Tips on Successfully Mastering the Vendor Factor

Tips on Successfully Mastering the Vendor Factoryour colleagues to the vendor companies and open
Many consultants and business owners of today'sthe door for your reps to successfully sign these
Small Business IT companies understand thenew clients up to their company. You just may
importance of growing quality relationships with theirbecome their best friend—a real advantage
client base however it is equally important to createwhen you need that item in stock and it is in the
strong relationships with your vendors and otherwarehouse with another company's name on it.
partners. A successful, positive relationship withYour partner reps may be paid straight commission
vendors and partners is just as critical as obtainingbased on the number of sales that come from the
quality clients to today's Small Business computerchannel just like any commissioned salesperson. The
consulting firm.reps get paid commission on the number of sales
Why is it important to master the “vendorthat happen. Consistently using this vendor puts you
factor?” Vendors and partners can becomeinto the position of a prime account worthy of extra
a lifeline to your small business consulting practice.time and effort.
They are the ones that will be there when you needYou may create an atmosphere of leads or other
that additional leverage for a client deal. They will bebenefits like market distribution funds, case studies
there when you need help in getting the rightand other sources which build your company as the
solutions for a deal that you are working on. They“go to” organization. Reaching out
are the ones that will be available to you when youand helping your vendor reps and organizations,
have those answers to difficult questions.having a proven track record for bringing business to
A strong vendor and partner relationship is one oftheir companies, showing loyalty to the their channel
the most important pieces of your business puzzle.and with distribution partners, along with not hopping
Weak relationships with vendors and partners canfrom partner to partner based solely on the price can
sink your consulting practice. If you are the type ofreap rewards for your company.
business person that hops from partner to partner orI cannot say it enough - get involved with the
vendor to vendor just because ofday-to-day business of your channel reps, distribution
price—well, this practice will hurt yourpartners and others within the chain of your
business faster than treating your clients with noorganization. Each one of them will have different
respect. Small Business IT consultants need to createways for you to become active with them- search
strong relationships with everyone up, down and allout how to get involved. When you can help your
around in their business.reps gain or advance in their own companies, you
The power of two is one of the most powerfulbecome their immediate best partner or first contact
forces in the small business computer and networkperson.
support business. Pick one or two main vendors andOne last tip for success with the vendor factor:
stick with them. Find two major distribution partnerswhen you travel to locations where your vendors or
as a source of your systems, a couple of OEMpartners have offices, reach out and visit their
partners where you purchase your systems and aoffices. Most of the small business computer
couple of other types of manufacturers and partnersconsulting firms don't do this. When you visit their
for additional products that you resell to your clientoperations or visit with your reps in person, you
base. Having two resources to rely on will give youimmediately gain the upper hand over your
flexibility when attempting to source items for yourcompetition because now you have an immediate
client base. Not every company can do everythingstronger relationship and also an understanding of
themselves.how the business is run on their end.
It is also critically important to understand how yourBesides creating strong relationships with your vendor
vendor representatives are compensated-- whatand partner reps, make a point of introducing
makes them tick? Having a firm understanding onyourself to the executive levels at all of your partner
how your reps are paid for the services theyand vendor companies. Creating relationships with the
perform to the partner base is critical information forexecutives at your partners will thrust you into the
your success. Are they compensated on the numbertop ten percent of their clients. For a channel focused
of items they ship? Do they get compensated oncompany-- you ARE the client. That is exactly where
the number of new partners they bring into theyou want to be for your vendors and
company? Or are they simply paid on the dollars ofpartners—a first priority.
sales that their partners close?The vendor factor is one of the most important
If your vendor or partner is paid on the number ofrelationships you can form in your Small Business IT
boxes that ship to the end customer, then they willCompany's long list of relationships that need to be
be motivated to have all of their orders booked withformed. The power of two will give you a backup or
enough time to ship before the end of the month oralternate source when some partners do not carry a
quarter in order to have the credit applied. This canparticular product line. Add the power of two to give
work to your advantage if you need to get productyou leverage with your clients, let your reps assist
quickly near the end of their sales cycle.you with your clients. They love joint sales calls.
What if your vendor or partner receivesWhen you master building relationships outside of
compensation for the number of new partners thatthose with your clients you have taken a huge step
come into the system? Then you need to introduceforward to achieving the vendor factor.