business Wire India)