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Curled Metal Industries: Cushion Pads

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on 13 November 2013

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Transcript of Curled Metal Industries: Cushion Pads

Curled Metal Industries: Cushion Pads

CMI : New Business Model Needed
What if we do nothing?
Slip Seal demand decreases and CMI unable to sustain profitability

Another company will produce product in time to come; missed opportunity
Establishing Profit Formula
Getting the right margin to ensure fast market gain
Selling product at cost plus margin plus 'customer value
Achieving the how and what
Market Analysis ;
1) Major projects coming up that requiring piling
2) Contracting companies in running for this work
3) Locations/geographical areas where there is a number of projects and contractors in close proximity
4) Allows you to see where you need to get your sales people too; where you need to target distributors
5) Time frames and potential assessment of demand/market

CMI, Cushion Pads and Piling
Customer Value Proposition
Target audience
Job to be done
Executing Strategy
Marketing and Promotional Strategy
Final Recommendations
Game changing product
To market new cushion pads and revolutionize industry

Keep CMI profitable as existing product sales decline; Compensate loss from last year

Increase both customer and company value

Challenges and opportunities
CMI current product previously had 80% market share

Revenue reduced by nearly 10% last year

CMI have invented new product; major cost saving for customer: piling contractor

Shift in value dimension

The value of cushion pads to overall delivery doesnt exist; unbranded

Unknown demand of new product in industry

No analysis of industry taken place
What will success bring?
HIgh margin; increased revenue for CMI

Revolutionary for industry

Increased reputation and branding for CMI

4 Values
What Success looks like
How to achieve this
Developing Profit Formula
Comparing trials; Conventional v CMI

Calculating value to customer

Hourly rate calculations

Assessing margins

Reducing costs

1) Purchasing of equipment
2) Reducing the 360% overhead

Patent urgency
Distrubution Options and Stages
Direct to contractors
Hammer manufactures
Rental Companies
Hardware stores

Stages & Resources
1) 3rd party validation

2) Conventioanl Marketing & Promotional Activity
Based on Jim Harvey's speech structures
Full transcript