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How Used Storage &
Handling Equipment CanComplement Your Business
Presented By:
Al Boston, Business Development
AK Material Handling Systems
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Located in Maple Grove, MN
Founded in 1988
Full line material handling distributor
Specializing in new and used pallet
racking
Stocking Wholesale Distributor (WPRP) of
New & Used pallet racks
1000s of successful material handling
projects
Largest Stocking Distributor of JL Wire
mesh decks in the nation
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New Teardrop Pallet Rack
In Stock Inventory
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Used Pallet Rack
In Stock Inventory
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Why buy
when Will Do?
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Customers demand used options evenif it costs more.
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Out with the OLD...
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In with the NEW...
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Do you supply used?
Incoming Lead...
2. Discussion.
3. Determine thatnew rack systemis what isneeded.
4. Quote andsell the rightrack system.
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Website Landing Page with both options: New & Used
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5%
95%
Used Sales
New Sales
2010 AK Sales Breakdown
$10,000,000 Gross Sales
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Convenient generally in stock or just coming down
Usually quicker sale
Sense ofurgency
Terms are COD so better cash flow
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When to NOTprovide used equipment:
Fortune 1000 usually buy new
although they can be goodsources for trade-ins.
When the rackmanufacturer provides
customer lead.
Building codes orcapacity required mayrestrict use of usedequipment.
You decide that usedwould not be appropriatefor customers image.
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Used product styles and nuances will be harder thanrepresenting a new product.
Trust and integrity needs to be throughout yournetwork. You are only as good as weakest link.
The inventory of used products coming in will rarely
equal the amount used product going out.
Your Integrity.
quality and representation = customers expectations.
What are the RISKS
to the distributor:
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Used product as parts most likely do not conform with original
manufactures recommendations.
PE stamped drawings are valid for current requirements meaningfuture requirements could be issue.
Unknown Variables= capacity, condition, engineering design, steelgauge, yield strength, and profile are all up for grabs.
Pallet rack is a system, not individualparts.
Factory warranty or product liability insurance.
What are the RISKS
to the End User:
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Clearly represent:
sizes, condition, structural integrity, compatibility, surface condition, andassumed capacity. Preferably pictures.
If using a wholesaler remember the product is a reflection on you.What is their guarantee.
Verify items like labels/mixed colors or brands. Costs of round tripshipping on mis understandings not acceptable.
Be open and honest with end users.Be sure to explain (system vs parts) and only proceed when they understand.
How to Mitigate the RISKS
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Mheda
201 US Highway 45Vernon Hills, IL 60061
ATT N: Gugl ie lmo, S teve
Quote To:
Proposal For: Used Teardrop Pallet Rack
60042938QUOTATION #
8670 Monticello Lane N Maple Grove MN 55369 Toll-Free 888-578-1579 Main 763-488-9777 FAX 763-493-5014 [email protected]
8/30/2011uote Date:
Credit CardTerms:
Prepaid & AddShipping Terms:
Shipping Point:
Direct Line:
Fax:
Maple Grove, MN 55369
In StockDelivery:
Main Phone:50102999Account #:
AMOUNTQTY PART NO. DESCRIPTION PRICE/UNIT
WPRPWHOLESALE PALLET RACK PRODUCTS
$10,000.00100 USED Frame Interlake Teardrop 48 x 168 Green $100.00USED
$12,500.00500 USED Beam Interlake Lug 4 5/8 x 108 Orange $25.00USED
Thank you for your quote request, Let me know if you have any other
questions. NOTE: The used product on this quote is sold
AS IS and WHERE IS.Tax:
TOTAL:
Product Subtotal: $22,500.00
$0.00
$22,500.00
WPRPSalesperson :
uoted By:
A signedquotewill be acceptedas anorder providingaccount is openandcredit is approved.Special terms may apply.
You may sign & fax back as confirmation of your order. Your purchase order
number:
Accepted
By: Date:
All Prices Quoted Are Valid For Seven (7) Days.
Licenses, Permits & Building Code ComplianceAre The Responsibility Of The Customer.
Jason Kasanezky
Credit Card
Information:
Credit CardNumber: _______________________________________________Exp._____/_______
CardholderName: ________________________________________________________________
TOTAL WEIGHT: lbs.12500
What do you need to include in your
Used Rack Proposal?
NO Warranty
Warranty
X
The used product on this
quote is soldAS IS and WHERE IS.
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What should & how do you warranty used
equipment?
Parts are not damaged
Parts are not altered from originalmanufacturers intentions
Parts are compatible even if notfrom same manufacturers
Parts are as represented
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Presentation Recap
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Taking trade-ins on used equipment provides fullservice
Of
ering used options opens the door for increasednew product sales
Know who and when to supply used product
Understand the diference between Systems & Parts
Warranties should be clear to your client on yourproposal
Always represent used equipment responsibly~
HAVE FUN : ) !
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Questions...
22
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Contact Information:
Al Boston
763-493-5015
Thank you.
mailto:[email protected]:[email protected]:[email protected]:[email protected]