UNDERSTANDING BUYERS' RULES AND GUIDELINES
by Alan J. Zell, Ambassador of Selling

Buyers can be divided into two categories: Buyers and Purchasing Agents. Buyers are usually thought of as those who buy products for other people to buy. Purchasing agents are those who buy products for others to use or convert into something else. Other than these subtle differences, their tasks are very similar. They both face similar buying situations in that they are asked to buy or they seek something to buy. Professionals in their field use four simple rules and follow several guidelines.



Rule #1: Never buy something you know nothing about from someone you know nothing about.
Rule #2: Know as much or more about what you do not buy as what you do buy.
Rule #3: Never buy for others to own, use or do what you desire to own, use or do yourself.
Rule #4: Before a decision to buy is made, it must be understood how the purchase will be sold to others in the organization as well as to how it affects or is used by the organization's customers.
Guideline A. Be able to distinguish between quality levels and attach comparative prices to each quality.
Guideline B. Be knowledgeable enough about what is under consideration, what is bought and what is eliminated so that you can answer those questions that might arise after the decision to buy, not to buy, or put on hold is made.
Guideline C. Be aware of what "hidden costs" there are in addition to the price of what is under consideration that will eat into the profit margin -- difficulties in packaging, warehousing, delivery in/out, display, spoilage, insurance, developing printed materials, advertising, etc.
Guideline D. Don't let any seller tell you that what they have is not for you. The buyer determines that, not the salesperson.
Guideline E. Plan presentations to both staff and customers while considering each item before the buying decision is made. A buyer's presentation needs to be as good as the buyer's buying.
Guideline F. If possible, do not buy or confirm orders away from home. Make sure you have the space to properly display and/or store it.
Guideline G. Remember, poor buying decisions are usually made from a partial selection of what might be available.
Guideline H. Use the complimentary/contrast, contrast/complimentary theory: Is it complimentary to other things but different from what you have or are doing? Or, is it different but would be complimentary to what you have or are doing?
Guideline I. Ask yourself, what need does it fills? A basic need? A void? A variation? A combination of these?
Guideline J. Look for both one-time purchases and for things that can generate turnover through consistent buying, selling, re-buying, selling (buying, using, re-buying, using) etc.
Guideline K. Have a list of items or categories that have been missing from one's selection and what staff and customers have asked for.
Guideline L. Take notes from ideas generated by consumers, trade magazines, newspapers, radio, television, movies, competitors' and suppliers' advertisements and mailings, etc.
Guideline M. Rather than jump on a fad, start investigating different ideas so that when the time is ready you will be the leader rather than the follower.
Guideline N. Expect, even demand, that everything you are being offered is shown to its best advantage ...given the limitations of time, space, effort, and/or money. Do not let these be their excuse for a poor presentation.
Guideline O. If you don't like the way you are treated or something is presented, be sure to let the supplier/vendor know. It is the only way the person will know to improve.
Guideline P. Always look at buying as a function of selling and not as a function of managing. The task is to have the right quantities at the right time without having too much at any one time.
Guideline Q. Your obligation is to make sure you are spending your or your firm's money as effectively as possible. Get as many concessions as possible.
Guideline R. Know what is new, what is old, and what has been repackaged.
Guideline S. Admit to yourself, at least, what you don't know and then, learn what to ask so you will know before the buying decision is made.
Guideline T. Respect everything for what it is and what it can do for the user.
Guideline U. While looking, look high, look low, and look behind every door; look at every page; don't leave a stone unturned.
Guideline V. Do not spend time looking at what you already own. Look where and at what others might not look at. One never knows what one may find that may answer a question or solve a problem.
Guideline W. Gather as much information for the next user as you can.
Guideline X. Plan to follow up each purchase.
Guideline Y. Try to arrange for a trade back or return agreement for unsold or used items.
Guideline Z. Before buying, establish a replacement plan to insure adequate inventory.

Following these rules and guidelines will help a buyer make better decisions.

If you are selling, understanding what the buyer should be doing will help produce more sales.

This article was written to help you and your business. If you believe some of these articles will be helpful to your business, please e-mail me your comments on how you will apply them. ajz

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Alan J. Zell, Ambassador Of Selling
P.O. Box 69 Portland, Oregon, USA 97207-0069

Email: azell@aol.com
Telephone: (503) 241-1988