I heard about a card rep who makes regular visits a newsagency that does not stock their cards. The rep is wearing the newsagent down with baseless criticisms about the cards in the business and the performance of the incumbent supplier.
This card rep is clever using comments and cheap shots to undermine what was, until the visits started, a healthy and successful relationship between the newsagent and the card supplier.
The visitor card rep was so successful that the newsagent started to doubt the rep for the incumbent card company. This led to some decisions which hurt sales, playing into the plans of the visitor rep to win the account.
If it were up to me the card rep would be told not to return. Some newsagents are too nice, they put up with and sometimes believe the salesperson’s shtick.
If you are being hunted by a card rep who wants your business tell them to win it with facts and not BS about their competitor. Tell them you want sales data, not sell-in data from the card company but sales data from newsagents from before and after they switched a newsagent over.
Anyone can say they can do better, few take the time to prove it.
No, I am not going to name the card rep or the newsagent. There is no point. I hope I have written enough to get newsagents to be wary of the BS.
Sort of following on from this and just fishing for some thoughts really.
I am atm 100% with a card company.
Talking to other Newsagents (no seem there data though) I am being told I really need to go to a min 80/20 mix of cards with another company and having 100% with One is not the best idea?
Would a second company on 20% really increace my turn on cards I am not so sure but thoughts?
Brett I am 100% in my three newsagencies and sales are ahead of the trend. I went from 80/20 in one store to 100% and have done well from the move.
It all depends on your circumstances, nearby competitors and whether you being 100% gets you to a higher band of rebate.
Brett, I don’t think 20% is the magic figure. The point is to create a point of difference if you feel that is required. We have considered going 100% but are getting strong sales from a couple of boutique suppliers so won’t be doing that in the foreseeable. Do customers complain that your range has gaps? If so I would talk to your current supplier and if they can’t help seek consider a small supplier or two that can fill the gaps if you think it is costing you sales. We find that a quirky card or something unusual can be used to cover the needs of most customers who want something unusual.
As for reps who bag their competitors, it only shows a lack of belief in their own product and we don’t deal with this sort of rep or company, as a couple have found out over the past couple of years.
I think the key is to embrace a point of difference – even if you have 100%.
A couple of years ago I took cards from a major company out of the traditional fixtures and put them in something completely different and sales took off … by making them look different.
Agree with above posts – it is a point of difference to those other retailers around you that you need.
Several years ago we ditched our then main supplier who had 100%, and went with 7 smaller companies (no “majors”) with the biggest having 30% of the space. I insisted on owning my own fixtures to maintain flexibility with who had what space. At that point I was told by the then state manager “see you when go broke”. Our sales more than doubled in 18 months.
Due to some of these smaller companies no longer being around, we now have a main supplier with about 70% of the space and the remaining shared between 3 smaller companies, and we actively and aggressively manage the product in that space. Personally, I would never have a single supplier with 100% of the space as they have no one to compete against and you have no one to measure efficiencies against, but it is horses for courses.