Negotiating the secondary market can be simple and cost-effective if approached correctly.
The secondary market's financial incentives add to its well-known sustainability benefits, as companies like Component Sense ensure unused excess and obsolete (E&O) components contribute to a circular supply chain.
Keep reading for our tips for procurement professionals to maximise the benefits of buying on the secondary market, whether for their own company or customers.
1. Build lasting relationships
Consider your relationship with your dentist or doctor. Visiting the same provider each time means they build a connection. This bond helps them to understand your needs, offer personable service, and even provide financial benefits for your loyalty.
Building a long-term partnership with your electronic parts supplier can offer similar benefits. Component Sense prioritises customer satisfaction over profit. By making us your first choice when sourcing PCB parts, you can enjoy priority access to new stock and a seamless sales process.
2. Always give feedback if a quote does not meet expectations
Prices for components on the secondary market often fluctuate due to supply and demand. This variance creates opportunities to strike deals that satisfy both the seller and buyer.
When requesting a quote (RFQ) from Component Sense, be transparent about your budget and goals. If the quote does not meet your expectations, provide feedback. This helps us understand your needs and often leads to a mutually acceptable offer.
At the end of the day, we are motivated to move our stock, thanks to our commitment to reducing electronic waste Component Sense’s sales team is open to reasonable offers to help you buy our excess electronic components.
3. Utilise market analysis tools
Component Sense is known for our personal sales approach. However, we also use cutting-edge technology and automation to enhance our customer experience. Technology enables smarter, quicker decisions and actually frees up time to focus more on customer service.
Similarly, technology can provide electronic component cost-savings to procurement professionals when filling out their bill of materials. Component Sense’s Bill of Materials (BOM) tool is a prime example.
Component Sense manages excess for the world’s largest original equipment manufacturers (OEM) and electronic manufacturing services (EMS), giving us insights into global purchase price variances. BOM matching provides our customers with access to tier-one pricing, as well as valuable market insights. Plus, our BOM matching tool is completely free and confidential.
”Every manufacturing company already has a BOM that it sends out to distributors. All you need to do is send us that same document, and we will do the rest.” Rose McGee, Sales Director.
4. Insist on full traceability
Some procurement experts hesitate to source from the secondary market due to the risk of counterfeit components. This fear is understandable, as some sellers push dubious stock. One counterfeit component can disrupt a production line, force costly design changes, or even affect the effectiveness of an assembled device.
Thankfully, protecting your supply chain is simple. Ensure all parts you purchase are fully traceable back to the original manufacturer to verify the stock's origin. Component Sense offers full traceability of everything we sell. In fact, we provide a 100% counterfeit-free guarantee for ultimate peace of mind.
5. Check lead times before price
While the optimal price is important, it is irrelevant if the lead time is too long. During the chip shortages following the COVID-19 pandemic, some procurement professionals faced lead times of over 52 weeks.
Fast-forward to today. In many cases, such long lead times are not acceptable for efficient electronic manufacturers. Buyers should always first check the lead time for any listed part. If this information is unavailable, it may be a red flag.
It is vital that procurers ensure lead times align with their project schedules. Component Sense proudly offers immediate availability of all our in stock excess electronics inventory for international shipping.
View our range of tier-one electronic components online
The Component Sense sales team is motivated to sell our catalogue of brand-new, unused components. When you request a quote, you will speak with a real person who will guide you through the buying process. You will also receive industry-leading quotes, providing all the details you need.
If the initial quote does not meet your expectations, please always provide feedback. We may be able to arrange an alternative arrangement that suits both parties and help you buy pristine excess electronic components whilst preventing electronic waste.