John Loftis' inaugural speech when he became DMIA's president in 1996 was one of the most inspiring and informative I've ever heard. (I even bought the tape!) His speech discussed the need for distributors and manufacturers to think of their companies as solutions instead of focusing on products. The more we understand our clients' hopes and challenges, John told us, the more likely we'll develop long-term business relationships with them. For this column, I asked John to give us an update on that idea:
My reaction upon hearing Phil's request to be a guest columnist was to ask for lessons on delegation. I can learn much from him! His assignment was intriguing--to revisit the thoughts I shared during my inaugural speech at DMIA's annual meeting in 1996.
If you slept through it, the speech was titled "Be the Solution." Its premise was based on my belief that our clients desperately wanted to get better at what they do every day. The roaring stock market notwithstanding, general business conditions were deteriorating. Profits were shrinking in spite of the re-engineering trend. Progressive companies knew they needed to continue streamlining their business processes to remain competitive. Many of us in the industry grew up being taught how to maximize efficiencies through analysis and redesign. I believed our clients not only needed our help, but were finally ready to ask for it. Obviously, before we could improve their business processes, we first had to understand them. Only by learning their business processes intimately could we ever hope to "be the solution."
Fast-forward to early 2004. Do we still need to understand clients' businesses? Do they still need our help? The easy answer is "yes." The success of e-commerce proves the desire to continue streamlining processes remains strong. But another growing business trend will force us to continue learning more about how our clients conduct business, and you experience it every day.
Have you tried to get an appointment lately? Us old timers can remember walking into a company unannounced, asking who buys its forms, and getting seen on the spot. Our opening question was usually, "Tell me a little about your company." And they would! They actually answered our questions so we could begin the process of trying to earn their business. Amazing.
Well, Dorothy, we aren't in Kansas anymore. Today, we have to earn the right to be seen before we can earn the right to become a vendor. We have to prove to our prospect his or her time will be well-spent listening to us, or we'll never get in the door. We might have to spend hours researching a prospect before making the first phone call. Our clients don't take appointments with us because they want to buy printed products. They see us because they hope we can improve their business performance. Their unspoken but clear message: "If you don't know enough about my business to help me, I don't have time to talk to you. And you're going to have to prove it before I grant an appointment." Brutal, but effective. The trend toward vendor consolidation continues, and our need to create real value will increase.
So, yes, Phil. The original premise of my 1996 speech holds true, even more so today. Our clients want us to improve their income statement from top to bottom. But before we can "be the solution," we have to know more than ever about each business we target or sell to.
Once again, John has hit the old nail squarely on its head! More than ever, we need to be problem-solvers for our clients. The days of selling just products have passed.
Today, we have a wider array of products and services to offer our customers than ever before. The secret is to learn enough about your customers so you can offer the products and services that make you a partner in their success.
Do a web search on your prospective customer, and find out as much as you can about the client and their industry. As John suggests, you then can offer constructive ways to help them improve their business performance. We need to continually earn business today. The golden days of living off of exact repeat orders are history.
Phil Schmidt is president of distributorship Advanced Systems & Forms Inc., Livonia, Mich., and president of DMIA.
SMC: Sign Up ASAP
Ancient Pueblo land was the setting for DMIA's Spring Management Conference 2003, held at the Hyatt Regency Tamaya Resort & Spa in Santa Ana Pueblo, N.M. Between excellent "Peer-to-Peer Perspective" educational sessions and DMIA Special Interest Group (SIG) meetings, the event's 185 attendees relaxed and listened to Pueblos chanting around a fire.
This year, prepare to be enchanted in Asheville, N.C.
DMIA's Spring Management Conference 2004 will be held May 12-15 at The Grove
Park Inn Resort & Spa, one of the South's oldest and most famous grand
resorts. To register or for more information, visit www.PSDA.org.
