Promotional Products Sales Reps

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By Shirley Anderson

Care and Feeding of Sales Reps - A Mini Maintenance Manual

At some point in future, when your promotional products division expands enough, you may find yourself working with sales reps. Promotional products sales reps can be great, quirky, and a pain in the butt. They can also bring a lot of work and business into your office, and you need to be prepared to succeed smoothly.

Status and Pay Structure for Promotional Products Sales Reps

As a rule, promotional products sales reps fall into one of the following categories of pay structures:

  • Salary plus commission - they are an employee, company handles deductions
  • Straight commission - self-employed, must be multi-line, handles own taxes
  • Draw against commission / Guaranteed draw against commission - can be self-employed

The above definitions are flexible, and are wholly dependent on the agreement between company and rep. If the company wants a rep that will work solely for them, they must look to hire an employee. Otherwise, they must interview for an independent contractor.

The rate of commission, amount of draw, etc. carries an industry standard, but is one of the details settled between the company and promotional products sales rep, and is stated in the contract.

Salespeople can receive their commissions when they write up the order, or when the customer pays their invoice. Usually, and advisably, the rep gets paid when the company does to avoid problems and repayments if the order falls through before completion. Should the client not pay their bill, the sales rep should call on them and find out if there is a problem that needs resolution and to ask for payment.

Expenses

Whether or not reps get certain expenses paid for by the company depends on their contractual agreement with your company, but generally they pay their own and receive a company budget allotment for samples, Idea Books, postage, and the like. If the reps are self-employed, they can use their expenses towards their tax deductions.

Promotional Products Sales Reps - Responsibilities

Typically, salespeople are assigned to a specific city or area. They are responsible for physically tending to clients and potential clients within their territory. They are your company's presence in the field and are the face and voice of your company. These people are not just sales reps, they are also marketing consultants for your promotional products business.

Their job also includes:

  • Representing the client to the company
  • Solving problems
  • PR
  • Company and product awareness
  • Establishing relationships
  • Making and closing sales

A Happy Promotional Products Rep is a Successful and Prosperous Rep

Good support will net large returns from your promotional products sales reps
Good support will net large returns from your promotional products sales reps
These agents are not just sales reps, they are also your marketing consultants
These agents are not just sales reps, they are also your marketing consultants

Support for Promotional Products Sales Representatives

Inside support is crucial to promotional products sales reps. Without it, they cannot properly do their job. A support position of this nature is usually referred to as Sales Assistant or Sales Co-ordinator. Each one is assigned a certain number of reps to care for, and that number is dependent on how much work is expected from the individual reps. It is assumed that the larger the territory, the more inside work to be done. For example, one person may be the sales assistant for a rep who covers a large city, one who does small province or state, and one in a quieter area as well, perhaps even more. Another person may be the assistant for an entire large territory. The number of assigned areas is directly related to amount of work they generate, and how much one inside sales assistant can handle.

Sales support staff are responsible for being the rep's right arm, and doing whatever is necessary to be done from in-house in a timely fashion. That means quoting, mailings, samples, taking phoned in orders from the reps clients, anything special that cannot be done in the field, or that they need extra help for in order to close a deal.

It is extremely important that your reps have company backing and support as they need it. If something they need, or need done is not carried out in time, they stand to lose a sale and a portion of their livelihood. They tend to get a little testy in that type of situation.

The objective is to meld and become an inside/outside sales team to achieve a great marketing program and a harmonious work environment.

Other Sundry Details About Promotional Products Sales Reps

  • Once a rep establishes a client, all sales are credited to that rep regardless of whether the order is called in to the office by the client, or the rep sends/brings it in personally.

  • All discounted quotes and product affects the rep's pay and they take a cut in commission unless the company agrees to take it solely from their portion of the profits.

  • If a sales assistant reaches any sort of impasse with a rep, hand the situation over to your manager/boss. If tempers fly and it there doesn't seem to be a resolution, remove yourself and let a cool head intervene.
 

Promotional products sales reps are like the rest of us (normal). Some are hyper and a ton of work, some are demanding and nasty but bring in the highest sales, some are very sweet and only call when they have to. Mostly they're fun, nice, and hard working. All good ones are a tremendous contributing factor to your year-end figures, and a welcome addition to any promotional products business.

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Some of my other hubs about the Promotional Products Industry:

Recommending Promotional Products

Rejuvenating Slumping Promotional Products Sales

Questions to Ask Before Doing A Promotional Products Quote

Promotional Products Customer Creation

Your Role as a Promotional Products Specialist

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Comments

ahmu profile image

ahmu 4 years ago

thanks for share this information i like ur hubs

Shirley Anderson profile image

Shirley Anderson Hub Author 4 years ago

Thx, Ahmu!

compu-smart profile image

compu-smart 4 years ago

A sweet and fun, nice, and hard working sales rep sounds nice but i would not mind if they were demanding and nasty if they can bring in the higher sales!!

it looks like a win win situation!!

Thanks for sharing:)

Shirley Anderson profile image

Shirley Anderson Hub Author 4 years ago

Very true, Compu-Smart. I've worked with both kinds, and for some reason the nasty tempered ones seem to be high producers.

Thx for commenting!

prasadjain profile image

prasadjain Level 4 Commenter 4 years ago

good hints to those who are looking forword to make success in this line

Shirley Anderson profile image

Shirley Anderson Hub Author 4 years ago

Thank-you, Prasadjain. I hope it's helpful to people.

donnaleemason profile image

donnaleemason 4 years ago

Very concise and well done.

Shirley Anderson profile image

Shirley Anderson Hub Author 4 years ago

Thx, Donna Lee!

Rick49 profile image

Rick49 3 years ago

It sure was helpful to know this. Great article Shirley.

Shirley Anderson profile image

Shirley Anderson Hub Author 3 years ago

Thanks, Rick. I'm glad it can help!

JohniRedd profile image

JohniRedd 2 years ago

Thumbs Up on this one!

Shirley Anderson profile image

Shirley Anderson Hub Author 2 years ago

Thanks, Johni! I appreciate that. :)

Stubby Holders 2 years ago

Interesting read - I'm located in Australia, and it's quite different here, as most people are on salary or a combination of salary/commission. Would be a very different ball game working just on commission, and success would depend a lot on the advertising undertaken by the company I would think, in addition to the rep's skill obviously!

Shirley Anderson profile image

Shirley Anderson Hub Author 2 years ago

Hi, Stubby. Reps can be salary or salary/commission here, too. Typically though, the salaried people stay in the office handing house accounts or inbound calls for other reps.

Promotional products reps often will often take a draw against their commissions, which is fine unless they do not sell enough to cover the amount. If that happens, then the rep owes the company the difference...ouch.

Companies tend to view their reps as their front line of public relations but I agree with you that some good advertising makes it a lot easier for the reps, especially when doing cold calls or trying to make their first sale with a client.

Thanks so much for your comment!

Gift Guru, your comment got caught in the spam filter because of the link you inserted. To respond to your comment though, I don't think reps necessarily become detrimental to a company. If they do, something is wrong internally.

You may not have meant 'detrimental' as you next sentence mentions that reps bring in money that helps to run the business. I agree with you completely there.

Thank-you for your comment, sorry the link messed up showing it.

Neil Ashworth profile image

Neil Ashworth 2 years ago

Great content for a hub. I'll bookmark this one for later...

Shirley Anderson profile image

Shirley Anderson Hub Author 2 years ago

Thanks, Neil!

Michelle Jennings 16 months ago

Well written article :) i think there's benefits in using both methods, though personally i prefer totally commision based sales salaries as that protects from lazy sales people who are comfortable just earning a monthly salary, i find it hard getting and retaining soley commision based sales people for my company here in south africa though :) lol, guess they like the stability of a steady income... but if jobs are short, they stay and perform.

Shirley Anderson profile image

Shirley Anderson Hub Author 15 months ago

Hi, Michelle! Thank-you.

I think most promo businesses prefer straight commission reps, however I can see why the sales staff would rather have a predictable income. Those pesky mortgage payments and hungry kids kind of take the fun out of commissions. :)

I've worked with some reps over the years who do indeed make more than enough to live on from sales commissions alone, though. It certainly can be done, if they're seriously driven to perform and succeed. They can make a very comfortable living.

Sounds like things are the same where you live, which doesn't surprise me. Here, it is difficult to find and keep experienced reps. Actually, people in the promotional products field often move around from one company to another, following higher pay or better conditions.

Best of luck with finding reliable reps, Michelle. They are the bread and butter of a company but only if they're productive, of course.

Thanks so much for dropping by and commenting.

Shirley

NicoleSmith profile image

NicoleSmith 12 months ago

Great hub, I am glad to visit this page.

Jayne 12 months ago

I have been outside selling promotional/print industry for over 10 years and am looking to explore the possibility of moving into a more support position for an outside rep. from my home based office. Does anyone know of anyone looking or have any information on these types of positions.

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