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Company Purchasers.... How do I deal with them?
BadGiRL
PEx Veteran ⭐⭐
Hi,
I need a few pieces of advice from the business people here. The thing is, kunwari I want to sell, say, aluminum foil to Robinson's Supermarket or what have u big supermarkets out there.
What do I do? If I get the name of the purchaser, what's next? A formal quotation? Or an informal one muna? Should I get connections to, uhm, make the way easier?
Or do I call muna to talk to the purchasor? What if the purchasor asks for some "gratitude token."? Do I say... ok what do u want?
And has anyone tried selling their products to SM or Robinson's? Ok ba mag bayad? Mahirap kasi maki business sa mga ayaw mag bayad sa oras e.
Do these companies still negotiate the price quotation you send them?
Salamat :beam:
I need a few pieces of advice from the business people here. The thing is, kunwari I want to sell, say, aluminum foil to Robinson's Supermarket or what have u big supermarkets out there.
What do I do? If I get the name of the purchaser, what's next? A formal quotation? Or an informal one muna? Should I get connections to, uhm, make the way easier?
Or do I call muna to talk to the purchasor? What if the purchasor asks for some "gratitude token."? Do I say... ok what do u want?
And has anyone tried selling their products to SM or Robinson's? Ok ba mag bayad? Mahirap kasi maki business sa mga ayaw mag bayad sa oras e.
Do these companies still negotiate the price quotation you send them?
Salamat :beam:
Comments
what makes your aluminum foil better than what's already out there?
why would anyone buy your aluminum foil in the first place?
You don't send quotations until they ask for it. First, you have to convince them that it is in their best interest to buy your product. In business, everything is negotiable. Remember, a good deal exists only in the mind of your customer. Never be afraid to walk away from a negotiation. Don't ever compromise your position by putting yourself in a situation where you become desperate to do business with them. You have what they want, thus you have the upper hand.
If any of these buyers (or purchasers) ask for "gratitude tokens", tell them to go **** themselves and go tell his boss about it.
2. matagal magbayad. can you wait? may revolving capital ka ba?
3. if you know someone whos supplying the shop, ask for a referal or introduction.
4.pag mall ka, you need to apply for suppliers I.D. submit mga business license, invoice etc.
5. di maiwasan ang mga"gratitude token" once you give in, tuloy tuloy na yan. as long as you supply may cut ang purchaser.
hangat maaari iwasan.pag di kaya, padalhan mo na lang at the end of the year ng regalo. thats it, para smooth ang relationship ninyo. once again iwasan. its up to you.
6. try supplying mga small supermarkets muna. or mga restaurants. ikanga end-user. check out restaurants na malakas sa take-out.
7.maghanda ka ng samples para sa mga purchaser.pag magaling ka, go to the owner. mas madali mag sarado ng deal.once again, you need introductions.
8.always remember, the buyer is not really interested in how much your product cost or how much they will save.
the bottomline is, they are interested in how much they can profit from your item. how fast they can sell it.
good luck and dont give up. try to reach out to other markets aside fromthe obvious. build momentumas well as confidence
The company my dad works for offers printing services to a leading pizza company. Millions of copy ang requirement every month. He needed a strong backer to get the account. Plus kailangan good quality talaga kasi malakas ang competition. Other agents are lurking at corridors of the pizza company's head office. Of course if you have built the trust and confidence of your purchaser, lagi ka na nilang tatawagan (di mo na kailangan magbantay sa opisina). My dad gives the purchaser a handsome commission for every job order, takes them out to dinner or drinks, and is always in the list every X-mas. Be prepared to shell out extra money during the ligawan stage.
Tennisace:
what makes your aluminum foil better than what's already out there?
--- what I'm selling is cheaper than the others in the market of the same quality. from my market studies pa nga, I found my product would sell even cheaper than the ones of the worst quality.
why would anyone buy your aluminum foil in the first place?
--- for my product, because everyone uses it everyday. I still have yet to find or meet a primitive who doesn't use such. :beam:
Gotcha on these tips! Thanks a million.
Oh btw, how long would these companies "study" the samples I will send them? LIke, how long before I can expect answers? Should I follow up on them? Or patiently wait lang for their call?
--- Yes po.
2. matagal magbayad. can you wait? may revolving capital ka ba?
--- Yep. I can wait. Capital? I don't have to shell out anything. I just have to get them to buy or sell my product. My uncle handles the finances.
3. if you know someone whos supplying the shop, ask for a referal or introduction.
--- Hmm... too much red tape in the Philippines.... and also too much bragging creeps/ @ s s h **** out there who would promise you the world na kesyo they are chums with these people and kung sino man silang importanteng tao na kaya ako bigyan ng intro yet would not return your call or give u the details they promised. That's the problem with the Philippines, some people hype themselves up too much...yet wala palang saysay buhay nila. And besides, sa lagay ng red tape, minsan pinapaikot ikot lang nila ang supplier. Alam mo naman sa Pinas... sobrang padrino system. ugh.
4.pag mall ka, you need to apply for suppliers I.D. submit mga business license, invoice etc.
Hmm..suppliers I.D.... bago yan ah..d ko alam I still have to get one of those.. HOw do I get to acquire such pala?
5. di maiwasan ang mga"gratitude token" once you give in, tuloy tuloy na yan. as long as you supply may cut ang purchaser.
hangat maaari iwasan.pag di kaya, padalhan mo na lang at the end of the year ng regalo. thats it, para smooth ang relationship ninyo. once again iwasan. its up to you.
---- Hmm..ok lang ako sa gift pag pasko, wag lang may cut sa oorderhin. Sisipain ko sya. :flog:
6. try supplying mga small supermarkets muna. or mga restaurants. ikanga end-user. check out restaurants na malakas sa take-out.
---- Actually, I'm doing that. Iniisa isa na namin ng friends ko ang mga may kakilalang small supermarkets... and restaurants din pala.
7.maghanda ka ng samples para sa mga purchaser.pag magaling ka, go to the owner. mas madali mag sarado ng deal.once again, you need introductions.
That's my problem, the intro part.
8.always remember, the buyer is not really interested in how much your product cost or how much they will save.
the bottomline is, they are interested in how much they can profit from your item. how fast they can sell it.
Got it.
good luck and dont give up. try to reach out to other markets aside fromthe obvious. build momentumas well as confidence.
Thanks.
Tennisace and dac: so, I guess sa initial price quotation ko, kailangan i-jack up ko yung price since they will still negotiate for the price pa?
Give the purchaser a couple of days to consider your product after which you should do a follow-up. You want to get the purchaser's attention while he/she still remembers you and your product. Sometimes, it also helps their memory if you send the purchaser a short note thanking him/her for the opportunity and when he/she can expect your follow-up call. If your product gets rejected, send the thank you note anyway.
As far as pricing goes, you should set a volume-based pricing scale. Different product groups have different inherent profit margins. Before you decide on the minimum profit you're willing to accept, consider the normal margins for that product group. If the average margin for that group is around 20%, it would be suicide to set a minimum margin of 35%. Also consider your overhead costs. If your overhead costs are lower, of course, you will be more apt to accept a lower minimum margin. Once you establish a minimum profit margin for a particular product, you will then set a volume-based pricing scale: Lower quantities will cost more, higher quantities will be discounted. You will also have to set price breaks: for example, 100 pcs = 1,000 then 500 pcs = 850 then 1,000 pcs = 750, that sort of thing. It would also help in your pricing scheme if you know what profit margins your prospective customer is looking to achieve. If you can work out a pricing scheme for a particular customer that allows them to exceed their margin goals while creating a comfortable margin for yourself, I'd say your product would look real good to them. Remember, having a pricing scheme that makes sense is vital in keeping your product viable. You want to be consistent in your pricing. Small variations in pricing is okay as long as it makes sense. Most people don't realize that purchasers sometimes talk to other purchasers. If your pricing is inconsistent from one purchaser to another, they will be pissed off. A lot of purchasers have very big egos, so beware.
Kung sa gobyerno ka naman makikipag deal, sadly, sobrang applicable ang sinasabi kong ito, low ranking o high ranking official man ang kausap mo. Iwasan mo yang sektor na yan.
Thanks all for your comments. Now I'm having particularly hard time with a couple of people I do business with. They are supposed to take care of SM, but it has been a week and counting... and I have a few other friends lined up who have contacts in SM and would like to try din. I feel it's very unethical if I give them the go ahead when some other people are still trying to get the account. I feel naman na they are working TOO d a m n slow. I want sana to talk to them that I'm giving them till Saturday to show me results or I give it na to my other friends. Would this make it unethical pa rin ba? Or do I see everything thru na sobrang apparent na they won't get the account before I hand the chance to my other friend? I feel naman this would take too long..... and I'm really pressed for time. My uncle will be wanting results... hmmm...
It is always a problem if you depend on other people to make the contact for you. You should take the initiative and make contact yourself. Most, if not all, of purchasers are considered cold contacts anyway. If your so-called friends are friends of purchasers, you should ask your friends to personally introduce you to these people and then you can do your thing. Don't depend on your friends to sell for you on your behalf. They have no vested interest in your business (so why do you think it's going slow?) and you end up with the inevitable (and possible costly) "utang na loob" if you get the deal. Don't expect other people to make deals for you. Take the initiative and make your own.
Badgirl, the last thing I want to do as a buyer is to transact business with some fly-by-night company. I suggest you send the buyer a well-prepared company profile, or better yet make an appointment and give it personally. When I look at 3 qoutes from 3 supplier, given equal price and quality; Id go for the supplier with the best track record. So, start preparing that company profile.
I have more tips for you but I have to go back to work. Good luck.
Now I really have a problem. I don't know how I will make a corporate profile when the division is not yet a year old.
In any case, do you know the names ba of the purchasers and contact info?
I presume your uncle's old company was in the same business, in which case his affiliation with that company will be your best credential. Establishing your own business after retirement is explainable and understandable, and if your uncle's reputation is good, he can even provide references. In the end, your company's "youth" should not be taken against you.
These two chains ask for long payment terms (120 days), but pay promptly when due. There is no "lakad" required to get checks released.
Periodic store visits are recommended, though. As you may know, supermarket retailing is at the end of the day a battle for good shelf space. Our competitors love to rearrange the shelves and we must play the game, too.