Celebrating our company’s 70th anniversary this year has given us the opportunity to reflect on the many changes in our industry and our world over these decades. In our case, when my father launched the company in 1955 that would eventually become Pulse Technology, his “state-of-the-art” document generation equipment was the standard typewriter. In fact, I can remember helping repair typewriters in my early days in the industry. But, as the saying goes: that was then, and this is now. It’s interesting to look back but perhaps even more important to look at the present-day landscape and try to determine what the future might hold—and what we as dealers can do to prepare for it.
That might be easier said than done, since, although we sell and lease many different types of equipment, the mythical crystal ball isn’t among the inventory. Still, we can gauge the future to a degree based on past and present events—and that’s something that everyone in our industry should do in planning for the “next big thing.” With that said, here are a few observations for consideration.
1. Rumors of the demise of MPS are premature. We all did some head-scratching and soul-searching as events of the last five years in particular came crashing down around us. COVID-19 led to a restructuring of the workforce. Remote and hybrid office locations, the increase in online technology and other factors helped contribute to declining print demands. Add to that the challenges we’ve faced in supply chain issues and uncertainties over tariffs, and there have been moments when some might have wondered what would happen in our industry. Would MPS be doomed to a perpetual slow decline? Yes, print clicks have taken a hit, but we’ve never thought of MPS as a passing fad. Realistically, there may have been lesser demand for MPS than at other times, and with industry ups and downs, it’s never wise to rely too heavily on one source of income. So hitching your star entirely to the MPS wagon may be limiting your growth.
That said, though, MPS remains a staple of our industry. And we’ve seen that, with the consolidation occurring in the industry and the emphasis on other sources of revenue, MPS can sometimes get left on the table. In talking to your customers, if you’re hearing of situations in which your competitors or others aren’t pushing the value of MPS, this is an opportunity to increase your share. Despite declining print volumes, MPS remains a solid and strong business practice with a definite return on investment for the customer, and it’s up to us as dealers to communicate those savings in a clear and understandable way. MPS should continue to be front and center of every dealership’s offerings, and it should remain a viable means for dealer success well into the future.
2. That said, the three words for a dealer’s success over the next decades are: Diversification. Diversification. Diversification. You get the idea. Even a crystal ball might not be able to predict what changes lie ahead. So it’s important to be ready, and be open. Leading the diversification menu should be offering IT and cybersecurity services to customers. Cybersecurity is a logical, practical add-on to a dealer’s technology service offerings, and it’s a field that continues to grow. As long as hackers continue in their quest to find ways to invade networks and develop new ways to wreak havoc, the need for strong and comprehensive IT services will continue to increase. Office technology and equipment dealers can enter this market a couple ways: hire some expert talent if they don’t currently have it or do so through a merger or acquisition. The goal of these add-on services is for dealers not to leave money on the table. Dealers who want to thrive should be open to adding services that will help make them more of a one-stop shop. And in the case of a dealer that acquires an IT firm, it’s a chance to introduce MPS and other services to this new client base.
3. Supporting this recommendation is the belief that it’s usually easier and more cost-effective to sell additional services to existing customers. This is assuming, of course, that you bring a high level of proficiency with these new services. Your existing customers know you, your company and your brand, and they’d be more likely to respond to your offers. Most research points to a much higher rate of success for up-selling or cross-selling to existing customers than looking to sell to new customers. As dealers, we need to do both, but it makes sense to be sure you’re offering all you can to the customers you currently have.
4. Audio-visual (AV) and video walls. Your customers need every advantage they can get. Whether it’s in corporate, retail, hospitality, sporting facilities or places of worship, a video wall can captivate audiences, communicate information and reinforce brand identity. Video walls can greatly enhance communication between people in different locations, offering dramatic, high-resolution images. For dealers, a strong selling point to your customers is that they can also use the walls as a source of revenue such as selling advertising space on a scoreboard or listing sponsors of an event as part of the show. We’ve used our video walls to create a March Madness event where we air basketball games for our clients and prospects, and it’s always a big hit. Think of how AV can fit into your technology offerings. Once the domain of broadcast studios and command centers, video walls are more accessible, more versatile and more brilliantly high-resolution than ever. Think of all the ways AV can enhance your technology offerings.
5. “Other.” What ancillary services might your customers need that you could provide? Office products? Promotional products? Water cooler services? Don’t be afraid to think outside the boundaries a bit. Survey your customers, and ask what they need. The dealers who will thrive over the next decade are the ones who take that bigger, visionary look at what customers want, and it all starts by listening to what they say.
6. Industry groups will be important to dealer success. It’s important to stay on top of industry changes and advances. One of the best ways is to be a part of a few industry groups where you can talk with fellow dealers about what works for them and what doesn’t, and see some presentations on the latest equipment and techniques. Plus, there are many benefits to networking with your peers. Also keep an eye out for webinars and podcasts that can help keep you up to speed on what’s new in the industry.
7. Don’t overlook the importance of continually building your dealership brand and reputation. Doing so can yield many benefits, not the least of which is positioning your company favorably when it comes to hiring and retaining talent. Related to this point, it’s always important to recognize and reward your team for the good work they do every day. Companies that follow this principle will be better positioned for success over the next decade and beyond.
It’s a long way from 1955 when our doors first opened. You won’t find a typewriter anywhere on the premises here today. I imagine that my father, our founder, would be amazed at the evolution of the industry over seven decades. And as we look ahead, I anticipate there will be many twists and turns that will surprise us and those who come after us. So how do we prepare? Our best chance for success will be to remain informed on industry changes, open to diversifying and expanding our offerings, and having a strong team in place to help us execute on our missions. Remember that challenges are often just opportunities in disguise. Wishing you all a good and successful year and beyond!
