Has anyone tried using an independent sales force in trying to market your products? What success have you had?

We have and we have had mixed results. The biggest challenge is that you are competing with other products they are expected to sell so you have to provide them with better incentives or a better product in order to stay front of mind with them

If you decide to use an external sales force make sure the bulk if not all of your fees are variable based upon performance. Also make sure you are provided enough time in front of the salesforce to adequately train them.

We have used them in the past they are a great way to get exposure without having the overhead associated with having a full time employee

Using an external sales force is a great idea with many benefits. We have been an independent group for 4 years and although we have had some challenges that were mentioned in the earlier threads we benefit from:

Provides predictable sales cost No matter how the economy is doing the costs remain the same.


Lowers sales costs No overhead for direct employee: salary, health benefits, insurance benefits, travel expenses, stock and profit sharing, sick leave, vacation and holiday pay, payroll taxes, worker compensation, bonding fees, liability insurance.


Reduces administrative overhead No internal cost for administrating and maintaining payroll.


Eliminates the costs of training and turn over in sales personnel

Gives immediate access to the market
Independent reps are familiar with the territory and may be calling on clients already.


Provides a highly experienced more aggressive sales force Agents tend to be well educated. They live and die by the bottom line


Provides a broader sales context for your product
Complementing lines increase the value of the representative. It allows the representative to add value.


Adds marketing flexibility at less cost





Increases Sales

Don't forget about the disadvantages!

No control
You can't control an independent representative. They will only push those products they feel have the best chance of selling and making them money. They will tend to put their best effort into selling the best products from their most established lines.

No commitment
As a new manufacturer you are an easy target for the "first time out of the bag syndrome." The representative will be looking to place orders for your product very quickly after he or she first introduces it. If that doesn't happen, your product might well not be presented again. Of course, unless you have an agreement to the contrary, which would be unusual in this business, the independent representative you are using may very well be selling your competitor's products, too!

You should keep in mind that even if you have an established, long-term relationship with a representative, you must constantly "sell" them on the potential of both your existing and new products or services.

Competing products
Unless you have an agreement to the contrary, an independent sales representative may take on a competing line or a line that competes with your products.

I have considered an external sales team, but what about setting up an affiliate program instead? Has that worked well for anyone on here?

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