When he was asked what he liked best about his top-performing reps, one manufacturer pointed to an axiom he had recently become re-acquainted with thanks to a book that had come across his desk.
According to the manufacturer, in the book How to be a Sales Superstar, by Mark Tewart, the author emphasized how important it was to “Dance with the one who brought you.” He pointed out that the author said “Most salespeople and businesses totally ignore this notion. They make a sale and then move on as quickly as possible.
“Our good reps don’t do that. Instead they follow the author’s advice that ‘Although you should keep progressing after a sale, you must never forget about or neglect your existing customers. Here is a simple reality that, when acted upon, can make you rich: Your business should be largely based upon the customers that you already have. The really “big money” isn’t out there among people you’ve never met. It’s in your list of sold customers.’”
This manufacturer emphasized that if there’s any single trait he truly values in a rep, it’s the ability to keep the customers he already has, working with them to have them buy more all the time, and finally to have those existing customers lead them to new customers.
Motivating Reps
Over the years, we’ve heard several approaches that manufacturers use when it comes to motivating their rep sales force. Those approaches obviously include timely and accurate compensation for reps coupled with honest and complete communication.
Earlier this year at an industry roundtable session one manufacturer acknowledged the value of those approaches, but he added a couple more that don’t take much time or effort — but have proved to be especially effective:
• Regularly send thank-you notes and e-mails. “These let the rep know how much you value their contributions and that you’re aware of everything he’s doing for you.”
• When a rep has gone above and beyond the normal effort (e.g., quickly and efficiently solving a customer’s problem) send off a “gotcha” note that lets him know you’re aware he accomplished something extraordinary.
• Have the company owner or president phone reps regularly to let them know how much their accomplishments are appreciated.
And, There’s More
The previous item serves as a timely reminder of a number of other steps that manufacturers can take in their efforts to support their reps. Some of those steps which have appeared in countless articles in this publication include providing:
• Assistance when it comes to handling order questions, problems and requests for quotations.
• A plentiful supply of up-to-date literature, product samples and product demonstration tools.
• A sales manual that can serve as a collection of the complete menu of sales tools that the manufacturer has available for his sales force.
• A full and steady stream of qualified sales leads and customer histories for the territory.
• Up-to-date, accurate and understandable price lists.
• Accurate delivery information.
An Apt Description
It’s rare that the terms “outsourced sales force” or “independent manufacturers’ rep” appear in the seemingly hundreds of sales books that have been sent to Agency Sales over the years. That’s still the case; however, how does the following sound as a perfect description for what a manufacturer should be seeking in its rep network?
“Strategic solution sales profession: Sales professionals who are customer-centric and help the buyer understand the solution’s impact and value on its business. They impact politics within the client organization and have vast and deep industry knowledge. They are able to collaborate on the business case, not just return on investment (ROI) but the political and personal impact of not fixing the problem. They have polished communication skills, can read situations quickly and act accordingly, and understand and know how to execute strategies. Strategic solution professionals can adjust to any level (business or product), and they are always honing their skills and looking for ways to improve and get even better.”
The manufacturer who pointed us to this description was quick to give credit for its source: Selling for the Long Run, by Wendy Foegen Reed, founder and CEO of InfoMentis, Inc.
Is Your Line Profitable?
We’re continually surprised by the number of manufacturers who don’t realize that many of their reps (especially those who carry the CPMR designation following their names) are constantly evaluating and studying whether certain lines are financially beneficial for their organizations.
For instance, in a conversation with one rep the phrase “less is more” appeared several times. In using that term the rep was referring to his efforts to calculate how much time, effort and money he spends in servicing a given line. He calculates how many tasks he performs for the manufacturing in a month, multiplies that by 12 and makes a determination as to whether representing that line is profitable.
When this is mentioned to manufacturers, many express astonishment. Typical is what we heard from one manufacturer who said: “I know I’m a perfect fit for my reps. I complement their other lines and even though I’m not very big or sit high on their line cards, they’re all glad to have me.” It’s because of that mindset that he was disappointed recently when two of his reps resigned the line because they had determined their return on investment wasn’t what it needed to be. The bottom line is that these reps felt they’d be better off representing fewer lines. That’s why manufacturers should do all they can to ensure they’re the rep’s emotional favorite and continue to be worth the financial effort to work with them.
Appreciation for the Extra Mile
That’s what one manufacturer voiced when he related steps that a couple of his reps had taken to improve their performance in the territory.
Speaking about the first rep, the manufacturer explained the rep “voiced a dissatisfaction with the fact he had been selling the same way for years. Having said that, however, I’ve got to admit that he was one of my better reps, but he knew he could improve his performance. To do so, he went out of his way to locate seminars/webinars/training sessions that he felt would bring him up to date. High on this list of concerns was the fact that ours is somewhat of a commodity product, and he was falling into the trap of being a victim of the “lower price wins” scenario. To combat that, he searched out methods that would help him improve his relationship building and become the customers’ solution provider. He’s been on this track of improvement for about 18 moths now, and the results are shown in the field.”
Staying on the subject of sales training, he cited the example of a second rep who engaged the services of a professional sales trainer for him and his entire outside sales staff. That’s not all — he persuaded a few of his larger distributors to send their outside salespeople along. According to the manufacturer, “Efforts such as this show how much the rep values continued sales training, and I’ve got to admire someone who espouses that philosophy. This is type of commitment this rep has shown for years and others would be well-served to follow his example.”
Consultant Aids Principal’s Training Efforts
The previous item noted the benefits achieved by a rep who engaged the services of a professional sales trainer for his and his distributors’ salespeople. Another manufacturer offered his experience when he contracted with a consultant to work with his reps. According to the manufacturer, “Before speaking with this consultant, my view was that my job was complete after I provided my reps with the traditional sales/product training. He proved me wrong when he said: ‘Your job, your commitment to your reps, is never done. After your initial training, your job is to provide your reps with additional material. Following that you should periodically furnish them with updates and ensure that all your training efforts are ongoing. This isn’t something that you do successfully as a one-shot deal; rather it’s a process that never ends.’
“I’ve followed his advice over the years and become very comfortable with that approach. Plus, it works for both me and my reps.”
Partnering on Bad News
If there’s a problem on the production line or a delay in delivery, who’s supposed to deliver the message: rep or manufacturer? One manufacturer notes, “One of the major reasons we have reps out in the field near the customer is so they can be the ones to deliver the bad and good news in person. At the same time, however, it’s in neither of our best interests to have the rep always wearing the black hat. That’s why we make every effort to have ourselves take the blame for whatever the problem might be. That way, the rep is seen as the problem-solver and the communicator. He can continue to maintain and strengthen his relationships and we all benefit.”