ESwarm Brings Bulk Buying Power to the Individual

Originally Conceived for Group Health Insurance, it has Been Expanded to Include Electronics, Prescription Medications and Consumer Products

Everyone loves a great bargain, and there is no surer way to save money than to buy in bulk. Of course, if you're in the market for a new iPod, buying in bulk is impractical, to say the least, unless you have a way to join with like-minded friends.. That's where the power of the Internet comes in. eSwarm.com, a new website based on the web phenomenon of "swarming," groups people together to harness the power of volume buying to save money. The demand-side model puts the power to set prices in the hands of consumers in much the same way a reverse auction works.

Anyone can sign up at eSwarm, and within minutes, they can join a prexisting swarm or start their own. Swarms are free to start and eSwarm is free to join. Merchants then offer products to the swarm. When the first supplier bids on the swarm, the size of the swarm is frozen. Other merchants then have 48 hours to beat the original bid. The larger the swarm grows, the lower the prices drop. Swarmers can also designate non-profit groups and charities to receive a portion of the purchase price. When a supplier bids on the swarm, they agree to donate a percentage of the sales to the charity designated by the eSwarm starter.

Based in Boulder, CO, eSwarm was originally conceived as a way to harness the power of group buying for health insurance, it has been expanded to include electronics, prescription medications and comsumer products.

"The excitement exploded into cheers when eSwarm launched," CEO Tim Newcomb said in a recent press release. "eSwarm is not an e-commerce site, but a global economic revolution."

After one month in operation, eSwarm has over fifty swarms listed. An example of a recent swarm is a recent listing for an 80 gb Video iPod. Six swarmers joined the eSwarm, and a bid was placed for $285, with one percent of the total sales going to the National Democratic Party. Other swarms included listings for a two gb MicroSD card, a defibrilator, golf balls, iPhones, Bon Jovi CDs, Spice Girls concert tickets and Goodyear tires. Gift card swarms arealso popular on the site, with merchants ranging from PetCo to Target.