Top 5 Most Intrusive Questions
Your Fulfillment Vendor Will Ask You (And Why
They Want to Know)
By Veronika Noize, The Marketing
Coach
You
think that everything is going along so
smoothly. You've sent Request for Proposals to
at least three fulfillment vendors, and you
expect that within the next two weeks you'll
have all the information you need to prepare
your final marketing budget for the business
case of your next big program. And then the
phone calls and the questions start.
The
fulfillment vendors start asking for more
information, but you've given them everything
you've got. They want to see samples of
materials that are not yet designed, let alone
produced. They insist that you specify weekly
or monthly volumes, but since the program hasn't
yet launched, you have no idea what to tell
them.
You
can't imagine why they want to know when your
program launches, or how long it will last (of
course that depends on its success, doesn't
it?), and what in the world does it matter what
other vendors are involved?
But
all of those questions pale in comparison to the
last question. How dare they ask you (an
experienced, successful marketing person) how
you are marketing your program? I mean, what
business is it of theirs? None, right?
Wrong.
Bet
you didn't see that coming, did you? Well, take
a deep breath, pour yourself a calming cup of
decaf, and let me explain why any fulfillment
vendor worthy of the name will (and should!) ask
such intrusive (bordering on impertinent)
questions.
Intrusive question #1: May we have samples of
the elements?
First, understand that they're not going to pass
judgment on your materials, but there are simply
too many variables for fulfillment vendors to
make assumptions about how easy (or difficult)
it will be to pick, pack and ship your product
or materials. Say you want to send out a retail
promotion kit that includes a poster, a video, a
product sample, a letter and some shelf-talkers.
The price to assemble and ship such an order can
vary immensely, so consider providing some sort
samples of the approximate size, weight and
quantity of the finished materials for an
average order. Assembly services are priced
based on the number and types of tasks, so
understanding as much as possible about each
piece allows the fulfillment house to better
estimate the time and effort each task will
take. And then, of course, there is the little
matter of shipping. Your fulfillment house
wants to help you meet your deadlines and keep
your budget, so they must know about your
shipping preferences. And no, carriers are
definitely not all the same. Size does matter
(and so does shape, by the way) when making your
carrier choice. Bottom line: The closer the
samples are to the actual materials, the more
accurate your estimate will be.
Intrusive question #2: What are your projected
volumes by month?
The
reason for this question is determine if your
program will qualify for volume discounts. This
is particularly important for complicated
programs, because once the structure is in place
your economies of scale kick in, so your cost
for each individual order may actually
decrease. Since most programs fees are based on
the frequency of processing orders, to save you
money your fulfillment vendor may suggest that
your orders are processed twice a week instead
of daily if the process is complicated and your
orders are few. And if your orders are always
very small and there are very few of them, a
professional fulfillment vendor will ask you why
you prefer to outsource rather than handle the
program in-house.
Intrusive question #3: When do you expect to
start shipping, and how long will the program
run?
Any
fulfillment program takes a certain amount of
time to set up, generally anywhere from four to
40 hours. Your fulfillment vendor wants to be
sure that you share an understanding of what
will happen when so that there is
sufficient time to set up your program
correctly, and so that the right amount of
resources are available to accomplish the tasks
on your timeline. For example, if you need to
send out one million packages on Monday, your
vendor needs to be aware of your critical
deadlines so that adequate staff will be
available to service your program. But if you
plan to send out one million packages over the
next six months, the demands on the fulfillment
house are very different.
Intrusive question #4: What other vendors are
you using for this program?
One
of the things that your fulfillment vendor does
best is manage complicated programs. If you've
got materials coming in from 16 different
vendors, from printers to partners and other
departments, inevitably something will be late,
thus adding extra costs to your program.
Letting your professional account manager
coordinate all these elements will lessen the
burden on you, and will keep you from being the
"bad guy" with your other vendors.
Intrusive question #5: How are you marketing
this program?
You
expect to hear this question from your boss, but
certainly not from your fulfillment vendor! But
actually, it is pertinent to the success of your
project. Fulfillment vendors are experienced in
all sorts of programs, and are in the position
to suggest ways to leverage different types of
promotional avenues for cost reductions. For
example, a long time ago a client was marketing
a product through a magazine, which printed out
thousands of leads on labels, and mailed them to
her for fulfillment. She turned over the labels
to the fulfillment house, but since she wanted
to develop a mailing list, she asked them to
copy the labels to enter the data manually in a
database, and then mail out the literature using
the labels the magazine provided. Her account
manager diplomatically suggested that going
forward it would be far less expensive for her
to receive the addresses electronically from her
promotional partner, and have the fulfillment
house print the labels, thus sparing her the
cost of hours of data entry. Lesson learned!
Fulfillment houses can also help adjust
unreasonable expectations (although that may not
always be appreciated), because virtually every
fulfillment house has been burned at least once
by a client with more enthusiasm than marketing
savvy. Once upon a time a client went a
fulfillment house, and wanted to set up a
fulfillment program for the 60,000 orders he
expected to generate from an ad campaign in a
national magazine. He asked the fulfillment
house to special order 60,000 boxes for him, as
well as dedicate several call center
representatives to his account in preparation
for the overwhelming demand he anticipated. As
it turned out, the "campaign" was a single
classified ad that ran only once, failed to
mention the product the client was trying to
sell, and so naturally it generated no response
at all. This incident might have had a happier
ending if the client had disclosed the extent of
his campaign and shared his ad copy with his
vendor. Lesson learned by the client: Scaling
up a modest program is much more cost
effective than scaling back an overly
ambitious program. The lesson the fulfillment
house learned was to always find out the full
details of a new client's marketing plans before
accepting the program, and to suggest a scalable
solution that does not front-load the program
with expenses.
So
the next time your fulfillment vendor asks you
an impertinent question, you'll know that rather
than challenging you, the true motivation is to
provide the best service possible. A
fulfillment house's continued success depends on
satisfied customers, which is all they want for
you and your program.
Top 5 Most Intrusive Questions Your Fulfillment
Vendor Will Ask You (And Why They Want to Know)
copyright © 2002 Veronika Noize. All rights
reserved.