IN THIS CHALLENGING economy, Corporate America is hunkering down and limiting spending on products or services that don't address critical needs. That's made it more difficult than ever for small businesses to attract and land corporate accounts. They've had to do even more prospecting – more calls, more networking, and more seeking of referrals, says Rich Isaac, president of a Sandler Training franchise in Hauppauge, N.Y., a business-development training firm for small- to medium-size businesses.
Women- and minority-owned businesses can increase their odds of winning a contract by becoming certified through the National Minority Supplier Development Council or the Women's Business Enterprise National Council. Many big businesses have so-called supplier diversity programs that specifically look for such a distinction.
But any business can get a leg up on the competition – with a little effort. Here are three best ways to land a corporate client.
1. Make sure you're reaching out personally. Glad-handing is the name of the game these days. It's more important than ever not to leave it to subordinates to secure a corporate client. Face time is how Bob Harkins, managing partner and director of sales for Cold River Vodka of Maine Distilleries LLC in Freeport, Maine, landed an agreement for his vodka product with the Four Seasons hotel in Boston. In the summer of 2008, his sales team proposed a deal but was denied. Another opportunity came up a few months later, but this time, Mr. Harkins made sure he met with the buyer himself to close the negotiation. The personal touch worked: Cold River won the Four Seasons account that same day. "There are not a lot of owners that are actively selling their own goods," Mr. Harkins says. "I definitely think that that's an important piece of it. It adds value. It adds sincerity. It shows commitment."
2. Partner with complementary businesses. Four small businesses in Chicago got together in September 2007 to form Store in a Box Associates Inc., aiming to be a one-stop shop for corporate clients looking to build out retail shops. So far, the group has had about 25 clients, from Jenny Craig and Old Navy to T-Mobile and Ann Taylor. Bruce Olans, president of Total Resource Group Inc., which provides the materials to build a retail store, made sure he partnered with firms that he could trust and could provide a crucial contribution, such as architectural drawing, general contracting and custom millwork. Each firm drew up lists of prized clients and shared them with each other, he says. As a group, they present a united front to corporate clients, who are typically used to dealing with 20 or so different vendors, and seek to undercut competitors by about 10% to 20%, Mr. Olans says.
3. Hire well-connected talent. As a result of downsizing, some small businesses are able to hire former employees of competitors who were leading and managing valuable vendor accounts, says Bernhard Schroeder, director of the Entrepreneurial Management Center at San Diego State University. "Whenever the ecosystem is disrupted, there's always an opportunity for the companies that are smarter, nimbler and more opportunistic."
Dan Khabie, chief executive of Digitaria Interactive Inc., says he has snatched more than 10 key employees from competitors. These valuable workers had solid relationships with corporate accounts that the San Diego-based digital-marketing agency wanted. "The recession has allowed us to be smarter with the types of people that we bring in," says Mr. Khabie, who cites the Atlanta Falcons football franchise as one of the company's coups. "It gives you instant credibility with the account."
Write to Raymund Flandez at raymund.flandez@wsj.com