Sometimes it is easier to reject a supplier’s first offer.
However, if the buyer and supplier have been negotiating for several months, there are high chances that the suppliers will suddenly make a reasonable offer when you’re about to give up.
At this time, it gets difficult for the buyer to reject the supplier’s offer.
However, from experience, this is should not be the final offer. The buyer needs to counter-bid and see the supplier’s reaction the counter-bidding process.
Even if the final price does not fall, the supplier will have a sense of victory.
This will also position them well for future purchases.
A first happy agreement with the supplier sets the tone for smooth future cooperation. Buyers will not feel any sense of loss.
Why is this happening?
Leelinesourcing will analyze a specific case as they take you through the buying process.
Tom served as the President of a real estate company in Southern California.
It was a large company with 28 branches and 524 business representatives.
One day, a magazine advertising salesman came to Tom’s office to sell advertising space to Tom.
Tom was familiar with the magazine and knew this was good opportunity, so he decided to advertise ion the magazine.
The offer from the salesman was also reasonable at $2,000.
But because Tom likes negotiating, he involuntarily used his negotiation skills to push the price down to $800.
The buyer than started imagining what was on Tom’s mind
“Gosh, if he can push the price from $2,000 to $800 in a few minutes, what if I continue to talk, up this guy. What how far down will he press my price?”
Meanwhile, Tom began to use the “higher authority method.” He told the salesman that, “It looks good. But I have to ask for the management committee for advice. They have a meeting this evening. I will talk to them and give you the final reply.”
A few days later, Tom called the salesman and told him: “The whole pricing thing really embarrassed me.” In the buyer’s mind, Tom should be able to convince them to go with the 800 dollar price. However, Tom disappoints the guy telling him the company’s recent budget situation has would not allow huge expenses. However, they gave a new offer which is too low such that I’m embarrassed to tell you.
The phone goes silent for a while, and then we hear: “How much did they agree to pay?”
“Okay” the buyer says. What, Tom wouldn’t believe the salesman has agreed to such a low price. However, due to his negotiating skills, he still feels cheated and believes he can drive the price even lower.
In the case above, the salesman must be feeling sad that he agree to such a low price. Maybe his commission and bonus is gone with the loo price. There are high chances that the boss will criticize him when he goes back. He has given up so much to a customer with no gratitude.
Well, because he constantly accepted a lower offer from the supplier, he was forced to a dead end by the supplier. Never accept the first offer proposed by the supplier. It also requires that the supplier propose first. There is one exception when the life of the buyer is threatened. If a buyer encounters a robbery, the supplier will ask the buyer to hand over all the money. We know that the buyer is no better to say no or whether half of the money is acceptable? If the buyer bargains with the robbers again, and if the buyer does so, he may be die.
If foreign customers want to source products from China, they will always encounter bargaining and communication problems. This is because of the different languages and cultures. So, how can you communicate smoothly with suppliers and talk the price to what is acceptable?
In this regard, you can seek the help of Leeline Sourcing with ten years or purchasing experience in China. We have a professional purchasing staff that can help you all the way. First, we carefully select several suppliers with strength and trust. The purchasing staff will then tell the suppliers the full and detail and requirements. The supplier then sends a quotation. We then send our purchasing staffs that use their negotiation skills to give you the lowest price.
Finally, we will tell the customer the details of the supplier’s quotation, factory strength and much more. Leeline Sourcing purchasing staff will then give their views to the customer and advise them objectively so that they can make the best purchase decision.
In addition to finding services such as suppliers and bargaining, Leeline Sourcing can help with any other sourcing needs. Some our services include delivering, taking photos, packaging, labeling and much more.
You can contact our customer service staff by email at
firstname.lastname@example.org or online chat
Leeline Sourcing will solve your problems with rich experience and professional attitude.
If you have any more questions about FBA, please do get in touch so we can assist you in getting the right information. Leeline sourcing company is involved in different sourcing business that will help your company’s grow, and make your international business better. No matter how big or small your orders are, we will help you source quality and affordable products, and we will ship them directly to you.
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