MAD
02/09/2014 11:13
GENERAL
REL: 1113 HRS Energy Mad Limited
GENERAL: MAD: New LED Model allows greater sales potential
Media Release 2 September 2014
New LED Model allows greater sales potential
Energy Mad has previously announced it is focusing on its new Direct to
Consumer Ecobulb LED sales model.
This model involves Energy Mad's existing independently contracted sales
force and an outsourced field force demonstrating Energy Mad's LED Ecobulb
light bulbs in consumer homes, and calculating the electricity savings for
that consumer from replacing their old light bulbs with Ecobulb LEDs.
The current low uptake of LEDs in New Zealand, combined with little
competition in the direct to consumer space, creates a market opportunity
that Energy Mad is positioned to take advantage of.
Energy Mad has made excellent progress with its outsourced field force in New
Zealand, and is scaling up its activities in this area.
The Company is also preparing for trials later in 2014 with large field
forces in Australia, the United Kingdom and the United States.
The field forces in these countries can have up to 500 sales consultants
focusing on any one initiative.
Energy Mad intends to increase its focus on these field forces and is
proposing scaling back its organisational structure subject to consultation
with its employees.
"This revised focus could result in annual cost savings of up to $1.3
million. However, we will be discussing this with our staff over the coming
weeks to get their input before making any final decisions about the
potential change in our organisational structure" said Energy Mad Chief
Executive Officer Paul Ravlich.
If realised, the cost reductions could lower Energy Mad's annual breakeven
revenue to $6.4 million said co-founder and Managing Director Chris Mardon.
Energy Mad expects to be in a position to make a further announcement once it
has completed consultation with its employees.
New Ecobulb LED bulb range
ENDS
For More Information Contact:
Chris Mardon, Managing Director
(021) 041 2981
End CA:00254744 For:MAD Type:GENERAL Time:2014-09-02 11:13:04
