part 3 B of 7 part Case Study

1 Product development

Luxury brand Case Study

2

Notes

3

November 2012

Max Ruckman, Black & Decker HHI

Bill O’Connor, Source, Inc.

Andy Schechterman, MS, PHD

Michael Eckersley, MFA, PHD

Bruce Eckman

FRCH

Luxury Brand

Business

Development

Case Study Part 3 B

www.maxruckman.com

4

5 Market Development Expectations

6 Market Development Expectations

5

10%

7 Market Development Expectations

8 Market Development Expectations

9 Market Development Expectations

10 Market Development Expectations

11 Market Development Expectations

12 Market Development Expectations

13 Sales organization

14 First year launch

ME

NH

VT

NY

PA NJ

MD

MA C

T RI

DE MD

a

a

WA

MT

OR ID

WY

N. CA N. NV

UT CO

S. NV

AZ NM

ND

SD

NE

KS

MN

IA

MO

WI

IL

MI

MI

IN OH

OK

TX LA

FL

AR

KY

WV VA

TN

NC

SC

GA AL MS

a a

a a

a

a

a a

a

a a a a

a

Launch Target Cities a

ME

NH

VT

NY

PA NJ

MD

MA C

T RI

DE MD

a

a

WA

MT

OR ID

WY

N. CA N. NV

UT

CO

S. NV

AZ NM

ND

SD

NE

KS

MN

IA

MO

WI

IL

MI

MI

IN OH

OK

TX LA

FL

AR

KY

WV VA

TN

NC

SC

GA AL MS

a

a

a a

a

a

a a

a

a a a a

a

a

a

a a

a

a a

a

a

a

a a

a

15 Year five coverage

Launch Target Cities a

16 Sales organization

targets are based on

17 Sales organization

ONE

NATIONAL

SALES

MANAGER

18 National sales manager

19 National sales manager

20 National sales manager

establish sales

goals & review

quarterly

21 National sales manager

22 Sales organization

SALEs

CONSULTANTS

23 Sales consultants

market analysis

position strategy sales attack plan

24 Sales consultants

majority of time

showrooms

builders

architects

designers

25 Sales consultants

26 Sales consultants

events

27 Sales consultants

factory

representatives

manufacturers

representatives

architectural

sales support

28 Sales organization

Architectural

Rep

Firm

29 Architectural Rep service

reps target

architects

launch cities &

create blitz

30 Architectural Rep service

31 Architectural Rep service

32 Target customers

targets

33 Target customers

Consumers

34 Target customers

Wholesale

Distributors

35 Target customers

Architects

36 Target customers

37 Target customers

Custom Door Shops

38 Target customers

Contract Hardware Suppliers

39 Target customers

custom

home

builders

40 Target customers

41 Team approach

Team approach

42 Team approach

connect

43 Team approach

minimize

efforts on

design and

selection

44 Team approach

45 consumers

46 consumers

generate

demand

at a grass

roots

level

47 consumers

create programs

that inspire

customers

48 Distributor profile

49 Distributor profile

50 Distributor profile

proactive aggressive approach to the market

51 Architect strategy

52 Architect strategy

appeal to the desire for perfection & legacy

53 Architect strategy

54 Architect spiff program

create

architect

program to

encourage

specification

55 Architect spiff program

56 Architect spiff program

57 Architectural binder

58 Showroom strategy

59 Showroom strategy

customer service exceeds expectations

easy access for all architectural needs

limited distribution creates true partnership

60 Showroom relationship program

61 Showroom relationship program

62 Literature requirements

product brochure

63 Literature requirements

architectural guide

64 Showroom programs

custom home program

65 Custom home program

66 Custom home program

67 Custom home program

68 Custom home builder strategy

69 Custom home builder strategy

establish relationship

with custom builders &

design team to simplify

process for the builder

70 Custom home builder strategy

71 Custom home lead program

supply custom home leads

72 Showroom programs

73 Direct response program

74 Direct response program

provides instant exposure for the new concept

75 Direct response program

introduces showroom to decision makers

76 Direct response campaign

Continuing

interaction with

architects, creating

constant exposure

77 Showroom programs

historical

recognition

program

78 Historical recognition program

79 Showroom programs

web site as

information hub

80 Website assistance program

81 Website assistance program

up to date product and

promotion information

82 Website exposure program

83 Website exposure program

designers can use website for

updates & announcements such as

industry classes & new product

information

84 Showroom programs

85 Showroom training program

concept training program

86 Showroom training program

certification program

87 Showroom training program

continuing education

88 Showroom training program

Training manual

89 Showroom programs

90 Showroom display program

SHOWROOM PURCHASE

91 Showroom display program

PROMINENT LOCATION

92 Showroom display program

ADDITIONAL EXPOSURE

93 Showroom merchandising program

develop displays to showcase all product families

94 Showroom merchandising program

displays should be flexible & adapt to the many different showroom requirements

95 Showroom merchandising program

96 Showroom merchandising program

97 Designer display program

98 Designer display program

99 Designer display program

100 Showroom programs

express service program

101 Express service program

102 Express service program

103 Express service program

quick solution for

customer changes

104 Showroom programs

105 Introduction program

106 Introduction program

107 Introduction program

108 Designer relationship program

designers could use the showroom as an extension

of their business and the showroom would receive

the designers business in exchange

109 Designer relationship program

solidifies

value of

partnership

110 Designer relationship program

111 Interior designer strategy

112 Interior designer strategy

113 Interior designer strategy

November 2012

Max Ruckman, Black & Decker HHI

Bill O’Connor, Source, Inc.

Andy Schechterman, MS, PHD

Michael Eckersley, MFA, PHD

Bruce Eckman

FRCH

Luxury Brand

Business

Development

Case Study Part 3 B

www.maxruckman.com

114