There’s an ever-present concern that presents itself to manufacturers’ reps when they are seeking the attention of principals looking for representation: “What do I have to do to show a manufacturer that I’m the right one for him?”
Here’s how one manufacturer addresses that concern:
- “Here’s the first thing I consider: Do I even know he’s there? What has the rep done to establish his brand in the territory? How long have they been in business? Do they communicate what other lines they represent?”
- “Has the agency been a presence at important trade shows that I attend? Have they ever sought me out at any of these trade shows?”
- “What’s the agency’s reputation in the territory? What do my non-competitors say about him and how about customers that I already sell to? Do they know of the agency?”
- “Have they been featured in any industry trade publications?”
- “Do they participate in any industry seminars that tackle important industry questions/problems?”
- “Does the agency have a professional and fairly well-visited website? Do they publish a newsletter for their manufacturers and customers? Do the customers know the agency?”
The manufacturer concluded by emphasizing, “It all comes down to letting others know that they’re in business. If they haven’t performed the rudimentary steps of communicating in the marketplace, chances are they won’t do a very good job for a prospective principal.”
Drawing Reps to Sales Meetings
As the economy continues to present any number of challenges to manufacturers and their reps, both manufacturers and reps continue to downsize. When that happens, there appears to be a growing reluctance on the part of many reps to attend annual sales meetings. According to one manufacturer, “I understand why this is happening. As the economy continues to struggle, reps are reluctant to leave their territories, which is where they make their livelihood. Their feeling is that time out of the territory is money out of their pockets not only in terms of what they sell for me and my company, but for all their lines.
In order to overcome that growing challenge, here’s an approach that manufacturer has taken, which thankfully thus far has worked quite well for him:
- “Here’s the ideal time for the rep to ‘sell’ his agency and its capabilities to our entire management team.”
- “I stress the point that reps are going to receive a ‘free’ education covering my entire line of product. This education will be conducted quickly and efficiently, and we’ll get you back in your territory with a minimal loss of time.”
- “You’ll have the opportunity to meet the factory people, network with employees and develop rep advocates within our company.”
- “I emphasize that this is absolutely the best time and place where you can get an update on all new products and company policies.”
- “Any nagging problems can be resolved in person, by you.”
- “You’ll have the chance to meet with your rep peers and discuss mutual problems and solutions to those problems.”
The manufacturer continued that while all of that is what can be accomplished during the actual sales meeting, she continues to communicate with them and let them know that following the meeting:
- “I’ll lay out a plan that clearly shows them how we’ll complete every task that we agree upon. I think it’s important to let them know that there were no empty promises made.”
- “I’ll be communicating with each of the reps in attendance and acknowledge their help in this effort.”
- “And, finally, I’ll communicate to them that I will conduct ‘de-briefing’ meetings with my own staff in order to go over all the important matters that we discussed during the sales meeting.”
In conclusion, the manufacturer added, “Obviously, what it all comes down to is communication. I tell them what I’m going to do ahead of time. I do it. And then I follow up — without fail.”
The Demand for Reps
If the phone calls and other contacts that MANA has been receiving from manufacturers are any true indication, the demand for independent reps continues to grow. It would appear that as the economy continues to throw curve balls, reps are seen more and more as the most cost-efficient means for reaching the market. In addition, as the economy improves, these same manufacturers will look to expand their rep networks, as that allows them to grow without adding costs on their end. It’s also worthwhile to keep in mind that MANA has long advocated that manufacturers not only get and maintain their membership in this association, but also explore the benefits of membership in one of its sister rep associations.
Succession — What Comes Next?
Not for the first time, recently a manufacturer weighed in with Agency Sales with their thoughts concerning the importance of reps not only having but communicating the existence of a succession plan. According to the manufacturer, “When one of our agencies’ owners told us he was retiring, I was immediately taken by surprise. I had to scramble to fill a void. But the more I thought about it, the more I realized that I should have been better prepared. To make sure that this never happens to me again, I’ve taken the step to formally request my reps to share their future plans with me. This has been especially beneficial in a couple of cases where I’ve been able to make suggestions to my reps on how they can craft a more effective succession plan. My reps appear to appreciate my efforts and I think this has done a lot to cement our relationships.”
The Question of Time
A common question among manufacturers that go to market with independent reps is, “What steps can I take to get more of my reps’ time?” When that question was posed recently one manufacturer was quick to provide his: “It’s happened more times than I can count that I’ve wanted/needed more of the rep’s time and attention. When that occurs, I always make sure that I let the rep know that I have a pressing need for his time. A not uncommon example is that I’ve got a new product that we’re introducing. Rather than just sit back and complain about the fact I’m not getting enough of his time, I’ll communicate with the rep and let him know why this is so important for the company, why it’s important for him, and how it meets the needs of our mutual customers. By employing that approach, I’ve found that this type of one-on-one communication does wonders for me and the reps — not to mention how it benefits our customers.”
Getting to Know the Rep
A manufacturer recently noted that while it takes a lot of extra work on his part to get to know the needs and wants of his reps, the effort has paid off in spades for him over the years. As examples of some of the steps he takes to firm up his relationships with reps are the following:
- “When it comes to communicating with our reps, I’ve taken steps to ensure that there’s only one voice communicating a message from us to our reps. That way, I know we’re all operating off the same page and there’s going to be no miscommunication.”
- “One of the first things I learned in working with reps was that as much as I like to hear on a regular basis what’s going on in the field, with our reps, so too do they like to hear what we’re up to. That’s why I make sure there’s a constant flow of information out to the field. By following that simple step, I’m usually guaranteed that the rep will deliver the most up-do-date information to the customer.”
- “Before we implement any new promotions or programs with our reps, I’ve learned how important it is to take steps to provide them with the tools they’re going to need to get the job done. When I say proper tools, I mean products, samples, ad reports or direct support from the plant. It’s critical that the rep shouldn’t want for anything.”
- “Finally comes the subject of interest and enthusiasm. If the rep lacks either of these attributes for what we’re doing, we’re doomed. That’s why we always make sure presentations can be made using the most up-to-date technology, whether it’s the internet, Zoom, or something like an iPad, a PowerPoint presentation, or some sort of hands-on demonstration. Bottom line here, the rep has to be comfortable with and enjoy the method of presentation. Otherwise, it’s not going to be effective”
The Value of Reps
When one manufacturer renewed his membership in MANA earlier this year, he attached a note attesting to the reasons why he values his partnership with reps. “We like to consider ourselves as a company that’s progressive and we especially like people who are forward-thinking. That led us initially to reps. We’ve never doubted that reps are the way to go.
“Consider that as you get farther away from your home territory, it’s more and more difficult to cover the territory. Reps are ideal in those situations because they are hungry, and they don’t want any cap on how much they can earn.”
The manufacturer continued that the types of reps that are best to work with possess a strong belief in customer service. “When we find reps that really believe in serving the customer, we love to work with them. Those are the ones who always want to do the right thing for both the customer and the manufacturer. They’re hardworking, self-disciplined and motivated. They are smart people who understand human nature. Furthermore, they are firm believers in continuous improvement. They live in the territory and they know the community from top to bottom.”
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