Strategic sourcing and procurement software provider highlights recent successes and insight for year ahead post merger
(KITCHENER, ONTARIO, March 12, 2019) – Bonfire Interactive (“Bonfire”), a leader in strategic sourcing and procurement software, brings momentum to the recent merger with GTY Technology Holdings Inc. (“GTY”) with new contracts, a fast growing team, and client-inspired modules.
Client demand calls for corporate growth
Bonfire’s list of clients now exceeds 250, with newly awarded contracts across industries including: (Municipal Government) City of Los Angeles, City of New Haven Columbia County; (K-12 Schools) Fort Bend Independent School District, School District of Philadelphia, Anaheim Union High School District; (Higher Education) Rutgers – The State University of New Jersey, Erie Community College, College of the Rockies; (Other) Montreal Airport Authority, California Water Service Company, Toronto Community Housing.
“Public sector sourcing is procurement in ‘hard-mode’ – it involves fragmented stakeholders and compliance measures at multiple levels of government,” said Corry Flatt, CEO and Co-Founder of Bonfire. “We understand how clients across industries approach sourcing and built a platform from the ground up that can handle these challenges. We wrapped our solution in an easy-to-use interface that’s also a proven mix for commercial procurement teams, especially those in highly regulated industries that require complex decision making.”
To deliver on market demands, Bonfire grew the team from 43 employees to 95 in the last year. The Company also expanded office space from 14,000 square feet to 22,000 square feet, maintaining a headquarters in the historic Tannery building of downtown Kitchener, Ontario which is at the centre of the thriving Waterloo Region tech scene.
Developing end-to-end procurement software that actually gets used
Making purchasing decisions is difficult, especially for the public sector given the pressures of budget cuts, strict regulations, and audit reporting. To navigate these challenges, entities are moving their bid and RFP processes to online sourcing and procurement software like Bonfire.
In 2018 alone, over $14 billion of purchasing decisions were powered by Bonfire. That translates to the following:
- More than 10,000 RFx projects completed in Bonfire
- Roughly 14 million pages of paper RFx documents are now online
- Over 11,000 evaluators engaging in Bonfire
- An average of 12% savings on budgets for procurement professionals who use Bonfire
Additional procurement benchmarks are noted in the 2018 State of the RFP report.
With these achievements, Bonfire gained recognition as a 2018 Gartner Cool Vendor, earned a spot on the 2018 Spend Matters 50 Providers to Watch list, was named an IDC Top Innovators in Sourcing Technology, and won the Silver Stevie Award winner for Customer Service and the Best in SaaS Award for Best User Experience for Procurement Software. Bonfire’s service team had its best year with a 98% client success rating and an average company net promoter score (NPS) of 70 (i.e.: “would you recommend this product?”). Needless to say, buyers, evaluators, vendors, and executive directors agree that Bonfire is easy to use and takes the headache out of the sourcing and procurement process.
Bonfire CEO notes emerging trends in procurement software
As announced in February 2019, Bonfire was formally acquired by GTY Technology Holdings Inc. (“GTY”), a public company on a mission to digitize state and local governments across North America. The acquisition makes GTY the first of its kind in the industry – offering a one stop shop for public sector agencies to digitize their services across core functions of budgeting, permitting, payments, grants management, and procurement. As a subsidiary, Bonfire will remain an independent business unit and continue to expand in both public and commercial sectors.
Emerging trends in Software as a Service (SaaS), such as Big Data and machine learning, cannot go unnoticed in today’s ‘always on,’ ever-changing marketspace. Flatt says, “Public sector procurement is ripe for transformation by data and community features due to the industry’s want and need to share information with other organizations in their district, with citizens, and stakeholders. Filling this void is an area that we’re excited to explore in 2019.”
Bonfire Interactive Inc. (“Bonfire”) is a subsidiary of GTY Technology Holdings Inc. (NASDAQ: GTYH), and a leader in strategic sourcing and procurement technology. Bonfire empowers organizations to make the right purchasing decisions. With tools to support the entire vendor lifecycle (sourcing, contract management, and vendor performance), Bonfire goes beyond traditional mechanics of standard procurement suites to make complex decision-making easy. The combination of flexible technology and world-class customer service makes Bonfire the solution of choice for both public and private sector organizations of all sizes around the globe. Bonfire was named a 2018 Gartner Cool Vendor and proudly reports a client retention rate greater than 96 percent.
About GTY Technology Holdings Inc.
GTY Technology Holdings Inc. (NASDAQ: GTYH) (“GTY”)) brings leading government technology companies together to achieve a new standards in citizen engagement and resource management. Through its six subsidiaries, GTY offers an intuitive cloud-based suite of solutions for state and local governments spanning functions in procurement, payments, grant management, budgeting, and permitting: Bonfire provides strategic sourcing and procurement software to enable confident and compliant spend; CityBase provides government payment solutions to connect constituents with utilities and government agencies; eCivis offers a grant management system to maximize grant revenues and track performance; Open Counter provides government payment software to guide applicants through complex permitting and licensing procedures; Questica offers budget preparation and management software to deliver on financial and non-financial strategic objectives; Sherpa provides public sector budgeting software and consulting services.
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The combined company’s actual results may differ from GTY’s and the combined company’s expectations, estimates and projections and, consequently, you should not rely on these forward looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the combined company’s expectations with respect to future performance and anticipated impacts of the business combination. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside of the combined company’s control and are difficult to predict. Factors that may cause such differences include, but are not limited to: (1) the risk that the business combination disrupts current plans and operations; (2) the ability to recognize the anticipated benefits of the business combination, which may be affected by, among other things, competition, the ability of the combined company to grow and manage growth profitably and retain its key employees; (3) costs related to the business combination; (4) the outcome of the New York and California lawsuits among the Company, OpenGov, Inc. and the other parties thereto, as well as any other legal proceedings that may be instituted against the combined company in connection with the business combination; (5) the inability to maintain the listing of the combined company’s common stock on The Nasdaq Stock Market; (6) changes in applicable laws or regulations; (7) the possibility that GTY may be adversely affected by other economic, business, and/or competitive factors; (8) any government shutdown which impacted the ability of customers to purchase GTY’s products and services; and (9) other risks and uncertainties included in the final proxy statement/prospectus filed with the Securities and Exchange Commission (the “SEC”) on January 31, 2019 , including those under “Risk Factors” therein, and in GTY’s other filings with the SEC. We caution you that the foregoing list of factors is not exclusive, and readers should not place undue reliance upon any forward-looking statements, which speak only as of the date made. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based.
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