The steel business is like no other. With huge volumes and excessive competition, you must be on top of everything to run it successfully. There can be a lot of challenges as the business is impacted by everything that goes around globally politics, economy and demand. With huge amount of money and jobs on the line a lot depends on the steel sales team. If the company has a good sales team with a well defined structure to ensure good sales, there will be enough for the company to make money and for everyone to keep their jobs ongoing.

Learn about Your Customers when you initiate steel sales:

The first step to success in steel sales is, understanding your customers. Each company will have three distinct set of customers.

  • The large customers, these will be big corporations that contribute to nearly half your sale but will be only 8-12% of your clientele.
  • Then you will have your medium customers, these will usually be affiliated to your company for years but will order time and again in smaller quantities.
  • Finally, the last set will be the one-time buyers or customers who buy once or twice a year.

You will have to develop your sales strategy on this understanding of the customers. It would be better to invest more time behind the large customers and then do a periodic visit the middle set.

Sales Strategy if you are bent on selling steel as a product:

Now that you have a clear understanding on how many customers you have in each segment, you must plan things with more precision.

  • You must understand the while purchasing steel most companies will float a tender and try to get a quotation. So, maintaining good rapport with the purchase team is very important.
  • Based on your location and the client location, you can start planning a monthly visit to the bigger clients and then meet the medium client if they are available and in the location where your bigger clients are based.
  • Do a quick check on the cost incurred for the total visits and the amount of revenue you will generate in business. This allows you to determine the ROI and thus develop an effective sales strategy.

The strategy also would involve giving specific roles to team members. Not one person can do all the meetings and maintain all the relationship with various buyers.

In steel sales, there are usually territory managers and you must divide the visits and meetings accordingly. While the bigger clients need to be visited by someone senior in the team, the small and medium clients can be managed by associated or younger managers.

Collecting necessary Data about steel sales:

A very important part of steel sales is data collection. In your meetings make sure that you can get projections and data from your clients.

  • Since the industry is driven by a lot of global factors, all purchasing companies would have a forecast for the near future.
  • Once you have more data, you will be able to understand the buying pattern among companies for the near future and so you can make the necessary changes to your sales strategy accordingly.
  • There are different varieties and gradation of steel and depending on these you need to build a reliable customer base. You can go through different steel sales portal and know about the techniques of manufacturing and what are the special qualities that you find in diverse types of steel products.

Steel sales is like no other and while the basics can help you with running a team correctly, experience and trial and error will be the best help you can get for yourself.

Published by Zac Ferry