PurchTips - Edition # 137

 

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Picture of Charles Dominick, SPSM, SPSM2, SPSM3

A Negotiating Technique With A New Name

By Charles Dominick, SPSM, SPSM2, SPSM3

Can This Negotiating Technique Get You Results?

When negotiating, suppliers may mention how they are different than their competitors and, therefore, better for you. They often base their difference on common problems that buyers encounter with other suppliers.

In sales, that technique is called differentiation. You can use a variation of this technique when negotiating with suppliers. We'll call it "reverse differentiation."

In using the reverse differentiation negotiation technique, you identify common problems that suppliers have with other customers. Then, when negotiations are at an impasse, you appeal to their emotions by showing how working with your company isn't as painful as working with some of their other customers.

The key is that your point(s) of differentiation must be true. If your organization has one or more of the following characteristics, you will be different than most of your suppliers' customers and can use these characteristics to "sell" your supplier on the benefit of giving you a better deal in order to earn your business.

Quick Decision Making. Some organizations take weeks or months to make a purchase decision, have it approved, and place an order. If your company moves on its decisions quickly, stating how you can help your suppliers have shorter "sales cycles" can persuade them to offer better deals when negotiating.

Prompt Paying. Some organizations take 45, 60, or more days to pay their invoices, which is costly to their suppliers. If your organization pays promptly, you can use that fact to your advantage when negotiating.

Evangelistic. Supplier marketing is more effective when their materials contain customer testimonials. But many companies do not permit their staff to offer testimonials. If your organization willingly provides testimonials, you can demonstrate that your value as a customer is higher and that the supplier giving you a better deal would be well worth it.

Low Maintenance. Some customers whittle away at supplier profits by demanding more attention than other customers in the form of requesting special procedures, customizations, or other unique attention. If you aren't a "high maintenance customer," you can mention this when negotiating to give the supplier assurance that a thinner profit margin won't be eaten away by forcing the supplier to respond to special requests.

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Spotlight On Professional Development Opportunities

SPSM Certification

Are you tired of not getting enough opportunities, respect, and money out of your purchasing career? Well, guess what? Nothing will change unless you take action towards becoming a world-class purchasing professional.

You see, today's employers refuse to reward employees for yesterday's skills.They demand that purchasing professionals like you use the most modern skills and achieve unprecedented results. They want you to save more money, achieve better operational performance, and reduce risk.

Is lacking a purchasing certification keeping you from getting the results, opportunities, respect, and money that you want out of your career? Today's employers refuse to reward employees for yesterday's skills. They want you to save more money, achieve better operational performance, and reduce risk. They demand that purchasing professionals like you achieve unprecedented results and without the most modern skills that can be a challenging feat!

So how can you acquire the most modern skills, achieve meaningful results, and convincingly prove your capabilities to today's employers? There is an impressive purchasing certification program that will teach you what you need to accomplish all of this and more. It is the SPSM® Certification, earned by completing the Senior Professional in Supply Management® Program. And you could earn it in less than a year - maybe even much less than a year!

Earning your SPSM® Certification by completing the Senior Professional in Supply Management® Program is the action to take if you want to bring the most modern purchasing practices into your organization and achieve your career potential. Learn how to earn your SPSM® Certification (and perhaps get an iPad) (with the option of getting a Study Guide on an iPad) at:

Distinguishing yourself as an achiever in purchasing is key to sustaining a rewarding career, even in these difficult economic times. Earning your SPSM® Certification by completing the Senior Professional in Supply Management® Program is to take if you want to bring the most modern purchasing practices into your organization and achieve your career potential. Learn how to earn your SPSM® Certification (and perhaps get an iPad) at:

Earning your SPSM® Certification by completing the Senior Professional in Supply Management® Program is the action to take if you want to bring the most modern purchasing practices  into your organization and achieve your career potential. And if you sign up for the Senior Professional in Supply Management® Program on or before May 31, 2008, SPSMSM Certification Program on or before 4/30/2007, you also get these and other bonuses valued at over $700:

  • FREE $30 gift certificate to Amazon.com!
  • FREE CD-ROM with printer-friendly versions of the class materials!
  • FREE Purchasing Performance Measurement spreadsheet template!
  • FREE audio CD about purchasing job security!

To learn how to earn your SPSM® Certification and get these valuable bonuses, visit:

Earning your Senior Professional in Supply Management® (SPSM) Certification is the action to takeif you want to bring the most modern purchasing practices into your organization and achieve your career potential. Learn how to earn your SPSMSM Certification at:

Learn how to earn your SPSM® Certification at:

www.NextLevelPurchasing.com/spsm.html

The Latest Purchasing News

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Free Procurement Training & Certification Starter Kit

This Starter Kit gives procurement professionals like you a clear idea on what it will take to become certified. You'll get an excellent feel for what you will need to learn and how long it will take.

Click here to learn more

Included in your free Starter Kit:

  • Access to two lessons from courses that are part of the Senior Professional in Supply Management® Program
  • A Certification & Training Planning Template
  • Case studies
  • A free Basic Membership in the NLPA

Together, these materials will help you decide how well the SPSM® Certification can help you achieve your career goals.

So, what are you waiting for? Begin your pursuit of a more rewarding procurement career – get your Procurement Training & Certification Starter Kit now by signing up for a free NLPA Basic Membership!

If you are already a member of the NLPA, click here to login and visit the "Starter Kit" tab to access these resources.