Hold It Right There


How often do you multi-task?
All the time, it's the only way I get things done. Sometimes, I try not to but sometimes I can't help it. Never, I just can't do more than one thing at a time.

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Hold It Right There
By: Tama Swan, Associate Editor
Issue: 2009nov

A Distributor Asks:
A client has asked me to warehouse his imprinted products for several months. I don’t usually do this, but I don’t want to lose the order or any future business. What terms should I use and what do I need to know?

Jaime Patterson
Vice President
Cording Concepts
UPIC: Cording
We often warehouse merchandise for customers who do not have enough space at their location. In the past we didn’t charge a fee but quickly learned some customers will take advantage of this and leave their items in our warehouse for months on end. To curb that we started charging a nominal storage fee depending on the size and quantity of goods and the length of time the customer expects to store the items with us. Accommodating the customer in this way has created opportunities to offer additional add-on services, such as kit assembly and fulfillment.

However, before agreeing to store your customer’s products, take a moment to consider the liability you assume. You may want to consult your insurance agent to ensure all bases are covered from a liability perspective.

Lee McCubbin, CRS
Co-Owner
McCubbin Trophy & Engraving
UPIC: Mctrophy
I would first have to know if the customer paid for the items in full and just wants the distributor to store them until they need them. If this is the case, it should be a matter of the distributor having the room and wanting to do it.

Check the going rate for personal storage units or warehouses and charge according to how much space the stuff takes up. If the items are not paid for and end users are asking for storage on-site pending use and payment, get a contract and a payment agreement worked out so you are assured payment as well as any storage fees.

If you don’t have the room or don’t want to do this, consider renting a personal storage unit for the items and charging the client for rent. Make sure you insure the contents of the storage unit for loss and or damage, or recommend this option to the end user and provide contacts for reputable facilities.

You helped meet their need/request and provided a service by saving them the trouble of locating safe storage themselves.

Mignon Prunty
Marketing and Sales
Sabina
UPIC: SABINA
Determine if you have secured storage space by requesting the size, weight and quantity of the cases to be stored. If the products need over packing or safe packing to prevent breakage, ask the supplier to over pack the cases but ship via motor freight. This way if you need to reship to your customer the over pack case will not look used. If the products don’t need over packing, ensure you can reship the products using the same carton.

Advise your customer he or she must pay for the full order plus freight from the supplier to your location and advise the case quantity. When shipment is requested from you, it needs to be in even cases. It will also be beneficial to give a turnaround time from when you receive the request to when you can ship.

Once you receive the product, invoice your customer and include the quantity you received. Set up a formal order form in a Word document or Excel spreadsheet as your back-up. Once the customer e-mails the ordering form to you, ship the specified products and invoice for freight plus a processing fee. Also advise the tracking number and the product balance left in your facility.

Inform the customer the products need to be out of your location within six months of receipt. After that, start charging storage fees. This hopefully will encourage him or her to get the product out of your location.

Donna Call
National Sales Manager
T.Z. Case
UPIC: CASES4U
Our product is aluminum cases and they take up a lot of space in a warehouse. After having to store customers’ products a few different times, we made a new policy: Storing product now incurs a charge of $25 per pallet, per month. It’s a fair charge, and it motivates customers to take the product sooner than later.

A Distributor Asks:
One of my clients told me another distributor is trying to schedule a sales call with him. He told the salesperson he is not interested in moving the business and happy with the products and services I provide. Is it appropriate for me to call the competitor (whom I know) and ask her not to call my client anymore?

What’s your answer? E-mail answers along with your name, title and company name to Question@ppai.org by November 30 for possible inclusion in an upcoming issue of PPB magazine.

Comments (1)

11/17/2009
Lori S. Brown (lori@apspromos.com)
company: Advertising Premium Sales
title: Sales Service Mgr.
"Your client has already made it clear to the competitor that he is happy with your service. If you ever act on behalf of a client, it should be at their request only. It does not seem so in this case. Stay on the high road and your client relationship will thrive. Engage in petty politics and you will risk both relationships."

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