A supplier in Hamtramck told me 'the old way is dead' and it stuck with me

I was at a metal shop in Hamtramck about six months ago, talking to the owner about a big order. I mentioned how we always used a certain local trucking company for our runs. He just shook his head and said, 'Cole, the old way is dead. You're paying 15% more for the same service because of a handshake from 2005.' He pulled up a freight app on his phone and showed me three quotes right there, all cheaper and faster. It hit me that a lot of us in the metro area are running on loyalty that's costing us real money. We get stuck in our routines with the same vendors and services just because it's how it's always been done. That five minute chat made me re-bid half our shipping contracts. How do you guys decide when to stick with a local partner or switch for a better deal?

2 comments

2 Comments

ryan9521d ago

Yeah, that's a tough spot. I had a similar thing with a parts supplier. We used them for years, but their prices crept up. I finally got a quote from another shop and it was a twenty percent difference on common fittings. I called the old supplier, told them the number, and asked if they could get close. They couldn't, so I had to switch. It felt bad, but I've got my own guys to pay. Now I check prices on the big stuff every year or two. If a local place wants to keep my business, they need to be in the ballpark. Blind loyalty just isn't a good business plan.

the_beth1d ago

That "blind loyalty" line from @ryan952 hits hard. Did you give them a chance to match?