November 2015 Office Technology by Business Technology Association

01OT1115.indd 1

10/29/15 8:42 AM

IBPI ad Nov 15.indd 1

10/6/15 1:34 PM

Solutions to keep your business on cloud nine Our exclusive e-BRIDGE CloudConnect works behind the scenes for you, managing your devices remotely by gathering information about your machine via the cloud. That adds up to remote meter reads, firmware updates, and toner alerts to trigger automatic supplies deliveries so you donâ&#x20AC;&#x2122;t have to spend your precious time hovering over devices.

To learn more about e-BRIDGE CloudConnect go to BUSINESS.TOSHIBA.COM or call 1-800-GO-TOSHIBA

Toshiba ad Nov 15.indd 1

10/20/15 4:43 PM

CONTENTS Volume 22 • No. 5

FEATURE ARTICLES 10

Cloud Services Moving documents & information to a new level

P R I N C I PA L I S S U E S A Briefing: Lexmark Transformation to a solutions company underway

by Brent Hoskins Office Technology Magazine

Are you embracing the reality that document workflow solutions and business process tools are moving to the cloud? If not, perhaps it is time for you to take a closer look at cloud services opportunities that could take your dealership to new heights.

On Oct. 14, executives of Lexmark International met with industry media at the company’s global headquarters in Lexington, Kentucky.

A4 MFP Transformation Making the case for the A3 alternative

by Jennifer Jakubowicz OKI Data Americas

Grand Slam BTA East hosts district event in Boston

Long gone are the days where copier-based A3 MFPs were the primary devices sold within the office technology industry.

by Brent Hoskins Office Technology Magazine

BTA East hosted its annual Grand Slam district event Sept. 24-25 at the Boston Marriott Copley Place in Boston, Massachusetts. The event featured a keynote session, “Technology Trends, Business Models & Customer Engagement,” presented by Jeff Hayes, president of InfoTrends.

Senior Sales Reps They must do their jobs based on today’s realities

by Gil Cargill Cargill Consulting Group Inc.

As members of my generation (the baby boomers) age, CEOs have asked me many times: “How do I motivate my senior salespeople?”

Almighty Referrals ‘Earn the right’ & build strong relationships by Larry Coco Coco Training & Coaching LLC

It is now time to ask yourself if you have a true referral process in place. If not, why not? The fact that you are now thinking about this is a good thing, as research tells us that 41 percent of the business generated by the best sales executives in the technology space come from referrals.

COURTS & CAPITOLS 22

SELLING SOLUTIONS

Peer Groups & Best Practices Take your dealership to the next level by Robert C. Goldberg BTA General Counsel

If you are looking to take your dealership to the next level, a peer group may be the answer. Join one and you will not be disappointed.

Simplifying the Sale The three people you need to know

by Troy Harrison Troy Harrison & Associates

The “complex sale” strategy was something that was big a few years ago, but in today’s world of selling, I am seeing it fade out a bit.

D E PA R T M E N T S Business Technology Association

• BTA Highlights

Executive Director’s Page

BTA President’s Message

Advertiser Index

4 | w w w. o f f ic et ec hno lo g ym a g.c om | Nov e m b e r 2 0 1 5

04OT1115.indd 1

11/2/15 8:19 AM

383215A DPI Stability Campaign BTA Ad.pdf

10/16/15

10:46 AM

CMY

Depot Intl ad Nov 15.indd 1

10/19/15 9:22 AM

EXECUTIVE DIRECTOR’S PAGE

Museum Preserves Industry’s Heritage

started working at BTA (then NOMDA) in 1986. At the time, the late Robert Todd Sr. was the national president of the association. His predecessor, serving as our 1985-86 national president, was Thomas Russo Sr., then president of Delaware Office Equipment in Wilmington, Delaware. In those first few years, I had the privilege to get to know Tom, who remained for several years as an active volunteer. During his presidency, Tom was largely responsible for the move of the association’s national headquarters from Wood Dale, Illinois, to Kansas City, Missouri. He found the building that was ultimately acquired by the association. It remains our home to this day. For many years, it was used as a conference center for the industry and for the Kansas City community. It also became home to the National Office Equipment Historical Museum. However, years later, as the industry and times changed, the association’s volunteer leadership made the decision to close the museum and sell the building, though we remain as a tenant. Fast forward 25-plus years. In 2014, I heard from Tom. As it turns out, during his days as an active NOMDA volunteer, his passion for collecting vintage office equipment was elevated as a result of his involvement in establishing the museum once located in the association’s headquarters. That passion has never subsided. When he reached out to me in 2014, he was looking for some information that would help him with the development of a new, permanent location for his museum, now housed in the building that was once home to his dealership. That’s right, there is a museum specifically dedicated to the office technology industry.

I’m fortunate to be able to say that I’ve been among its visitors. I can thank Raj Thadani and Paul Youngberg for the opportunity. Raj is COO of Mars International, a remarketer of preowned copier/MFPs. Paul is vice president of business development for Ross International; Raj is COO of Ross as well. Ross is a provider of reverse logistics services to OEMs, leasing companies and dealers, and a large buyer of preowned copiers. Raj and Paul took me, BTA President Dave Quint and BTA General Counsel Bob Goldberg to see Tom’s museum on Oct. 2 in Wilmington. The five of us had attended Frank Cannata’s Awards and Charities Dinner the evening before in New Jersey. We met BTA PresidentElect Rob Richardson at the museum. It was great to see Tom again. Now in his 80s, he personifies the definition of the word “gentleman.” He led us on a wonderful, personal tour of the Thomas A. Russo Museum of Business History & Technology (www.mbht.org). This man is a walking history book of our industry. He shared details of the launch and “life” of many of the artifacts in his collection. Among the museum’s highlights: Remington’s Typewriter Model No. 1 (1873); one of the first versions of a copier, made by James Watt (c. 1780); a Thomas de Colmar Arithmometer, the first successfully manufactured fourfunction calculator (c. 1850); and a Bundy Time Recording Clock, the first successfully manufactured recording time clock (c. 1888). The collection also includes a Xerox 914 copier, the world’s first plain-paper copier. Thank you, Tom, for an enjoyable afternoon in your museum. Thank you for the contributions you made to the association during your service as a volunteer. And, of course, thank you for preserving the heritage of our industry for many to enjoy for generations to come. n — Brent Hoskins

Executive Director/BTA Editor/Office Technology Brent Hoskins brent@bta.org (816) 303-4040 Associate Editor Elizabeth Marvel elizabeth@bta.org (816) 303-4060 Contributing Writers Gil Cargill, Cargill Consulting Group Inc. www.gilcargill.com Larry Coco, Coco Training & Coaching LLC www.cocotraining.com Robert C. Goldberg, General Counsel Business Technology Association Troy Harrison, Troy Harrison & Associates www.troyharrison.com Jennifer Jakubowicz, OKI Data Americas www.okidata.com

Business Technology Association 12411 Wornall Road Kansas City, MO 64145 (816) 941-3100 www.bta.org Member Services: (800) 505-2821 BTA Legal Hotline: (800) 869-6688 Valerie Briseno Membership Marketing Manager valerie@bta.org Mary Hopkins Database Administrator mary@bta.org Teresa Leerar Bookkeeper teresa@bta.org Brian Smith Membership Sales Representative brian@bta.org Photo Credits: Bigstockphoto. Cover created by Bruce Quade, Brand X Studio. ©2015 by the Business Technology Association. All Rights Reserved. No part of this publication may be reproduced by any means without the written permission of the publisher. Every effort is made to ensure the accuracy of published material. However, the publisher assumes no liability for errors in articles nor are opinions expressed necessarily those of the publisher.

6 | w w w. o f f ic et ec hno lo g ym a g.c om | Nov e m b e r 2 0 1 5

06OT1115.indd 1

11/2/15 4:13 PM

ECi e-automate is the business management software solution in the office imaging industry.

SALES

PURCHASING

INVENTORY

CONTRACTS

SERVICE

ACCOUNTING

REPORTING

All of your daily processes are integrated into one, easy-to-use interface allowing you to automate hundreds of tasks you currently do manually. Plus, our RemoteTech product gives your technicians the ability to manage their service calls via smartphone or tablet and transmit real-time information with dispatch!

866-342-8392

servicetechnology.ecisolutions.com

e-automate@ecisolutions.com

ECi and the ECi Red Box logo are trademarks or registered trademarks of ECi Software Solutions, Inc.

ECi eauto ad Aug 15.indd 1

7/14/15 9:16 AM

BTA PRESIDENT’S MESSAGE 2015-2016 Board of Directors

Awards & Charities Dinner a Great Event

n Oct. 1, it was my privilege to attend The Cannata Report 30th Anniversary Awards and Charities Dinner in Randolph, New Jersey, attended by representatives of the manufacturing, software, services, financial and dealer segments of the office technology industry. The prestigious event, recognizing manufacturer award winners determined by the publication’s annual dealer survey, was also a fundraiser, bringing in a record $185,000 in donations and pledges. BTA General Counsel Bob Goldberg served as the emcee for the event. The funds raised will be used to create The Robert Shields Memorial Grant for esophageal cancer research in partnership with The V Foundation for Cancer Research. The late Bob Shields, former president of Florida-based Copytronics Information Systems, was a respected industry veteran. In addition, money raised through a silent auction of sports memorabilia during the event was given to the New Jersey-based Adopt-a-Soldier Platoon. Lead sponsor of the event was Square 9 Softworks, along with additional sponsorship support from Clover Imaging Group and Digitek Computer Products. Hats off to Frank Cannata, president of Marketing Research Consultants (MRC) and editor-in-chief and publisher of The Cannata Report, Carol Cannata, senior vice president of client services at MRC, and CJ Cannata, senior vice president of brand strategy and development at MRC, for hosting such an enjoyable and worthwhile evening. Throughout its history, the event has grown substantially in scope each year. To date, the dinners have collectively raised nearly $1.6 million for a variety of charities nationwide.

Winners of the 2015 Franks, named in honor of Frank Cannata, were determined by an EverBank-sponsored survey of the independent dealer community conducted by The Cannata Report. For a record fifth year in a row, Rick Taylor, president and COO of Konica Minolta Business Solutions U.S.A., won Best Executive. Laura Blackmer, senior vice president of sales for Sharp Imaging and Information Company of America, won Best Woman Executive, a new category officially introduced this year as part of the 30th anniversary celebration. In addition, Franks were awarded in the following categories: Lexmark International, Best A4 Manufacturer (MFP and Printer categories), accepted by Phil Boatman, business alliance manager; Ricoh Americas Corp., Best Manufacturer, accepted by John Brophy, vice president of product marketing; and Toshiba America Business Solutions, Best-in-Class Manufacturer, accepted by Larry White, senior vice president of sales. The winners in two new categories added this year: Konica Minolta, Best Marketing Strategy, accepted by Sam Errigo, executive vice president of sales and business development, Kevin Kern, senior vice president of marketing, and Kay Du Fernandez, senior vice president of strategic business development; and Square 9 Softworks, Best Software Developer, accepted by Lauren Ford, marketing communications manager. “Even though the room is filled with competitors, there is a genuine sense of camaraderie and shared sense of purpose among all who attend our annual event,” CJ Cannata said. “Each year, the generous donations exceed our expectations. We are grateful for the unwavering support from attendees, sponsors and partners across the office technology industry who made our 30th anniversary such a memorable occasion.” n — Dave Quint

President Dave Quint Advanced Systems Inc. 2945 Airport Blvd. P.O. Box 57 Waterloo, IA 50704 dquint@asiowa.com President-Elect Rob Richardson Allied Document Solutions & Services Inc. 200 Church St. Swedesboro, NJ 08085 robr@ads-s.com Vice President Dan Castaneda International Copy Machine Center 1515 Lee Trevino, Ste. EE El Paso, TX 79936 dan@icmc-elp.com BTA East Greg Gondek ACT Group 20 Commerce Drive Cromwell, CT 06416 greg@advancedcopy.com BTA Mid-America Bob Evans DigiTec Office Solutions Inc. 12560 Reed Road, Ste. 200 Sugar Land, TX 77478 bobevans@digiteconline.com BTA Southeast John Eckstrom Carolina Business Equipment Inc. 5123 Bush River Road Columbia, SC 29212 johne@cbesc.com BTA West Cathy Dimon Northern Business Systems 3526 International Fairbanks, AK 99701 cdimon@acsalaska.net Immediate Past President Ron Hulett U.S. Business Systems Inc. 3221 Southview Drive Elkhart, IN 46514 ron.hulett@usbus.com Ex-Officio/General Counsel Robert C. Goldberg Schoenberg Finkel Newman & Rosenberg LLC 222 S. Riverside Plaza, Ste. 2100 Chicago, IL 60606 robert.goldberg@sfnr.com

8 | w w w. o f f ic et ec hno lo g yma g.c om | Nov e m b e r 2 0 1 5

08OT1115.indd 1

11/2/15 8:23 AM

WorkForce DS-520 30 ppm/60 ipm 50 Pg ADF

WorkForce DS-560 26 ppm/52 ipm 50 Pg ADF Built-in WiFi

WorkForce DS-760 45 ppm/90 ipm 80 Pg ADF

WorkForce DS-860 65 ppm/130 ipm 80 Pg ADF

WorkForce DS-6500 25 ppm/50 ipm 100 Pg ADF

Freedom of Choice Epson® document scanners can bring an entirely new level of efficiency to your business: • Choose from 19 different models • Compatible with over 70 software packages • Simple setup and easy networking • Built-in cloud integration • Models with speeds up to 65ppm From travel-friendly portables to workgroup and departmental solutions, there’s an Epson document scanner that’s ideal for every need.

See all your Epson document scanner choices at epson.com/docscan Specifications subject to change without notice. EPSON and WorkForce are registered trademarks and EPSON Exceed Your Vision is a registered logomark of Seiko Epson Corporation. Copyright 2015 Epson America, Inc.

Epson ad Nov 15.indd 1

10/9/15 3:42 PM

Cloud Services Moving documents & information to a new level by: Brent Hoskins, Office Technology Magazine

re you embracing the reality that document workflow solutions and business process tools are moving to the cloud? If not, perhaps it is time for you to take a closer look at cloud services opportunities that could take your dealership to new heights. Certainly, your clients would welcome your continued advancements as a services-led provider. Many dealers are already moving in that direction. A December 2014 channel survey conducted by InfoTrends, a market research and consulting firm, revealed that, at the time, 41 percent of dealers responding were already providing cloud solutions and services. Another 30 percent were considering doing so, 22 percent had no plans and the remainder indicated they did not yet know the cloud’s role in their future plans. Of the 41 percent already providing cloud solutions and services, 91 percent projected that those sales would increase in the next five years, with the remainder seeing sales staying the same. Where is the rise of the cloud headed? “For the SMB market, one day, the only remaining on-premise IT infrastructure will be related to Internet connectivity to be used for accessing cloud services,” says Brendan Morse, a research analyst at InfoTrends. “This might be a long way off, but, in many ways, it is the most logical endpoint for many businesses. This idea of the paperless office has been batted around for decades, though we never seem to get there, so it might be that the MFP is among the last hardware standing.” The reality, of course, is that cloud usage is already prevalent across all facets of the office technology industry. Following is a quick look at several channel-focused companies that are leveraging the cloud. The comments shared serve as a reminder of just how significant a role the cloud plays in the industry today. Perhaps they will also provide some welcome insight as you consider your cloud strategy.

ConnectWise At ConnectWise, the focus is on providing the customers of office technology dealerships (and other partners) end-to-end software support that allows dealerships to provide IT support via ongoing remote monitoring and remediation. While the company was established in 1997 with server-based software, today, approximately 66 percent of the company’s partners utilize the cloudbased version of ConnectWise Business Suite. “We’re pretty proud of ConnectWise Cloud and the uptime it affords our partners who provide IT service,” says Mark Sokol, director of marketing for the company. “In the past, our partners might have been able to build it out on their own, but at different times and in different periods — even with redundancies and a platform behind it — they would have a failure at some point.” With ConnectWise, dealers can rest assured they have a partner with “a dedicated cloud team,” Sokol says, noting that, in October, the leader of the cloud team — “someone who lives and breathes the cloud and is passionate about it” — was among the presenters at an Amazon.com Inc. conference. “So, even for 100-or 500-person organizations, with ConnectWise they have a team of resources behind the scenes to make sure they have the optimum level of uptime. That’s really what it is all about.” Initially, the launch of ConnectWise Cloud “allowed the smaller VARs and dealerships to move into this space more quickly,” Sokol says. “However, over time, even the larger VARs and dealerships are picking it up because they see the benefits of having, essentially, a huge team behind their infrastructure.” No matter the size of their dealerships, ConnectWise Cloud allows dealers to move into managed IT services and address the growing requirement among end users to have a single technology provider. “Today, businesses are looking for one technology company to solve all of their business

10 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Cover Story Nov 15.indd 1

11/2/15 3:42 PM

DIVERSIFY

ACQUIRE

EXPAND

Growing Pain$ ? Growing a business requires resources, sometimes significant resources.

High quality cost saving products from Q2, LLC can free up cash and help fund growth. Let Q2 free up cash for you! Contact us for your personalized analysis. WWW.Q2PRODUCTS.COM 1-888-826-2576

Q2 ad Nov 15.indd 1

10/13/15 3:43 PM

workflow problems,” Sokol says. “The days of having six or seven different companies providing a variety of solutions are gone.”

has around 2,000 managed IT services provider “The real advantage for a partners. (Intronis was dealer is that no one can acquired in October 2015 really say they don’t need by Barracuda Networks data backup. It is basically Intellinetics Inc. to become the company’s protecting the customer’s The cloud is at center stage dedicated MSP business.) data and their business from with IntelliCloud, the flagship Built on a recurring product of Intellinetics Inc., a revenue model that is fires, floods and theft. Plus, provider of document workflow very familiar to the dealour services are scalable ... ” management systems for SMBs. er community, with its — Neal Bradbury Delivered to the market via services provided to end Intronis LLC channel partners, the turnkey users for a monthly fee, solution is designed to capture “the real advantage for a paper or digital documents and connect them to business dealer is that no one can really say they don’t need data backprocesses to reduce costs while increasing accessibility, se- up,” says Neal Bradbury, senior director of channel developcurity and compliance. ment and co-founder of Intronis. “It is basically protecting Established in 1994 and initially targeting the law en- the customer’s data and their business from fires, floods and forcement and public safety markets exclusively with an on- theft. Plus, our services are scalable, providing backup and premise, server-based solution, company leadership ulti- data recovery for one-person companies to companies with mately “looked to the cloud as the way to bring our solution hundreds of people, all with the same solution.” to the masses,” says Matt Chretien, president and CEO at One of the key advantages of a cloud-based backup and data Intellinetics. “As part of our transformation, we have moved recovery solution is that it is automated and there is nothing to the BTA Channel, bringing dealers the ability to offer our on premise. “There is no tape to rotate, no drive to take offsite solution’s capabilities.” and no reliance on the office manager to manage this process,” In its initial research of the dealer community, Intellinetics Bradbury says, noting that humans can be the “weakest link” quickly found that dealers were seeking easy entry into a doc- in data backup. “Also, everything is encrypted. Unfortunately, ument solution offering that would “reclaim and accelerate there are a lot of examples of tapes being stolen that were unthe eroding margins on their core business,” Chretien says, encrypted. Think about the risk of that data breach.” noting that the company’s cloud-based solution provides the Bradbury emphasizes that cloud backup and data recovease of entry dealers are seeking. “It removes the complexity ery services can provide dealers a much-needed additional from a sales training perspective so that dealerships can fo- revenue opportunity while allowing them to move into the cus on creating a selling advantage and making money.” cloud services arena and providing a bridge to managed IT Chretien says he is particularly pleased with the inter- services. “People are saving trees now; they are not printest among dealers in the company’s cloud-based solution. ing as many pages as in the past,” he says. “So, to keep their “When I think of the BTA Channel, I think of the trust deal- businesses and revenues at the level they are accustomed ers are good at building with their customers; that, I believe, to, dealers need to start offering additional services in their is a critical ingredient,” he says, emphasizing that the level portfolios in order to survive.” of trust is especially valuable when working with end users who may remain a bit apprehensive about the cloud. “Deal- Toshiba America Business Solutions Inc. ers are ultimately selling against resistance to change and Traditional imaging industry manufacturers have enfear of complexity. In the end, the customer makes a choice tered the cloud services arena as well. In September 2014, to do something good for their business, but wants someone Toshiba America Business Solutions Inc. (TABS) unveiled there for the ride who is trusted; that’s what we value most its no-cost e-BRIDGE CloudConnect, a cloud-based apabout the BTA Channel.” plication designed to increase the efficiencies of the service operations and technicians of authorized dealerships. Intronis LLC CloudConnect (using the Microsoft Azure cloud computing Providing office technology dealers with a bridge into man- platform) offers continuous remote monitoring, diagnostics aged IT services, Intronis LLC offers cloud-based, encrypted and firmware updates to Toshiba e-STUDIO devices. backup and data recovery services. Founded in 2003, the Today, nearly 30 percent of Toshiba’s fleet of MFPs and company has been “channel-only” since 2009. It currently printers (that can be linked to e-BRIDGE CloudConnect and 12 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Cover Story Nov 15.indd 2

11/2/15 8:34 AM

Everything your MPS program needs. Right at your fingertips.

FMAudit v4 Select combines device data with the ability to track user data, mobile mapping and TCO analysis into one, seamless package. With it, you can offer the most powerful MPS program on the market today.

Get started now. Contact us for a free demo. 573.632.2461

fmaudit.ecisolutions.com

fmaudit@ecisolutions.com

ECi and the ECi Red Box are trademarks or registered trademarks of ECi Software Solutions, Inc.

ECi FMAudit ad Oct 15.indd 1

9/14/15 8:48 AM

enterprise where they may were placed by both dealers have thousands of devices.” and direct operations) is sup“The big advantage of this Why was the application ported by the application, ... system is that there is no unveiled in 2014 and not says Louis Ormond, product infrastructure that the dealer sooner? Generally, it was a and services planning dihas to manage or maintain; matter of awaiting the derector at TABS. “The big adwe do all of that for them. In velopment of the capabilivantage of this cloud-based fact, since the communication ties provided by the cloud system is that there is no incapabilities are built into the to make it feasible, Ormond frastructure that the dealer says. “You really needed the has to manage or maintain; devices, there is no on-site server.” cloud and the cost advantagwe do all of that for them,” he — Louis Ormond es that the cloud brings, the says. “In fact, since the comToshiba America Business Solutions Inc. ease of development, the ease munication capabilities are of scaling and just the overall built into the devices, there rock-bottom cost of running an application is no on-site server.” Ormond emphasizes the application’s simplicity. “On oth- like this in the cloud,” he says. “The cloud lends er systems, you have to place some type of gateway within the itself so well to this type of application.” n Brent Hoskins, executive director of the customer environment in order to collect the data and send Business Technology Association, is editor it to the cloud,” he says. “With e-BRIDGE CloudConnect, our of Office Technology magazine. He can be devices handle that individually. So, it works for the momreached at brent@bta.org or (816) 303-4040. and-pop shop where they have only one device, and in the

It Pays to Sell Document Management Solutions DocuWare products will strategically grow your business with unlimited market opportunities. Higher customer retention and recurring revenue streams provide a strong bottom line. www.docuware.com

Executive Leadership Council

14 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Cover Story Nov 15.indd 3

11/2/15 8:34 AM

SHIP TOO EARLY = LOST PROFITS SHIP TOO LATE = LOST CUSTOMERS WHO REALLY HAS A SOLUTION PROVIDING AUTOMATION, ACCURACY AND FIRST-RATE CUSTOMER SATISFACTION ANYWAY?

WE DO. Sure you have data collection software, but what happens with all that data? Does your staff spend countless hours reviewing reports trying to guess when to ship supplies? It’s no wonder smart decision-makers want a proven solution for automated, accurate supplies replenishment. • • • •

Absolute order accuracy Integration and automation – put the “Managed” back in Managed Print Supplies replenishment algorithms based on actual usage data Increased profits and customer satisfaction

The right supply at the right time, every time.

800-729-9300

YOUR PROGRAM

Supplies Network ad Nov 15.indd 1

www.suppliesnetwork.com

YOUR SERVICES

YOUR MPS BUSINESS

10/8/15 11:08 AM

Grand Slam BTA East hosts district event in Boston by: Brent Hoskins, Office Technology Magazine

TA East hosted its annual Grand Slam district event Sept. 24-25 at the Boston Marriott Copley Place in Boston, Massachusetts. The event featured a keynote session, “Technology Trends, Business Models & Customer Engagement,” presented by Jeff Hayes, president of InfoTrends, as well as a dealer panel, “Company Culture & Your Bottom Line,” moderated by Sally Brause of GreatAmerica Financial Services. The event also included five additional educational sessions: “Future-Proofing Your Dealership,” led by Mitch Morgan and Chris Ryne, Growth Achievement Partners; “Advanced Selling Skills for Winning the Complex Sale,” led by Tom Cooke and Kim Ward, Learning Outsource Group; “3D Printing Moves From Hype to an Innovative, Disruptive Force,” led by Keith Kmetz, International Data Corp. (IDC); “Understanding & Increasing the Value of Your Dealership,” led by Jim Kahrs, Prosperity Plus Management Consulting Inc.; and “Preparing the Way for Digital Information Management Systems Organizations,” led by Stephen Rolla, Pros Elite Group. Grand Slam also included time to network with peers and exhibitors during a welcoming reception and Baltimore Orioles versus Boston Red Sox baseball game at Fenway Park. The exhibiting sponsors: BEI Services, BLI, Brother, Compass, ConnectWise, Crawford Thomas, Depot International, Digitek (Sept. 25 breakfast sponsor), DocuWare, ECi e-automate, ECi FMAudit, Epson, ESP/SurgeX, EverBank, GE Capital, GreatAmerica, HP (Sept. 24-25 breaks sponsor), Hytec, ILG, Image Star, Impression Solutions (Sept. 24 reception sponsor), InfoTrends, Katun, Laserfiche, Laser Pros International, LCA, Lexmark, LMI, Muratec, NA Trading and Technology, OKI, OnePak, PHSI, Polek & Polek (Sept. 25 baseball game sponsor), Sentry, Supplies Network, SYNNEX, Toshiba, Wells Fargo and Xerox (Sept. 25 lunch sponsor). For more information on upcoming BTA district events, visit www.bta.org/DistrictEvents. n Brent Hoskins, executive director of the Business Technology Association, is editor of Office Technology magazine. He can be reached at (816) 303-4040 or brent@bta.org.

Clockwise from top: Grand Slam attendees listen to the keynote address; Sally Brause (left) moderates the dealer panel, featuring panelists (left to right) Dave Barrows, corporate director of sales at Gobin’s Inc., Alamosa, Colorado, Dave Johnson, vice president of sales/branch operations at EO Johnson Business Technologies, Eau Claire, Wisconsin, and Chris Taylor, president, CEO and co-owner of Fisher’s Technology, Boise, Idaho; BTA East President Jim Donnellon served as the event’s emcee; (left to right) Jeff Heckman and Keith Hachey of Lease Corporation of America visit with Tom Ouellette of Budget Document Technology, Lewiston, Maine, during a break; and Jeff Hayes presents the keynote address.

16 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

BTA East Nov 15.indd 1

11/2/15 9:06 AM

The Digital Dealer T

Clockwise from top: Attendees enjoy dinner at Fenway Park before the Baltimore Orioles versus Boston Red Sox baseball game; Donnellon (left) and Phil Boatman of Lexmark draw a winner during prize drawings at the end of the event; and Sue Anderson of ECi FMAudit visits with Paul (center) and Matt Williams of ABS Business Products, Cincinnati, Ohio, during a break.

The Grand Slam educational session presenters were: (top row, left to right) Mitch Morgan and Chris Ryne, Growth Achievement Partners; Tom Cooke and (middle row, left to right) Kim Ward, Learning Outsource Group; Keith Kmetz, IDC; Jim Kahrs, Prosperity Plus; and (left) Steve Rolla, Pros Elite Group.

oday, it is incumbent that office technology dealerships become “truly digital” companies if they are to continue capturing the attention of prospective customers, said Jeff Hayes, president of InfoTrends, a market research and strategic consulting firm. Hayes shared his advice in his Grand Slam keynote presentation, “Technology Trends, Business Models & Customer Engagement.” Hayes began his presentation sharing recent, positive headlines such as: “GDP Numbers Reveal Underlying Momentum, Possible Headwinds for U.S. Economy.” He also noted that the total office equipment and digital production equipment market, including supplies and related services, is a “huge” $45 billion industry. However, Hayes said, the market, which has not returned to its pre-recession (2007) levels, remains in a stage of decline. Meanwhile, “the next recession is coming,” he said. “A recent Wall Street Journal article noted that the current expansion is now 16 months longer than the average since World War II.” Emphasizing that “technology disrupts and recessions clarify,” Hayes noted that disruptors like Google and Uber can co-exist with traditional business models in a strong economy. “But when the recession comes, resources tighten up,” he said. “Customers are forced to make some choices and, ultimately, it is pretty clear who the winners and losers are going to be.” Hayes said InfoTrends expects the next recession to occur in the “next five years or so.” With the next recession looming, he said the “common thread” among companies that endure is digital technology. “Everything is becoming more digital,” he said. “Those who have invested in digital have become successful over time.” In the office technology industry, Hayes said, the winners of the early 1990s were those companies that effectively transitioned to digital. “More recently, it has been managed print, managed IT, the cloud, etc.,” he said. “The companies that are mastering these are finding they have more opportunities.” So, the question for dealers is: “What is it going to be five years or so from now if this digital thing keeps going?” Hayes asked. “We think it’s going to be becoming a truly digital company.” Becoming a digital company is particularly important today, Hayes said, given that today’s customers are 57 percent of the way through their information gathering process (via the Internet) before they ever speak to a supplier. With that in mind, he said, dealers should leverage the power of their online presence (such as adding blogs to their websites) and likewise utilize the many tools available (such as Google Trends and CRM solutions) to gather and analyze data. In fact, Hayes emphasized, a key building block of the digital company is the use of data to help determine, for example, a company’s ideal focus, evolving value over time and competitive advantages. “You can use data to help determine all that,” he said. “You want to think through the customer journey and how customers make decisions.” Hayes also cited various Web tools for dealers to consider, including those for: ad retargeting (e.g., AdRoll and Criteo), which helps companies reach customers across devices, browsers and apps; and predictive sales automation (e.g., Leadspace and RelateIQ), which automatically analyzes data from various business systems. He challenged dealers to “get outside of your comfort zone a little bit” in terms of the use of digital business tools. “Change how you manage your business.” n —Brent Hoskins www.offi cetechnol ogymag.com | Nove mb e r 2015 | 17

BTA East Nov 15.indd 2

11/2/15 9:06 AM

Almighty Referrals ‘Earn the right’ & build strong relationships by: Larry Coco, Coco Training & Coaching LLC

he month is winding down and your sales team is frantically trying to close every deal possible. Order processors are on high alert. Your techs and IT staff members have been asked to work overtime doing setups and installs. You try and squeeze out all that you possibly can and the month is suddenly closed. It is now time to wrap it up since the journey starts all over again tomorrow. It is also now time to analyze the results. The cold, hard fact is that your sales team came up short of expectations. The sales pipelines were not filled to an acceptable level. By drilling down, you and your management team notice that the billed orders were, in large part, generated by current customer upgrades and some new business as well. You think about what more could have been done to meet the established targets and reflect on your great successes as a sales rep years ago. Then the light bulb suddenly goes on and the realization hits: Referrals were always a big part of your sales funnel and they helped you get to the promised land in a consistent manner. It is now time to ask yourself if you have a true referral process in place. If not, why not? The fact that you are now thinking about this is a good thing, as research tells us that 41 percent of the business generated by the best sales executives in the technology space come from referrals. Getting referrals is hard work, but it is truly fun and rewarding work. It requires sales reps to stay connected to their clients and to make frequent “touches” to build even stronger relationships. This reassures clients that they are important and that your company is there for the long haul. A few questions come to mind. First, how can your company bring added value to your customers? Next, what does the customer expect from your company and your sales reps going forward? By answering these questions, clarity can be had. Now it is time to develop a referral process that can be embraced not only by your salespeople, but by your entire organization. Keep in mind, clients are more willing to provide those valued referrals only when they know deep down that you will make them look good. If you are not sure about this, please ask your customers and listen intently to their

responses as to what motivates them to share key relationships with you. My bet is that the words “trust” and “credibility” will be heard often. It is all about taking a more proactive approach. In the early, discovery part of the sales process, your reps will do well to thank prospects for their time and begin planting seeds. For example: “Steve, I enjoyed our meeting today and wanted to ask: If and when we have the opportunity to do business together and you see we have delivered at a high level to the point of complete satisfaction, is there a chance you would be willing to share referrals with me?” Believe me, as your rep nods his (or her) head “yes” and smiles, the prospect will follow suit. Another approach may work very well during the “solution proposal” stage. Your rep might say: “Kim, we look forward to earning your business. Just know that if and when we partner together, we will want to come in every quarter and do a formal account review that will allow us to find ways to make your organization more productive and efficient. Are you OK with this?” Chances are the prospect will view your rep with respect and respond positively. This approach positions your company as being special and different (a competitive advantage), since it takes away the buyer’s notion that the rep is only there for a commission check

18 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Coco Nov 15.indd 1

11/2/15 9:14 AM

800 COLOR SERIES

Designed for technical, graphic and office document users

KIP 850

Multi-touch color print system

KIP 860

Multi-function color system

KIP 870

Multi-touch production color print system

A new generation of wide format functionality

KIP 880 890

Multi-function production color system

CONNECT WITH US www.kip.com/social

The KIP 800 Color Series provides a comprehensive solution for a range of wide format printing tasks that require the highest levels of quality and performance. The systemâ&#x20AC;&#x2122;s workflow provides powerful print control for any production environment

www.kip.com

Phone: 800.252.6793

from a range of print submission applications, cloud printing, scan & copy, variable data printing and fully integrated stacking and folding.

KIP ad Nov 15.indd 1

10/15/15 11:25 AM

months is recommended) that allows and will soon be going away. Please re... Be sure to embed this your client to know that his voice counts member that these are not just words. and your organization is always looking We must do these things and make them metric into your CRM for ways to improve. (Note: If you do not part of our selling culture. tool so this effort can be have a great post-sale questionnaire, Your rep has now earned the custracked and measured, contact me and I will send one your way.) tomer’s business and a seamless install resulting in best practices Imagine the power of installing a takes place. It is now time to say: “Mike, that fast become part of strong referral process for your sales two things. First, thank you so much for force. Make it part of your written the business. It is appreciated. Second, the way you do business. sales rep job description, since it will just know that the bulk of our business be a large part of the job. Discuss the comes from referrals. Also know that anyone you would be kind enough to send my way will be process with your sales reps, as well as with sales rep cantreated with the utmost professionalism, courtesy and re- didates prior to making employment offers. Build your culture. Inspire your people. Create a metric. spect. Please keep me in mind going forward.” Perhaps the new expectation will be that each sales exThis is where the constant “touches” come into play. Some examples include: a handwritten thank-you card (a personal ecutive will secure at least five referrals from current clients note means so much); referring customers to your clients; each month. Let your reps know how important this initiaformal account reviews; invitations to educational seminars, tive is to both their growth and development as well as the open houses and lunch-and-learns; updates from industry ar- company’s. Drive this in sales meetings and recognize those ticles on business trends; and walk-ins when in the area with who have done a good job with referrals. Celebrate good bea customer post-sale questionnaire (a report card every six haviors and great accomplishments. Also, be sure to embed this metric into your CRM tool so this effort can be tracked and measured, resulting in best practices that fast become part of the way you do business. Let’s say you currently have 10 sales reps and require each to provide five referrals a month. How much could these 50 golden leads affect your ability to hit your sales targets in a consistent fashion rather than the “roller-coaster ride” that simply wears you down over time? Please realize this may be the missing piece you need at month end that results in high fives from the big boss rather than nasty glances. In summary, note that the best sales executives across the country take a proactive approach and attribute 41 percent of their success to the almighty referral. If you know a sales executive sitting at 79 percent of plan year to date and he is not asking for referrals because he thinks it is awkward to ask, is not sure what to say or believes a customer should call in with a referral, it is time to change that mindset. He may very well be able to have a more vibrant sales funnel and be a 120-pluspercent performer who operates with more consistency, direction and purpose. So how will that change his life? Visualization here is key. Referrals are all about earning the right and building strong relationships; they are as good as gold. n Larry Coco is president of Coco Training & Coaching LLC, a premier training company driving the growth of sales organizations. Coco has expertise in the areas of sales training, management leadership training, recruiting and executive/ team coaching. He can be reached at larry@cocotraining.com or (914) 588-5384. Visit www.cocotraining.com. 20 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Coco Nov 15.indd 2

11/2/15 9:14 AM

This fall’s

HOTTEST liNEup C MFX-3680N

MFX-4580N

MFX-C4580N

MFX-C5580N

MFX-3535

MFX-3590

RF MFX-C2880N

MFX-C2280N

MFX-C3680N

There’s never been a better time to consider Muratec. With an expanded product line and unique solutions offerings, it’s easy to see why so many independent office equipment dealers are giving other manufacturers the old heave-ho and partnering with Muratec. • Brand new color and monochrome A3 line-up with speeds up to 55 pages per minute • Best in class monochrome A4 MFPs • Muratec has no direct branches; our products are distributed exclusively through independent office equipment dealers

• Muratec has no quotas; we earn our business by providing award-winning dealer support • Each dealership is assigned a corporate-based sales support representative who serves as a single point of contact and is empowered to make quick decisions • LeapForward Managed Services allows OEDs to become profitable MSPs in less time and with smaller investment compared to traditional Managed IT

Contact your Muratec area sales manager, or call 469-429-3300, for more information about joining our team.

Business-Class DoCument solutions

BTA Ad_Fall2015_OT.indd 1 Muratec ad Nov 15.indd 1

8:58 AM 10/20/15 9:22

COURTS & CAPITOLS

Peer Groups & Best Practices Take your dealership to the next level by: Robert C. Goldberg, general counsel for the Business Technology Association

was recently asked to speak at a best practices meeting sponsored by U.S. Bank, LMI Solutions and Ross International. All three of the sponsors are committed to partnering with dealers to help them be successful. U.S. Bank proudly shared the short time frame it has maintained to reach credit decisions, the various available lease options and the ability to bundle services into a lease transaction. LMI spoke of its recent acquisition in the replacement parts market and the company’s ability to provide dealers with economical parts and supplies. LMI parts and supplies can provide dealers with additional margin in the highly competitive managed print services market. Ross International offers dealers the ability to sell equipment being returned from an end user. It is also a source of equipment for a dealer’s reconditioned sales, leases or rentals. The meeting’s participants came from dealerships that varied greatly in size and geography. Some of the participants were even competitors. Even so, they spoke openly and frankly of best practices and successes, failures and lessons learned. They answered each other’s questions and made suggestions. There was little discussion of products sold, but an emphasis on how to market services and manage their businesses. The participants were all in different stages of expanding their offerings. It was clear that managed network services (MNS) had proven difficult for all who had entered the segment. Some had entered MNS by acquiring other businesses; others had hired and developed the talent within. The clear message expressed was that network specialists had to be managed differently than copier/MFP technicians. Compensation plans for employees were as varied as the participants. Everyone struggled with enticing technicians to develop sales leads. One participant shared an excellent incentive for administrative employees who developed leads. Noncompete, non-solicitation and non-disclosure agreements were a concern for all. Everyone knew the problems, but the obstacle was a proper solution. Participants came from dealerships as small as at least one with 11 employees to those with more than 400 employees. Regardless of a business’s size, retaining, paying and hiring individuals were common issues. Various software solutions were discussed, including the benefits and detriments of each. Difficulties in meter collections were not individualized to anyone, but various solutions helped all of the participants. Whether it was estimating billing overages quarterly or annually, the participants reviewed the positives and negatives. Several dealers had established their own

help desks and spoke about the difficulties in doing so. 3D printing was also discussed without any real success stories to share. Although each participating dealer benefited in one way or another, I was impressed by the dealers’ willingness to share. The meeting did not include a comparison of financial results, but that is another area where dealers can check their performance in regard to their peers. The Business Technology Association sponsors two peer groups, the PRO Dealer Group and the Select Dealer Group. There are several others in the industry and some are devoted solely to areas like network services. If you are not participating in a peer group, I strongly suggest you consider doing so. Most peer groups are comprised of non-competing dealers. This allows for more open and candid discussion without having competitors in the room. There are an abundance of educational programs offered to the channel, but these are often taught by individuals who are not participating in the marketplace on a daily basis. I have learned a lot from such educational programs, but little compared to the life lessons I have received from dealers. If you are looking to take your dealership to the next level, avoid the pitfalls of new opportunities or simply to share your daily frustrations, a peer group may be the answer. Join one in which you are comfortable and you will not be disappointed. n Robert C. Goldberg is general counsel for the Business Technology Association. He can be reached at robert.goldberg@sfnr.com.

22 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Goldberg Nov 15.indd 1

11/2/15 9:51 AM

Pantum ad Nov 15.indd 1

10/23/15 4:18 PM

BTA HIGHLIGHTS BTA would like to welcome the following new members to the association:

Dealer Members Advanced Business Systems, La Crosse, WI Carraway Office Solutions, Greenville, NC Preferred Business Systems, Whippany, NJ For full contact information of these new members, visit www.bta.org.

Credit Reports Save money while doing your homework on prospective customers and suppliers. Experian Business Information Solutions and BTA have teamed up to offer BTA members 15-percent discounts on a variety of credit reports without any minimum commitment. With data on more than 18 million U.S. businesses, Experian’s online SmartBusinessReports and Monitoring Services help you qualify new business partners and identify emerging risks in your customer base before payment delinquencies occur. By utilizing an objective business credit reporting service from Experian to monitor a partner or supplier’s company credit report, you can discover the following in advance: the status of prospective customers’ payment practices; existing clients’ business conditions; suppliers’ historical relationships with others; notifications about changes to suppliers’ or customers’ business credit reports; what your competitors are doing; and other financially pertinent details. Visit www.bta.org/CreditReports for more information. For information on BTA member benefits, visit www.bta.org/MemberBenefits.

For the benefit of its dealer members, each month BTA features two of its Vendor or Service Associate members in this space. BTA Vendor Associate member Pantum International is a global printer brand backed by 15 years of industry experience. The company specializes in producing reliable and affordable printers that provide a simple printing experience. Pantum applies new ideas and concepts to create value-added laser printers and multifunction devices with robust features and very low operating costs. Its printers are designed with sturdy print engines that ensure a much longer working life to meet a higher monthly workload. www.pantum.com

BTA Service Associate member Prosperity Plus Management Consulting Inc., founded in July 2001, applies highly workable administrative solutions and industry know-how to organizations interested in expanding their businesses. Prosperity Plus has helped hundreds of office technology dealerships throughout North America. The company also consults for other markets — identification systems, file retrieval and storage, point of sale and health care. All programs are custom tailored for each client, and Prosperity Plus works hand-in-hand with each company’s management team to ensure execution of all programs and successful outcomes. www.prosperityplus.biz A full list of BTA Vendor and Service Associate members can be found online at www.bta.org.

24 | w w w. o f f ic et ec hno lo g y m a g.c om |Nov e m b e r 2 0 1 5

Highlights Nov 15.indd 1

11/2/15 3:27 PM

PRINCIPAL ISSUES

A Briefing: Lexmark Transformation to a solutions company underway by: Brent Hoskins, Office Technology Magazine

n Oct. 14, executives of Lexmark International met with industry media at the company’s global headquarters in Lexington, Kentucky. The briefing was held, in part, to showcase the company’s new, $8.5 million, 10,000-square-foot Customer Engagement Center (CEC), providing customer and channel partner meeting facilities, as well as a state-ofthe-art Solutions Lab, which allows for Above: Mike Johnson. demonstrations of Lexmark’s broaden- Right: Lexmark’s new Customer Engageing array of solutions. “The Customer Engagement Center ment Center at its reflects the transformation that we have global headquarters. going on right now,” said Mike Johnson, vice president of North America business channels and SMB for Lexmark. “We want to be able to show our customers and partners what we can deliver in terms of the value that we bring to the marketplace.” The solutions-centric CEC features Interactive City, a virtual tour of solutions targeting specific industries. “You can feel like [for example] you are in a retail store, a branch bank location or on the floor of a hospital,” Johnson said, noting that 48 briefings with Lexmark customers had taken place in the CEC to date since it was opened in June 2015. “Between our industry solutions and back-office solutions, there are 42 separate solutions that we are able to show you.” As noted, Lexmark is the midst of change. “We are going through a transformation from a hardware company to a solutions company,” Johnson said. “This transformation began in 2010 with our acquisition of Perceptive Software. Since then, we have acquired 13 additional software companies, investing a total of more than $2 billion to help drive this transformation.” Why is Lexmark transforming itself? “Obviously, everybody knows that the hardcopy space we are in is really a commodity business,” Johnson said, explaining that the company is now instead focused on addressing the document workflow challenges that today’s customers face. “Customers are telling us there is an information explosion that they have at their sites. With that information explosion, the challenge is that 80 percent of the information they have they cannot get to in order to run their businesses. So, we want to help solve that business process challenge. We call it ‘the unstructured data challenge.’”

Referring to the unstructured data associated within accounts payable as “one of the biggest issues that our customers face,” Johnson cited the value of such software solutions as ReadSoft and Perceptive Capture, now available from Lexmark as a result of company acquisitions. “These are just some of the ways we can go out and help solve that unstructured data challenge in the marketplace right now. And ‘the bench’ is getting deeper as we move forward, in terms of what we are able to deliver through our partners.” Johnson explained that Lexmark is also in the midst of launching an effort to broaden the scope of enterprise solutions available through its dealer partners to help them win mid-market enterprise business in accounts with 500 to 4,000 employees. “We want to be able to leverage our partners to go into these accounts,” he said. “We are going to provide them, for the first time, our enterprise solutions and software resources to go attack those accounts. We launched this in late second quarter, early third quarter. We are currently working with select partners in select cities to go after these target accounts.” Lexmark will provide a growing number of select dealers with support to help them win the mid-market accounts, Johnson said. “We have engagement agreements with them, letting them know they are their accounts, top to bottom,” he said. “It can be a total team effort. We are in some great engagements with our partners; there’s a lot of excitement about this … We see this as a big effort for us moving forward.” n Brent Hoskins, executive director of the Business Technology Association, is editor of Office Technology magazine. He can be reached at brent@bta.org or (816) 303-4040. www.offi cetechnol ogymag.com | Nove mb e r 2015 | 25

Lexmark Nov 15.indd 1

11/2/15 9:55 AM

PRINCIPAL ISSUES

A4 MFP Transformation Making the case for the A3 alternative by: Jennifer Jakubowicz, OKI Data Americas

ong gone are the days where copier-based A3 multifunction printers (MFPs) were the primary devices sold within the office technology industry. A3 MFPs — known for high-volume output, advanced finishing options, flexible paper sizes for print jobs and the ability to multitask with print, scan, copy, fax and send/ receive email functionality — have met their match with advances in A4 MFPs. For years, major OEM manufacturers have been producing A3 MFPs to meet the document printing and imaging needs of the industry. These devices have been considered the go-to for printing solutions, providing efficiency through fast printing and copying speeds, the ability to support a variety of media and offering an open platform to embed workflow solutions. However, new trends have emerged that are shifting market share away from A3 MFPs and increasing demand for A4 MFPs. Many contributing factors are occurring that have created an increased demand for A4 MFPs. For starters, industry analyst firms like InfoTrends indicate that less than 3 percent of print jobs require 11-by-17-inch (A3) output in the office environment. With most printing done on letter-sized paper, the need to print on A3 media is no longer a strong selling point. InfoTrends’ Office Vertical Market Opportunity Analysis by Core Based Statistical Area reports the average monthly page volume within small businesses is below 6,755 on MFPs. Additionally, its research indicates that worldwide page volume is on a gradual decline through 2019. Customers no longer need the monthly duty cycle of 100,000 pages offered by A3 devices. Historically, A4 devices were not a suitable replacement, as they could not compete with A3 MFP features. Printing vendors, including OKI Data, have led the way in developing new printing solutions within A4 mid-workgroup devices. Advances in A4 MFP technology include: print, copy, scan, fax and email capabilities from a single device; fast color and mono print and copy speeds for increased productivity; solutions-enabled MFPs with open APIs and improved user interface displays; media flexibility, allowing for a variety of output options; mobile printing functionality that aligns with workers’ smartphones, tablets and wireless devices; desktop and floor configuration options with smaller footprints; and finishing capabilities that rival those of A3s. The only real difference that remains is the paper size.

Buyer 2.0 is the final factor in the equation. Organizations are proactively and independently searching for and accessing information to learn about future purchases. Buyer 2.0 customers are informed and prepared to negotiate future leasing contracts. They understand: 11-by-17-inch output may not be needed; and A4s are half of the price of A3s, take up less space and consume less power. The shift from A3 to A4 devices is taking place now. Both IDC and InfoTrends indicate the market share for MFP devices will increase for both A4 color and monochrome MFPs while A3 MFPs will show the greatest decline from 2013-17. But how do A4 MFPs fit into the dealer channel? A3 MFPs have dominated the channel, providing dealerships with high device margins, high consumable margins, and profitable service and support. A4 devices were historically seen as low price, low gross margin and low consumables — until now. In today’s market, an A4 MFP sales strategy is a must for future growth and it does not have to come at a cost or sacrifice to your customers. The focus needs to turn to the customer and right-fitting its printer and copier fleet. In many cases, one A3 device can be replaced by as many as three A4 MFPs and lower the customer’s monthly payment. It is a win-win for the dealership and the customer. The customer benefits from more printing features, flexibility in printing fleet placement and lower monthly payments. The dealership benefits by doing what is right for the customer (right-sizing versus down-sizing), which creates redundancy units in the printer fleet, creating high availability. Let’s review the facts: average monthly page volumes are declining, the need to print on 11-by-17-inch is extremely low, and customers are more informed than ever and are no longer willing to justify the ROI based on a high-cost device that does not fit organizational needs. These trends demonstrate a shift from A3 to A4 MFPs, which have comparable functionality to higher-end A3s, offer smaller footprints and lower acquisition costs with improved cost-to-print pricing. If your dealership has not adopted an A4 MFP strategy, it is time to start considering it now to win future deals and grow current accounts. n Jennifer Jakubowicz is associate marketing manager at OKI Data Americas. She can be reached at (856) 222-7300 or jennifer.jakubowicz@ okidata.com. Visit www.okidata.com.

26 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Jakubowicz Nov 15.indd 1

11/2/15 3:24 PM

SELLING SOLUTIONS

Senior Sales Reps They must do their jobs based on today’s realities by: Gil Cargill, Cargill Consulting Group Inc.

s members of my generation (the baby boomers) age, this topic seems to be coming up more frequently. CEOs have asked me many times: “How do I motivate my senior salespeople?” Or, another version of the same question is: “How do I keep my senior salespeople in the game?” Before I answer these questions, let’s take a look at the conditions that precipitate a disengaged sales representative. As we age, our cost of living actually goes down. Stop and think about it. How happy were you when you wrote the last tuition check to your youngest child’s grad school? Personally, I was ecstatic. You see, our disposable income went up dramatically that day, and that was true whether I worked harder or not. The same applies to your senior salespeople. Another component of cost-of-living reduction is the amortization of mortgages. As we pay off our homes, we give ourselves an increase in disposable income. So, when management says to a sales rep who has paid off his (or her) home, car loans, college expenses, etc., “You need to go out and work harder so you can make more money,” the rep subconsciously asks, “Why?” At the same time these people are disengaging, the CEO recognizes that he cannot terminate these individuals. In many cases, they possess reservoirs of irreplaceable knowledge regarding customer accounts. Consequently, they recognize the power they have over their employer. And chastising these individuals for any reason does very little good for anyone and is not a recommended action. First, recognize that senior sales reps still have a lot of pride, but their priorities have changed. They may be more involved in social activities, their grandchildren’s sports teams, community activities, church activities, etc. So, working more hours does not “do it” for them. Following are some strategies that have worked for me and my clients over the years to address this issue. Build-Around Strategy A smart move is to recognize that these senior people need a sense of purpose and pride and, in many cases, you can reactivate

their enthusiasm by building younger salespeople around these individuals. These new salespeople may be mentored, in a formal sense, by the senior sales rep. This kind of mentoring can resurrect the enthusiasm and excitement senior sales reps once had for their jobs and careers. Reassigning Underserved Accounts Another component of the build-around strategy is to build new account relationships around the existing relationships. In almost all of the circumstances where I have encountered this phenomenon, the senior sales rep has a few very lucrative, very comfortable and very friendly accounts. Some of the other accounts assigned to that person are underutilized. You may be able to reassign the underutilized accounts to the aforementioned junior sales rep and arrange a commission split. In other words, the senior sales rep will derive partial financial benefit from the efforts of a junior sales rep. Compensation Modification This is a very touchy subject, so approach it carefully. Many senior salespeople have become “ROAD (Retired on Active Duty) warriors” as a result of the compensation plan management has assigned them. If your senior sales reps get commission or bonuses from accounts that were closed in the past, you may have a comp plan that is inducing this www.offi cetechnol ogymag.com | Nove mb e r 2015 | 27

Cargill Nov 15.indd 1

11/2/15 10:19 AM

out of bed in the morning? What are their ROAD warrior behavior. When the sales goals (short- and long-term)? And can you rep thinks he has a “book of business” that I do not think that it is help them achieve their goals by coaching will support him, then he is inadvertently smart to punish, confront or training? In other words, manage them induced to become a ROAD warrior. or terminate a senior with good, sound management practices. n You can modify the comp plan withsales rep, but I do think After concluding a sales and management out cutting commissions by putting some you should work out career at IBM, in which he led his sales team compensated MBOs (management by from a dead-last rating to first place in less objectives) into the comp plan. In other some tactics ... that will than a year, Gil Cargill launched his own words, you could tell the senior sales rep reactivate his motivation. consulting practice in 1978. He has spent that part of his compensation moving forthe past 37 years as a consultant, speaker ward will be based on completing detailed and trainer, helping thousands of businesses account and/or territory plans for his asachieve dramatic and permanent improvements in sales signments. MBOs can be used to shore up compensation and productivity. Cargill has taught salespeople across diverse redirect a sales rep’s focus toward goals that complement industries the importance of developing sales processes, the management’s strategies. advantages of implementing new technology and the benefits of In summary, I believe that senior sales reps, in many cases, tracking sales performance. He is a frequent speaker at national are looking for recognition and acknowledgment of their prior conventions and meetings of Vistage International, formerly contributions. That is great — they deserve it and you should The Executive Committee (TEC), and has been a consultant to do that. But none of us can live in the past. The senior sales rep such organizations as Toshiba, ComputerLand, must be held accountable for doing his job based on today’s realMicro Age, Apple Computers, Borg Warner ities. I do not think that it is smart to punish, confront or termiWeyerhaeuser and many thousands of growing nate a senior sales rep, but I do think you should work out some small-to-medium-sized businesses. tactics, short of termination, that will reactivate his motivation. My last bit of advice is to sit down with your senior sales Cargill can be reached at (310) 305-7198 ext. 111 or gil@gilcargill.com. reps and have some genuine, heart-to-heart conversations Visit www.gilcargill.com. to clearly understand what motivates them. Why do they get

MARK YOUR CALENDAR! engage ‘n exchange

engage ‘n exchange

! s s e c c Su Are you growing the recurring revenues you want with your current managed print program? Join your hosts from the award winning MPS infrastructure leaders at LMI Solutions to hear how top performing MPS providers are winning more pages under contract with an effect SALES and MARKETING strategy.

28 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Cargill Nov 15.indd 2

11/2/15 10:20 AM

SELLING SOLUTIONS

Simplifying the Sale The three people you need to know by: Troy Harrison, Troy Harrison & Associates

might be betraying my profession a bit with this article. You see, trainers and consultants love to make simple things complex and complex things downright indecipherable. That is how a lot of consultants build their reputations and extend contracts — the more the consultant can complicate something, the less you know — and the more you need him (or her). So, if the “Consultant Police” come after me, you will know why. Still, I cannot keep my mouth shut on this one. What I am referring to is the old “complex sale” philosophy. The “complex sale” strategy was something that was big a few years ago, but in today’s world of selling, I am seeing it fade out a bit. The reason is simple: While selling itself may not be more simple now, most companies’ decision-making processes are. Complex sales (and complex buying processes) depended heavily on the existence of a thick layer of middle management employees with time on their hands. Such middle managers were easy to draft into purchasing committees. As you are probably observing, the corporate layoffs of the late 1990s and early 2000s have thinned the middle management corps. Thus, decision-making processes are more simple. Let’s talk about who you need to know: n The Decision Maker — This sounds simple — and it is — but this is still the person too many salespeople fail to reach. Here is a hint: Anytime you hear, “I have to talk to my boss,” you are not talking to the decision maker. My philosophy has always been to start at the top — or at least the top of the most accessible or appropriate chain of command. If you are selling to small- to medium-sized companies, you should be working to meet the president or CEO. Even if that person is not the person who can do the deal, he will know who can — and who to refer you to. And, of course, the CEO always has the checkbook. The key here is that whatever you are selling, you have to be able to tie it to a benefit that will register with the CEO. It is not impossible — as long as you are not selling paper clips. The bottom line is that, in each sales process, you have to reach someone who can say “yes” and mean it. In any company, the power to say “yes” begins in the corner office and extends only as far as the person in the corner office wants it to. n The Budget Manager — By this, I mean “the person whose budget will be spent on your stuff.” You would think that the decision maker and the budget manager would be the same person, but as someone who spent a significant amount

of time in corporate America, I can tell you they are not. For instance, a vice president of marketing might make a purchase for marketing materials or supplies that actually spends the sales manager’s budget. Or, he might not if the sales manager can block the sale. The sales manager might not have the authority to say “yes” to the purchase, but if it is his budget, he may have the authority to say “no.” If he does have that authority and if you have not sold him, he will use that authority. Of course, this means that “Whose budget will be spent on this purchase?” is an essential question for any important purchase. If the answer to that question is someone you do not know, “Can I meet that person?” is the only follow-up. n The User Manager — Essentially, this is the person who is responsible for the successful implementation and use of your stuff. Much like the budget manager (in fact, here, the www.offi cetechnol ogymag.com | Nove mb e r 2015 | 29

Harrison Nov 15.indd 1

11/2/15 10:26 AM

process for any major purpose is this: Find user manager and the budget manager are the decision maker (start at the top) and often the same person), the user manager The all-time best just ask. Ask a question like, “So, can you might have the authority to say “no.” People way to discover the tell me how your company makes these who only have the authority to say “no” like decision-making process types of decisions?” and most buyers will to use that authority. Even if the user manfor any major purpose give you the straight scoop — or enough ager chooses not to block the sale, he can is this: Find the decision of it for you to make headway. Selling is do something worse if he is not sold on you tough enough. Do not make it more diffi— he can sandbag your implementation maker (start at the top) cult than you have to. n to the point where you are not successful. and just ask. Troy Harrison is the author of “Sell Like You Most experienced salespeople have been Mean It!” and “The Pocket Sales Manager.” through this a few times, and it is not fun. He is a speaker, consultant and sales The way to avoid it is to give the user mannavigator who helps companies build more profitable ager your best selling effort. and productive sales forces with his cutting-edge In any sale, your best bet is to keep it as simple as possisales training and methodologies. ble and do not ask to include more buying influences than are For information on booking speaking/training necessary. Today’s corporate managers are busier than ever, engagements, consulting or to sign up for have tighter deadlines, more responsibility and less help. This Harrison’s weekly e-zine, call means that your expertise becomes more valuable. Therein (913) 645-3603 or email troy@troyharrison.com. lies opportunity for you — if you are willing to put in the work. Visit www.troyharrison.com. The all-time best way to discover the decision-making

ADVERTISER INDEX 31 • BPO Media

13 • ECi FMAudit

21 • Muratec

www.workflowotg.com / www.theimagingchannel.com

(573) 632-2461 / http://fmaudit.ecisolutions.com

(469) 429-3300 / www.muratec.com

20 • BTA’s 90th Anniversary

28 • ENX Magazine

23 • Pantum

(800) 843-5059 / www.bta.org/DistrictEvents

www.enxmag.com

(909) 287-7333 / www.pantum.com

31 • BTA Southeast District Event

9 • Epson

11 • Q2 LLC

(800) 234-8996 / www.bta.org/DistrictEvents

www.epson.com/docscan

(888) 826-2576 / www.q2products.com

5 • Depot International

32 • Falcon Soaring

15 • Supplies Network

(800) 648-6833 / www.depotintl.com

(952) 736-1300 / www.falconsoaring.com

(800) 729-9300 / www.suppliesnetwork.com

14 • DocuWare

2 • IBPI

3 • Toshiba

(888) 565-5907 ext. 211 / www.docuware.com

(480) 393-1694 / www.ibpi.net

(800) GO-TOSHIBA / www.business.toshiba.com

7 • ECi e-automate

19 • KIP

(866) 342-8392 / http://servicetechnology.ecisolutions.com

(800) 252-6793 / www.kip.com/social

30 | w w w. o f f ic et ec hno lo g y m a g.c om | Nov e m b e r 2 0 1 5

Harrison Nov 15.indd 2

11/2/15 10:26 AM

print | digital | website | e-bulletins

bpomedia.com

print | digital | website | e-bulletins

MAY 2015

CHANNEL EVOLUTION

ELL IGE NCE BUS INE SS INT GOOD DATA LEADS NS TO GOOD DECISIO

BER

SEPTEM

2015

OF ZOMBIES AND BUTTERFLIES :

THE NEED FOR

CHANNEL DIVERSIFICATIO N

THE INTELLIGENCE OF BUSINESS PERFORMANCE MANAGEMENT

Best

FROM COST SAVINGS DRIVER TO INNOVATION

April 2015 Volume 6,

No. 2 theimagingchannel.com

dd 1

THE IFYING FININGN DEMYST AND DE TIO FEARS TOMA

N IS MATIO AUTO RETAIL WHY MVP IN

WHAT DOES

Mar

keting

TRAIN UR ING REGI MEN

LOOK

3/24/15 4:36 PM

e 6,

TRUE

and

June

Subscribe Today! Go to www.WorkflowOTG.com & www.TheImagingChannel.com and click on “Subscribe” to receive quarterly print publications, digital editions, and weekly e-newsletters.

Your total guide to the evolving office technology landscape.

LIKE?

THE CH EVOL ANNEL UTIO TIMES N: ,

theim

er 03 Numb e 03 |

0415_tic_cover_V1.in

INT ED BE MIN

THE

Volum

DEN

G HID DATA MENT DOCU UE THAT CAN O VAL

TURNIN

HP ROLLS OUT COMPLETE LASER PRINTER REDES IGN FEATURING JETINTELLIGE NCE TECHNOLOGY

No. 3 channel.c om

IN IT

in S ales

Volum

TION

ices

aging

0515_wkf_cover.indd

IES:

PAPERLESS

WHAT A TO DOES P PROF SALES ES LOOK SIONAL LIKE?

4/27/15 9:27 PM

2015

THE NE

CHANNEL EVOLU TION, CHANNEL OPPOR TUNIT

A GUIDE TO GOING

REVOLU ESS OC BE L TIC PR ROBOMATION WIL RUPTOR AUTO XT BIG DIS

T THE NEX

Pract

THE SHIFTING APE: CLOUD LANDSC

Volume 03 | Number

N M AT IO A U T O VAT IO N NO & IN

S SMARTER BUSINES EQUALS INTELLIGENCE S INTELLIGENT BUSINES

AND DE STRATEGIE S VICES ARE CH ANGIN G

MATC HING MARK ET & CU STOM TO ER

FIND AND MA SALES SUCC RKETING ESS

The Imaging Channel:

An integrated resource for the print and imaging industry that brings together the leading market information, business concepts, strategies and people in managed print.

Workflow:

A publication, website and e-newsletter for the business process automation and content management industry. Workflow delivers leading-edge information to the principal IT VARs, dealers, resellers, OEMs, vendors, and distributors.

WorkflowOTG.com | TheImagingChannel.com

BPO Media - ads Nov 15.indd 1

11/2/15 10:29 AM

PRSRT STD U.S. Postage Paid Fulton, MO 65251 Permit #38

Office Technology Magazine Business Technology Association 12411 Wornall Road Kansas City, MO 64145 (816) 941-3100 www.officetechnologymag.com www.bta.org

™

Falcon Technology

Sales Software

for the Office Equipment Industry

Powerful | Intuitive | Affordable • • • • •

All NEW Version of Soaring Territory Management Forecasting Management Tools & Reporting Create Proposals & Documents

• Desktop & Mobile Versions • Integration to: • e-automate® / OMD®* • MS Exchange / Outlook • MS Word / Excel

Free 90 Day Trial for BTA Members $39/Mo. per user, min. 3 users No extra charge for mobile version No term commitments * Additional charges apply

10/12/15 2:52 PM