Transcript
A (0:00)
Have you ever had a salesperson suddenly start calling you after two years of silence? No. You know they want their business back. You know they're eager, they're persistent. But the relationship that they're trying to revive, well, they're forgetting one small detail. They're the ones that walked away. First. Today I want to talk about vendor relationships, boundaries and reading the room when it comes to sales. Because sometimes the fastest ways to lose a sale is a try too hard to force one.
B (0:29)
Today's episode is brought to you by Yardbook, the all in one CRM for your lawn care business. And as an exclusive partner of this podcast, you can get started today and begin simplifying your business and maximizing your profits. Sign up now@yardbook.com the link is in. The show notes Time now for Profits with Paycheck, an essential podcast for you in the green industry who are looking to unlock the full potential of your business. Hosted by John Pajak, your certified financial coach, the show features in depth discussions with successful entrepreneurs, thought leaders and industry experts. Providing practical advice and proven strategies on financial planning, operations, marketing and sales. Profits with Paycheck has valuable insights and action steps that you can implement today for creating long term success. Now here's John Pajak.
A (1:32)
Welcome to Profits with Paycheck, the podcast where we talk about business strategies and financial insights for the green industry. I'm your host, John Pajak and today we're going to talk about something that every contractor, operator and business owner deals with and that's suppliers and sales relationships. More specifically, what happens when a supplier disappears on you and then suddenly wants the relationship back. So let me tell you a story that happened to me about two years ago. I had a rep for one of my suppliers that I worked with pretty regularly. And then one day he was gone. He got fired. And listen, that stuff happens and companies change people all the time. But here's the problem. Nobody replaced him. No new rep, no phone call, no follow up. So for two years, I really didn't have contact with that company. Now, when you run a business like ours, with fertilization, weed control, you can't sit around waiting for vendors to figure themselves out. So I did what any business owner would do. I built relationship with other suppliers. I already had other suppliers that were kind of like waiting in the wings. Matter of fact, that company was taking over from some of the suppliers that I had for a long time. But you know, they disappeared. So I went back to the suppliers that would answer their phone and they would deliver the product and they wouldn't disappear, you know, so let's. Let's bring it to today, to right now where we're at. You know, a couple of weeks ago, the new sales rep from this company reaches out and they asked me to lunch, and I'm like, sure, you know, I like their products. So let's. Let's rekindle this thing. You know, it's a really nice guy, good conversation. You know, he wants to rebuild the relationship, and I respect that. But this is where things start to get a little complicated, because we're already deep into preseason planning. You know, I still don't. I mentioned to him that I don't have everything in house yet, but, you know, we're getting. We're just a couple of weeks away from getting started. You know, I've already got some stuff that has been ordered, and my budget is set, you know, and, you know, a lot of the inventory decisions already made. I mean, there's a few things that there's an opportunity for them to be my supplier in, but, you know, I'm looking at some of the pricing and the shipping costs that they're offering, you know, and I'm. They are competitive, but they're not competitive because I could just go down to the local vendor and just pick up the stuff and not pay the shipping on it. Yes, I know I'm investing my time to go get it and whatnot, but, you know, for what it costs me to. To go do this and then still, you know, nurture that relationship, a little bit of FaceTime never hurts. You know, the other company, their pricing and everything doesn't match, and it's still going to be more affordable for me to deal with who's already existing with me. The thing is, you know, the new rep keeps calling, and every time the phone rings, I keep find myself thinking, man, I'm. Is this. This is starting to feel a little pushy now. Understand, I know that the sales reps are doing their job. They're trying to make sales, they're trying to build their territory. But there's a fine line between persistence and pressure. And that's kind of what I want to talk about today. You know, especially for those of us that are in fertilization. We control currently because of the conflict, war with Iran. I don't know what you want to call it, but there are. The transport ships are basically stopped right now. You know, a lot of the. We don't. This happened when the Ukraine and Russian war started back in 22, when, you know, we didn't understand it. At the time, but, you know, started to realize, oh, a lot of our nitrogen, a lot of our raw materials for these fertilizers, they come from overseas. And when that war kicked off, man, that's when the price of everything for related to fertilizer and chemicals went through the roof. And again, this was the year that we had to do multiple price increases. You know, this was the year that I realized, okay, instead of having everything, kind of like, we're going to order it as needed now, it's like in the. We're ordering like years worth of supplies ahead of time to have everything in house. That way we. We fix our prices with the end of. Our prices are locked in. We don't have to worry about it. It's like it doesn't matter if it goes up, you know, $10,000 or whatever it is, you know, our prices can be locked in so that if we made commitments to people, we're good right now, again, we are facing. I don't know, I don't want to say it. It's an embargo, okay? But things are messed up, okay? Let's just put it that way. Let's not put any official terms to these things because this is. This is changing as we speak. But right now, there are tons of cargo ships in the strait just sitting there. They're not moving. You know, this is causing surges. Surge pricing in urea, surge pricing with ammonia. These are the basic building blocks that we have for our fertilizers. So at this point, I could see why he's trying to push more, get the sales in while he can, because prices are going to start changing on a daily basis like they did four years ago. In 2022, if you're ready to get
