Pricing strategies — our analysis of the top 7 types of rebate deals - Enable blog
Summary
That in itself can cause problems for buying groups or multi-branch operations who sometimes find it difficult to aggregate the total spend by product line from the previous year. To encourage buying groups and distributors to make purchases across a range of products, suppliers might provide a rebate based on total spend over a period. In order to cut logistics costs, some suppliers prefer to deliver to a central distribution centre (CDC). In these cases, whilst the purchasing company isnt adding too much to their own costs by agreeing to ship from their CDC to branches, they can benefit from the discounts offered. Any number of conditions could be applied to drive purchase decisions in support of the suppliers commercial and financial goals.
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