WEBVTT

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Welcome to the promo playbook, the podcast where

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suppliers come to win in the promotional products

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industry. We're your hosts, Lisa Faustik and

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Adrienne Barker, bringing you insider insights,

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expert strategies, and no fluff advice to help

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suppliers navigate the promo channel like pros.

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From marketing to distributors to mastering software

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onboarding, we cover it all. Whether you're new

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to the industry or ready to scale up, this is

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your playbook for success. Let's get started.

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Hey everybody, welcome back to the promo playbook.

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So glad you could join us. Today we're going

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to dive into the subject of the different types

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of distributors that suppliers can sell to. And

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the term buying group is often used as a general

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term to describe these different types of distributors.

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But what we have learned over the years is that

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they're very different. There are national distributor

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organizations like Halo, Geiger, American Solutions.

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There are affiliate networks like I Promote You

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and Kaiser and Blair. There are franchise companies

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like Proforma and Fully Promoted. Technology

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and enablement platforms like CommonSkew and

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Facilis. True buying groups like Reciprocity

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Road and Premier Group. There's a lot to dive

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into. So we're going to pick this up. Thank you,

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Adrian and Kim, for joining me on this call.

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And since you both have experience with this,

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you know, we were sort of debating before we

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got on our podcast how many of these there are

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in the industry. And we're not really sure. I

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think there's at least 20 and maybe as many as

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50. So if folks out in our audience know of some

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of these groups that they could bring to our

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attention, we would love that. But we are going

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to focus today on finding the right person. How

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do you decide on your strategy to pitch yourself

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to these big buying groups? And is it the right

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choice for your supplier at this time? So Adrienne,

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I'm going to ask you first, what's your opinion

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on going after a large, let's say, buying group

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or affiliate network out of the gate? So I love

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that question. So first of all, I think out of

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the gate, you should start smaller unless you

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really want to have proof of performance. So

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I think that's really important. So let's just

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say you've gone to, you've got have a consultant,

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you have everything you need and you're like,

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okay, I'm ready. Now, are you ready on the inside

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with the right support? Is everyone trained?

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Because in order to get to, and let's just say

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number one, Halo, in order to get to halo, you

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gotta have a lot of things set up and you've

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gotta have your accounting. And there's so much

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Lisa, I'm gonna just stop and say, you have to

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make sure as a supplier, no matter where you're

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selling to, that you have a very strong accounting

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department. That is probably the most important.

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Lisa can say, no, no, it's the decoration is

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the most important. And Kim can say, no, no,

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it's getting out there and making the sales calls.

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But to me, it's gonna come down to your accounting.

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department. That is what's going to make a big

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difference. I love that insight and we can unpack

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why that's important. And one of those things

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is a lot of these groups ask for a rebate and

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they want to understand that you can pay this

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rebate and you need to have some money in your

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bucket to be able to promote yourself at a national

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or a big buying group. So we're getting a little

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ahead of ourselves. But that's a great point,

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Adrienne, that you need to have a strong accounting

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department or a strong outsourced accounting

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partner that's doing your accounting for you.

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So thanks for bringing that up. That's great

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insight. What do you think, Kim? I agree. I feel

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like you have to crawl and then lock and then

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run in this industry. And I think you need to,

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to your point, Adrienne, you have to start small,

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like get the easy stuff done first. before you

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get bigger because the larger the distributor

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or partner, the more complex. And if you haven't

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mastered just the basic, get an order, figure

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out your proofing, get it out the door, get your

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invoice out and get paid at a small scale, you're

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definitely not going to figure it out at a large

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scale. Yeah. So really, really good insight.

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So get your house in order first before you put

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some of these bigger partners on your roadmap.

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So when you are ready to go after some of these

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folks, how do you decide which ones and how much

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of a commitment is that? Adrienne, you mentioned

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Halo. That's a great example. That's sort of

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the top of the mountain, right? Super well -known,

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respected group where you want to show up and

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not really make any mistakes. How would you even

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get in front of the right person at Halo to be

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able to know what the process is to be onboarded?

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So that's one thing is how do you network to

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find out who the vendor relations person is or

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who the right person is that you can even pitch

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your supplier company to? What do you guys think

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about that? I have the answer. To me, they're

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on LinkedIn. They really are on LinkedIn. I mean,

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obviously you could pick up the phone and say

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supplier vendor relations. First of all, just

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knowing that terminology is great. So it's either

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called supplier relations, vendor relations,

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and the smaller distributors may even have someone

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that handles it. I think it makes sense for any

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company to have that supplier relations person

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that's going to handle the communication. But

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it really is important to understand you've got

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to reach out to them and you're going. So first

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of all, can we just back it up? In order to even

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come into the industry, or at least into PPAI,

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you have to, and ASI too, you have to have proof

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of orders. So you have to already, this is the

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craziest part about it, and I don't recall if

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it's three or five, but you have to already prove

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that you have orders. So you can't just say,

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oh, I sold to Sally Sue. No, you have to have

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proof of it. You have to have the invoice. You

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have to have all of that. So the industry is

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protected. in that way. They don't just want

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anyone to come in and become a supplier. And

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then once you actually have the proof, and you're

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able to get a PPAI or ASI number, then you're

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going to move forward. I just want to like remind

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people that's really an important step. And yeah,

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working with consultant helps too, because it

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can help you to guide you to maybe kind of find

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other ways to do it or find clients that you

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can sell to right away. Lisa, sorry about that.

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No, no, that's awesome, awesome insight. And

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I think we can do a whole segment on that, is

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what do you need to even get in the industry?

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And I've gone through that myself with several

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of my consultant partners, and it is not easy.

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You really need to have the documentation to

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Adrian's point. So we can dive into that. And

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another reason to have a good strong partner,

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right? Like Gemline. or another or hers, you

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know, to help pave the way because they're already

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in the system and they're already selling to

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some of these national accounts that we wanted

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to focus a little bit on in this segment. And

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I'm realizing as we're talking, maybe it's premature

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to be talking about this today. Something you

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touched on, Adrienne, I wanted to unpack, which

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is sometimes it's your selling to a rep of one

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of these groups, whether it's a Geiger a Kit

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Kaser Blair, a Vernon, a Halo, and they fall

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in love with you. They fall in love with your

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brand. They love what you're doing. And they

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can be a champion for you with the vendor relations

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person at the national level. So a lot of what

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we're going back to is you have to earn your

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stripes. You have to prove yourself. You have

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to build trust. You have to be able to deliver.

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to be able to function as part of one of these

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bigger groups. Many of them do look for a lot

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of things. So I think I'd like to talk about

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that a little bit in terms of being ready. They

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do look for a lot of concessions, support, pricing.

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So what have you learned, Adrienne, through your

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processes about what these nationals look for

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or buying groups or franchises? What do they

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expect from their distributors? So they are going

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to expect from the supplier, you mean? Yes, the

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supplier. So first of all, we'll go back to from

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the accounting department to your customer support.

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So make sure all your departments are lined up.

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Make sure that you understand that samples are

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going to sell. Make sure you have a strong sample

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department. Consider, can you afford? What can

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you afford? Can you afford giving free samples?

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Can you afford Looking some suppliers i say if

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the distributor has a showroom i want space in

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that showroom what is it gonna cost you in essence

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of your giving free samples that's like. Getting

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space on the shelf that's something that we all

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have to do that's any of the food or retail right

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there looking for that right side same thing

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so you gotta make sure that you it comes down

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to having enough mula you have to make sure that

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you can. afford a rebate if that's what it is.

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And the rebates could be tough. You have to also

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make sure you can afford 45 days, 60 days. Some

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of these top ones, they could take that much

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time. Also, you have to make sure that you are

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able to dot every I and cross every T because

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distributors are going to make mistakes. They're

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going to have issues. They're not going to have

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rush orders. They're going to have wrong shipping

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information. They're gonna need things for you.

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How do you have quality control? I mean that

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list is so long, right? So my mind I'm thinking

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that is everything because the last thing you

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want to do as a supplier Is think that you're

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all set get your orders and then realize I don't

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have anyone checking the orders before they go

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into the box I mean that's serious, too. And

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also If you're looking to work with a halo, let's

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say we know halo works with some amazing theme

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parks You know, they may want to look at your

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factory. They may want to tour. They may want

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to see how are you giving bathroom breaks? Are

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you hiring 15 year olds here? And are they working

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like long hours like all of that? So this is

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something you have to have that 360 view of everything.

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Thank you for bringing that up. Do you want to

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add to that? And I was going to add it goes back

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to what we talked about in an earlier podcast.

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You have to have someone dedicated to this market.

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Everything that you just said is a great example

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of you can't just Be like hey i can put a logo

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on it check on in promo products right it goes

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back to being able to have a dedicated resource

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internally to be able to manage all of that external

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stuff with your distributor supplier whichever

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road but it's a lot it's a big checklist and

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if you're. You don't know what you don't know,

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right? And you don't want to, this is not an

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area where you want to learn on the job. And

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because you only get one or two chances, it's

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not three strikes and you're out. It's like one

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or two and that's it and like game over. And

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I have a whole podcast on that. Right. So I just

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think it reinforces the idea of that relationship

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and having. being really serious about getting

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into the market and understanding what you're

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jumping into. OK, so I'm hearing from both of

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my experts that really you got to be ready. You

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got to have your foundation built. You got to

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have your team in place. So I sort of want to

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go riff off that to sort of give. Lister is a

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quick list of all the things that one of these

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groups is gonna require from you so when you're

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thinking about going after a buying group a national

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franchise company you gotta find the right person

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internally to pitch yourself to. They're going

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to be looking for things like compliance, as

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Adrian mentioned. They're going to be looking

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for safety testing. They're going to be looking

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for making sure that you have your HR manual

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in place. I mean, it is a deep dive into your

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business. So you want to be prepared for that.

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They are going to ask you for assets and content

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to add to their database. And you actually have

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to administrate that. You have to go into their

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back ends and add your flyers and add your social

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media content. a blog post, an article. Now you

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might not even have those resources yet. So that's

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another thing to keep in mind that even if you

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are successfully onboarded, that doesn't mean

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that orders are going to roll in. At that point,

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you need to work the organization just like any

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other sales channel. So you need to stay relevant

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with that channel because you might be competing

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with several other suppliers in that channel.

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that sell what you sell. So what are your points

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of difference? What is the white space within

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that organization that you can fill? So staying

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relevant, staying present. A lot of these folks

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have their own shows. So that's an expense. Are

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you going to be able to attend their shows? A

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lot of them have sample boxes or subscription

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kits that you can add samples to, but that's

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an expense. they look for social media support

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many of them have their own vendor internal facebook

00:13:59.200 --> 00:14:02.919
pages where. You know you're going to be wanting

00:14:02.919 --> 00:14:05.639
to go in there and pitch your product or answer

00:14:05.639 --> 00:14:09.019
questions from the members who are looking for

00:14:09.019 --> 00:14:12.679
specific products so i think that the night we

00:14:12.679 --> 00:14:16.379
want to leave you with on nationals buying groups

00:14:16.379 --> 00:14:20.610
and franchise companies is. It's a big task.

00:14:21.009 --> 00:14:24.009
It's a big bite. And we're not saying don't do

00:14:24.009 --> 00:14:27.029
it. We're just saying be prepared, be ready,

00:14:27.230 --> 00:14:29.929
work with a group like ours that can help you

00:14:29.929 --> 00:14:33.330
navigate those spaces and try not to take on

00:14:33.330 --> 00:14:36.929
too many at once. I recommend focusing on one,

00:14:37.450 --> 00:14:40.269
getting yourself set there, establishing your

00:14:40.269 --> 00:14:43.690
brand, then move on to the next one. So we're

00:14:43.690 --> 00:14:46.409
looking forward to hearing your feedback on that.

00:14:46.519 --> 00:14:49.899
your comments. Do you want a whole other segment

00:14:49.899 --> 00:14:52.720
on this where you guys can dial in? We can do

00:14:52.720 --> 00:14:56.539
a Zoom event around this where we can have a

00:14:56.539 --> 00:15:00.159
fireside chat style panel discussion about what

00:15:00.159 --> 00:15:03.240
it takes to build your footprint and get sales

00:15:03.240 --> 00:15:07.519
with these types of clients. So any closing comments,

00:15:07.799 --> 00:15:11.100
Adrienne or Kim, on this sort of big topic? That

00:15:11.100 --> 00:15:13.720
was just so perfect, I have to say. I love the

00:15:13.720 --> 00:15:16.679
only thing I Just want to like recommend is well

00:15:16.679 --> 00:15:19.700
lisa said do one at a time, but also work with

00:15:19.700 --> 00:15:21.600
some smaller distributors You want to get some

00:15:21.600 --> 00:15:25.440
orders in my dad would always say break the ice

00:15:25.440 --> 00:15:29.200
Just break the ice get your first order in after

00:15:29.200 --> 00:15:32.779
you become a a member of the industry And so

00:15:32.779 --> 00:15:35.639
yes top and know that it's going to take a very

00:15:35.639 --> 00:15:38.100
long time And I love that you mentioned that

00:15:38.100 --> 00:15:40.860
you know about going into the show rooms and

00:15:40.860 --> 00:15:43.799
a lot of distributors they say We want someone

00:15:43.799 --> 00:15:46.320
to come in. They really, I just want to say the

00:15:46.320 --> 00:15:48.840
distributors want the suppliers. That's important

00:15:48.840 --> 00:15:51.919
to them. You know, and if you have someone that's

00:15:51.919 --> 00:15:54.879
championing for you, definitely ask them if they

00:15:54.879 --> 00:15:57.259
will go to their supplier relations and give

00:15:57.259 --> 00:16:00.159
your name and follow up to so that you have them

00:16:00.159 --> 00:16:01.919
in the back end. So don't think, well, I'm not

00:16:01.919 --> 00:16:03.860
going to ask them. No, you ask them when they

00:16:03.860 --> 00:16:06.200
tell you, we love working with you. That's important,

00:16:06.200 --> 00:16:10.240
but definitely get the business in from the small

00:16:10.240 --> 00:16:12.220
up. So you're literally going to kind of make

00:16:12.220 --> 00:16:14.799
a sandwich, and then the middle is going to be

00:16:14.799 --> 00:16:17.659
all your juice and your delicious bologna. No,

00:16:17.740 --> 00:16:19.000
I'm kidding. You're not going to eat roast beef.

00:16:20.220 --> 00:16:22.700
That's a great comment, Adrienne, and we will

00:16:22.700 --> 00:16:27.600
be having a podcast on our small to medium -sized

00:16:27.600 --> 00:16:31.100
distributors, how they really are the meat and

00:16:31.100 --> 00:16:34.620
potatoes or roast beef of the industry and how,

00:16:34.820 --> 00:16:38.289
as new suppliers, they... are your best friend

00:16:38.289 --> 00:16:41.570
and they are underserved in my opinion in the

00:16:41.570 --> 00:16:44.370
industry and could really benefit from fresh

00:16:44.370 --> 00:16:47.750
new products, fresh new approaches, fresh new

00:16:47.750 --> 00:16:50.289
partnerships. So we'll be working on that too

00:16:50.289 --> 00:16:52.649
in the future. And they're a great way to just

00:16:52.649 --> 00:16:56.490
sharpen your teeth and get it going, right? They

00:16:56.490 --> 00:16:58.909
can ride the wave with you. They absolutely can

00:16:58.909 --> 00:17:01.009
and you shouldn't, especially when you start

00:17:01.009 --> 00:17:04.720
out. don't underscore how powerful some of those

00:17:04.720 --> 00:17:07.019
small and mid -sized distributors can be. Yeah.

00:17:07.160 --> 00:17:10.859
And I was one of them myself for 11 years and

00:17:10.859 --> 00:17:15.440
Adrian also. So we know the power of the boots

00:17:15.440 --> 00:17:17.880
on the ground distributor. We love them. They're

00:17:17.880 --> 00:17:20.839
our favorites. Maybe you don't. I just want to

00:17:20.839 --> 00:17:23.180
do a shout out. Well, if we do a shout out to

00:17:23.180 --> 00:17:27.039
our regional associations under the PPAI umbrella,

00:17:27.480 --> 00:17:30.539
even just go be a member of your new supplier.

00:17:30.700 --> 00:17:33.859
Join the one that's closest to you. This is where

00:17:33.859 --> 00:17:36.660
you're going to get that small and juicy distributors.

00:17:37.140 --> 00:17:39.680
And this bigger ones are there too. So don't

00:17:39.680 --> 00:17:42.720
forget our regionals. They are there for a reason.

00:17:42.960 --> 00:17:45.359
I think we have our next topic. Yeah. Talk about

00:17:45.359 --> 00:17:48.819
regional shows. Yeah. So we have the idea of

00:17:48.819 --> 00:17:51.759
budgeting. How much money do you need? We have

00:17:51.759 --> 00:17:55.440
discussing regional shows, how to partner with

00:17:55.440 --> 00:17:58.400
small and midsize distributors. I mean, there's

00:17:58.400 --> 00:18:00.940
so much great stuff we're excited to share. So

00:18:00.940 --> 00:18:05.819
we'll see you next time. Thanks for tuning into

00:18:05.819 --> 00:18:09.160
the promo playbook. If you found value in today's

00:18:09.160 --> 00:18:11.920
episode, be sure to subscribe and leave us a

00:18:11.920 --> 00:18:15.319
review. Got a topic you'd love us to cover? Connect

00:18:15.319 --> 00:18:17.799
with us on LinkedIn. We want to hear from you.

00:18:18.460 --> 00:18:21.900
Until next time, stay smart, stay strategic,

00:18:22.099 --> 00:18:24.200
and keep growing your supplier success.
