Cutting Edge Newsletter November 2008
|
|||||||||||||||||||||||||||||||
|
The WMMA has been undertaking a major and unique effort in India for the past two-plus years, mostly funded on a pilot basis by participation fees of willing WMMA members. In September 2008 the WMMA voted to provide a loan as seed funding for the program, now called the American Center for Wood Processing in India. In October the U.S. Department of Commerce awarded the WMMA $183,000 in matching funds and committed to in-kind services to further kick start the effort. Click here to read the press release. We are now opening enrollment to the American Center to all WMMA members and the industry as a whole. So far, 10 WMMA members have become members of the American Center. The following is a summary of the project and an overview of the dynamic Indian woodworking market. If you want more information, please visit the members' only area of the WMMA website, http://www.wmma.org/members/imp.cfm, where you can sign up to be a member of this exciting venture and learn more about India's woodworking market. You can also contact Harold Zassenhaus, WMMA Export Consultant, (301) 652-0693, zemg@erols.com or American Center Chairman, Ken Anselm, (270) 665-5302, ken@westerncutterheads.com. |
The American Center for Wood Processing Pvt. Ltd.
In a nutshell, the American Center is your marketing and sales organization in India. Its purpose is to market, sell, warehouse, demonstrate, service and maintain your equipment in the Indian market.
The Center will be a for-profit venture, owned by the WMMA, whose direction, operations and profit distribution would be determined by the participating members through a board of directors made up of participants and a WMMA representative.
We are in the final stages of setting up a company (Private Ltd.) in Bangalore, India, and renting a 2,200 square foot facility. We have hired two staff members, a country manager and marketing assistant, whose sole objectives are to get you into the market effectively and for the long term. We will be hiring service engineers as needed. The effort will be administered in the U.S. by Harold Zassenhaus with oversight and support of the Center's Chairman, Ken Anselm.
The American Center for Wood Processing in India will contain the following facilities and provide the listed services:
A Building with:
The Center will be bringing U.S. participants to the Indian market by:
The Center will be bringing Indian buyers to the U.S. by:
The Cost to You
Participating members would commit to a three-year contract requiring:
| Service | Fee1 | Includes |
| Warehouse space | $0.75/sq.ft./mo. | Locked and secured |
| Office space | $0.95/sq.ft./mo. | Furniture |
| Demonstration space | $0.75/sq.ft./mo. | Electrical, air and dust collection, (connections not included) |
| Service Technicians | $10.00/hr. | Technicians are shared with other members; trained by members and billed on an hourly basis. |
| Sales staff (dedicated) | At cost + 10% Admin Fee +10% commission on sales |
Hiring of dedicated sales staff. Commission is reduced from 15% of sales to 10% or as deemed appropriate by the Board. |
| Logistics Support | At cost + 10% |
Customs clearance, in country product transportation. |
| HR proxy hiring | At cost + 10% | |
| Outsourcing | At cost + 10% | Search/identification of possible candidates. |
Why India: The Market in Brief
India has been one of the largest, fastest growing, English speaking markets in the world for the past eight to 10 years chiefly due to the opening of the market by the Indian Government, rich raw resources, a manufacturing base and educated labor force.
As with just about every market (including China) the financial crisis and the U.S. recession is causing a slowdown in the Indian economy. The IT and call centers have been affected as have industrial and retail industries. However, the economy will bounce back (some say faster than in most countries) and the premise for growth in the woodworking sector is the same.
The market in India for U.S. equipment is very good for the following reasons:
The last point cannot be underestimated and is a cornerstone for the development of the American Center for Wood Processing. Based on market research, in-country calls on woodworking plants, and participation in two India trade fairs, we estimate there is a two- to four-year window of opportunity for many U.S. firms. To be successful, the U.S. companies will have to have aggressive marketing, sales and service capacity in country. Many U.S. firms are incapable of providing the needed capital up front to develop the capacity or hire the expertise. A collective approach with technical and financial support provided by the U.S. government and the WMMA could enable U.S. firms to enter the Indian market on a solid foundation. The American Center for Wood Processing, directed by the participants and professionally administered, is the answer.
Sales Forecasting Tools
WMMA Fall Report from ITR
U.S. Leading Indicator - September 2008
The leading indicator signal is negative.
Gross Domestic Product - Third Quarter 2008 (Advance)
Real gross domestic product - the output of goods and services produced by labor and property located in the United States - decreased at an annual rate of 0.3 percent in the third quarter of 2008, (that is, from the second quarter to the third quarter), according to advance estimates released by the Bureau of Economic Analysis. In the second quarter, real GDP increased 2.8 percent.
Manufacturing Shipments, Inventories and Orders— September 2008
New Residential Construction—September 2008
Privately-owned housing units authorized by building permits in September were at a seasonally adjusted annual rate of 786,000. This is 8.3 percent (±1.6%) below the revised August rate of 857,000 and is 38.4 percent (±1.6%) below the revised September 2007 estimate of 1,277,000.
Purchasing Managers Index—October 2008
Give Your Website a Lead Generation Checkup by Bob DeStefano, SVM E-Business Solutions
Is your Website a lead generation machine? Your Website can be your most powerful marketing tool, delivering a steady stream of new business leads and filling your sales pipeline. Unfortunately, most companies do not optimize their Websites for lead generation—offering nothing more than passive online brochures.
What about your Website? Find out your Website's lead generation potential now by giving it a lead generation checkup. Review the ten questions below and give yourself one point for each 'yes' answer. Good luck!
Does your home page clearly communicate what your company does and the audiences you serve?
_____ Yes _____ No
First impressions count and more people will see your home page than any other page on your Website. So, make sure your home page is as welcoming and useful as possible. It should clearly communicate your capabilities and the solutions your company provides. It should be a timely digest of the latest and greatest information you have to offer. Most importantly, it should focus on your prospects' needs and serve to guide them through your Website to find the information that can best help them.
Do you use a conversational tone in your Website's copy?
_____ Yes _____ No
People think their Website is designed to serve the thousands of people that will visit it. The reality is that one person will visit your Website at a time. Make sure you connect with each visitor by taking a friendly, conversational tone in your copy. Write as though you're sitting with them over coffee. Demonstrate that you understand the challenges they face and offer a solution.
Do you offer useful educational content in addition to product and service information?
_____ Yes _____ No
Don't just sell—educate. Complement your product and service information with valuable educational information that help your customers do their jobs better. Pack your site with "how to", articles, best practices guides, training videos and other educational content. This will turn your Website into more of a resource center that your customers and prospects will trust and visit on a regular basis.
Is your Website optimized for top ranking in the search engines?
_____ Yes _____ No
Search engines like Google are your best source for targeted, motivated leads. Your prospects are searching for you. Make it easy for them to find you by boosting your rank in the search engines. To turn your Website into a search engine magnet, fill your Website's copy and coding with the keyword phrases your customers use most often. In addition, build a network of quality inbound links to your Website from reputable and industry relevant external Websites.
Are you updating your Website's content on a regular basis?
_____ Yes _____ No
Is your latest press release from 2006? Does your copyright notice still say 2007 or earlier? People want to do business with dynamic companies. And, to project your dynamism you need to have a fresh and relevant Website. Make it a point to take a critical look at your Website at least monthly and add or remove information to improve its value to your customers and prospects.
Does every page of your Website include a compelling call to action?
_____ Yes _____ No
Don't make the mistake of relying on your "contact us" page as the sole method for prospects to take action. To turn your Website into a lead generation machine, pepper your Website with a variety of relevant calls to action inviting prospects to reach out and take the next step.
Do your "calls to action" address prospective customers at each stage of the buying cycle?
_____ Yes _____ No
Not everyone is ready to buy from you today. Some people are kicking tires, others may have a basic early-stage question. Look for ways to compel all prospects to reach out to you by offering tailored "calls to action" that appeal to prospects at each stage of the buying process. Examples include "ask the experts" forms, complimentary consultations, downloadable best practice guides, free trials, etc.
Is your phone number prominently displayed on every page of your Website?
_____ Yes _____ No
Don't forget to prominently display your phone number on every page of your Website. In our experience, people are at least as likely if not two to three times more likely to pick up the phone when they are browsing a company's Website. And, there is no better time to be talking with this prospect because you can use your Website as a presentation tool.
Are your online forms short, asking only for basic contact information (e.g., name, company, phone and email address)?
_____ Yes _____ No
Are your online lead generation forms as long and daunting as a tax return. If so, shorten them. The more fields your forms include the less likely prospects will be to fill them out. Only ask for basic contact information that your sales people need to make an intelligent follow-up. You can program these forms on the back-end to identify the page the person was on so your salesperson can prepare for the call.
Do you have a process in place to ensure your Website inquiries receive immediate follow-up?
_____ Yes _____ No
How long does it take for your salespeople to follow-up online lead inquiries? If the follow-up is not immediate, you are leaving money on the table. Assign salespeople to follow-up online leads and make sure the inquiries get to them as soon as possible. Tie your Website forms into a customer relationship management (CRM) system like SalesForce.com or SugarCRM to streamline your lead management and follow-up process.
So how did you do? If you scored a 7 or higher, you're doing well and your Website is a powerful lead generation tool. However, if you scored a 6 or below, you have some work to do.
I hope our quiz got you thinking about ways your Website can be improved. If you are interested in learning more about how to turn your Website into a lead generation machine, call 1-877-786-3249 x3 and request a free Website analysis.
Architectural Woodwork Institute Needs Your Input
The KEY activity right now is writing, editing, and reviewing the content of the machine standards which are in work for the Jan. 2009 Book, according to Greg Heuer, CSI, chief staff learning officer of the Architectural Woodwork Institute. "We need people willing to donate 30 minutes of their expertise on the specific machines listed on the Navigation bar of the Wiki. If you are interested visit: http://skillstandards.wikispaces.com/ or drop me an email and I'll help you get started: gheuer@awinet.org."
Business Development Committee Aims to Get Valuable Data in Members' Hands, by Todd Summerfeld, WMMA Business Development Committee Chair and WMMA Board of Directors, Kreg Tool Company
What if you could have predicted the current economic situation three to four years ago? Would you have done anything differently? One of the committee's most successful programs is the partnership with Institute of Trend Research (ITR) which has been telling members to prepare for the current economic situation for just that long. ITR's seminars at WIC routinely draw some of the biggest audiences and rate very highly for both content and delivery. You won't want to miss the upcoming webinar with Alan Beaulieu on November 25th as he will explain how the credit crisis will affect the economy and what you need to consider to navigate your company through it. Check out the other ITR benefits here.
The committee is also producing another market research project. Trade shows have always been a key component to our selling process. As recent trends have seen trade show attendance decrease we want to investigate the trend in trade show attendance so we can better create trade show strategies that maximize our investment in exhibiting at these shows. The first of two reports on this topic is planned for distribution in February of 2009. Be looking for that report and in the meantime check out the past research projects we have conducted.
All committee programs can be reviewed on the WMMA website here.
Webinar Alert: Alan Beaulieu and the Economic Forecast—November 25
This is a must-attend 60 minute session with Alan Beaulieu, a highly respected economist who continues to provide invaluable insight for the industry and WMMA members. You, your management team and sales force will spend a meaningful hour and hear his observations and insights on the latest economic trends and what they mean to you.
Registration details will be available soon. Free to members!
The Importance of Working with Your Congressperson, by Jamison Scott, WMMA Board of Directors, Air Handling Systems
A few years ago I reached out to Rosa DeLauro, our Congresswoman from Connecticut. As a small manufacturer active in the local manufacturing association as well as WMMA, I felt it was important she understand the positive economic impact of manufacturing to our region, especially while several of the largest manufacturers were closing their doors. People were starting to think manufacturing was dead since all they read about in the local papers were these large manufacturing closing or moving out of state. I focused on saying "manufacturing is NOT dead - it is different."Manufacturing in our region, which is represented primarily by small manufacturers, has the highest regional value added by industry sector which indicates its importance in wealth creation to our region. We also have the highest employment multiplier. For every manufacturing job, we support three to five non-manufacturing jobs.
I have continued to meet with Rosa, as she prefers to be called, at least twice a year, once in her home office and again each February during the WMMA Fly-In. The trips to Washington help bring our message about the importance of manufacturing, especially issues important to the members of WMMA, to all our legislators. In October Rosa asked that I participate in a panel discussion at an Economic Forum she hosted. I was joined by two economists and one regional planner. The focus was "how we recover the jobs we have lost over the last several years and how public policy can be shaped now to ensure that we stabilize our markets and create an environment where we are creating jobs and putting people back to work in the coming years." Our audience was primarily regional economic community directors. I valued the opportunity to participate and share the story about the importance of manufacturing to our region. I focused on the challenges of the high costs of doing business, job creation vs. productivity, energy and the importance of getting credit to flow again.
Working with your Congressperson is simple. It all starts with a phone or visit to the home office. But it is not just the Congressperson, it is working with the staff that really helps. For example, I work closely with Rosa's Aide who represents the business community.
Working with your Congressperson will actually help to shape policy. Each session now Rosa creates a plan for manufacturing, and consults with me on the issues. She has also been instrumental in getting funding to one of our technical high schools to replace aging machinery. Without reaching out we would not have her attention nor would she understand the challenges as well as the opportunities of the manufacturing sector.
Public Policy Fly-Ine—February 2009
You won't want to miss being in Washington this time. Look for online registration details soon.
The Second Annual Woodworking Equipment & Wood Processing Fly-In
February 9 - 11, 2009
Washington, DC
Held in Conjunction with WMMA Committee Meetings
WIC 2009—Equipping You to Succeed in Challenging Environment
April 29, 2009 - May 2, 2009
Sawgrass Marriott Resort & Spa Ponte Vedra Beach, FL
Featured Speakers and Panelists
Ed Barlow
Alan Beaulieu
Karla Brandau
Andy Counts
Dr. Mike Galiazzo
Lori Gordon
Robin Jay
Margaret Morford
Gero Sassenberg
John Satajag, WMMA Legislative Counsel
Bryan Shirley
(list as of November 1, 2008)
Download the brochure to read more about the premier woodworking industry conference of the year!
Exhibit in the WMMA Pavilion at Delhiwood, February 14-17, 2009, Delhi, India
India has significant potential for WMMA members. That is why your association is organizing a pavilion at Delhiwood where you can either take out space to exhibit your products or share the WMMA booth. Gain exposure, investigate the market, meet with the players and increase your sales to this vibrant market!
Delhiwood is the most important industry event in 2009. It will occupy about 16,000 square meters and all major dealers and suppliers will be present. The event is sponsored by EUMABOIS, the European Federation of Woodworking Equipment Associations. This guarantees that most European suppliers will be exhibiting. A brochure on the event can be found on the members' only area of the WMMA website. Or, you can visit the show website, http://delhi-wood.com/.
Taking out Space
We have reserved 91 square meters in the machinery hall and only have room for seven members to exhibit alongside the WMMA. Already two spaces are booked (30 square meters) so if you are interested in exhibiting, please complete the space reservation form. The sign up deadline is December 1.
The fee to take out space is $200/sq.m. ($175/sq.m. for those who sign up and pay by November 13).
The square meter fee includes:
For those who want to become a member of the American Center for Wood Processing in India, the WMMA will pick up to $1,500 of your one way freight to the booth. Call Harold Zassenhaus to discuss this option further or click here to learn more at the members' only area of the WMMA website.
Sharing the WMMA Booth
Within the 91 square meter pavilion the WMMA will have a common area of 17 to 24 square meters where members can display literature, run product videos, and use as a home away from home. While we encourage you to attend the fair, it is not mandatory. Staff assistants will discuss your interests with visitors and exhibitors and at the conclusion of the fair, send you all leads, a report on the market and the fair.
The fee to share the booth is $2,150 (it's free if you are a member of the American Center for Wood Processing in India) and includes:
If you are interested in sharing the WMMA booth, please complete the space reservation form. Sign up deadline is December 15 for those wanting to make the Exhibitors catalog.
Contact H. Zassenhaus, WMMA Export Consultant, (301) 652-0693, zemg@erols.com to register your interest or to find out more about the fair and opportunities in India, including the new and innovative WMMA supported American Center for Wood Processing in India.
Did you know that…
Don't you think you should be a part of this fast growing market???
Again, contact Harold Zassenhaus at (301) 652-0693 or zemg@erols.com to find out more about this opportunity and to reserve your space.
Free Promotional Opportunity from Wood Industry! Deadline: December 17
WMMA members ONLY
Wood Industry, Canada's magazine for the secondary wood products manufacturing industry, is once again inviting WMMA members to submit Installation Stories, new product releases and company news of interest to Canadian manufacturers.
Wood Industry, in conjunction with WMMA, will be featuring WMMA member companies and their customers, in the traditional WMMA Special Section the March issue of Wood Industry. The WMMA Special Section will consist of two FREE opportunities, exclusively for WMMA members.
As a WMMA member, you are entitled to submit one referral for an application story about a satisfied Canadian customer using your product. To take advantage of this opportunity, simply provide your Canadian company's contact information to Wood Industry and flag each submission as a WMMA Application Story. Deadline is December 17.
Wood Industry will contact the referred client and arrange an interview and a photo, so the client MUST agree to be interviewed.
NOTICE!!! For WMMA member companies with official distributors in Canada, be certain to notify your distributor of this opportunity. This notice is a service of WMMA, and will not necessarily go to distributors in Canada.
Second: as a WMMA member, you are entitled to submit up to two new product releases for the Special Section. To take advantage of this opportunity you must submit a photo or electronic image of the product, and about 75 words of text telling the name of the product, the name of the company and the product's applications, specifications and options, if any. Electronic images can be in jpeg, tiff or eps formats, and must be a minimum of 300 pixels per inch and three inches wide (high resolution). Please do not submit photos embedded in Word files or PowerPoint presentations. And please, no sell lines or digitally manipulated images in the photos. This is new product editorial, not an ad. Each product must be flagged as a WMMA Product in the Subject line of your e-mail or regular mail submission. Deadline is December 17.
Send all editorial material to: kknudsen@wimediainc.ca.
Kerry Knudsen, Editor
Wood Industry
63 Credit Rd.
Caledon, ON L7C 3J3
Canada
(647)274-0507
www.woodindustry.ca
International Business Services/Export Assistance Seminar, December 9-10, 2008, NAM Headquarters, Washington D.C.
An International Business Services/Export Assistance Seminar is being presented at NAM Headquarters, December 9 - 10, 2008. The multi-industry seminar program will feature:
Who should attend? The program content is designed for key executives of small- and medium-size companies who need information and cross-industry networking contacts to expand exports. Basic industries and capital goods sector executives will particularly benefit from some seminar content and the panel of expert speakers will provide key information of use to all manufacturer sectors.
The staffs of several associations offer this seminar of “export basics”—which is in much demand from members.
Why such late notice? The interest is there, the date doors opened, people are available, so here it is!
A block of guest rooms has been reserved at the J.W. Marriott, located in the same block as NAM. Call 1-800-228-9290 or 202-393-2000 and reference the ASMI Multi-Industry Export Seminar to secure the $259 rate. Please act quickly as this rate is available only until November 17 or until the room block is sold out. Even if your attendance plans are tentative, we encourage you to book a room now.
For more information, please contact info@wmma.org.
WMMA Product Guide Now in Russian
With the market in Russia heating up (see A Closer Look at Russia) and 12 members of the Association traveling to Woodex in Moscow in December, the WMMA Product Guide has been translated into Russian. Click here to view.
WMMA members have set the standard for the world in designing and making reliable, versatile and more productive woodworking machines, woodworking tools and woodworking supplies.
The WMMA Product Guide is popular among wood industry buyers and manufacturers because it is one of the most comprehensive resources in the woodworking industry. It contains up-to-date woodworking products and contact information on and links to over 200 member companies. Purchasing executives and other key decision makers in all types of woodworking installations, including furniture, cabinet, sawmill, millwork and plywood plants as well as nonwood applications in ceramic, composite, laminate, nonferrous metal, plastic and stone will find this guide useful.
Buyers can search by company in the complete WMMA member alphabetical listing, then select and view the company's information including description, email and Web site links, location, key executives and personnel, plus a list of the wood working equipment, supplies or tools it manufactures.
They can also search by the type of wood machinery by its general function—such as cutting, sanding, gluing, special purpose or woodworking tools or other woodworking supplies—and receive a results list of companies with links to their profiles, Web sites and an option to email questions and comments.
As well as Russian, the Product Guide is also available in Chinese, English, French, German, Italian, Portuguese and Spanish.
Nominations Now Open for the Ralph B. Baldwin Award of Excellence, by Tim Mueller, Chairman, WMMA Membership Services Committee, Timesavers, Inc.
This time every year the Membership Services Committee of the WMMA reaches out to members looking for nominations for the prestigious Ralph B. Baldwin Award of Excellence. This cherished award was created to honor Ralph Baldwin for his contributions to both the WMMA and to the woodworking industry. Throughout his career at Oliver Machinery, and his time with WMMA, Ralph exemplified the kind of commitment and drive needed to help this association become what it is today. He also benefited the industry as a whole.
Now it is time for you, fellow members of WMMA, to continue this time honored tradition by nominating someone whom you feel has made your company, the industry or WMMA a major, beneficial focus.
Simply review the entry form, fill it out to the best of your ability and forward it to WMMA headquarters; it's just that simple. All nominations will be voted on by the Membership Services Committee, then passed on to the Executive Committee, and finally to the Past Presidents where a final decision will be made. The winner of this prestigious industry-recognized award will be announced at the general business session of the WMMA at the next Woodworking Industry Conference at Sawgrass Marriott Resort & Spa, Ponte Vedra Beach, FL, April 29 to May 2, 2009.
So, take a moment now to consider honoring an individual that you believe is deserving of this highly recognized award - an individual who has made outstanding contributions to the industry, your company or to the WMMA - by nominating him or her for the Ralph B. Baldwin Award of Excellence.
If you have any questions concerning this process or the application, please contact WMMA at 215-564-3484. The deadline to submit your entry and accompanying documents is February 27, 2009.
U.S. Technology & Demonstration Center—A WMMA Community Project
Atlanta Habitat for Humanity kicked off a series of celebrations on Friday, November 7th, when they broke ground on their 1,000th and 1,001st homes. The 1000th home features kitchen cabinets made by WMMA at IWF 2008.
Located side by side at 2079 and 2083 Lakewood Trail in the Lakewood Commons neighborhood, the house builds took place over eight days and represent the most significant milestone in Atlanta Habitat's history. As one of the city's most productive affordable housing builders, Atlanta Habitat celebrates the achievement of constructing 1,000 homes in its 25th year with community events planned throughout the month of November.
Read more.
Silver Machine Inc.Silver Machine Inc. is the importer of SILVER® brand woodworking machinery, which is manufactured in Asia. All imported products meet the CSA and UL standards. SILVER brand is a complete line of woodworking machinery and tools, including grinders, feeders, shapers, saws, moulders, planers, jointers, sanders, tenoners, edgebanders, etc. and combined machines for special purposes.
T-Tool USA LLC
2850 Glades Circle
Suite 11
Weston, FL 33327
www.t-toolusa.com
Marc Wijtenburg, Managing Director
T-Tool Group produces tool-holders, tooling supplies, and accessories for numerous cutting and grinding applications.