In Part 1, we established what Employee Purchase Programs are. Next we're going to talk about how they work.
There are many ways for a Purchasing Department to set up a discount program. Any or all of these methods can be used in a given situation. I have seen successful programs with all of them.
- On site vendor representative
- Special 800 # special rep to call
- Website access
- Corporate retail card
An on site vendor rep works well for an item/service like cell phones. Most people prefer to see and hold a cell phone before buying it. Because the plans and options can be so confusing, it helps to be able to talk to a knowledgeable person face to face. Having a vendor rep in the cafeteria at lunch time once or twice a week will work well.
Toll free numbers or special vendor reps to call are alternatives when the distance between the rep and the selling location rules out regular site visits. A specialized phone rep, even if he or she handles multiple corporate accounts, is almost always preferable to a generic 800 number.
Retail cards are great for last minute needs. An example for an industry that could use these would be office supplies. They allow the holders to go into the stores and get the corporate contract prices on items. (Buyers can also use these for corporate purchases as well if someone failed to plan ahead and an emergency need arises.)
Website access to special pricing is great for anyone comfortable enough to make any kind of purchase independently. It gives the employee the option and convenience of 24 hour/7 day a week access to shopping, something not likely to be found in the other options.
An important thing to mention in all cases is that the goods should be delivered directly to the employee's home. Anything delivered to the place of employment could get mixed up with corporate supplies or an unethical employee could steal supplies while claiming they were paid for personally.
In Part 3, we'll examine how Employee Purchase Programs benefit everyone involved.
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