Healthcare Industry News: HSMN NewsFeed
News Release - May 24, 2022
Recruiting Tips: Why Independent Rep Searches Are DifferentTaking the mystery out of independent sales representatives
NEWTOWN SQUARE, PA, USA, May 24, 2022 /EINPresswire.com/ -- The Healthcare Sales & Marketing Network® (HSMN) has released the following primer for manufacturers who are considering independent sales representatives in their marketing mix.
What's an ISR?
Independent Sales Representatives are known by many different titles, including ISR, 1099 Rep, Manufacturers’ Rep, Sales Agent and Distributor. Whatever they are called in your industry sector, they have one defining characteristic: they are commission-only contractors, not employees.
There are other unique features, too. An independent sales rep generally carries multiple product lines and has established "call patterns" and an existing book of business. These factors can further complicate the process of identifying and engaging reps who have just the right blend of talent, knowledge, experience and interest in a particular product line, and are not restricted by "non-compete" contracts or brand incompatibilities.
Rise of the 1099 Sales Rep
As a disruptive sales model – with potentially much lower cost to the manufacturer – the use of commission-only contractors is increasing in both large and small companies. In fact, small companies have increased their use of contract workers nearly two-fold since 2003.
This is not at all surprising in gig-economy companies like Uber, where the ratio of contract workers to employees is nearly 100 to 1. It is less obvious, but no less important, in more traditional products and services. For example, even in the medical equipment space, where clinical knowledge, experience and product training are paramount, independent medical sales reps make up a larger share than ever before of the total sales force.
Why? Well, let's do the math: If you're selling products nationwide, you might need a dozen or more reps in the field. It can cost half a million dollars or more per year to employ each direct medical sales representative, including salary, commissions, benefits, health insurance, payroll taxes, travel and other expenses. Contrast that with a commission-only 1099 rep, and it's not hard to see why manufacturers are looking at independent reps to trim their cost of sales.
ISRs Sound Perfect, I'll Call My Favorite Recruiter!
Hold on, not so fast. There are a number of reasons why Independent Sales Reps are not a great fit for the traditional recruiter model. First, most recruiters simply do not have access to a ready ISR candidate pool. Next, since independent reps are never exactly "hired," there are bound to be differing opinions about when the recruiter's fee becomes due and payable. Add to these the so-called "soft engagements," or trial relationships that may or may not evolve into a long-term sales arrangement, and it is easy to understand why many recruiters decide to take a pass on ISR searches.
Okay, then. I'll Just Google it
How about the DIY approach to finding ISRs? Does it work? Sometimes, but it can be a long, arduous path, and there is no guarantee that it won't lead to a dead end in many cases. It turns out that the best reps are too busy selling to market themselves effectively. (Fun fact: many excellent rep organizations do not even have websites.)
Technology to the Rescue
Now, if you happen to be looking for ISR’s in the medical / healthcare space, you are in luck!
FindReps® (a spinoff of HSMN) has the most cost-efficient, focused and effective technology platform for engaging medical ISR’s in the business:
The FindReps® mobile app leverages a unique model that entirely eliminates résumés from the screening process. FindReps' Mutual-Matching system is faster and much more affordable than other screening methods, and also enables anxiety-free passive recruiting.
Using the FindReps app for iPhone and iPad, you can identify, evaluate and connect with qualified medical ISR’s who have already expressed interest in your products - much more quickly and efficiently than traditional recruiting, and at a tiny fraction of the cost.
In addition to ISR’s, the FindReps platform will soon support salaried medical sales professionals – stay tuned!
FindReps is available on the Apple App Store at: https://itunes.apple.com/us/app/FindReps-2/id1202589252?ls=1&mt=8
For more information about FindReps, visit: https://FindReps.app or follow on Twitter: @FindReps_app
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Source: Healthcare Sales & Marketing Network
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