It can often take years for an office technology dealer to develop a top-notch competency in a given business vertical. Not only is it imperative to hire a subject-matter expert to quarterback the initiative, it can take years of garnering customer satisfaction to accrue a reputation that can pave the door to further growth.
Once a dealer has made a name for itself in the education, legal or health care sectors (among many others) can it provide a springboard into new, unchartered territories? Does success in one vertical foreshadow the ability to establish a foothold in another? We’ve canvassed our State of the Industry dealer panel to get their views on the prospect of replicating success in another vertical space.
Health care has long been a strong suit for Repeat Business Systems, but the Albany, New York-based dealer is hardly a one-trick pony. President Dawn Abbuhl notes her company has a strong footprint in the finance sector as well, in addition to education and local, municipal government work. The main thrust moving forward, she said, is to figure out ways to go deeper and wider into existing accounts.
“We have so much traction and rocket fuel to attack six portfolio areas,” Abbuhl said. “The opportunities are really great right now. I think our strategy now is to make sure that we’re selling every customer, especially every major account type of vertical market customer, as many of those portfolio areas as possible.”
EDGE Business Systems is already amping up efforts in verticals where it currently serves, buoyed by industry-specific specialists. According to Josh Salkin, a partner with the suburban Atlanta-based firm, these include a print-for-pay specialist calling on CRDs and print shops, along with a government expert targeting state and local entities.
“Both of these are key areas of growth for us and we feel our partnerships with Canon and Xerox give us a significant advantage from technology to association and contract pricing to win awards,” Salkin said.
Doubling Down
The strategy for Cincinnati-based Prosource centers on expanding its expertise across its key verticals while building upon its successful vertical and SME overlay structure, all the while refining its vertical market approach across its strong product and service offerings, including MPS, production print, software solutions, managed IT and cybersecurity. Jay Cartisano, president of Prosource, feels the key to the plan is constantly improving its skillsets and understanding trends in order to be that trusted resource as the needs of the marketplace change.
To that end, Prosource will continue to invest in certification and training programs for employees, as well as augmenting the support structure that enables it to provide the high level of service that customers depend upon. Looking ahead, Prosource has witnessed growth opportunities in production print among insurance, financial services, commercial printing, and manufacturing.
“We’ve invested in our infrastructure both in our physical space, with a renovated, state-of-the-art production print showroom, and in our resources, growing our dedicated production print team,” Cartisano said. “Additionally, as we have expanded geographically, we have found opportunities to partner with more K-12 school districts in right-sizing their equipment and implementing solutions that have been proven in that market.”
Scott Titus, marketing director for Usherwood Office Technology in Syracuse, New York, notes the dealer’s strategy entails continuing its current approach, with a focus on increasing its scale and reach. Going wider with current clients is one such tactic toward that end.
“We are also looking at ways we can expand our reach into these verticals by offering other lines of business that can help strengthen our position and value proposition,” he said.
Dependable Clients
One of the factors that has enabled United Business Technologies (UBT) of Gaithersburg, Maryland, to enjoy strong success in the education, legal, entertainment and government markets is the fact that they’re consistent and dependable when it comes to paying their bills. These are also the type of clients that can be counted on to exist over the long haul, notes Stu Wise, president and COO for UBT.
One market in which UBT has room for growth is health care, which has not been a major area of focus for the dealer. But given its solid performance in list management, and a cadre of strong SMEs in the aforementioned spaces, UBT will seek to grow its presence and continue to feed off those opportunities.
“The beauty for us is how unique it is that we have 11 stellar reps, and our least performer last year did $1 million in a brand-new market,” Wise said. “We’ve got a really great foundation in terms of our reps. And I think we’ll stay in that space. We’re pretty good at some of these big opportunities.”
For dealers such as Loffler Companies of St. Louis Park, Minnesota, that have an abundance of vertical market clients in its portfolio, seeking out other vertical avenues is less important than taking input from existing clients and devising technology solutions that speak to their pain points. As such, President James Loffler sees an abundance of opportunities in continuing to foster existing relationships.
“I think a lot of it has to do with making sure that we’re investing in the relationship side, ensuring we’ve got the very best people who are knowledgeable and consistent in those organizations because it takes time to build trust and credibility in those verticals,” he said. “This may sound simple, but when you’ve been doing it for a long time, it’s contagious. When you’ve got 10 of the top law firms in your portfolio, it allows you to go into a new firm, provide examples of how you’ve helped similar firms, and develop a meaningful conversation. That speaks to trust and credibility.”
