How To Sell Your Products Or Services
In A Small Town
By Tom Egelhoff
 If there is one true rule in business...it's
this, "Nothing happens until someone sells something."
You may have the best product or service in the world but until
someone is willing to trade something of value for it you don't
have a business. The sale creates the profit that drives the
business and keeps the door open. For a detailed mini-seminar
in selling techniques see Chapter Four: Sales Forecasting
in my book, "How
To Market, Advertise And Promote Your Business Or Service In
A Small Town."
If you're a small town or home based business owner then the
chances are your entire sales force is you. You're the one who
greets customers in the store or makes the cold calls out in
the field. It doesn't necessarily have to be that way. You do
have some options.
Where to
start
The best place to start is with your business plan. If you don't have one
you need to make one. You'll find a good guide to creating one
by clicking here. One of the main purposes of a business
plan is to map out how you are going to operate your business
and even more importantly how you are going to move your products
and services. It should detail your sales strategies along with
your marketing and advertising strategies.
Before you can sell anything to anyone you must have a complete
understanding of the products or services that you offer. In
addition, you must also know the strengths and weaknesses of
your company in delivering those products and services.
Let's assume you are a home based business that makes collectable
dolls. What happens if you, of a hired salesperson, make a sale
too large for your company to handle? What happens if you aren't
able to produce enough dolls fast enough for the demand your
advertising creates?
Before you can create a profitable sales strategy you must
be able to answer questions like this. That's what your business
plan will help you do.
Who will
do the selling?
I don't believe that there are "born salesman."
I do believe that there are people who have "learned",
either from family or life experiences how to relate positively
to people. And these folks use these "learned" skills
to be successful in the sales field. These are the same skills
that make one athlete a great coach and another a poor coach.
Look at three former basketball players...Magic Johnson (L.A.
Lakers), Larry Bird (Boston Celtics) and Phil Jackson (N.Y. Knicks).
Magic Johnson, one of the greatest players of all time was a
bust at being a coach. He felt everyone should play like he did.
Larry Bird, on the other hand, was selected Coach of the Year
in his first year of coaching.
Do you have to be a superstar to be a good coach? No. Enter
Phil Jackson. As a New York Knick, Jackson was never a starter.
Doesn't hold any major NBA records. Yet he has 7 NBA Championship
rings. Whatever talents he was lacking as a player he more than
made up for as a coach. The main differences between these three
men is their ability to relate to others and motivate them in
a sports setting.
If you are one of these people who relates well with others
you may have to be the designated salesperson for your company.
If you don't posses these skills and/or don't want to learn them
then you must consider others to do the selling job for you.
You have
two choices
If you aren't going to do the selling yourself, then you have
two choices. You will either have to use someone from within
your company or a manufactures' representative (I'll define that
in a moment). Let's look at the pros an cons of both.
In-House Sales Force - Pros
They only sell your products and services.
You have control over them with sales reports. Where they
go and who they see.
It's in their best interest to be successful for you to stay
employed.
In-House Sales Force - Cons
Most all of the expenses of the in-house sales force are your
responsibility. Brochures, flyers and sales materials. Also insurance
and benefits if you offer them.
The person you select must be able to handle rejection well.
If they can't they won't be successful.
You may need to subsidize the salary of the salesperson for
a while then transfer them to a commission status or salary plus
commission.
They must be self-motivated if unsupervised. People like this
are often hard to find.
Manufacturers' Representatives are also called independent
agents. These sales people often carry several lines of products.
For example, a furniture salesman might also carry a line of
lamps and other interior decorating products. Some reps may carry
as many as 30 different lines of products or services.
Sometimes they work for a main vendor and carry other products
on the side. In other cases they are independent contractors
that are in business for themselves and are paid a commission
on what they sell.
Manufacturers' Reps - Pros
Out of pocket expenses are reduced. No salaries, benefits
or travel expenses. You may still need to provide sales materials.
They generally can afford to cover a larger geographic area
because they can spread expenses over many different lines.
If they don't sell they don't get paid.
They can afford to make calls to sell "small ticket items."
Your sales force, with only one product line to sell, could not
afford the expense to make the calls over long distances.
Manufacturers' Reps - Cons
You have no control over where they go and who they call on.
They only have so much time in front of customers. With 30
lines they may not give enough time to yours.
If they are successful with other lines the gain or loss of
yours may not be significant motivation to really press to sell
your line.
If your line is hard to sell they may drop it in favor of
something easier to sell.
Because they are not involved day to day with your company
it's very difficult for them to know your products and procedures
as well as an in-house sales person might.
Which One Should I Choose?
Which one to choose depends on your particular situation.
Here are some guidelines to help you make the decision.
If you have a product that's relatively easy to sell but you
have limited cash resources consider using the sales rep. If
your product is difficult to sell but you're in a strong cash
position use your own sales staff. If you have a small ticket
item and want to reach a wide geographic area use the sales rep.
Conversely, if you have just the opposite, high ticket; small
territory, use your own sales staff.
How would
I find a manufacturers' rep?
Consider the people who are calling on you now. Do they call
on your customer base? If not, you can contact companies that
handle non-competitive cross lines. Like the furniture and lamps
from the example above. Ask to have a salesperson contact you
and evaluate the sales call.
Some reps are prohibited from handling other lines but many
are not. You can also contact the Manufacturers' Agents National
Association at (714-859-4040).
The last
word on how to sell your products and/or services
In most cases you will probably want to develop an in-house
sales force. If that is the case then there are at least three
things you need to keep in mind to be successful.
1. Good companies and good salespeople don't sell products.
They sell solutions to problems that the customer has. (See:
Understanding Why Customers Buy)
2. Good companies and good salespeople know that the features
of a product are not as important as the benefits of the product.
(See: How To Develop Product Benefits That Sell)
3. Good companies and good salespeople don't just sell products
and services to their customers. They develop long term relationships
that promote repeat business and a stronger company. (See: How To Make Friends And Turn Them Into
Customers)
(To The Main Menu)
This article may be reproduced for your non-profit group or
organization provided it is not altered in any way
and the following is attached:
Used With Permission
©2000-2002 Eagle Marketing PO Box 271 Bozeman, MT 59771-0271
http://www.smalltownmarketing.com - (406) 585-0219 - Toll FREE
(888) 550-6100
email: tommail@smalltownmarketing.com
Based in Bozeman, MT, Tom Egelhoff is the author of How To Market, Advertise & Promote Your
Business Or Service In A Small Town, and The
Small Town Advertising Handbook: How To Say More And Spend Less.
He is also a seminar and workshop presenter
and trainer. He may be reached at 888-550-6100 or PO Box
271 Bozeman, MT 59771-0271
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