Have you ever had suppliers simply “disappear” and, when you tried to renegotiate, their prices increased? Many buyers have already experienced this type of situation and, of course, this can have an impact on the financial and operational planning of companies.
In this article, we will explore the reasons behind this behavior and how tools like GEP COSTDRIVERS can help avoid these situations, bringing market intelligence to more strategic negotiations.
Why do some suppliers “disappear” and return with adjusted prices?
Suppliers that disappear and return with high prices follow patterns linked to market dynamics, internal cost control and the way in which business relationships are established. Identifying these factors helps to minimize their impacts.
Low purchase frequency
Suppliers tend to prioritize customers with higher purchase volumes or more frequent orders. Companies that buy sporadically may be pushed to the back burner, especially when prices are low, which reduces the suppliers' profit margin.
Lack of cost control
The lack of accurate and up-to-date cost data can lead to unfavorable negotiations. When the buyer is not aware of market prices, it becomes difficult to negotiate effectively, leaving room for suppliers to adjust prices without clear justification.
Little strategic relationship
Transactional relationships, based solely on price, are more vulnerable. Without a strategic link, suppliers may seek more profitable alternatives and return only when conditions are favorable to them.
Difficulties in comparisons and quotations
The lack of a comprehensive and comparative view of costs makes it difficult to identify price discrepancies between suppliers. This makes the buyer more dependent on specific suppliers, who can adjust prices according to their convenience.
How can GEP COSTDRIVERS help in this process?
A GEP COSTDRIVERS is a solution that offers purchasing intelligence to transform Procurement management and enable more strategic and efficient negotiations.
1. Accurate Market Forecasts
With indicators that have a 24-month projection and accuracy of over 85%, the platform allows companies to plan their purchases and sales at the ideal time in the market, avoiding sudden price fluctuations.
2. Custom Cost Breakdown Templates
The platform has a database of over 4.000 Cost Breakdown models, developed over the years by economists and data scientists. These models provide technical and specific criteria for each negotiation, increasing transparency and trust in the process.
3. Budgeting and strategic planning
With detailed insights, you can create accurate budgets and anticipate market fluctuations. This strengthens your purchasing position and reduces dependence on specific suppliers, minimizing the risk of disappearance or unexpected price increases.
4. Reduction of repetitive tasks
By automating operational processes, the platform frees up purchasing teams to focus on long-term strategies and building stronger business relationships.
5. Updated and reliable data
Integration with real-time market data allows you to identify changes in market conditions, quickly adjusting strategies to avoid negative impacts.
Purchasing intelligence for market leaders
Designed to serve market leaders, the platform GEP COSTDRIVERS It is widely used in various sectors, such as industry, commerce, agribusiness, services and government agencies.
Benefits:
- Reliable and organized information for strategic decision-making.
- Risk reduction and greater cost predictability.
- Strengthening relationships with suppliers.
With GEP COSTDRIVERS, your company gains prominence in negotiations and establishes more robust and intelligent purchasing management.
Contact us and discover how to transform your negotiations and maximize your Procurement results.