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Print Solutions April 2006

Strategic Sales
By Dick Gorelick

All May Not Be Well
Each year our company surveys thousands of print buyers (individuals empowered to buy and specify print, not necessarily purchasing agents). Usually the distributor or manufacturer sponsoring the survey is surprised by some of the feedback, but logic suggests they shouldn’t be surprised.

Most prominent is the case of the “mega-account.” Typically this account is the backbone of the sales territory. Its loss might be catastrophic. It may periodically push and cajole you for price concessions and extraordinary service, but is the proverbial thousand-pound canary, eventually getting its way.

On the other hand, you’re getting all or most of the work from the mega-account. Work flows on a regular basis. Contacts within the account express little or no dissatisfaction except for the rare job-related glitch. There’s no overt reason to believe that the account may be in jeopardy.

The account is the epitome of customer loyalty. Pity the poor competitor that tries to sell that account. The sales rep can go to bed at night assured that the account will be “in the fold” when he/she wakes up in the morning. Right?
Don’t bet on it. This relationship represents a profound obligation, not simply a triumph for a salesperson. Many of you with a few years of experience selling print are likely to have gone to bed believing you “own an account,” only to be told the next morning that it’s lost or under serious competitive assault. This shouldn’t come as a surprise.

Mail surveys frequently reveal an interesting phenomenon. Accounts representing a substantial percentage of total sales volume give you the preponderance of their work, and those you believe to be the most loyal may not assign you and your organization “top of the line” competitive ratings. Upon hearing this, your reaction may be, “What more could they want?”

An account that puts all or most of its proverbial eggs in the same basket frequently suffers above-average pangs of doubt and anxiety. Those fears are elevated every time an article is published about industry consolidation in the graphic arts industry.

Recent research indicates that, due in large part to the popularity of frequency (often mistakenly called “loyalty”) programs, consumers and business buyers no longer expect to be treated in the same way all customers are treated. While no one expects to be treated in an abusive or dismissive manner, infrequent and low-volume customers don’t expect the same attention or concessions as your best customers.

Your best customers’ anxieties are typically not shared with you. These anxieties have little to do with pricing or job-related activities.

A sales rep who believes all is well in top-tier accounts because no problem or discomfort is articulated and because the work is flowing may be making a serious mistake. Traditional sales training concentrates on problem-solving and management of deficiencies. In truth, it is at least as important to reinforce positive customer behavior.

Risks, real or perceived, are taken by buyers who assign a print supplier all or most of their work. When that glorious day arrives when a sales rep learns the good news, the typical reaction is triumphant. It’s less likely to be treated as a unique obligation. A buyer’s concerns do not disappear the day it names a sole source or primary supplier. In fact, the opposite frequently occurs.

The level of customer sensitivity to a problem is magnified. In fact, it may not even be a problem that raises the anxiety level. It may be something as simple as a rumor, or the departure of a well-known individual, or a telephone that rings four times before it’s answered. The slightest signal can be taken out of context.

Looking at customer surveys, print company managers may be surprised by ratings and comments from top-tier customers. The ratings may not be glowing. Frequently, they are good but not exemplary.

These anxieties cannot be eliminated, but they can be mitigated. It’s important for a sales organization to subtly recognize and honor the anxiety level. Contact that is not job-related should occur at least every 30 days. Some of the contact should be a blatant expression of appreciation for on-time payment, well-prepared files, or some other positive aspect of the relationship. Other communication may involve information about a new product or service. This is most effective when directed at management as well as the buying contact.

Treat every account, particularly the important, high-potential ones, as prospects at all times. Assume nothing.
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Contributing Editor Dick Gorelick is an award-winning authority on sales, marketing and business strategies for the printing industry. As president of the Graphic Arts Sales Foundation in West Chester, Pa., he travels extensively, consulting, writing and speaking on sales training.
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