4 ms·

Having spent the last year on a procurement project I agree, when it's millions of pounds at stake (much more in potential benefits) the sales process is necess

by bliss 15y ago

Having spent the last year on a procurement project I agree, when it's millions of pounds at stake (much more in potential benefits) the sales process is necessarily protracted. However, I agree about the pricing games. In my experience, companies give a massive list price (but don't answer questions about how many companies actually pay that price - I figure none) and then argue the "discount" percentage. Stoney silence in pricing discussions my side is the way to get to a price that's worth talking about, months can elapse though, it's tiresome.

Hume 15y ago
Do you know the price point at which purchase orders predominate over credit cards for payment? I'm launching a product soon and I plan to price it at $6k per year. I assume that the software will be paid for by PO but if anyone here has a different view, I'd like to hear from you.
- andrewcross 15y ago
  You'll likely need to go the purchase order route. My software is priced around $2.5K and it seems to be the transition zone between credit card & purchase order (at least from my experience). One interesting thing you'll notice is Amex is much preferred at higher credit card levels (e.g. $3K vs. $1K). If you plan on pricing your product above $1K and want to use credit cards, make sure you support AMEX.
- caublestone 15y ago
  $10k is the most common threshold Ive seen. However, there are other issues that come into play, like if your product requires the exchange of NPI (Non-public information).
- bradfa 15y ago
  My former employer (>150k employees) had MasterCard limits that were $3k per purchase and $15k per month per card. Those were hard limits. Anything over that had to go through POs. Amex was only to be used for travel, couldn't use them for purchasing products. Current employer (<50 employees) has us use our personal cards and get reimbursed. Anything over a few hundred is going on a PO.
- bliss 15y ago
  Sorry, just saw your response. I need to use a PO for most any one off purchase over couple of hundred pounds and always for anything that involves a recurring charge.

by bliss 15y ago

Hume 15y ago

Do you know the price point at which purchase orders predominate over credit cards for payment? I'm launching a product soon and I plan to price it at $6k per year. I assume that the software will be paid for by PO but if anyone here has a different view, I'd like to hear from you.

andrewcross 15y ago
You'll likely need to go the purchase order route. My software is priced around $2.5K and it seems to be the transition zone between credit card & purchase order (at least from my experience). One interesting thing you'll notice is Amex is much preferred at higher credit card levels (e.g. $3K vs. $1K). If you plan on pricing your product above $1K and want to use credit cards, make sure you support AMEX.
caublestone 15y ago
$10k is the most common threshold Ive seen. However, there are other issues that come into play, like if your product requires the exchange of NPI (Non-public information).
bradfa 15y ago
My former employer (>150k employees) had MasterCard limits that were $3k per purchase and $15k per month per card. Those were hard limits. Anything over that had to go through POs. Amex was only to be used for travel, couldn't use them for purchasing products. Current employer (<50 employees) has us use our personal cards and get reimbursed. Anything over a few hundred is going on a PO.
bliss 15y ago
Sorry, just saw your response. I need to use a PO for most any one off purchase over couple of hundred pounds and always for anything that involves a recurring charge.