Hospitals and other health care facilities are notoriously difficult places to get a foot in the door for janitorial supply distributors. Layers of bureaucracy, a time-starved staff, stringent codes and requirements, competition and buying group affiliations all make for some formidable barriers to getting to the right contact.
A hospital is a very sophisticated building in terms of materials, size and special needs areas, according to one industry manufacturer. A sales staff has to understand the specific needs of a hospital or health-care facility and be versed in terminology and regulations.
Before distributors send their sales forces into the health care market, they must do a fair amount of research to determine what institutions they wish to target. Once they meet with a potential customer, distributors must come prepared with a solid grasp of government regulations, state regulations and other compliance issues in order to avoid presenting a non-compliant product a waste of everyones time.
Initial Contact
Being prepared and familiar with the regulations and needs of a health care facility at the initial meeting can go a long way toward helping your chances for a sale, provided you are forthright with your contact person. First come prepared. A materials safety data sheet (MSDS) should be with you, along with all the specifications for your chemicals and tools. Second, be straightforward and knowledgeable. Know your product, and be upfront about the price. We are smart enough to see if you use less product, or cut down on labor, costs will come down, says Terrie Garrett, purchasing director for the 50-bed Richwood Area Community Hospital in Richwood, Texas.
Kevin Gavre, vice president of Palmer Co., a distributor firm in Waukesha, Wis., agrees. Its a feather in the cap for those who research potential accounts heavily before a first meeting.
You need to get on the Internet or go to the library, and find out as much as possible on the company/hospital, their needs, management structure, buying practices, as well as anything else you can gather, he says.
Getting In the Door
Once you are armed with a thorough knowledge of the facilitys ins and outs, the next step to making a sale is talking to the right person. In a health care environment, this can be especially difficult. Titles and duties vary from facility to facility, and people are often reluctant to make time to even talk to a salesperson.
Finding the right person to talk to is hard. Sometimes it is the materials management director or the chief of environmental services, or it may be a control committee. You just need to do your homework, says Gavre.
At some institutions you may need to get approval from more than one area to make the sale. Sometimes you have to get approval from, say, the infection control nurse, and once he or she is satisfied, then you have to deal with the purchasing agent on the price, says another industry manufacturer.
The situation can become even more frustrating. Sometimes, the infection control issues are resolved, but a salesperson cant reach an agreement with the purchasing agent. This is where previous sales experience and traditional sales tactics must be employed. You want to be straightforward and to the point. If your product is a little more expensive but cuts labor in half, then present it to them that way, says Gavre.
One of the best ways to get purchasers to listen to you is to come right out and let them know that you are aware of their special needs.
Common-area washrooms, for instance washrooms that are used by the staff, patients, and visitors are areas that require special attention. They are one of the few places that the staff uses, right along with the public and the patients. Hospital staff need to remain highly sanitary, yet there must be products and dispensers that can handle the high traffic.
In this situation, hands-free dispensers may be the solution, but a general awareness of specific needs tells a customer you can help them with their problems.
I like it when salespeople know what chemicals I already use and can come prepared to compare products, says Robert Dorsett, director of environmental services at Citrus Valley Medical Center, a 300-bed facility in West Covina, Calif.
Some barriers are even more difficult to penetrate. A number of health-care facilities are members of buying groups or consortiums groups that leverage the combined buying power of a number of facilities.
The best way to get their business is to go to their national association and get on their preferred vendor list, says Jim Sortino, sales manager for Penn Valley Chemical, a distributor in Lansdale, Pa.
Still, winning over potential customers will often simply require good, old-fashioned persistence. Keep calling and visiting and reminding them that you are there if they need you. Call four times or 40 times to reach the person. Develop a relationship with them through consistent contact, and hopefully sooner or later they will come around, suggests Gavre.
Latest and Greatest
Due to the importance of sanitation in health-care facility washrooms, new technology is a common part of the hospital market. Because this influx of new technology is a constant, the janitorial/housekeeping staff often needs to be retrained to stay on top of whats available and what works.
Approximately 95 percent of cost is labor, so if distributors can train the staff on a new piece if equipment and cut down labor time, they become a valuable partner to them. Health care facilities need high-level training, and the distributors that provide it have a distinct advantage over competitiors.
Training programs need to be instituted specific to the standards set by the facility. Chemicals and methods often are more elaborate, so the training must reflect that. Follow-up is important in developing your relationship. You will need to work closer with your health-care clients than you do with others on an ongoing basis, says Gavre.
New tools also are a great way to get the attention of the buyer.
If you have a really neat new product, tell me and I will be glad to look at it and see if it will help us, says Dorsett.
One of the best ways to break in [with a new account] is to have a new product they need, then the rest tend to sell themselves, adds Sortino.
Listen To Customers
Hospital and health-care personnel have their own ideas about what they would like to see from distributors or manufacturers of washroom care products. Housekeeping department managers, purchasing agents and environmental services directors have a number of suggestions for distributors to help them define a facilitys needs and offer products that fit them.
Because hospitals have many layers of bureaucracy, it can be a challenge just to pin down the person within an organization who makes the buying decisions.
Just come right out and ask, says Steve Johnson, director of housekeeping and materials management at Okmulgee Memorial Hospital, a 66-bed facility located in Okmulgee, Okla. Asking for the right person to talk to for a specific area of the hospital or health care facility is the best way to start. In most cases, if you cannot find the right person right off the bat, you can be connected to housekeeping or environmental services, and they can usually direct you to the right person or persons to speak to.
Others give similar advice. Asking is the only way to find the best person to talk to; why would you not ask? says Brenda Fisher, supervisor of housekeeping at Citrus Valley Medical Center.
Catching Their Eye
As in all business situations, price is a factor. No matter how well your product may perform, we want the best value as well. Of course the product must be able to handle the problem that is most important but all things being equal, we will usually go with the cheaper offer, says Dorsett.
Price and service are what catch the eye of most buyers in the health care industry. Training is a big issue as well. We need to train people to clean what they dont see. This makes it a little different because it may look clean but it isnt, says Johnson. The distributor can be instrumental in the proper education of the cleaning staff. Offer training that is affordable and works well, and you will help build a better relationship.
Post-Sale Support
Support after the sale and honesty with a customer are sure bets to cementing a good sales relationship. If we need something and you dont have the product to do the trick, tell me, but then give me somewhere else to go to get it. You may lose this sale but gain 10 more as a result of the honesty and service, says Garrett.
All of these ideas should help your company make a successful transition into the health care market or improve your companys existing sales and service.
D. M. Maas is a Milwaukee-based freelance business writer.
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Clearing Health-Care Market Hurdles
BY D.M. Maas
POSTED ON: 1/1/2003