Buyer's Education

Published in: Georgia Printer, April 2007

Drives Print Demand ... To Suppliers

As a "universal truth," "buyer education programs practically drive print revenues - to the sponsoring supplier."

Since suppliers represent the primary source of instruction and "useful Information" for most customers' buyers, for well over a decade we've advised and guided client organizations to develop "buyer education programs." The net effect for the supplier has almost always been to create unique "perceived customer value" that operates on multiple levels and almost always generates additional business and improved margins.

Examples of improved performance from buyer education programs include (but are not limited to):

(a) Supplier personnel experience better informed and appreciative customers (i.e., customer education tends to precede customer appreciation of a supplier's performance).

(b) Improved margins, as customers tend to trust the supplier who facilitates their understanding not only what needs to be done, but also "the reasons why."

(c) The more a supplier's organization interacts with a customer's organization in such venues, the better the overall understanding between the two organizations — that fuels improved performance for both.

Programs can be of a wide range of designs, and can have little relevance to a supplier's size. Here are a few of the issues to consider in your planning:

PLANNING ISSUES TO CONSIDER

Who to Invite: Content of program usually dictates who should invited (e.g., designers, or marketing folks, or print buyers). That said, a mix of current customers to prospects, in a ratio of three-to-one usually works well. We've observed direct personal - verbal invitations, we've experienced engraved invitations, and we've experienced invitations by email. Be aware that, depending on your program's content, that some programs, such as InDesign by Adobe, are generally of less importance to a print buyer than they are to the designers. So, if you're considering offering InDesign, be sure that designers are receiving the invitations.

How to Follow-up On Invitations: Invitations should require an RSVP, which should be followed-up twice - once to confirm a positive response, and then a reminder call 24 hours before the event. Some suppliers charge a "program and luncheon fee," that can be exchanged for a coupon on the next order placed with the supplier. A session titled "Lunch and Learn" might charge $50 for the session - including a nice lunch, with a guaranteed Coupon worth $100 on the next order - to ensure attendance and reduce "no-shows."

Location: The supplier's plant is almost always my first choice. But a neutral site also works well. Additionally, we've observed some sessions customer response rates to grow to such a size, such as 85 to 100 attendees - such that a local hotel ballroom required to be rented. (These are the types of problems we should all have!)

Size of Class: Can vary tremendously. One client sets the class size not to exceed eight, with a minimum of six attendees. That same client conducts a session every two weeks, and their revenue growth has exceeded ten percent for each of the last four years - and which their "Buyer Education Programs" feed. Another client we've worked with has created a "Learning Lab" connected to their satellite sales office - located in a major metropolitan center. Sessions are conducted monthly - for current as well as prospective customers.

Curriculum Content: Program content may come from several sources, including:

(a) Problems encountered by prepress

(b) Suppliers

(c) Your customer contact personnel. (One page 20 we’ve listed some programs that are intended to spark your creativity for what you might be offered to your customer.)

Feedback Mechanisms: Every program should provide attendees with an evaluation/feedback mechanism. Evaluations should provide attendees with room to write comments. Issues to query might include:

(a) What part of the program was most valuable?

(b) What part of the program should more information have been offered?

(c) What part of the program was a waste of time?

(d) Is there anyone else in your organization who would benefit from this program?

(e) What other programs would you like to see us offer in the future?

Written feedback to these and other relevant questions (e.g., evaluation of the quality of instruction, and adequacy of the room setting for the program) at every program can lead to an elevated buyer education program that differentiates your organization from competitors, ultimately leading to multiple customer benefits that lead to more business and improved margins.

Opportunities to develop buyer education programs are limited primarily by your imagination. To get you started, not counting the InDesign and PhotoShop-type programs that your prepress department or software supplier may be able to facilitate, here is a series of suggestions we've found meaningful for our clients.

CUSTOMER EDUCATION PROGRAM EXAMPLES

How To Buy Print More Effectively: This program should be focused on estimating and specification issues that require the buyer to understand and communicate - what they are trying to accomplish, what they don't want to happen. Sources of outline material can include, for example, "unnecessary alteration charges."

Personalization, Variable Imaging, and Short-Run Publishing: This program can target customers' marketing departments, non-profits' fundraising, as well as universities' faculties. Be sure to offer "case histories" and lots of samples and war stories to elevate your program's credibility.

How To Use Web-To-Print To Improve Your Company's Performance: Those organizations with web-to-print capabilities basically understand that when a customer installs their system, they've in effect installed a barrier against competition. However, getting the customer organization to use the system is the key. Thus, education of how the system works, and understanding the economic benefits of the system for the customer are critical.

Why You Might Want To Consider Digital Asset Management From A Supplier: This program is as relevant to your customer CFO as to their design and marketing staffs. Digital images are too often expensed. However, if they can be stored and retrieved, they can become a balance sheet asset. Such a program has so many "angles" for presentation that I'll leave it to you and your own biases as to which direction to develop your content. Be aware that charges for use of the system need to include "space used," as well as "time required to upload" and "download."

How To Get More From Your Print Supplier: This program works to explain how long-term relationships allow for both parties to learn from each other, and create a "continuous improvement buyer-supplier" working relationship.

How To Select and Spec The Right Paper For Your Project: Your paper merchants should be able to develop one or more terrific programs - that start with the novice buyer and move up to the more sophisticated designers. These programs should be offered at least once a year, as a rule.

SUMMARY

Buyer education drives new business to the supplier. It also creates a market differentiation that most suppliers could use, and your customers wish were available.

Successful buyer education programs are not dependent on equipment, size of company or academic credentials.

What they are dependent on is a supplier who has its customers best interests at heart.

I'll never forget the note of appreciation our client received from the Director of Purchasing at a Fortune 500 company: "I'm most grateful for the terrific education programs you and your organization continue to offer and deliver to organizations like ours. Our department personnel, including our buyers and designers benefit from these programs mightily. One day I hope to be able to attend ...."

Though the Director could not personally attend, he and his organization recognized the supplier for the merits of their offerings, for the professional benefits those offerings delivered to his department personnel, and his organization - long term.

You can be sure that when there were decisions of who to award projects to that came down to "tie votes of evaluation," this supplier received the award - most of the time, and deservedly so.

Keep an eye out

Sid Chadwick will be hosting a series of webinars PIAG beginning in September 2007.