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Sales Agents in France
FRANCE GERMANY SPAIN
Focussed and
Centralised
Distribution
YES YES NO
Competitive
Pricing YES YES YES
Agent
Law
Very strict Strict Strict
Ease of finding
agents
3 2 1
Ease of making
appointments
1 2 3
1. General Market Features (I)
FRANCE GERMANY SPAIN
Terms of
payment
2 3 1
Solvency 2 3 1
Cultural
Proximity
2 1 3
Purchasing
Power
2 3 1
Language
Skills
2 1 2
1. General Market Features (II)
2. Definitions
http://www.comagent.com/fr/lagent-commercial.html
3. Differences between agents and distributors (I)
Distribuitor Sales Agents
Buys and sells Sales agent
Margin on sales Commission
Stock No stock, ocassionally showroom
After-sales & Tecnical service No after-sales ervice
Manages all aspects of promotion,
Sales policies, logistics
Sales mangement
Covers risk of non-payment by
third parties
Principal manages non-payments
Sole distributor – sales and unpaid
invoices
Diversification
Loss of control Closer control
False distributor Exclusivity
3.Differences between agents and distributors (II)
Distribuitors
Standard products
Technically complex products
Large margins
Large orders
Short delivery terms
Many customers
Can have very diverse customers
Agents
Standard or bespoke products
Products without after-sales
service
Lower margins than distributors
Large or small orders
Customers often have to accept
longer delivery terms
Many or few customers
Limited sales zones
3. Differences between agents and distributors (III)
4. How to find sales agents from least to most
effective (I)
• Get lists of possible agents from Overseas Trade Offices:
• Consult international directories that descibe company activities (ie. Kompass,
Europages)
• Place an advert with the French National Association of Sales Agents &
Intermediaries:
• Word of mouth: ask manufacturers of complimentary products if they can
recommmend anybody.
• Taking part in meetings of sales agents.
• Place an advert in specialised publications in target country. Check old issues first.
• Advertise in your stand if you are exhibiting in fairs.
• Search Google.fr using advanced search options.
4. How to find sales agents from least to most
effective (II)
• Check products that may be complimentary to our own and which may
make an agent's portfolio more attractive. Names?
 Check the webs of Eeuropean manufacturers associations. These
can be requested from Overseas Trade Offices or can be found in the
virtual pages of sectorial fairs.
 You can find these manufacturers using Google searches.
4. How to find sales agents from least to most
effective (III)
6. Factors to evaluate a commercial agent
CHECK LIST!!!
Personal profile
Professional profile
Sales team
Turnover
Product mix
Customer profile
Territorial analysis
Available resources
7. Sales contract
Contracting parties
Object of the contract
Products
Territory
Market segment: potential
customer base
Exclusions: existing customers
or large customers
Contract term: temporal/
indefinite. Exclusivity:
segments / sobre territorial
No-competition
Confidentiality
Contracting parties
Object of the contract
Products
Territory
Market segment: potential
customer base
Exclusions: existing customers
or large customers
Contract term: temporal/
indefinite. Exclusivity:
segments / sobre territorial
No-competition
Confidentiality
Company obligations
Functions and obligations of
the agent
Commissions and how they are
paid
Sales targets
Compensation
Post-termination orders
 No-competition clause
Motives for temination
Non-transfer
Law and jurisdiction
Company obligations
Functions and obligations of
the agent
Commissions and how they are
paid
Sales targets
Compensation
Post-termination orders
 No-competition clause
Motives for temination
Non-transfer
Law and jurisdiction
8. Guaranteeing success (I)
► RECRUITMENT PROCESS
 Should be meticulous and all questions and points should be openly tackled.
 Reject troublesome, over-demanding or arrogant candidates, however much
experience they may have.
 Check references. Speak with the other companies they represent.
8.Guaranteeing success (II)
► THE CONTRACT
• It shoud be fair to both sides, but in line with the company's standard model:
you can't have a different contract for each agent. It should not be over-
generous nor over-rigourous. Never give in to unreasonable demands.
• You should include a trial period of at least six months.
• The contract should specify sales targets. If this is not possible, the trial period
should include a plan of mandatory sales activities.
8.Guaranteeing success (III)
► GETTING THE RELATION OFF ON THE RIGHT FOOT
• If the agent needs company training, do it as soon as possible. It is in everybody's
interests to start as soon as possible and the formative period is a chance to get to
know the agent better.
• Answer all the agent's requests for prices, samples and information promptly.
• Make a joint visit to customers during the trial period. This will give you a good idea
of how the agent handles himself with customers.
Don't “forget” your agents: at the beginning he is going to need all your support and a
strict follow-up. It is all to easy to get tied up in the day-to-day.
An agent who doesn't ask questions, doesn't phone or send mails IS NOT WORKING.
An active agent will, sooner or later, will bring in the orders.
Merci beaucoup!
Question time
www.int-team.com

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Sales agents in France

  • 2. FRANCE GERMANY SPAIN Focussed and Centralised Distribution YES YES NO Competitive Pricing YES YES YES Agent Law Very strict Strict Strict Ease of finding agents 3 2 1 Ease of making appointments 1 2 3 1. General Market Features (I)
  • 3. FRANCE GERMANY SPAIN Terms of payment 2 3 1 Solvency 2 3 1 Cultural Proximity 2 1 3 Purchasing Power 2 3 1 Language Skills 2 1 2 1. General Market Features (II)
  • 5. 3. Differences between agents and distributors (I) Distribuitor Sales Agents Buys and sells Sales agent Margin on sales Commission Stock No stock, ocassionally showroom After-sales & Tecnical service No after-sales ervice Manages all aspects of promotion, Sales policies, logistics Sales mangement Covers risk of non-payment by third parties Principal manages non-payments Sole distributor – sales and unpaid invoices Diversification Loss of control Closer control False distributor Exclusivity
  • 6. 3.Differences between agents and distributors (II) Distribuitors Standard products Technically complex products Large margins Large orders Short delivery terms Many customers Can have very diverse customers Agents Standard or bespoke products Products without after-sales service Lower margins than distributors Large or small orders Customers often have to accept longer delivery terms Many or few customers Limited sales zones
  • 7. 3. Differences between agents and distributors (III)
  • 8. 4. How to find sales agents from least to most effective (I) • Get lists of possible agents from Overseas Trade Offices: • Consult international directories that descibe company activities (ie. Kompass, Europages) • Place an advert with the French National Association of Sales Agents & Intermediaries:
  • 9. • Word of mouth: ask manufacturers of complimentary products if they can recommmend anybody. • Taking part in meetings of sales agents. • Place an advert in specialised publications in target country. Check old issues first. • Advertise in your stand if you are exhibiting in fairs. • Search Google.fr using advanced search options. 4. How to find sales agents from least to most effective (II)
  • 10. • Check products that may be complimentary to our own and which may make an agent's portfolio more attractive. Names?  Check the webs of Eeuropean manufacturers associations. These can be requested from Overseas Trade Offices or can be found in the virtual pages of sectorial fairs.  You can find these manufacturers using Google searches. 4. How to find sales agents from least to most effective (III)
  • 11. 6. Factors to evaluate a commercial agent CHECK LIST!!! Personal profile Professional profile Sales team Turnover Product mix Customer profile Territorial analysis Available resources
  • 12. 7. Sales contract Contracting parties Object of the contract Products Territory Market segment: potential customer base Exclusions: existing customers or large customers Contract term: temporal/ indefinite. Exclusivity: segments / sobre territorial No-competition Confidentiality Contracting parties Object of the contract Products Territory Market segment: potential customer base Exclusions: existing customers or large customers Contract term: temporal/ indefinite. Exclusivity: segments / sobre territorial No-competition Confidentiality Company obligations Functions and obligations of the agent Commissions and how they are paid Sales targets Compensation Post-termination orders  No-competition clause Motives for temination Non-transfer Law and jurisdiction Company obligations Functions and obligations of the agent Commissions and how they are paid Sales targets Compensation Post-termination orders  No-competition clause Motives for temination Non-transfer Law and jurisdiction
  • 13. 8. Guaranteeing success (I) ► RECRUITMENT PROCESS  Should be meticulous and all questions and points should be openly tackled.  Reject troublesome, over-demanding or arrogant candidates, however much experience they may have.  Check references. Speak with the other companies they represent.
  • 14. 8.Guaranteeing success (II) ► THE CONTRACT • It shoud be fair to both sides, but in line with the company's standard model: you can't have a different contract for each agent. It should not be over- generous nor over-rigourous. Never give in to unreasonable demands. • You should include a trial period of at least six months. • The contract should specify sales targets. If this is not possible, the trial period should include a plan of mandatory sales activities.
  • 15. 8.Guaranteeing success (III) ► GETTING THE RELATION OFF ON THE RIGHT FOOT • If the agent needs company training, do it as soon as possible. It is in everybody's interests to start as soon as possible and the formative period is a chance to get to know the agent better. • Answer all the agent's requests for prices, samples and information promptly. • Make a joint visit to customers during the trial period. This will give you a good idea of how the agent handles himself with customers. Don't “forget” your agents: at the beginning he is going to need all your support and a strict follow-up. It is all to easy to get tied up in the day-to-day. An agent who doesn't ask questions, doesn't phone or send mails IS NOT WORKING. An active agent will, sooner or later, will bring in the orders.