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C. STEWART
J. GIBSON
J. EMMONS
Intro to Stile & Rail….
• Traditional
 National leader in S&R
door manufacturing
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Established in 1985 in Grants Pass
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Mission Statement:
RVD will continually offer an extensive, high
quality product in a time competitive manner
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Stile and Rail product
manufactured entirely from
Medium Density Fiberboard (MDF).
Brand Extension
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Line Extension - New product in RVDs existing
market
Product development
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STRENGTHS AND OPPORTUNITIES
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Cost effectiveness of MDF
• Allows for higher margins
• Market Niche demands a premium
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Ease of manufacturing
• Less waste involved
• Allows for shorter leads times
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STRENGTHS AND OPPORTUNITIES:
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Core competencies
• Green compliance expands customer base to
environmental projects
• StileLine™ is conducive to painting
• Brand recognition
• Mix-n-Match species
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WEAKNESSES AND THREATS:
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Complexity involved with production and
distribution of numerous small quantity
custom orders
Exclusive distribution of intermediaries
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WEAKNESSES AND THREATS:
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Labor costs
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Competition – TruStile
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Even w/automation still very manual
Law of Duality – TruStile & StileLine™
Imported products
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SOCIAL:
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Society demands high quality custom
building products
Customers have become more involved in
fulfilling their own needs
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One-to-one marketing
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SOCIAL:
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MDF products fit the “Green Trend”
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Law of Acceleration - successful programs
are not built on fads, they're built on trends
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LEGAL:
 Government standards
and regulations:
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Fire Code
Energy Efficiency
Sound
Transmission
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ECONOMIC:
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Lower interest rates: Remodel and new
construction
 Income distribution
• Mid to High income customer base
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POLITICAL:
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Trade policies dictate resources such as raw
materials
• Tariffs are used to increase domestic vs.
foreign supplier purchasing.
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State and local lobbyists for labor unions
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TECHNOLOGICAL:
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Television/Internet have increased
awareness of custom door options
Web based pricing allows quicker MSRP
quoting
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TECHNOLOGICAL:
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Automation
• Computer Aided Drafting (CAD) software
allows customers to easily design their own
product - RVD.com
• Computer Numeric Control (CNC) machines
improve speed and design alternatives
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Primary market will be the new England
States (Wealth)
• Due to existing demand created by TruStile
• Existing customers desire a product to
compete
÷ Law of the Ladder
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Potential to become direct
competition
Steel & Fiberglass
Competition to meet
consumer needs
TruStile™
Ovation
Supa
RVD
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 Our Point Of Difference is the quality and
product breadth associated with RVD
÷ Law of the Mind in terms
of customizability
and quality
 Market Segmentation
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Increase product awareness by 30% within the
1st year
• Measured by customer surveys
$1 mm in sales within during 2010
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Product Demand:
At 3,000 units per cycle (week), RVD
anticipates 256 units per cycle for
StileLine™
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Sales are anticipated to dramatically increase
through 2012 by over 100%.
Product Life Cycle indicates maturity by 2012
w/$2MM in yearly sales
Profit Margin EBIT @ 5%
ROI @ 7%
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THE
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RELATIONSHIP MARKETING:
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ARCHITECTURAL INSTITUTE OF AMERICA
CO-OP PROGRAM –
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1% OF GROSS SALES SET ASIDE FOR CUSTOMERS TO USE FOR
ADVERTISING
INTEGRATED MARKETING – 4 PS:
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PRODUCT – 5 YEAR WARRANTY, REPUTABLE BRAND NAME
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PRICE – QUANTITY DISCOUNT, CASH DISCOUNT (1%/10 NET 30)
PRICE DISCOUNTS TO CUSTOMERS FOR PAYING ON TIME
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PLACE – FREIGHT ALLOWANCE BASED ON VOLUME, DEDICATED
CUSTOMER/SUPPLIER NETWORK
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PROMOTION – CATALOG, WEBSITE, PRODUCT DISPLAYS FOR THE
DEALER NETWORK, STORY IN “WINDOW & DOOR” MAG,
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INTERNAL
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TRAIN CUSTOMERS ON THE SPECIALIZED PRODUCT –
ENVIRONMENTAL BENEFITS, QUALITY, - TO BE ABLE TO
HIGHLIGHT THE SELLING POINTS OF THE PRODUCT
DEVELOP INTRANET WITH TRAINING MODULES ALLOWING
SELLER CUSTOMERS TO REFRESH THEIR MEMORY OF THE
PRODUCT
SOCIALLY RESPONSIBLE:
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PROMOTE THE “GREEN” FACET
EFFICIENT PRODUCTION – NO WASTE
PERCENTAGE OF SALES DEDICATED TO CONSUMERS
CHARITY OF CHOICE
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Law of duality – TruStile & StileLine
Acceleration - successful programs are not built on
fads, they're built on trends
Ladder Law of mind – in terms of customability
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Define the core competencies –Week 1 Slide 113
Mission statements – wk 1 sl. 119
SWOT – sl 136
Marketing plan – wk 1 sl. 147 (market overview)
Slept – wk 2 #113
Income distribution – mostly high incomes
 We need to state average cost!!
Target marketing – wk 3 #104
 Identify as a niche market – need fulfillment and demand a premium
 Medium to high incomes
 Those remodeling or building
One to One ******* #112
What's our pattern? #115
Law of duality
Law of extension
Acceleration
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Week 5 #129 Holistic Requires external, internal, and interactive marketing efforts
External includes marketing mix activity
Internal includes training and motivating employees
Interactive marketing describes employee’s skill in serving the
consumer
Wk 6 #92 - Brand extensions
Two types
Line - parent brand used on new product
Talk about benefits of…
Wk 6 #119 – Our PO Difference is the quality level associated with RVD
We have a POParity with TruStile
Market Competitive Landscape - #141 TruStile’s weakness is h=their lack of Brand Name (share of the mind)
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Wk 7 #59 – Exclusive distribution of intermediaries
#62 – discussing channel members
5 Ms W8 #75
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Consumers like catalogs – wk 8 #58
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