GSA INITIATES COMPETITIVE PRICING INITATIVE

Do your prices for the same or similar items differ from your Schedule competitors?  Now is the time to tell GSA why.  As most Schedule contractors know, GSA has been obsessed with price differentiation among the same or similar items on the Schedules program for the past two years.  Why they didn’t ask contractors to explain before now is puzzling, but now that the agency is asking, through its “Competitive Pricing Initiative” it’s up to contractors to provide the necessary information.  Like anything else where there is less than complete information, people tend to jump to their own conclusions about pricing disparities.  For most government people, the default is assuming that contractors are out to rip off the government.  Most companies, though, have more compelling explanations, whether it’s differing loss leaders, products that have been ruggedized, free replacement or something else.  Whatever the case is though, now is the time to make it.  Shame on industry if it doesn’t tell its side of the story.  Heads up to GSA:  If industry does provide the information you seek, you can’t just ignore it.  Many times there are valid reasons for disparate pricing.  Trust your customers to be smart consumers.