Compact Disks (CDs) Market Procurement Intelligence Report

Several macro changes in the dynamics of overall End User Software and Hardware as well as Compact Disks (CDs) procurement trends are poised to change the business practices and procurement thumb rules. The cut-throat competition in the category is compelling suppliers to go aggressive on their pricing structure and increase their spend on sales and marketing activities. As a result, most suppliers are feeling a pressure on their margins and trying to offer higher margin value added services to have a better control on their profitability.

New locations and vendors are emerging as cost effective suppliers of Compact Disks (CDs), offering an opportunity to widen the supplier base and gain further negotiation leverage with incumbent suppliers.

The supply market has undergone several structural changes including introduction of several new vendors every year, M&As and vertical integration efforts of suppliers. This has resulted in some issues such as erosion of previously established supplier relationships but has also opened new opportunities to onboard new suppliers that offer a solution with better fitment or a wider range of offerings in .

Category managers need to take note of the potential of these developments and reassess the changes required in their procurement practices.

Compact Disks (CDs) procurement best practices are moving towards a level of sophistication which is typically seen in traditional procurement categories. Category managers now have an attractive opportunity to adapt the best practices seen within this category as well as those being leveraged in other non-related categories. This report summarizes the best practices picked from across multiple categories that could work well for category managers involved with Compact Disks (CDs) procurement strategy.

For example, Investing in benchmarking studies not only helps category managers to improve their knowledge about market pricing or billing rates but also in negotiating with suppliers. In fact, this holds true for all technology procurement sub-categories.

It is important for category managers to track and measure the performance of suppliers against a defined set of KPIs that are agreed upon by both parties. Buyers should engage with providers that offer mobile applications and online dashboards to monitor essential performance parameters of the products and services procured.

Needs of buyers can vary depending on the industry where buyers operate. For instance, buyers from the financial services industry give high importance to regulatory compliance and data security, whereas buyers from the e-commerce industry prioritize high throughput, low response time, and high scalability. Hence, service providers with a strong knowledge of the security, compliance, and governance needs of buyers' industries and a proven track record of performance with respect to these aspects should be prioritized.

Compact Disks (CDs) procurement managers also need to proactively identify and mitigate potential risks that can arise in the supply chain or contracts for Compact Disks (CDs) procurement. Some examples include: