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BILL FISHMAN

Bill Fishman & Atfiliates

1 1650 lberia Place San Diego, Ca.92128 lwoNonn IF the top management of lour country's lumber, building material, and hardware suppliers know how watered down their merchandising and promotion progr:rms are at the retail level. Or, if they know that they sometimes never do get presented to the retailer. Even worse, do they realize that their people are often discourteous to the smaller retailer operator?

During the 1960s, when I was on the management team of one of the largest Midwest home centers, I periodically had to contact the home office of some suppliers to get the specifics about programs that I had read about in industry trade publications. If it didn't involve a price change, the local rep claimed ignorance. Once, I was obliged to track down a paneling manufacturer's Madison Avenue advertising agency to get the details on tying into the "HowTo" television series that I had read about in Advertising ,4ge. These were my experiences as a "giant" retailer. It prepared me for what I had to face in my consulting work with the smaller lumber dealer.

Suppliers spend millions to attract the attention of retailers. They buy trade advertising in trade publications. They invest heavily in regional and national trade shows. I'm sure that their promoters do an adequate job of following through with the giant chains. But many also do a very fine job of blowing off leads from the rural and small town.independent dealer.

I've seen hundreds of poorly constructed, poorly reproduced form letters mailed to retailers in response to an inquiry about an ad in a trade publication. Many inquiries aren't followed up at all, and some suppliers respond with only a spec sheet enclosed in an envelope without any covering letter to acknowledge that the information is being mailed as requested by the retailer. Hooray for the guy who writes, "in response to your inquiry about our ad that appeared on page 2l of the May issue of What's New World we are enclosing ."

The most damaging individual in the distributor channel is the guy that calls on retailers and over-protects the sup(Please turn to page 84)

RETAIL BUILDING material customers of Palmer G. Lewis Co., Inc., in the Auburn, Wa., area provided names of remodeling contractor customers for invitations to a meeting featuring "quick pitches" such as this one by Sleve McPhail, highlighting Marlite wall covering products.

As an assist to retailers in stimulating sales, the Palmer G. Lewis Co., Inc., Auburn, Wa., recently invited remodeling contractors to view product presentations of new items related to heat or energy conservation and basic remodeling.

Close to 50 contractors and I I sponsoring dealers, heard "quick pitches" limited to five minutes from Mike Painton, Gold Bond Decorator Panel; Wayne Anderson, Alcoa Venta Ridge; Gerry Morgan, Proper Vent; Ken Gohrick, Pfeiffer Skylights and Thermax Insulated Sheathing; Ed Wint, Metalbestos Chimney Systems; Ray Krueger, Swan Tub kits; "Buck" Wheat, Simpson Strong-Tie; Neil Wallace, Geocel Sealants; and. Steve McPhail, Marlite.

Prize drawing cards were combined with a sales lead card to provide suppliers with tips for future sales. Ken Gohrick, PGL assistant sales mgr., recapped the meeting as "the response and turnout by the remodeling contractors was most gratifying," adding "The success here indicates that a meeting of this type would be beneficial in other PGL sales territories we intend to give it a try," He added that the company sells dealers, not contractors.

These are slow paying times with customers caught between recession and high-interest rates, but it pays to work with a hard-pressed account as it may become a valuable customer in the future.

Here are some ways to help the customer and yourself.

o Initiate finance charges on overdue accounts after counseling with a lawyer and accountant to stay within laws.

o Establish individual partialpayment plans.

O Accept a note and personal guarantee of payment from an officer of the company owing money.

O Supply goods ori a C.O.D. basis with a portion of the overdue account added (cash-on-deliverY plus).

o Deliver no goods until all past due bills are paid.

O Work out temporary credit arrangements using a combination of the above.