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According to Doug Muller, sales manager for Lau Industries, the company recently introduced a new approach, creating a one-stop shopping option for its customers.
Lau now supplies air-moving assemblies such as wheels, housing, shelves, belts, bases, bearings, shafts, and motors. It also supplies fans with fan guards and motors, creating Motorized Air Products (M.A.P.s).
Muller says that the marketing move will benefit its current customers by saving them time and money. He explains that with current economic conditions, manufacturers are looking for ways to save on expenses, including assembly and purchasing costs.
“By supplying a complete package,” Muller says, “companies can eliminate six or seven purchase orders.”
He further explains that by eliminating these extra purchase orders, manufacturers will eliminate further expenses, warranties, and transportation charges. Also, by ordering assembled components from Lau, companies will save on assembly line costs.
The company believes this will free up valuable resources for its OEM customers. No longer will manufacturers have to keep track of several different contact numbers and addresses. All concerns, questions, and orders can be forwarded to one company: Lau.
TEST MARKETSMuller says that Lau Industries discussed the option of supplying extra components more than two years ago. The supplier has already tested the process in two regions of the country.
This test market yielded successful numbers for the supplier. According to Muller, in preliminary testing the supplier received an 80% hit rate. This means that for every 10 bids the supplier made, eight companies would choose Lau Industries’ new approach.
Muller says that the success of the test market prompted the company to begin supplying additional M.A.P.s throughout the country. Lau has just begun offering new M.A.P.s on a wide scale, and already the company is receiving an approximate 30% hit rate.
In addition, Lau Industries will introduce several new products for its customers.
Very shortly, the company will supply a new line of motorized, plastic twin blowers and a line of direct-drive airfoil wheels powered by external rotor motors. A third new offering, representing a significant departure from its traditional forward-curved products, is an OEM-style airfoil blower emphasizing efficiency.
Muller says that the process of introducing the new products and services has created a change in the company’s corporate culture. In fact, Muller says the company has gone from being a component supplier to a “solution provider.”
“We’d like to think that by adding extra value to our products, we’ll be providing added value to our customers,” he says.
For more information, call Lau Industries at 937-476-6500 or visit www.lau-ind.com (website).
Publication date: 07/29/2002