Importer
Exporter
Data
Countries Covered
Pricing
Start Free Trial
Index > Knowledge > This is the correct way to open up foreign trade price reductions! Are you sure you're not familiar
Back
2023/11/02
434434
This is the correct way to open up foreign trade price reductions! Are you sure you're not familiar
Foreign trade negotiations are actually a bargaining process, so it is inevitable that foreign traders will need to lower their prices during this process. But it should be noted that lowering prices is not as easy as imagined. The wrong way of lowering prices can have a significant impact on the final negotiation outcome. So, what is the correct way to open up foreign trade price reductions? Is there anything special to pay attention to during the price reduction process?

 
 
 
Timing of price reduction

Price reduction is a request made by customers, and some foreign trade newcomers will easily agree to their demands in order to obtain orders. But you should know that reducing prices too easily will not get you an order, but will only make customers think that you still have room for price reduction, otherwise they won't agree so readily.

Therefore, the timing of price reduction is very important. Generally speaking, there are two best times to lower the price. One is when you will lose customers if you don't lower the price, and the other is when you can get orders by lowering the price. For example, when customers say that as long as you lower the price, you can directly place an order.

Before that, what you need to do is to persuade the other party as much as possible and understand the reasons why they feel expensive.
 
Reasons for price reduction
 
It is obvious that foreign traders will repeatedly emphasize at the beginning of the quotation or during the negotiation process that this is the lowest price you can offer. Therefore, when reducing prices in the future, it is also necessary to provide a suitable reason, otherwise it will make customers feel that the previous quotation is inflated, and thus doubt the current quotation.

The reason for the price reduction can be to propose a condition that can benefit oneself and be accepted by the customer. This way, customers will have the illusion of making concessions themselves, so it is also reasonable for you to lower the price.

The choice of this reason can be considered from the aspects of delivery time, quantity, and payment method. However, how to choose depends on the information collected in the early stage to determine which one is acceptable to the customer.

If the above directions are all points that customers are more concerned about, you can also recommend other products to customers as a reason for price reduction by increasing the name of the order.

You can find the customer through tracking data, check their HS code, and find what they need. At the same time, you can also provide products to increase the likelihood of the customer agreeing.
 
 
(Source: Ueedata.com)
price cut percentage

After finding a suitable reason, you need to provide a quotation to the customer. Generally speaking, the customer will not provide too clear numbers, so the other party will have no room for further negotiation. Therefore, the extent of price reduction also needs to be controlled by the foreign trade personnel themselves.

In terms of the magnitude and frequency of price reductions, you need to pay attention to three points. Firstly, the magnitude of the price reduction should not be too large to avoid limited negotiation space in the future. Secondly, the frequency of price reductions should not be too high to avoid exceeding three times, which can easily lead to customers continuing to negotiate. Thirdly, there is a tiered price reduction, which means that the magnitude of the next price reduction should be lower than the previous one, so that customers can feel the difficulty of the price reduction.

The above are some points that foreign traders need to pay attention to when reducing prices. If you want to learn more, you can message us privately~
 
Related knowledge
Developing premium customers, starting with Trade In Data!
Unlimited access to trade summaries of real importer and exporter for free
Start Free Trial
Try Tradeindata for free
Unlimited product search
Unlimited company search
Unlimited Hscode search
230+countries unlimited viewing
Start Free Trial
Try Tradeindata free, no credit card required. By entering your email,
you agree to receive marketing emails from Tradeindata.
or
    Forget the password
    No account? Start Free Trial
    More data available to paid subscribers
    Select Plan
    Plans & Pricing
    Follower added
    Subscription all updates from this company?
    You can edit at any time
    No,not right now
    Subscription
    No more subscriptions
    Upgrade to premium for more company subscriptions.
    Select Plan
    Plans & Pricing
    Contact us for assistance and support
    whatsapp_icon WhatsApp
    KIN Open WhatsApp and scan
    email_icon E-mail
    service@tradeindata.com
    alert_warn The data of this company is currently unavailable
    To discover more high-quality importer
    Please contact customer service
    Exclusive hotline：+86 13450226257
    Official email：service@tradeindata.com
    KIN
    Scan the code to contact customer service
    Pay Monthly Pay Quarterly(Save 10%) Pay Annually(Save 20%)
    Selection versionPlans & Pricing
    Effectiveness
    Coupon
    1 quarter Cost
    $1228.00
    Payment Info
    Payment Company： 广州联雅科技发展有限公司
    Payment Account： 44044301040010464
    Bank Name： 中国农业银行广州房建支行
    * Please make sure to indicate the order number in the remarks：
    Tips
    1、 After successful remittance, please contact customer service through the QR code below to provide transfer vouchers, open a member account, and collect invoices
    2、 For offline remittance, please remit directly to your dedicated account on Finder Data. The general arrival time for various methods is 1-2 days for Agricultural Bank of China and 3-5 days for interbank transactions (the specific arrival time is subject to the actual arrival time of the bank)
    Need help? Please contact out customer service
    To provide you with assistance and support.
    Exclusive hotline:+86 13450226257
    Official email:service@tradeindata.com
    KIN
    Scan the code to contact customer service
    Payment method
    Choose how you’d like to pay for Tradeindata.
    After clicking "Subscribe",you will be redirected to Credit or Debit Cards to complete your purchase securely.
    Card number

    Expiry

    CVC
    The CVC is the three-digit number located on the back of your card
    cvc

    Card number
    Expiry
    CVV
    The CVV is the three-digit number located on the back of your card
    cvc
    Subscribe for $1228.00
    Subscribe for $1228.00
    Subscribe for $1228.00
    By confirming your subscription, you allow Tradeindata.com to charge you for future payments in accordance with their terms. You can always cancel your subscription.
    Subtotal
    Cost
    $1228.00
    Subscribe for $1228.00
    Subscribe for $1228.00
    Subscribe for $1228.00
    By confirming your subscription, you allow Tradeindata.com to charge you for future payments in accordance with their terms. You can always cancel your subscription.
    Get Custom Quote
    Tell us what you need, and we'll help you get quotes
    cannot be empty
    cannot be empty
    cannot be empty
    cannot be empty
    cannot be empty
    Continue
    Congratulations!
    ---
    OK
    Account Center
    Contact Service
    KIN
    Open WeChat and scan
    Your bill payment failed!