© Jane Kelly | Dollar Photo Club

Since they’re the ones on the receiving end of manufacturers’ new product launch efforts, independent representatives are more aware than anyone that there’s a right way and a wrong way to get the job done.

Speaking to that subject, Bob Cangemi, Straight Up Consulting, Washington, New Jersey, maintains that the mistake too many manufacturers make when introducing new products is that they push a new product because they’ve made the decision ahead of time that customers need it. “What should be done,” he stresses, “is to have the company marketing department lead the sales department. If the decision is made to develop a product simply because someone in sales thinks that’s what the market needs, the manufacturers’ and the agents’ job is going to be that much more difficult. Conversely, if the marketing department has uncovered a need or a trend and then come up with a way to meet that need, chances have increased that their agents will have success in the field. It’s just a matter of manufacturers gathering information and doing their homework ahead of time.” Failure to complete that homework “is going to result in a lot more leg work for their reps.”

Relying on Marketing

Cangemi, whose company specializes in sales training and procedures designed specifically for manufacturers of commercial building products, maintains that when manufacturers move ahead with product introductions in the absence of the proper marketing information, it’s important for the agents to push back. “Independent agents are the ones out in the field and they’re the ones who know what the market needs. Their approach has to be one where they let their manufacturers know that it simply isn’t going to work. Sure, the manufacturer can say ‘Here’s this awesome new product that everyone will love,’ but if it’s at the wrong price point or there are installation problems, agents have to let their principals know.

“Or, how about the time when their products simply stop being sold? It could be that the market is simply tired of a product or customers are just switching over to something new. What happens then is that it can take the manufacturer years to develop a new product line. That’s a position no manufacturer wants to find itself in. Take a look at the cell phone business — I guarantee that cell phone companies have the next three generations of phones figured out. With input from their sales force, that’s exactly what manufacturers in other industries should be doing.”

The question remains: What should the agent do if the manufacturer continues to move ahead in the wrong way? “Education and communication are the two major approaches a rep ought to follow,” he maintains. “One of the many benefits of having and using a network of reps is taking advantage of the information they provide — often within the framework of a manufacturers’ rep council. It’s during rep council sessions that manufacturers learn not only what’s happening and what’s needed in the New York and Los Angeles markets, but in all points in-between.

Value in Field Visits

“In addition to using rep councils as an educational/informational tool, there’s the fact that sales managers don’t always set foot out of their offices. That’s why reps ought to get them out in the field to learn what’s truly going on. It’s those who don’t get out in the field who will be resistant to change. They maintain things are moving along as they should, so why make a change? In the absence of new information, it’s simply hard for them to relate.”

By way of example, Cangemi noted a recent experience where he had a vice president of engineering out in the field to learn what some of the deficiencies in products were. “Now that he’s seen how his products are being used, he’s much better at evaluating what’s needed. The bottom line here is that if you’re dealing with manufacturing personnel with 30-40 years in the business, it’s difficult for them to appreciate what’s going on the world outside of their offices. A trip out in the field provides them with a whole new perspective.”

Assuming the manufacturer completes the needed due diligence in terms of gaining marketing intelligence, what should both the manufacturer and the agent expect from each other moving forward with new product launches? According to Cangemi, “Taking the rep first, he should certainly expect the same level of support that competitive products receive from their manufacturers. In addition, products must be priced competitively, installation costs should be made clear and the manufacturer should provide the proper level of training.”

Expecting Success

As to what the manufacturer should expect, “That’s simple — success. If the manufacturer has done his homework, the rep should feel more confident going into a sales call. The manufacturer’s efforts should result in a homerun for the rep.”

When asked to summarize his thoughts regarding the responsibilities of both the manufacturer and its agents when it comes to new product launches, Cangemi emphasized how important it was for both sides to stay focused and operate off the same page. “I can recall years ago when a manufacturer I was consulting for asked for advice as to why its reps weren’t selling a new product. The product in question was paint and for years the reps had success selling an interior paint. When the manufacturer developed an exterior waterproofing product they simply added it to the reps’ responsibilities. But then when sales didn’t result, they asked why. My job was to let the manufacturer know that what they were dealing with were reps who had an expertise with an interior product. By introducing the new product, especially one that was different technically, they were expecting reps to sell something they didn’t have any level of expertise with. That’s why it’s so important to communicate with your reps and make sure everyone is reading off the same page. In this case, and certainly in others, the manufacturer should try to co-mingle different product. It will drastically affect the reps’ performance.”

MANA welcomes your comments on this article. Write to us at [email protected].