Technology has had a profound impact on how we conduct business. We discussed the speed of transferring information a few weeks back, and now we are going to focus on transparency and the advantage that this has had on the vertical supply chain in business, looking at both sides of the buyer-supplier relationship.
Over time, the benefits have become more opaque (there must be an oxymoron in there somewhere!) to the customer. This is because there has been less ambiguity in pricing, as they are able to see what prices they are getting in comparison to what the supplier’s competition are offering for the same product. This information is available immediately, and it ensures there is no miscommunication in the situation where a supplier may be required to change their prices (for a multitude of reasons). This allows the buyer to make a truly informed decision, whilst also allowing them to maintain the ongoing relationship they have with their suppliers. There is just more information available for them to use before they go to place their order.
Up until this point, it has been a very customer-centric post (after all, the customer is always right!). However, there is an underlying opportunity for the supplier. By adopting technology, there is opportunity to make procedures more efficient, which will help to upscale the business (should they wish to do so). This will allow them to accumulate new customers (as it provides a sales channel), whilst growing with their existing customers (increasing customer retention).
The benefits of live supplier pricing
Caternet is built with live supplier pricing, which allows suppliers to control their prices with more transparency, keeping customers in the loop. This has a positive impact threefold:
- This facilitates the buyer-supplier relationship, allowing for an open and honest dialogue.
- It provides an anonymous comparison of where your supplier’s prices are in comparison to competitors, ensuring that there are no surprises and informing the supplier!
- Both parties know the outcome as soon as the buyer hits the purchase button.
If this is something of interest, please do not hesitate to get in touch with us.