Maynard Akkerman CEO/President Akkerman 04/22/15

Transcription

1 Maynard Akkerman CEO/President Akkerman 04/22/15

2 Presentation Outline Company Overview Infrastructure Synopsis Akkerman Equipment Systems Marketing Plan Summary Target Audiences Marketing Objectives & Goals Situation Analysis Strategies & Tactics to Increase Market Share Evaluation Metrics Results To Date Questions 04/22/15 2

3 Company Overview Akkerman, a recognized worldwide competitor, manufacturers a full range of pipe jacking and tunneling equipment Sales and service offered domestically and internationally Founded in 1973 by D.H. Akkerman Privately held, family-owned and operated currently transitioning to its third generation Equipment is engineered and manufactured at its corporate headquarters in southern MN in a 65,000 sq. ft. facility Currently have 14 equipment representative agreements around the world 04/22/15 3

4 Company Overview Vision Statement: Goal driven for customer success Mission Statement: We develop, manufacture, market and support quality equipment that accurately installs a variety of underground infrastructure Core Values: We provide high quality engineered products to our customers at competitive pricing We provide a safe and secure workplace for our employees We honor our warranty We solicit input from our employees, customers and suppliers We are committed to meet and exceed customer expectations with integrity, diligence and without compromise 04/22/15 4

5 Infrastructure Synopsis 04/22/15 5

6 Infrastructure Synopsis 04/22/15 6

7 Infrastructure Synopsis 04/22/15 7

8 Infrastructure Synopsis Open Trench Pipe Installation Trenchless Installation 04/22/15 8

9 Akkerman Equipment Systems 04/22/15 9

10 Akkerman Equipment Systems Pipe Jacking & Tunneling Systems First manufactured in 1973 Installs OD pipe Ideal in ground conditions where personnel entry is permitted TBMs have a rotating drum and a cutter head appropriate for project soil conditions Excavator shields extract spoil with a digging type machine at the face of the bore Passive laser guided and manually controlled for accuracy Both systems use conveyors and haul units for soil removal 04/22/15 10

11 Akkerman Equipment Systems Microtunneling Systems First manufactured in 1995 Installs pipe from OD Typically used in ground conditions below the water table; personnel entry prohibited Operated from a control console in a container alongside shaft (see photo) Minimizes ground surface settlement Active laser target system Soil cuttings are mixed with slurry and circulated to and from a separation plant in a closed circuit 04/22/15 11

12 Akkerman Equipment Systems Guided Boring Machine (GBM) Systems First manufactured in 2001 Installs 4-48 OD pipe with grade and alignment precision For use in various ground conditions Lots of versatility with many ancillary tooling options to maximize the customer s investment Active theodolite guidance system Soil cuttings are sent to the shaft for removal by way of augers 04/22/15 12

13 Akkerman Equipment Systems Earth Pressure Balance Machine (EPBM) Systems First manufactured in 2005 Installs pipe from OD EPBMs monitor and maintain earth pressures by balancing the machine advancement and excavation rates to minimize ground settlement Soil cuttings are mixed with foam slurry and removed through conveyors and a haul unit system Each EPBM system is custom configured for project specifications 04/22/15 13

14 Marketing Plan Summary Term Fiscal Year (October 1 September 30) Focus on regions for domestic and international sales emphasis in North America, Mexico, Columbia, Brazil, Australia and the United Kingdom Marketing Plan is based only on the GBM equipment line due to: Versatile nature of equipment, conducive to multiple project applications in a variety of geology Minimizes social impacts in densely populated regions GBM equipment purchase establishes brand trust and creates a pathway for additional Akkerman equipment acquisitions 04/22/15 14

15 Marketing Plan Summary: Target Audiences Primary audience: Defined as a privately-held, growth oriented contractor with long-time core staff, minimum of 2-3 million annual business turnover, previous pipe jacking experience and a high tolerance for risk Secondary audiences: municipalities, engineers and academia; need to educate about our equipment methods in order to create competitive bid opportunities in the market place 04/22/15 15

16 Marketing Plan Summary: Marketing Objectives & Goals To increase our market share Establish, maintain and expand current relationships Provide a directive for our sales and marketing resources in conjunction with the strategic plan initiatives: Define and pursue ideal geographic markets Build and maintain customer relationships Optimize pricing strategies Continuous education about trenchless pipe jacking methods 04/22/15 16

17 Situation Analysis Market Position Akkerman is the market leader for domestic GBM equipment and in 3 rd place in the international market Competitor s Overview Main competition is owned by large parent companies with vast resources whom offer appealing financing terms Our Competitive Advantages We are the only domestic manufacturer of our variety of equipment Our equipment s performance is superior due to separate torque and rotation capabilities We offer strong aftermarket support and can quickly expedite experienced field technicians and parts to all areas of geographical sales emphasis We offer a unique assortment of specialized tooling with our equipment packages 04/22/15 17

18 Situation Analysis Strengths Akkerman is a long-time market leader and innovator with a well recognized name/brand/reputation for quality The GBM name is synonymous with the market nomenclature for the method We offer four diverse product lines to fit nearly all geological profiles Weaknesses Akkerman is a small company with limited resources We are not always able to match our competitor s terms and conditions Challenges associated with supporting four diverse product lines 04/22/15 18

19 Situation Analysis Opportunities There should always be a need for our equipment due to aging infrastructure, increased population growth and opportunities in un-and under-served markets Competitive opportunity amongst contractors due to tolerance specifications in bid packages Threats Many smaller international manufacturers (4 th position in market) are creating similar products very inexpensively Used equipment availability threatens new sale opportunities Market can be volatile based on government s willingness/ability to invest in infrastructure Equipment system sales are based on project awards 04/22/15 19

20 Strategies & Tactics to Increase Market Share Strategic Initiative 1: Define and Pursue Geographical Markets Initiate Gold Key Service (completed in 2012) Make site visits to representatives in defined regions of sales emphasis and as often as possible in secondary representative regions Encourage representatives and their customers to visit Akkerman for plant tours and demonstration events Exhibit/present at premier tradeshows and in conjunction with representatives Offer representatives equipment on consignment Annual representative evaluation 04/22/15 20

21 Strategies & Tactics to Increase Market Share Strategic Initiative 2: Build and Maintain Customer Relationships Internal customer information sharing through a CRM program Develop comprehensive equipment presentations Collaborate with customers to present case studies during educational sessions at premier tradeshows Author trade publication articles and newsletter project updates featuring customer projects Formal and informal surveying of customers for information on quality of products, new product development and quality of customer service (in process) Social media engagement with customers based on their projects, activities and achievements Invitations to open houses and demonstration days Host educational webinars Continuous website updates; drive traffic to site; rollout out a mobile responsive site 04/22/15 21

22 Strategies & Tactics to Increase Market Share Strategic Initiative 3: Optimize Pricing Strategy Define what the market will bear Continuous review of competitor s quotes Offer flexible financial terms and conditions Make apparent used equipment offerings Establish a trade-in/buy back program (in process) Continuous reassessment 04/22/15 22

23 Evaluation Metrics Qualitative and Quantitative Assessment through: Sales in all areas of all equipment categories; especially in areas of geographic sales emphasis Quote to sale conversions Sales averages Tradeshow exhibition and/or attendance Web traffic Customer and representative feedback Customer satisfaction/experience surveying (in process) Quarterly and year-end discussions, evaluation and reassessment 04/22/15 23

24 Results To Date: All Sales 04/22/15 24

25 Results To Date: Sales by Category 04/22/15 25

26 Results To Date: Quote to Sale 04/22/15 26

27 Results To Date: Average Sale Average Sale Amount FY FY FY FY FY YTD 04/22/15 27

28 Results To Date: Tradeshow Exhibition and Attendance 04/22/15 28

29 Results To Date: Web Traffic 04/22/15 29

30 Results To Date 50% increase in representative site visits and Akkerman plant tours An average of 30/per year formal and informal presentations to various constituencies Hosted Demonstration Days and 40 th Anniversary Open House; well attended by customers and nearly half of equipment representatives Hosted equipment webinar series in 2013; well attended; good sample of audiences Active social media presence and engagement on Facebook, Twitter, YouTube and LinkedIn 04/22/15 30

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32 Maynard Akkerman (800)