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Big Picture People

There's a benefit to knowing your sales reps

By Richard Gottlieb -- Playthings, 10/1/2007

Many years ago, when I was a salesperson working for a small distributor in Virginia, I had a line that was really hot. Everywhere I went it was selling like crazy, so I attempted to sell the products to a particularly challenging customer.

I tried to tell him everything I knew about the product, everything I knew about how well his competitors were doing with it, and, ultimately, why he should carry it. But he just wouldn't listen. Like he usually did, he shut me up, he shut me out and he shut me down. He just did not care what I had to say.

I always thought he was kind of dumb when he did this. He was clearly not taking advantage of the view I had of his business. After all, I visited him and his competitors monthly. I was in a position to see what was moving and what was not among all of them.

Well, I was a lot younger in those days, and more inclined to “teach a lesson.” So the next time I was in his office, I went to the men's room and purposely arranged my order pad so that he could not miss seeing it. Sitting right on top was a very large order for the product that I had just written for another customer.

Just as I had hoped, a few minutes after I came back, he said in a soft voice: “You know, I have been thinking and maybe I will buy some of that stuff.”

“I'm sorry,” I responded, “but we're selling so much of it that we've put it on allocation. After you turned me down last time, I gave your allocation away.”

He looked a bit like Sylvester the Cat after a cigar, once again, had exploded in his face. The next day, I called him to say I had gotten him his allocation back. After that, he always made time to spend with me.

As this little story suggests, because they typically represent a number of lines and call on a variety of customers, independent sales representatives have a truly unique vantage point from which to observe not only their immediate customers, but their industry.

Unlike buyers and sales managers, reps are constantly moving through the marketplace. Going from store to store and manufacturer to manufacturer, they see the industry horizontally and vertically. They accrue not only data, but a sum of knowledge far greater than its parts. As such, it can be greatly beneficial to foster a better relationship with your sales reps, whether you're a sales manager or a buyer.

Keeping tabs on your money

If you are a sales manager, it can save you from selling to a customer who is not credit-worthy. Because reps represent a number of lines, they know earlier than just about anyone who is not paying on time. Because of this, reps are way ahead of the curve and frequently know bad credit before credit reporting services do.

They also know what licenses are hot. Again, because they are carrying a number of lines they are also carrying a broad array of licenses. This means they are constantly getting buyer reactions to which licenses are selling and which are not. Generally, they can provide sales managers with a great deal of information about current trends. They get to see a fad start, watch it grow, and eventually fade away.

Eyeing your competition

If you are a buyer, a sales rep is in the best position to let you know which products are doing well at your competitors. Typically, there are one or two customers who are early adopters and get on board with a new product early. Reps can see by their reorders and enthusiasm how those untested lines are trending.

They can also provide a buyer, just like a sales manager, with a great deal of information about licenses. They can tell a buyer which licenses they should be carrying and which ones are underperforming in their stores in comparison to their competition.

Finally, they can point out emerging or successful promotional and merchandising techniques.

Time to talk

Maybe it's just me, but it seems like sales managers—and buyers in particular—used to spend more time talking to reps. Not only did sales calls last longer and were more leisurely, but the contact continued away from the office. Perhaps, with the press of business and the resulting lack of time, buyers and sales managers spend less time asking reps that once familiar refrain: “What's going on?”

Smart retailers and manufacturers may want to encourage their buyers and sales managers to actually spend more time with salespeople. In fact, they may want to encourage them to take them up on those invitations to socialize at lunch or after work.

So, when you come into contact with a salesperson, allow for some extra time during or after your next meeting. Think about what information your rep may be able to give you to improve your competitive positioning. Plan some good questions in advance of the meeting, listen to what they have to say, and you may find out “what's happening.”


Author Information
Richard Gottlieb is president of Richard Gottlieb & Associates LLC, New York, a provider of business development services. He is the author of the book Ambassador to the Kingdom of Wal-Mart. He can be reached at richard@usatoyexpert.com.

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