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Agenda Packet_2022-12-06
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Agenda Packet_2022-12-06
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12/6/2022
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DocuSign Envelope ID: FA12C758-3EF4-45F3-BODF-724674D71270 <br />54 Describe your pricing model (e.g., line -item discounts or product - <br />materials (if applicable) in the document upload section of your r <br />To ensure Sourcewell Members can easily procure technology products and <br />services at competitive discounts, CDWG offers pricing in the same <br />simplified model that Sourcewell members are familiar with on the current <br />contract: Percentage discount off CDWG Nationally Advertised Price <br />(Advertised) for technology products and services categories, available at <br />www.cdwg.com We believe the best solutions are simple to price, simple to <br />sell, and simple to implement. Though Sourcewell members will be able to <br />choose from over 100,000-strong technology product catalog, CDWG makes <br />understanding the discount and pricing Members will receive simplified by <br />organizing our diverse catalog into 25 commonly recognized item categories: <br />Accessories, Power, Cooling & Racks, Desktop Computers, Data <br />Storage/Drives, Enterprise Storage, Point of Sale/Data Capture, Servers & <br />Server Management, Notebook/Mobile Devices, NetComm Products, Carts <br />and Furniture, Printing & Document Scanning, Services (Partner Delivered), <br />Software, Collaboration Hardware, Video & Audio, Cables, Warranties - <br />Product Protection, Video Hardware, Interactive Whiteboards, Interactive Flat <br />Panel Display, Chromebooks, Google Chrome Management SaaS, Apple <br />products, and Amazon Web Services. Special pricing and extra discounts we <br />have secured through our close OEM partnerships are reflected in the <br />percentage discounts calculated off Advertised. CDWG publishes, maintains, <br />and provides access to Advertised at www.cdwg.com as we do for other <br />large-scale contracts and all of the open market business we transact. While <br />we've seen some public sector customers prefer to use a discount off <br />MSRP (Manufacturer's Suggested Retail Pricelists), the unique cost -savings <br />Sourcewell members have come to expect from the current contract cannot <br />be realized on the next contract with that type of structure. Using Advertised <br />allows members to realize greater cost -savings due to a better dynamic <br />price baseline driven by current market conditions and pricing trends. In <br />general, there is a downward trend in IT hardware and software cost over <br />time, and CDW•G's Advertised is benchmarked against current market <br />demand as well as live pricing on our competitor's websites; it is then <br />adjusted to remain competitive in the marketplace. One of the benefits of <br />using CDW•G's Advertised is that it is available 24/7, and Sourcewell <br />members can feel confident that pricing is both up-to-date and competitive, <br />rather than a static number that does not accurately reflect the true market. <br />A well -recognized example of volatility is when a new iPhone releases for <br />$699 and the one bought just yesterday suddenly drops in value from $399 <br />to $99. A number of unique factors contribute to CDW•G's ability in <br />setting a competitive price point: <br />Volume CDWG processes one order transaction nearly every three <br />seconds. This volume makes us the largest multi -brand IT provider, giving <br />members the broadest look at market trends — especially pricing. We know <br />quickly when our pricing needs to be adjusted to remain competitive, and <br />CDW•G's staff of pricing specialists and Product Management teams adjust <br />accordingly. <br />Sales Data Our sales systems show ordering trends by product, indicating slc <br />evaluate our prices. <br />Supplier Relationship CDW•G's strong supplier relationships provide <br />aggressive pricing and forward -looking analysis. Our relationships with <br />multiple providers give us a real-time look at 'alternate path' pricing. <br />CDW•G's Advertised tracks and adjusts the prices on a large set of <br />products on a weekly basis. <br />Competitive Price Analysis Sourcewell can trust that contract pricing is <br />competitive with other large- scale contracts. As stated above, by tying <br />your discounts to the CDW•G's Advertised reference point, we ensure real- <br />time competitive pricing for purchases over the life of the agreement. All <br />of the products we expect Sourcwell to consider as part of this offer can <br />be found at www.cdwg.com/sourcewell. <br />Additionally, we have provided sales for Sourcwell members in Canada <br />through our CDW Canada affiliate. The discounts are off CDW Canada <br />Advertised price and are quoted in local currency (CAD). Categories of <br />Canadian catalog are similar though not identical. Please refer to our <br />Canadian pricing offer in the required Pricing document uploads for more <br />information. <br />55 Quantify the pricing discount represented by the pricing proposal (CDWG: 0% to 13% Discount off Advertised Price CDW Canada: 0% to <br />in this response. For example, if the pricing in your response 7.75% Discount off Advertised Price <br />percentagCjtyp rn t i�nge. 7 — 47 12/6/2022 <br />
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