Do you ever feel like your supplier is putting the “squeeze” on you? Have you ever hired a native to check the prices at different quantity levels prior to sourcing or in my situation, after? I’m working with a supplier now that is quoting me higher price levels than they have on their Alibaba website and I think they are legit prices because they are only .20-.40 lower what I am paying now. I’ve already placed two orders, so it might be too late to hire a sourcing agent. I am considering switching suppliers, but don’t want to burn bridges in case the other supplier doesn’t work out. I am not trying to get cost so low they alter the material, just wanting to be fair and maximize profits. Any body?
Yes I do that and I mention they are cheaper, I never go with the price they provide but I know what is a reasonable price, I won’t ask them for 50% off, they know you will negotiate, nobody pays what they ask for. Do this:
1) Ask them to provide a better price for 3000 units
2) You mentioned you need 5000, ask them what would be the price after getting the quote for 3000
Maybe I made the mistake giving them what they want on the first order..and the second for that matter. I was okay with the price because I had priced similar products. It was a low MOQ of 500. I didn’t see any reason to beat them down on price. My reorder was 1000 and they came down .15. I negotiated for awhile and gave it to her. Their website gives a price each for 3 different quantities ranges 500-3000, 3001-5000, 5001+. The price for the first range is exactly what I paid for the first 500 units. The quote I got for 3000 is .20 more than what they have on their website. Oh…and the prices on the website are FOB….she’s quoting me EXW. I was told by the 25 yr veteran that if they made tremendous profit on you once, they would rather loose you business than come down on price.
I offered to buy 3000 and the quote was .20 higher than they have on their website. I have not called the agent on the situation. I actually don’t want 3000 now, but 5000 and don’t want to mess it up so I am trying to figure out my approach. A veteran to China business answered a question in a similar post that once they get the “squeeze” on you, it’s hard to get out without terminating the relationship.All I want is them to honor the price on their website…seems fair enough to me.
yea…I am totally aware of that, but in the case the price is a lower percentage of the overall price that I typically see. Like I said, it’s only a .20-.40 cent difference. Normally in this price range, I see a $1-$2 difference. And they are very honest when you ask them, “Yes, we only have lower price on web so more people will inquire”.
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