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The OEM Industry
OEM sales are a significant part of the global economy, yet by their very nature attract little attention. OEM, or original equipment manufacturer, can refer to businesses that specialize in producing parts or components that are then sold under another company's name, individually or as part of a package, or it can refer to the companies that buy such components from another party. Intel, for example, creates processors used in a variety of PCs but sold and serviced under a specific brand name. Regardless of which type of OEM is referred to, OEM sales are generally B2B sales in the middle of the supply chain.
To help your products reach the appropriate reseller in the growing and changing OEM industry, look to RepHunter for highly qualified OEM sales reps. RepHunter is the #1 place online for principals and commission-only outside sales reps to get into business together and meet with mutual success.
Did you know?
- Motor & equipment manufacturers and remanufacturers
- Automotive aftermarket suppliers
- Heavy duty manufacturers
- Wireless technology manufacturers
- Computer hardware component manufacturers
- Software providers
- and more.
40% of consumer electronics in the world come from OEM Foxconn according to Statista.
Independent Reps in the OEM Industry
It is difficult to speak of an OEM industry, necessarily, since OEM describes a place in the supply chain in a model that applies to many industries. OEM sales involve selling a product that has been manufactured to a business that can put its own brand on the product. For example, a refrigerator manufacturer like Frigidaire, for example, may sell refrigerators to outlets like Sears, who will sell the products under their own name. Sears will also provide customer service and support, and possibly bonus features. This is also referred to as a value-added reseller (VAR).
In other situations (this phrase is common in computer and IT industries), the "OEM" is considered the reseller, and not the manufacturer. FoxConn, for example, produces products for Apple, which is considered the "OEM" in this case. Perhaps in an effort to distinguish the manufacturer without using the term "OEM," FoxConn is also referred to as an "original design manufacturer." In 2011, 94% of all notebooks were designed and produced by Taiwanese OEM companies.
As a manufacturer of parts, securing contracts to provide your product to resellers requires hard-working outside sales representatives, often with a technical background. Outside sales representatives often need to have a high level of understanding of engineering plans and prints, and an ability to speak fluently about your and similar products. OEM sales reps are essential to getting your products to the resellers.
OEM sales reps enjoy a challenging career that often requires a lot of travel to visit higher-level executives at some of the world's most prominent businesses. OEM reps are often responsible for helping businesses include more of their company’s products in their line, and following major industrial sales trends.
If you are in the OEM industry and need to find highly qualified sales outside reps, sign up with RepHunter to find great commission-only OEM sales reps. RepHunter is also the best place to find manufacturers and expand your lines if you are an OEM sales rep. Get started today by clicking on one of our buttons to the right.
Find Industrial Manufacturers Reps, Boost Your OEM Sales
To succeed as a manufacturer, you need to make sure someone will use your product and make sure it is being pushed to the consumer. You need to make sure you are securing orders for new designs and new products from large companies that will order in significant amounts. To make these goals happen, you need independent industrial sales reps with technical fluency and tenacity at winning the sale.
How do you find this type of outside sales rep and dominate in OEM sales? See our tips for selecting an OEM sales rep below.
Existing Relationships in Territory
One of the great advantages an independent OEM sales rep brings to the table is their experience in a particular territory, and their pre-existing relationships. These buyer contacts enable OEM sales reps to sell multiple lines per call. If you manufacturer a certain switch that can be used in an auto repair context, they will sell this along with the popular tires they sell. Finding an OEM sales rep whose existing lines align best with yours is the key to getting the most out of your outside sales rep. Make sure the outside sales representative is not carrying too many lines, however, as you don't want your product to be overshadowed by the sheer number of products being pitched at any given time.
Market Saturation in a Territory
To find the best industrial sales reps, interview carefully. If you can offer a product in a territory that isn't saturated with competitors already, you'll see the quality of OEM sales reps knocking on your door rise. Build up sales in the market yourself but show room for growth when you are reaching out to independent OEM sales reps. Outside sales rep associations, tradeshows, and sites like RepHunter are great places to screen multiple OEM sales reps at the same time.
Experience as a OEM Sales Rep
OEM sales often take a long time to come to fruition, and to ensure that they do, you need a determined OEM sales rep that has also been in OEM sales long enough not to get jumpy at the wait. Many OEMs ask for several years of experience in OEM sales, a business or technical background (B.S. in Engineering or other relevant scientific fields, or a degree in Business) to increase their confidence in the outside sales reps' ability to carry out the long sales cycle and keep the buyer happy throughout.
Finding the right independent OEM sales rep can be tricky but RepHunter makes it easy. Sign up for RepHunter today by clicking on the button below to begin your search for the best OEM sales reps online.