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Old 09-23-2003, 01:57 PM
mosch mosch is offline
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Join Date: Apr 2003
Posts: 659
Default Re: Recommendations from a techie

Let's say Dell has a desktop that's selling for $1000. They'll only give me about a 5% discount on these lower-end machines, so I'm getting it for $950. Now let's say I quote it to the customer as a $960 machine, giving me a whopping $10 of profit on that item, seems like a pretty good deal.

The customer can then fax my quote to Dell, WITH my letterhead, and they'll beat the price substantially, actually offering the customer a lower price than they'll offer me.

On the other hand Compaq is the epitome of the friendly supplier. If anybody undercuts my price on a Compaq, I can then fill out some paperwork to get special pricing, below my normal rates, so that I can, at worst, match that price.

This is why resellers don't like Dell. They don't even give us the option of taking a zero-profit sale, they force us to either lose the business, or lose money on the business. Very raw deal.
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