The supplier you barely buy from sets the price of the one you do

Consolidating spend earns a discount you can see. Splitting it buys something you can't, and the trade is rarely the one buyers think they are making.

By Steve 5 min read
Abstract bridge artwork for The supplier you barely buy from sets the price of the one you do

Consolidation is the easiest procurement win to justify. Put all the volume with one supplier, and the discount arrives in writing. Fewer invoices, fewer specifications, fewer relationships to manage, one number to negotiate once a year. The saving is visible, immediate and attributable. What the consolidation quietly removes is harder to see: the ability to know whether the price you are paying is still competitive. Once there is only one quote, there is no comparison: only a history of small increases, each individually defensible. The interesting question isn’t whether to…

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Important: General information only. Rialto Bridge articles describe patterns and considerations that may apply to a business; they are not financial, legal, tax or accounting advice, and they take no account of your particular circumstances. Consider your own situation and seek advice from a qualified professional before acting.

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