CUSTOMER COMMUNICATIONS PLAYBOOK $2 BILLION ACQUISITION

Transcription

1 CUSTOMER COMMUNICATIONS PLAYBOOK $2 BILLION ACQUISITION

2 This free pdf has several pages redacted. The complete, unredacted, fully visible Customer Communications Playbook (in Word format) is available to: PRITCHETT consulting clients or MergerIntegration.com paid subscribers or Merger Integration Certification Workshop attendees CUSTOMER COMMUNICATION PLAYBOOK What is the purpose of this Customer Communication Playbook? The purpose is to enable customer-facing employees and teams to share accurate, timely, consistent information with their customers about Acquirer s acquisition of Acquired Co. Who should receive this packet? Each Workstream head and lead (both Acquirer and Acquired Co.) should cascade the Customer Communication Playbook to customer-facing employees and teams within their respective business groups upon confirmation that the transaction has officially been completed. What should I do with this information? This information should not be shared with customers or other public entities until you receive confirmation that the transaction is officially closed. Business Sales & Marketing Leads: Please tailor the customer letter, talking points and FAQ document using the predetermined language provided in the template as needed to address issues specific to your business customers, products and integration. Commercial Team Leaders: Please arrange a meeting or call with your customer-facing team members to review and distribute the attached materials. Sales, Customer Service, & Other Customer-Facing Employees: Following the outreach plan and timeline, please use your normal outreach channels to communicate the announcement to your customers and/or to respond to customer inquiries about the transaction. What materials are available to assist me? The following documents are for internal use only. Do not distribute these materials to anyone outside the company. o Customer Key Messages & Talking Points o Customer Frequently Asked Questions (FAQ) PRITCHETT, LP MergerIntegration.com

3 The following documents may be tailored and shared with customers, as approved by your respective business sales & marketing organizations. o o Copy of Customer Letter Copy of Company Press Release Customer Communication Guidelines DO adhere to the information set forth in these documents and do not elaborate or expand upon the information provided. DO maintain a consistent and professional face to the customer, as always. This is particularly important where more than one sales representative may contact the same customer(s). If a customer asks a question that is not included in these materials, it is likely something we cannot answer at this time. Capture the customer s question and pass it to your manager. DO maintain the very highest ethical standards and remain focused, as always, on serving the needs of our customers. DO NOT call out comparisons to other industry mergers or acquisitions. DO NOT speculate on the future state, leadership, outcome and people. The success of our integration will be driven by how effectively we can begin to work as one team with a singular commitment to serve customers and deliver results to our bottom line. o Stay focused on your job o Work as one team; listen and learn from each other o Be empathetic; treat others with fairness and respect o Be adaptable; change is inevitable, adapting quickly is key o Keep a positive attitude PRITCHETT, LP MergerIntegration.com

4 Customer Key Messages We are excited about what this game-changing combination will offer our customers. Scale Greater geographic reach More diverse product offerings Strong growth prospects. Whether distributors, retailers, contractors, or consumers, our customers will continue to have access to the industry s leading array of products. Nothing changes today. In the near term, you will continue to work with us exactly as you have in the past. Our goal is to make this a seamless transition for customers, and we will not miss a beat in delivering on our commitments. We will begin immediately to combine our businesses and develop go-to-market strategies that create value for our customers and suppliers. We will act with purpose, focus and transparency to integrate our business, and we look forward to working closely with you as our plans come together. Customer Talking Points To be shared with customer-facing resources so they are prepared to discuss the transaction with customers. [Not intended for distribution directly to customers.] Acquirer has completed the acquisition of Acquired Co. As preeminent suppliers of products in our industry, combining our excellent brand portfolios will serve to strengthen our offerings to customers. Our customers will benefit from our larger scale, greater geographic reach, more diverse product offerings and strong growth prospects. Whether distributors, retailers, contractors, or consumers, our customers will continue to have access to the industry s leading array of products, tailored to their unique needs. We know our success is dependent on your success, and we are excited about what the newly combined Acquirer Industries will offer. This combination creates a $5.0 billion company with an expanded product offering, and a strong distribution footprint. It provides us with the scale, geographic breadth and multichannel distribution networks required to capitalize on the growth opportunities, and to effectively support our customers and suppliers as your business grows. PRITCHETT, LP MergerIntegration.com

5 Our business has essentially doubled in size, giving us stronger positions across our product lines. Your satisfaction is our top priority. We are excited about what this game-changing combination will offer our customers. That said, nothing changes today. In the near term, you will continue to work with us exactly as you have in the past. Our goal is to make this a seamless transition for customers, and we will not miss a beat in delivering on our commitments. We will begin immediately to combine our businesses and develop go-to-market strategies that create value for all our customers and suppliers. We will act with purpose, focus and transparency to integrate our two companies into the leading business in our industry, and we look forward to working closely with you as our plans come together. PRITCHETT, LP MergerIntegration.com

6 Frequently Asked Questions To be shared with all customer-facing employees so they are prepared to discuss the transaction with customers. [Not intended for distribution directly to customers.] Customer-Facing Employee Questions Q1. What should I tell our customers? Customer-facing employees should carefully review the Customer Communication Playbook for detailed information on how, when and what to communicate with customers. The most important thing we can tell our customers is that nothing changes immediately. They will continue to receive the same distinctive quality and service they have come to expect from us. You can assure our customers that the transaction represents a highly attractive proposition for them and that we will not miss a beat in delivering on our commitments. Q2. What changes today (Day 1)? Nothing changes today. Customers will continue to receive the same distinctive quality and service they have come to expect from us. Their sales contacts will remain the same for now. Their ordering, invoicing, and account servicing processes are unchanged. You can assure our customers that the transaction represents a highly attractive proposition for them and that we will not miss a beat in delivering on our commitments. Q3. How will you decide who gets the account in cases where both companies service a customer? These decisions will be part of the integration efforts ongoing through the next several weeks. It will be driven by the strategies and needs of each business. We will provide new information as soon as it is available, and will work to make this process fair and transparent. Q4. What types of training will Acquirer provide to help us learn new business systems and products? Training needs are being identified as part of the integration planning efforts in each business and functional area. We ll share more information as it becomes available. Q5. Can customers still get the same products from both companies as they do today? Yes a strength of this combination is the excellent portfolio of complementary, reputable brands. Q6. How will invoices be done? No changes today. Q7. Any change in plants? The plant structure remains as it is today. Q8. What are the work hours? The current work hours and plant hours remain the same PRITCHETT, LP MergerIntegration.com

7 Q9. Can customers still access our websites and get brochures or samples as needed? Yes. Eventually some changes will be made to streamline processes but there are no changes today. Q10. Can I get access to marketing materials for the newly added brands? Talk to your respective marketing teams for more information on this. Q11. Who do I go to for a quote? Use the same process you ve used before today. Q12. Are distributor programs still in place? They remain the same until further agreements may occur. Q13. What happens to my pay & commission structure? There are no changes for at least 6 months. We will share any information about potential changes as soon as it is available. Customer & Distributor FAQs Q1. What does this mean for me, as your customer/distributor? Nothing changes immediately. You will continue to receive the same distinctive quality and service you have come to expect from us. We will not miss a beat in delivering on our commitments. We are excited about what this game-changing combination will offer our customers. Whether distributors, retailers, contractors, or consumers, our customers will continue to have access to the industry s leading array of products. Q2. Are you going to terminate my distribution arrangement? In the near term, it will continue to be business as usual for your business with Acquirer. Longer term, no decisions have been made about any changes to distribution. Any changes will be guided by how we can best service customers in a particular area. We value our relationship with you, and there are good reasons why we currently partner with you for distribution. Many of these reasons won t be impacted by the transaction, so it s certainly possible you won t see any changes. The bottom line is that while it s possible that there could be changes at some point, it s business as usual for the time being. We will make every effort to keep you informed and answer your questions every step of the way. Q3. Doesn t this combination mean you guys are going to raise prices? Our industry is and will remain highly competitive, and we recognize that you have a number of other suppliers and you can be sure that we re going to continue to compete hard on price, quality and service. That said, we re excited about what this game-changing combination means for customers and suppliers. Combining our highly complementary portfolios of strong businesses with recognized brands and quality products will provide us with the scale, geographic breadth and multichannel PRITCHETT, LP MergerIntegration.com

8 distribution networks required to capitalize on the growth opportunities and create efficiencies and improve our offerings and service to customers. Q4. Will plants be closed? For the time being there will be no changes. As we develop detailed integration plans for each business, changes may be necessary to optimize our manufacturing distribution systems. That may include closing inefficient plants or plants that aren t well situated to serve our customers. At the same time, it could mean that mothballed plants are reopened or that output is expanded at the most efficient plants. Any changes will be made to position the company for success, capture synergies and efficiencies, and to provide better value and service to you and your customers. Q5. I ve got a contract with you. What s the status of that? For now, there will be no changes. All existing contracts remain in place for the time being. We will work closely with you on any future changes as those plans are developed. Q6. How is this combination going to work? Am I going to get product from the same plant? Nothing changes today. In the near term, you will continue to work with us exactly as you have in the past. Our goal is to make this a seamless transition for customers, and we will not miss a beat in delivering on our commitments. Longer term, we ll seek your input and work closely with you prior to making significant changes to how we serve you today. Q7. Will my point of contact change? As of today, your point of contact will not change. You will continue to contact the same outside sales/inside sales/technical service/pricing reps you have in the past. We will keep you informed as the integration progresses. Q8. Where can I get more information? Who can answer questions I may have? If you have additional questions, please feel free to contact your sales representative. You can also find information on You will continue to receive periodic updates from Acquirer as we progress through this integration, and as always, please reach out to me personally to talk through any concerns you may have. Q9. Who will run the company? John Doe will continue in his role as President of Acquirer. Q10. Where will the new company be located? Acquirer s operations will continue to be headquartered in their current location. We have not made any additional decisions regarding the existing business centers, back offices and manufacturing facilities. Q11. Mergers and acquisitions can create a lot of disruption. Do you expect there to be a lot of problems with the transition? We are committed to making this a seamless transition to our customers. Nothing changes for you today, and we are developing detailed plans to manage through the integration process in a way that ensures customers continue to receive the distinctive quality and service they ve come to expect. We will continue to provide periodic updates as we progress through this integration. PRITCHETT, LP MergerIntegration.com

9 Q12. Will I still have access to the same name brands I buy from you today such as [brand name]? Yes. You will still have access to the brands you ve enjoyed historically. Longer term, we will work closely with all of our customers to determine the right go-to-market strategies for our businesses. Our goal is to provide our customers will an optimal array of excellent products and services, tailored for their needs. Q13. Can I get access to other brands now, such as [brand name]? For now, you will continue to have access to the brands you ve enjoyed historically. Longer term, we will work closely with all of our customers to determine the right go-to-market strategies for our businesses. Our goal is to provide our customers will an optimal array of excellent products and services, tailored for their needs. Q14. As a customer, what do you need me to do? Continue to purchase products in the same manner as before the completion of this acquisition. We ask that you contact your sales representative with any questions or comments. We thank you for your business and look forward to continuing to serve you. Q15. Will I be able to continue tracking orders online/placing order via the customer portal? For the immediate future, customers will continue placing, tracking, and managing orders exactly as you have in the past. We ll work closely with you to help you navigate through any potential changes to our order management systems in the future. PRITCHETT, LP MergerIntegration.com

10 Customer Letter This letter may be tailored by business Sales & Marketing teams to address specific concerns and value propositions by business. [Month XX, XXXX] Dear (insert name), Today, we announced exciting news: Acquirer has completed its acquisition of Acquired Co. We are excited about what this game-changing combination will offer our customers. [Add custom content] We will begin immediately to combine our businesses and develop go-to-market strategies that create value for all our customers and suppliers. We will act with purpose, focus and transparency to integrate our two companies into the leader in our industry, and we look forward to working closely with you as our plans come together. That said, nothing changes for you immediately. In the near term, you will continue to work with us exactly as you have in the past. Our goal is to make this a seamless transition for customers, and we will not miss a beat in delivering on our commitments. With this letter, we have included a summary of what you can expect in the initial days and weeks of integration. We will continue to keep you posted on our ongoing plans for the integration of the two companies and how the newly combined Acquirer will benefit your business. In the meantime, please do not hesitate to contact your sales representative with any questions you may have. We look forward to serving your ongoing needs. Thank you for your continued support. Sincerely, [Name] [Title] Attachment PRITCHETT, LP MergerIntegration.com

11 Customer Letter Attachment [Example Only: Customize by Business Group] Below summarizes how Acquirer will conduct business for the first few weeks immediately following completion of the transaction: CUSTOMER CONTACTS Continue to contact your current Acquirer or Acquired Co. sales, customer technical service and customer service representatives using their current phone, fax and addresses. PLACING/CHANGING ORDERS & ORDER STATUS Contact your current Acquirer customer service representative for Acquirer products and your current Acquired Co. customer service representative for Acquired Co. products. Phone, fax numbers and addresses will remain in effect. Customers with logins to web order sites will be able to access these secure sites at their current locations. PRODUCT PERFORMANCE & TRANSIT DAMAGE Product performance issues should continue to flow through your current Acquirer customer technical service representative for Acquirer products or your current Acquired Co. customer technical service representative for Acquired Co. products. CUSTOMER PAYMENTS Payments should be sent to the remit to name and address listed on the invoice. No change for ACH/Wires payments until further notice. POLICIES All orders will be subject to legacy Sales, Terms and Conditions of Sale, Freight, and Product Performance until further notice. PRITCHETT, LP MergerIntegration.com