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Vendor Discount

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Vendor

If vendor gives any discount for purchasing inventory

11 anecdotes

I get a 5% discount on genuine/original parts from vendors. For copies, the pricing is different. There is an MRP, but we are told a different price. I get a 10 to 15% discount for copies. I only buy what is needed for a vehicle, I don't buy more. Every vehicle requires different types of spare parts, so if I stock them, I will have to wait, and the stock may go to waste.

Discounts are what distributors receive from the company and pass on to us. Sometimes they have schemes, such as offering a lower price when buying in bulk.

Vendors give us the wholesale price. If you give me the wholesale price, I won't be able to negotiate with you. If they give me the retail price and I negotiate with them, it's a different matter. They know who the shopkeepers are and who the customers are. They will give a different price to the customers and the shopkeepers will get a different price.

Nothing, no seals, vendors give us 20% margin, like I said before.

No. Whenever I go, I will get a discount on all the items. I get the goods from the wholesaler and distributor. The wholesaler and distributors don't have discounts as such. They have fixed rates and we don't get single piece items, we get all in cartons. They would give us the wholesale rate as per the carton.

The discount is from the company's side only. If we buy this many kilos, we will get this much offer. Then, we may give customer offers. For example, if you buy Sambar powder, then Idly podi is free, something like that.

We do not receive any discount from vendors. Our discounts typically range from 3-4% off the distributor price. We sell the products at the MOP (Market Operating Price), and the pricing structure accounts for a 7% difference.

Vendors give us a lower rate. We add one or two profits and sell. Since we opened this shop, we have been purchasing from them exclusively. They are the only wholesale shop in this area. We buy items like mixture and murukku from another shop. I buy vegetables from the mandi market. He goes to the market at about 5 AM and comes back at 6.30 AM. We buy only 1 or 2 kgs of vegetables. We don't sell them in large quantities; we sell them at a fixed price. One bundle for 10 rupees. We measure and keep them as bundles. We keep them pre-packed and then customers take whatever they want. We buy all the vegetables like carrots and beans. We try to sell the entire lot. If we are unable to sell, we give them away to people in need.

Wholesalers offer vegetables and fruits at a reduced rate, that's all. No discounts.

Wholesalers have a fixed price. They don’t give offers. If we pay in cash, we would get an extra 2 percent discount. Suppose we are buying for 10 lakhs; we can go and buy more. Usually, we buy stock worth 1.5 lakhs in a month. In a year, it is 18 lakhs. But now it does not sell even for 30,000. Sales are low. It should at least sell for 5000 in a day for us to afford it. We will get a profit of 1500 rupees with a 30 percent profit margin. If I get a 30 percent profit, I would earn a profit of 1500 rupees. Even if I spend about 500 on rent, I can save 1000 rupees. If it sells for 2000 rupees per day, then I would only earn 600 rupees, which would be a loss for me. My expenses come from the income I earn from the shop. My turnover would be very low. So, it is not affordable.

Discounts for each item differs. There is no discount for lining. In sarees if we pay within a month they give some discount. If you pay in 3 months there is no discount. If you pay immediately, there is a 5 percent discount. They give us one month credit, but then there is no discount.