Marketing Programs

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Marketing Programs Care more than others think is wise Risk more than others think is safe Dream more than others think is practical Expect more than others think

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Marketing Programs. Care more than others think is wise Risk more than others think is safe Dream more than others think is practical Expect more than others think is possible. Agenda. System Pricing Non-Standards Third-Party Products Packaging Literature Program Promotions. - PowerPoint PPT Presentation

Transcript of Marketing Programs

Marketing Programs

Care more than others think is wiseRisk more than others think is safe

Dream more than others think is practicalExpect more than others think is possible

Agenda

System PricingNon-StandardsThird-Party ProductsPackagingLiterature ProgramPromotions

Pricing Philosophy

Increase Prices Over Several YearsDirect, Distributor, and National Accounts Justified and Achievable

Protect Distributor MarginsMaintain/Increase Spread Increase Direct Pricing First Increase Install and Service Pricing

Impact Market PricingKey Technology DevelopmentsDirect Area Pricing Strategy

Distributor Cost and Consumer Price Index

-5%

0%

5%

10%

15%

20%

25%

30%

35% CPI

SGXS

OHD

Distributor Costs

Jan, 1997 Jun, 2007

Jun, 2006

Ryko Price Increases

Aluminum Up 60% since 2005Fuel Up 50% since 2005Most manufacturers have

increased pricing (PWC Manufacturing Index)

2 Year Pricing Changes

Platform Ryko Distributor

SGXS 14% 7.5%

OHD 11% -1.4%

S-A-W 19% 8.0% Conveyor 13% 3.4%

Self Serve 7% 1.8%

~13% ~5%~14% ~7%

Net Change - JuneNet Change - Sept

Price Increase ImplementationDirect Areas

Order by June 9, Ship by June 30Distributor Areas

Order by June 30, Ship by July 31TouchFree

5% Increase in Direct AreasNo Price Increase in Distributor AreasExpect 4% Price Increase with New System

Distributor MarginNow Standardized (By Line Item)Will be able to add service, chemicalsWill continue to offer No Payment for 180 Days

Touch-Free Pricing

TouchFree % ValueList/Direct +5% +$5,000

Distributor Cost

-7% -$3,750

Direct AreasHave Increased List/Direct Pricing by 5%

Distributor AreasHave Increase Distributor Margin 7%Net 5% Reduction in Distributor Pricing

September, 20054% Increase Direct, National Account,

Distributor

National Account Pricing

Increased Standard PricingSGXS 9%, OHD 6%

Standard 15% from New ListIncreased Installation Pricing

30% increase to 6.5% of ListImplementation

One Account At A Time

June, 2006 National Account Pricing

Platform N.A. Distributor

SGXS 9% 3.5%

OHD 6% -5.4%

S-A-W 15% 4.0% Conveyor 9% -0.6%

Self Serve Eliminate

1.8%

~8% ~2%Net Change - June~9% ~3%Net Change - Sept

Non-Standards

Aggressive Innovation ProgramFriction, Touchfree, Conveyors,

ActivationNecessary to Manage Non-Standards

Marketing Manager ApprovalBefore Offering to CustomerRequires Rich Grier and Tom Swalla

Support (Marketing manages this)

Third-Party ProductsTotal Source

PartnersFully Engineered

Unique Solutions Integrated with Ryko

SystemsFully Supported

No Pre ApprovalPricing EstablishedSupported In FieldTo Be Listed on Ryko

Price Lists

Hosted Data Collection Solution

Mag Card BasedRyko’s Only Mag

Card Based Loyalty Program

New Wave (Pur-Clean)Ryko Solutions Designed for Ryko Washes

But – Often Different Than Other Systems

Remove Major Conversion HurdleWater Recovery, Odor Control, and Spot-

FreeWill Continue to Offer Both SystemsWill Improve Pur-Clean Support

Fully Documented, Ryko Part NumbersAvailable in Ryko Price List

Other Third Party ProductsPreferred Process

Distributor Buys DirectRyko Provides Necessary Support

Alternate ProcessHandle As Non-StandardPre Approval (Before Offering to Customer)

Issues to AddressTermsPayment InstallationWarranty

Other Reclaim SystemsHamilton ActivationPet WashNon-Ryko VacuumsUnique SignageEtc.

Spring PromotionPROS

Total OfferingEasy to Order

Chemical, Services

No Payment for 180 Days

Net Pricing

CONSPackage PricingManual

ProcessingSimplistic

Chemical PricingNot Set Up for

Contract Renewal

System Packaging - SGXS

System Packaging - SGXS

Off-Board Dry Deluxe Advantage

Ultimate

Price $69,923 $89,885 $112,213

Part Number

##### ##### #####

Discount 2% 4% 6%On-Board Dry Deluxe Advantage

Ultimate

Price $TBD $TBD $TBD

Part Number

##### ##### #####

Discount 2% 4% 6%

Package ProgramIncluded

All On Board FeaturesNot Included

R/O, Reclaim, Doors, Dryers, Signs, Frost Protect

Order As NeededChanges and Deviations

Not Necessary, Not Allowed

Package Program

Distributor PricingStandard Discount Structure2%, 4%, 6% Discounts

Package ImplementationSGXS (June, 2006)Signature Series (July, 2006)

Part Number ImplementationLiterature and Documentation

TouchFree (September, 2006)With New Product Launch

Selling Services (Direct)Service Part NumbersPre-paid, Monthly, Cents per WashAdd to Any Quote, Order

No Package Discounts

Selling ServicesS

erv

ice P

rice L

ist

Service Sell Sheet

Chemical Price List (Direct)Part

Number

CPW Price

C027 $.27/Wash

C032 $.32/Wash

C044 $.44/Wash

C057 $.57/Wash

C085 $.85/Wash

C108 $1.08/Wash

C113 $1.13/Wash

Etc. As Needed

Chemical Part NumbersCents per Wash PricingAdd to Any Quote, OrderChemical WorksheetsStandard PricingSupport Process

No Package Discounts

Literature Program

Available for DownloadOrders for 20 or Less – No ChargeLimited to .25% of Quota

Example $1.5M Quota = $3,750

No Payment for 180 DaysLeasing Partners Have Special

RatesBased on 2.5% Ryko SubsidyFinancing Not Available ElsewhereAny Package with RolloverRyko Pays 100% of Costs (2.5%)Extended Through September 30

SummaryAre Increasing PricesAre Working to Protect MarginsStandardized DiscountsMore System FlexibilityEasy to Order Packages – DiscountedNo Charge for Basic Literature

ProgramNo Payments for 180 Days Continues