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What Would You Do?
By: Lisa Horn, PPB Editor
Issue: 2001oct
Sticky Situation
A distributor writes:
“I’m a fairly new distributor and have heard some real horror stories involving suppliers who did not hold up their end of the bargain with a distributor on an order. Naturally, I want to avoid this. How can I determine if a supplier is reliable if I’ve never worked with that company before?”
Mark Fyten, CAS
Account Executive
Image Builders
“How do you know if you can trust an unknown supplier? How do you know if you can trust anyone?
“If I can't get ‘belly to belly’ with a supplier's reps at a trade show or other event, I give them a call. How does the customer service team react to a request for information? Ask about the item you want to order, including a series of ‘what if’ questions—‘What if I need four color process, a second side imprint, rush service, etc.’ Explain the product you envision and find out if it is possible or a pain. When I place the order, I get a commitment from someone at the company with whom I can check the progress of the order.
“Ultimately though, it comes down to a leap of faith. You have to feel in your gut that you can trust the company. Even though there are some horror stories out there, I have found that the majority of the people in this industry are in this business because they enjoy what they do and they want to keep doing it. My advice, ‘trust, but verify.’ Take a chance, write the order and then stay on top of it. Nothing ventured, nothing gained.”
Jeff Lechtanski
Marketing Manager
Concept Corner (UPIC: CONCEPT)
“Deciding to work with a new vendor is always a gamble. There is always a chance that things will not work out for one reason or another, and often there is a learning curve before achieving effective and efficient communication.
“First, it is always a good idea to ask a lot of questions. Call the company and ask about its products. For what is it used? Does it work well? What industries are most receptive? Suppliers should have these answers immediately available. The answers do not need to be long, but they should make the distributor feel comfortable that the supplier knows its products and its market.
“Next, request a catalog. How does the catalog measure up to standards recommended in the promotional products market? The supplier understands that its catalog is its salesperson in the field. Catalogs should be filled with product information and pictures, but devoid of all contact information other than ASI, PPAI and UPIC numbers.
“While a professional catalog is an indication that a supplier has it together, it is not a sure bet. Try the following test to increase your odds of success and to see if you want to work with a supplier at all:
“Before placing an order, test the supplier's ability to follow directions. Request a sample with specific requirements. For example, request a blue widget with a random imprint be sent to a particular address by a particular date. A supplier's performance in delivering samples is reflective of its quality control on product orders. If the sample arrives late, in a different color, is not packed well or is addressed incorrectly, this supplier may require some additional ‘hand-holding’ to ensure acceptable performance. While it is up to the distributor to determine whether to move forward, this is a great opportunity to check customer service. How does the supplier respond when told your sample order was not filled correctly? It will be helpful to discover customer service problems now, rather than under the heat of a client's deadline.
“Next, request a pre-production sample with your first purchase. This again tests the supplier's ability to follow directions. Some suppliers may charge you, but most will reimburse the charge with a full order. Even if there is a charge, it is better to pay it now and discover a problem supplier than if you were to save now and discover it later. When you order pre-production samples, make sure to allow extra time. If the pre-production sample is unacceptable, you want enough time to either let the supplier correct any errors or for you to move on to another option.
“Once you place the order, do not be afraid to call customer service as often as you feel necessary to feel comfortable. Just calling to find out a scheduled ship date will put the mind at ease.
“Word of mouth is also a good way to find promising new suppliers and warn you away from potential problems. While word-of-mouth advice is helpful, be weary of accepting everything you hear. The most reliable suppliers in the business will undoubtedly have a few distributors unhappy with them for one reason or another.
“Keep in mind that problems do happen. A problem is not always a reason to dump a new supplier. If a problem develops pay attention to how the supplier responds. Are solutions or excuses offered? Is the reason the problem occurred investigated, or is it swept under the rug? Do you receive a timely response to your concerns, or are your phone calls avoided? Problems, by definition, have a way of being resolved.
“Customer service is easy on orders that go well. It's when things go awry that customer service is truly tested. A supplier’s desire to resolve problems and issues in sticky situations is an indication of its ability to recognize distributors as business partners, and not as a quick sale.”
Carol Goebelt, CAS
Mideast Regional Sales Manager
Admanco Inc. (UPIC: ADMANCO)
“Whether we are buying cars, going to a doctor, getting services done for ourselves or our business, or buying promotional products, we feel more comfortable dealing with someone with whom we have a relationship. And, we want a company or business that has been around for a long time, has a good reputation, has good pricing and good quality products and services.
“The promotional products industry is no different. We want to feel confidant with our suppliers and their representatives—whether it be a manufacturer's rep, multi-line rep or someone in the customer service department. Generally, top industry suppliers are good choices because they didn't get to the top by having less than an excellent track record in product, service, pricing and support. And, if something goes wrong, they will work with you to make the order right—just as you would for your customer.
“This is and will continue to be a ‘relationship’ industry. It is one of the things that I like best and what makes for good business and fun-filled days.”
Question of the Month
A supplier writes:
“My company has been in the promotional products industry for more than five years, has built a loyal clientele with its distributors and has a respectable sales volume for the company size. In the past, our marketing mainly consisted of catalogs, sales flyers and trade shows. While these marketing activities will continue, it seems necessary to increase our marketing efforts to get the awareness, contacts and sales desired to grow the business.
“From the distributor perspective: What types of information do you find most helpful when choosing a new supplier? What is the preferred communication vehicle? What frequency of contact is optimal, and conversely, what is too much? What can be done to move my catalog out of the file cabinet onto your desk?
“From the supplier perspective: What types of marketing programs have you found effective or ineffective based on distributor feedback?”
Let’s Hear From You!
Do you have a solution or experienced advice that will help this peer with the above dilemma? Your responses are critical to fostering better relationships and sharing knowledge among suppliers, distributors and others in the industry. Please take a moment right now to fax or e-mail your response to: Lisa Horn, editor, PPB. Fax: 972-258-3012. E-mail: LisaH@ppa.org. Be sure to include your name and company name. The deadline is October 12. Thank you!
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