GPOs (Group Purchasing Organizations) have been around for about ten years primarily in the healthcare industry. The basic concept of a GPO is that a group of businesses can come together and buy products cheaper than any single company can. This model may or may not be beneficial for the Coca-Colas, Wal-Marts, or Johnson & Johnsons of the world, but they are great for the small to medium size business because they allow the little guys to buy their products on the discount level of one of these huge corporations. As industries are expanding and products are being developed, we are seeing GPOs spread into the education, printing, office supplies, and consumer products fields. Manufacturers are willing to cut their margins and deliver products at wholesale prices for the volume of customers the GPOs offer. In most scenarios GPOs can save businesses anywhere from % - % off their already competitive prices. GPOs are exclusive to members meaning that your business would pay a membership fee to be a part of the wholesale buying group. Two things to consider before becoming a member of a GPO. . Know what and how much youre buying throughout the year for your business ex. (brochures, catalogs, envelopes, forms, paper, ink cartridges, etc) . Consider the membership fees versus your current cost and the savings that the GPO would deliver. If you are buying business cards or , envelopes a year then a GPO would probably cost you more money than you would save. All in all a GPO is a good way for you to effectively cut cost without having to compromise quality or service. For more information on GPOs contact Ken Hamilton @ -- or e-mail ken@onesourceinc.net
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