Go-To Market Strategy

Under­stand­ing Your Options

Man­u­fac­tur­ers have options when build­ing a sales team for an indi­vid­ual account or spe­cific mar­ket devel­op­ment. You can hire direct employ­ees or you can out­source the devel­op­ment. All options have their advan­tages and dis­ad­van­tages, and each option should be reviewed objec­tively with your indi­vid­ual busi­ness in mind. Below you can find some ques­tions that should give you an under­stand­ing of what would work best for your organization.

What Are Your Goals

Let’s look at your busi­ness objec­tively. Every day a poten­tial cus­tomer is not mer­chan­dis­ing your prod­uct is a lost opportunity.

What are your goals?
  • Do you cur­rently the have human resources you need to reach them?
    • Con­tact Network
    • Exper­tise
    • Time
Where do you want to grow?
  • Do you cur­rently have a local sales office that is able to call on the tar­get accounts?
  • Is your team work­ing in the same time zone as your retail targets?
Where do you want to see your products?
  • Is your team famil­iar with the require­ments of goal retailers?
  • Does your team have con­tacts within the goal retailers?
Do you cur­rently have every­thing you need to accom­plish your goals?
  • Could you use some help?
Under­stand The Financials

Direct Field Employee Example

Fixed Cost Sales Force

$160,000

Total Pro­jected Annual Fixed Cost

Pro­jected Annual Expenses:

  • $60,000 Fixed Salary
  • $15,000 Vari­able Incen­tive Compensation
  • $10,000 Pay­roll Taxes & 401k Contribution
  • $14,000 Paid Vaca­tion, Insur­ance & Work­ers’ Compensation
  • $10,000 Com­pany Automobile
  • $18,000 Travel and Entertainment
  • $6,000 Postage & Office Supplies
  • $8,000 Com­puter & Com­mu­ni­ca­tions Equipment
  • $3,000 Inside Sales Support
  • $16,000 Recruit­ing, Hir­ing & Train­ing Expense

* * Based on employee turnover once every two years

Ben­e­fits:

Sales Force

  • Com­plete con­trol over sales rep’s time
  • Com­plete con­trol over sales rep’s activities

Finan­cial:

Depends on sales performance

Foot­print Reps

Vari­able Cost Sales Force

% of Sales

Total Pro­jected Annual Cost

Com­mis­sion Based

  • Actual cost depends on performance
Ben­e­fits:

Sales Force:

  • Imme­di­ate access to market
  • Uti­lize highly expe­ri­enced retail focused sales team
  • Uti­lize estab­lished relationships

Part­ner­ship:

  • Vested inter­est in suc­cess your organization
  • In it for the long haul

Finan­cial:

  • Only pay for results
  • Turn sales force into vari­able cost
  • Min­i­mize upfront costs of employees
Should You Work With Foot­print Reps?

Are You Ready For A Partner?

The Rep rela­tion­ship is very dif­fer­ent from the typ­i­cal employee-employer rela­tion­ship. This needs to be under­stood before enter­ing into an agreement.

Are you will­ing to enter into a fair agree­ment that pro­tects the inter­est of both parties?

Our Agree­ment is based on Mana, a not-for profit orga­ni­za­tion that is ded­i­cated to the Man­u­fac­turer and Rep­re­sen­ta­tive relationship.

Are you will­ing to pro­vide exclu­sive territories?

Would you have 2 employ­ees com­pet­ing against each other for one account?

Are you will­ing to co-insure Foot­print Reps on your prod­uct lia­bil­ity insur­ance policy?

Are you will­ing to be respon­si­ble for the product?

Does the top level man­age­ment sup­port the use of Reps?

Are they on-board with the strategy?

Are you will­ing to make a long term com­mit­ment to a fair and com­pet­i­tive com­mis­sion rate?

Busi­ness devel­op­ment takes time and money. We need to be able to recoup our invest­ment in our part­ners’ prod­ucts once they begin selling.

Do you believe that your com­pany and Foot­print Reps should oper­ate as part­ners in prof­its rather than employer/ employee?

We run on com­mis­sions not a salary. We need part­ners that under­stand what this dynamic brings to the table.