Developers and Supply Discounts

[Roy G Biv]

Hello all,

I'm curious as to how much discount off retail a developer/construction company would get when ordering (in this case, tiles) from a supplier?

 

[cabbagetowner]

depends on the buyer and the supplier. i know when i purchased tile from olympia under a contractors account the discount was substantial (30ish %) can't remember the exact number but it was enough of a difference that i bought nicer tile and tiled more areas.

 

[cdr108]

considering that cabbagetowner indicated he received 30% discount just for a contractor account, i wouldn't be surprised if developers/construction companies get them for 50% off retail due to volume and potential future business.

 

[Mike in TO]

It totally depends on the volume. A developer building multiple condos with volumes in the 1,000 units per year range is going to get a very different deal than a contractor that does a few renovations here and there. Deals are negotiated primarily on volume, past, present & future relationship, delivery timelines and if installation is included/excluded in the contract.

 

[Roy G Biv]

This would be low volume (ie. one unit)....

 

[BobBob]

So you're looking for a volume discount on a volume of one?

 

[Roy G Biv]

So you're looking for a volume discount on a volume of one?

Well, is a developer discount simply a volume discount? I assumed they were entitled to lower prices for other reasons as well...

I've heard that contractors get 30% off most supplies. I'm assuming that developers would get the same, and more if the volume was large.