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NZ Manufacturing Sales Strategy

Winning Manufacturing Deals Without Discounting: The Role of B2B Buy Now, Pay Later

Manufacturing sales in New Zealand are highly competitive. Buyers weigh quality, lead times, and price. But price isn't always the real problem — cashflow is.

The Real Constraint in Manufacturing Sales

Whether you're supplying office furniture, product packaging, plastics, or apparel, many sales conversations eventually arrive at the same pressure point: price.

In many industries, discounting has become the default lever. Bulk discounts are expected. Margins get squeezed. And even then, deals can stall or shrink because buyers hesitate to commit to large upfront payments.

But price isn't always the real problem.

The reality: Most buyers don't reduce order size because demand isn't there. They reduce it to protect cashflow.

Cashflow Creates the Bottleneck

Even when a larger order would reduce unit costs or improve efficiency, paying a large invoice upfront creates risk. Buyers often choose a smaller run or split the order into stages simply to manage short-term cash.

This leads to:

  • Lower minimum order quantities
  • Split or staggered production runs
  • Longer sales cycles
  • Lost opportunities at the quote stage

Discounting can help, but it doesn't address the underlying issue. It treats the symptom, not the cause.

Why Discounting Isn't a Sustainable Strategy

Reducing price might win a deal today, but it comes at a cost.

Margins erode. Pricing expectations reset. And once discounts become standard, it's hard to pull them back without resistance.

Over time, this creates pressure on profitability and limits your ability to reinvest in production, staff, or growth.

There's a more effective lever available — one that doesn't require changing your product or pricing model.

Instalments Change How Buyers Decide

When buyers can spread the cost of an order over time, the decision framework shifts.

Instead of asking, "Can we afford this whole invoice right now?"

They ask, "Can we manage this monthly?"

That shift removes hesitation. Buyers are no longer constrained by a single large payment, which allows them to order what they actually need rather than what fits within a short-term cash limit.

The result is:

  • Higher conversion rates
  • Larger order sizes
  • Increased minimum order quantities
  • Fewer split orders

Discounting vs Payment Flexibility

Category Discounting Strategy B2B BNPL (Instalments)
Impact on margins Margins erode over time Margins protected
Order size Still limited by cashflow concerns Increased to actual need
Buyer decision "Is this the best price?" "Can we manage this monthly?"
Supplier payment Still delayed (if offering terms) Upfront & in full
Long-term sustainability Hard to reverse, erodes profitability Sustainable, scalable
Competitive differentiation Race to the bottom on price Compete on flexibility & value
Customer satisfaction Temporary (price-focused) Long-term (cashflow-focused)

How B2B Buy Now, Pay Later Works for NZ Manufacturers

B2B Buy Now, Pay Later (BNPL) separates payment flexibility from supplier cashflow.

With PaidTerms, manufacturers can offer instalment options across 3, 6, 9+ months, while still getting paid upfront and in full for approved invoices.

The repayment process and credit risk sit with us, not with you.

The key difference: From the buyer's perspective, it feels like flexible terms. From the supplier's perspective, it feels like a cash sale.

There's no need to extend additional trade credit, increase debtor exposure, or take on more administrative burden.

Standing Out Without Competing on Price

One of the biggest concerns manufacturers have is risk. Traditionally, offering more flexible terms meant carrying more exposure.

PaidTerms removes that concern.

You get paid upfront for approved invoices. We manage repayments and credit risk. Your cashflow remains predictable, while your customers benefit from modern payment flexibility.

This allows you to grow sales without growing risk.

Payment Terms as a Sales Tool

In New Zealand manufacturing, price competition isn't going away. But discounting doesn't have to be the default response.

B2B Buy Now, Pay Later gives manufacturers a practical way to:

  • Increase conversions
  • Lift order size
  • Improve customer satisfaction
  • Protect cashflow and margins

By removing payment as a constraint, conversations shift away from affordability and toward value, outcomes, and long-term partnership.

The opportunity: For manufacturers looking to modernise how they sell, payment terms are becoming one of the most effective tools available.

Win more deals without discounting

PaidTerms helps New Zealand manufacturers compete on payment flexibility instead of price. Protect your margins, increase order sizes, and get paid upfront — all while giving buyers the cashflow flexibility they need.