Who is the Economic Buyer in an organization?

The Economic Buyer in an organization is the individual who holds the authority to approve financial expenditures, especially in the context of purchasing decisions. This role is critical because the Economic Buyer typically has the final say on whether a budget will be allocated or a deal will be closed.

This person evaluates the financial implications of purchases and ensures that the expenditure aligns with the organization's strategic objectives. Their responsibility is crucial during negotiations and decision-making processes, as they assess the value of products or services in relation to the company's financial goals.

While other roles, such as a project manager or finance team members, may contribute to the purchasing process, they do not necessarily possess the authority to grant final approval on financial matters. Similarly, while a CEO might often be an Economic Buyer in smaller organizations or for significant expenditures, it's not universally the case across all organizations, as larger companies often designate this role to a specific individual or position focused on financial decisions.