If you’re in an executive role at your organization, we recognize that office supply procurement is just one of the many functions you oversee within your company. With so many responsibilities to balance, and office supplies not necessarily being at the top of that list, you need a program that makes financial sense, is easy to manage, and that you can trust day in and day out. With that said, we’ve been in this business for a long time; long enough to know that many office supply programs do NOT meet those criteria and it might be difficult to identify if your program does or not.
Our sales team has talked to a lot of prospective customers over the years and we’ve found that most were receiving inconsistent pricing and price fluctuations from their vendor without realizing it because they weren’t given any visibility into their spend. This is something that shouldn’t be happening – price increases and fluctuating prices are not “par for the course” when it comes to office supply procurement. While price increases DO inevitably happen on occasion, they should only happen if a manufacturer increases the cost of their product which may cause your vendor to need to pass some of that increase on to you. If a manufacturer increase does happen, your vendor should inform you of this increase and be able to provide you with a letter from the manufacturer showing the increase has come from them. With that said, price increases should never be across the board on all of the items you purchase.
So if you’re not hearing about any manufacturer increases, how can you identify if your prices are fluctuating behind the scenes?
- Ask your vendor to provide you with a monthly spend analysis showing which products you purchased and what you paid for them.
- If your vendor isn’t able to provide this analysis, make sure you’re holding on to your invoices. Start looking at your invoices monthly, or even quarterly to see if you notice any price discrepancies.
If you’re uncertain about the consistency of your pricing program, NEOS can help you analyze your current spend to determine if you’re A) receiving the best pricing on the items you purchase the most and B) if there are discrepancies in your pricing over time. Click here to speak to one of our procurement specialists about reviewing your current pricing program.