[BC] Sales practices

[Rich Wood]

------ At 12:12 PM 2/18/2009, Barry Mishkind wrote: -------

>There has been some "chat" about Anheiser-Busch's new "policy" of 
>paying in 120 (or more) days.
>
>Other advertisers are *taking* discounts after negotiating spot rates.

Yes. Now that there's only one rep firm left, it's a problem. My 
understanding is that Geico did a deal with Katz only to be asked to 
reduce the rate after the contract was signed.

>So, let me ask those of you in sales: is this Anheiser-Busch deal 
>new, or is it business as usual?

It's nothing new. When dealing with large companies most companies 
expect payment well beyond 30 days. The government is so bad that 
some companies won't deal with them. Small companies can't afford to 
float short-term loans to Gargantua International. I'd love to see 
the payment history of credit card companies. If you're an hour late 
with a payment there's a $39 fee plus the risk of an increased 
interest rate. I'm willing to bet they pay very their creditors very leisurely.

Rich