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FloraHolland starts second multitransaction auctioning pilot
In the first pilot, several sales were awarded to buyers within one clock stop at one price. An analysis by the Rotterdam School of Management has revealed that the prices have become more stable as a result. In the second pilot, several sales will be awarded within a period of 40 milliseconds. This means that at most two prices will be possible in one clock stop by the auctioneer. These sales will be awarded if there is sufficient supply available. After this pilot, the Rotterdam School of Management will examine again in the same way what the effect has been on an optimal and stable price-setting.
Delivery times remain the same
FloraHolland expects that the speed in the second pilot will be about 10% faster than in the first pilot due to a more efficient auction process. The time of auctioning is brought forward, while the delivery time remains the same. To minimise the impact for buyers - and to generate sufficient data for a representative study - the pilot will run for six weeks. Then the auction shall return to the procedure in the first pilot or to single-transaction auctioning.
Source: Royal FloraHolland
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