“One sales rep by 2000”

As appeared in ISHN’s “FDO”

And MANA “ASM”  April 1998

Jan 1998

(This month George writes in response to “Zero Sales Reps by 2000,” by Bruce Merrifield, which appeared in ISHN’s November, 1997, “For Distributors Only” section, page 5.)

Bruce Merrifield is terrific! He has an informed perspective. We listened to Bruce at SEDA’s annual meeting in Vail in July 1996. As I recall, he stated that in three years, 80 percent of the salespeople as we know them today won’t be around-and then he later said that 60 percent of the distributors as we know them now, too won’t be around. Finally he said, “Mr. Manufacturer, if you’re not number one or two in your channel, you too will be a has-been!”

Wow! Channel compression…hmmmm,

I thought about it, then discussed it with other salespeople, distributors, manufacturers, and end users- anyone in the channel who would listen.

He’s right! And he’s right to shock us-to shock us into thinking, encouraging dialogue, learning and acting on some of his advice and knowledge.

While I don’t necessarily agree on his degree of in extremis, I do agree too many people ignore or shut him down due to his sensationalism. I think his sensationalism is needed to get our attention. Resistance to change goes nowhere. If he said, ”Over the next ten years things will gradually change”-ho hum. No one would pay attention. 

Let’s examine some of what he is really saying in terms of “significant change” in distribution channels, as we have known them, and “a 50-to 80-percent reduction in traditional activities.”

Think about it.

Electronic commerce (EC) used properly-not viewed as a competitor but as welcomed tool-enhances the “Road Warrior” of today (and tomorrow). The information technology of the future, if embraced, will arm the successful sales professional to properly guide and consult with the purchaser through all the buying process.  When growing up, I learned that one of the keys to knowledge and information is not how much you can actually grasp and retain, but knowing how and where to access that information when needed. Now relate this to electronic commerce.

Proactive, consultative industrial selling is now done with access to extensive EC, combined with a salesperson’s:

• Sense of urgency;
• Sense of the proper questions and their timing;
• Valued relationships;
• Trust, drive, and knowledge;
• Awareness of markets and the needs of market players, decision makers and future prospects;
• Natural competitiveness;
• Ability to utilize synergistic leverage;
• Willingness to succeed;
• Ability to anticipate and overcome objections;
• Ability to be an interface between the market and his company-to be the eyes and ears of market conditions;
• Ability to communicate, to listen and interpret body language;
• Ability to be a specialist in his area of expertise to have a high profile and be considered an authority in his field;
• Willingness to continue education (QSSP, CPMR, CIH, etc.).

All of these attributes make people succeed over machines.  Competition will always be between people, not machines. Machines need to be turned on.  When everything else is equal, people will make the difference.

But keep in mind that everything goes in cycles.

The industrial buyer of the future won’t always have the time to just scan over 4,000 stocked electric motors even with a parametric search engine. He will need that proactive assistance through the buying process, especially new ideas, products, and direction. He will also need to be advised and informed of new or impending regulations or standards that affect our industrial safety industry. The lifeblood of all manufacturing is a new product proactively being introduced and sold to the end user and pulled through the chain.

Merrifield has never said that he believed 100 percent of all field-selling people are totally worthless or will totally disappear. I have always firmly believed (and stated many times) that it is your customer that ultimately hires or fires you.  You must possess “economic value added”(EVA).

I believe many of Merrifield’s observations. I think we need to continually check with the end users (remember “the ultimate mouse”?) and his biggest changing needs of the distribution channel to determine the perceived values.  We need to hear and understand Merrifield’s challenges and observations, not fear them. We must apply and invest our energy in these priceless opportunities now.  He’s just trying to get us to wake up and see the changes he envisions.

“Zero sales reps by 2000”? I for one will be around in the year 2000, so there’s one. Won’t you join me? 

Think about it.

George J. Hayward