Situation
Our client (the buyer), a large global retailer, was looking to purchase glucose syrup for food manufacturing in Russia. An eAuction was conducted as a Cherry Picking auction with two lines, divided on destinations, allowing the buyer to select the best price per destination.
Solution
- 4 participating suppliers
- Suppliers were required to bid on two independent product lines and quote their DDU/kg
- The total volume included in the auction was 2.760 kg glucose syrup
- One winner per line
- This event was run as a Cherry Picking Auction
- All suppliers had individual starting prices
- Prices from the RFQ were very competitive - average price difference between suppliers was not more than 1,2 %
Result
- Very high bidding activity
- 209 bids received in 1 hour and 48 minutes (including 88 minutes time extension)
- Identified total Savings: € 406.350
- Savings in relation to Current Price: 35%
