What Does A Dealer In the Outdoor Power Equipment Industry Expect?

Ideal Computer Systems sat down with Rod Schutzman for an eye-opening interview with a successful OPE dealer that gives insight into what manufacturer reps’ clients really think of them- and why.

Rod is the owner and general manager of Midway Outdoor Equipment in Hiawatha, Iowa. He has been in this industry basically all my life, but has been involved with managing his business since about 1986.

Ideal: What upcoming changes do you see for the industry?

Rod: There are a lot of changes going on in the industry. There’s more competition, I don’t know that that’s really new, but it’s more prevalent now because of shrinking margins. Business owners have to really concentrate on the service end to generate more service dollars, generating more parts business, and maybe becoming a little less dependent on whole goods sales and being very competitive in whole good sales.

Other changes I see in the industry are utilizing more and more of the new technology, the types of things that Ideal is offering in their business management systems in terms of generating reports and just having the tools necessary to manage the business.

Ideal: As a dealer, how many different reps do you work with?

Rod: There’s basically one for almost every manufacturer, plus additional parts suppliers. There’s probably 10-12 that we primarily deal with on a regular basis.

Ideal: By regular basis, what do you mean by that? On average, how often do you meet or talk with these reps?

Rod: That varies, most of them of every 30-90 days.

Ideal: We had a conversation recently in which you mentioned that reps tend to fall into one of three categories: nuisance, friend or ally. Describe each one. How does each one differ from the other?

Rod: A nuisance would be someone comes in and wants to talk about everything except business, who doesn’t know the answers to questions or doesn’t at least try to find the answers, and doesn’t follow up. They don’t add much value; they simply come in and take up time.

A friend is someone you like and enjoy spending time with but may still not be the most helpful in terms of representing a line or helping you in business in general.

An ally is involved in our business, they help us grow our business, help us manage our inventory, and assist with a lot of different issues. The people who do those things are going to be a lot more successful with dealers.

The other thing that’s really important that a successful rep does is to call ahead, to be respectful of my time and let us know that he’s going to be coming in at least a day or two in advance. Or if he’s running late give us a phone call and let us know. I think that sometimes they forget that being in a retail environment we have to manage our time to handle business operations and it’s not convenient to have someone drop in unexpectedly.
There may specific problems or questions I have and I haven’t had a chance to gather those thoughts for our meeting.

In my mind one of the main duties of reps is to make sure that we have the latest promotional programs. It’s important because if a dealer carries multiple lines it can become very confusing to keep-up-to-date with the latest programs, promotional pricing, and retail financing because those programs tend to change almost monthly.

During our busiest months, if a rep is physically here it’s very nice to have them set up some equipment, fill in our missing spots on the floor, and make sure that our price tags and hang tags are current.

It’s a good idea for the rep to check our stock levels and help us identify as a supplier to us if they have issues or problems as far as their stocks or supplies. Help us manage our inventory, especially if there’s a supply problem. Also, if we’ve got some old stock that we’re having problems moving help us move it.

Reps can help with problems in sales, invoicing from suppliers, warranty or service issues. The reps won’t always have those answers, but if they can at least get us to the right people and then follow up to make sure that they were resolved. They are our main point of contact and it’s easier for them to follow up than anyone else.

Ideal: If you could give reps one piece of advice, what would it be?

Rod: Well that would be a two part answer for me. Value my time and follow up.

Question of the month: As a manufacturer or distributor rep what is your biggest obstacle to professional success?

In order to get a feel for the issues that OPE Reps face, Ideal posed the following question:

“As a manufacturer or distributor rep what is your biggest obstacle to professional success”?

The responses demonstrated a wide range of concerns …

“The lack of a one stop shop, a complete knowledge bank for industry information like parts look-ups.”

“The apprehension that dealers have in the economy.  People fixed a lot of tired equipment last year and dealers are still ordering accordingly”

“The resistance within the industry to change.”

“The amount of competition that has sprung up over the past few years”.

“Dealers not being able to get financing.”

“Fewer dealers and therefore less opportunity.”

“Organization.  I didn’t grow up with computers so I’ve had to learn over the past few years how to keep everything organized and integrated with my computer and phone.”

“I wouldn’t say that it’s the economy, it’s actually doing fairly well in our industry (OPE).  I’d say it’s competition, it always has been.”

“Dealerships having a hard time retaining good people.  They tend to lose them due to lack of pay, lack of training, or just better opportunities”.

“Retail financing”.

“A lack of good customer service from dealers”.

“Dealers that don’t use their computers effectively.  Too many are computer illiterate and many won’t even check their email for weeks”.

“The biggest obstacle for me is always the weather”.

“The financial well-being of my dealers.  Things aren’t as bad as last year, but it isn’t getting a lot better yet”.

“Half the time my job is like cat herding because everyone has their own little issues that need to be dealt with”.

NEWEST Version of Ideal Business Software Provides Outdoor Power Equipment Dealers with the Latest in Cutting-Edge Technology

Cedar Rapids, IA – April 1, 2010 – Ideal Computer Systems, the leading provider of business management software for Outdoor Power Equipment dealers, is pleased to announce the release of Ideal 7.0 – its most powerful software to date.  Included in this new version is the ability to Schedule Appointments, view Key Performance Indicators on a mobile device, and finance deals with a fully-integrated F&I (Finance and Insurance) package.

“We’ve taken the leading business management software in our industry and just made it even better with the release of Ideal 7.0,” said Dennis Haefner, president of Ideal Computer Systems.  “With the ability to schedule all of your daily appointments and view daily metrics on a mobile device, we’ve immediately saved drastic amounts of time and improved efficiency for the dealer.”

But utilizing some of the new features included in Ideal 7.0, dealers will be able to…

-  Streamline their process for scheduling Work Orders, pickups, and deliveries.

-  Plan automated routes for pick ups and deliveries.

-  Keep tabs on key performance indicators of their business via mobile device from any location.

And much more!

In addition, Ideal 7.0 now includes an optional, fully-integrated F&I package – perfect for any OPE dealer that wants to finance their own unit sales.  The F&I package is loaded with money-making features including an exclusive Menu Selling Option feature that allows dealers to provide several different plans and payment options for their customers to work with.

“For anyone who uses F&I, or is looking to introduce it to their business, our new F&I module is an excellent fit,” said Haefner.  “We spent several months working with F&I specialists to make sure this package was the very best for dealer success.”

For more information about Ideal 7.0, you can request a free demo and information kit today by calling 800-737-1620 or visiting www.idealcomputersystems.com

Ideal Announces Enhanced Integration with CODIS-Enabled Distributors

Cedar Rapids, IA – March 30, 2010 – Ideal Computer Systems, the leading provider of business management software for Outdoor Power Equipment dealers, is pleased to announce its enhanced integration with CODIS purchase ordering.

Ideal’s interface allows dealers to send electronic purchase orders to any distributor that uses CODIS. After the order is placed, the dealer will receive a response detailing the status of each line item. In addition, the dealer can also check availability on parts directly from Ideal’s Purchase Order screen, saving time and eliminating the need to go outside of the software.

“We’ve had an interface to CODIS for many years, but the new capabilities that we have been able to add through CODIS’s enhanced interface is a significant step forward,” said Dennis Haefner, president of Ideal Computer Systems.

Distributors that are CODIS-enabled include AES Lawn Parts, Atlantic Power, Central Power Systems, Engine Warehouse, Gardner, General Power Equipment, Gardner-Connell, Magneto Power, Medart Engine, MWE, PES, Power Source Canada, Preferred Power, RBI, and SEDCO.

For more information about Ideal and its CODIS interface, you can request a free demo and information kit today by calling 800-737-1620 or visiting www.idealcomputersystems.com

How to Set Your Dealership Apart From Your Competition

All of us have competition. Even if you’re located in a small town, 50 miles away from the nearest city, you still have competition. Where’s it coming from?

Our competition comes from other local dealerships, big box stores like Home Depot, and even the Internet. These days, OPE dealers are hit from all sides, and it can be a real challenge to keep customers coming in your door when they have so many options.

The key to maintaining customer loyalty and consistent sales is that you have to set yourself apart. You have to give people a reason to come to your dealership. We know, you’ve probably heard that one before, right? Well, here are some unique ideas to make your shop stand out.

Strategy #1: Consider Your Audience

Did you know that over 42 million Americans can’t read at all? And over 50 million can’t read above a fourth or fifth grade level.

There are another 44.9 million people who don’t speak English fluently.

What does this have to do with your OPE dealership? Well, everything. Chances are you have some customers, maybe quite a few, that can’t read well or at all. If you look around your store, however, how easy is it for these customers to find what they need? Imagine yourself walking into your own store, unable to read any of the signs you have up. Picture them in a different language. How overwhelmed would you be?

You can make your dealership unique by giving these customers a helping hand. Putting up signs with images, as well as words, would better help them navigate your store. These images will also help everyone find what they need faster and easier. Making your dealership more user-friendly in this way will keep customers coming back.

Strategy #2: Don’t Turn Business Away

You probably read that and thought, “Who in their right mind would turn business away?”

Well, many dealerships do. How? Because they refuse to work on equipment that was bought somewhere else.

This strategy is a good one if you want to send customers to your competition. Inflexibility is one of the quickest ways to lose a customer for good. Want to inspire loyalty and keep your customers coming back? Then work with them. Be flexible. Help them however you can. Sticking too closely to “policy” will only drive people away.

Strategy #3: Track Your Customers

Do you know which of your customers buy which products? Unless you have quality outdoor power equipment office software, then probably not.

The advantage to tracking your customers’ buying habits is that it allows you to become familiar with what they’re interested in. Chances are, you see around 5%-10% of your more loyal customers on a regular basis. Do you know them by name? Do you remember what they bought last time, so you can ask how it’s working out?

Good software will allow you to pull this information up in seconds. Imagine how special that customer would feel if you greeted him or her by name, and asked how the snow blower they bought last month was working out for them.

They’d feel unique and appreciated, that’s for sure. And this is what a high quality, customized outdoor power equipment office software can give you.

There are plenty of unique ways that allow you to stand head and shoulders above your competition. You just have to be willing to think outside the box a bit, and work more flexibility into your shop. Do that, and your customers will keep coming back.