Latest from Community & Opinions
Remembering 2024
Sponsored
It’s been a while since my last article in Electrical Wholesaling: Feb. 2011 to be exact. I wrote that article, Death of an Outside Salesman, during my 33rd year in the electrical distribution business. Since then, I was recruited to help run and start other businesses where I became a customer for electrical distributors.
During this time, I’ve worked with many distributors and online companies. Not surprisingly, I found out customer service is truly becoming extinct. Now, this doesn’t apply to everyone -- maybe you, maybe not. But while trying to conduct business it’s become very apparent that many distributors have lost their way. When I was in distribution, we did so many simple things that seemed like such a normal way to conduct business. In the following paragraphs, I wanted to outline some very basic notions about customer service that have seemed to gone by the wayside. Whether you agree or disagree with these observations may indicate that either you’re not aware of them, or merely choose to continue down the path you’ve set without regard to those who look to you for customer service.
WHERE HAVE ALL THE RECEPTIONISTS GONE?
A customer’s first point of contact with your company should not be a recording with a menu. You may feel this is cost effective and that it’s okay because how other companies operate. But when was the last time you called a company, could not get a person answer the phone -- and still felt that company would take care of you? After several prompts and many frustrating circles within the menu, you probably never got to speak to a real person, never got the answer you needed and probably came away from the whole experience feeling no one at that company really cared if your problem was solved or not.
Remember that a customer’s first point of contact with the company you’ve worked so hard to make successful should be with a person who can not only direct you to the right person but also treat you like they cared you called and are truly taken care of.
Automated systems may sound like they’re the answer. But after calling a company several times and having no one pick up your call, or being transferred to the wrong department, or being asked to state the reason for your call, you can’t blame a customer for hanging up and calling your competitor.
TRAINING… TRAINING… TRAINING...
It used to be the natural progression that when an electrical distributor hired you, there was an opportunity to work your way up. Training was integral to that next step. Today, so many manufacturers have put that burden back on the distributor and the distributor has decided online courses or learning by experience, is the best way.
This might be a good way to learn generalities. But when it comes to truly understanding a product or a manufacturer’s offering, in-person training is the only way to connect a solution to a salesperson. Social media is not the answer here folks -- one-on-one training is still needed. If I asked you how to change out the contacts on a contactor, would you know the answer? If I gave you a number of a completed pushbutton with contact block and you checked that number and had no stock, would you know how to assemble it from components that you did have?
So many of the simplest things are lost because manufacturers no longer train the people selling their products. Hands-on training and personal explanation and understanding of the product cannot be learned online and should not be looked at as a proactive way to sell. Sure, you can Google something to find out about what I’m calling about. But as a customer, I don’t have the time for you to learn about your product while I am on hold.
The real loss is that now when a customer calls and says they need a product, the salesperson often asks, “Do you have a part number for that?" If you do that, then why are you called a salesperson. Training a person on products and their applications is key to having a successful sales force. If you choose not to train your associates on what they deal with every day, what that says about your organization is, "We want your business, but only if you know a part number.”
Customer service should not be a thing of the past. If I call you, I’m calling to get help for the right product, and I may not know what’s available for my solution. That’s when I need to speak with a knowledgeable salesperson. If one is not available at your company, I can always call your competitor.
WORKING FROM HOME… REALLY?
There may have been a time when companies needed their associates to work from home due to COVID restrictions. Unfortunately, those that worked from home enjoyed it so much that some distributors have decided to continue that practice. In hindsight it was needed, but now so much.
On the upside of working from home, some of your weekend tasks can be handled while working to free up your weekend for “me-time.” I know that’s a harsh statement, and that not everyone can or does step away, but perception is sometimes what’s perceived as fact. If you’re working from home and don't pick up when a call is transferred to you, thoughts of being pre-occupied pervade. I can’t tell you the number of times I’ve called a distributor only to be transferred to voice mail, the operator, or a recording, and could not tell who was there and who wasn’t.
There are tons of advantages for associates to work from home, but the downside is more relevant to a company’s growth and customer service. If you’re just an order taker where I just give you a part number to enter and ship, then that can work. But if you’re a salesperson working from home, you miss many of the opportunities for mentoring and learning from others that you have working in office.
There is also something to be said for being where the stock is. I can’t tell you the number of times I’ve talked to distributors' salespeople working from at home and they say an item is in stock, and that we just have to trust the computer -- only to find out the next day that my critical item did not show because they didn’t verify physically whether it was in stock or not.
What if I call when you are working at home and ask you for an item, and you’re not sure if you sell it or not. You may just say, “No, I don’t think we do,” because you can’t ask the more experienced salesperson if you carry it. Again, any online training you may have in place cannot make up for having an in-office experience where you are surrounded by knowledgeable co-workers who can help with things you might not know.
If you think working from home is okay and see no problems with it, no worries here. I can always call the distributor who always has the answers because they have peers in their office who help them answer questions.
PRINT CATALOGS ARE STILL VALUABLE
“Have you looked online? Our website is really the only place we have our information.” I am so tired of hearing this from distributors. I realize I’m older, and everyone relies on websites for information. But I wonder if manufacturers are losing business and selling off parts of their lines because there are no more catalogs or trained professionals for distributors to rely on to sell their complete product offerings.
You may think there are tremendous cost savings from not printing catalogs and that product information is now all digital. Most distributors’ customers look online when they know a part number or are trying to gain some knowledge about a part they currently have. But if I’m searching for a part without a part number, then I have more than your line to choose from.
If distributors are selling off portions of their lines or are falling short on growth initiatives, then I challenge them to look at the last 10 years to see if a restructuring or reduction in a trained sales force, lack of printed catalogs or lack of true personal visits may have affected the bottom line.
Catalogs do not require 15 clicks to find a part that would have been listed on a page under the desired section, where I could find the part number that your so-called salesperson is not aware of, or that I have to furnish to place an order.
Distributor marketing departments often don’t understand customers’ points of view. They figure their website is complete because all products can be found. Yes, they can find products quickly if they know where to look, but even distributors’ field salespeople are saying, “Give me a minute, I know it’s online. But let me find it and I’ll call you back.”
Catalogs put your complete offering in front of the customer and generally have enough information to answer questions that can’t be found until the 15th click. If customers have to go online, remember they will be searching for a generalized part, and then everyone’s offering will be there to select from.
When deciding not print catalogs, think of customers. We will go to the manufacturer that we have the most information on, and then call the distributor that reps that line with a part number that we looked up to find our solution. Help in selecting products is hard to find online. Chat sessions are now AI (artificial intelligence), and again it’s like calling and getting a recording only to receive no help.
WHERE ARE YOU?
What’s the difference between reactive and proactive salespeople and sales philosophies? You may not know the difference if you’re losing business. In my first article, “Death of an Outside Salesman” I detailed the reasons you may be losing business. Many customers are still not seeing their salespeople unless there is an order at stake or a problem. Being proactive means showing new products relevant to my business, or that will help me down the road.
I find that distributors sales calls are virtually nonexistent these days. If that’s not the case with you, then you’re not only getting your share, but are also growing your customers business in the process. Kudos to you!
But distribution has become somewhat lazy and expectant in today’s world. Electrical distributors tend to believe past relationships and services that may no longer exist will carry them through to the next expected growth goal. But when they fall short, they question their customers’ loyalties or possible lack of business.
If I see a salesperson regularly, I’m more likely to give them my business, as I know they’re there to help me and they possibly have presented the very product I need previously. They become a partner and not just a salesperson. I don’t need a lunch or golf outing. What I need is resources with my vendors and manufacturers to be the best at what I do.
And I don’t want to hear, “Don’t forget, you can always visit our website or contact us via chat.” Do you realize that most manufacturers or vendors don’t reach out for 24 to 48 hours, if that, in response to a web chat or web inquiry? If I had that much time I’d run out and get it myself. Again, no personal service, no connection to you as distributor. No worries, I can check with the salesperson that does call on me.
DOES “RDC” STAND FOR REDUCED DISTRIBUTOR CAPABILITY?
RDCs (regional fistribution centers) are thought to be a major benefit for those that have them. Generally, a distributor with multiple branches within a smaller region will consolidate their inventory by opening a RDC so their stock at branch levels are reduced. They promise a broader selection of stock and services from their RDCs. However, what this also means is that their day-to-day counter business may be affected. Branches no longer have large inventories of motor control, industrial products or hard-to-get items. Instead, the customer must either wait for delivery or go elsewhere to find what they’re looking for. In addition, deliveries can no longer arrive early as the RDCs’ trucks must travel further and may not be able to reach your dock as early as they could before.
Now, not all RDCs suffer this way. But when they do, your customers will be going where they can pick up stock and get their deliveries early enough to start the day. There is something to be said for having what your customer needs, without having to wait.
JUST ‘SAYIN
Now I know from experience that many distributors don’t fit these scenarios. But if you do, I hope this helps you to identify some areas that may need to be looked at to grow your sales. Being in the electrical wholesaling industry for the length of time I was, distribution was and is still very near and dear to my heart. It’s tough seeing customer service going by the wayside. It’s not just in our industry, but throughout customer-driven platforms. So, the next time you have to call your cable company, health care provider or insurance company, and the recording comes on, ask yourself, “Is this how we should handle our business?”
ABOUT THE AUTHOR
Brett Patterson was in electrical distribution for 35 years and has 30-plus years of experience in sales, account management, and upper management. Starting at the age of 15, Patterson took a familiar career path, starting in an electrical distributor’s warehouse and working through counter, inside sales, outside sales and branch management. He has assisted with the selection, implementation and training for ERP systems and automated warehousing systems.
After being with the same company for 35 years and reaching a top level, he left to become vice president of an OEM industrial panel builder for nine years, developing new strategies to add to the company's sales and growth.
After achieving the goals he set forth, he then went to Ohio Valley Electrical Services, a Cincinnati, OH-based electrical contractor, one of his former customerss. At Ohio Valley Electrical Services, Patterson green fielded a new Industrial Panel division to add to their multiple service divisions. He has been with Ohio Valley now for the last five years and continues to grow and develop a business that in three words: “Keeps on giving.” In addition, Patterson was formerly a Red Cross volunteer who helped out during Hurricane Katrina. You can at reach him at BPatterson@ohiovalleyelectric.com.