GoToMarket Strategy: Sales Channel Partners Your Logo Chad Vetter - PowerPoint PPT Presentation

Go‐To‐Market Strategy: Sales Channel Partners Your Logo

Chad Vetter John Benzinger Global Sales Manager International Business Manager Bradley Corporation Angelus Corp / PIC Wire & Cable Your Logo 2

What Does your Ideal Representative Look Like? How do you….. Find them?...Screen them?.....Select them?...... Manage them?......Motivate them? Best Practices in Sales Channel Management Your Logo 3

Systematic Process to Select, Manage and Engage Channel Partners 02/ 27/ 2020 Milwaukee, WI, USA

Background – Bradley Corporation Industrial Safety Solutions Commercial Washroom 5

Route to Market – Research Your Options  Understand the pros & cons of each route to market: 1. Direct Sales 2. Representative 3. Distributor / Wholesaler 4. Agent 5. Strategic Alliance 6. Joint Venture 7. Corporate Overseas Entity Sales Office - Warehouse - Know what value added service Production - your channel partner will bring to the buyer’s experience? 6

Route to Market – Taking Action  Option 1: Get Help – Industry Trade Groups, Publications, Tradeshows, and Fairs – Private Consulting Firms / Professional Staffing Firms – Local Chamber of Commerce, Rotary Club, etc. – US Department of Commerce (Gold Key) – State Department of Commerce – World Trade Association – Foreign Government External Trade Groups (JETRO) – Referrals  Option 2: Find Candidates Your Self International Resource: Basic Guide to Exporting: The – Research builds network connections Official Government Resource for – Research enhances market understanding Small and Medium-Sized Businesses (ITA) 7

Route to Market – Taking Action  Step 1: The Search. Create a pool of 5-10 candidates – Who has contacted you already and why? – Who sells your competitor’s products? – Parallel Companies Matrix: What non-competitive brands do your current distributors sell? Of these brands, who do they use as distributors within your target area? – Other research options: key word searches (internet), tradeshows, trade publications, and referrals  Step 2: Introduce yourself and explain the reason for your call. Gauge their interest. Have 2-4 general questions you can ask to any candidate.  Step 3: International Candidates should complete a questionnaire. Finish a due diligence check. 8

Route to Market – Taking Action  Step 4: Narrow down your search to 1-3 firms  Step 5: Create a Scorecard – Have a number of questions – Use a weighted point systems  Step 6: Read Kiss, Bow or Shake Hands (Morrison/ Conaway) for international travel.  Step 7: Visit and interview each company – Get to know the key individuals – See as much as you can (office, warehouse, showrooms) – Try to meet as many people as you can, especially the sales team – Ask questions, use the scorecard, request a sales plan. – International Candidates, Do they understand US business practices? 9

Route to Market – Onboarding/ Set the Tone  Step 1: Take time to reflect and then make your selection Consider the intangibles – motivation/ stature/ reach/ trust  Step 2: Emphasize the importance of this decision  Step 3: Set the expectations a. Metric driven KPIs - $$$ b. SMART Goals – what will they do to promote your product? c. What will you do to support them? (Let them suggest) d. Terms & Conditions  Step 4: Contract and Starter Package – Exclusivity vs. Non-Exclusivity. Renew Yearly. – Starter Package – The “How To” to work with you.  Step 5: Fanfare 10

Route to Market – Managing Distribution  Monthly or Quarterly phone calls  Review KPIs and Goals for both parties  Ask questions, highlight wins  Discuss challenges, create solutions  Visit  Year end review – Did they meet your expectations? – Did they fulfill their KPIs and Goals? Why or why not? – Do you want to continue? – If they did well, what comes next? 11

Questions? 12

PIC Company Overview  Global provider of engineered electronic cables & interconnect solutions  Military, corporate, commercial aviation & transport applications  Private company; Jim Griffin owner/CEO since 2002  Headquarters in Sussex, Wisconsin (Milwaukee)  Customers: Airbus Helicopter, Leonardo SpA, Elbit Systems  ISO 9001, AS 9100 Certified

Understand Your Sales Model • PIC Wire & Cable pursues a “design‐in” sale – Engineers make buying decision during design specification – Long delay in seeing orders (can take years) • Access to key engineers is critical at target customers • Patience is necessary – “Design‐in” leads to long‐term sales – The $$ are worth the wait • People placing the orders usually didn’t make the sales decision 15

Early Days of Exports • “Designed‐in” systems find their way into other markets – built strong reputation • Contracted Sales Engineer in England Covering Europe • Company from Israel approached us to be our sales arm for Israel, India and Turkey – This model worked very well for growing sales in their region – One of our strongest sales arms today • Expanded Israel‐company model (Distributor Representatives) to other markets

Expansion Through Distributor Representatives

Managing Distributor Representatives • Product Training • Flexibility with Terms • Joint Customer Visits • Recognize Pricing Pressures • Quarterly Business Reviews • Sales/Marketing Collateral Differences • Strategize Opportunities • Understand Differences for Logistics • Supporting Reps Internally • Adaptability is Key – Technical Support – Opportunity Support

Managing Different Cultures Source: https://www.hofstede-insights.com/product/compare-countries/ 19

Centralized vs. Decentralized Approach to Market Centralized Decentralized • Hire local or send expats to • Find local partners outside of foreign markets organization • Hand down strategy from US • Trust partners to determine strategy • Influence through relationships • Directly assign objectives • Limited financial investment • Higher cost/overhead 20

Tools to Manage Partners • Scorecard • SWOT • SO WHAT • Goals & Objectives 21

Koreen Grube, Director Elizabeth Laxague Rebecca Dash

WEDC INTERNATIONAL TEAM KATY SINNOTT STANLEY PFRANG BRAD SCHNEIDER Vice President Market Development Director – Market Development Director – 608.210.6838 Europe, Middle East, Africa Canada, South America, Oceania Katy.Sinnott@wedc.org 608.210.6777 608.210.6890 Stanley.Pfrang@wedc.org Brad.Schneider@wedc.org FANFU LI FRANCISCO CARRILLO AARON ZITZELSBERGER International Business Development International Business Development International Grants Manager Director – South & East Asia Director – Mexico, Spain, Central 608.210.6734 608.210.6868 America 608.210.6757 Aaron.Zitzelsberger@wedc.org Fanfu.Li@wedc.org Francisco.Carrillo@wedc.org

DATCP INTERNATIONAL AGRIBUSINESS CENTER Jennifer Lu Mark Rhoda‐Reis Asia Director, Livestock feed, genetics, lumber International Agribusiness Center and forestry Enrique Gandara Lisa Stout Latin America/Russia/Middle East; Livestock feed, genetics, equipment, Canada/Asia/Middle East lumber and forestry Processed foods and ingredients Ashwini Rao Latin America/Europe/India Processed foods and ingredients Division of Agricultural Development

Thank you Roxanne Baumann WMEP Director Global Engagement Baumann@wmep.org 262 442 8279 Your Logo