Yours’ Buying Action Plan

Week 26.1 Yours’ Buying Action Plan

Last week just before the rapid price movement, one buyer email me that he wanted 60 oz at around RM130/oz and some discount. I gave him some discount but then due to rapid price movement I email it to him later that the price is no longer valid. Normally, when I email I will put a clause there “Price valid till spot < USD36.5/oz“. So in the end he didn’t buy cause already over his budget.

Another buyer emailed me that he wanted the old price but the spot price already gone up USD2/oz. I unable to give him the old price as I will be selling at lost. He told me that he already told all his friends the old price as they are doing combined bulk purchase. Too bad can’t help.

Another example, due to time differences I email my supplier that I wanted to lock in at USD41/oz by the time he got his email the price was USD42/oz so he did not do anything. Then 1 week later it was USD48++ before it come down to USD32++.

What can you learn from these?

When you want to order the price is right but by the time you get to your supplier the price already changed. Here is the action plan if you want to secure an order and protection from rapid price movement.

1.      Just directly SMS or call the supplier and ask him for a verbal + SMS confirmation on the quantity and price. If he can’t, ask him to get back to you. If he didn’t get back to you call him again. One phone call is less than RM0.50 but every time the silver price moves it will be USD2-4/oz. You think about it-lah.

2.      Don’t wait for your friend-lah, they may spoilt all your plan. Once you have enough cash, just go ahead and buy. The rapid price movement may be more than the volume discount you get.

3.      If the price in ebay is right, just click the “Buy it now button”.

You must understand most suppliers are pricing their products based on their replacement cost. If the product is sold below the replacement cost, then it is a physical lost no matter how much $ he make. Supplier view their wealth in ozs of metal and not in $cash owned.