Tips To Negotiate With Manufacturers And Wholesale Distributors

Buying items directly from a manufacturer or through a wholesale distributor can be an efficient way to get what you need fast, and you may even be able to save some money by taking this approach. In order to get the best deal possible, it’s often a good idea to negotiate where possible.

Not all manufacturers are willing to negotiate, but many are, and you never know if you can save some cash until you try. Below are some tips to help you negotiate the best deal when purchasing from a manufacturer or a wholesale distributor or supplier:

Buy In Volume For The Best Discounts

In order to get the best discounts, you’re likely going to want to have a large purchase order ready. Negotiating with a manufacturer means that you need to be able to offer something of value aside from a simple purchase. Whether you’re buying from a wholesale distributor of electronics, a medical supplier or an aerospace motor manufacturer like ARC Systems Inc, many manufacturers and suppliers are willing to negotiate based on purchase volume.

Offer A Large Deposit

Some manufacturers require a deposit in order to place large orders. This is to be expected, but you may not realize that you can negotiate by offering to put down a larger deposit than is required. Offering a larger deposit allows you to show that you’re serious about giving a manufacturer or distributor business, and a larger deposit means greater cash flow for the manufacturer or distributor at the same time. A larger deposit may not afford you more room to negotiate the terms of the deposit, but it should provide you with more leverage with which to negotiate a better price on the final order.

Consolidate Purchases

If your business has multiple units that all place separate orders with a manufacturer or distributor, consider consolidating these orders. Doing so may allow you to provide additional value to the manufacturer or supplier since you are effectively reducing the amount of work required while maintaining the same purchase amount. This approach can also help your business as well since it removes redundancies in some cases and simplifies the ordering process. At the end of the day, this can boost productivity and save money while allowing your business to form a closer relationship with its supplier.

Shop Around And Make It Known

One of the oldest techniques for negotiating better pricing in the world of business is to shop around for competing quotes. When doing this, you then make it known to each manufacturer that you have other offers on the table. While this may be considered a bit of a “hardball” tactic by some, it does produce results. Of course, you run the risk of alienating suppliers by doing this, meaning you may not be given priority status if it appears that you’re not committed to a long-lasting business relationship. Approach this strategy with caution and grace.

Offer To Transfer More Business

You can also negotiate from a position of power by offering to transfer most or all of your purchasing to one supplier. This isn’t possible in all cases since a particular supplier may not provide all of the items your business needs, but offering to transfer purchasing where possible can give your business more leverage to negotiate a better deal. Keep in mind that making such an offer will usually require legal agreements to be signed, so be aware of what you’re getting your company into and the implications such deals may have for the future of your company.


With an astute eye for detail and a knack for the extraordinary, Jason crafts narratives that both inform and inspire. On, he weaves tales that resonate, engaging readers with every word.

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