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Archive for February 11th, 2008

How to get dumped by your BizGift supplier

One of the common problems that promotional products suppliers often encounter are unreasonable demands and expectations from clients. Do not get me wrong here, most of the suppliers will go all the way and beyond to satisfy the client. But if they find the client too troublesome and unreasonable, they will not hesitate to dump him once the project is finished (or even before).

The promotional product business is very specific and from manufacturing and service point of view much more demanding than let’s say supplying to a wholesaler or a retail chain. And add to this already complicated business an unreasonable client and you have a recipe for disaster.

The problem for a new buyer may be not really knowing the logistical, technological and budget limits. Supplier needs to explain. Here is one example:

Client:

I need a simple custom made accessory bag in a colour matching my product with 2 colours logo printed on it. I need 3,000 pieces in 25 days latest. I have only USD1.00 budget per piece.

Supplier:

We can do it in 25 days.
but

  • only to produce the material in colour matching your product takes 30 days
  • the minimum run of the special material is equivalent to 5,000 pieces of your bag

but

  • we can buy similar but not exactly matching colour material from the market
  • we can make approval sample with your logo in 3 days and email you the image for approval
  • if approved immediately the goods can be ready within 20 days from today
  • we can deliver to you in 25 days from today using courier shipment

but

  • only the courier costs over a dollar a piece making your budget not workable. the best we can within your time frame is $1.50.
  • to meet your budget $1.00 we would need at least 60 days

Now the buyer has 3 options:

  1. to accept what the supplier is telling him and either go ahead under these conditions or scrap the project
  2. to challenge the supplier trying to get what he needs no matter what the supplier says
  3. to place the order and then begin to give the supplier hard time

You will not be probably surprised if I recommend the option 1) :-) . In this situation it is the most sensible thing to do. But if the buyer chooses to go ahead, he should follow the rules and trust his supplier. In case of time wise tight project flexibility from both parties is necessary.

Option 2) is OK too, but only if there is time. Negotiating to and fro takes time and that is one asset that neither side has in the situation described above. At the end the client may be able to work out what he wants and get the supplier to say “OK, I can do exactly what you need in 25 days from today…” But by that time several days will have passed and “25 days from today” is no longer workable … This happens a lot, trust me …

Option 3) is the best way to get dumped by the supplier. After seeing the picture of the sample client may reject the material as it is not close enough in colour, or he gets too picky on logo details, or demands to receive the actual sample. All this while the clock is ticking and the deadline not moving. The supplier may bite his tongue and oblige telling himself “this is the last time I deal with this ****“, or he may crack and walk out of the project right away …

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