Reps vs. Factory Direct Sales Force — Which Way to Go?

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Today’s manufacturer has several different options to take their products to market. Whether it’s the Internet, a direct sales force, or network of independent manufacturers’ representatives the question remains the same: How can a manufacturer bring their products to market in the most efficient and cost-effective way? With studies showing that the average sales call costs more than $300, manufacturers can’t afford to make the wrong decision.

The independent manufacturers’ sales representative is a proven cost-effective alternative to a direct sales force. The Manufacturers’ Representative Educational Research Foundation (MRERF) in a recent article in Fortune magazine summed it up best with these Benefits of Outsourcing Field Sales using manufacturers’ sales representatives:

  • Predictable sales costs that go up and down with sales.
  • Standardized sales costs.
  • Lower sales costs.
  • Immediate market penetration.
  • More experienced sales force.
  • Multi-faceted, multi-skilled sales team.
  • Wider, deeper coverage.
  • Stronger local relationships.
  • Reduced sales force turnover.
  • Training required only on product.
  • Closer-to-the-customer forecasting.
  • Better market intelligence.
  • Increased sales.
  • Knowledgeable advice and information — hear it like it is!
  • Risk-free exploration of new market niches.
  • Problem-solving approach outperforms product selling.
  • Vested partner in manufacturer’s success.

The value that manufacturers’ representatives bring — both to those they sell to and those they sell for — emerges in great measure from the synergy created through the representation of multiple lines. The reps’ tenure in the territory and deep relationships with key customers allow manufacturers immediate face-to-face selling time of their products. Today’s independent manufacturers’ sales representative offers the most cost-effective and efficient method to market with the most professional sales and marketing services available.

Manufacturers, you can’t go wrong with reps!

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  • photo of Eric Johnson

Eric P. Johnson, MANA’s District 2 Director, founded Precision Component Sales, Inc. and has more than 20 years experience as a multi-line manufacturers’ rep. His company sells custom-engineered metal and plastic components to OEMs in the New York metro, New Jersey and eastern Pennsylvania territories. Johnson, a MANA member for over 13 years, was founder of the New York/New Jersey metro MANA networking chapter and has earned the CPMR designation.