7 Benefits of Special Pricing
Special pricing agreements (SPA) work in wholesale distribution because they provide a way for distributors and suppliers to offer a reduced price for a product to certain customers. This can be beneficial for a variety of reasons:
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Attracting Large Clients: SPAs can be used to attract large clients by offering them a lower price than other customers. This can help to secure long-term business and increase revenue.
2. Reward Loyalty: SPAs can be used to reward long-time customers by offering them a price break. This can help to encourage repeat business and foster customer loyalty.
3. Resolve Issues: SPAs can be used to help resolve issues that a customer might have run into in the past, such as late payments or quality issues. This can help to maintain positive relationships with customers and avoid lost business.
4. Increase Sales: SPAs can be used to increase sales by offering a lower price to customers that purchase a certain quantity of products. This can help to increase revenue and boost business.
5. Competitive Advantage: SPAs can be used to differentiate a distributor or supplier from competitors by offering unique or customized pricing options that reflect the specific needs of a customer.
6. Increase Margins: SPAs can be used to increase the margin by negotiating price with the supplier or manufacturer, and passing on the lower cost to the customer, while still keeping the margin intact.
7. Streamline Operations: SPAs can be used to streamline operations by simplifying the pricing structure, making it easier for customers to understand and making it easier for the distributor to manage.
Celerity’s ship and debit software seamlessly integrates between trading partners to bridge the financial transaction gap. As you manage your special pricing agreements, our goal is to give you a real-time reconciliation platform to speed up your business and increase the speed of cash flow. Wouldn’t it be a game changer if you could provide your business a clear view of the financial past, present and future?