When it comes to India, the label of the Indian people comes to mind. Especially for foreign traders, when it comes to the Indian market and Indian customers, most people will cover their faces and sigh and sneer
At the same time, the Indian market can be seen as the last piece of cake with infinite potential within global countries, most intuitively reflected in India's large population and strong bank funds, which are the main indicators of large market capacity.
Therefore, it is recommended that everyone should continue to pay attention to and embrace the Indian market. Of course, the Indian market is still synonymous with the low-end market, and Indian bargaining is well-known globally. Therefore, the amount of resources and strength invested in the Indian market should be specific to each person and company's product market positioning. But do not habitually label Indian customers, do not "talk about printing color change", "refuse to print thousands of miles away" Our theme today is to talk about India!
How much do you know about Indians and Indian customers?
1. India is one of the countries most deeply influenced by religion in the world, with its influence deeply reaching every part of its society and culture. Religion plays a central and decisive role in the lives of this country and the vast majority of its people, with the most important religion being Hinduism, which is believed by about 83% of Indians, followed by Islam, and about 11% of Indians. So if communicating with Indian clients, it's best to know some of their religious etiquette.
2. There are many Vegetarianism in India, who prefer black tea and milk. The higher the social status of Indians, the more they avoid meat. At the same time, Hindus do not eat beef, and Muslims do not eat pork. In daily life, Indians avoid eating snake meat, bamboo shoots, mushrooms and agaric, and many Indians even do not eat eggs. They like to add spices such as Curry powder to their diet, and never use soy sauce and sauce seasonings. So if there are Indian customers who want to entertain, try to choose suitable restaurants to avoid customs taboos.
3. The first time I have a face-to-face conversation with an Indian, the most easily misunderstood thing is their shaking of their heads. They always tilt their heads slightly to the left and then immediately restore their original state. This action is easily understood as' disagree 'or' unwilling ', but in fact, it indicates agreement. The other three numbers, 1, 3, and 7, are all considered unlucky by them. At the same time, in our dealings with Indians, we should not actively engage in topics such as religion, ethnic conflicts, India Pakistan conflict, nuclear weapons, and gender relations, and try to avoid them as much as possible.
4. English is the official business language of India, but the pronunciation of most Indians is very non-standard. Therefore, in the process of developing and following up with Indian clients, important communication and negotiation details should be avoided as much as possible, and the use of written language is better.
5. When making product quotations for Indian customers, it is important to leave a considerable margin for oneself. Indian bargaining is well-known globally, and price factors play a significant role in their purchasing and consumption processes. Moreover, there is no formula for Indian bargaining, and price is their bargaining center. So when dealing with Indian clients, don't be happy when they offer very tempting terms. This may indicate that they are going to negotiate prices and payment methods, and the prices will continue to be cut again and again. In addition, Indian customers also have a very bad habit of showing the "East" family's quotation to the "West" family, and then showing the "West" family's quotation to the "East" family, in order to lower prices and compare prices.
6. The suspicion of Indian clients is very high, and it takes a long time to establish a mutual trust relationship with them. Even old clients who have worked with them multiple times can find it difficult to establish a close and honest relationship, especially when there is a conflict of interest, they will layer upon layer and be suspicious until the problem is completely resolved.
7. Indians have a natural sense of cultural Superiority complex, so learning to praise and compliment is a good way to establish relations and communicate with Indians.
8. Finally, it is important to remember that Indians are generally dishonest, and Indian customers are also known for not being trustworthy in business cooperation. If you want to give Indian customers a credit period, the risk coefficient is very high, so you must be careful, prevent it in advance, think of a foolproof solution and strategy, and then make decisions and operations.
Case Analysis of Inquiries from Indian Customers
Inquiry source: India
Product Industry: Electronic Components
Buyer's return:
Hi Alisa,
Your quotation is too high, kindly I want to ask you to get me a discount for it, because I receive an similar products from other company similar products at 30% lesser than present price, I really want to buy products from you, please recheck and give me the best price, wait your reply.
Regards,
Basit Abdul
Supplier return:
Dear Basit Abdul,
Thanks for your prompt reply.
As you know those Items key part is chip, all our product Toshiba original chip, this chip cost is 10% higher than other brand, all of them are 100% new& original, and we will give you 2 years warranty.
As this is our first order, and we want to do long business with you, I reply a VIP price for you, the lowest price depending on quantity as follows:(省略)
If you need low price product, also we can do, but we need change FSC chip, each Item $0.5 lower, but only 1year warranty.
Please inform us the quantity and quality you need, I will prepare PI for you.
Best Regards,
Alisa
Buyer returns:
Hi Alisa,
I decide buy from you, the chip we need Samsung, each item we buy 2000pcs , but the price should be as follows:
Item EL435 $10.19
Item EL456 $12.53
Item EL528 $13.31
Item EL367 $11.59
Please check, if you can confirm, we will arrange 20% t/t advance today, please prepare sample and we want to test the quality first.
Regards
Brief analysis:
Buyers want to use their competitors' prices to suppress their prices and probe my reaction. At this point, we need to always be aware that bargaining with Indian customers does not have a cost concept, and even if you give them a cost price, they will say it is high. In addition, based on my understanding of this market and product, my price is still relatively advantageous among peers, unless some core components are changed.
So I decided to offer two solutions to the customer: the first solution is to keep the original product unchanged and the price unchanged. Tell the customer why it is so expensive, analyze the cost composition briefly, explain it with facts, and offer certain discounts, but on the premise of increasing the order quantity. The second plan is to make some changes to the product, reduce costs, and let the buyer do Multiple choice questions.
Negotiation characteristics of Indian clients
1. Lai
What I said to you today, as long as the wind changes tomorrow, it will follow and never leave you with any affection. Even if the contract is signed and signed, he can still find some trouble from some clauses, even requesting additional clauses. Previously, a foreign trader discussed an order for 300 tons of chemical products with an Indian customer, and there were over a hundred emails back and forth discussing the market, specifications, prices, and terms. As a result, the formal invoice was sent over, the shipping schedule changed, the port changed, and CIF became CFR So in communication and negotiation with Indian clients, it is important to never hand over the initiative to the other party.
2. Drag
Dragging is the most skilled technique for Indian clients, which can fully dissipate their will and thoroughly explore their bottom cards. For the information you need to know urgently, they don't eat either hard or soft, and sometimes they won't even give you a simple Y/N result. If you are really in a hurry, it's their way. For Indian clients, we need to learn to scare them and sometimes even create stories to make them feel that if we delay, it will be their interests that will be lost, not ours.
3. Grinding
In order to achieve the goal, Indian clients sometimes have all the necessary means, and the purpose of grinding is to make you feel restless and lose the usual patience. Therefore, when dealing with this move, it is necessary to have firm patience and know how to preempt, and a "stone heart" is also an essential basic quality that cannot be lacking.
As the saying goes, "Only by knowing ourselves and the enemy can we be invincible in a hundred battles." The more we understand customers, products, and markets, the more adept we can be in developing customers and negotiating with them.
This is true for both Indian and foreign clients, so we must strive to improve our knowledge and abilities in all aspects!
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