A Down Economy Can Be Good for Reps

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As if the anecdotal evidence from MANA and some of its sister rep associations needs any backing, more reps are reporting there’s been an ‘uptick’ in the number of manufacturers who are contacting them during these trying economic times.

The number of calls from manufacturers desiring to learn more about working with and locating representation has increased to the various association headquarters. Part of the increase in interest stems from the fact that manufacturers — just as other businesses — are cutting back on their staffing, and that includes personnel in their outside sales force. Since contracting with independent manufacturers’ Read the rest

What a Principal Should Expect From a Rep

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Just as conversations in major league baseball’s “hot stove league” tend to take on a life of their own, so too does the following oft-asked question: What should a principal expect from its independent manufacturers’ reps? What follows are a few immediate responses.

Manufacturers expect their reps to:

  • Make sales calls! And, that you sell their products.
  • Communicate effectively, efficiently and truthfully.
  • Report on new business opportunities.
  • Report on major account status and action items.
  • Give feedback on competitors and the market climate.
  • Attend sales meetings and stay current on product and application training.
  • Follow up leads and find new
Read the rest

Feedback — Welcoming Complaints

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A manufacturer reports that he knows there are always problems out in the field. However, when he never hears anything about them, he knows he’s got an even bigger problem. That’s why he’s constantly encouraging his reps to bring him a steady flow of problems and complaints. “The reps are my eyes and ears out there. If I’m not hearing anything from them then I know they’re not seeing or hearing what’s going on in the territory. It doesn’t take long for reps to learn that I’m being straight with them because as soon as I hear something isn’t going … Read the rest

The Face-to-Face Connection

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Principals and reps agree that being able to put a face to the voice you hear over the phone can be critical in a business relationship. That’s why one principal reports that among the first steps he takes after signing on a new rep is to arrange face-to-face meetings with not only his company’s management team and inside support staff, but with the other independent reps that work with the manufacturer. “Before I joined this company,” the manufacturer reports, “I spent close to 20 years in the field as a rep. If I learned nothing else in all those years, … Read the rest

How Much of a Rep’s Time is Enough?

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A roundtable discussion made up of manufacturers and reps tackled the subject of synergistic sales calls late this summer. There was no shortage of responses when the question was asked, “Do manufacturers give credence to the theory that every call a rep makes is a relationship call for the manufacturer regardless of whether their line is presented or not?”

One participant offered, “It’s a 50/50 proposition. If the rep doesn’t actually present one of his lines in the course of the call, he’s still in front of the customer, and at the same time he’s gathering information concerning the customer’s … Read the rest

Manufacturers Report a Great Investment With High Returns

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In terms of discussion, the subject of rep councils comes and goes. For some, the Councils continue as a valuable part of the manufacturer-rep relationship. For others, Councils continue to meet, but little is done as a result of those meetings. Here, we talk to a number of manufacturers who have enjoyed considerable success with their rep councils and offer us some thoughts on what has made their Council so effective for their organization.

Most manufacturers start rep councils with the best of intentions. But once started, some manufacturers encounter obstacles or lack the necessary follow through to realize Council … Read the rest

Outsourced Sales — Money-Maker or Deal-Breaker?

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The benefits of outsourcing the sales function were examined earlier this year by Brian Shannon, president of EJB World Trade and co-founder of The Sales MBA. In an article that appeared on the website for Sales & Marketing Management magazine, Shannon maintained that outsourcing different parts of your business is not a new concept. In fact, most of you probably have heard of it or are doing it already. But what about outsourcing the sales function of your business?

How does an outsourced sales partner work? In most cases, when you partner with a company to provide outsourced sales (also … Read the rest

Tips for Trade Show Success

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Trade shows are a staple of U.S. marketing and sales activities. For years manufacturers have diligently worked these shows seeking exposure for their brand and their products. At the same time, independent manufacturers’ reps have been called upon time and again by their manufacturers to assist in manning these booths. While what follows was written primarily for foreign manufacturers looking for a big splash in this country, the advice offered can just as easily be applied to domestic manufacturers.

The following was provided by Joe Miller, former president and CEO of MANA.

Trade shows are often an important part of … Read the rest

Learning From Reps

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Surveying Provides Value for Manufacturers

At the recommendation of its rep counsel, one manufacturer decided to survey all of his reps. While what he found didn’t especially surprise him, it did allow him a more precise focus on what it is that’s important to his rep constituents. Three areas in particular came to the surface as a result of the survey:

  • Field visits — “Thankfully we knew this ahead of time, but the message we received concerning field visits bears repeating. If I’m certain I’ve chosen the correct reps to partner with, then I know they’re as busy in the
Read the rest

“Tailor-Made” Programs Pay Off

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One manufacturer learned about the pitfalls of offering the same marketing/promotion programs to all of its reps. “Thankfully, we’ve always been pretty good about listening to what our reps tell us. We began to get an earful from several of them when they complained about how we were rolling out some marketing plans. While we had done a great deal of preparation for the program, we didn’t do what we should have in terms of getting their advice.”

“As a result, we shouldn’t have been surprised when we didn’t get the results we were looking for. None of our reps … Read the rest

Communication — One Size Doesn’t Always Fit All

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We recently asked one manufacturer what method he preferred when it comes to having his reps communicate with him and he surprised us with an answer similar to “no one size fits all.”

“It depends upon a number of factors, not the least of which is the rep himself,” he responded. “Here’s my reasoning — not all reps, all territories or customers are the same. As a result, we don’t have to be communicated with in the same manner. Let’s assume for a moment that all of our reps are ones that we want to work with long-term. Now let’s … Read the rest

Relationship Evaluation is a Two-Way Street

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Whether manufacturers know it or not, their reps are constantly evaluating the profitability of their lines. This can be done formally via a structured line profitability analysis (such as that taught in the MRERF CPMR curriculum) or informally, with the rep actually measuring how much time he spends on a line and then asking himself if it’s really worth the effort. Depending upon the analysis of accumulated data, what inevitably can result is a parting of the ways.

Two reps recently reported to us the results of their decisions concerning some of their lines. According to the first rep, “Ours … Read the rest

Eliminating Waste in Your Sales and Marketing Channels

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During the NEMRA Annual Conference last month in Washington, D.C., attendees were brought up-to-date on a number of initiatives taken by manufacturers and their independent manufacturers’ reps to improve their mutual performance. While what was accomplished pertains specifically to the electrical industry, it’s not a stretch to imagine that similar efforts could have a positive effect in other industries.

Learning From Industries Besides Our Own

When NEMRA’s Manufacturers Group (NMG) took beginning steps to identify and eliminate wasteful practices in the channel, one of its stated goals was to produce a white paper that did much more than just sit … Read the rest

A Former Manufacturer Shares Tips for Maximizing the Rep Relationship

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John Glebas is a management consultant who has enjoyed considerable success during his manufacturing days, working with reps. The following are some of his manufacturer-based thoughts on maximizing the relationship.

Have you ever contracted with a rep expecting a continuous stream of new contacts, inquiries and orders to follow? All manufacturers have the same expectations but few implement a plan to avoid letting the relationship slide into the caretaker scenario.

The focus of my thoughts assumes that you and your rep are a proper fit, but just are not driving new business as expected. You’ve handed over your existing orders … Read the rest

Improving the Process

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It was interesting how quickly a consensus developed at a recent meeting of manufacturers’ representatives and many of their principals when the subject came up of manufacturers terminating their reps.

A rep started the conversation when he related how two manufacturers recently terminated him and several of his peers throughout the country. “With the first manufacturer,” he began, “a change in their sales management pointed them in the direction of going direct rather than staying with their rep network. We had heard of their decision early on via the industry grapevine. When we asked them about it midyear, they confirmed … Read the rest

Investing in Your Sales Force

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The paucity of information — or perhaps it’s an unwillingness to even address the subject — concerning manufacturers’ use of independent manufacturers’ representatives is illustrated in a new book entitled, The Sales Force.

In it, author Wayne Thomas notes that one of the most important steps that must be taken by any chief sales officer is a “review of existing partner relationships, or whether some (additional) segment of the sales program ought to be effectively outsourced to indirect channels. These independent companies perform the selling function primarily by extending your company’s reach into segments familiar to them and not … Read the rest

Turning Over Too Much to the Rep

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On the one hand, you’ve got some manufacturers that look at contracting with independent manufacturers’ representatives as more than just outsourcing sales. On the other hand, you’ve got some manufacturers’ reps who resent the fact that more and more responsibilities are being relegated to them — not always accompanied by commensurate compensation.

What some of these manufacturers are doing is handing over their marketing and sales duties to reps. Here’s how one manufacturer views that scenario: “They don’t just delegate the job of selling into a particular territory to a rep — they dump the whole marketing and sales process … Read the rest

Steps Leading to Success

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When a panel of manufacturers was asked the following question, a lively discussion followed: “Is there anything I would want my reps to do that would make us more successful?”

Adding personnel — First up, one manufacturer offered, “I actually approached one of my reps on this subject. Here’s what I said: ‘I’ve done an analysis of your territory and I’d like you to prove me wrong. I know the amount of business we have right now, and I know how much potential there is in the territory. I’ve concluded that if you added another person in the territory, we’d … Read the rest

Paying Attention to His Peers

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The vice president of sales for a manufacturing firm related the unexpected benefit he realized as a result of his involvement in his industry’s rep association.

“It’s natural that when I got together with my peers during our annual conference, we’d kick around problems, concerns and other matters related to working with reps. I don’t know how many times I heard one of them tout the benefits of establishing a rep council. We followed suit about two years ago, and it’s incredible how much progress we’ve made in our relationships with our reps. Communication and performance in the field have … Read the rest

One Approach That Works

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What works for one manufacturer doesn’t necessarily work for all, but one manufacturer contacted us to detail his approach when contacting prospective reps.

According to the manufacturer, “We know we’re not going to get any attention at the beginning unless we’re forthcoming with what we expect from reps and provide a description of how we work with other agencies.

“Here’s what we generally do. Before we even have a phone conversation, we’ll let the rep know that our goal is to partner up with a professional agency that is energetic and persistent in following up potential leads. We emphasize the … Read the rest

Looking at Competitors’ Strengths

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One manufacturer reported to us how he’s changed his view of the type of competitive information he likes to receive from his manufacturers’ reps.

“I’ve always depended upon my reps to let me know what’s going on in the field in terms of what my competitors are doing. Originally I tried to focus almost entirely on their weaknesses. That let me employ a philosophy of finding openings that would allow me a competitive advantage. While I still like to know what they’re doing wrong, I now ask my reps to concentrate on their strength. That allows me to strengthen my … Read the rest

“Best Practices” Point to Eliminating Waste

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Two manufacturers took center stage to describe via “best practices” how much they value their marketing partnerships with manufacturers’ representatives at NEMRA’s 37th annual Conference in New Orleans earlier this year. As part of a presentation describing progress that has been made in that association’s ongoing effort to streamline and facilitate the work done between manufacturers and their reps, the manufacturers described their efforts in servicing reps.

Their best practices came to the fore when NEMRA’s Manufacturers Group (NMG) described the next phase in its ongoing project aimed at eliminating wasteful practices in the channel. Consultant Tom O’Connor, The Farmington … Read the rest

Is This a Good Fit?

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“I think I know what I’m supposed to ask a rep before we begin working together, but am I missing something?”

That was the opening question a manufacturer asked at the beginning of a panel discussion on how manufacturers and reps can better work together. He knew he was on solid ground with the rep when he asked about:

  • Management and personnel.
  • The agency’s history and tenure in the territory and markets served.
  • Other product lines they represented.
  • Where he would fit and how much time he could expect from the rep.

But, he wondered if there was anything else … Read the rest

Pushing the Rep to Rate Their Principal

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We’ve heard of principals rating their reps and reps rating their principals, but here’s a bit of a turn on that practice.

A manufacturer recently let us know that he’s made it a regular practice to ask his reps to rate his performance with them. “Our motives are pretty clear cut,” he explained. “We simply wanted to know where we stood above and beyond our competitors and the other lines that our reps carried. This was an outgrowth of the fact that we’re well aware of how most of our reps perform during the course of the year. But aside … Read the rest

Getting Market Research Done

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When a panel of manufacturers was bemoaning the fact that they regularly encountered a push back when they requested their reps to conduct market research for them, one manufacturer described a different experience.

According to the manufacturer, “I’ve had some luck when I’ve been less-than-demanding with my reps. For instance, if the rep and I agree that the gathering of information can be done in the normal course of their regular sales calls, I don’t think I’m out of line to expect they can do the job for me. In addition, if it’s something I think can enhance the relationship … Read the rest

Getting the Best Feet on the Street

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A manufacturer called recently to let us know he hit the jackpot with an agency he signed up a little over a year ago.

“This rep impressed us from the get-go, but we didn’t know how good he was until fairly recently. He hit the ground running from day one, but what really impressed us — in addition to his sales success — was his follow-up and grasp of everything that was going on in the territory. He insisted on regular meetings with us either by phone or in person. Basically, the agendas for these meetings were simply to keep … Read the rest

Qualifying Sales Leads

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In a room filled with manufacturers and reps, a manufacturer made a comment concerning qualifying sales leads that somewhat surprisingly met with almost unanimous approval.

“I don’t qualify leads for my reps. Instead, I just pass along all the information I have concerning a prospect, and here’s why. The rep knows the territory much better than I do. After all, isn’t that why I work with the rep? Doesn’t he know the level of business activity and who the best contacts are? As a result, I trust him to take the proper action when I forward a lead to him. … Read the rest

Planning for the Future

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Before leaving on a business trip, Jack Van Der Ploeg, from longtime MANA associate member Zero Zone, sent the following request to Agency Sales magazine.

Zero Zone has worked exclusively with independent manufacturers’ representatives for their sales for more than 40 years now. I am not saying the same reps are still on board for that entire time, but I will say that we have quite a number of very loyal reps that have remained with us for years. So here is the question I have for MANA: Does MANA have any guidelines for reps in order for them to … Read the rest

The Truth Can (Really) Hurt

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Proof that there’s really wisdom in the words “Say what you mean and mean what you say,” came out of a candid meeting among independent reps and manufacturing executives.

A rep started the conversation by relating what happened after he responded to one of his principal’s requests. “The manufacturer asked for my honest feedback on the subject of his regional manager. What I had to offer wasn’t all that damaging to the regional manager, but there certainly were some areas where he could take steps to improve his relationships and performance with all his reps — not only us. In … Read the rest

Not Letting Go of a Good Rep

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A manufacturer reports how one of his reps turned what could have been a disastrous situation into something that made their relationship even stronger.

“A one-man operation that had always been one of our top performers hired a new outside man to take some of the load off himself and to allow the agency to grow. Unfortunately, he hired the wrong person. Almost from the beginning, I noticed a fall-off in the follow-up, and we were not benefiting from the same attention to detail that we once did. It took three months before the rep fired his new man, but … Read the rest