For one sales manager, a diverse background in healthcare has led to greater appreciation of the challenges facing both distributors and manufacturers.
By Laura Thill
Maryellen Cullity has seen it all – or at least both sides of medical products sales. With experience in both manufacturing and distribution, as well as with national and regional dealers, the Claflin Company account manager offers a broad perspective to the industry and her customers. And, she speaks from experience when she says that the challenges distributor sales reps experience today are not necessarily tied to whether their company is a regional dealer or a national one.
“I think every distributor – whether it is national or regional – has challenges,” says Cullity. “These challenges are different by distributor, but not necessarily whether they are large or small, national or regional. If we look at the distributors who have managed to survive in this industry, they each differentiated themselves in some way, [and this is what typically impresses customers] and wins them business. I believe we are starting to see distributors focus on what they do well and expand on that. For each distributor, that could be something different.
“There will always be pros and challenges associated with all facets of our business, which affect each company differently,” she continues. “My fundamental approach, regardless of who I am working for, has been to focus on the pros and build strong relationships with customers and prospects who value what I can bring to the table.”
The manufacturer-distributor partnership: A changing tide
Cullity joined the medical products industry in 1992, when her brother – a long-term-care rep for General Medical (today McKesson Medical-Surgical) – introduced her to the company. “I stayed with General Medical through the McKesson acquisition, until 2000, when I left to have my two children,” she recalls. “My husband is a Boston police officer, so his schedule is unpredictable. I did not believe I could have raised two children while working full time.
“In 2006, I was fortunate to reenter the industry as a sales rep for Med Care Associates,” she continues. “I was blessed to shadow Jack Moran – one of the best in our industry – for eight years. Distribution was my passion, however, so I made the decision to accept a position with the Claflin Company in 2013. Claflin was embarking on a new marketing initiative – the ACO program – and I was excited to be a part of this.”
Cullity says her dual experience in manufacturing and distribution has not only “exposed me to just about every facet of our business,” but also has made her a much stronger distributor sales rep. “I understand how manufacturers work, the resources they can offer and what they can bring to the table,” she explains. “I have excellent relationships with my manufacturer reps and utilize them on a daily basis for my customers’ benefit. I do not think I could succeed without their support.”
Consolidation: a driving force
Like many, Cullity believes consolidation has been a dominating force driving the transformation of the industry, both at the customer and distributor level. “Gone are the days when you could make your milk run, befriend the nurse, and leave the office with an order,” she reminisces. “With the consolidation of our customers, we have seen the formation of ACOs and IDNs. This creates a bit of a challenge from a sales perspective, because we can no longer rely on the individual offices to partner with us. It is imperative for us to have a presence at the corporate level, meaning we must continually bring value to these business-oriented people who now place the orders.”
At the same time, the consolidation of national distributors has left fewer players in the field, she notes. “I believe we are starting to see these distributors define what has brought them to this point, focus on that attribute, and use that to differentiate themselves from their competition. Personally, I have welcomed consolidation. I prefer calling on one person who manages multiple offices vs. having to visit 20 customers in a single day. I also enjoy the C-level sell. I find it challenging, yet very rewarding, when I succeed.”
Easier or harder?
Sales reps today have it rougher – but in some ways, easier – than their predecessors, notes Cullity. On one hand, “It was definitely a much slower pace and less stressful years ago,” she says. At the same time, she recalls the physical toll of being a rep in the ’90s. “We literally would call on 15 offices a day, driving around with our huge maps to guide us and relying on pay phones to call customers back. We would start our follow-up work when we got home. The days were long.”
But in many ways, the mental stress today is even greater than it was then. “In the mid-’90s, it was common to have 50 accounts, which comprised 80 percent of our sales. If we lost one, it was not crippling. We would cold-call for a day and get a new customer. Today, when we lose one large customer, it can be extremely difficult to replace them. With consolidation, the territories are saturated with reps and it is tough to find new business. Often, we rely on a small amount of larger customers, and it would severely impact our territory if we lost even one.”
The increased competition makes it more important than ever for sales reps to set themselves apart from the pack and provide value to their customers, Cullity notes. “I think the biggest mistake new sales reps make is selling on price,” she says. “If they get an account based on price, there is a good chance they will also lose it based on price. My belief is that new reps should educate themselves before calling on a new customer. They should know what type of network they are calling on and have a good understanding of how that network succeeds financially. This should dictate what products and services they present.
“I would also stress the importance of having face-to-face meetings with customers,” says Cullity. “I still think relationship-selling exists in the alternate site market. Every time I go into an office to meet with a customer, I learn something new. It could be that I see a product I’m not selling them, or it may be something that comes up in conversation. People today are busy. They may not take the time to send an email or call, but when reps are in front of their customers, requests start coming in. We shouldn’t let the administrative obligations consume us. Calling on our customers must be a priority!”
Forever changing
A rapidly changing industry means sales reps must continuously evolve. “Although I have been a medical sales rep for quite some time, I think we define the market today much differently than we did 20 years ago,” says Cullity. “It has been very easy to stay enthusiastic, because the job is forever changing.
“I think the number one thing that has paid off for me is education,” she continues. “I am a huge advocate of educating oneself on more than just product knowledge. I have made it a habit – almost a commitment – to read at least one article each day that pertains to our business. I register for everything, from webinars and seminars to daily updates and certain companies’ alerts. If I do not know what my customers’ financial and clinical goals are, I am going to have a tough time presenting those appropriate products.” But, staying on top of what drives her customers makes it that much easier to find solutions to fill their needs. And, “the response is phenomenal!” she adds.