Category Archives: Department

Property of NASA

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“What is the difference between dealing with a rep and dealing with the factory?” Let me tell you my story.

image of car wash

© monticellllo | stock.adobe.com

When I was a rep I sold industrial timers to a car wash manufacturer.

The customer called to report a defective timer. I secured a Return Material Authorization, and the customer sent the timer back for evaluation.

The timer factory reported that the timer worked perfectly, so they shipped it back to the customer. The customer called me again, reporting a different timer was defective. But when it went back to the factory, it tested out fine.

After a few more times, the timer manufacturer wanted to start charging the customer for testing and return freight. The customer was angry that so many timers were defective. Resolving the problem fell on my shoulders.

Eventually, I tracked down the person who was reporting that the timers were defective. I asked him how he determined that our timers were defective.

“We know that they are defective because our car wash stopped working.” A car wash has hundreds of electrical connections and dozens of parts that could fail. But the customer insisted that whenever the car wash failed it was our timer’s fault.

My principal and my customer had both drawn lines in the sand. Neither would budge. My dad came up with the solution. “Let’s build them a timer tester.”

It was that simple. And because the tester had lights that reminded Dad of 1960s NASA mission control, he labeled the timer “Property of NASA.”

Problem solved. Each time a timer was suspect, the customer tested it. We never had another failure.

Reps are creative problem solvers. That was my story. To share your story, email me at [email protected].

Education Is a Two‑Way Street

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In the ever-evolving relationship between manufacturers’ representatives and their principals, the need to educate one another remains vitally important.

Manufacturers educate reps on capabilities, quality systems, lead times, polices and procedures and best practices that they feel will assist the rep to be more successful in marketing and selling their respective lines. Do we ever stop to think about how important it is for reps to reciprocate this education back to the manufacturer?

Manufacturers should always consider their rep agencies as extensions of their business. The communication should be transparent, open and frequent, for the two sides are truly “partners” … Read the rest

Rep Councils Smooth Communication

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Manufacturers’ independent rep councils go a long way to eliminate the “us vs. them syndrome.” That was one of the primary messages delivered by Charlie Ingram, executive vice president and chief marketing officer of Eriez Magnetics, Erie, Pennsylvania, during a MANAcast.

“In a nutshell,” according to Ingram, “the rep council serves as an advisory board and operates as a way to provide information back and forth between manufacturers and their reps. A rep council’s purpose is not to hear reps’ complaints; rather, their ultimate purpose is to determine what improvements are needed when it comes to serving manufacturers’ and the … Read the rest

Sales in the Age of Technology

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How customer relationship management solutions transform sales organizations.

Technology is an integral and mission-critical part of every business process today and a strong technology foundation is essential, no matter the industry. This is especially true in the area of sales. Successful sales executives are constantly looking for ways to sell more, sell better, and sell faster. A key solution to achieve these goals is Customer Relationship Management (CRM).

In this article I will highlight the many benefits and advantages of CRM and how it transformed Harvey Gerstman Associates (HGA), the New York-based manufacturers’ representative agency I manage, from a very … Read the rest

Seizing a Principal’s Assets Before Obtaining a Judgment

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“Money is the most egalitarian force in society. It confers power on whoever holds it.” — Roger Starr, author and urban planning official

Reps who get stiffed on commissions usually agonize over what, if anything, to do about it. After undergoing root canals or tax audits, hiring a lawyer to pursue unpaid commissions usually ranks as a rep’s least desirable course of action.

Some might even prefer the endodontic drilling into a tooth to retaining legal counsel. And without anesthetic.

After all, withholding commissions is an easy and common exploitative tactic utilized by certain principals who view their sales reps … Read the rest

Lisa Wilson Elected to the MANA Board of Directors

MANA’s Board of Directors is pleased to announce that MANA rep members have elected Lisa Wilson, president of L.S. Wilson & Associates, Inc., Bristol, Wisconsin, to serve on MANA’s Board of Directors ballot for a two-year term starting May 1, 2021.

Wilson will replace MANA Director Charlie Ingram, who completes his second two-year term on April 30, 2021. Ingram recently retired from his position as executive vice president & chief marketing officer of Eriez Manufacturing in Erie, Pennsylvania.

Ingram is the only manufacturer ever to serve on MANA’s Board of Directors and his contributions to MANA’s governance have been invaluable. … Read the rest

Always Take the Mint

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image of a mint

© Africa Studio | stock.adobe.com

Thirty years ago, a colleague from my rep days shared some valuable advice she got from her mother. “Always take the mint.”

“When somebody offers you a mint, maybe they are just offering to share. Or maybe you have bad breath. You will never know which. So always take the mint.”

That’s great advice. And it applies to more than just breath mints.

Let me share an example. Sometimes manufacturers call to tell me that reps won’t take their line. “Reps don’t understand the great opportunity they are turning down,” or “I emailed hundreds of reps with no takers, they are missing out on making lots of money.”

I always offer to help. “Let’s look at the offer you’re making to reps and see if we can figure out why.”

Most manufacturers are happy to get fresh eyes on their offering, and we find a way to help make their recruiting more effective.

But occasionally there is a manufacturer who won’t take the mint.

“I’ve worked in companies with reps for 20 years. I already know everything there is to know about working with reps.” They didn’t call for advice, they just called to complain.

Did they waste my time? At first, I thought so. But then I realized they had taught me an important lesson.

When someone offers me advice, I always let them make their case.

  • Sometimes the advice will be brilliant. So, I win.
  • Sometimes the advice will be “not brilliant,” but it triggers an idea that I otherwise would not have had. So, I win.
  • Sometimes the advice will be the exact opposite of brilliant. But it reminds me of what to avoid. So, I win.

Turns out my colleague’s mother was even wiser than I realized at the time.

“Always take the mint.”

Proven Tips for Finding the Right Rep

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So, you need to find a great rep.
Whether you’re just beginning to establish an independent manufacturers’ sales channel organization or have had one for years, there are some pretty good, well-proven methods for finding great reps to join your sales team. Even our company, Eriez Magnetics, has the need to fill a territory upon occasion, despite our reps’ very lengthy tenures — a 20‑plus year average and several that have been with us over 50 years. Like hiring employees at your own organization, it’s hard work to find the right rep agency with the right fit to represent your … Read the rest

Finding the Correct Piece of the Puzzle

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When a manufacturer was asked to describe his tried-and-true process for locating the ideal rep for a given territory, he introduced an analogy of locating the right piece to finish off a section of a jigsaw puzzle.

According to the manufacturer, “We’ve tried just about every method for locating reps that exists. That includes all of the directories that the various rep associations provide that serve our industry. However, I’ll have to admit that probably nothing beats a personal recommendation. As an example, about a month ago, one of our largest customers — and this is one of our top … Read the rest

Effective Communication in a Covid World

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Just as with so many of his fellow reps, the COVID-19 pandemic has to a large extent taken long-time MANA member Sid Ragona out of the field; but Ragona has hardly disappeared. Instead, while still tending to his rep duties, today he also can be found in a series of YouTube videos covering a number of topics impacting what reps do on a daily basis.

A simple YouTube search on the name “Sid Ragona” will reward interested parties with discussions of:

  • Mastering Zoom.
  • Elevate Your Zoom Meeting to New Heights.
  • Ten Tips to Becoming a Manufacturers’ Rep.
  • Home Office Basics.
… Read the rest

Your Principal Just Sold or Merged What About Your Sales Rep Contract?

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Lawyers who represent sales representatives often are faced with cases in which a sales rep has signed a sales rep agreement with a principal and then that principal goes through some change in ownership, either through a sale or merger, but the emerging principal may or may not be the same or continuation of the same company with which the rep originally signed a contract.

Is the principal still bound by the terms of the original contract and, if not, what terms apply? Not surprisingly, when faced with such questions, we, lawyers, usually respond with: “It depends.”

And when a … Read the rest

ISA 21 — The New Way to Convention

ISA 21 logoISA has broken down its 100-year-old convention format, rebuilt it with a fresh perspective and pumped up the volume for 2021. Beginning the week of April 19th, ISA 21 will be the largest virtual education and networking event for distributors, manufacturers and IMR’s, allowing you to expose and align your entire company at once, and at an affordable price.

At ISA 21, you’ll attend in the ways that best fit you. With over 20+ educational sessions based on the industry’s drivers of success and six different types of networking opportunities you’ll have the ability to tailor your ISA experience based … Read the rest

Boxers Call It “Leaning Into the Punch”

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You see a punch coming. No time to block it. No time to move out of the way. Now what?

image of a punch

© Brazhyk | stock.adobe.com

Lean into the punch. You still get punched, but that punch has not had time to reach the speed and power it would have reached an instant later.

That’s a valuable life lesson, even when no real punches are involved. The more quickly I can respond to a problem, the less time it has to grow. Step into problems before they grow out of control.

True confession: A recent situation tested my commitment to step into problems before they grow. Let me share what I learned.

An email from a member of MANA’s staff had alerted me that a new MANA member was not happy. He had experienced a technical issue while doing a rep search in MANA’s RepFinder® database. The email suggested that he was very unhappy.

When I find out a member is unhappy, I drop what I’m doing and make the call, and that’s what I did. But it was late on a Friday afternoon and he was not available. I have to confess that when he wasn’t available I was relieved, because I was expecting a difficult conversation.

I didn’t want him to think that I hadn’t responded, so I left a voicemail promising to call him Monday morning. Knowing that I had to speak to a very unhappy member first thing Monday morning hung over my head all weekend.

On Monday morning, I wavered. Was the call I tried to make Friday enough of a gesture? Or did I really need to make the call?

I made the call and I’m glad I did. He was very cordial and had two very constructive suggestions that will make the RepFinder® a better tool.

The lesson I learned: Don’t waver. I was glad I stepped into the problem, and when you step into your next problem you will be too.

Embracing Change During Tough Times

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For the past few months I have been wondering what should I write for the “Editorial in the Field” article? Trying to decide on a single topic relevant to this period of economic instability was proving challenging to say the least. And then I re-read Charles Ingram’s September 2020 editorial, “Please Don’t Read This!” It was validating (and ironic, considering the title) to revisit his insights into the importance of promoting your business — even more so during the slow times.

The coronavirus pandemic affected business worldwide, but what did that mean for manufacturing and manufacturers’ reps? Early in 2020 … Read the rest

An Endorsement for Synergy

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In the course of a virtual gathering of several manufacturers and reps one manufacturer raised a subject that was important to him, but it was a subject that he admitted that he had come to terms with and understood the rep’s position.

“When I take the time to make joint calls with my reps in the field, I do so with the understanding well ahead of time that while we’re visiting the customer another subject or another manufacturer’s product line is going to crop up. When that occurs, the rep is going to have to take care of business that … Read the rest

Let’s Keep This Between Us: Unwritten Rules of Customer Confidentiality

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Did you ever have a potential customer who should have been excited about doing business with you but seemed reserved? It happened in a weird way for me. The senior managers seated around the boardroom table were excited about their new technology that would disrupt their market and separate them from every competitor.

They had brought me in to help craft their sales message and to eventually train their reps on how to introduce it to their customers. Along with their excitement though, I sensed some tension. So as the vice president of marketing introduces me, my first remark to … Read the rest

Protect Your Company: Understand Product Liability, Indemnity and Insurance

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Reprinted from April 2017, Agency Sales magazine

My client, an independent sales representative, was named as a defendant in a product liability lawsuit. Admittedly, that’s not the norm, but this article should serve as a cautionary tale to consider issues of product liability, indemnity and insurance when negotiating contracts with your principals.

My client’s rep firm represents manufacturers of commercial office and restaurant furniture. Not particularly dangerous stuff, right?

Her firm solicited an order from a restaurant for the sale of bistro chairs and tables. Five years after the restaurant received the furniture, a restaurant patron took a seat on … Read the rest

Company, Industry and Community Leader Retiring From Eriez®

photo of Charles IngramCharlie Ingram leaving Eriez after 26 years of accomplishment and service.

Charlie Ingram, Executive Vice President and Chief Marketing Officer, will retire from Eriez® at the end of 2020, according to President and CEO Lukas Guenthardt. “After 26 years of significant contributions to Eriez, our industry and the Erie community, Charlie has decided to retire and bring to an end his very successful career,” said Guenthardt.

Ingram joined Eriez in 1994 as national sales manager, rising to vice-president of sales & marketing in 2004. According to Guenthardt, Ingram was one of the architects of Eriez’ three-fold growth while he directed … Read the rest

NMRA Elects New Officers at Virtual IBEX

The National Marine Representatives Association (NMRA) used the virtual IBEX platform to host its annual meeting and elect its 2020-2021 officers and board. Each is an independent manufacturers’ sales rep working in the marine market.

Scott Kolodny of ComMar Sales is the NMRA president and Aaron Freeman of Tideline Marketing is vice-president. Mark Goodman of SGL Sales & Marketing was elected treasurer and previous board member Craig Cochran of GSW & Associates is now secretary. Patrick Churchman of Midwest Outdoor Marketing becomes the past president.

Kurt Fromherz of Waters & David Company was elected to the NMRA board of directors … Read the rest

Gerald Newman Named Recipient of the ERA Lifetime Achievement Award

photo of Gerald NewmanThe Electronics Representatives Association (ERA) announces that Gerald Newman, a partner in the law firm of Schoenberg Finkel Beederman Bell & Glazer, LLC, and ERA legal counsel, is the recipient of the ERA Lifetime Achievement Award.

The award was presented to Newman during the ERA mid-year board meeting held virtually on October 29, 2020, in recognition of his service to the electronics industry, manufacturers’ representatives and ERA.

The Lifetime Achievement Award was created to recognize individuals who play an integral role in supporting the manufacturers’ representative model in the electronics industry.

For five decades, Newman has provided outstanding legal support … Read the rest

Reinventing Rep Search

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MANA’s online RepFinder® and RepFinder® smartphone app are already the best rep search tools in the world. So, what’s next? We reinvent ourselves. Better smartphone app. Better rep profiles.

RepFinder® 2.0 Smartphone App

Version 2.0 launches now in the Apple App Store and Google Play and gives manufacturers even more sophisticated search tools than version 1.0 launched early this year.

RepFinder® “My Rep Profile Score”

“My Rep Profile Score” is …

“My Rep Profile Score” is …

Manufacturers use MANA’s RepFinder® to find world-class reps. But sometimes world-class reps don’t have world-class MANA-member profiles.

Why wouldn’t a world-class rep have a world-class member profile? Because they forgot to include important details, or were not careful about choosing territories or product categories.

For example:

  • They forgot to include their website address.
  • They claimed to cover so many territories for their number of salespeople that their territory coverage seems sparse.
  • They claimed so many product categories that they seem to lack focus.
  • Their profile has not been checked or updated for a long time.

Manufacturers tell us that:

  • They want to see reps’ websites listed.
  • They prefer reps with enough staff to cover each territory thoroughly.
  • They prefer reps that focus on a particular market.
  • They expect the information in reps’ profiles to be up-to-date.

To help world-class reps ensure that their member profiles present them as world-class sales forces, MANA has launched the “My Rep Profile Score” system to let reps know if their profiles don’t present them as world-class sales forces.

“My Rep Profile Score” is a private tool to let you be sure your profile is world-class. You are the only one who can see your company’s “My Rep Profile Score.” However, even though manufacturers cannot see reps’ “My MANA Rep Profile Score,” when they download a list of reps that list is sorted in “My MANA Rep Profile Score” order.

To see your “My Rep Profile Score,” watch your email or visit your company’s member profile on www.MANAonline.org.

Please call us with any questions — we are here to help!

Reps Need to Educate Manufacturers on the Value Reps Provide in the Field

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The wants and needs of a manufacturer and the manufacturers’ representative are aligned: drive revenue, increase profits and manage costs; however, the rep’s role goes beyond these common goals. It is understood that hiring a representative who is paid solely on a commission basis is a cost-effective alternative to marketing and selling any product, but hiring a manufacturers’ representative gives you a lot more bang for the buck.

Reps are marketers. They market their manufacturers’ products through various means. Representing more than one line, especially when complementary, opens doors and creates a synergy that can result in leverage for all … Read the rest

Why Reps?

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Elsewhere in this issue of Agency Sales magazine, a manufacturer describes why and how he continues to work with reps as he has for the entire 24-year history of his company.

According to the manufacturer, “My wife and I own and run the company. While we do have some direct sales personnel, we’ve learned over the years of the many benefits that come with working with independent reps. One of those major benefits is that since we already have some business in the territories that we want to sell into, the fact is reps don’t really cost us anything. If … Read the rest

Things for Salespeople to Do to Make Up for a Lackluster Quarter

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At the end of summer we moved our son into his dorm to begin his freshman year of college. The college president’s opening remarks were virtual, so we joined the Zoom stream from our hotel room and listened in. He had some really useful things to share with the new freshmen and while his thoughts were targeted to the students, they apply quite equally to salespeople.

Among the points he made, these seemed to be just as applicable to salespeople:

  • Show up.
  • Do the work.
  • Try approaches that you haven’t previously attempted.
  • You will be uncomfortable but do it anyway.
… Read the rest

Consider Your Contract Provisions

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This article will emphasize the importance of having a good underlying written contract between sales representatives and their principals. While “form” agreements may be available and are often used to attempt to recite the business relationship between parties, there is no substitute for a well-thought-out agreement that recites and accurately presents the relationship that the parties intend to follow.

In order to achieve this, an agreement must not only recite the undertakings by the parties but these must be viewed and clearly stated as obligations. Further, the contract should be one that embodies the laws of the state where, at … Read the rest

Jerry Leth Marks Two Decades With MANA

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If Jerry Leth thinks it was just yesterday that he joined the MANA staff, he should think twice because it’s been a lot longer than just yesterday. A great deal has happened in the world, in general, and in the world of reps specifically during the 20 years that Leth has been a staple at MANA headquarters.

While gas was averaging about $1.26 a gallon in 2000, George Bush had just narrowly defeated Al Gore in one of the closest elections in American history and cell phones were just emerging as more than a “yuppie toy,” it’s remarkable how many … Read the rest

How Much Do I Owe You?

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image

© New Africa | stock.adobe.com

It might be the nicest compliment MANA has ever received. And it came to me in the form of a question.

A rep called me to discuss a thorny issue he was having. It was a challenging problem, so we brainstormed potential strategies and solutions for about a half an hour.

By the end of that call we identified a pretty good strategy for the rep to use.

And that’s when the rep asked me the question that was a compliment I never expected.

“Charley, I have had consultation sessions like this with you and also with Jerry Leth in the past, but MANA has never sent me a bill. How much do I owe you?

The question caught me by surprise. Such a nice compliment! It took me a moment to reply.

“Business telephone consultations are a benefit included with your MANA membership,” I explained. “Jerry and I get calls from MANA members facing thorny problems every week. And because Jerry and I have fielded so many of these calls over the years, we’ve both already seen a lot of the problems that give MANA members heartburn.

“As a matter of fact, the problems and solutions that have come out of the consultations we’ve done over the years have given us perspectives and solutions we can bring to bear on problems we hear from reps calling us today.

“Jerry and I can’t give legal advice, but MANA membership does include a legal telephone consultation benefit, where the 23 attorney members of MANA will give MANA members a half-hour complimentary consultation before the clock starts running.

“So the answer to your question is, Jerry and I will always be happy to help you, and there is never a fee when you give us a call. Just keep renewing your MANA membership, and we’ll be here when you need us.”

Market Development Fees

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In this issue of Agency Sales appears a report on a MANAchat devoted to the importance of market development fees. While such fees have been in practice for some time either as retainers, draws or some other form of agreement between rep and manufacturer, as time has gone on they’ve become more important for a couple of reasons.

First, consider for a moment the current environment that reps are called upon to work in. As MANA can attest, behavioral and business restrictions evolving from the COVID-19 pandemic have resulted in a marked increase in the number of manufacturers seeking to … Read the rest

Letter to the Editor

Response to Bob Reiss’ “Just Ask” article which ran in July 2016

The best advice I ever received from Bob was in an article called “Just Ask.” I can’t tell you how many students have told me during and after class that they are going to “pull a Bob Reiss.” To which I always come back and say “Great — but you better do your homework and know when and how to ‘Just Ask.’”

It’s a simple but powerful tool. When done the right way (politely, with sincerity and follow-up), it becomes the best tool in your toolbox. I have … Read the rest

Looking to Solve Problems

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Manufacturers search out and join MANA for a variety of reasons. One manufacturer recently recounted his rationale which was aimed at solving a couple of problems that had cropped up over the years.

According to the manufacturer, “Just as everyone else does, we look at our numbers and we reached a point where we knew we had to do something about our poor performance and shrinking market share. Even if the economy remained constant, we see our share of business getting smaller and smaller. It doesn’t take a genius to come to the conclusion that the way we’ve been conducting … Read the rest