Dealers and manufacturers alike are sounding the same growth bell. In order to add net-new revenue, it will be necessary to take share from your competitors. And guess who else is thinking along those same lines? Yep, your competitors.
Businesses’ answer to pick-pocketing is just one of the 2024 challenges cited by our panel of Elite Dealers in part two of our look at problems and solutions needed to keep pace with market foes. Not to mention the ever-changing business climate and its impact on tech acquisition.
While the net-new buzz grows louder each year, there’s the caveat that dealers should keep an eye on their rear flank in the process. Among the dealers challenged in maintaining their current customer roster is Integrated Office Technology (IOTEC) of Santa Fe Springs, California.
IOTEC ensures it’s constantly hitting the refresh button with its client base. “We have really put a focus on conducting quarterly business reviews for all customers to not only make sure they are being taken care of but to also let them know about the other business/technology solutions we offer,” the dealer wrote.
People Strategy
Attracting and maintaining talented people is no small consideration given the competitive nature of the job market. As demand for skilled professionals in the managed print services and IT sectors ramped up, Braden Business Systems of Fishers, Indiana, bolstered its talent acquisition strategy and improved its retention rate.
The dealer took a more strategic approach to recruitment, enhancing job descriptions to better communicate the unique benefits of working for the dealer. This included highlighting Braden’s company culture, opportunities for career growth, and the cutting-edge technology its employees can access. The dealer also widened its scope via social media recruiting and tapped local colleges and technical schools through partnerships.
On the retention front, Braden continues to cultivate a positive and inclusive workplace culture. “We implemented employee recognition programs, regular team-building activities and leadership development opportunities,” the dealer wrote. “We also worked to create an environment where employees felt empowered and supported, which increased overall job satisfaction.
“Recognizing that career progression is a key factor in retaining talent, we invested heavily in our employee development programs. This included offering leadership training, skills development workshops, and access to certifications. Employees had clear visibility on their career paths within the company, which made them feel more engaged and motivated to stay.”
An uncertain economy, dragged down by slightly less oppressive (but still high) inflation has been vexing for dealers such as American Business Machines of Bakersfield, California. Given the company was founded a mere two years before the Great Depression, it knows something about enduring in even the most troubling circumstances.
“The economic uncertainty has undoubtedly been a significant challenge. However, as a family-owned business since 1927, our strong reputation and long-standing relationships with our customers have allowed us to navigate through these times and continue to thrive despite the hesitation,” the dealer reported.
Growing Pains
Rapid growth, while wonderful, can be taxing on a dealer’s infrastructure. Such was the case with San Antonio-headquartered DOCUmation, which was faced with the challenge of managing rapid growth and increased demand for its services.
“To address this, we expanded our team, invested in new technology, and streamlined our processes,” the dealer reported. “One of our main focuses has been improving internal communications and processes to ensure we can continue supporting growth while maintaining the high level of service our customers deserve.”
One unpleasant remnant from the pandemic, but to a much lesser extent than during its peak period, is supply chain shortages. Thus, for dealers such as Budget Document Technology of Lewiston, Maine, setting expectations with clients became a must in order to maintain trusted relationships.
“Equipment ETAs were not accurate at times, making it more difficult to provide our clients with the equipment or supplies they needed to ensure we keep them on as regular customers,” the company wrote. “This required us to mitigate expectations and set realistic timelines. Manufacturers have had a few price increases throughout the year and higher interest rates.”
One of the unfortunate realities spurred by hybrid work environments is the impact it has on click volumes and the average size of transactions. The Swenson Group of Livermore, California, has noticed this trend during renewals.
“Historically, a client that had 10 MFPs expiring would upgrade to 10 new MFPs,” the dealer wrote. “Today, we are finding most companies are printing less and will upgrade only three to five units. While this is happening with our own clients, it is also happening with our competitors. We have taken a bad situation and made it an offensive strategy to educate and right-size organizations to grow our net-new business.”
Box Blues
Shrinking fleets and dwindling margins have caused many business plans to be rewritten. Dealers like LDI Connect of Jericho, New York, have found a bigger product and service portfolio to be the cure for box blues.
“We continue to expand the LDI Connect toolbox with products that enable our clients to be more productive, create cost saving opportunities and expand their business models to new heights,” the company reported.
On the subject of dwindling, there’s the issue that’s vexing many dealers, and that is finding and developing the next generation of service technicians. Companies like Vision Office Systems of Charlotte, North Carolina, fear the long-term ramifications.
“Everyone is always worried about hiring sales reps, but reps will always be available,” the dealer wrote. “The aging out of technicians is what worries me. No one is coming out of school with the goal of being a service technician.”
