Getting Around A Price Increase

Most price increases are the legitimate result of rising costs.  However, if you feel that a supplier’s price increase is excessive or unwarranted, consider the following actions.

  • Place your next order at the old price.  Many suppliers will accept your order rather than risk losing you as a customer.
  • Negotiate a reduced increase.  A good rule of thumb is to ask for a one-third reduction in the increase.
  • Refuse to accept the increase.  Tell the supplier you’ll order at the old price or not at all.  This is a risky approach that might lead to the loss of a good vendor, so use good judgment.