Building strong supplier relationships when you run a business can be mutually beneficial, improving commerce and oiling the wheels of buying and selling. It can enhance communication and efficiency as well as result in long-term cost savings. Plus it’s nicer to do business with people you get on well with and who support your goals.
By taking a controlled and systematic approach to supplier relations you can source the products you need, when you need them, and optimise your business operations.
Benefits Of Having A Good Relationship With Suppliers
There are plenty of reasons to get to know your suppliers better but it’s predominantly about more efficient business on both sides:
1. Greater Price Stability
Prices inevitably fluctuate due to outside factors such as commodity prices or inflation but working with your supplier can help keep your costs down and introduce some stability.
In return for a fixed-term contract or minimum order levels, UK chemical suppliers may offer a fixed or preferential rate. Suppliers also tend to use discounts or reduced/free delivery rates to ensure customers come back and maintain a favourable relationship.
In addition, signing with a new supplier to create your own white-label chemicals, for example, can involve some hefty setup costs. By staying with the same supplier for an extended period you avoid having to repeat those costs every time you order.
2. Supply Chain Optimisation
Late deliveries or lack of available products can severely impact your sales and damage your reputation, but a good working relationship means both businesses will adapt to each other’s styles and practices to accommodate the other. By working together you can iron out any supply issues and streamline your procurement process.
3. Opportunity For Feedback And Improvements
If you know your supplier well you can give feedback in a way that will be positively received because they understand it’s coming from a place of mutual benefit. For example, if you have customers who offer negative feedback about products you can provide this to the supplier to help them improve their offering and by default what you offer your customers.
With a good working relationship, you may also be able to suggest improvements to formulations and offer feedback on product usage so your supplier benefits from your and your customers’ insights while you benefit from their expertise.
4. Outsourcing To Free Up Time
Cultivating a great relationship with your chemical supplier or cleaning product manufacturer can lead to a better partnership, down the line. White labelling products is a good way to expand your business and launch your own product line, but the costs and R&D involved can be extensive. If you have a good relationship with your existing supplier they’ll help you launch your own range without the hassle of manufacturing it all yourself, freeing up your time to concentrate on growing your business.
At Assured Solutions, building solid customer relationships is the bedrock of our business. Once we’ve developed a strong relationship we offer a “prioritisation service” which ensures we can quickly adapt and respond to any last-minute changes or orders. By understanding our customers’ needs we are able to react quickly and accordingly. Contact us for more information.
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