SEND OUT TO ALL CURRENT DAZ SALES REPS

The "Competitive Edge" Vendor Sales Newsletter: A Fun and Engaging Electronic DAZ Publishing Initiative (What Leading Furniture Industry Sales

Reps and Road Warriors Read)

Where furniture retailers ask furniture manufacturers -- "What have you done for me lately?"

"FOR INITIAL INTERNAL DISTRIBUTION -- TRAINING CLINIC MEMO / EXECUTIVE SUMMARY / COMPETITIVE ANALYSIS / TRAINING SYNOPSIS"

PREFERRED VENDOR STATUS ALERT: CALL IT WHAT YOU MAY, BUT ALBANY CARRIES LOADS OF VALUE! -- AS NEED FOR RSA TRAINING INCREASES DUE TO

AMOUNT OF MANUFACTURERS AT DAZ

Attn.: Wayne Zhang, DAZ Furniturecc: Tom Sproule, Albany Industries, Tevni Loria, DAZ Furniture, Ceil Grayson, DAZ

Furniture, Wei Li, DAZ Furniture, Milly Dimilanta, DAZ Furniture, Anna (China), DAZ Furniture

ALBANY INDUSTRIES TRAINING

PRESENTED BY TOM SPROULE, ALBANY SALES REPRESENTATIVE

01/23/15 FRIDAY

LIBERTYVILLE, ILLINOIS: DAZ SHOWROOM

(Insert Embedded Edited Video Clips of Clinic Here)

SALES SUMMARY Albany is on the cusp of breakthrough sales due to savvy buying and a value added strategy that separates Albany from the pack. Albany Industries has a snappy new website that makes dealer searches easier and highlights their most current popular product offerings.

TRAINING SUMMARY: How can sales be increased through vendor training? It is good to step back from the daily grind to assess what is and is not working. DAZ is in a mode where training of sales personnel is at a premium in order to increase sales. Sales engagement of the customer, qualification, product knowledge, and closing techniques can not be overlooked, as well as manufacturer commitment to increasing sales ability and knowledge base of employees. Many manufacturers consider this a dead area in terms of boosting sales, due to the need to retrain personnel in a transient, or otherwise non-commission, dis-incentivized workforce. Albany Industries seems to have it right in taking the relational approach to garnering sales.

BACKGROUND / SALES IMPLICATIONS INSIGHT

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Albany Industries is a value line PRODUCED IN AMERICA that goes the extra distance in offering features that bring even more value to the line, even compared with other top mid-tier brands.

FABRIC AND LEATHER KITS are made in Vietnam, Mexico and China. More of these kits are being made in Vietnam under a piece-meal labor situation instead of salaried workers. This increases incentive. At least this is the current assumption that Albany is operating under to good effect.

PULLING OUT OF CHINA FOR COMPETITIVE REASONSDue to this, Albany is doing more sourcing from Vietnam rather than China.

PIECEMEAL VS. SALARIED MANUFACTURING: This difference on the surface appears to only have manufacturing implications, but it works on the sales side as well, even down to the retail floor selling environment. It is important for both experienced and newbie RSA's to know.

CHENILLE WOVEN the better choice than polyesters that are MORE SUSCEPTIBLE TO PETS WHO JUMP AT HIGH SPEEDS

The answer to that question is: FOR YEARS. It is important to inform your customer based on the more important question -- How will it be used?

PRODUCT KNOWLEDGE TERMS

DACRON-WRAPPED HIGH DENSITY FOAM CUSHIONS are the answer to inner coil springs that eventually drill down into and through the foam encasing. The Dacron-wrapping gives a soft, comfort-layer to the high density foam.

There are two types of bonded leather. the better version of bonded leather is PADDED BONDED LEATHER.

COTTON CENTERED BONDED LEATHER is a form of bonded leather that resides as a cotton portion between the top layer and the back bonded leather.

PADDED CENTER BONDED LEATHER VS. COTTON-CENTERED BONDED LEATHER is the trade off in how these are produced. Albany is confident that the customers will be glad to know that they use a padded center bonded leather approach.

ROLLED PADDED ARMS WITH HIGH DENSITY FOAM is a very good feature to have on the arm of a sofa or sectional. Many other alternatives are constructed to where the customer can feel the wood frame. This is an inferior short-cut. Albany is committed to adding extra value to their construction.

HAMMOCK CHAISE is a recliner with no holes in the center with generous padding around the edges of the chaise in the feet and arm area and the whole exterior edge.

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FOAM COMPRESSION for Albany sectionals is 20%. It is hard to predict how long something will last as it depends on how it is used. Many customers may not reveal that they have a pet that may factor into the lifespan of a piece of furniture.

DETACHABLE ARMS make it deliverable. With the beefier sofa, a customer needn't worry that it will not fit in their living space. Albany has made their furniture with upholstery, that it is hard to notice the ability for it to detach. Since many customers face the challenge of space and fit, this is a key selling point.

REVERSIBLE CONFIGURATION (BROWN BONDED LEATHER 0275) Configurations that offer Left and Right Facing Chaises are a common question that customers have. While not all Albany selections offer this, it is important to know which ones do. For RSA's giving and answer, like "I think so.", isn't it better to memorize which ones do and don't and make it that much easier to snag a sale?

KEY DISTINCTIVE FEATURES AND SELLING POINTS OF ALBANY

BEEFIER, BIGGER, THICKER CUSHIONS are a hallmark characteristic of the Albany line. This not only carries over into the size of the living room set, such as its seat and back cushions, but to its DOUBLE-SIDED PILLOWS WITH PATTERN DIFFERENTIATION. Albany creates their sofas with the varying needs of those who use them in mind. So your wife does not like the pillow design. One easy flip can solve the problem just before guests arrive.

HEAVIER WEIGHT PILLOWS are part of the oversize nature of Albany Groovy sectionals and sofa, loveseats.

EYE APPEAL, SIT APPEAL, PRICE APPEAL These are the 3 things to focus on when selling Albany product. Take it from an experienced sales rep. It boils down to these 3 things. Keep in mind that simplicity of decision can be introduced into the multi-varied factors and the complex process of furniture buying. We are dealing with consumer preferences, perceptions, and actual needs. Highlight those things that leave with them an easily-graspable impression to increase sales and satisfaction and reduce returns.

GROOVY FABRIC (NON-STRETCHABLE WOVEN BACK), BETTER THAN CHAMPION

DIFFERENCES IN MANUFACTURING PHILOSOPHY BETWEEN OTHER MANUFACTURERS: How does Albany differentiate itself in the marketplace? Why should we sell it, or be motivated to sell it, or learn about it?

Every Albany living room set is constructed with these 3 key appeal factors in mind.BOLTED ARMS (NOT STAPLED) This is a feature that locks in the construction with 4-Bolt rigidity.

POLYURETHANE, NOT VINYL

Polyurethane, also shortened and referred to as PU by reps and catalogs, is a higher alternative than straight vinyl in terms of durability, wear ability, and overall product life. It is known to be more breathable than vinyl, and some explanation to customers about what it is

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and is not always furthers the sales conversation, and helps customers know what they are getting.

NON-BREATHABLE VINYL One of the customer feedback, or areas of knowledge that they may be familiar with, is that vinyl is said to be not breathable. Lower grade vinyl is also susceptible to peeling, cracking, chipping, and is therefore not in the same league as polyurethane.

LIQUID POURED POLYURETHANE The process in achieving the desired characteristics of PU are arrived at by liquid being poured to create the density and compression.

TRUE MOTION SECTIONAL, has no arms, and offers the customer an option to overstuffed arm designs. This kind of sectional is not to be confused with those sectionals that have arms on the loveseat and the sofa, with a wedge that can be used or taken away. Think for a moment of the benefit a true motion sectional offers in comparison by adding continuity in its visual appeal, and room to lounge between pieces.

ARGOS COVER, LIKE A CHAMPION, BUT LOWER QUALITY, than even the GROOVY fabric. If you are looking for an alternative to the good, better, best of pebbled microfiber fabrics, look to Albany's BRAHMA for the best bonded leather out there.

3 RECLINER SEATING: Not a HOME THEATER SEATING unit, but as close to one as you are going to get.

LEATHER BACKING ON BONDED LEATHER IS MASHED, SPRAYED, SPRINKLED, after glue-ing of polyurethane and cotton layers. The industry has seen a shift away from bonded leather recently from a manufacturing and customer perception standpoint. Getting leather into the definition of polyurethane has been a point of consumer confusion and manufacturing marketing magic. It is important to RSA's, according to Tom Sproule, of Albany Industries, to know and communicate when asked what makes up bonded leather and how it is manufacturing, or the process that goes into making it. While it is not necessary to mention the industry's reliance on definitions related to bonded leather, it is important to point out the advantage of more polyurethane going into the upholstery. Remember, MORE POLYURETHANE, LESS BONDED LEATHER, MORE DURABLE ON SURFACE. Don't let other manufacturers steer you wrong, the higher percentage of polyurethane is more desirable than a higher percentage of leather that is bonded, as a bonded leather with 17% leather has more thickness in its polyurethane surface than a bonded leather with a 46 % bonded leather.

It is interesting note that this seemingly established and accepted assumption base is a furniture oxymoron similar to the current market feedback that inner-coil springs are less desirable than foam compression due to springs working themselves through foam encasement layers. So while inner coil springs by themselves

Albany has three different colors and coverings ( Como Grey BL, Amarillo Burgundy BL, and Beige Fabric) of its popularly-priced 8679 L-shaped sectional that offers a sit in which one can settle into because of the pillow top foam layer and the base layer of coils, which in effect create two layers offering support and comfort.

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Tom introduced also a good way to sell living room sets by showing how the top RSA sell living room sets by asking the customer to cozy up with the RSA next to him or her on a recliner. This side to side selling style has been proven to work, as it is less confrontational, and more collaborative. To all RSA's, take it from Tom, the next time you are in the midst of a sale, and are relying on old habits, break out of your comfort zone, and invite the customer to in essence snuggle up close. This according to Tom is how to sell furniture, and how to ensure you do not have customers coming at you with canes later.

OVERCOMING CUSTOMER OBJECTIONS CLINIC

Mr. Sproule treated the DAZ staff to a textbook clinic on how to overcome customer objections. While retailers are not in the business to side against the customer, as they are after all customers who make the business run, there is always the opportunity to further educate the customer on the finer points of the product or the policies and procedures behind a product. While the customer who is dissatisfied has the right to air their grievances, this does not mean that well qualified pushback is out of order. It is not a matter of keeping customers in line, but it is more of the necessary skill of tact and persuasion that can be utilized to resolve a problem at its inception, to minimize a more protracted entanglement. If this sounds strategic speak, it is the voice of experience. Once customers find a perceived wrong, they are more likely to find other perceived wrongs. This is only human nature. And as we all know, and have experienced with Tom's demonstration, customers will back down with firm, confident reasoning and product knowledge being imparted to them. Remember, we are all professionals. It is up to treat our customers with respect and tact, but that does not mean they can run rampant with complaints that do not have a rationale to them. Mr. Sproule demonstrated to the staff that sales reps do not have to be cagey with customers, just confident. It goes to the old salesperson's adage, "You must believe in the product."

All Albany Living room sets come with a WARRANTY including a:2 YEAR SPRING2 YEAR MECH.1 YEAR ON THE REST

CONCLUDING KEY-TAKE-AWAYS

HOW IS ALBANY INDUSTRIES OFFERING MORE VALUE THAN OTHER FURNITURE MANUFACTURERS?

It goes beyond just having a good buyer and a good product mix, although floor presentation is important. Tom encouraged us to move the blue Albany loveseat and sofa with the MP3 capabilities closer to the Albany 5-seater sectional. In the heat of the moment, during a sale, the customer can easily have comparison with a nearby, associated model from the same manufacturer. So, Tom encouraged us to consider our floor sets.

PARTING SHOTS: Buying Ford Trucks and Furniture in An Age of Disposable Price Points

(Embed Video Portion Here)

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Key Word Tags: ADDED VALUE MANUFACTURING; SALES FORCE TRAINING; PRODUCT DIFFERENTIATION; STRATEGIC SELLING; CUSTOMER COMPLAINT RESOLUTION; OVERCOMING OBEJECTIONS; DUNKIN DONUT AND CHRISTMAS COOKIE FRIENDLY SALES REPS

Thank you, Tom. For a productive clinic, helping us sell more swivel pods as must-have, but often overlooked add-ons, and for stepping up to the training plate as a sales representative. But, bring the coffee, next time!

Next Month's Sales Rep's Up: "SELLING FURNITURE TO A CULTURALLY DIVERSE AMERICAN PUBLIC -- SELLING STYLES, EXPERIENCES, AND STRATEGIES"

Any takers?

Actual Word Count: 2282Total Word Count Goal: 2500

Date: January 26, 2015

Purpose: For training archives (otherwise known as "corporate memory", or You-Tube website video (edited for audience)

Writer: Mark Miller

Time Off the Clock: 1 hour, January 26, 2015Start Time: NoonEnd Time: 2:30 PM

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