By Steven Butterworth
From the Floor
NUTURING Supplier Relationships
Good supplier relationships in any business should be built upon values such as trust , respect , honesty , and transparency . In these days , value those relationships where you have the opportunity to work towards mutually beneficial long-term relationships that will allow us all to focus on creating a retail environment where we can have more people to start , and fewer to quit learning and playing music together .
For any relationship to be successful there needs to be an equitable exchange of value . Full Stop ! This is true in all relationships whether they be interpersonal or in business . There must be an evaluation of the price ( money / time / effort ) that is deemed reasonable between the two parties understanding the value that each will bring to the table and will deliver to the customer in their respective roles in the value chain . As a retailer , you need to earn enough margin to provide the level of customer experience expected . As a supplier , they need to understand what you need to deliver on that ideal customer experience . And it needs to be sustainable for both !
As a retailer , you should be viewed by your suppliers as the place where customers have a chance to find and experience their products , have a great advice-based purchasing experience with your staff , and receive after sales service and support . It starts with communications and mutual understanding .
Many people who work in distribution now and in the past came from the retail side of things and can still put themselves in your shoes . But that has been changing rapidly over the past years , and this is where a breakdown in mutual understanding can come from . I believe that proactive communication from both sides is key to nurturing a mutually beneficial relationship based upon mutual understanding of each other ’ s goals and objectives . Seek opportunities to connect not only with the regional representative , but also deeper into their company to customer service , technical service , finance , marketing , and senior management .
As a retailer , you need your best suppliers aligned to your vision of what you want to achieve with your business . It may take time to develop the trust in them , but the sooner you help them to understand your business , the sooner they should be able to add value to the relationship .
As an owner or manager , do you have a “ 30-second elevator pitch ” in which you could explain to somebody outside of your business what you want to achieve in running your business ? What values are important to you ? What qualities you nurture in your store around customer experience ? And how you would measure success ? What I mean , is if you were at NAMM and got into an elevator and spotted a name tag on a manufacturer ’ s sales rep for a brand you wanted to add to your offerings , what would you tell them in that 30-second ride to have them want to keep following you out of the elevator and to guide you to their booth ?!?
So ask yourself , how well do your best supplier representatives know your business ? Could they recite your 30-second pitch about your business ? If you don ’ t have this 30-second pitch , what would your supplier representatives say are your goals , ambitions ,
measures of success ? Equally or even more so important , are your managers and staff aligned to and able to recite your 30-second pitch ?
As a retailer you have many decisions to make about who your suppliers are . You need to have those brands and products that are or have been market makers , customers come in looking for them . But you also need to find a way to differentiate yourselves , and that is where a good supplier partner will look to find you open to listen and try new things ; things others don ’ t offer that makes you a unique destination to try their products in your great store environment . Those select suppliers need to create the ideal terms and conditions for you to take smart risks and have ownership in the success of the new initiative .
Once it ’ s proven itself , run with it and support it , so they can then bring the next opportunity to you . This is one way you can nurture unique opportunities for your business with your best suppliers .
Steven Butterworth is the Vice President of Sales & Marketing at Yamaha Canada Music , overseeing the Musical Instrument , Music Education , and Pro Audio departments . He can be reached at
sbutterworth @ yamaha . ca .
CANADIAN MUSIC TRADE 9