Buyers vs. Consumers: Who Determines the “Quality of Cheapness”?

🛒 Another Player Lurking in “Cheap and Good”: The Existence of the Buyer

In the previous two installments, we looked at the exploitation and environmental burdens behind cheapness, as well as the signs of hope brought about by technological innovation. This time, let’s take it a step further and dig deeper from the perspective of:

Who is sending “cheap and good products” into the market?

The key player holding the answer is—the buyer (corporate purchasing manager).

💼 The Power of Buyers is Stronger Than You Imagine

In many major retail chains, buyers lead price negotiations with suppliers. Their role is to pursue “how to purchase as cheaply as possible” while confirming product quality. As a result:

Intensified price competition
Pressure for shorter delivery times
A tendency to prioritize cost over quality

For example, according to a European survey:

About 62% of retail buyers responded that “price is the highest priority evaluation criterion” (European Commission, 2021).

In other words, in the arena of price negotiations, ethics and environmental considerations tend to be put on the back burner.

🧱 Where Does That Pressure Go?

Every time demands for “cheaper” and “faster” are thrust upon them, suppliers must cut costs somewhere. As a result:

Extended working hours and low wages
Relaxation of safety standards
Reduction of environmental protection costs

In essence, the stronger the negotiating power of the buyer, the more the burden is shifted to the end of the supply chain. This is particularly serious in global supply chains, acting as a system where the “invisible burdens” that support cheapness pile up.

🌿 Signs of Change: The Option of Ethical Consumption

However, positive changes can also be seen in recent consumer behavior. That is the spread of ethical consumption. 📊 For example:

In a survey by the Japanese Consumers’ Co-operative Union (2022), about 52% of consumers answered, “I want to choose products that consider the environment and society.”
In Europe, sales of Fairtrade products have grown by about 2.5 times over 10 years (Fairtrade International, 2021).

In this way, the demographic that values “how it was made” rather than just the price is steadily increasing. Related Article: Japanese Consumers’ Co-operative Union “Ethical by COOP” Related Article: Fairtrade International “2023 Annual Report~Driving the fairness agenda”

🧭 Buyers Are Also Starting to Change

Actually, these changes in consumers are also influencing the attitudes of buyers.

Companies emphasizing the introduction of environmentally friendly products.
Movements to preferentially purchase certified products (FSC, Fairtrade, B Corp, etc.).
Attempts to build transparent supply chains.

For instance, the major supermarket AEON:

Announced a policy to switch all of its private brand products to sustainable materials by 2030.

This can be seen as proof that consumer support is changing corporate purchasing standards.

📝 Summary: It’s Not Just “Price” That Moves the Market

Buyers’ negotiating power holds the key to “cheapness.”
The reality is that this pressure burdens suppliers and workers.
However, the expansion of ethical consumption is changing corporate policies.
The meaning of a “cheap and good product” changes depending on “who chooses it.”

📣 Preview for Next Time: Does “Buying” Become “Voting”? — The Power of Consumers and Its Potential

In the next [Marketing Seed 126], we will finally delve into the impact that “each of our choices” has on the market.

Why does shopping become “social participation”?
What perspectives are needed to choose value over price?
What is the new consumer behavior that supports “cheap and good products”?

Please look forward to it 😉✨

From the Marketing Seed Series: How about this article? →Seeds of Marketing 30: Briefing for Agencies (1) – Challenges Stemming from Insufficient Information Sharing