Malco Case Study
Background
Malco Products, Inc. manufactures car-cleaning products for the automotive aftermarket. Malco sells roughly 200 SKUs, through 500 independent distributors, to end users who are at dealerships, car washes, detailers and body shops. Prior to this engagement, we had created comprehensive product education and sales skills training programs. Both were instrumental in a first-year 18 percent boost in top line sales. However, Malco wanted more from Avatar.
Impetus
Malco planned to launch two complimentary products under the name Ultrashield that could be used to protect both the interior fabrics and the exterior paint of a new vehicle. These were sold to new car dealerships who in turn would use them to “up-sell” new car buyers. The products are extraordinarily profitable, which gave the dealerships a strong incentive to sell them as value-added with each new car. In fact, the profit from this aftermarket sale often exceeded the profit the dealership made on the sale of the car.
Solution
Avatar designed materials to:
- Teach independent Malco sales reps how to sell Ultrashield to new car dealerships.
- Teach car wash/detailers at the dealerships how to apply these product.
- Provide the dealerships with point-of-purchase marketing materials, including a five-minute promotional video and glossy brochures. The dealerships used these to “pitch” Ultrashield to new car buyers.
Results
First full-year sales exceeded $2.5 million, more than double the initial projections. More importantly, Malco closed dozens of new dealerships to whom they could sell their entire line of 200 car care products, solely on the strength of Ultrashield’s benefits.
