Futrell/Valvasori, ABC’s of Relationship Selling through Service, 5th Canadian Edition

ROLE PLAY – Follow-up and Customer Service

Deep Frying Appliances

Overview

The Moufal Appliance Corporation is a world leader in the manufacture and distribution of small appliances. Their comprehensive household product line includes food processors, toasters, kettles, blenders, coffeemakers, espresso machines, vacuum cleaners, irons, steamers, hair dryers, curling irons, etc. Their world headquarters is based in Europe and they have manufacturing facilities are in Europe, Mexico and China. They have regional offices throughout the world including North America.

You are working for the Canadian division of Moufal. The leading product category for Moufal Canada is deep fryers which represent approximately 35% of total annual corporate sales. The majority of deep fryers are sold in Canada through the mass merchandising trade channel. Smaller amounts of products are sold through department stores and specialty kitchen outlets. Recently your company has rekindled a relationship with a national retailer that had previously stopped buying from your company due to customer service issues including delivery problems such as short shipments. You realize that in order for this renewed relationship to flourish, an ongoing focus on customer service is imperative.

The Challenge

It’s now the beginning of June and you’ve recently met with the new small appliance buyer for this chain. She has given you an opening order 20,000 deep fryers. For the re-introduction of Moufal products to her company, the buyer is planning to feature these deep fryers on the front page of their national flier. The ad date has been set for October 15th and it is crucial that the products are available in all stores prior to the ad.

This particular model of deep fryer is produced in France with normal lead times of 8 weeks for the manufacture and delivery of products to the Moufal Canadian distribution centre. Products can then be delivered anywhere in Canada within a two week period. You’ve just heard about the remote possibility of a future labour disruption at the French facility. While management is hopeful of a successful resolution for the current round of wage and benefit negotiations you are concerned that if a plant strike did occur, your order delivery could be delayed. However, you are also aware that if you even bring up this scenario up with the buyer at this early stage, there is a risk that your order could be cancelled outright even though the possibility of a strike is still considered very low.

What is the best way for you to handle this situation?