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The Manufacturers’ Representatives Role in the
Valve IndustryCliff McLaughlin; Eastern Controls, Inc.
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Thank You VMA!
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Eastern Controls, Inc. Background
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Founded January 2,
1969
Here I am at the ribbon cutting ceremony
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Humble Beginnings…
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ECI Started with, and Continues to Represent our “Foundation” Product Line
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Along with several other VMA partner compaines…
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Eastern Controls Today
• 80+ Employees
• 4 Locations
• 2 Manufacturing & Service Centers
• Application Engineering Team
• Training Facilities
• Warehouse/Distribution
• Product Representation
• Primarily focused on Application‐Driven Products & Solutions
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Quick Question…How Do You Typically go to Market?
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QUICK Question: How do VMA Members typically go to market?
• Distributors Only?
• Representatives Only?
• Combination of Reps & Distributors?
• Online and / or Factory DIRECT Only?
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What were some of the key Roles a Manufacturer’s Rep played in the past?
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Main Conduit of New Information from Manufacturers to Customers
Good Morning! I’m here to update your Catalog with our Newest Control Valve
Spec Data Sheets…
After I write up your PO, do you want to go to Lunch?
Sure! Also, the Slide Rule you brought me last month is GREAT!
Thanks!
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Take Customers to Lunch
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Help Customers Specify the Manufacturer’s Products and Write up PO’s
According to the P&ID, I need an isolation valve… Would you work up a spec
sheet for me?
Sure. And I’ll add it to your PO! After we’re done, let’s go play golf!
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Always Carried TWO Pens!
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Support the End Users and Defend the Installed
Base
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In the past, Reps often had Small Territories, A Few Key Staff, and the Owner was a Salesperson
Good News
• Intimate relationship with Customers and Manufacturers
• Took great care of their core customers and installed base
Bad News
• Rep Owner held information close to the vest and sometimes didn’t innovate or invest in their business
• If one key customer “goes away,” impact to Rep and Manufacturer is significant
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Back in the Day, A Rep Rarely Held Inventory or Carried the Money
• The Factory was well staffed and could do the following:
• Size and select the product
• Quote the opportunity
• Process the order
• Bill the customer
• Pay reps a commission
• Took care of everything after the
sale was completed
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In Today’s World…What is the Role of a Manufacturer’s Rep?
MUCH has already changed…Eastern Controls, Inc ‐ VMA Presentation ‐‐ DRAFT 1803/24/2017
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Reps are no longer Information Conduits…
NOW: Everything is on the INTERNET
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Reps rarely take Customers Golfing any more…
• Customers are busier than ever
• Customers can’t accept…
• Manufacturers can’t offer…
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Follow Up on HOT Leads
• Most leads coming from Principals are from Website visits
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What do CUSTOMERSexpect from Today’s
Manufacturer’s Representative?
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Reps MUST bring value through their expertise and solutions. No time for fluff…
Reps MUST care about a customer’s facility, processes, and business needs. Ask questions & strive to understand!
Reps MUST help solve problems so customers become safer and more profitable.
Reps MUST get customers their answers QUICKLY! If we can’t (or don’t), someone else will
Customer Expectations of Today’s Rep:
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Reps MUST Provide an Exceptional Customer Experience!
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What do MANFACTURERS REQUIRE from Today’s Representative?
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Reps MUST Have a Highly Trained Technical Sales & Support Staff
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Reps OWN the Order Entry Process
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Reps Generate Opportunities & Find New Customers
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Reps providePipeline Visibility
Weekly, Monthly, and Quarterly Reports…
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Manufacturers want a Rep’s Mindshare Ideally…Undivided Attention!
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What is the ROLE of a Manufacturer's Rep Today?
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FOCUSING ON CUSTOMER SERVICE & VALUE = LOYALTY!
• Reps MUST provide excellent CUSTOMER SERVICE. Taking care of the Customer is PRIORITY #1
• Reps MUST understand the customer and their NEEDS
• Reps MUST offer expertise and complimentary solutions that add VALUE
• Improve Safety• Shorten Down Time• Enhance Plant Performance• BUILD TRUST
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Customers value Reps with Complimentary Products & Services
• Control Elements
• Measurement Devices
• Isolation Valves
• Safety Equipment
• Repair & Calibration
• Training
• Today’s REP should offer a portfolio that ALWAYS provides a reason to meet with a customer!
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BE EXPERTS AT FILLING THE
CUSTOMER’S GAPS• Major EXPERTISE gaps exist at customers that Reps MUST fill with their own.
• When customers need equipment and services, they “need it now”. Reps MUST be able to respond rapidly with products and support.
• A strong Rep provides TRAINING for customers as well as for themselves
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Customers Value Reps Staffed with Engineers and Experienced
Subject Matter Experts
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Customers Value Flexible Inventory, Manufacturing, and 24 / 7 Service Capabilities
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Both Customers and Manufacturers Value Reps with In‐House Training Capabilities.
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BECOME THE MANFACTURER’S BUSINESS PARTNER
• Reps should embrace data and leverage it to improve on behalf of customers & manufacturers
• Reps and Manufacturers should co‐brand wherever possible.
• Sales Pipeline information should flow TWO‐WAYS – makes growing business more effective
• Reps MUST invest in their infrastructure and manufacturers should share in that investment
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Manufacturers value Reps that Use Data & Analytics –Driving Sales, Talent, and Process Development
• Individual and Organizational Goals & Metrics
• Sales Training Development
• Time To Quote / Time to Order
• Pipeline Projections
• Performance to Plan
• Leveraging Data in CRM, ERP, & Business Intelligence Systems
• Gap Analysis
• Account Ranking
• “Fries with That”Eastern Controls, Inc ‐ VMA Presentation ‐‐ DRAFT 3903/24/2017
Manufacturers value Reps with active Social Media and “Outbound Marketing” programs
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Manufacturers expect Reps to make Significant Investments in People &
Operational Infrastructure
• Human Resource Professionals • Service Departments• Applications Engineers• Project Managers• Marketing• I.T. – Can manage >500 Devices!• Just to name a few…
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Reps must also look to the future & innovate!Staying relevant to customers and manufacturers is KEY
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A few “Old School” Reps Still ExistBut the LOOK & FEEL of Today’s
Manufacturer’s Rep is MUCH DIFFERENT…
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Thank You!
Enjoy Your Weekend
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Comments? Questions?
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