Established in 2017, TTPG was designed to help the small contractors (e.g. self-employed builders) and the keen DIYers purchase their building and home improvement materials at exclusively discounted prices.
The creation of TTPG was inspired by listening to an overwhelming number of complaints, such as:
…and now with TTPG, these issues are being dealt with.
The underlying philosophy behind this Discount Scheme is much the same as many other discount schemes, i.e. bring together a large number of buyers and use their combined spending power to leverage better discounts.
TTPG will manage this Scheme, and represent all its members, not only in negotiating better discounts but also to ensure a better overall customer experience.
There are many types of Purchasing Groups, and we thought it useful to include a very brief description about what they are and how they have evolved.
"What all of these membership based organisations share is a common heritage and ethos – to serve their members and work in the wider interests of society".
Some Purchasing Groups act as conduits to administer and negotiate preferential discounts between supplier and consumer. Under this type of scheme, consumers purchase their goods in the normal way, but as members of the Purchasing Group, they will receive their goods at the exclusive and preferentially discounted prices - TTPG is an example of such a Purchasing Group.
Other types of Purchasing Groups act by purchasing the goods on behalf of the consumer and then selling it on (e.g. Co-op, Suma and Mutuals). Mutuals have been around in the UK for more than 200 years. They were established in response to the failure of the market to provide value for money for the goods people needed. Mutuals take many forms and operate in a wide range of business and social environments. Most people recognise mutuals through one or more of the long established building societies, co-operatives, friendly societies and mutual insurers, but the sector encompasses many more types of organisations – from housing associations, clubs and employee owned businesses to specialist bodies such as credit unions, football supporter trusts and community mutuals. In recent years, many new mutuals have sprung from the public sector – new independent organisations providing public services such as NHS Foundation Trusts, Leisure Trusts, Co-operative schools and Community mutual housing schemes.
Historically, the largest group of consumers represented by Purchasing Groups (aka Group Purchasing Organisations – GPOs, or Purchasing Consortia) have been in the public sector, where educational, healthcare, local government and other governmental establishments benefit from the existence of literally hundreds of GPOs. The private sector has always lagged behind. TTPG wishes to fill this ‘void’, focussing particularly in the building sector. It should be mentioned that Builders merchants have also benefitted from Purchasing Groups. Many have grouped together and are able to purchase their goods at vastly discounted prices – with TTPG’s help, it is about time their consumers also benefitted.
Farmers have had co-operatives for many decades with the goal of combining their individual needs to gain purchasing power (as well as marketing power). Many of these organisations have been formed to enable them to survive against the powerful purchasing and marketing power of large food chains and general merchandise stores.
In 1761, sixteen weavers in the village of Fenwick (Ayrshire) together set up “The Society of Weavers in Finnick” or “The Fenwick Weavers” as they are known today. This is arguably the first Purchasing Group of the Industrial Age, and is still going strong today.
Tuángò, which translates as “team buying” or “group buying” (aka “store mobbing”), is a recently developed shopping strategy originating from the Peoples Republic of China. Several people – sometimes friends, but possibly strangers connected over the internet – agreed to approach a merchant of a specific product in order to collectively bargain (haggle) with the proprietor in order to negotiate better discounts. The entire group agreed to purchase the same item. The shoppers benefitted by paying less, and the merchant benefitted by selling multiple items at once.
The power of Group Purchasing cannot be overestimated.