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Coffee Machines

Scanmarket saves its client $4 million in one year on coffee machines with Cherry Picking e-auction.



This Scanmarket client was looking to purchase coffee machines for different locations across Europe. The buyer needed three different types of coffee machines for nine locations in Europe. The buyer wanted to allocate all business to one supplier in a one-year contract. Spend for the previous year amounted to €13,199,710, so potential savings were huge.


Some suppliers were not able to bid on all coffee machines, so a Cherry Picking auction was chosen, and suppliers were blindfolded on those items. To simplify the auction set-up, suppliers were asked to quote a total price per machine including all destinations, and three product lines for each machine were created in the auction. Suppliers were requested to pre-quote prior to auction, and pre-quotations were entered as individual starting prices. Nine suppliers were contacted.


The Cherry Picking eAuction received 54 bids in 1 hour and 15 minutes saving Scanmarket's client €3,476,210 (26.34%) from the previous year. 

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