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Introduction

Tough economic circumstances and regulatory pressures have focused many wholesale buyers’ attention on reducing costs. However, a growing number of companies are now willing to pay a little more for the quality characteristics they need.

Highlights

  • Pricing of wholesale services will continue to be one of the most important criteria to all buyers of wholesale services.
  • Wholesale customers are not only concerned about list prices for the services they use. They also evaluate discounts, payment terms, billing accuracy, and disputes-handling procedures.
  • The disparity between the importance of price to wholesale customers and the performance they receive from suppliers remains among the largest across all 13 of the criteria involved in buying decisions.

Features and Benefits

  • Explains how different customer groups' attitudes to the pricing of wholesale services have changed.
  • Assesses wholesalers' performance against Price criteria.
  • Explains how wholesalers can close the gap between price performance and customer needs.

Key questions answered

  • How do different wholesale customers' attitudes to price vary?
  • What forms of price flexibility are wholesale customers demanding?
  • How has wholesalers' price performance changed between 2003 and 2015?

Table of contents

Summary

  • In brief
  • Ovum view
  • Recommendations

The survey explained

  • Survey objectives
  • Criteria for purchasing decisions and performance evaluation
  • Representative sample

Attitudes to price evolve

  • Customers are more willing to pay for quality
  • Price criteria important to all types of wholesale customer
  • Wholesaler performance against Price criteria
  • Price criterion 1: Pricing
  • Price criterion 2: Price-vs.-quality flexibility

Appendix

  • Methodology
  • Further reading
  • Author

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