The concept of group buying (Purchasing Groups) did not start today. Over the years, friends have always put their money together in order to buy a large item and enjoy a better deal. The logic still remains the same. Group Buying allows two or more companies/organizations to pool their resources together in order to buy in bulk and enjoy better deals.
Thanks to platforms such as PurchasingPlatform.com, it is now very easy to join Group Buying. You don’t need to look for an organization to join, these platforms make it possible to join another company albeit remotely to combine needs and leverage negotiating strength. When you join Group Buying, you will improve your contractual strength and have access to best prices, best technologies, and even best services.
There are many reasons why you should consider Group Buying. Some of these benefits include:
- Enjoy Economies of Scale (Purchasing Power)
You will definitely enjoy scale economy when you pool resources together with other companies to buy in larger quantity. Group Buying allows you to enjoy scale economy which would not have been possible when you purchase alone as a company.
- Enjoy Lower Prices
Businesses offer a discount when you purchase in bulk. Group Buying allows you (and the members of the group) to negotiate lower prices. You can be able to save up to 35% on particular goods or services when you join a Purchasing Group.
- Reduce Cost of Transaction
You can effectively simplify your procurement process and reduce the cost of the transaction by joining a Group Buying. This process makes it easier to enjoy lower per unit cost on goods/services and also lower per-transaction costs. These benefits are as a result of reduced number of contracts to be negotiated, processed, and managed.
- Reduction in Workload
You can reduce workload when you allow a third party to do negotiation and procurement on your behalf. This makes it easier to streamline the procurement process while you focus on other core parts of your business.
- Network and Grow
Group Buying allows you to network with other companies in your industry. In most cases, it provides you an opportunity to network and collaborate with more experienced companies in your industry. It also brings together different professionals in multiple industries together and allows them to learn and help each other.
No doubt, e-Sourcing can provide you best opportunity to grow your business beyond the present level. You can easily reduce the cost and speed of procurement. Fortunately, PurchasingPlatform.com now makes it extremely easy to find and collaborate with other companies.