Motivating New Channel Members
Motivational Concepts and Processes
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Push Strategies
Here are a few ways
to give your new
relationship a
positive foundation.
Pull Strategies
Sales and Product
(Value Offer) Training
Guidelines for Great
Channel Partnerships
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Here are a few ways to give your new relationship a
positive foundation.
Introduce the new distributor to
your customers. Use press releases and
other publicity vehicles to let the world
know that your value offers can now be
purchased from this source.
Help the distributor take over
existing accounts. Go along on sales
calls to your biggest end user accounts to
help establish the new distributor as the
new sources for your value offer or
service.
Turn over any contracts or leads
from the previous distributor to the
new one.
Build confidence with easy
assignments. Let new distributors start
by selling value offers that are easy to sell
and accounts that are easy to close. As
they succeed, add in more complex value
offers and accounts.
Provide enough product samples,
literature, price sheets, and other
collateral material for all of the
distributor's sales personnel..
Schedule factory visits and joint sales
calls to build enthusiasm among the
ranks.
Conduct as much intensive, on-site and
customer-call product training as the
distributor allows.
Give plenty of positive feedback on their
work.
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Push Strategies
• A push strategy is any marketing activity that entices your COD to sell your
value offers rather than those of other manufacturers the channel
represents. In other words, these types of promotions push your value offer
through the channel. Push strategy examples are:
• Travel incentive programs that award an all-expense-paid trip to a
domestic or foreign destination for meeting a quota during a specified
period of time.
• Merchandise programs that reward salespeople for performance with
items such as televisions, sporting goods, clothing and gourmet foods.
• Training programs that increase the distributor salespeople's comfort level
with your value offers, thereby making it easy to sell the value offers to
their customers and reap compensation (commission, bonus) accordingly.
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Push Strategies
• Monetary SPIFFS (special promotional incentive factory funds) that draw
specific attention to certain models or groups of units in your value offer
line. For instance, for the next thirty days, you will pay $30 per unit SPIFF
bonus for each particular model a distributor salesperson sells. Two
tremendous advantages of this type of program are that it can be launched
with very little administrative work and can be communicated quickly to
your channel.
• Special discounts or allowances that draw special attention to your value
offer line through a limited-time offer. For example a manufacturer might
announce that, for the next sixty days, its channel will receive an additional
10 percent discount off the best published price on any order.
• Local COOP advertising efforts (direct mail, exhibitions, space
advertising) that produce local market quality sales leads that materialize
into real purchases.
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Pull Strategies
A pull strategy motivates the end user to approach your channel of distribution
and "call out" for your value offer . . . Pull strategy examples are:
• Space advertising in leading publications that generates qualified customer
inquiries that produce actual purchases of your value offers.
• Media releases announcing new value offers or features, which cause
potential end users to request further information or a demonstration from
your distributor.
• Rebate programs offering a limited-time, factory-issued cash rebate to end
users that purchase your value offer form your channel of distribution.
• Exhibitions where end users spend time in your exhibit booth expressing
an interest in your displayed value offer line.
• Direct mail campaigns targeted at qualified individuals who request
further contact.
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Pull Strategies
End user seminars conducted by your staff and attended by individuals who
have, by their presence and time commitment, expressed a sincere interest
in your organisation's value offers and as a result of the seminar proceed to
your channel to acquire your value offer.
Telemarketing efforts that can supply your distributor with telephone
qualified sales leads that will culminate in actual purchases.
Internet exposure via a Web page illustrating the features and benefits of
your value offer line and that directs visitors to local distributors for further
information.
Radio and television advertising that promotes your value offer to potential
end users that then contact your COD for additional details and sales
information.
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Sales and Product (Value Offer) Training
Sales and product training programs
can be tremendous motivational
vehicles, especially when combined
with other push strategies.
They instil your distributor
salespeople with confidence, thereby
making your value offers easier and
more comfortable for them to sell.
What Are the Training Program
Objectives?
•Initial distributor start up value offer and
sales indoctrination.
•Ongoing value offer and sales training
programs.
•New value offer launches.
•New market penetration.
•Overall positioning of your organisation
and value offer line/mix.
•Competitive analysis.
•Sales skills training.
•Business management skills training
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Guidelines for Great Channel Partnerships
Rule 1: Be Honest and Accurate—
Even if It's Painful
Being completely honest with
distributors is one of the most
important ingredients in building a
lasting trusting COD partnership.
Tell the truth consistently, and your
distributors will begin to respect and
trust you. When you have bad news,
make sure your channel hears it
directly from you, not from a
competitor or other third party. Share
news—good or bad—promptly.
Rule 2: Communicate With Every
Level of Personnel to Ensure the
Most Complete and Accurate
Transmission of Your Channel
Information Flow
Everyone employed by your
distributor, from the CEO to the
salesperson in the field, is selling for
you. All of them are your customers.
Communicate with everyone, and
you create strong backers who will
enthusiastically support your value
offer marketing efforts within the
distributor's organization.
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Guidelines for Great Channel Partnerships
Rule 3: Consider the Needs of Your
Channel Before You Implement
New Policies
Whether you're forecasting next
year's sales or contemplating a price
increase or a new value offer, check
with your channel first. By all means
avoid the "ivory tower" attitude that
factory/manufacturer knows best.
Listen to and consider your
distributor’s opinions
4: Use the Channel Telegraph
Judiciously
The infamous channel telegraph does
exist. Distributors, especially eagles,
are in constant contact with each
other . . . Think through any policy or
procedure before it is implemented.
Act incorrectly, and everyone soon
knows.
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Guidelines for Great Channel Partnerships
5: Communicate With Other Friendly Channel Marketing Managers in
Your Industry or Marketplace
This golden rule governs your relationship with your peers. Don't seal yourself
off from other channel managers . . . Sharing your insights lets you glean
customer and marketplace trend data that can help you compile accurate
sales forecasts, take advantage of market opportunities, guard against
glitches, keep up on news of distributors, and gather news of direct
competitors.
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