How to apply a price increase when your competitors don’t

Your cost has already gone up and another distributor is still selling cheaper: 5 real tactics to win.

In horeca sales this happens often: the manufacturer has already increased prices, you are now buying at the new cost, but your competitors are still clearing old stock and can sell cheaper. The customer is very clear: “When you match the price, I’ll buy from you.”

• • If you try to match it, you destroy your margin.
  • If you stand still, you lose sales — or even customers, if the product is critical.

The solution is easy to understand and hard to execute: offer something the bar or restaurant owner values directly, here and now, even if the price per case is slightly higher.

These tactics work because they change the comparison: you stop competing only on “euros per case” and start competing on total value.

1. Deferred rebate

Instead of lowering the price on every invoice, you return part of the value later, in exchange for a specific customer behavior.

What usually works:

• • monthly or quarterly rebate if an agreed volume is reached in that product family
  • rebate if the increased-price reference is combined with other products the customer does not usually buy from you, and where you have no relevant price disadvantage versus competitors
  • credit balance for the next order (very effective to secure repeat business)

Why it works
The operator does not reject paying more if they feel that, at the end of the period, they come out ahead. Mentally, it is not perceived as an “expensive price” but as a “price that comes back.” You protect the updated price, avoid discount wars, and reward commitment. You also avoid a very common effect: losing several references because of just one.

2. Activations the operator can monetize

When you cannot win on price, win on sales. But it must be concrete — not vague promises of “support.”

Actions that are understood and actually used:

• • simple point-of-sale material linked to purchase (chalkboards, posters, bar displays)
  • a closed promotion proposal for the venue. For example, when beer is the reference that has increased in price, you can activate a weekend pack including beer, olives, and chips at a special weekend price, plus table material that encourages customers to order the promotion — so the operator not only sells the now more expensive beer, but also increases the average ticket through the accompaniment
  • short, practical staff training to drive one specific reference (30–45 minutes)

Why it works
Operators do not buy “service,” they buy results. If they see a product rotates better with you because you help them attract customers, they stop comparing only price. Price stops being a cost and becomes an investment. You are helping them sell more, not just supplying product.

3. Cross-selling with references your competitor cannot match

If you are agile, respond with a cross-offer using products your competitor does not have in their portfolio. The key is that they must be easy to sell and have enough margin to absorb part of the price gap.

How to apply it simply:

• • “If you take X cases of this reference, I improve conditions on these others you already consume”
  • “If we do this mixed order, the advantage is visible in the total”
  • “I’ll prepare a standard weekly order based on what rotates most in your venue”

Why it usually works
The customer compares the full order, not just the problematic reference. If the total makes sense, the focus shifts. Even if you earn less on one line, you do not lose the sale or the customer. You keep the relationship, rotation, and control of the full order.

4. Clear financing or flexible payment terms

Here we are talking about something the customer understands in ten seconds: cash flow. In horeca, many decisions are made based on liquidity, not theoretical price.

Useful examples:

• • extending payment terms for selected customers
  • splitting a large order into two due dates
  • allowing smaller replenishments for a few weeks to avoid tying up cash

Why it works
Operators value paying better far more than paying less. Less cash tension means less friction in buying. This competes directly with “it’s cheaper elsewhere” because it reduces the immediate financial strain, which is what hurts most day to day.

5. The parallel market as a price option

When your supplier only sells at the new price, but there is still old stock available in the market, the parallel market can be a temporary solution to avoid losing competitiveness.

Why it works
You gain time while the market aligns, prevent the customer from getting used to buying from another distributor, and maintain the commercial relationship. That said, it must be used carefully: as a temporary solution, ensuring traceability, and as a transition tool — not as a permanent model that could damage your relationship with the official supplier.

A useful note: when this can be anticipated, you can win earlier

This scenario is easier to manage when you see it coming. If you know a reference is about to increase and there will be weeks of misalignment, you can prepare agreements or purchasing plans before the customer compares prices when it is already too late.

In summary

When another distributor is still selling at old prices, you will not win by copying their game. You win by changing the comparison:

• • deferred rebates
  • activations that help sell in the venue
  • mixed orders with real rotation
  • financing

It is not about selling more expensively.
It is about selling with an advantage that today’s cheaper option is not offering.

The natural next step would be to turn this into a direct sales script for reps, sentence by sentence, to use at the bar without detours. But I’ll leave that in your hands.