Question

Topic: Strategy

Connecting To Customers Via Distributors

Posted by ishi268 on 125 Points
Hello,

We are working on building our customer e-mail database. We are an engineering company dealing in high precision products. Most of our sales come from distributors. So the only way to construct a reliable and hygienic customer database is through distributors. However, the distributors have their own apprehensions about giving out customer data. Is there any way we could reach out to our customers directly? Could there be some way in which we could reward our distributors for sharing the data at the same time building their confidence in us?
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RESPONSES

  • Posted by Jay Hamilton-Roth on Accepted
    Your distributors' lifeblood is their customer list. If you gain access to it, there's likely a concern that you can cut them out of the sales process, and you can sell directly to the consumers.

    So the key question is "Why do you need a customer email database?" What are you ultimately trying to achieve, and how can you work with your distributors to achieve it?
  • Posted by CarolBlaha on Accepted
    As others point out, the distributors aren't going to share the info no matter the incentive. I don't see the concern in this type of product them being cut out of the sale, but if distributors change-- either by you or them dropping the line-- they don't want their info passed to the next guy.

    Develop the campaign and give them a way to send it out, under their name. Provide technical support to help them get it out. This way you are also helping them gain additional exposure as a company-- and more sales not only on your product but others. You will entrench yourself as an asset to the company.

    Develop a campaign with the leads you generate, sending them business. How do you support the distributor? Use those leads to pull thru sales. You again, will establish yourself as an asset to the company.
  • Posted by Gary Bloomer on Accepted
    If you're selling mostly to distributors, then your customers are the distributors NOT the distributor's customers.

    The people who buy FROM your distributors are the product end users but technically, because they haven't bought directly from you, they're not your customers.

    Echoing the points above, why do you think you need to communicate with the people that buy from the people that buy from you?
  • Posted by CarolBlaha on Accepted
    The reason you need to communicate to their customers is to pull thru sales for the distributor. It is to support the distributor.
  • Posted by Peter (henna gaijin) on Accepted
    I agree with the others - the distributor will not want to give up their contact list. But I also understand why you would want to be in closer connection with end users of the products.

    Here are some options of ways to capture end user info:
    - have them fill in warranty information (whether on a post card they mail back, or as an online form).
    - make sure you capture information every time someone contacts you for product support.
    - set up a product user group or online community of experts.

    Unfortunately, all of these start from scratch and will mass many people who have purchased in the past.
  • Posted by ishi268 on Author
    Thank you for your response. We need the customer database to promote our engineering consulting services. Also, we are looking at making stronger brand connect by running e-mail campaigns, which could be more specific to our customers. We want to help our distributors with the branding support and not cut them out. We are also working on events for distributors at the same time. Any suggestions on distributor engagement and raising customer information?
  • Posted by CarolBlaha on Accepted
    I understand and totally believe your intent is not to cut them out. But that is what they are afraid of.

    I have been down this road with distributors and dealers, they are just by nature very protective of this info. I have yet met one that would do what you are asking. I would never share that info.

    Why don't you sit down with one of them and ask them their concerns and what would get them engaged? I imagine they will tell you what most of us have. Or, they'll tell you their on board, but you'll be waiting a long time for that list to appear. They may, as I suggested send it out from their localle where they maintain control

    As far as engaging the customer, I really like Peter's idea of online forum of experts and other social networking.

    You can keep asking the question but the answer will be the same. I realize it's not the answer you want, but it is from experience from me and others on this thread have found from experience.
  • Posted by ishi268 on Author
    Thank you all for your time and response. It's difficult to get the info from distributors, but we would definitely try to make a stronger connect with them and probably consider database development as an ongoing project initiative. Once again many thanks to all the respondents.

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