HOME GENTER MERGITANT

BILL FISHMAN

Bill Fishman & Affiliates 'l'1650 lberia Place San Diego, Ca.92128

AVERY successful magazine pubfrl lisher once told me that the first lesson he was taught in the publishing business was "subscriptions are sold one-at-a-time!" I think of that often and frequently apply it to situations in the lumber and building material business.

This is a lesson that has even more meaning when trying to sell big users.

As a consultant I am challenged to increase the sales volume for a retail lumberyard. Typically, I first strive to expand the d-i-y business by:

(1) Selling more ol the existing assortments

(2) Expanding the geographic pull

(3) Increasing the merchandise selection to enlarge the size of each ticket

Then I advise my client to solicit new business lrom the professionals!

The prolessional user of product cate- gories carried by home centers and building material dealers is a mixed bas including: o Purchasing agents at large & small industrial companies

. Property managers

. Contractors o Commercial oflices o Sign companies

. Architects o Etc. lf the price is right if you're just a little friendlier and show you care if you deliver a little extra value your customers will drive right past your competition to get to you. If your competition's customers know about your price, and that you care about them. and about your "pot of grits" they too may drive on by the competition.

The second best way to get a message to these prospective customers is by direct mail. In many markets mailing list houses can isolate these businesses bv SIC codes.

The best way to make contact with these big users is by phone. When I moderate focus groups of professionals, I ask two questions that almost always get a "No" answer: "Did you ever get a phone call from any dealer asking you to allow him to be your lumber and building material supplier?" and "Would you object if you did get such a call?"

The second "No" is usually followed with a "l'd welcome it and all things being equal I would give them all the business I could."

Interestingly, the current United Airline tv commercial, "Our oldest customer just fired us," brings home the same point. A bit of personal attachment does much to bind a relationship and make it less vulnerable to low price competition.

Extra service keeps your customers your customers. Sometimes extra service takes unusual forms. West Buildins Material Cenrers in Arlanta once boastel the longest lunch counter in town. A pot ol grits was constantly warming on the stove and the large sign behind the counter read something like, ',lf your company account is up-to-date, enjoy breaklast and lunch FREE at West's!" Guess where the contractor's trucks went when the drivers were sent to oick up some additional material for a ionstruction job.

I I f BMA's 1989 convention/building UU products showcase will be held at the Red Lion lnn, LloYd Center, Portland. Or.. Nov. ll-14.

Using the theme "Progress Through Excellence." activities will begin with the all industry reception at 6:30 p.m. on Saturday. Following an 8 a.m. welcome breakfast on Sunday, quick pitch selling talks will be given by exhibitors, Dennis Parry, Lloyd Lumber Co., NamPa, ld., narrator. The building products showcase will be open from ll:30 a.m. to 6 p.m. with a walk around lunch.

Keynoter for Monday breakfast will be William P. Morton, President, National Lumber and Building Material Dealers Association, and president, Home Lumber Co., Hazard, KY. His topic will be "What We are Doing To

Protect Your Interests in Washington, D.C.''

The building products showcase will be open 9:30 to I l:30 with product demonstrations. Following the noon awards luncheon. three seminars will be held.

Carl G. Dill, president, Carl Dill Enterprises, Inc., will lead "Achieving Greater Success Through Creative Marketing and Employee Motivation." John W. Mitchell, senior v.p. and economist, U.S. BanCorp, Portland, will chair "What's Ahead in the EconomY in Housing."

"How Do You Handle It?" is the title lor a substance abuse in the workplace and inventory shrinkage seminar. Kyle Kincaid, WBMA Young Westerners Club president and controller, Knoll Lumber and Hardware, Kenmore, Wa., and Casey Voorhees, YWC trustee and assistant general manager, Eugene Planing Mill, Eugene, Or., are in charge.

Half Pak PIL. NAVA.PAK

Handi-cut/ Home Ctr. Brds. Half Pak PT.L. and Plv.

WAYN E GARDNER executive vice

EECENTLY a group of us went to a fI local eatery for dinner. We had reservations, arrived promptly and, although no one was ahead of or behind us, we were asked to wait until a table could be readied. Very typical of restaurants, particularly on the weekend.

After we were seated, our waiter came ceremoniously to the table, introduced himself and suggested we might like our favorite libation while considering all the menu possibilities.

Immediately after taking the orders for drinks, even before he had dispatched them to the bar by portable computer, he asked if we were ready for dinner. When we replied that a moment or two after the drinks arrived might be a better time, he stormed away, certainly thinking that here was a group he would rather not have had to wait on.

The treatment we received was annoying. It affected our feeling about the restaurant, reduced the total sale and hence lowered the waiter's tip.

The latter fact didn't seem to phase him, but the size of the gross sale might have made the owners feel better had it been another $30 to $50.

How many times have we all experienced this in different establishments, be they restaurants, department stores, or even lumber or home centers? I recall one instance where a firm did not make a $1000 cash sale, because of a sales clerk's "hurry up I have other things to do" attitude. Three days later, I found what I wanted at a store with helpful sales personnel. They made the $1000 sale within a matter of minutes.

What are we talking about? Service attitude toward the customer. Dealing with a wide range of people with different skill and knowledge levels makes being in the lumber and building material business more challenging than a lot of other businesses. We need to train our workers to ask the right questions, be quick and be helpful, but not last and uncaring.

Inattentive service can reduce the size or totally eliminate the sales of the moment and sales in the future. Customers quickly shy away from any business that isn't courteous and helpful unless the price is very low. And the newspaper lists those low priced firms every Monday morning, under bankruptcies.

Although we may think it's the lumber and building material business, we are in the people business. Call it service, customer awareness, employee awareness or whatever, it's a necessity if your business is to survive.