Case Study
B2B BUYER – REDUCING COSTS
Amalgamated Inc. centralized its procurement department and discovered a business unit overpaying its Marketing Agency by 25%. A Purchasing Agent was tasked to reduce costs. Initial negotiations failed due to personal ties between the business unit's president and the agency's president. In a second round, focusing on cost inefficiencies like overtime labor and an inefficient revision process, the agency agreed to reduce their retainer by 33%, saving $120,000 annually. The success relied on compromise, efficient processes, and win-win negotiation strategies, benefiting all parties involved.