Each distributor has their own unique way of running their business, and that’s certainly the case with SP Tools USA’s National Sales Manager, Jeremy Landry, and the owner of Monkey Tools, Wayne Liebnitzky. Though each business is doing things their own way, they both have at least one thing in common — working with ISN, a leading independent automotive tool wholesale distributor.
A new kind of mobile tool distributor
The name SP Tools USA might sound familiar to you, and if “tool brand” comes to mind when you think of them, you’re not wrong. This brand has been around for nearly 60 years and is well known around Europe and Asia. In 2018, SP came to the U.S. and has recently started setting up their “master distributor model.” This is a bit different than the franchise model used by the flag brands.
With the master distributor model, instead of one person running their own truck through a specific flag, SP is looking for someone who wants to run a larger-scale business.
“What we do is we give them a larger geography, which allows them to grow,” explains SP Tools USA National Sales Manager, Jeremy Landry. “We want someone to take on a large metropolitan area, or in a lot of cases, in the rural states, we give you the entire state. But what we want in return is for you to maximize that territory and maybe run a fleet of tool trucks. Twenty to 30 tool trucks in that designated area.”
This model also extends past tool trucks to brick-and-mortar, retail customers, and regional sale accounts, Landry continues. Additionally, e-commerce-wise, as a SP master distributor, you get credit for every sale that ships into your territory.
A “bring it to you” business
Landry notes that they fully train their incoming distributors on SP’s business concept and how they can go out and execute that concept.
“What I mean is we know that our business model is a ‘bring it to you,’ for lack of a better term, sort of business. So, we want to bring you the best tool truck with the best inventory, and when we get to your shop, we want the technicians to have a reason to get on the truck, right? So we're going to be consistent in our approach. We're going to be there every week. We're going to have a truck full of inventory, and we're going to have lots of sales and promotional items for you to look at.”
From there, he continues, saying that every customer will be walked through three to five promotional items every week. They want to be sure they’re creating those impulse buys to go along with any needs the customer has when stepping onto the truck.
The one-stop shop
Though SP Tools has their own core brand to rely on for many of the tools and equipment their customers need, there are still spaces in their inventory that need to be filled, and that’s where ISN comes in.
Landry notes that the largest benefit to working with ISN is that they’re a “one-stop shop.”
“If you desire it, they've got it. If they don't have it, they'll be able to get it in a very short time period,” Landry says. “But for us, that's the most valuable thing is that they've got it all. If you're going to be in this business and you need it, ISN’s got it.”
Specialty tools are the biggest space ISN helps SP Tools fill. Some of the most popular brands they utilize from ISN are Power Probe, Lisle, and OTC.
Another benefit of working with ISN is their regional salesperson, Mike Gonzalez.
“He is absolutely fantastic,” Landry says. “Mike and I communicate daily. He's been really good at constantly supplying us with the latest and greatest tools, information, what's on sale, what's on promo, what's the old inventory that's got to go, and just constantly feeding us the information that we need. We’re very thankful to have him.”
Monkeying around
Liebnitzky’s business is a whole other barrel of monkeys. In 2006, he started as a franchise distributor, and then, though the timing wasn’t ideal, in 2020, he became an independent. At the time, he had three trucks running routes through Florida – Saint Cloud, Kissimmee, and Orlando.
Though he still has three trucks, Liebnitzky is only running two. He’s working through the arduous task of finding a third person to run that truck. In the meantime, he and his other driver, Jeff Jennings, absorbed the third route into the two of theirs.
“I still have the truck. I keep it in shape, ready to go at any given time, and well, at this point, because business is really picking up, I'm really looking at it,” Liebnitzky says. “But once again, it's about finding the right sort of individual that can represent you in the best way possible with the philosophy that I put in place.”
Selling your personality
A large part of Liebnitzky’s selling strategy centers on using your personality to make the sale.
“The bottom line is personality,” he explains. “You have to be there to work with technicians. Understand, the technicians are not getting their full paycheck, so you're not trying to stretch it all out there and make some ridiculous weekly payments. When these guys can't afford it, don't put them in that situation because they feel uncomfortable. You've got to make your customers feel comfortable, [and] they'll shop with you.”
Humor is another way Liebnitzky connects with his customers. He often has milk bones for any dogs on his route in his pocket, and he likes to make a joke with his customers asking if they want him to throw them a bone, and when they say yes, he’ll throw one of the milk bones.
“I have different props on [my truck], you know, like wigs or stuff like that,” he says. “If I go into an older shop, I'll wear a Rod Stewart wig, and I'll imitate [him]. It's entertainment, remember? You have to entertain. Make your presence welcome.”
A “we” process
Though “independent” implies working solo, Liebnitzky has great support from ISN. It’s not only that “well over 50 percent” of his inventory comes from them, but it’s also the information they provide that helps keep him in the know about new tools and equipment. He notes that their flyers and website offer a lot of information.
The flyers are dual-purpose and help give him a competitive edge. Much like his competition, Liebnitzky uses the flyers to educate his customers on new products and promotions. Sometimes he and his competition have the same new products, but with the flyer, his customers can see who has the better deal — Liebnitzky or someone else.
To put his orders in, Liebnitzky turns to Barbara Wilson, his ISN sales rep.
“I have [Barbara] on speed dial. I text her whatever I need,” he says. “Sometimes I gotta call her because maybe I'll have four or five guys in the truck, and I just don't have time to sit there and look something up. Otherwise, I'll lose my audience. She'll stay with me on the line for that sale. It's almost like having a second individual on the truck with me. She is a tremendous asset.”
Liebnitzky sees his ISN team like family, and he looks at the big picture of what a sale means for all of them. He knows that when a customer buys an ISN product from him, it’s really a sale for both of them — “that’s why I say it’s a ‘we’ process.”
More than a partnership
As a mobile tool distributor, whether you’re with a flag or work as an independent, you rely on the companies that provide you with the tools you need for your customers. But it’s more than that — you look to these companies for deals, financing, marketing assistance, and ways to make your job easier. This relationship should be more than just a partnership because your success is their success and vice versa. ISN is a company that works to offer all these qualities and more.
Ed Haire, ISN territory sales manager, believes that what sets ISN apart from their competitors is the longevity of their inside and outside sales crew.
“There is a lot of [the crew] that’s been here for 20 to 30 years,” he says. “We've all built good relationships with our customers.”
In addition, he notes that ISN probably has one of the biggest tool shows in the industry.
“We have a tool show every year,” he says. “Most people can't wait to get back. Instead of us calling them when it's time to register, they call us, ‘Hey, when's the tool show?’”
Lastly, Haire lists the exclusives ISN receives as setting them apart.
“We get a lot of exclusives,” he says. “Manufacturers will give us the exclusive on a first-to-market [product].”
Promotions
To help distributors get the inventory they need, ISN offers many different promotions.
“We have different promotions that we run,” explains ISN Inside Territory Account Manager Barb Wilson, “and I would say that the time frames are different on all of them. We have promotions that run for the quarter, we have ones that run for a month. We'll have ones that run for a week, and then we'll have quick daily ones, or while supplies last, and they barely last a day.”
Accessibility
When a customer orders a product, it’s often not something that can wait. Likely, they are in the middle of a job and need that tool as soon as possible. ISN has seven distribution centers across the U.S. to help combat long shipping periods. Also, if a distributor lives nearby and has the time, they can go to the distribution center and pick up what they need.
Marketing offerings
Knowing what’s new, what’s available, and what promotions are happening are key pieces to cultivating an inventory that suits all your customers’ needs. ISN’s website, ToolWeb.com, offers much of this information.
“You can gain information on what vendors we carry, and what items from each vendor we carry,” says Wilson. “We also have where you can change the pricing to where you can see what your price is as a mobile tool dealer, or you could change it to retail so you can share that with your customer.”
Additionally, they have quarterly printed publications, seasonal flyers, and frequent emails to keep distributors updated on what’s new with products and promos.
Financing
Large purchases can be intimidating for both you and your customers. Financing can help. ISN has two companies they work with for financing.
“Basically, we give the information to the [distributor], and depending on what [they’re] doing, whether [they’re] trying to secure a big order from the show or from us, [they] can go through those two options,” Haire states. “Or if it's an end user trying to buy some capital equipment, [the distributor will] give [them] those two options, and they work through them and get up a lease or a loan type, and then we proceed with the order after that.”
Quick tools
The day-to-day chaos of a distributor can make remembering and placing orders feel overwhelming. ISN offers two tools to help with this. Text for Pricing and Quick Order.
Text for pricing is simple. Distributors sign up to be a part of the program, and once their number is in the system, they can send a text with a part number and the system will come back with if the product is in stock, where it’s in stock, and prices for a 30, 40, or 50 percent mark-up.
For Quick Order, distributors fill out a form similar to an Excel sheet with all the products they need for the day or the week, and then they can upload this form on Tool Web, and the products will automatically get pulled into their cart. After that, they update how many of each product they need and send the order on its way.
Wilson notes that a “quick order” can be done another way. Sometimes it’s easier for the distributor to call or text their sales rep with the order to have them place it and get it done right away.
Benefits of the Freedom Program
The ISN Freedom Program is designed to empower experienced independent mobile tool distributors with comprehensive support, including sales, marketing, purchasing, and financial assistance.
“The Freedom Program is support for one,” says ISN Inside Territory Account Manager Barb Wilson. “Number two is communication, and number three is value. It provides the independent dealers without a flag, a really, really robust program, a solid foundation.”
ISN Territory Sales Manager Ed Haire also notes that the Freedom Program is exactly how it sounds. It’s non-restrictive for distributors meaning as an independent, you stay independent.
“We also offer software management that keeps up with your inventory, helps you order inventory, keeps up with [product] defects, and all that,” Haire says.
The Freedom distributors also have their own quarterly rebate program as well as exclusive promotions available only to them. Wilson notes these benefits are “key to the Freedom dealers’ business,” giving them a competitive edge over other mobiles.
To help facilitate networking between independent distributors, program members gain access to a closed Facebook page and a dedicated booth at ISN’s Tool Dealer Expo. The booth also offers sample tool truck staging, exclusive raffles, and networking opportunities with refreshments.
Last year, ISN added an enhancement to the program where field sales representatives accompany existing program members in the Southeast. The representatives conduct product demonstrations, support promotional efforts, and provide marketing and sales assistance to Freedom dealers.
Additional program features include —
- Highlighted suppliers each month
- A dedicated freedom dealer board
- Freedom University for independent dealer training
- Resources such as videos and business articles
- A decal, sticker, and swag program
- A product demo initiative
- Mobile-specific retail sales flyers
Freedom distributor, Wayne Liebnitzky, says, “The Freedom program is such a huge advantage that anybody who's an independent that is not in the Freedom program should check it out.”
About the Author
Emily Markham
Editor | PTEN and Professional Distributor
Emily Markham is the editor of Professional Tool & Equipment News (PTEN) and Professional Distributor magazines. She has been writing about the automotive aftermarket since 2019, after graduating from UW-La Crosse with a bachelor's degree in English. During her first three years with Endeavor Business Media's Vehicle Repair Group, Markham also wrote for Fleet Maintenance magazine.