So, your client or client of a competitor comes to you and, at the reasonably given price, asks you for an additional discount. What are you doing? I give a discount! But at first I try to understand the reason for the request, because I have established marketing marketing, prices - in the market, service and other services I provide more than enough. I have a name on the market and a product, which excludes, it would seem, any reasonably reasoned requests for a discount.
So, excluding the inadequate and ever-whining about the difficult market share of customers, we will focus on those who, asking for a discount from you, may have for this specific and reasonable motivation:
The client has experience with the price with this discount.
Yes, he is given such discounts! With the price, taking into account this discount, he has formed the economic indicators of his business. Do not give a discount - leave, the business economy does not work out. How to understand that this is such a case? Let him tell on the fingers why the discount is important, by the example of a specific contract or in general. Let him bring invoices for shipment with a blue print (PDF with invoice, I will draw a photocopier with a smeared "cap" - never distinguish it from the present). In my entire career, after my consent to a discount, in exchange for a story about reason and necessity, I was refused only inadequate. Honesty and completeness depends on the narrator, but in any case, filtered clients sent to destroy the brain of a competitor is good!
Often, “prostitutes” are mistakenly called customers who “run” from a supplier to the supplier and back. This is not a prostitute, all clients are. If they are not given a discount, and they have a previous case, then, sooner or later, he will give the command to his management to find the price he needs.
The client "prostitute" discount price is needed to push your regular supplier. He was not going to work with you, he and the old supplier are satisfied with everything. The principle is the same as above: if you get prices, it will refer them to your supplier and will require a price reduction. Give such a “half-hearted” discount if you understand that it will not work with you anyway - let your competitor strangle on the only rope left from his business, after a respondent and forced giving of a crazy prostitute to a client. Just do not make a mistake - this is possible to do in the corporate sales market or b2b, one-time and for a specific order, understanding that this price will not go further than this case (client). The dumped price in the consumer market will haunt your company.
Does not reach the required profitability
The discount is needed to ensure the profitability of the business required by the client (well, not enough money!). For this reason, and without receiving a discount, he is trying to get away from a competitor to you. Here it is necessary to understand the economy of the client's business: what gives him your discount? Is it really that important? Who else has he received an additional discount on other product groups? Without understanding the client’s business, no discount can be given. Please note: it happens that your product is decisive for the client's business - your discount solves much of the cost of its product in the client’s portfolio sales, when attracting customers. It happens that your product is cheap or unimportant, then the client must “cry” about the low profitability on your shoulder.
Discount for business expansion
The discount is needed to expand the business: a new machine wants to buy, a car for distribution of goods, but little money, so it goes through all the suppliers and asks for discounts. give a discount - it will benefit the client. And why do you need this? Do you have a multi-year contract with him? Do you need and need this client?
The discount is needed for expansion ... for example, distribution (to carry far, new markets, to distribute your goods to receivables). In this case, the discount is needed for the transfer of low prices through to the market:
In the consumer market - to all customers of the client. Then the profit received from your discount will go to the development of distribution, for the benefit of your representation in the market. If the low price provides growth in sales (and it is crucial to negotiate with the customer), then what's wrong with the discount?
In the market of corporate sales and b2b - to a specific client (for a specific contract) of your client. This is a very important contract for your client and he does not want to lose it. With the understanding of what this contract is and whether you are already negotiating with another client on this contract, you can give a discount. Again, information about the conditions of participation of the client in this contract must be available.
"We work with everyone at a low price"
There are companies that are asking for discounts a priori. That is, as soon as you appear with your proposal in their office, you immediately receive questions like: “Does the XXX company work with you at what price?”, “We need the lowest price”. In exchange, these companies promise nothing, often, and poorly fulfill their trade obligations, but are leading companies with very decent turnover in your product group.
Most likely, the business of this company is not exactly trade. It's tacoth financial and investment project. The profitability of capital, the margin of transactions and work on borrowed money supplier - these are the principles of the business of such organizations. For example, every subsequent Auchan store around the world opens on borrowed money from suppliers of goods. To work or not with such companies is a difficult decision. In this case, as well as they, you need to carefully consider: The economy of the trading period (not just the economy of the transaction). If you don’t work with a partner with this partner at cost, it doesn’t mean that there’s no economic, say, marketing benefit. your trade is less profitable. Something similar to conclusion 1. A discount is not a reason for something (say, to start work), but an occasion for the negotiation process and the start of trade marketing. The discount should work: either strengthening relations and, as a result, strengthening the market position of your marketing subject (changing quality and (or) quantitative distribution indicators, increasing awareness, brand marketability, etc.) or increasing turnover — reducing profitability of transactions should serve as growth the number of transactions or revenue growth; either on the turnover of trading stocks with you, in distribution and the need of the goods from the shelves; If, after giving the discount and after that you do not find it - take away the discount!