Cost Saving Collaborations
Cost Saving Through Collective Purchasing
In items such as utility bills it has been shown that savings of over 50% can be made. Increasingly BIDs are using their collective power to generate cost savings for their members. Typically a toolkit of procurement packages is provided, which members can opt in and out of, and which reduce core business cost through bulk purchasing and independent brokerage.
Examples of joint procurement services include electricity, gas, couriers, pest control, printers, etc. By joining the procurement power of businesses through a BID it is possible to reduce costs whilst improving service levels and sustainability.
Some BIDs have secured additional funding from European funding streams, to develop a free, or heavily discounted, recycling service for all business members. This is designed to provide a more environmentally friendly service (one geographically based collection service will reduce carbon emissions associated with transport) increase the numbers of business recycling and reduce costs to participating members.