Wednesday, December 5, 2007

Who Should I Buy from an Authorized Dealer or Direct Branch?


Hmmmmm, should I choose Column A or Column B?


Many years ago you could only buy Copiers from Authorized Dealers. An Authorized Dealer is a privately owned company that is local to your geographic area. A Direct Branch is owned by the manufacturer and may or may not be local to your geographic area.
For many years the debate has raged who should I buy from. Too me it plain and simple, you should buy from the company that has the best support, the best people, the company that offers more than one manufacturers solutions and the company that change on a dime when your needs change.


Typically you should ask some key questions from your sales person or your service person.
Ask the sales person how long they have worked with their current company. A sales person who has less than 2 years experience may not have the resources nor the knowledge to meet your needs.


1. Ask about the the tenure of their service personnel and if you will see the same service technician. Having an experienced service person and the same person servicing the machine is important to quality work and troubleshooting. A company that send inexperienced service reps and multiple reps to the same machine is mot what you want. Too many chefs can spoil the soup and is true with copiers.


2 Ask how long they have been in business. A couple of years may not be what you are looking for, today's machines are highly evolved from yesterdays, go with a company that has a proven track record.


3. Ask if they carry multiple solutions from different manufacturers. No one manufacturer can be everything to everyone. Authorized Dealers will have multiple solutions from multiple manufacturers. While direct branches will only sell their solutions.


4. Ask them how long it takes for a service rep to be on-site and then ask for some references. Doing the research before hand will save you time.


5. Get a copy of the sales contract and service contract to review before you sign, a wishy washy document that was created in a word document is NOT THE CONTRACT! The contract will have many clauses to protect the Direct Branch and allow them to charge you extra for supplies, fuel surcharges and more!


6. Do you really want to buy from someone who offers the lowest price? Ask yourself, what are you sacrificing when you buy solely on the lowest price? Will it be the service, the training, or the support years down the road.


Typically, Independent Authorized Dealers have longevity with their customers, sales people, service staff and technicians. Typically, Direct Branches have the higher turnover with sales people, service staff, technicians and clients.


Now some of you who know me may say that I work for a Dealer and he doesn't know the other side. That's true, I have only worked for a Dealer and never a Direct Branch. My problem is that with 27 years in the business I don't know one rep who has more than 6 years with a Direct Branch while on the other hand I know 40 or more with Dealers who have over ten years with the same Dealer (they must be doing something right). Plus, why is it, that I will get new service accounts from the Direct Branch and I don't lose any to them.


The end result is most Direct Branches (mind you there are a few excellent Direct Branches out there) are out there to capture market share for the manufacturer. They have a high turnover of sales people and support people. Since they have NO "Value" to sell, they typically sell on price. What is "Value"? It could be a number of items, the value of support after the sale, the value of competent support staff to conduct on-site training, the value of troubleshooting a problem and finding a solution. The value of providing the right solution at the right time.
Some of you may be located where there is not a choice between an established Dealer or a Direct Branch, just follow that you should buy from a company that has the best support, the best people and the company that can offer more than one manufacturers and a company that can change on a dime when your needs change.


We all want a good price, however a cheap price is long forgotten after poor service!

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