A renowned manufacturing client was looking to minimize the distribution costs associated with delivering items to 28 different locations across Europe. Although the client had conducted three successful eAuctions on Scanmarket before, they had never attempted to run an auction specifically for road transportation services due to its high complexity.
This client ran an initial RFQ offline, collected market prices and transferred them into a Reverse Cherry Lot Auction, with the support of their Scanmarket Customer Success Manager. A total of 8 suppliers were vetted and invited to participate in the auction, where they competed across 28 distinct product lines, each associated with a specific zip code.
The auction drove total savings of 9.37%. The auction lasted for little more than 2 hours and generated a total of 1082 bids, with 4 suppliers bidding against each other until the very end. The result was impressive if we consider the current costs associated with this type of service are quite high.