Introducing Turkish startups: Proemtia, an industrial commodity platform

Proemtia owns 100 sellers and more than 1,000 buyer companies from 21 cities in Türkiye

Having founded by Türkiye İş Bankası in May, one of the leading banks of Türkiye, Proemtia serves as an online iron and steel marketplace. It brings together companies of all sizes engaged in industrial product trading, offering them an end-to-end digital experience in our platform. “We made a strategic choice to focus on the iron and steel industry due to its annual turnover of $35 billion, and its critical role as the primary input for various sectors,” said Umut Feyzioğlu, CEO at Proemtia. He added that Proemtia has gained significant attention, with over 100 sellers and more than 1,000 buyer companies from 21 cities in Türkiye. I interviewed Feyzioğlu and here’s what he told me.

What is Proemtia? What are you doing exactly?

Proemtia is a digital marketplace platform, initiated and developed by İş Bankası Group. We began our journey by focusing on the iron and steel sector. This industry is known for its complex commercial relationships, substantial capital requirements and unique design demands, making it one of the most challenging areas to digitize. Acknowledging these complexities, we set out to create Proemtia, a pioneering marketplace that addresses the needs of both buyers and sellers in industrial transactions.

We bring together companies of all sizes engaged in industrial product trading, offering them an end-to-end digital experience in our platform.

With Proemtia, buyers can:

Access different types of high-quality iron and steel products under the main categories (flat, long, rolled, pipe, box profile, and stainless) offered by approved sellers nationwide.

Filter and sort products based on criteria such as price, dimensions, quality, location, payment terms, delivery time, and steel service center services.

Add the desired product to their cart with the “Add to Cart” button and proceed to the delivery/payment stage.

See the door-to-door logistics offer provided by our partnered logistics company (or choose to collect the product directly from the seller)

Make payments in advance through wire transfer or with credit/bank cards from various financial institutions.

Furthermore, by having an İş Bankası Proemtia Bayi Kart, they can make purchases with credit terms of 30, 60, or 90 days.

Sellers using Proemtia can:

Reach buyers all across Turkey through a new and fast sales channel.

Expand the range of products they offer for sale.

Benefit from secure payment options.

Conduct risk-free deferred sales.

Proemtia’s industrial event in Ankara

I know Proemtia is a subsidiary is Türkiye İş Bankası, which is one of the leading banks of Turkey. So, what kind of potential did the bank notice in iron and steel industry?

The decision to embark on Proemtia’s journey in the iron and steel industry stemmed from a deep understanding of the needs in industrial commodity trading. Recognizing the challenges faced by companies in this domain, we envisioned a transparent, reliable, and collaborative marketplace platform that adresses to the unique requirements of both buyers and sellers. Leveraging the technological expertise of Softtech, another company within the İş Bankası Group, we worked about a year to bring Proemtia to life, launching it in May.

Primary strategic analysis consisted of approximately 15 sectors to identify the ideal industry for our operations. Following extensive market research, we made a strategic choice to focus on the iron and steel industry due to its annual turnover of $35 billion, and its critical role as the primary input for various sectors. It was clear that this sector held immense potential for growth and innovation. We bring together companies of all sizes engaged in industrial product trading, offering them an end-to-end digital experience in our platform.

Moreover, as one of the major creditors in this sector, İş Bankası Group noticed immense potential in this market. Embracing this potential, Proemtia aims to redefine the landscape of industrial product trading while fostering growth and innovation in the sector.

Since its launch, Proemtia has gained attention, with over 100 sellers and more than 1,000 buyer companies from 21 cities in Türkiye utilizing the platform to facilitate trade, including transactions involving thousands of tons of iron and steel products.

More than 80 iron and steel products trading

What type of iron and steel products are traded on the marketplace?

Currently, our marketplace boasts a comprehensive selection of more than 80 premium 1st-quality iron and steel product varieties, falling under the key categories such as flat, long, rolled, pipe, box profile, and stainless. Whether it’s flat or long products, rolled steel, pipes, box profiles, or stainless steel, you can find them all readily available on Proemtia.

As an online marketplace in iron and steel business, what is your business model?

At Proemtia, we embrace an agile and dynamic business model, positioning ourselves as a startup, which empowers us to adapt swiftly to market demands and changing trends. This agility allows us to continuously enhance our services and cater to the evolving needs of our stakeholders.

As an exclusive marketplace for companies, Proemtia unlocks the potential of e-commerce by delivering speed, profitability and convenience to all parties involved in industrial product trading.

To our buyers, we provide many benefits in Proemtia, such as expedited access to premium-quality iron and steel products sourced from our Approved Sellers – a selection that undergoes strict criteria evaluation. Pricing in Proemtia is always competitive and fully transparent, granting businesses the confidence to make informed decisions. With options for cash or deferred payments, location-based searches, and real-time logistics quotations, we ensure a seamless and efficient procurement process, minimizing research costs for purchasing companies and facilitating secure trade.

On the other side of the marketplace, our member sellers enjoy the advantage of reaching a wide array of buyers across Turkey through our sales channel. Additionally, they have the opportunity to expand their product offerings and benefit from secure payment options when fulfilling product deliveries as promised. By leveraging the direct debit system infrastructure through İş Bankası Proemtia Dealer Card, sellers can offer buyers credit terms of 30, 60, or 90 days, while also enjoying the convenience of receiving payments directly from İş Bankası by discounting their receivables at their preferred maturity date or without delay.

Currently you have been trading iron and steel products at Proemtia. Are you planning to add new commodities to the marketplace?

In line with our vision, Proemtia is not bound to remain exclusively focused on the iron and steel sector. Our future plans entail expanding our reach and activities, encompassing the facilitation of industrial product and commodity trading across various sectors. As we continue to evolve and achieve a certain level of maturity in the iron and steel domain, we are steadfast in our commitment to introduce a diverse range of products from other indusries into the Proemtia marketplace.

In particular, our aspirations extend to incorporating products from other metals sectors, thus offering a comprehensive platform for industrial trading needs. We recognize the significance of this expansion and are diligently conducting market research to identify the most opportune avenues for growth and diversification

First domestic market, then international growth

It is obvious that Türkiye is one of the leading iron and steel markets in the world. So, are you planning to scale to different regions? Are you in touch with other markets to take your model?

Indeed, we have received several business proposals from stakeholders engaged in steel commodity exports, indicating potential demand in specific geographical regions. While we acknowledge the opportunities for expansion, any endeavor of this nature necessitates a meticulous and comprehensive business roadmap.

To successfully scale to different regions, we need to undertake a thorough examination of various geographical markets. This involves determining the product range best suited for our business model and conducting detailed business analyses to understand the dynamics and potential of each region.

At present, we are diligently preparing a comprehensive business plan, carefully considering long-term strategies that align with our vision for growth. However, our immediate priority remains on achieving our target market share and operational efficiency within our home country.

While we envision future growth beyond Türkiye’s borders, our primary focus is on solidifying our position and maximizing our effectiveness within the domestic market first. By dedicating ourselves to this objective, we aim to strengthen our foundations and ensure a robust platform that will serve as a stepping stone for successful international expansion in the future.

Proemtia’s industrial events gain traction

Industrial events matter to us

I know you have been organizing industrial events in various cities of Türkiye. What is your purpose in organizing such events?

 The iron and steel sector holds a pivotal position in our country, being one of the largest and most organized industries. However, its business practices continue to rely heavily on trust and traditional commercial models. We noticed a significant segment of businesspeople who prefer face-to-face interactions to seek answers to their questions. They are not merely interested in knowing our company’s corporate identity but also seek to connect with us on a personal level.

Recognizing this essential aspect of business relationships, we promptly embarked on field visits to various cities across the country. These visits provided us with valuable insights into the preferences and expectations of our stakeholders. However, due to the remarkable level of interest and engagement we received, we realized that transforming these visits into more structured and sector-specific gatherings would be more effective in delivering value.

Hence, we are committed to continuing and expanding our efforts in organizing these industrial events. We have already organized the “Proemtia Iron and Steel Sector Meetings,” which we initiated in Kayseri on June 7, and in Ankara on July 13. These meetings received significant interest from stakeholders in the iron and steel industry. We plan to make these meetings a tradition and organize similar events. Our purpose is to create a platform that allows us to engage with businesspeople in the sector on a more personal level, fostering meaningful interactions, and addressing their specific queries and concerns.

For the current year, we are planning to hold events in key cities such as Bursa, Konya, and İzmir. Additionally, we are actively participating in trade fairs and other sector-specific meetings, where we can connect with industry representatives who are eager to explore the possibilities and benefits of our platform.

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