Power it! Spring 09 Sales Meeting October 7th, 9th, 2008 Orlantha Boeker © 2007 Kensington Computer Products Group, a division of ACCO Brands Agenda 1. Category Objective 2. Market Trends 3. The Power Story 4. Marketing tools 5. Call to Action 6. Questions Objective Objective smart made simple Become clear leader in third party notebook and mobile device power solutions TM Market Trends Market Trends – Notebook & Mobile Device Accessories Mobile Power Market Size (Year to date) $250,000,000 +23% $200,000,000 $150,000,000 $100,000,000 $50,000,000 $0 Aug-07 Source: NPD Aug-08 Market Update Total Power Revenue Share $20,000,000 $18,000,000 $16,000,000 $14,000,000 Revenue $12,000,000 AC Inverters AC-DC DC Accessories $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 Month Source: NPD Aug -08 08 Jul- Jun -08 8 Ma y-0 8 Apr -0 Ma r-08 Feb -08 Jan -08 -07 Dec -07 Nov -07 Oct Sep -07 Aug -07 07 Jul- Jun -07 7 Ma y-0 7 Apr -0 Ma r-07 Feb -07 Jan -07 $0 Market Trends – Notebook & Mobile Device Accessories 3rd party brand sales (Aug '08 YTD) $50,000,000 +27% $40,000,000 $30,000,000 +18% $20,000,000 +5% $10,000,000 +21% -45% $Targus Source: NPD Kensington Igo/Mobility Belkin APC Market Trends – MP3 Chargers MP3 Chargers (Aug '08 YTD) $1,191,309 $1,486,679 AC Adapter/Chargers $12,761,126 Car Chargers Battery $41,316,617 Source: NPD Total $57M sub-category Dock/Car Charger Combo “1.2B mobile devices units sold to consumers in 2007 worldwide.” Punchline: Consumers need Power! Source: Gartner Market Trends Reshaping Mobile Device Markets WW 2008-2009 Category Wins in Q4 THANK YOU!!! Creating 4ft power section - Adding 2 power adapters (38030, 38031) 2008 Retailer of the Year introducing Power Center Endcap to all 21 stores in Q4 ’08! Grand opening Staples Best Tech store featuring KTG mobile power products What’s our plan? Obj: Top 3rd party brand in mobile power Positioning – Position Kensington as the leader in power solutions (notebook adapters and mobile device chargers) Strategy (b2c) – Expand distribution with our complete line up of mobile power solutions – Use new Ultra Thin adapters as hero product & Energy Star to position KTG as leader in press / channel / influencers – Become retail category leader to increase in-store exposure / visibility with a power center destination The Power Story Mobile Power Solutions: Chapter 1: Notebook Power Adapters Chapter 2: Mobile Device Chargers Target User Environments Travel Out & About Home Office Why to Buy? I need a cell phone charger. My battery died. I want to consolidate my adapters. I forgot my power adapter. Finding the right fit Consumers consider the following things when shopping for power: – Is it compatible with my notebook? – Is it easy to set up? – Is it bulky, bulgy, or heavy? – Are there a lot of messy cords? – Does this reduce the number of wall adapters to carry? – How much juice/charge does this give? – How much does this cost? Choose Kensington. It’s Easy. It’s Simple. It’s Smart. Notebook Adapters - Differentiating Features Simple to set up > 90% compatibility Color-coding for easy set up Voltage controlled inside adapter, not the tip Built-in USB port The POWER of ENERGY STAR ENERGY STAR is the highest level of power efficiency On average, 30% more efficient than conventional adapters Lighter and smaller in size Energy Star – What is it? A voluntary label designed to identify and promote energy-efficient products to reduce greenhouse gas emissions. Label provided on household and business products that deliver the same or better performance as comparable models while using less energy and saving money. Energy Consumption Electricity use by consumer electronic products is responsible for 15% of household electricity use.* Clocks and remote controls still use power when in “standby” mode. U.S. households spend $100 per year to power devices while they are in this "standby" power mode. In 2007, Americans saved $16B on utility bills with energy star products avoiding greenhouse gas emissions = to 27M cars. *Source: ENERGY STAR Factoid Worksheet for 2008, EIA Table 4_residential elec end use 2008, personal communication with John Cymbalsky at EIA (6/4/08), and "Energy Consumption by Consumer Electronics in U.S. Residences," Tiax, January 2007. Power Adapter Energy Usage Stats 1.5B 30% 11% 800k 300B 1.5B external power adapters are in use in the U.S. (about five for every person) 300B kWh/year flows through all types of power supplies in U.S. homes. 11% of the U.S. national electric bill can be attributed to power adapter use. Left unchecked, small appliances and consumer electronics products will account for 30% of the U.S. household electricity bill in 2010. Energy Star guidelines for power adapters will help save over 5B kWh of energy, preventing the release of 4M tons of greenhouse gases and equivalent to taking 800k cars off the road. Power Adapter Core Line Home/Office Travel/Out & About Best K33403US Wall/Auto/Air Notebook Power Adapter with USB Power Port ($129.99) K38031US Wall/Air Ultra Thin Notebook Power Adapter ($139.99) Better K33402US Wall Notebook Power Adapter with USB Power Port ($99.99) K38030US Wall Ultra Thin Notebook Power Adapter Good ($119.99) K33404US Wall Notebook Power Adapter ($89.99) simple, safe & portable productive, reliable & packable Wall/Air Ultra Thin Notebook Power Adapter idea: The power to travel light. Sleek, slim design ideal for travel “flight friendly” Travel Pack includes: i) EmPower® charging cable, ii) Mini-USB charging cable, iii) Nylon Pouch USB power port, simultaneous charging SKU - K38031US Street Price: $139.99 Available: Jan ‘09 Compatible with >90% of notebooks Wall Ultra Thin Notebook Power Adapter idea: The power to travel light. Sleek, slim design ideal for travel USB power port, simultaneous charging of notebook and mobile device Compatible with >90% of notebooks SKU - K38030US Street Price: $119.99 Available: Jan ‘09 Wall/Auto/Air Notebook Power Adapter w/USB idea: The one power adapter, wherever you go. Auto/Air adapter included USB port for dual charging devices Wall/Auto/Air usage Compatible with >90% of notebooks SKU - K33403US Street Price: $129.99 Available: Now Wall Notebook Power Adapter w/USB idea: Reliable power for your notebook and mobile devices. USB port for dual charging devices Wall only Compatible with >90% of notebooks SKU - K33402US Street Price: $99.99 Available: Now Wall Notebook Power Adapter idea: Reliable power for your notebook. Best OEM replacement Wall only Compatible with >90% of notebooks Top selling sku SKU - K33404US Street Price: $89.99 Available: Now The POWER of Kensington Unique dual charging capability – USB port First to market “Green” power adapters +90% compatibility Blackberry ready with included mini USB cable ( Best Selling Smartphone for business) 30% thinner and 22% lighter than 90W OEM adapter Power Adapters K33197US $149.99 Wall/Auto/Air Ultra Portable Notebook Power Adapter EOL K33030US $139.99 Wall/Air Ultra Thin Notebook Power Adapter Price Point K33403US $129.99 Wall/Auto/Air Notebook Power Adapter with USB Power Port K33031US $119.99 Wall Ultra Thin Notebook Power Adapter K33336US $119.99 Wall Ultra Portable Notebook Power Adapter K33402US $99.99 Wall Notebook Power Adapter with USB Power Port K33404US $89.99 Wall Notebook Power Adapter Sept Oct Nov Dec Jan 09 Feb Mar Internal Roadmap – Company Confidential Apr May Jun Mobile Device Chargers We do more than notebook adapters. Gadget stats Install base of 3.2B mobile phones worldwide in 2007 U.S. sales of Smartphones +84% ending July 2008, total 9M units, or $1.7B 200M units iPod install base 75M digital cameras will have sold in U.S. by the end of 2008 Users need to recharge their devices! Source: Gartner, InfoTrends, Apple, NPD Portable Power Pack for Mobile Devices idea: Hours of power. Anytime, anywhere. Compact, rechargeable battery pack for USB devices Recharge via notebook USB or AC adapter LED battery gauge Lithium-Polymer battery SKU - K38021US Street Price: $59.99 Available: Now Rechargeable Pocket Booster for Mobile Phones idea: A jolt of juice for your mobile phone Up to 3hrs of extended talk time Uses 2-AAA rechargeable batteries – “eco-friendly” Dual use - batteries can power other devices USB Port SKU – K38036US Street Price: $24.99 Available: Feb ‘09 Complements USB Power Tips (sold separately) Ultra Portable Power Inverter 150 idea: A mobile wall outlet for the car or plane. 150W of AC power Works in the car and the airplane Built-in safety features SKU - K33362US Street Price: $69.99 Available: Now Auto Power Inverter with USB Power Port idea: A wall outlet for your car. 90W of power USB and AC power ports Simultaneous power and charging dual devices Built-in safety features SKU - K38022US Street Price: $39.99 Available: Now 4-Port USB Charger for Mobile Devices idea: Recharge, four devices at a time. Charge up to four mobile USB devices from one AC outlet Eliminates wall clutter Compact – doesn’t block other AC outlet Complements USB Power Tips (sold separately) SKU – K38035US Street Price: $29.99 Available: Now Portable Power Outlet idea: Turn one outlet into five. Power and charge up to five mobile devices 3 wall outlets/2 USB power ports Slim and lightweight Built-in surge protection SKU - K38032US Street Price: $24.99 Available: Now International Plug Adapter w/USB idea: The Worldwide Wall/AC Adapter. Compact, 1-piece design Slide-out power plugs to charge electronic devices Works in over 150 countries Built-in safety features SKU - K33346US-CL/ K33117 Street Price: $29.99/ $19.99 Available: Now Auto Power Adapter with USB Power Port idea: Power your mobile devices in the car. Uses 12V power port to charge USB mobile devices Built-in safety fuse Complements USB Power Tips (sold separately) SKU - K33418US Street Price: $9.99 Available: Now USB Power Tip Packs idea: Powering your mobile devices is now simple and easy. PDA/SmartPhones: (3 tip packs) K24516 - USB Power Tip for RIM® Blackberry® K24517 - USB Power Tips for Palm® Mobile Devices* K24518 - USB Power Tips for HP® iPaq™ Pocket PC Cell Phones: (5 tip packs) K24511 - USB Power Tips for Motorola® Cell Phones K24512 - USB Power Tips for Nokia® Cell Phones K24513 - USB Power Tips for Samsung® Cell Phones K24514 - USB Power Tips for LG® Cell Phones K24515 - USB Power Tips for Sony® Ericsson Cell Phones Media Players: (2 tip packs) K22029 - USB Power Tips for Creative® Portable Media and MP3 Players** K22030 - USB Power Tip for Apple® iPod® SKU – K2xxxx Entertainment: (1 tip pack) K22028 - USB Power Tips for Nintendo® Game Boy™ and Sony® PSP™ Street Price: $14.99-$19.99 Available: Now *TREO Smartphone and Palm Handhelds USB Power Tip Packs gives you flexibility to charge with any USB device! 1) via Kensington notebook adapter 2) via Kensington Auto Power Adapter with USB 3) via notebook USB port 4) via other USB devices Car Charger Deluxe for iPhone & iPod idea: Arrive at your destination fully charged. Adjustable gooseneck and arm holders Cradle rotates for horizontal viewing Powers and charges iPhone and iPod models 3.5mm Auxiliary cable included SKU - K33433US Street Price: $49.99 Available: Now Car Charger for iPhone & iPod idea: Arrive at your destination fully charged. Detachable USB power and charging cable LED Power indicator Built-in safety fuse SKU - K33410US Street Price: $19.99 Available: Now International Travel Charger for iPhone & iPod idea: The charger for iPhone and iPod that works wherever you travel. Works in over 150 countries Interchangeable plugs Detachable USB to 30-pin connector SKU – K33435US Street Price: $39.99 Available: October ‘08 Rechargeable Battery Pack & Charger for iPhone and iPod idea: Hours of power. Anytime, anywhere. Extends: iPhone - 6hrs talk, iPod touch - 55 hrs of music, 14 hours of video 1800mAH Lithium Polymer rechargeable battery pack Includes AC adapter and iPod charging cable SKU - K33396US Street Price: $69.99 Available: Now Mini Rechargeable Battery Pack and Charger for iPhone and iPod idea: Keep on talking, keep on rocking. Rechargeable battery pack Extend play/talk time – 9 hours music, 6 hours video, 3 hours of talk Includes retractable USB re-charging cable SKU – K33442US Street Price: $49.99 Available: Now Power and Sync Cable for iPhone and iPod USB to 30-pin connector Charges all iPod models with dock connector (except 3rd generation) SKU - K33444US Street Price: $14.99 Available: Now Mobile Device Power Charger K38021US $59.99 Portable Power Pack for Mobile Devices Price Point K33346CL-US $29.99 Travel Plug Adapter with USB Charger K38035US $29.99 4-Port USB Charger K38032US $24.99 Portable Power Outlet K38036US $24.99 Rechargeable Pocket Booster for Mobile Phones K33117 $19.99 International Plug Adapter K33418US $9.99 Auto Power Adapter with USB Power Port Sept Oct Nov Dec Jan 09 Feb Mar Internal Roadmap – Company Confidential Apr May Jun Price Point Mobile Device Power Chargers K24511US $19.99 K24512US K22030US USB Power Tip Pack K24513US K24514US K24515US K24516US K24517US K24518US K22028US K22029US $14.99 USB Power Tip Pack – 8 packs Sept Oct Nov Dec Jan 09 Feb Mar Internal Roadmap – Company Confidential Apr May Jun K33396US $69.99 Battery Pack and Charger for iPhone/iPod iPhone/iPod Chargers K33442US $49.99 Mini Battery Pack and Charger for iPhone/iPod Price Point K33433US $49.99 Car Charger Deluxe for iPhone and iPod K33435US $39.99 Travel Charger for iPhone/iPod K33410US $19.99 Car Charger for iPhone and iPod K33444US $14.99 Power and Sync Cable for iPhone/iPod Sept Oct Nov Dec Jan 09 Feb Mar Internal Roadmap – Company Confidential Apr May Jun The POWER of Kensington Unique dual charging capability – USB port Consolidates multiple wall chargers USB tips for most cell phones Blackberry ready, Works with iPhone, Made for iPod Portable and lightweight Universal for most mobile devices Marketing Tools Competitive Landscape New Products Flyer Spec sheets Flash demos Website updates Promotional plans PR Plan New PowerCenter – initial concept Team Deliverables Checklist? Objective and Strategy Spring 09 Storyboard Product Training Marketing tools – – – – PR Plan Promotion Plan Sell Sheets Flash demo Action items – execute3 What we need from you… Present Kensington as category leader with power center destination/solution Gain new placement with power center merchandising plan Create training and merchandising strategy by account Category Sku List P/N Description Notebook Adapters K33197US Wall/Auto/Air Ultra Portable Notebook Power Adapter K38031US Wall/Air Ultra Thin Notebook Power Adapter K33403US Wall /Auto/Air Notebook Adapter w/USB Port K38030US Wall Ultra Thin Notebook Power Adapter K33336US Wall Ultra Portable Notebook Power Adapter K33402US Wall Notebook Adapterw/ USB Port K33404US Wall Notebook Adapter Inverters K33362USC Ultra Portable Inverter K38022US Auto Power Inverter with USB Power Port Mobile Device Chargers K38021US Portable Power Pack for Mobile Devices K38035US 4-Port USB Charger for Mobile Devices K33346US-CL Int'l Travel Plug Adapter w USB Charger K38032US Portable Power Outlet K38036US Rechargeable Pocket Booster for Mobile Phones K33117 Int'l Travel Plug Adapter K33418US Car Adapter with USB port Street Price $149.99 $139.99 $129.99 $119.99 $119.99 $99.99 $89.99 $69.99 $39.99 $59.99 $29.99 $29.99 $24.99 $24.99 $19.99 $9.99 Category Sku List Street Price P/N Description USB Tip Packs K24511US USB Power Tips for Motorola® Mobile Phones $ 19.99 K24512US USB Power Tips for Nokia® Mobile Phones $ 19.99 K24513US USB Power Tips for Samsung® Mobile Phones $ 14.99 K24514US USB Power Tips for LG® Mobile Phones $ 14.99 K24515US USB Power Tips for Sony® Ericsson Mobile Phones $ 14.99 K24516US USB Power Tips for RIM® Blackberry® $ 14.99 K24517US USB Power Tips for Palm® Mobile Devices $ 14.99 K24518US USB Power Tips for HP® iPaq™ PocketPC $ 14.99 K22029US USB Power Tips for Creative® Zen™ Portable Media Player and$MP3 14.99 Player** K22030US USB Power Tips for USB Power Tip for Apple® iPod® $ 19.99 K22028US USB Power Tips for for Nintendo® GAME BOY™ and Sony® PSP™ $ 14.99 Portable Gaming Devices iPhone/iPod Chargers K33396US Battery Pack and Charger for iPhone and iPod $69.99 K33433US Car Charger Deluxe for iPhone and iPod $49.99 K33442US Mini Battery Pack and Charger for iPhone and iPod $49.99 K33435US Intl Travel Charger for iPhone/iPod $39.99 K33410US Car Charger for iPhone and iPod $19.99 K33444US Power and Sync Cable for iPhone/iPod $14.99 Questions?