Outsourcing Through Window and Door Sales Representatives
The fact of the matter is, you may have to put out a little more commission for each sale. This is very worth it if you want to feel out the market, or if your product will benefit from a demonstration, or your customers require constant explanation of new products. It is this reason, independent sales reps work mostly for manufacturers, wholesalers, and or technical companies.
You can still use reps in your business to cut costs and raise the level of sales on the phone or break into new markets and or territories. Here is a few tips of ways to find and retain reps so you are able to get everything out of them and help your company out.
How to find independent sales reps:
When finding a rep to meet the standards and needs of your business is not always easy. You have to learn and understand that not all sales representatives do not produce high numbers, this means that you should place several sales representatives in many different territories.
There are companies that are dedicated to helping sales representatives and businesses meet and they help put the correct sales reps with the company most suited. There may be some fees to have this help and process done through a company but it is worth it when it comes to time and value.
There are also cheap alternatives as searching through trade publications in the line of business you are in or question existing customers if your business has already been started. These alternatives are tried and tested by professionals and respected persons.
Networking and communication is also very important to understand. Going to trade shows and finding vendors that have to do with your business is a great way to help your company brand out. If you can network and hone in on industry trends and change as they do then your company should thrive. Not only do you and your sales representatives need to spend time on the road making contacts, you and your reps need to enhance relationships with designers and top players in the game.
Something that must always be done is to network all that time allows with clients, customers, and anyone you meet at trade shows, or in general public who could produce potential clients and connections in the industry.
Where to begin when hiring independent sales representatives:
You have to know what to negotiate and when you have found some potential reps, then you need to have them sign an Independent Sales Representative Agreement. Independent sales reps and contractors are not technically hired employees of your organization. They are not hired by you.
With this being said commission is the number one term you want to negotiate. Depending on your industry, there could be commission rates ranging anywhere from 5 to 25 percent of the sale, according to the Manufacturers’ Agents National Association. Don’t really try to negotiate a rate that’s lower than the standard for your category, especially if you want to recruit top quality salespeople. Make sure that the percentage is within level by looking at product cost, how much volume and how long it takes to make the sale. Again trade shows are a great way to feel your industry out and get a grasp on what is working and why and where.
Exclusivity is also a very important part of the puzzle when signing on independent sales representatives. You want to make sure that you have awesome sales representatives and wise to the industry you are into but you do not want them to represent you if they are representing the exact same thing for two other companies because this may conflict. There needs to be boundaries set and rules so that there is no confusion between sales representatives and territories.