{"id":51926,"date":"2022-10-29T01:14:31","date_gmt":"2022-10-29T08:14:31","guid":{"rendered":"http:\/\/www.enxmag.com\/twii\/?p=51926"},"modified":"2022-10-29T10:35:44","modified_gmt":"2022-10-29T17:35:44","slug":"in-an-era-of-sales-challenges-dealers-see-net-new-as-the-path-forward","status":"publish","type":"post","link":"https:\/\/www.enxmag.com\/twii\/state-of-the-industry\/2022\/10\/in-an-era-of-sales-challenges-dealers-see-net-new-as-the-path-forward\/","title":{"rendered":"In an Era of Sales Challenges, Dealers See Net-New as the Path Forward"},"content":{"rendered":"\n<p>It\u2019s not the easiest time to be an office technology dealer sales rep. COVID-19, the supply chain fiasco, inflation, rising interest rates and other largely pandemic-spawned issues have placed a drag on activity in the business community as a whole. Conversely, the degree of difficulty that\u2019s been created has opened a wealth of possibilities for those who thrive on opportunity.<\/p>\n\n\n\n<p>As you\u2019ll see in this month\u2019s State of the Industry report on sales in the post-pandemic era, a number of dealers are capitalizing on their counterparts\u2019 weakened ability to deliver value to their client base. Net-new isn\u2019t wishful thinking, and we have numerous examples of dealers who\u2019ve gone well beyond extending leases and offering refurbished equipment in an effort to sustain existing business. They\u2019ll provide some tools and tips that have enabled them to ferret out net-new opportunities and add revenue in the most difficult environment in recent history.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Jim-Morrissey-UBEO.jpg\" alt=\"\" class=\"wp-image-51927\"\/><figcaption>Jim Morrissey,<br>UBEO Business Services<\/figcaption><\/figure><\/div>\n\n\n\n<p>Looking at the pandemic strictly through the eyes of business, one aspect the period provided was the opportunity to not only embark on extensive training but to have meaningful conversations around what successful account penetration looks like in today\u2019s world. UBEO Business Services, with headquarters in Austin, Texas, focused its training beyond print to become more workflow centric. Jim Morrissey, UBEO president, believes in order to truly own an account, the conversation (and engagement) needs to include production units, copiers, workflow and other elements that enable the client to realize its potential.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>It helps that we\u2019re product-agnostic. I don\u2019t know how single-line dealers could survive what we\u2019ve been through.<\/p><cite>\u2013 Jim Morrissey, UBEO Business Services<\/cite><\/blockquote>\n\n\n\n<p>The holistic approach is part and parcel of the sales reps\u2019 overall success. \u201cFlipping copy machines is great, but it\u2019s not what the customers are seeking,\u201d he said. \u201cWe spent a lot of time throughout the pandemic illustrating what good looks like, from Monday morning examples shared by reps to understanding concepts surrounding the cloud and other areas where customers are seeking expertise.\u201d<\/p>\n\n\n\n<p>Rather than refinancing the entire account, Morrissey and Co. focused on assessments that help identify the pain points and devise a plan for replacing or redeploying assets. Clients appreciate the best solution approach as opposed to a broad rip-and-replace campaign. With customers not in the strongest position for major outlays during the height or immediate aftermath of the pandemic era, this philosophy will be remembered (and rewarded) by clients when supply chain issues, inflation and rising interest rates aren\u2019t as prevalent.<\/p>\n\n\n\n<p>UBEO is also able to capitalize on accounts in which incumbent providers aren\u2019t at the top of their game in regards to service and overall value proposition, thus net-new business has been brisk. In fact, Morrissey believes net-new placements this year represent an all-time high.<\/p>\n\n\n\n<p>\u201cIt helps that we\u2019re product-agnostic,\u201d he said. \u201cI don\u2019t know how single-line dealers could survive what we\u2019ve been through. Plus, our inventory is as high as ever because we have the cash to buy it whenever it\u2019s available. We\u2019ve been able to accomplish a lot of fulfillment through managing inventory. Before the pandemic, we hired a person responsible for all vendor relations and logistics. He\u2019s dedicated a lot of time figuring out how we\u2019re going to get product to customers. Sometimes it means not having A4, so we have to sell them used A3 in place of it. It\u2019s all about adjusting.\u201d<\/p>\n\n\n\n<p class=\"has-vivid-cyan-blue-color has-text-color\"><strong>Customer Patience<\/strong><\/p>\n\n\n\n<p>While many end-users have exercised an abundance of patience and understanding regarding the economic and supply chain scenarios, frustration has begun to bubble to the surface regarding wait times for hardware orders. Erik Crane, president and CEO of CPI Technologies in Springfield, Missouri, notes his dealer has counseled sales reps to be upfront and transparent with clients as much as possible to mitigate unpleasant surprises.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Erik-Crane-CPI.jpg\" alt=\"\" class=\"wp-image-51928\"\/><figcaption>Erik Crane,<br>CPI Technologies<\/figcaption><\/figure><\/div>\n\n\n\n<p>To that end, it\u2019s been vital to communicate the status of items that are in stock so reps can deliver equipment as quickly as possible. \u201cHaving hardware in stock is definitely a closing advantage if you have what the client is looking for,\u201d he said.<\/p>\n\n\n\n<p>CPI has witnessed an uptick in renewals on service agreements along with extensions of expiring leases\u2014mostly attributed to economic uncertainty and, of course, the anticipated delays in wait times for hardware, which has stymied new lease agreements. \u201cConversely, we\u2019ve seen clients sign for a new unit, knowing it\u2019ll be a while until the hardware arrives,\u201d Crane noted. \u201cCPI will allow a month-to-month service billing until the new machine is ready for install. This is a win for both parties involved.\u201d<\/p>\n\n\n\n<p>CPI hasn\u2019t materially changed how it incents for net-new hardware and solution accounts during the pandemic period. Crane believes there\u2019s a certain percentage of clients that opt to remain with their incumbent vendor and a certain percentage that will make a switch, depending on conditions.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>Trying to find competitive machines in environments where a client is willing to move is hard enough, let alone when you may have an extended wait for the gear.<\/p><cite>\u2013 Erik Crane, CPI Technologies<\/cite><\/blockquote>\n\n\n\n<p>\u201cTrying to find competitive machines in environments where a client is willing to move is hard enough, let alone when you may have an extended wait for the gear,\u201d he said. \u201cAs the economic uncertainty continues, clients making changes will become fewer as they look for stability in their organizations.\u201d<\/p>\n\n\n\n<p class=\"has-vivid-cyan-blue-color has-text-color\"><strong>Making Adjustments<\/strong><\/p>\n\n\n\n<p>Transitioning from face-to-face meetings to Teams, Zoom and other video conferencing platforms wasn\u2019t as smooth for sales reps as one would hope. Brent Simone, president of Stratix Systems in Wyomissing, Pennsylvania, points out that three or four of his top performers\u2014annual president\u2019s club qualifiers, no less\u2014struggled during the first four months of the transition, as they had crafted their approach around the traditional belly-to-belly meetings. Fortunately, the company\u2019s development coach helped the reps adjust their styles to enjoy the same level of success experienced prior to the shutdown.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Brent-Simone-Stratix.jpg\" alt=\"\" class=\"wp-image-51929\"\/><figcaption>Brent Simone,<br>Stratix Systems<\/figcaption><\/figure><\/div>\n\n\n\n<p>The rubber is hitting the road once more for Stratix; the dealer\u2019s performance in 2021 exceeded 2019, and 2022 is tracking to be an even better campaign. This year\u2019s figures are somewhat deceptive; 2021 saw the company log more than $2 million in backorders that came to fruition. Its true growth has come in the form of managed services, which increased 17% in 2021 and 25% this year.<\/p>\n\n\n\n<p>\u201cWe finally figured out the cadence of how to get support resources to work with our prospecting team, our traditional MFP reps, to have qualifying documents and figure out who\u2019s the right fit and the right prospect for us,\u201d Simone explained. \u201cThen we bring in a resource specialist, and we\u2019ve been very successful at landing net-new managed service clients.\u201d<\/p>\n\n\n\n<p>While Simone can\u2019t credit a \u201csilver bullet\u201d with Stratix\u2019s success, it\u2019s been a matter of tweaking the approach and focusing on fundamentals. In hindsight, one of the strategic moves implemented at the onset of COVID\u2014emphasizing security and the IT offerings through free assessments\u2014was critical in getting end-users to return phone calls, which was no small feat at that time. It was also a door-opener to expand the conversation around products and services core to the dealership.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>\u2026my people are highly incented to sell net-new business. It\u2019s the only way we\u2019re going to grow. If we just upgraded our current base, we\u2019d be shrinking.<\/p><cite>\u2013 Brent Simone, Stratix Systems<\/cite><\/blockquote>\n\n\n\n<p>The 20% net-new growth Stratix currently sees can be attributed, at least in part, to the dealer\u2019s handsome incentive package. \u201cWe incent, operating percentage-wise, probably 75% higher on the gross margin, and then we pay a flat percentage of any revenue for net-new,\u201d Simone said. \u201cAlso, if [reps] have 60% of their quota net-new, they get a bonus for all the revenue that they sell. So my people are highly incented to sell net-new business. It\u2019s the only way we\u2019re going to grow. If we just upgraded our current base, we\u2019d be shrinking.\u201d<\/p>\n\n\n\n<p class=\"has-vivid-cyan-blue-color has-text-color\"><strong>Catching a Break<\/strong><\/p>\n\n\n\n<p>Onerous supply chain issues weren\u2019t an issue for some fortunate dealers, including Pulse Technology of Schaumburg, Illinois. President and CEO Chip Miceli reports that his manufacturer vendors have mostly been able to deliver in a timely manner. Adapting to video conferencing has been reasonably smooth; Miceli much prefers the in-person option, but Microsoft Teams has been the platform of choice for the dealer. Even today, the conferencing platform serves a valuable role.<\/p>\n\n\n\n<p>\u201cFor our more rural branches, Teams meetings still take high priority,\u201d he added.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Chip-Miceli.jpg\" alt=\"\" class=\"wp-image-51930\"\/><figcaption>Chip Miceli ,<br>Pulse Technology<\/figcaption><\/figure><\/div>\n\n\n\n<p>Pulse Technology has spent much of the past year fortifying its staffing needs. In addition to eight rep hires, the dealer onboarded a new sales manager who works closely with Miceli and other members of senior management. Sourcing quality talent remains a priority for the dealer, and Pulse underscores that commitment by providing the necessary training and mentoring support to help individuals maximize their potential.<\/p>\n\n\n\n<p>One of the newer offerings that\u2019s bolstered Pulse\u2019s service portfolio is document conversion from hardcopy to digital files. \u201cPulse Technology was built on print, but our expansion into IT, AV and software has opened new market opportunities for us,\u201d Miceli said. \u201cSelling multiple solutions is the way forward. Providing our sales team with tools such as ZoomInfo (database) and technical support specialists to help drive the value in the process, and a new CRM, has enabled us to manage what we measure.\u201d<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>Pulse Technology was built on print, but our expansion into IT, AV and software has opened new market opportunities for us. Selling multiple solutions is the way forward.<\/p><cite>\u2013 Chip Miceli , Pulse Technology<\/cite><\/blockquote>\n\n\n\n<p>The road to net-new business has been forged with a leaner team, but Pulse Technology\u2019s sales figures have returned to pre-pandemic levels. Miceli strongly incents for sales in both the traditional and more recent offerings, and the dealer empowers its reps to ferret out any and all solutions that can benefit the client.<\/p>\n\n\n\n<p>\u201cWe let the business challenges dictate the solution,\u201d he said. \u201cWe train our sales team to think outside the box, and we believe that incentives help them conduct themselves that way each day.\u201d<\/p>\n\n\n\n<p class=\"has-vivid-cyan-blue-color has-text-color\"><strong>Service Selling<\/strong><\/p>\n\n\n\n<p>In an age when some dealers reduced hours or their staff to reconcile lower revenue, Offix of Gainesville, Virginia, didn\u2019t resort to any mitigation efforts out of fear of compromising quality customer care. Client outreach posed the same high degree of difficulty as in other geographic regions. When the pandemic receded enough to yield a somewhat normalized environment, it left an entirely different landscape in its wake, according to Tim King, vice president of sales. Client doors are still locked in regions such as Richmond and northern Virginia, while the dealer\u2019s Norfolk office reps are finding a more welcoming environment for face-to-face meetings.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Tim-King-Offix.jpg\" alt=\"\" class=\"wp-image-51931\"\/><figcaption>Tim King, Offix<\/figcaption><\/figure><\/div>\n\n\n\n<p>While King has heard a lot of market chatter regarding the permanence of remote work and businesses doing away with centralized offices, he remains confident that on-premise operations will resume in the not-too-distant future for most clients. \u201cMaybe it\u2019s wishful thinking, but I believe we\u2019re social animals, and that interaction we get with co-workers is important and keeps us healthy,\u201d he said. \u201cWe\u2019re still holding reps accountable to their daily phone calls, setting net-new appointments and getting out in front of as many clients as possible. It\u2019s still possible, but just a little more challenging.\u201d<\/p>\n\n\n\n<p>Sticking to the basics, according to King, has enabled Offix to see an uptick in both its large-format and MPS business. Putting the customer first translates into a high rate of customer retention, but in terms of net-new placements, the dealer has struggled to attain its desired success level. One of King\u2019s first initiatives upon joining Offix earlier this year was daily call blocks between 8 and 10 a.m. with a quota of two net-new appointments daily or 10 per week. While the initiative is still in its early stages, it\u2019s had a salutary impact on increasing sales.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>We\u2019re still holding reps accountable to their daily phone calls, setting net-new appointments and getting out in front of as many clients as possible. It\u2019s still possible, but just a little more challenging.<\/p><cite>\u2013 Tim King, Offix<\/cite><\/blockquote>\n\n\n\n<p>In light of the supply chain issues, garnering net-new business is more difficult as competitors have done a better job of insulating their accounts against would-be suitors, according to King. Competitive pricing to an extreme degree tops the list, which can make it harder on dealers such as Offix that don\u2019t chase deals down the race-to-zero rabbit hole. That means leading with a different talk track that emphasizes its value proposition.<\/p>\n\n\n\n<p>\u201cMost of the [competitors] in our marketplace are just break-fix,\u201d King explained. \u201cWe\u2019re one of the few dealers out there that still performs preventive maintenance. But I think our reps are doing a good job of selling the value. We also have some strong guarantees that help us differentiate, particularly with service.\u201d<\/p>\n\n\n\n<p class=\"has-vivid-cyan-blue-color has-text-color\"><strong>Early Adopters<\/strong><\/p>\n\n\n\n<p>While remote conferencing technology created an adjustment period for many sales reps accustomed to in-person pitches, some dealers had long since leveraged the technology out of necessity. One example is Usherwood Office Technology of Syracuse, New York. Microsoft Teams helps unify 17 dealer offices across seven states.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Don-Foley-Usherwood.jpg\" alt=\"\" class=\"wp-image-51932\"\/><figcaption>Don Foley,<br>Usherwood Office <br>Technology<\/figcaption><\/figure><\/div>\n\n\n\n<p>Don Foley, vice president of sales, notes that since the company leads with technology, offering used equipment wasn\u2019t a priority pre-pandemic. Thus, when the supply chain constraints placed a drag on hardware installations, the dealer found itself with a wealth of used inventory at its disposal to help sustain customers until orders could be fulfilled.<\/p>\n\n\n\n<p>\u201cOur sales department has become better and more comfortable using the Teams platform and has developed a talk track around the supply chain issues, with the goal to under-promise and over-deliver,\u201d Foley said.<\/p>\n\n\n\n<p>In the past year, Usherwood employed a three-pronged approach with its sales force. The main thrust is to keep existing clients \u201chappy and renewed,\u201d according to Foley. The second initiative is devising account representatives\u2019 assignments in a way that forces them to forage for net-new clients as opposed to just leaning on renewals. The third tactic entails coaching reps to make use of Usherwood\u2019s seven different lines of business, ensuring they go wider with the existing base.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>We have an incredible value proposition and find that when delivered to the right audience, bringing new customers on board becomes easier.<\/p><cite>\u2013 Don Foley, Usherwood Office Technology<\/cite><\/blockquote>\n\n\n\n<p>While net-new has long been a priority, the pandemic period underscored the need to continue pushing into unchartered waters. \u201cEarning new clients has always been challenging, and our sales force earns more money for doing this,\u201d Foley noted. \u201cWe have an incredible value proposition and find that when delivered to the right audience, bringing new customers on board becomes easier.\u201d<\/p>\n\n\n\n<p class=\"has-vivid-cyan-blue-color has-text-color\"><strong>Ship Comes In<\/strong><\/p>\n\n\n\n<p>Tim Renegar knows how to make the best of a terrible situation. The president of Kelly Office Solutions in Winston-Salem, North Carolina, has experienced his share of frustration during the supply chain saga. At one point, the dealer had nearly $2 million in sold equipment floating in the ocean, waiting to be unloaded. His customers, naturally, had little recourse since precious little product was coming in for most (if not all) of the industry\u2019s OEMs. Shoulder shrugs do little to allay customer anger, but Renegar credits his sales and management team with stepping to the fore with temporary solutions in conjunction with the dealer\u2019s leasing partners.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Tim-Renegar-Kelly-Office-Solutions.jpg\" alt=\"\" class=\"wp-image-51933\"\/><figcaption>Tim Renegar,<br>Kelly Office Solutions<\/figcaption><\/figure><\/div>\n\n\n\n<p>While the new freight was enjoying an extended cruise in the Pacific Ocean, Kelly Office Solutions mobilized with extended (lower) leases for existing clients, and in some cases, step leases in anticipation of the new gear\u2019s arrival. The dealer also released some equipment that hadn\u2019t been in use. The result was a 7% increase in sales over pre-pandemic levels.<\/p>\n\n\n\n<p>\u201cWe\u2019ve been much more creative in how we go about marketing,\u201d Renegar said. \u201cIt\u2019s made them better salespeople, more creative and willing to look at different options. We sold what we had in inventory, but it had to meet customers\u2019 needs. We were able to get through this time in a very successful way.\u201d<\/p>\n\n\n\n<p>Tending to the dealer\u2019s existing base doesn\u2019t tell the full story. Nearly 30% of Kelly Office Solutions\u2019 total equipment placements for the last fiscal year (ending in June) were net-new. And one of the catalysts for that success was the aforementioned ZoomInfo, a subscription-based SaaS tool that (among other things) provides information on prospects who are actively searching for products within a business\u2019 portfolio. Renegar, initially skeptical about the technology, recently renewed his account and added more seats for his growing sales staff.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>We sold what we had in inventory, but it had to meet customers\u2019 needs. We were able to get through this time in a very successful way.<\/p><cite>\u2013 Tim Renegar, Kelly Office Solutions<\/cite><\/blockquote>\n\n\n\n<p>Wanting to be genuine and transparent about the dealer\u2019s leveraging of the SaaS tool, Kelly reps provide full disclosure when cold-calling on the prospects. They explain how they know the would-be client is looking for a given product before beginning the process of asking for the prospect\u2019s business. While the leads typically yield smaller equipment sales, the tool has provided a boon for extra revenue during a difficult period. But there have been larger deals.<\/p>\n\n\n\n<p>\u201cWe closed a quarter-million hardware sale from a ZoomInfo search,\u201d Renegar noted. \u201cIt added about 225,000 black-and-white clicks and another 60,000 color clicks per month. Initially, I was worried about the return on investment, because [ZoomInfo] is expensive. But my goodness, it\u2019s paid for itself several times over.\u201d<\/p>\n\n\n\n<p class=\"has-vivid-cyan-blue-color has-text-color\"><strong>Ongoing Battle<\/strong><\/p>\n\n\n\n<p>Located a mere 25 miles from New York City, Electronic Office Systems of Fairfield, New Jersey, experienced some of the most draconian shutdown measures among its clientele nationwide when the pandemic struck. The dealer sustained a 30% revenue drop over consecutive years, creating one of the greatest challenges for President Andrew Ritschel since he founded the company nearly 39 years ago.<\/p>\n\n\n\n<p>A member of the Copier Dealers Association, Ritschel had heard about member dealers sustaining revenue losses in the 10-20% range, but given the concentration of businesses in the geographically small New York City metro area, Electronic Office Systems was among the hardest hit. He implemented a 30-hour, four-day week and assigned his techs to any number of 50 different training courses through manufacturers and other educational outlets.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large\"><img loading=\"lazy\" width=\"150\" height=\"200\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2022\/10\/Andrew-Ritschel-Electronic-Office-Systems.jpg\" alt=\"\" class=\"wp-image-51934\"\/><figcaption>Andrew Ritschel, <br>Electronic Office Systems<\/figcaption><\/figure><\/div>\n\n\n\n<p>Ritschel left no stone unturned. Since phone calls can largely go unanswered and clients\/prospects are inundated with email (he gets as many as 100 per day), Ritschel had his reps send hand-addressed introductory letters to prospects vis USPS as part of a vertical campaign to increase contact opportunities. In addition to their regular outreach methods, sales reps drove through their territories looking for office buildings that contained crowded parking lots\u2014an indication of on-site work.<\/p>\n\n\n\n<p>\u201cThat became our key marketing approach after reaching out to clients, checking in on them and seeing if there was any way we could possibly help them,\u201d he said.<\/p>\n\n\n\n<p>Reps floated the idea of selling home consumer products, but Ritschel pointed out the futility of knocking heads with big box stores and Amazon to reap what would ultimately amount to about a $40 commission\u2014a veritable loss considering the work involved. The same held true for temperature-scanning kiosks, which saw strong competitive incursions from Amazon.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>We want to drive revenue, volume and unit sales; take care of our clients and find new ones. That\u2019s our business, and anything that detracts from that is a problem.<\/p><cite>\u2013 Andrew Ritschel, Electronic Office Systems<\/cite><\/blockquote>\n\n\n\n<p>In the end, Electronic Office Systems stuck with a traditional line of attack, pursuing expiring leases with new equipment or refurbished gear. In other cases, the dealer refinanced existing lease balances over a longer term, reducing monthly payments. For many clients, Electronic Office Systems put maintenance agreements on hold or reduced volumes over a period.<\/p>\n\n\n\n<p>The dealer gained traction with the addition of VoIP phone systems and interactive displays. Ritschel moved away from managed IT services in house and is instead networking with third-party providers. He also cut ties with underperforming sales reps, most of whom he had given the benefit of the doubt due to the pandemic before ultimately not seeing a productive path forward.<\/p>\n\n\n\n<p>Ritschel believes the key is pushing through the constant mass of email and setting the stage for meaningful in-person conversations, which also hinges on making face-to-face and phone connections as opposed to texts. \u201cWe want to drive revenue, volume and unit sales; take care of our clients and find new ones,\u201d he said. \u201cThat\u2019s our business, and anything that detracts from that is a problem.\u201d <\/p>\n","protected":false},"excerpt":{"rendered":"<p>It\u2019s not the easiest time to be an office technology dealer sales rep. COVID-19, the supply chain fiasco, inflation, rising interest rates and other largely pandemic-spawned issues have placed a drag on activity in the business community as a whole. Conversely, the degree of difficulty that\u2019s been created has opened a wealth of possibilities for those who thrive on opportunity. As you\u2019ll see in this month\u2019s State of the Industry report on sales in the post-pandemic era, a number of dealers are capitalizing on their counterparts\u2019 weakened ability to deliver value to their client base. Net-new isn\u2019t wishful thinking, and we have numerous examples of dealers who\u2019ve gone well beyond extending leases and offering refurbished equipment in an effort to sustain existing business. They\u2019ll provide some tools and tips that have enabled them to ferret out net-new opportunities and add revenue in the most difficult environment in recent history. Looking at the pandemic strictly through the eyes of business, one aspect the period provided was the opportunity to not only embark on extensive training but to have meaningful conversations around what successful account penetration looks like in today\u2019s world. UBEO Business Services, with headquarters in Austin, Texas, focused its training beyond print to become more workflow centric. Jim Morrissey, UBEO president, believes in order to truly own an account, the conversation (and engagement) needs to include production units, copiers, workflow and other elements that enable the client to realize its potential. It helps that we\u2019re product-agnostic. I don\u2019t know how single-line dealers could survive what we\u2019ve been through. \u2013 Jim Morrissey, UBEO Business Services The holistic approach is part and parcel of the sales reps\u2019 overall success. \u201cFlipping copy machines is great, but it\u2019s not what the customers are seeking,\u201d he said. \u201cWe spent a lot of time throughout the pandemic illustrating what good looks like, from Monday morning examples shared by reps to understanding concepts surrounding the cloud and other areas where customers are seeking expertise.\u201d Rather than refinancing the entire account, Morrissey and Co. focused on assessments that help identify the pain points and devise a plan for replacing or redeploying assets. Clients appreciate the best solution approach as opposed to a broad rip-and-replace campaign. With customers not in the strongest position for major outlays during the height or immediate aftermath of the pandemic era, this philosophy will be remembered (and rewarded) by clients when supply chain issues, inflation and rising interest rates aren\u2019t as prevalent. UBEO is also able to capitalize on accounts in which incumbent providers aren\u2019t at the top of their game in regards to service and overall value proposition, thus net-new business has been brisk. In fact, Morrissey believes net-new placements this year represent an all-time high. \u201cIt helps that we\u2019re product-agnostic,\u201d he said. \u201cI don\u2019t know how single-line dealers could survive what we\u2019ve been through. Plus, our inventory is as high as ever because we have the cash to buy it whenever it\u2019s available. We\u2019ve been able to accomplish a lot of fulfillment through managing inventory. Before the pandemic, we hired a person responsible for all vendor relations and logistics. He\u2019s dedicated a lot of time figuring out how we\u2019re going to get product to customers. Sometimes it means not having A4, so we have to sell them used A3 in place of it. It\u2019s all about adjusting.\u201d Customer Patience While many end-users have exercised an abundance of patience and understanding regarding the economic and supply chain scenarios, frustration has begun to bubble to the surface regarding wait times for hardware orders. Erik Crane, president and CEO of CPI Technologies in Springfield, Missouri, notes his dealer has counseled sales reps to be upfront and transparent with clients as much as possible to mitigate unpleasant surprises. To that end, it\u2019s been vital to communicate the status of items that are in stock so reps can deliver equipment as quickly as possible. \u201cHaving hardware in stock is definitely a closing advantage if you have what the client is looking for,\u201d he said. CPI has witnessed an uptick in renewals on service agreements along with extensions of expiring leases\u2014mostly attributed to economic uncertainty and, of course, the anticipated delays in wait times for hardware, which has stymied new lease agreements. \u201cConversely, we\u2019ve seen clients sign for a new unit, knowing it\u2019ll be a while until the hardware arrives,\u201d Crane noted. \u201cCPI will allow a month-to-month service billing until the new machine is ready for install. This is a win for both parties involved.\u201d CPI hasn\u2019t materially changed how it incents for net-new hardware and solution accounts during the pandemic period. Crane believes there\u2019s a certain percentage of clients that opt to remain with their incumbent vendor and a certain percentage that will make a switch, depending on conditions. Trying to find competitive machines in environments where a client is willing to move is hard enough, let alone when you may have an extended wait for the gear. \u2013 Erik Crane, CPI Technologies \u201cTrying to find competitive machines in environments where a client is willing to move is hard enough, let alone when you may have an extended wait for the gear,\u201d he said. \u201cAs the economic uncertainty continues, clients making changes will become fewer as they look for stability in their organizations.\u201d Making Adjustments Transitioning from face-to-face meetings to Teams, Zoom and other video conferencing platforms wasn\u2019t as smooth for sales reps as one would hope. Brent Simone, president of Stratix Systems in Wyomissing, Pennsylvania, points out that three or four of his top performers\u2014annual president\u2019s club qualifiers, no less\u2014struggled during the first four months of the transition, as they had crafted their approach around the traditional belly-to-belly meetings. Fortunately, the company\u2019s development coach helped the reps adjust their styles to enjoy the same level of success experienced prior to the shutdown. The rubber is hitting the road once more for Stratix; the dealer\u2019s performance in 2021 exceeded 2019, and 2022 is tracking to be an even better campaign. This year\u2019s figures are somewhat deceptive; 2021 [&hellip;]<\/p>\n","protected":false},"author":166,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1641],"tags":[],"_links":{"self":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/51926"}],"collection":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/users\/166"}],"replies":[{"embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/comments?post=51926"}],"version-history":[{"count":8,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/51926\/revisions"}],"predecessor-version":[{"id":52079,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/51926\/revisions\/52079"}],"wp:attachment":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/media?parent=51926"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/categories?post=51926"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/tags?post=51926"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}