Why a rapidly growing international marketer of headsets cares about costs

Saving now will save more as the business expands

An international online and direct marketer of telephone head- sets and other telephony products invited experts with Expense Reduction Analysts (ERA) to review several of its cost categories. Because of increasing revenue, the company knew it was good business to reduce spends now to save even more in the future.

Most of the client’s sales were through purchases made by credit cards. Consultants with expertise in the highly complex area of merchant card processing came close to cutting costs in half.

Using benchmark data from more than 14,000 projects world- wide and ERA’s advanced procurement tools, Consultants negotiated savings with the incumbent office supplies vendor.

Different departments used several different suppliers to fill temporary labor needs. Mark-up rates ranged from 50% to 70%. Consultants with industry experience recommended and helped consolidate suppliers into a new primary vendor and an incumbent secondary supplier with lower mark-up rates.

Consultants with knowledge of complicated contracts for equipment leasing found savings through adjustments to rates, terms and conditions. They also uncovered credits due.

"Wow. You got money I wasn't able to get." - Procurement Manager

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