6. Purchase Xerox scan-to-email machines to replace all photocopiers. Straight Rebuy Modified Rebuy New Task Purchase security system for new building!
Organizationbuying is the formal process for getting products and services into the organization.This involves everything from pens and pencils, to big office equipment like video conferencing and security systems.
Three parts of the buying process.
Straight Rebuy
Modified Rebuy
New Task
The Buying Center
Indicators/Users
Influencers
Deciders and approvers
Buyers/Gatekeepers
Gatekeepers/Intro to phases
PROBLEM RECOGNITION: Problem Recognition occurs when an individual identifies a need or an issue that can be resolved through the acquisition of a product or service
General Need Description The General Need Description answers the question “what are the basic requirements of the needed item? Typically identified by a company at large.Can Includes general characteristics and quantity needed
Product Specification: Product specification provides more detailed specifications or more technical specifications for the product.Typically identified by the buying center or decision making unit
Supplier SearchThe Supplier Search - true to it’s namesake, this phase occurs when the buying center assesses options for the best product or service vendorsProposal solicitationOnce qualified vendors/supplier are identified, they are asked to submit proposals. This is the Proposal Solicitation phase and results in the selection of a supplier.
SupplierSelectionOrder-routine specificationThe Order Routine Specification is the final order written by the buyerIncludes all the technical specifications of the product or service being purchased (delivery time-frame, quantity, return policy)
Performance reviewThe Performance Review is conducted after purchasing to assess satisfaction with sellers/suppliersPart of a feedback loop, can result in changes to buyer-supplier relationship, modifications or termination of the relationship.
Sellers to meet companies wherever they are in the buying processDemonstrate value add to their current purchasingAffect behavior change.
All photos are my own with the exception ofScreenbeanclip art and:Snow WhiteGreenWorksOffice Space StaplerGarminAmerican IdolEllenAccent FlagConfused Figure with ArrowPeople Standing GreenDisney Game TheoryQuestion MarkDecision MakingYes NoReferences: Kotler, P. & Keller, K. (2006). Marketing Management, 12th edition. New Jersey: Prentice Hall.