Saturday, March 27, 2010

Collaboration Thru Sharing The "Good News" and Supporting Charity

During April we are proud to be working on a project that will support Paul's Pantry in Green Bay, WI. Working with local Churches and placing in "retail outlets" the water will be sold as a "single serve". Each week the water will have a new faith driven quote. Minimum order will be one (1) case. We will post updates each Friday. We are excited to prove collaboration works within all buying communities. We appreciate any comments and thought. Have a productive week.

Thursday, February 18, 2010

Direct From Manufacturer Pricing Boosted by Collaboration - Clic Stic from Bic



So I decided to not follow the crowd and start pressing the flesh again. All this Twitter, Facebook, Linkedin, etc makes one feel like a caged Lion. Anyhow, I starting dropping into local small-mid size businesses in my community. As I looked around for where the opportunities may exist I noticed many had the Clic Stic from Bic at their front desk. Over a weeks period of time I found five organizations that purchased the same pen. So I ran some numbers for their review. Trailing is what I found.

Assumptions:
- Each buyer purchases 500 pens
- Buyers are not members of iProcureDirect
- Each Buyer is currently not Collaborating
- Each Buyer can buy within the same buying period

First, if the Buyer was a member of iProcureDirect there would be an immediate procurement savings of 50% .

Non Member Pricing:
300$0.72
500$0.70
1000$0.68
2500$0.66
5000$0.64
10000$0.62
iProcureDirect Member Pricing:
300$0.36
500$0.35
1000$0.34
2500$0.33
5000$0.32
10000$0.31
Secondly, when the members leverage one each others budget or collaborate additional savings are realized. With each of the five (5) Buyers procuring 250 units of the same pen together their volume adds to 2500 units. This allows each member to enjoy additional savings of 8% for a total member savings of 58%.

iProcureDirect Member Pricing w/ collaboration boost:
300$0.36
500$0.35
1000$0.34
2500$0.33
5000$0.32
10000$0.31
As I close out this Blog entry ask yourself
  1. What does my organization procure that others may be?
  2. Could my business benefit from 58% savings if we procure pens?
  3. Being a member of iProcureDirect what would my savings be on the promotional products, print, corporate incentives?
  4. Maybe iProcureDirect membership IS a good idea?
I thank you for taking time to read this entry and wish you a productive day!

Best Forward,

Mike Kaczmarek