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  #1  
Old 01-21-2013, 03:42 PM
Toro 455 Toro 455 is offline
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Location: sabina oh
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Would you give a 5% price reduction to renew a contract?

That's what the letter in front of me says. To quote it goes like this:

""Our company has recently merged with CPG International. As a result we are undergoing a cost reduction program. As part of this program, we are examining all of our expenditures and analizing each of our strategic vendor relationships to identify opportunities for improvement.

Our relationship with you has been identified in this process and is currently under review. We request that you reduce pricing by 5% on all future transactions."


Would you go for it? I did! E-mailed them back today with an "OK I'll do it."

I figure 95% of something is a heck of a lot better than nothing!

Are you seeing request like this?
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  #2  
Old 01-21-2013, 03:46 PM
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grandview (2006) grandview (2006) is online now
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Fishing,that's what they are doing.
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  #3  
Old 01-21-2013, 03:49 PM
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KS_Grasscutter KS_Grasscutter is online now
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If it was something that accounted for 25% or more of my income I'd probably go for it, but otherwise not a chance. Most of my customers will be getting a 5% INCREASE this year. How much does it cost you to buy a Baconater value meal compared to this time last year?? Everything is going up. I'm guessing your 5% reduction of income is actually a reduction of nearly 10% of the buying power of the money from that account compared to last year.
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  #4  
Old 01-21-2013, 05:06 PM
Mustang Mustang is offline
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Only if they reduce services received equal in value by 5%.
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  #5  
Old 01-21-2013, 05:34 PM
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jsslawncare jsslawncare is offline
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5%, yes I would too. Cause I know I'm 110% over priced.
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  #6  
Old 01-21-2013, 05:43 PM
dieselfuel dieselfuel is online now
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Yes, I'd give 5% discount - with 5-10% less work done on the property.
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  #7  
Old 01-21-2013, 07:06 PM
slowleak1 slowleak1 is online now
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Guess you got ANALized in more than one way.
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  #8  
Old 01-21-2013, 08:16 PM
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KrayzKajun KrayzKajun is online now
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Quote:
Originally Posted by slowleak1 View Post
Guess you got ANALized in more than one way.
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Good one Doug.
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  #9  
Old 01-21-2013, 11:24 PM
slowleak1 slowleak1 is online now
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Originally Posted by KrayzKajun View Post
Good one Doug.
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The "profesional" letter said it first...they are analizing all their clients. That right there would have made me go up on my price
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  #10  
Old 01-23-2013, 10:22 AM
branchoutshrub branchoutshrub is offline
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We wouldn't reduce the price by 5%. Other industries are raising prices weekly to keep up with their costs. If your company is doing quality work, no need to reduce price.
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