We are an organic cold-press juice maker & distributor in UK (no hpp). One of our clients (coffee shop) are expending and asked for a discount. We’ve offered a rebate program where a discount of 5% is applied and given back in free stock. They are not happy with 5%, but margins in a wholesale business are very small and it would mean a big stretch for us. They don’t want to change juice recipies to make the product cheaper. Contract is of course an option to gain more buying power for us, but even then it meaning a stretch. Are there other ideas we might not be thinking of?
Or what is reasonable to ask in return?
Interesting post. Are you concerned that if you tell them you are unable to give a discount that they will stop buying the product? Maybe they are just applying some pressure but will continue to do business with you at the current prices.
I fear they will find another supplier. They will look into alternatives, for someone with a bigger buying power (thus their price might be lower). There are a few of us on the market who are in distribution and organic.