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Sales Pitch/Contract/Location Questions


hawksfan9325

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Hi guys. With the Holidays coming up, I have 3 "follow ups" to do to secure my new locations. I met with the owners and head librarians in my region, and am scheduled to call them this week. I called one last week, and he said "I still need time". As in he hadn't made a definitive decision. I know it's a flaky nation we live in, but how do you guys get your locations after the initial meetings?? I have only gotten 1 location thus far, and I am trying hard to land the library, and dealership. What should I say when I call? I feel I come off too hard maybe? I have a basic script I follow, but I think I need to just let them know that the contract is ready, and I can stop by to have you guys look it over and sign it? If they give me last minute resistance, do I offer the commission? You guys have been very helpful so far. My first post on here was so much info! I wanna get my locations secured before Turkey Day!! $$$

 

 

 

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Contract....did they ask for it? If not dont tell them anything about a contract especially at first they feel like obligated to some liabilities. Secure it and establish a good relationship first. Buy them a small thank u for Xmas and then tell them that starting the year your making contracts with all your locations only to protect then first stating they arent liable for anything etc. Then sneak in something like no other vendors allowed and 45 day removal notice etc. I dont really do contracts especially in the begining. The way I see it is dint worry about it do a good job, kiss golpher to them, make the main guy a friend and your good. If you get kicked out its kinda your fault..

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Contract....did they ask for it? If not dont tell them anything about a contract especially at first they feel like obligated to some liabilities. Secure it and establish a good relationship first. Buy them a small thank u for Xmas and then tell them that starting the year your making contracts with all your locations only to protect then first stating they arent liable for anything etc. Then sneak in something like no other vendors allowed and 45 day removal notice etc. I dont really do contracts especially in the begining. The way I see it is dint worry about it do a good job, kiss golpher to them, make the main guy a friend and your good. If you get kicked out its kinda your fault..

Yeah. I only like the contracts because I wanna make sure that no one else can steal my locations. Plus I like things written down. After all, it's the era of Google, so everything is traceable, and needs to be written down, at least that is how I want to run things at first. I guess as I get better, contracts are really not something to get too hung up on. I just wanna get the accounts and move on. Good info though TKK. Thanks :-)

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One thing to remember about contracts: they're only as good as how willing you are to enforce them. 

 

That aside, contracts - or location agreements - are usually amiable agreements that will protect the location and the operator.  You can certainly write it to benefit only the operator, but if you can include some info that benefits the account too you could make it easier for them to accept it.  Something such as "vendor agrees to remedy XXXXX issue within 72 hours" for example will make them feel that they have some power too.  A lot of agreements are simply formalities and if you can create a good relationship with management, you will probably not have any problems at the account.  When I did vending, my accounts would occasionally tell me of the number of vendors that had solicited the account but that they had turned away because they were happy with our service.

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One thing to remember about contracts: they're only as good as how willing you are to enforce them. 

 

That aside, contracts - or location agreements - are usually amiable agreements that will protect the location and the operator.  You can certainly write it to benefit only the operator, but if you can include some info that benefits the account too you could make it easier for them to accept it.  Something such as "vendor agrees to remedy XXXXX issue within 72 hours" for example will make them feel that they have some power too.  A lot of agreements are simply formalities and if you can create a good relationship with management, you will probably not have any problems at the account.  When I did vending, my accounts would occasionally tell me of the number of vendors that had solicited the account but that they had turned away because they were happy with our service.

That's the golden rule in business. Building relationships...everything else falls into place when that is taken care of :)

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That's the golden rule in business. Building relationships...everything else falls into place when that is taken care of :)

Unfortunately few bother with relationship building and think a location is theirs until they don't want it anymore and are very surprised and angry when they lose it.

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Yes, contracts arent really good. They are in some instances as some employees will have it in the back of their head when a.vendor comes they will probably say oh were under contract. But if they want you out youll be out. They can put out of order, or unplug the machines. A contract really means nothing. If you slack off it isnt fair for them to have a stale and empty machine. Just get the accounts, no contracts yet

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While I agree that building a solid relationship keeps you from loosing the account that is no guarantee. Management changes often in this environment and the next person may kick you out and don’t care because they are new and want to make changes and vending could be one of them.

I have seen where a contract has saved people from loosing accounts on more than one occasion. I try and get one no matter what to be on the safe side.

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Hi guys. With the Holidays coming up, I have 3 "follow ups" to do to secure my new locations. I met with the owners and head librarians in my region, and am scheduled to call them this week. I called one last week, and he said "I still need time". As in he hadn't made a definitive decision. I know it's a flaky nation we live in, but how do you guys get your locations after the initial meetings?? I have only gotten 1 location thus far, and I am trying hard to land the library, and dealership. What should I say when I call? I feel I come off too hard maybe? I have a basic script I follow, but I think I need to just let them know that the contract is ready, and I can stop by to have you guys look it over and sign it? If they give me last minute resistance, do I offer the commission? You guys have been very helpful so far. My first post on here was so much info! I wanna get my locations secured before Turkey Day!! $$$

Label it an Agreement and explain that it's a simple agreement for both of you to have. If you really want the location and it's worth it, mention your commission. Always keep it simple. I imagine people consider a contract in any situation as a dreadful task. Of course, good rapport helps.
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Agreement sounds so much sexier. Haha. "Contracts" sounds way too aggressive and would certainly scare off some people. I am gonna start using the term agreement. It flows better with the casual nature of the business.

I only have one contract but every other location has a "service agreement" makes thing a whole lot easier if there is a change in management, ownership or a location closes.

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You never loose an account from good service. Be reliable, check dates and always keep your vendors clean and working. I tell my customers to shoot the prices that they can make money at and never offer commissions unless asked for. When that happens then tell them the prices are figured with no commissions and for every % of commission the prices go up that much. Most employers just want to take care of the employee and low prices are one way to do that. They don't want employees leaving to go get something from the store.

 

I have had customers knock the big guy out when following this plan..

 

Contracts are worthless in most cases unless you want to spend time in court. 

 

Just my two cents. 

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Hi guys. With the Holidays coming up, I have 3 "follow ups" to do to secure my new locations. I met with the owners and head librarians in my region, and am scheduled to call them this week. I called one last week, and he said "I still need time". As in he hadn't made a definitive decision. I know it's a flaky nation we live in, but how do you guys get your locations after the initial meetings?? I have only gotten 1 location thus far, and I am trying hard to land the library, and dealership. What should I say when I call? I feel I come off too hard maybe? I have a basic script I follow, but I think I need to just let them know that the contract is ready, and I can stop by to have you guys look it over and sign it? If they give me last minute resistance, do I offer the commission? You guys have been very helpful so far. My first post on here was so much info! I wanna get my locations secured before Turkey Day!! $$$

 

 

Persistence is the key. The very first account I pitched took me over a year to close. I had closed many accounts since pitching them but I never forgot about them and I kept stopping in. The manager was always polite but dismissive. Insisting they were happy with their existing vendor even though they had dirty broken equipment. I checked in every few months. One day my phone rang. It was the manager of the location. She told me she had just bought the owner out and wanted to change vendors. She had my leave behind flyers and was anxious to get me in there right away. The other vendor was booted within 24hrs. 

 

If I have someone who is a hot prospect that is to say someone who has expressed interest in doing business with me

I follow up with them EVERY WEEK until they tell me yes or no firm.

 

If you are at the point where contracts are being drawn up. You should stop by in-person and check with them. It is very

hard to refuse or dodge someone face to face. Then you can also rebuttal any of their objections.

 

This time of year is very hard to get any business done. Decision makers are often out of town. I would frankly try back after new years if you dont have any luck.

 

 

As for contracts i would NEVER install equipment without a service agreement. Part of the agreement is to protect YOU. Your agreement should have the serial # of all your equipment and clearly state the equipment belongs to YOU not the location. This is your proof of ownership should the location close up shop locking your stuff inside (trust me it happens). Also you want to let the location know that it is there to protect them. Here is what I tell my locations almost verbatim.

 

I have a simple two page service agreement. This isn't a contract because contracts have penalty clauses. This has no penalty clause you can terminate the agreement when ever you want.All it does is to make sure everything we discussed in the negotiations is on paper and there aren't any misunderstandings. Five minutes after I leave here you may remember everything we talked about but five years later neither of us will probably remember any of it. This way should anything happen to either of us or there is any confusion about the commission, prices, selection or anything else we discussed its right here in this agreement. 

 

Most people never even read the damn thing. 

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You never loose an account from good service. Be reliable, check dates and always keep your vendors clean and working. I tell my customers to shoot the prices that they can make money at and never offer commissions unless asked for. When that happens then tell them the prices are figured with no commissions and for every % of commission the prices go up that much. Most employers just want to take care of the employee and low prices are one way to do that. They don't want employees leaving to go get something from the store.

 

 

I have an excel spreadsheet where i enter the base price of the prduct. the sheet automatically calculates my 

base prices based on my expenses and cost of doing business. I adjust those prices a bit manually to make

them uniform. My sheet will auto-calculate the same prices at 5% mark up, 10%, 15%, etc... to 25%

 

I print it out (it hides the original prices when printed) so it shows base price, price at 10% comm, 15% , etc...

 

this way the locations can exactly SEE what the prices will be at every commission level this has got me @

15% commission even at a few laundromats which usually want the most possible. It really is a huge impact

when you actually see the prices like that. I find just explaining it doesnt mean anything. Even a hotel acct

i had took zero commission because the DM wanted to have low prices for herself. 

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Another point to add about “service agreements” is this. Long ago I had secured a new location by a simple handshake. At the time I didn’t have the equipment to place so I went out and found a snack machine for the location. Based on my projections of the account and needing some equipment I bought two more snack machines.

 

It was about a week away from install and I get a phone call from the lady saying “they had decided to stay with their current vendor.” I told her that I had already bought equipment for her account. Her response was “cant you just return it?” After explaining to her I could not and trying to convince her to honor our agreement she wouldn’t budge.

 

The current vendor was notorious talking trash/lies about other vendors and I am sure this is what happened in this case and she got cold feet.

 

My point is, if I had an “agreement” signed she would be less likely to change her mind and I would have gotten the account.  She would have felt much more obligated with an agreement. If not I would have a legal means to pursue if need including against the other vendor.

 

Even when I send the current vendor a  “dear john” letter I say that I have entered into a contract with ABC Company and then tell them the expected switch out date. This lets them know that they have little chance of keeping the account at that point and they make less of an effort to try and keep the account for fear of legal action.

 

In short, try at all cost to get an agreement signed.  

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Another point to add about “service agreements” is this. Long ago I had secured a new location by a simple handshake. At the time I didn’t have the equipment to place so I went out and found a snack machine for the location. Based on my projections of the account and needing some equipment I bought two more snack machines.

 

It was about a week away from install and I get a phone call from the lady saying “they had decided to stay with their current vendor.” I told her that I had already bought equipment for her account. Her response was “cant you just return it?” After explaining to her I could not and trying to convince her to honor our agreement she wouldn’t budge.

 

The current vendor was notorious talking trash/lies about other vendors and I am sure this is what happened in this case and she got cold feet.

 

My point is, if I had an “agreement” signed she would be less likely to change her mind and I would have gotten the account.  She would have felt much more obligated with an agreement. If not I would have a legal means to pursue if need including against the other vendor.

 

Even when I send the current vendor a  “dear john” letter I say that I have entered into a contract with ABC Company and then tell them the expected switch out date. This lets them know that they have little chance of keeping the account at that point and they make less of an effort to try and keep the account for fear of legal action.

 

In short, try at all cost to get an agreement signed.  

hey i cant send a pm to you for some reason maybe ur box is full

 

did u try calling me a few weeks (months?) back? i remember seeing ur number come up

ive been going thru some personal stuff, but didnt mean to blow u off just forgot 

to call back, if so give me a pm or a call sometime

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