When it comes to buying office products, there seems to be more choices than ever before. Office supply chains operate supersize stores in hundreds of locations around the country. Online retailers allow you to shop from your desktop or even from a notebook computer or other portable device. Large
But local dealers still have their place. For a number of reasons, many businesses opt to buy their office products from a local independent office products dealer.
That's the situation for the DEVON Group, a public relations firm based in Shrewsbury, NJ. The firm recently changed its supplier from a major national retailer to a local office supply dealer. "They deliver, and they bill to our corporate Amex just like the national company," says Jeanne Achille, president and CEO. "Plus, we're supporting another local small business."
According to Achille, a major plus is the ability to connect with real people over the telephone instead of going through an automated system. She notes, "It's great to be able to call the people who can answer questions such as 'Is that binder flimsy or substantial? Is its burgundy color more red or brown? We're going to use it in an important new business meeting. Would you use it or do you recommend substituting something else?' "
Proximity is another important consideration. "Many times, they can deliver to us within an hour versus a day or more [that it would take] the national company," she says. "This can be very helpful to a smaller company that needs extra arms and legs, especially for rush projects!"
OVERALLVALUE
Although it might seem that large chains or online retailers would have unbeatable positions, local dealers can be surprisingly competitive, according to Dan Garvey, sales manager for Garvey's Office Products in Niles, Ill. "When I explain that I work in my family's office supply business, I'm often asked how we can compete against such large competition," he says. "That large competition has spent a lot of money to create the perception that nobody can compete on price with them, but perception truly isn't reality. As part of a $13 billion independent office supplier buying consortium, we not only compete, but beat them in most cases."
Garvey says that not only does this buying group level the playing field when it comes to cost, but that local dealers also provide top-notch service. "The big box competition can't touch what we can do on a service level," he says."When customers take the time to look past fancy advertising campaigns and catchy slogans, they realize the local supplier provides the better overall value."
Service can be especially important when it comes to buying or leasing copiers, printers, or other equipment. "When making a multifunction product (MFP) purchase, using a local provider is absolutely necessary, except for manufacturer-sponsored programs," says Larry White, vice president of sales for Toshiba America Business Solutions Inc. (TABS). "Using a local provider gives the end user more control over the level of service received, which is a critically important component of the purchase. In today's consultative selling process, a local vendor will be able to better assess the customer's needs many times over."
Chuck Hellar, president of Chuckals Office Products in Tacoma, Wash., says that local dealers often suffer from what he calls "small business prejudice," and he feels many commonly held opinions are unfounded. "It is often assumed that our prices are higher, and on a specific product, that may be the case," he says. "But if you look at a number of products, the difference will be only 2-3 percent higher or lower; and in many cases, we are lower. Additionally, we maintain our prices, whereas the big box stores increase their prices frecpiently."
ECONOMIC IMPACT
Shel Horowitz, author of Principkd Profit: Marketing That Puts People First and a member of the Business Alliance for Local Living Economies, says businesses that deal with other local firms help contribute to the economic vitality of the surrounding area. This, in turn, can be good for all concerned.
"If your office product purchases help to keep downtown thriving, more people will come to your own business," he says. In addition, such support may lead to other positives.
"It's much easier to build a relationship with a locally owned business, and that can lead to creative partnerships and co-marketing," Horowitz says. "For example, a local restaurant owner might work out a promotion with the office supply store around back-to-school time."
Another plus is the status of local firms as valuable employers. "Local independent companies, such as mine, employ a whole host of other local independent professionals," says Joe Williams, vice president/owner of Mon-Valley Office Equipment in Charleroi, Pa. "For example, I have a local accountant, a local attorney, and a local insurance agent. These are professional-paying positions, not eight-dollar-an-hour jobs. These folks exist because of me and other local independents. It's money circulated locally."
Hellar points out that a number of studies have supported the value to local economies in buying locally. "All the studies indicate that from 45-68 percent of purchases bought locally stay in the community," he says. "When you consider the economic indicator that says money spent circulates seven times, it's obvious that this represents a large, lowcost economic benefit to the community."
RAPID RESPONSE
In cases where time is limited, the local angle can be especially important. "Quick turnaround time, in cases of short deadlines, is one of the benefits of buying locally," says Robert Shipman, vice president of marketing at Instant Imprints, headquartered in San Diego.
He tells of an incident that happened shortly after 9/11. The San Antonio Spurs were scheduled to play at the Alamo Dome. At that time, the city and the NBA had added new requirements for inspecting every bag going into the Dome. New directional and informational signs were needed for the fans. This required a lot of signs and frames beyond the inventory of the area store.
"The local Instant Imprints franchisee was able to mobilize resources and vendors almost immediately to get the job done," Shipman says. "It also helped the store owner to work on a trust basis with the customer, even without a purchase order or estimate." In this case, the store owner worked with the customers on the text design before it was finalized and began developing the materials in order to meet the tight deadline. The text was designed and the materials received in time for the game. "This could only have taken place on a local level based on a common trust between the local business and the customer," Shipman says.
KNOWING YOUR NEEDS
At their most basic, local connections can mean the kind of familiarity that leads to comfortable working relationships and service based on your specific needs. And sometimes, it's just a matter of plain old good advice.
"I had a client who experienced a laser printer jam," says Bob Phibbs of Long Beach, Calif., who bills himself as the Retail Doctor. "We thought it was the printer and were about to replace it, when the representative from the local office supply house explained how the cheaper paper from the big boxes was too thin and often jammed the printer at a certain point."
Simply switching to a better grade of paper solved the problem. "We might pay a bit more for the paper, but in the long run, it would be better for the machine and the business," Phibbs says. "It was a classic case of being pennywise and pound foolish."
Certainly, the potential to develop ongoing relationships is a strong point with local dealers. So, before you assume the big box stores or online retailers are the best sources for your office needs, consider your hometown, local provider.
FORMORE INFORMATION
For a listing of helpful reading material, see the Recommended Reading pages at the Website maintained by the American Independent Business Alliance (http://amiba.net/ recommended.html).
The site lists books such as Stacy MitchelTs The Home Town Advantage, Al Norman's SlamDunking Wal-Mart, and Eben Fodor's Better, Not Bigger. It also provides links to a number of studies on the benefits that -independent businesses provide to their communities.