Reps to the Rescue

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Call it gathering support from the field or a backdoor approach, it really doesn’t matter. The important thing is that one manufacturer sales manager counted on his outsourced sales force to back him on a variety of marketing efforts — and his approach worked.

Here’s how the sales manager explained the situation: “I had a number of marketing ideas that involved my network of independent manufacturers’ representatives. The problem was the top executives of the company didn’t buy in. Rather than give up on what I thought were effective methods to expand our brand in a number of territories, I went to my reps. I asked their thoughts on what I had planned, switched things up a bit and then re-presented my ideas to the company executives. Proof of the effectiveness of my approach came when the executives realized how enthusiastic the reps were for my ideas.

“The bottom line is we initiated a new marketing program and most of our efforts were extremely successful. I’ve got no one to thank more than my reps.”

Changing a Mindset

“When we made the move from a direct to an independent rep sales force, I knew from day one that we had to make some internal changes,” explained one manufacturing executive. “Our sales managers were used to communicating in a certain way with our direct sales force. Since reps are independent business owners, going the rep route obviously was going to change things dramatically.

“One of the first things I communicated to my sales managers was the fact that they had to develop a comfortable working relationship with reps. That relationship entailed creating a feedback or communication process that was going to work for both sides. They had to come to terms with the fact that reps — in lieu of direct employees — were now our face in the territory. As a result, reps were uniquely positioned to provide us with input on customer needs, wants and desires. And, they had to learn to trust the reps’ input.

“I have to admit that the sales managers heard what I had to say, but more importantly they believed what I told them. Now that we’re entering our second decade of working primarily with reps, hindsight tells me we should have made the move years earlier.”

An Appreciation for Autonomy

When a rep was describing what he considered a “red flag” in terms of evaluating manufacturers, he emphasized how much he appreciated it when a manufacturer recognized the rep’s position as an independent businessperson.

“I guess the first word that comes to mind when speaking about manufacturers,” he said, “is ‘synergy.’ It’s the manufacturer that recognizes the fact I have other lines to represent and depending upon the needs of the customer, his line isn’t always going to be the first one that I present.

“On the other hand, a ‘red flag’ gets raised when a prospective manufacturer starts talking to me like I don’t know anything about the business that I’m in. Conversely, when they provide me with the freedom to act more like his regional manager than anything else, that’s when he gets the most out of me.”

Reps Help With Evaluations

“I’ve got a well-established, long-tenured inside sales staff that works with our network of independent reps. They’re long-tenured because they’re good and they do an excellent job. That’s one reason why I sort of dread the annual employee evaluation sessions. We sit down with each other and talk about shared expectations, etc. We smile a lot, sign the forms and go back to work. I say I sort of dread them because they do their jobs so well, I can almost convince myself that the process is a waste of time.”

Things changed however, when the manufacturer asked his reps for some input. “I let the members of our rep council know my feelings about these evaluation sessions, and they came up with the idea of having them provide some input when it came to how the inside staff worked with them. I took them up on their offer.

“Thankfully, their input was mostly positive, but they did come up with a number of areas where improvements could be made. I shared their views (anonymously) with the inside people. Overall, there was mutual agreement and these sessions have become a lot more useful.”

Climbing the Relationship Ladder

A manufacturer was especially appreciative of a number of his reps that had made the effort to develop relationships at all levels of management with their customers. At the same time, however, he emphasized how those same reps have increased their standing by developing the same type of relationships at all levels with the manufacturer. “They’ve really been effective at building long-standing working relationships all up and down the management chain. For instance, by getting to know our regional and national sales managers, not to mention the vice presidents of sales and marketing, the lines of communication have remained wide open. I believe this effort on their behalf has allowed us to move forward during challenging economic times.”

Learning From the First Meeting

A manufacturer recently noted how important his very first meeting with a prospective rep can be. According to the manufacturer, “A great deal of what I think a rep can accomplish is determined from the first time we meet. At that meeting I pay close attention to his willingness to ask questions and learn all he can concerning our company. I’ve learned from experience that a rep will only be effective if he does all he can to make himself knowledgeable about the companies that he represents. They simply can’t sit back and relax and expect to meet customers’ expectations unless they know what they’re talking about. The rep can only become a value-added provider if he knows all about our inside workings and how we manufacture, and keeps informed concerning any changes that are being planned.

“That’s why his aggressiveness and inquisitiveness is so important when we first meet. If he’s not interested then, he never will be.”

Information Sharing

And speaking of the importance of first meetings, another manufacturer emphasized how important it was for a prospective rep to exhibit a willingness to share his plans for the future of his agency at that very first meeting. According to the manufacturer, “It’s a true sign of professionalism when from the very beginning a rep will share business and succession plans with me. I don’t even have to ask for that information. What it comes down to is that these are the agencies that believe in joint planning, yearly evaluations and goal setting. The others, and thankfully it’s becoming a smaller number all the time, are reluctant and seem to resent the fact that I want to know how they plan to continue our relationship into the future. Quite frankly, if they are reluctant, chances are we’re not going to be working together in the future.”

Going Where the Business Is

It’s no secret to manufacturers that independent manufacturers’ representatives will spend the majority of their time where the business is; where they can make the sales. But keeping that thought in mind, one manufacturer offered the following: “We’re well aware of the fact that reps are human. As a result, that’s why they spend the majority of their time with the products that they’re most comfortable with and where the money is. Here’s what we’ve done to increase their comfort level with our product line and to present them with the best chance to make money — we make it a habit to markedly increase the level of training that we offer for new product introductions. We do that so the rep will go confidently into the field knowing that he can sell more of our product.”

Additional Incentives

Some other manufacturers that are well aware of the value of added training, have offered additional methods that they employ to incent their reps. Included are:

  • If and when the rep performs above and beyond in the field, the manufacturer immediately sends a note that lets him know you’re aware that what he’s accomplished is extraordinary.
  • The manufacturer owner or president will regularly phone to let the agency know how much their efforts are appreciated.
  • Regularly send thank-you notes and e-mails. According to one manufacturer, “This lets the rep know how much you value their contributions and that you’re aware of everything he’s doing on your behalf.”

The Bearer of Bad News

When there’s a problem with an order, whether a delay on the production line or something amiss with the delivery, is it the manufacturer or the rep who’s left with the task of delivering the bad news to the customer? According to one manufacturer, “We have reps out in the territory near the customer so they can be the ones that deliver the bad and good news to the customer. However, I’d make the point that it’s in neither of our best interests to have the rep always be the bad guy. That’s why we make every effort to have ourselves take the blame for whatever the problem might be. When we do that, the rep is seen as the problem solver and the communicator. He can continue to maintain and strengthen his relationships so we all can benefit.”

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

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Jack Foster, president of Foster Communications, Fairfield, Connecticut, has been the editor of Agency Sales magazine for the past 23 years. Over the course of a more than 53-year career in journalism he has covered the communications’ spectrum from public relations to education, daily newspapers and trade publications. In addition to his work with MANA, he also has served as the editor of TED Magazine (NAED’s monthly publication), Electrical Advocate magazine, provided editorial services to NEMRA and MRERF as well as contributing to numerous publications including Electrical Wholesaling magazine and Electrical Marketing newsletter.