MARKETING
Technical Buyers Are a Challenge Chemical marketers must learn to cope with technically trained purchasing agents 142ND
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Chemical Marketing and Economics Management, realizing that purchas ing is a profit-making function, is now selecting men for that task rather than just putting them there because it hasn't any better place for them. Now, technically trained buyers rep resent what many industry executives think may be the biggest challenge to chemical marketing. During a panel discussion on the Buyer's View of Chemical Marketing, marketers heard a capsule description of the technically trained buyer from the men who know him best—the buyers themselves. At the same time, these purchasing men also provided valuable tips on how to sell particular types of chemicals and do it well. There has been a minor revolution ever since technically trained men have been interviewing salesmen and selecting vendors, according to Ε. Μ. Krech of J. M. Huber Corp. And more of these technically trained buyers are coming upon the scene. The "personality" salesman, he says, has run into trouble. Buyers now ask technical questions which such sales men often can't answer. This means
that the company has to send a tech nically trained specialist to speak with the buyer or lose out as a supplier. Crash programs instituted by sales managers fall short of their goals, Mr. Krech feels, because it is almost im possible to change a salesman's tech nique. Technically trained men, hastily thrown into the sales ranks, often find the work distasteful; hence, they don't do it well. Today, says Mr. Krech, marketing men face new problems as a result of increased numbers of technically trained buyers. Take advertising as an example. The new buyer wants facts that will help him reduce costs, meet quality control problems, and up grade end products. And, because there is now closer cooperation be tween purchasing departments and R&D departments, the buyer even wants facts that will help him to assist in developing new products. Purchasing men expect much from chemical salesmen, Mr. Krech warns. And most companies are tackling the big job of finding men who can de liver what technically trained buyers demand of them. Trouble is, he says, that purchasing departments are trying to lure the same promising men that the sales managers are after. Advice, Too. But if the panelists
BUYERS' MARKET. Technically trained buyers expect a lot from salesmen, says E. M. Krech (at podium), J. M. Huber 32
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issued a challenge to the marketing audience, they also donated some ad vice. Different chemicals, they pointed out, require different market ing techniques. David C. Baird, Dow's director of purchases, cites three basic essentials needed to market commodity chemi cals successfully. First comes excel lent quality and service. And the seller must show that he can remain competitive; that his process, eco nomics, and ability to maintain quality are sound. Also, Mr. Baird advises, it's important to develop a corporate personality that makes buyers want to do business with the company. Mr. Baird strongly believes that the future development and expansion of the chemical industry ride on success ful marketing and profitability of bread-and-butter commodity chemi cals, those that have well-set specifi cations and quality. Despite their seemingly static na ture, marketing commodity chemicals isn't easy, Mr. Baird contends. A marketing manager must thoroughly understand the problems of his po tential customer. What business is he in? Who are his competitors? What does he make from your products? How will changes in your marketing plans affect your customer's marketing strategy? These are only some of the questions he must answer before he can sell commodities successfully. Not by the Book. Specialty and proprietary chemicals are just about impossible to market "by the book," says Edward Berglind of Rubbermaid, Inc. Creativity and imagination are needed. From the buyer's point of view, it isn't enough for the seller to know that his product is good or how it is
Corp. Other panelists: Edward Berglind (left), Rubbermaid; William Spratling, U.S. Rubber; and David C. Baird, Dow
different. The buyer can get this information from published bulletins and specification sheets. What the marketer must know is how his product's built-in advantages will help the customer. Here, says Mr. Berglind, the purchasing agent can help, if the seller will let him. He advises sellers to allow the buyer to act not just as the sole judge of his product, but as intermediary as well. Thus, he can bring the seller into contact with the people in the customer's organization who need the information first-hand. If a chemical company is really to benefit from a new product or development, the potential customer should be willing to give the salesman specific information about his problem or project. This doesn't always happen, however, and Mr. Berglind cites this as one of the seller's biggest problems. Purchasing agents, he adds, can help solve the problem. Help with Technical Service. Advising on how to market volume chemicals that require a lot of technical service, William Spratling points out that, generally, the closer the customer comes to the consumer, the greater the need for technical service. Mr. Spratling, director of purchases for U.S. Rubber, says also that chemicals sold to process industries require more technical service than those consumed as intermediates, just as more technical service is required by industries undergoing rapid change. Both buyer and seller often fail to take advantage of technical service opportunities. Reason: They both erroneously consider the product as a volume commodity rather than one which needs technical service. Another stumbling block, Mr. Spratling says, is that many companies are reluctant to allow a technical service representative from a supplier into the plant. Often, this reluctance is justified, because information given in confidence leaks into competitors' hands. Whether it's technical service or not, the buyer seeks help—in finding new products, new processes, and good quality control. The buyer expects the supplier to help him reduce costs. For instance, he expects savings in freight and packaging to be passed along—automatically. But, Mr. Spratling says, if the buyer gets help from a seller—especially if it's exclusive help—he takes this into consideration when he awards new business.
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