As a business owner, you know how important it is to get the best pricing from your suppliers. While it can be difficult to get the lowest prices, here are 4 suggestions to help you secure the best possible deal from your suppliers.

1. Establish a Long-Term Relationship

Developing a long-term relationship with your suppliers is key to getting better pricing. When your suppliers know that you’re not looking to jump ship and that you’ll be sticking around for the long haul, they’ll be more likely to give you better pricing. This would include getting to know them better, working together on marketing strategies, discussing long-term plans with them, and inviting them to join on brainstorming sessions for business improvement.

2. Negotiate Volume Discounts

Many suppliers offer volume discounts, so it’s worth asking for them. As your business grows, you’ll definitely be able to negotiate bigger discounts. In the meantime, give them a 6 or 12 month plan, so they can see you have the capacity to take on more.

3. Take Advantage of Bulk Purchasing

If you’re able to purchase in bulk, it’s worth taking advantage of this. Many suppliers offer discounts for bulk purchases, so it’s worth looking into this option. Depending on your line of business, it may be worth speaking to other businesses who are not competitors to come together and create a buying group. That way, everyone wins.

4. Leverage Technology

Technology can be a great way to get better pricing from suppliers. There are many online platforms available that connect you with suppliers and allow you to compare prices and find the best deal, and then using that information in price negotiations.

Pricing is a delicate game, and getting good cost prices is even more important than setting selling prices. Get better at this element, and business becomes a lot easier and more profitable.

About the author

Murtaza Manji
Business Strategy & Leadership Coach
Entrepreneur, award-winning business strategy coach, and international speaker, Murtaza Manji is the co-founder of Kaizen Consulting Group which he set up in the UK in 2011 before expanding to the UAE a year later. Since then, the company has evolved significantly with ambitious plans to expand further. His vision is to positively impact the countries the Group operates in by supporting clients to create lasting values and legacies.

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Murtaza Manji - Managing Partner of Kaizen Business Consulting Group Dubai
Kaizen’s team of experts have worked with 1050+ companies across 16 different industries worldwide to achieve higher profits, greater productivity, and sustainable growth by creating efficient systems and structure. Get in touch today to see how we can support you.