Large orders v small orders – what’s better?
As people, we are prone to falling into a convenience financial trap. 30% of us, according to YouGov, are likely to prioritise a monthly payment for a service rather than paying up front, for example.
It makes sense, to some extent. Whether it’s car insurance or streaming services, it’s less noticeable for your bank account to see a small fee go out than a large one, even if you end up paying more across a year.
However, this can translate into other buying habits, too. This is especially the case when it comes to ordering what we need as and when, instead of forward planning.
But is it better to forward plan and get a large order in? Or does it make more sense to get things as and when you need them?
In this article, we will look at both options and what their respective pros and cons are.
What are the pros of ordering as and when?
The main pro to ordering as and when is the convenience aspect. If you just know what you need, you can get that without really needing to think of much else, other than getting the project done.
This also requires minimal effort, as it’s just a case of sourcing exactly what you need rather than mapping out what else you could need for a future project.
However, while you end up getting what you require, that’s about as far as the pros go when it comes to ordering as and when.
So what are the cons then?
The cons of only ordering what you need, more often than not, means that you end up placing multiple orders, when just one would’ve done.
This has a financial cost as well, as the cost of multiple invoices is going to be more than just one invoice. One £500 order will be a cheaper order to process than 10 £50 orders, even though the initial outlay is more.
As such, while the initial outlay might not seem too bad, there is a notable knock-on effect if you’re making several small orders. Additionally, depending on where you are ordering from, you may have to pay a carrier charge if your order cost is under the minimum order threshold.
What about bulk buying? What are the pros for that?
With bulk buying, you can forward plan much easier, as you will have everything you need. You order it all once, then it’s done and you don’t have to worry about it.
It also saves you money as it’s only one order to process, while it also saves you time in a sense as it’s only one delivery to factor in your day as well.
In that sense, it’s arguably more convenient to bulk buy than it is to get things as and when, because once it’s done, it’s done.
Are there any cons, though?
One of the reasons why we order as and when is because we have little time. When you bulk buy, you need to allocate some time so you can work out exactly what you need to order.
Finding this time can be problematic for some, even if the results are ultimately very good, so this can be a concern.
Also, with a big bulk order, you may have to factor into account who is going to take the items and store them away. You may need to take employees away from their tasks for a few minutes to assist.
In addition, a lack of storage on site can be a problem for some.
Deciding what’s best for you
In our opinion, we believe that bulk buying is a better option out of the two. It sets you up for longer, is only one order to process and leaves you more organised.
It also wards off the possibility of delivery fees and while there may need to be a group effort to itemise everything, it’s worth it.
However, ultimately it depends on what is best for you and your business. Maybe you prefer ordering as and when because it’s more convenient for you, but that of course comes with costs in processing multiple orders.
But, if that works for you and continues to do so, then that can only be a good thing. It’s certainly worth factoring in the benefits of bulk buying, though.
If you would like to speak to a member of our staff about as and when ordering or bulk buying, you can get in touch with us here.