Sample Letter to Supplier to Reduce Price

By | February 13, 2016

As a buying manager, you will often face challenges where you will have to stay within a set budget and still be able to attain high quality supplies. How would you do this? Well, if you have ever been in a position where you have been scratching your head to figure out how to handle a high quote from a supplier, the best way is to write to the supplier and ask for a reduced quote. Since you cannot ask the management to raise the budget, this is probably the best way to have your cake and eat it too!

Letters to suppliers need to be written with professionalism. No amount of humor will do since you are communicating on a professional level. Keep your tone polite though as you do not want to sound harsh even if you have been presented with an exorbitant quote that you find completely unrealistic.

When you ask for a quote from a supplier with whom you have been working for some time, asking for a reduction in price may not be too difficult, as you will most probably be obliged by him. However, it may seem a bit out of place to write such a letter to a new supplier – unless you really want to do business with them since they are the only ones who can supply you with what you want.

Here is a sample letter to a supplier to reduce price that you can tweak to your own situation:


Sample Letter to Supplier to Reduce Price


Tara Pitts
Procurement Manager
Interline Brands
11 Rider Street
Perris, CA 98712
Tel: (222) 222-2222
Email: tara @ email . com

February 13, 2016

Mr. Ivan Combs
Supply Manager
Ethicon Inc.
10 Swallow Hill Road
Perris, CA 99582


Dear Mr. Combs:

Thank you for your promptness in providing me with a detailed proposal for the merchandise that we asked for. We especially appreciate the time and effort you put into detailing each item and associated taxes. This hard work outlines in detail how you work and will be able to provide us with what we need in terms of products and correlating services.

Overall, we are happy with the proposal. However, there may be just one fundamental issue that may stop us from giving this contract to you. We have been provided with a budget within which we have to make sure that this procurement effort is maintained. Unfortunately, the proposal that you have provided exceeds our budget by 11%. If possible, we would like a revised (reduced) proposal so that we can go ahead with issuing a check to you.

We have worked with you several times in the past and have been satisfied by both the quality of your products and associated services, and would like to keep it this way. Flexibility in your offer now will of course result in future liaison between us.

We look forward to hearing from your soon.



Tara Pitts
Tel: (222) 222-2222
Email: tara @ email . com