In the previous article the subject of how the independent manufacturers’ representative business model has evolved over the years is discussed. That timely subject reared its head when Hank Bergson was asked to preview the subject matter of next month’s MANA manufacturer seminar.
Details for the MANA seminar may be found on the MANA website (www.MANAonline.org). The seminar is scheduled for October 5 and 6 at the Holiday Inn & Suites, Chicago O’Hare.
According to Bergson, president, Henry Bergson Associates, LLC, “If at one time the manufacturer outsourcing his sales effort to reps had the expectation that the relationship was defined by reps sending in orders and the manufacturer sending money back to the rep, that’s hardly the case anymore. We’ve found that today’s manufacturer expects a level of professionalism among their reps that is equal to if not better than that of their direct sales force.
He adds, “From what we hear at the seminar, manufacturers expect to not just save money by using reps; they expect higher performance in the field than they’ve experienced previously.”
Bergson, who conducts the seminar with Kris Hefley, associate professor, Johnson & Wales University, explains that over the years of meeting face-to-face with manufacturers, those who attend the seminar generally fit into one of three categories:
- “Manufacturers that are currently working with reps but desire to interrelate with them at a higher level in order to improve performance.
- “Those who are a bit frustrated about their relations with reps and are interested in going over the entire process of working with reps with the goal of making some changes in their existing network.
- “And finally, those who might be new to a manufacturing company and have never worked with reps previously.”
Meeting Manufacturers’ Needs
To address the needs of those three constituencies, Bergson explains that “We generally begin the day-and-a-half seminar by asking attendees to specifically list their expectations. We write down what they’re looking for and make sure that we address the areas they’re interested in.” He adds that to ensure those areas are examined, “We leave time for a question and answer session at the end of the seminar to examine their expectations and make sure we’ve met them. We want to make sure that we touch on all the facets of interrelationship with reps in order to make them a positive force in a manufacturer’s sales and marketing efforts.”
He stresses that the seminar is put together to cover everything that manufacturers need to know about working with reps. Who are they? What makes them tick? How can you become their emotional favorite? What are some of the legal implications of working with reps? How are territories established and how do they work? What about house accounts, or the lack thereof?”
Manufacturer Hot Buttons
There are certain subject areas that continue to be hot buttons for manufacturers, according to Bergson. Among the subjects that attendees expect to be covered time and again are these:
- Where to find reps.
- Tips on hiring and terminating reps.
- Effective steps to motivate reps.
- What are the legal obligations of the manufacturer and the rep?
- Advice on effective communication.
- Training and education — “It’s important that a manufacturer sign on with a rep firm that exhibits a commitment to the education and training of its personnel. The professional rep firm is the one that is consistently involved in education and training at a variety of levels. Is the rep firm a member of MANA and does it make use of the products and services the association provides? Does the agency involve itself in the CPMR program? Does it promote skill training among its people? In addition to skill training, is there an understanding of the relationships of the products that the agency represents? Do all the personnel have it down cold as to what each products does? What are the benefits, attributes, applications of each product? And finally, does the agency engage in market expansion training? Are they managing their personnel so that they not only serve existing customers, but also address new markets and opportunities for the manufacturers that they represent?
“Bottom line, is this the go-to agency for the products that they represent?”
The issue of reps reporting to the manufacturer always comes up according to Bergson. “And it’s a subject we cover in-depth.”
“When someone raises the subject of the rep reporting from the field, a lot of the time the word ‘reporting’ is really code for a whole bunch of other things. When you drill down on the subject, what are you talking about? Daily? Weekly? Monthly? Is the reporting absolutely required?
“We talk a lot about the rep’s obligation to the manufacturer to keep him informed about what’s happening in the territory. The manufacturer, after all, doesn’t want any surprises. He wants to know what’s happening before it happens. There should never be surprises. For instance, the manufacturer doesn’t want to be blindsided if the rep has taken on three new lines, or he’s made significant inroads with a major customer. All he’s looking for is timely market intelligence and a heads-up on what’s happening the territory.
Bergson adds, “The proactive rep is the one who voluntarily keeps his principals informed on any matter of importance. If he does that, then the manufacturer isn’t going to make a fuss about regular reports that nobody really has time to read anyway.”
If those represent some of the important subjects that manufacturers want discussed during the seminar, Bergson emphasizes that “the day-and-a-half environment that has been created for attendees is one in which they feel confident that they’re surrounded by other non-competitive manufacturers that are facing common problems or setting similar goals. The interaction among the attendees is just as important as the subject matter that we cover. There’s plenty of time for them to network with each other including lunch and dinner breaks. In addition, there’s a wealth of handouts and takeaways from the seminar.
“The major takeaway we want for all attendees, however, is a positive attitude toward working with reps and a confidence that they can manage the process in a professional manner.”
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