Blog: There are Savings in Numbers with Group Buying Power

A client of my business consulting firm is doing a large part to keep the United State Postal Service afloat.

His law firm spends about $800,000 in mailing fees. And while it sounds like a lot of money, it still wasn’t enough for a discount.  Right now, postage is at 46 cents, but the firm would have to spend $1 million per year to negotiate that rate down to 37 cents.

My client’s next step to get those savings is to team up with a firm that spends—you guessed it—$200,000 in postage a year.  It’s called group buying power and it’s effective in saving businesses money.

So, ask yourself if you’re costs are too high in realms such as office supplies, auto parts, telecommunication and mailing.

People think they’re getting the best deal out  there and they don’t know there’s more. Make sure to ask a seller what is available, as they don’t always announce the opportunities.

There’s too much detail in this topic for one blog post, so if you have any questions, make sure to contact me.

Rachel Reiter is the CEO of Prestige Management and Consulting. If you have any questions or ideas for a future blog post, leave  a comment below or contact me. You can also follow Prestige on Facebook.