Quick ROI Sourcing Wins India
Gaurav Baheti, CEO of Procol, on bringing procurement online in India
This reveals that procurement software wins in India when it proves savings fast, not when it asks a company to rebuild its whole back office first. In Procol’s market, most buyers still run sourcing on phone calls, email, WhatsApp, and Excel, so the easiest sale is a narrow tool that cuts purchase cycle time and lowers vendor prices in weeks. Full procure to pay suites ask for heavier integration, more training, and a longer wait before finance sees measurable ROI.
-
Procol deliberately started with sourcing, not the full procure to pay stack. It says sourcing is where savings are easiest to show, with 5% to 6% average cost reduction, under 45 day time to value, and vendor onboarding in five to ten minutes instead of weeks. That makes renewal much easier than a broad digitization pitch.
-
The local baseline is still very manual. Procol says 90% of target customers use no digital procurement tool at all, and the digital minority mainly use older SAP or Oracle products. In a market that early, selling a complete system means first changing behavior, then integrating software, then proving value.
-
This is the same pattern seen globally in the newer procurement wave. Zip, ORO Labs, LevelPath, and others have gained traction as overlay or orchestration products that sit on top of ERP systems, while incumbents like Coupa and SAP Ariba are known for broader platforms and implementation programs that often require outside partners and structured rollout.
The market is moving toward a two layer structure. Lightweight sourcing and intake products will land first by showing immediate savings and easier adoption, then expand into adjacent workflows once they control buyer activity and vendor participation. In India, the companies that compound fastest are likely to be the ones that start with one painful workflow, prove cash impact, and only then widen into full procurement infrastructure.