“So, what price are you offering me?”
New zamac and aluminium inserts
15 de October de 2019
Stainless steel: AISI201, AISI304, AISI430
20 de November de 2019
Rotterdam 3 september 2019 Aankomst MSC Gülsün MSC Gülsün arriveerde dinsdagmiddag 4 september om 14.00 uur aan de kade van de APMT 2 terminal in de Rotterdamse haven. Het 400 meter lange en 62 meter brede schip heeft een capaciteit van 23.756 TEU (20 voets standaardcontainers) en is daarmee het grootste containerschip ter wereld. Foto Ries van Wendel de Joode/Port of Rotterdam Rotterdam 3 september 2019 Aankomst MSC Gülsün MSC Gülsün arriveerde dinsdagmiddag 4 september om 14.00 uur aan de kade van de APMT 2 terminal in de Rotterdamse haven. Het 400 meter lange en 62 meter brede schip heeft een capaciteit van 23.756 TEU (20 voets standaardcontainers) en is daarmee het grootste containerschip ter wereld. Foto Ries van Wendel de Joode/Port of Rotterdam Rotterdam 3 september 2019 Aankomst MSC Gülsün MSC Gülsün arriveerde dinsdagmiddag 4 september om 14.00 uur aan de kade van de APMT 2 terminal in de Rotterdamse haven. Het 400 meter lange en 62 meter brede schip heeft een capaciteit van 23.756 TEU (20 voets standaardcontainers) en is daarmee het grootste containerschip ter wereld. Foto Ries van Wendel de Joode/Port of Rotterdam
At this last edition of HOST we received many questions like these from first time visitors to our stand. Of course, we were not surprised, as one of the main purposes of any visitor is to check if our offer is competitive enough compared to other manufacturers.
While we know that in some cases a company just wants to compare our prices with their current supplier, and they do not wish to change, we understand this is part of the business. And in all cases we openly inform about any requested price.
Our vision, however, is that while prices are important, they are not that important. And let me explain why we truly believe the question of prices in this industry might be, in some cases, overrated.
- First, what are we comparing? On the third day at HOST, a visitor was disappointed when he noticed a 3% price increase between our sink bowls and those of the same size from his current supplier. It turns out that the last time he checked the price from his supplier was last May, when the ton of nickel was under 12.000 USD per ton. He was not aware that the price of nickel this October was 16.500 USD per ton, so a 38% higher. Once this was taken into account, he realised that we were extremely competitive.
- It is also important to compare prices with the same incoterms. For some products, transportation is a big part of the cost. We have found many times that people complain about the price, while they are comparing different incoterms (CIF vs FOB usually)
- Also, ever since we started exporting ten years ago, we have put great emphasis in advising our partners about the right time to place an order. We make a continous follow-up of the evolution of raw material prices and we recommend when is the best time to confirm an order. A throughout knowledge of the market and nickel price fluctuations give our clients an advantage in the long term, even if at a given moment we might not be the cheapest option.
- Finally, while it is obvious that prices are important, they are just a part of the whole value proposition. Quality plays also a significant role, and asking for samples is always recommended in order to compare products beyond price. Price policies can be tactical and focused on the short term, yet our main focus lies on establishing strong partnerships with our partners and long term cooperation.
Oriol Castells – Export Director at GISP Kitchen
