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Creative Leisure News
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Phone: 309-925-5593
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Email: mike@clnonline.com


 


Challenges, problems, and triumphs -- from a manufacturer's perspective.

Printer Version

The Three L's: You Can't Sell Without Them

How to look, listen, and learn.

by Vinny Da Vendor (September, 2003)

(Note: Vinny is a top exec for a major industry manufacturer. You can read his previous columns by clicking on the headline at the top of the right-hand column.

Those who know me understand the nature of my madness: "Bark, Bark, Solve" is the way I operate. I've barked in a couple of columns, now it's time to solve. That said, let me provide you with some constructive thoughts on dealing with the big-box retailers.

Now, more than ever, is the time for manufacturers to: A. Look for ways to assist retailers achieve their goals. B. Listen to what the buyer is telling you about what should/must be done to advance with the chain. C. Learn the tools of the trade (specific to each retailer) to accomplish A and B.

If you are a manufacturer servicing the $30 billion craft industry, and your annual sales are in excess of $2 million, then I am certain you are dealing with our big-box retailers. If you are not dealing with the big box retailers at present, chances are you are aching to, as this is seemingly the only means to dramatic sales growth.

No longer is the salesperson the only person dealing with customers. Today it takes a village to bring up sales in a big box retailer! When a salesperson "closes the deal" with a major retailer, it is not the end of a sale, but the beginning of a marriage.

For a long-term marriage, you need to LOOK, LISTEN, AND LEARN long before you book your appointment with the buyer to unveil your next line of products.

1. Chances are this account makes up 15% or more of your sales, thus you will be greatly interested in LOOKing to see what growth opportunities are available to you. LOOK at the store's plan-o-gram of the specific niche you cover; if it's small enough, set up that part of the store on a wall in your building.

LOOK for holes in the plan-o-gram that you can easily fill to increase the retailer's breadth of product offering and consequently the sales. LOOK up the POS quantities on your products using the retailer's system. Determine what is working and what is not. Make recommendations for changeovers.

2. Ask the buyer for input into the retailer's goals for the department in the coming year, and LISTEN to what is said in-between the lines.

For example, the buyer might say, "I hear paisley patterns may be the trend this year; what are your thoughts?" This is not an idle question. The buyer is not only telling you that he wants a paisley pattern ASAP from you, he is also saying that your competitor recently showed him a paisley pattern item, he liked it, he feels it will best accomplish his sales goals for a certain hook that you currently occupy, and he wanted to see your version before he gave your hook away.

3. LEARN all you can about your products through the data that the retailer will share with you, and provide the buyer with concise strategies for improving the department's sales using your products.

Ten years ago I was struck by an eloquent speaker who said that we had moved into the information age, a revolutionary time wherein more value would be placed on information than any other activity of business. He was right.

Today the retailer provides his vendor partners with access to a wealth of product-specific data. Chains have now moved aggressively to convert their suppliers into product-line managers for their buyers. Suppliers are expected to advise the buyer on how their products are doing and what should be done differently.

A supplier's ability to successfully obtain, analyze, cull out, and report back meaningful information from their customer's data is no longer a key element to set the vendor apart from his competition. It is a requirement to continue to do business in the future.

The supplier who LEARNs from the information provided, and successfully encourages the buyer to make changes to grow sales, will be well-rewarded come time for new business when the open-to-buy is flowing free!

Well, I just finished studying data, and I must get into the nitty gritty on a store level for my widgets -- I've got a salesman gnawing at my ear for strategies.

Note: To read a chain's buyer's advice on selling to him, read "Benny Da Buyer" HERE. To comment on Vinny's columns, or to suggest new topics, email Mike Hartnett at mike@clnonline.com.

xxx

 



   
   

Vinny's Recent Columns...
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WHAT HAPPENED TO CREATIVE MEMORIES? Not adjusting to the times.

COMPLAINING ABOUT SHORT-SHIPMENT PENALTIES; Who pays retail? The vendor?

HOW A VENDOR SCAMMED A SCAMMER; A sharp eye, a sense of humor - and be wary.

HOW A SMALL VENDOR WAS ALMOST SCAMMED; A savvy, suspicious mind averted a serious financial loss.

COMPANY FOR SALE; The owner is retiring.

EXHIBITORS: YOU'RE WASTING YOUR MONEY! Check your customer list before pre-show mailings.

PLAID CONSERVES TO PRESERVE; Simple changes can mean big savings.

SUGGESTIONS FOR THE CHA SHOW; How to attract more buyers and exhibitors.

CHANGES AT A.C. MOORE; They may not be what they seem.

THE TERRI O SHOW IS COMING; Building industry sales by empowering consumers' creativity.

SOME THOUGHTS ON BANKRUPTCY; It's unfair, but...

BOTTLES OF HOPE; A polymer clay grassroots movement.

SEWING SMILES FOR KIDS; Pillowcases and quilts for kids in hospitals.

HELPING THE WORLD IN MORE WAYS THAN ONE; Mrs. Grossman's, C&T Publishing, and Tara Materials.

HELP PEOPLE -- AND THE WORLD; How one company contributes to charities and to Mother Nature.

TAKING CARE OF BUSINESS AND HELPING THE WORLD; Plaid employees' long list of charitable activities.

A SAVVY WAY TO INTRODUCE A NEW LINE; Put it in the hands of consumers and teachers.

CHA AND PMA: SHOULD IT BE EITHER/OR? Why not take the best of both worlds?

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DO TRADE SHOWS REFLECT THE STATE OF THE INDUSTRY? If we're like other industries, trade shows may be in trouble.

DO TRADE SHOWS REFLECT THE STATE OF THE INDUSTRY? And if so, are we in trouble?

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MORE VENDORS RESPOND...; A dialog between vendors and a savvy but unhappy independent.

VENDORS RESPOND TO INDEPENDENT'S PLIGHT; Why vendors have minimums and what retailers can do about it.

RETAIL, E-TAIL, AND "UNFAIR COMPETITION"; Expensive advertising, false promises, and little education.

THE TRIALS OF A SMALL COMPANY, PT. II; Expensive advertising, false promises, and little education.

THE TRIALS OF A SMALL COMPANY; Talent, drive, and product -- but no money.

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THE THREE L's: YOU CAN'T SELL WITHOUT THEM; How to look, listen, and learn.

IT WASN'T ALWAYS THIS WAY...; but why does that matter?

WHATEVER HAPPENED TO STRAWBERRY?; Does every new product have to be cheap?