I am not sure how many people is actually participate in tenders or bidding or proposals / cost estimation. Basically it is all selling process.
Yesterday, I spend nearly the whole 8 hours working on an urgent request tender from our counterpart in Europe which the customer is building a new plant somewhere in South East Asia. I look for supplier's quotation frantically and prepare the proposal, did the costing, prepared the Process & Instrumentation Diagram so that it could be submitted to the customer in time for their consideration.
However, this morning, as I log in to my e-mail, I saw a reply on my mail box, the customer had request us to change the scope of supply, hence, I have to redo the whole proposal and drawing again. I am not complaining this as this is part of tender bidding and we are not given the up-to date information on the project.
After I had submitted the revised proposal, I was caught off guard by a request from the customer... "your price is almost twice as high as other suppliers." I was like, come on, no body ever told you that we are selling high quality stuffs, hence the high price? Or is this a standard statement that you, as a customer sends to all your suppliers?
I use to hear this a lot. Never once in my working experiences all these years, even include the old company I use to work that I hear people saying my company things is cheap. Don't know why. Did all these while, I had joined a high end company that only sell expensive things?
Well, I use to say, hypermarket things are cheap (some stuffs), the electrical component shop things are cheap (again certain things), but I never hear people saying my company things are cheap.
Weird!!
Or is this the negotiation technique that all customers use to bargain? First complain the things is expensive. Then, if still fail to get discount, "die - die" buy from them.
Come to thing of it, if my company things is term as "expensive", how come the company can still sell their goods / product? How come people still buy?
As part of my job is to discuss / negotiate with suppliers, I never use the word 'expensive'. I use to tell the potential suppliers, don't expect me to bargain with you. Give your best price and safe your time and my time. If I think you are offering me a good bargain, then I will buy directly. Else, I will not call for price negotiation at all. So, if you think you can mark up high and I will negotiate with you, you can dream on.
Therefore, from the response of the supplier, I just spoke to my boss, he told me reply to him politely and tell him that's the best offer, if he think we are offering him value, then, we are glad to discuss further, else, if he is only doing price comparison, then we will just be "friends" and nice knowing him.
Wednesday, February 3, 2010
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2 comments:
My mum used to say this to the customer, "Even if I give it to you for free, you will still think that I have earned a fortune out of you."
Hi Vinegar, agree with what your mom says. I am sure most of people dealing with selling things will come across my situation. Thanks for your sharing.
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