Suppliers often think they hold all the cards, especially in niche industries. The reality? You have more leverage than they want you to believe. The key is knowing how to use it.
Here’s how to turn the tables:
Research Their Pain Points: Suppliers have vulnerabilities too—inventory issues, excess capacity, or deadlines. Find them, and you’ll uncover opportunities to gain leverage.
Push for More Than Price: Negotiation is about more than just cost. Focus on broader terms like payment schedules, delivery timelines, or performance guarantees. Often, these are worth more than a small price cut.
Show Them Competition: Even if you have a preferred supplier, hint at alternatives. It keeps them motivated to fight for your business and more likely to make concessions.
What’s at Stake
Supplier negotiations aren’t just transactional—they’re strategic. A well-negotiated supplier relationship creates ripple effects across your organisation, impacting cash flow, operational efficiency, and even your market position. By taking control of the conversation, you’re not just saving money—you’re building partnerships that can scale with your business.
Every supplier has weaknesses. Find them, exploit them, and turn the power dynamic in your favour.