Services provided by Pro Rep Sales sales consultants include: Sales
Channel Strategies, Expansion Strategy, Sales Management, and Sales Administration.The
following is just a brief synopsis of some of the factors involved in preparing for and
executing a plan for successful sales expansion.
Sales Channel Expansion Strategy
Over expanding the sales channel without the proper infrastructure is akin to spending
money for sales leads generation and then not following up on each one. Both time and
money will be invested and seldom is there instant gratification in the form of additional
business. The care and feeding of your independent manufacturer's reps is a full time job.
Expansion should be a methodical undertaking, analyzing both the prospective customer base
as well as the choosing of the new rep agency. If you don't own the majority of your
existing sales representative's mindshare then another step is required before expansion.
Channel Development Strategy
For companies with annual sales of less than $50 million, generally the best sales channel
approach is the use of independent manufacturer's reps. The factory's infrastructure needs
to be fully staffed, trained and functional before any consideration should be given to
using direct-only sales personnel. Special situations, such as a large demanding OEM
customer or the potential of large annual sales growth can give rise to a mixture of
manufactures rep and direct sales representative. Compensation of both representative and
the direct sales channel should be carefully reviewed.
Sales Management
Evaluation of each rep agency on a routine and systematic basis is paramount.
Unfortunately, most evaluations are no more than a comparison of gross sales for one
period with some past period. One of the most insidious reasons for lack of growth or even
declining sales is the coupon clipping sales rep. This is a situation where the customer
has designed in the product and sales are wholly dependent upon customer's success with
that particular offering. In addition to total sales revenue, evaluations should include:
new accounts identified and captured, new applications within established accounts.
Analyzing gross margins by accounts and sales reps can lead to hidden opportunities for
profit improvements.
One of the most underutilized capabilities available from a finely tuned manufacturer's
rep sales channel is in the area of New Product Development. The experienced, successful
rep will always be questioning his customer and prospect base about upcoming developments,
looking for a design-in so that long term commission revenues can be assured.
Sales Administration
Sales Administration can be the make-or-break link between the field and the factory.
Sales leads must be transmitted to the field in a timely manner. The information must be
as correct and complete as possible. A history of old moldy leads with garbled or
incomplete addresses and phone numbers can cause inattention when the hottest prospect
does raise his hand and volunteers to become a customer.
