Anyone have any suggestions on how to negotiate maximum discounts with the buying group? Do I haggle with the rep/manufacturer or the actual buying griup? Thanks in advance!
Tara
Anyone have any suggestions on how to negotiate maximum discounts with the buying group? Do I haggle with the rep/manufacturer or the actual buying griup? Thanks in advance!
Tara
As a rule, the manufacturer and the buying group have negotiated discounts. You give up your negotiating position when you join the group.
To negotiate you would have to stop billing whichever account through the buying group.
Up front disclosure. I am employed by ADO Buying Group.
Tara, typically your buying group is receiving maximum discount from most of their vendors. Several buying groups offer less then maximum discounts because they are keeping a percentage of the discount as profit before passing the rest to their members. Other buying groups pass the maximum discount to their members but charge a fee that is usually based on a percentage of your purchases. There are other models out there, but these are the two most common. With certain vendors there may be an opportunity to negotiate an even larger discount then the buying group can offer. This usually requires very large purchasing volume and maybe some exclusivity to that vendor. If an ADO member takes advantage of a special promotion or is able to negotiate a better discount we will pass that full discount on to the member. You should check with your buying group to see if they will.
Jobe Sellers
From Experience it's kind of hard to dothis w/ frame reps. You can usually get them down to 20% , but it'smuch easier to do this w/ your labs. And a lot of the smaller labsalso sell frames at good prices, and do package deals.
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