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S P E C I A L R E P O R T

W W W . G E A R T R E N D S . C O M6 0

U.S. Marines and Iraqi Arabsclashed on the streets ofMosul, thousands of miles

away, Jim Kelly walked through the doorsof Tents and Trails in Huntsville, Ala.

For Kelly, a Southeastern rep with TheSummit Group, this was a routine visitwith store owner Kevin Cunningham.

After shaking hands, the two fell intofriendly conversation, and their talk soonturned to the war, the economy and thestate of affairs in the Southeastern out-door market.

Tagging along with Kelly for the day, Iscribbled notes for the next two and halfhours to document the conversation. Iwas surprised at how few of those notesconcerned product information—whichnew Smartwool socks Tents and Trailsmight want to carry. There were biggerthings to discuss.

“This is what we talk about a lot thesedays,” Cunningham said. “I look to Jimto find out how things are going withother stores in the area. We can feel a lit-tle isolated, and his view of the big pic-ture is really important.”

Such talk has always gone on in storesthroughout the country, but Kelly saysit’s becoming more prominent. Retailerslook to him more and more as a sourceof information as they seek insight intothe ebbs and flows of the market.

It’s just one example of how retailersare adjusting the way they work with

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reps, as they face greater competition anda tough economy. With so much change,it drives the question: Are retailers gettingthe most possible out of their reps? Iinterviewed retailers and reps across thecountry to compile a few thoughts onhow retailers and reps might worktogether more effectively.

EXCHANGING IDEASAfter working for years in the outdoorindustry, Kyle Burgess decided to becomea rep about a year ago. Working withcompanies such as Life Link and CrescentMoon, Burgess loves it. But he hasn’t cho-sen the easiest time to launch a repcareer. When he sits down to talk with hisretailers, he hears a consistent message.“Everybody’s uneasy,” he said. “It’s reflect-ed in the conservative ordering.”

These days, Burgess and his retail cus-tomers have discussions similar to those ofKelly and Cunningham. “The retailers arelooking for information that will give theman edge. To me, they seem isolated. Theydon’t know what the whole region’s buying,don’t know if orders are up or down. Theywonder, ‘Is it just me who’s hurting?’”

The most successful retailers gain anedge by viewing their reps as consultantsand valuable sources of knowledge. Theyhave open and honest discussions, andexchange valuable information. But a realexchange of information only occurswhen the retailer and rep have a strongbusiness relationship. These relationshipsare built on trust, which they establish bycommunicating regularly. Plus, you’ve gotto give a little to get a little.

While it’s important for reps to offertheir knowledge, retailers must also bewilling to share their own ideas and

information. Communication really is atwo-way street.

“We’re most successful with retailersthat communicate with us on an equalbasis,” Jim Holton of the Holton SalesGroup said. Recipients of a 2002 OutdoorIndustry Leadership Award, Holton and hiswife and business partner, Cindy, knowtheir stuff. They’ve built solid relationshipswith established Midwestern outdoorretailers, such as Uncle Dan ’s andErehwon. The key to their success is thatretailers feel comfortable talking with themabout a wide range of issues, and the com-munication line is always open. “It doesn’tmean a rep has to be in contact with theretailer 24/7, but it’s important that you’rereally comfortable so you can communi-cate regularly,” Holton said.

Mike Fowler, vice president of operationsfor Erehwon, said that good reps likeHolton take the time to get to know astore’s staff and customers. Once the repunderstands that particular retail operation,they forge a stronger relationship, and therep becomes more of a business partner.

Fowler says that when he considers arep a partner he’ll share all sorts of valu-able information concerning that rep’smanufacturers, such as vendor perfor-mance “report cards.”

“If performance is bad, I want to findout why it didn’t work,” Fowler said.“Was it the wrong size or the wrongcolor?” Rather than just marking down aslow-moving product, Fowler might talkwith the rep about other strategies—likeimproving education. “A good rep willsay, ‘Let’s clinic this $65 headwear,’ andthe next thing you know we have 65-per-cent sell-through in two weeks becausehe spent two

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hours in my store talking about the ben-efits of the product.”

Just like Fowler, Manny Polloni ofAmerican Terrain Outdoors in WhitePlains, N.Y., loves to offer his opinion. Asa matter of fact, Polloni says all retailersshouldn’t hesitate to offer reps opinionson how their products are faring.

“I’m a big believer in telling a personwhy I’m buying their product, or whyI’m not,” Polloni said. “I’ll say, “Look,we’ve tried these shoes, they’re just notworking, is there anything we can do tomove in another direction?” This waythe rep has something to take back totheir sales manager when explainingwhy American Terrain is cutting its vol-ume in half. Good reps will take thatcriticism and try to find something thatwill work. Other guys won’t call you nextseason for an appointment.”

Which brings up a good point—somereps simply don’t take criticism well andcommunicate poorly. On top of this, theymight neglect smaller accounts, or try tosell retailers a load of unneeded product.It can be difficult to identify the good,the bad and the ugly. But this is whereyou can really tap the knowledge of thereps you trust.

Just ask Terri Barr. When she openedHudson Valley Outfitters in Cold Spring,N.Y., two years ago, she found that somereps were trying to sell her “a load”—reading between the lines, that meansshe was being sold a bunch of productnot appropriate for her store

“Then, some of my reps helped me getto know other retailers in my region,”Barr said. “That’s been a godsend. Theother retailers helped me learn about thereps in the area—who were the good reps,and who were the ones who would helpme build my business, and who were theones just trying to sell me something.”

While Barr obtained valuable network-ing sources from her reps, retailers can tapinto their reps for all sorts of knowledge.

“The retailer needs to ascertain who iscapable of discerning trends and usingthat as meaningful input,” said LarryHarrison of the Earth Games rep companyin Southern California. “Trends could bethings as small as a color, or where pricepoints are going,” he said, noting that thecontinued decline of price points shoulddefinitely be on the agenda when reps andretailers sit down to develop strategies.“Reps and retailers should discuss howmuch more inventory they need to turnnow that we’ve reduced the average price.What promotion can we run to increasevolume? Hopefully, they are having discus-sions that lead them down that path.”

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Ken Barmore of the rep group BPAssociates in Middleton, Wis., agrees thatretailers will prosper if they tap into repknowledge. “In our agency, we strive tolook at the retailer’s business, see what’sselling elsewhere and keep up with thetrends,” Barmore said. “Take JanSportfor example. The company does an amaz-ing amount of research on color trends.When retailers find the reps they cantrust, they can benefit from their insight.”

YOUR SPECIAL BLENDWhen Barr opened Hudson ValleyOutfitters it was her first foray into retail,so she turned to her Lowa rep, RayFerrand, for insight into what her productmix should be. Located just 55 miles fromNew York City, the store lies in a resortarea, and attracts tourists heading out onhiking and paddling day trips. Ferrandsteered her away from heavy backpackingboots and toward day-hiking product. “Itold her, ‘If you feel like you need somebackpacking boots, I’d do a light one, andI wouldn ’t have more than one beefybackpacking boot,’ ” Ferrand recalled.

Barr says Ferrand also gave her thewise advice to remove the beefy back-packing boots from her preseason order,and just do fill-ins.

As Ferrand said, retailers should identifythose reps that “have the ability to look at agiven shop in a given area and understandwhat products in line should be in thatstore.” The trick is to pay attention andkeep your eyes peeled for the good ones.

FORMING AN ALLIANCEIn 1996, John Mead was looking for somefresh ideas for his small chain ofAdventure 16 stores in SouthernCalifornia. “I wanted to not only sellmore, but increase our level of training,heighten brand awareness for our prod-ucts, and do some good.”

Mead worked with reps from ninemanufacturers to develop a Key VendorAlliance program. Under this program,Adventure 16 focuses its efforts on oneparticular brand during a specific month.

“We formally get together with the repand an executive from the manufacturerand talk about our relationship, our mar-keting and long-term goals. We come upwith a strategic plan on how we’ll sellmore of that vendor’s product,” Mead said.

“We have a template of things we do—amenu of 30 items,” he said, noting thatthe list includes all sorts of things frompromotions to merchandising ideas.During May, the store focused on Vasquewith the theme “Light and Fast,” shiningthe spotlight on Velocity footwear.

It’s a great idea, but aren’t chains andlarge stores the only ones that can coaxreps into this type of alliance?

“Some retailers tell me they’re not bigenough, but I don’t think that’s true atall,” Mead said. “There’s not one vendor Iknow of that wouldn’t do it if asked. Butthe retailer has to drive that.”

What’s really cool is that the Adventure16 KVA program goes beyond productsales to include philanthropic projects.Mead said he works with manufacturersto raise awareness for non-profit organi-zations. “The rep plays a critical role,because the vendor typically picks thenon-profit cause. We ask the rep to be theprimary contact with them,” Mead said.The arrangement works well. If the man-ufacturer is already working with a non-profit, it will have already planned eventsand developed promotional materials.Adventure 16 worked with Royal Robbinsto promote Coastal Walk, a group sup-porting a California Trail. The RoyalRobbins rep helped bring Coastal Walkinto the store to talk about program.

EXPLORE CO-OP OPPORTUNITIESWhile Mead and his reps developed afresh way to work together, reps providemore traditional resources that are oftenoverlooked.

Polloni of American Terrain said thatco-op dollars are “some of the mostunderutilized funds and get walked overin the sales pitch.” While you often get 2percent of sales in co-op dollars, Pollonisaid, “If you’re really promoting a brand,you could get 4 percent to 5 percent.

“We fully explore co-op opportunities,”he added. “With Mountain Hardwear, wehave done co-op ads in sports magazines,and with Cascade Designs we’ve done adirect-mail campaign to promote newproduct.”

Some co-op efforts turn into long-standing traditional events. Barmore ofBP Associates said that his group hadworked with Sherper’s in Hales Corners,Wis., for many years on a promotion forthe Boy Scouts.

Barmore’s group gets sleeping padsfrom Cascade Designs at a discountedrate. Then, Sherper’s can sell the pads toBoy Scouts at a discount, while maintain-ing full margin.

Of course, alliances and creative co-opsrequire equal effort from a rep and retailer.Both have to sit down, communicate open-ly and come prepared to devise a strategy.As Holton said, “When we have businessmeetings with Uncle Dan’s and Erehwon,we come with an agenda. If we pre-plan,we’re more productive, and that helps us

(continued from page 60)


© 2003 Outdoor Industry Association

Photo: Jeffery Martin

OUTDOOR INDUSTRY RENDEZVOUS

an Outdoor Industry Association event

✫ October 2-5, 2003✫ Vail Cascade Resort & Spa✫ Vail, Colorado

Join us on the creek in the beautiful RockyMountains for the Eighth Annual OutdoorIndustry Rendezvous in October 2003.

This popular industry conference includes rele-vant business seminars, keynote speakers, funrecreational activities and plenty of time tocatch up with your industry colleagues.

15 FEATURED SPEAKERS INCLUDING:

✫ Michael Schrage, Co-founder of MIT MediaLab's eMarkets Initiative and author of the bestselling book Serious Play: How the World's BestCompanies Simulate to Innovate

✫ Melinda Davis, Author of the best-selling bookThe New Culture of Desire

✫ Haysun Hahn, Director of FutureMode, a leaderin fabric, fashion and color trends

✫ Doug Haley, Chief Knowledge Officer at HarrisInteractive, principal of the new OutreachResearch; insights on the outdoor consumer

✫ David Callahan, Director of Research at Demos,the rise of the WalMart economy

www.outdoorindustry.orgFor more information contact OIA at 303.444.3353 / [email protected]

60-73 Rep.Footwear 7/23/03 3:04 PM 5



act on things that need to be rectified.”

QUALITY TRAINING PROGRAMSYou’ve head this before, but here we goagain—the best teacher I ever had was aman by the name of Mr. Gustafson (“Mr.G”), my high school German teacher. Heate chalk, stood on desks, hollered andtaught one hell of a German lesson. Imention him often because good teachersare some of the most valuable people inour lives. And a good rep can be just that.

One of the best things you can do foryour store is to identify, and work closelywith, reps who are good teachers. No,they don’t have to be as raucous as Mr.G., but they need passion and someteaching skills—two things you mustlearn to recognize.

“The better reps have the ability toteach,” Mead said. “Just because you knowproduct doesn’t necessarily mean that youcan transfer that knowledge well.”

Polloni of American Terrain said thathe certainly views reps as teachers. “Iwant a rep to say how the product fitsinto our mix and how staff should sell it.”

Not only does a good clinic require agood teacher, it requires direction, andPolloni said retailers should steer the con-tent. “I try to have a conversation with therep for the clinic. I might say, ‘This isBackpacks 101 for this group, or thisgroup has been through a lot of your clin-ics, so let’s take it to the next level, andtailor it, so they can learn somethingnew,’” Polloni said. “And I attend the clin-ics, so I can intercede and explain somethings. Retailers don ’t think enoughabout what they want said during theclinic. You have to have an interest inwhat the rep is saying to your staff.”

Holton said that store owners some-times don’t even show up for clinics—orhe’ll walk into a store to be greeted by justone lonely staff member. Talk about beingmad enough to eat chalk. That’s not a goodway to get the most out of your rep.

Of course, the onus is also on the rep toensure the quality of clinics. “It’s amazingto me how many reps don ’t work toacquire basic teaching skills,” Mead said.“With basic teaching skills you can inspirepeople to sell more product for you.”

Following presentations, Mead will, inhis casual way, offer the rep feedback andconstructive criticism. “We think that’s animportant step in helping them becomebetter at what they do,” he added.

THE DIFFERENCE IS NIGHT AND DAYIf there is one area where retailers are not

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getting the most out of their reps, it’s stafftraining. “People are watching their dollars,eliminating after-hours clinics and asking usto do drop-bys or spot clinics,” Burgess said.“It’s not as effective as a full clinic.”

Obviously, Burgess can reach only asmall portion of employees during storehours, and customers are a constant dis-traction.

It ’s unclear whether the trend istoward, or away from, clinics conductedduring store hours. But many experi-enced retailers say daytime is the wrongtime. “We tried doing them during theday, and it’s not a good use of the rep’stime,” Polloni said. “You’re not makingthe most out of your rep in that situation.We do clinics from 4 to 7 on Fridaynights. We’re not distracted, and youmake so much more money from a goodclinic. That’s money well spent.”

Bill Chandler is one of many repsencouraging stores to take advantage ofonline training programs. “Blue RidgeMountain Sports has an electronic-basedsystem where new employees go through101 training. It’s been very successful,”Chandler said. Granted, most reps sayonline training is best for basic nuts-and-bolts information, while face-to-faceinteraction with a rep is still necessary.

Dave Moseley, a Watermark rep, oftenprefers to meet face to face. “We’ve built arapport with a lot of the staff, and they’recomfortable enough to ask what theymight feel are even stupid questions. Ofcourse, the only stupid questions are theones not asked. We’re able to (explain) cer-tain product processes better (in person).”

Granted, a rep’s schedule is stretchedthin, and even well-intentioned repssometimes don’t make enough visits tosmaller shops. To address this problemand provide high-quality education for allstores—small and large—BP Associateshelped create the Midwest OutdoorUniversity two years ago. Held at Devil’sLake in Wisconsin, it drew plenty ofinterest, with 40 manufacturers and 191retail employees participating. Barmorepointed out that, “Central events allowreps to spread their attention more effi-ciently,” and plenty of retailers havebought into the idea. This year’s MidwestOutdoor University drew 70 manufactur-ers and just over 200 retail employees.

A great advantage to OutdoorUniversity is that it allows retailers andreps to test gear together in an actual out-door environment—something that hap-pens rarely these days. The OutdoorUniversity emphasizes hands-on activities,

and almost any rep will tell you that whenretail staff use product in the outdoors,well, that’s when the light bulb goes on.

“Maybe employees haven’t ever paddleda canoe or kayak—we found that out dra-matically at last year ’s University,”Barmore said. “A lot of kids hadn’t had theopportunity to trail run or climb.” Whenpeople get a taste of an activity, it “booststheir self esteem and confidence, so theycan more effectively sell,” he added.

STORE AMBASSADORSUnfortunately, reps can’t be in your storeall the time to advise the floor staff. For thisreason, retailers should tap reps to signifi-cantly develop employees on the sales floor.

“Successful owners, managers and buy-ers really empower their people to createsome entrepreneurial spirit,” Holton said.As an Eagle Creek rep, Holton works withthat company to establish “store ambas-sadors.” An ambassador is a store staffmember—preferably not a manager—who specializes in a particular manufac-turer or product line.

“The ambassador becomes a point per-son other retail staff can go to,” he said.“I work with retailers who encourageemployees to learn a lot about a productand do presentations. As you rotatethrough your employees, each becomesan expert in certain category. It’s veryproactive and productive.”

A TRUE PARTNERSHIPAs I talked with industry members forthis article, people sometimes said that alot of this stuff is not “rocket science.”Well, no, it’s not. It’s actually more diffi-cult than that.

Why? Because there is no scientific,mathematical equation that guaranteesyou can lift your business and send it ona meteoric rise. Rather, the whole thinghinges on people—customers, employees,owners and reps—unpredictable sincethat’s how people are, all with a mix ofpersonalities, talents, shortcomings andfears…fears of war, and fears of a flat-tened economy.

Success in business ultimately dependson your efforts to understand those peo-ple, and draw from them the most youcan, whether you’re trying to attract cus-tomers or get the most out of your rep. Itall depends on your attempts to buildsome sort of relationship or partnership.

“The key is to understand what a realpartnership is,” Harrison of EarthGames said. “You have to realize, if theyfail, you fail.”

power your business-

THE KEY IS TO UNDERSTAND WHAT A REAL PARTNERSHIP IS,” SAID LARRYHARRISON OF EARTH GAMES. “YOU HAVE TO REALIZE, IF THEY FAIL, YOU FAIL.””


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