Creating value vs Claiming value #2 B2B Commercial Agreements

✅ B2B agreements that create value and strong relationships 🤝

Create value instead of claiming value

Business-to-business (B2B) agreements
Mutually Beneficial Negotiation

«I want you to lower the price from €50 to €45 per unit.»

First example of value-creating negotiation ❓🤔
Offer a long-term contract in exchange for a better average price.
Second example of value-creating negotiation 🗣️💭
Include additional services (installation, technical support, training) instead of lowering the price.
Third example of value-creating negotiation 🤷‍♂️❓
Adjust the product to reduce manufacturing costs and share the savings.

Why do these alternatives create value for both parties?

Offer a long-term contract in exchange for a better average price.

The buyer gets a lower price, while the seller secures a stable sales volume for a longer period. This allows the seller to better plan production and costs, while the buyer gains supply security and fixed prices.

Include additional services (installation, technical support, training) instead of lowering the price.

The seller maintains margins by not reducing the price, and the buyer receives more value through services that make the product easier to use. Both benefit: the seller demonstrates commitment to the customer’s success, and the buyer receives a more complete package.

Adjust the product to reduce manufacturing costs and share the savings.

By collaborating on redesign, both parties share the benefits of cost savings. The seller can offer a better price without sacrificing margins, and the buyer gets a more affordable product that still meets essential needs.

«I want the term to go from 30 to 60 days.»

First example of value-creating negotiation ❓🤔
Propose an early-payment discount to balance cash flow for both parties.
Second example of value-creating negotiation 🗣️💭
Negotiate staggered payments tied to delivery milestones.
Third example of value-creating negotiation 🤷‍♂️❓
Incorporate a mutual credit agreement for future purchases between the companies.

Why do these alternatives create value for both parties?

Propose an early-payment discount to balance cash flow for both parties.

The seller improves liquidity by receiving payment earlier, while the buyer gets a discount that can offset the opportunity cost of paying sooner. Both achieve a balance that respects their cash flow needs.

Negotiate staggered payments tied to delivery milestones.

The buyer reduces financial pressure by not having to pay everything immediately, and the seller receives partial payments as the project progresses. This structure aligns both parties’ interests with the actual progress of the work.

Incorporate a mutual credit agreement for future purchases between the companies.

Both companies become customers and suppliers to each other, creating a stronger relationship. This allows flexible payment terms and fosters long-term collaboration where both can benefit from special conditions.

«I want to be the sole distributor in the region.»

First example of value-creating negotiation ❓🤔
Agree on conditional exclusivity based on minimum sales volumes.
Second example of value-creating negotiation 🗣️💭
Offer joint marketing activities to boost sales.
Third example of value-creating negotiation 🤷‍♂️❓
Include cooperation clauses for new product launches.

Why do these alternatives create value for both parties?

Agree on conditional exclusivity based on minimum sales volumes.

The distributor has clear motivation to sell more to maintain exclusive status, while the manufacturer ensures active promotion of its product. Both benefit from a measurable and realistic commitment.

Offer joint marketing activities to boost sales.

The manufacturer invests in brand visibility and the distributor receives support to sell more. Both share the costs and benefits of marketing, creating a synergy that increases sales without one party bearing the entire investment.

Include cooperation clauses for new product launches.

The distributor becomes a strategic partner in the launch, gaining early access and promotional materials. The manufacturer ensures effective and enthusiastic distribution of its new products, benefiting both with a stronger market entry.

«I want to lower the minimum order from 1,000 to 800 units.»

First example of value-creating negotiation ❓🤔
Place smaller but more frequent orders, optimizing inventories.
Second example of value-creating negotiation 🗣️💭
Combine products from different lines to reach the minimum.
Third example of value-creating negotiation 🤷‍♂️❓
Propose a gradual volume growth plan during the contract.

Why do these alternatives create value for both parties?

Place smaller but more frequent orders, optimizing inventories.

The buyer reduces storage costs and obsolescence risk, while the seller maintains a steady income stream. Both optimize their supply chains with an order frequency that better matches actual demand.

Combine products from different lines to reach the minimum.

The buyer expands its catalog with complementary products, increasing value for its customers. The seller sells more units from lines that may not have been the buyer’s priority, benefiting both with greater total volume.

Propose a gradual volume growth plan during the contract.

The seller secures a long-term commitment with progressive growth, while the buyer gets favorable conditions initially and the ability to scale without immediate pressure. Both align on a path of mutual growth.

«I want transportation to be free.»

First example of value-creating negotiation ❓🤔
Share logistics costs by optimizing routes and loads with other shipments.
Second example of value-creating negotiation 🗣️💭
Include combined deliveries with nearby customers to reduce expenses.
Third example of value-creating negotiation 🤷‍♂️❓
Agree on less frequent but higher-volume deliveries to optimize costs.

Why do these alternatives create value for both parties?

Share logistics costs by optimizing routes and loads with other shipments.

The seller reduces operating costs by optimizing logistics, and the buyer obtains more efficient transport without paying the full cost. Both benefit from a smarter logistics operation that reduces expenses for everyone.

Include combined deliveries with nearby customers to reduce expenses.

The seller saves on transport costs by grouping deliveries, and the buyer receives the order at no additional cost. This logistical collaboration creates efficiencies that translate into tangible benefits for both parties.

Agree on less frequent but higher-volume deliveries to optimize costs.

The buyer reduces the frequency of receiving goods, simplifying internal logistics, while the seller optimizes routes and shipping costs. Both achieve a solution that respects their operational capacities and reduces shared costs.

🔍 Synergy

Creative solutions align interests and generate mutual benefits instead of competing for a fixed slice of the pie.

🧠 Innovation

Negotiation becomes a joint design process where both parties contribute ideas to create additional value.

💬 Trust

By seeking solutions that benefit both, a relationship is built on collaboration and mutual respect.

🌟 Sustainability

Value-creating agreements tend to be more durable, since both parties have an interest in maintaining the collaboration.

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