mercial ac hts =

EOR the building products supplier, f commercial accounts present an opportunity to expand business without adding new personnel or inventory.

Using an existing operation and suppliers, basic items such as lumber, plywood and many specialty products can be marketed successfully to commercial customers in an existing service area. As with any new market, planning is the key to success.

This is best done in a round table fashion with management, sales and senior yard personnel. @on't overlook the yard people who often know the most about what is used in manufacturing operations such as fumiture, fixtures and cabinetmaking.) Performing goal setting and set-up as a group is important to foster a team spirit and the 'tan do" attitude which impresses customers.

Examine the store's product line to determine items appealing to manufacturers. For example, large quantities of pine lumber are used in many sub-framing applications for commercial fixtures. Next define the size of the accounts wanted. Often the quantities a dealer is able to handle will determine to whom he sells. Profitability is higher in smaller quantities and a firm may find a niche in this category.

Using a newer salesperson who is excited about new markets is often the best way to gather and disseminate information to the rest of the sales force. Avoid the "scatter shot" approach to field work where everyone drives around town to seek out new accounts. This wastes time and money and the poor results discourage the group.

A search for names by Standard Industrial Classification (SIC) code and sales volume in manufacturing and corporate directories at the library can produce a quality list quickly. Other studies are industry specific directories and association listings. Don't overlook librarians as a resource. Skilled in searching out needs, they are often highly enthusiastic helpers. An outside market developer is another option.

Once the specific accounts are identified, distribute them a few at a time, no more than l0 to each salesperson to contact in addition to his existing accounts. This lowers the cost of contacts and eases salespeople into the change. If compensation is tied to new, profitable sales, the astute will see a good oppornmity for income and run with it.

StqyataGlane

How to get and keep commercial customers . . . determining products to sell, potential customer base, account size . cold calling techniques, service suggestions.

Keep presentation materials simple: a list of products relevant to manufacturing, a general list of product categories handled and a company brochure. A single sheet detailing the company's history, stability and unique qualities is an excellent intnoduction on a cold call.

The key to servicing commercial accounts is knowledge and asking questions obtains it. I".eaming the specific applications products will be used for and the end use of the finished goods leads to a problem solving approach which ultimately helps develop a loyal supplier/customer relationship.

Upgraded quality and profitability often result when a salesman's expertise demonstrates that better materials actually save the customer money by more efficient use of their facilities. Often price is secondary to a dependable supply of quality materials. Using a program approach can set the supplier apart from the competition and implies a commifinent to a lasting relationship. Asking questions and exchanging ideas can unearth additional products and services which can be supplied. Referrals to other customers are a byproduct of the give and take of a mature relationship. These are usually high quality with the source name opening doors. Be certain salespeople ask for them.

A follow up thank you letter, note or FAX after each meeting is a must. Mention areas of interest discussed and new products or services subsequently thought of. Always follow written correspondence with a call the next week. Don't neglect follow-up contacts. Their absence is perhaps the single greatest cause of customer attrition.

After the process has matured, management needs to examine which types of customers are the most profitable and encourage development of these. Surprising changes can occur in profitability of firms attuned to the commercial market. With a flexible attitude and a hard won reputation for fine service, a new customer base can begin to flourish and contribute profits to a business.

Hunsberger is a market development consubant with ,4SR Industries, M inneapolis, Mn.-editor.