In the world of sales, there are often no right answers. What would you do in this tough sales situation? Make the call below, and see instantly how your judgment compares. Final results will appear in LBM Journal. Be sure to check back next month for a fresh Tough Call.

Tough Call - Everybody Wants Raymond

A powerful company is wooing your top rep with an agressive and attractive offer.

Ever since your legendary ancestor, Shadrach Traditions started Traditions Lumber back in the 19th century, the company has remained 100% family-owned. As a fifthgeneration family member, that suits you just fine. Your father maintains the reins as president, and you’ve truly grown into your role as sale manager. Like your dad, and others before him, family members have had to work their way up—earning their place at the head of the company. For you, after spending summers working in the yard, then loading trucks, you truly came into your own as a contractor sales rep.

Today, as you near the end of your first decade as sales manager, you’re proud of the team you’ve built—and even more proud of what they’ve managed to accomplish.Despite a very competitive market, they’ve managed to beat back the competition, and maintain a healthy share of the local new construction market. In addition, your top rep, Raymond, has emerged as a double-threat. Through lots of hard work, he’s building solid relationships with the top remodelers in your market as well. Now, some of the other reps are starting to follow Raymond’s lead. All in all, you were feeling pretty good about the future. Then you got the news.

The news—that PowerHouse Lumber had purchased your closest competitor— sent shockwaves throughout your market. A well-funded chain run by industry veterans, PowerHouse Lumber has the reputation of storming each market it enters, and grabbing market share by disrupting the competition. The considerable buzz caused by this news is reminiscent of Home Depot’s entry into your market—and the fear that it would end the world as you knew it. Well, as it happened, your company actually thrived with a Home Depot just two miles away. Then again, Home Depot didn’t try to hire away your top rep.

One key to PowerHouse Lumber’s ability to hit the ground running in new markets is its policy of doing whatever is necessary to hire top reps from established yards. In your market, the rep they want is Raymond— and you’re afraid they may succeed.

While you offer everything a family business can offer a non-family member, PowerHouse Lumber is a corporation; your last name doesn’t limit your opportunities. You offer stability, a solid salary/commission package, and friendships built throughout the years. They offer more money, better benefits, and unlimited opportunities to rise within the company.

You’ve worked with Raymond for more than 15 years. Since being promoted to sales manager, you recognized his potential—and provided the training, recognition, and opportunities to help him grow. However, as long as he stays at Traditions Lumber, as a non-family member, he can only climb so high. He’s a great guy, and you consider him a friend. As his manager, it pains you to know that he’s wrestling with this decision; yet as his friend, you understand his dilemma and want the best for him. What would you do?

 

	COUNTER OFFER.
	Though he didn’t ask you to match their offer, he told you what it is. Show him how much you want him to stay by outdoing their offer.
	STAND FIRM.
	Their offer sounds great…but is the grass really greener in their yard? Raymond has a good thing going now. Ask if he’s willing to risk it all.
	CONVINCE.
	Losing Raymond to the competition would be bad for your company. You’ve got to convince him that jumping ship would be bad for Raymond too.
	WISH HIM WELL.
	There’s no sense offering more money, or trying to convince him to stay. Tell him you want the best for him, and encourage him to follow his instincts.

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