Testimonial #7

Rico International retained us because their sales had been flat for 20 years. Our consulting division conducted focus groups, created and helped to execute a marketing plan, and our marketing communications group created 28 brochures, designed displays for their distributors and dealers, and redesigned their packaging and other collateral. Within only 90 days of implementing the strategies of the plan, revenues climbed 35%, and at the end of that year sales climbed from $15 to $20 million and the business was sold for a premium price.


Client: Rico International, Inc. — the world's largest manufacturer and marketer of reeds and accessories for woodwind instruments.

Client Location: Sun Valley , California with operations also in Nice, France.

Key Contacts: Ralph Goldwyn, Owner and Board Member (since deceased), Marvin L. Snyder, former President, and Karen Hostetter, former Customer Service Manager.

Project Scope: Consulting in the areas of marketing, business development, and market research; Creating and conducting focus groups; Developing a Marketing Plan; Developing Brand Identities for their 9 different brands; Implementing plan strategies; Developing product displays; Serving as a liaison to their advertising agency; Creating 28 brochures for distributors, dealers, and consumers; Developing many other marketing communications.

Return on Investment: Total client investment in Kalb & Associates fees = $216,707 over a 2.5-year period. Within two months of the marketing plan's initial implementation, sales increased 35%... after being flat for 20 years. At the end of that fiscal year, sales increased from $15 to $20 million. Based on this increase, the company was sold for a premium price for the benefit of the four owners.

Testimonial letter:

October 20. 1995

Dear Ira ,

I am writing this letter to thank you for the marketing assistance you have provided to Rico International over the past two years.

I have been with this company for 18 and one-half years. During this time our sales have been virtually flat. In just the first quarter since we began to implement the marketing plan you created for us, our sales are up considerably. It is the biggest quarter in our company's history! What is even more significant is that sales of our more profitable higher-end reeds have grown at an even higher rate.

Everything seems to be working according to plan. Your repositioning of our products is working since dealers and distributors are now better able to understand the differences between, and uniqueness of, our various brands.

Your changing our distribution strategy is working much better than even expected. We are able to concentrate on a much smaller number of distributors. Rather than requiring dealers to buy some products directly from us, they are able to buy them from their favorite distributor who offers them better credit terms and quantity discounts. This has cut the number of resellers on which we must focus from over 2,600 to just over 20. We can now service these 20 extremely well, and we can get the information we need directly from them to do a better job of forecasting. Dealing directly with far fewer resellers and putting larger order quantities on far fewer invoices has also cut our processing, inventorying, handling, and document storage costs substantially.

Your pricing strategies are working well. Even through you increased prices quite significantly in the higher end products to better position them relative to the competition, those products are selling better than ever.

Your promotional strategies are already very effective. We have received nothing but compliments on the brochures and brand sheets you created for each of our products. The product display you helped design for our dealers is also working extremely well to display our products, which were formerly kept out of sight in drawers. Now they are displayed, more customers will be reminded to ask for our products.

Every aspect of the new plan which we have implemented to date seems to be working well. What is particularly significant is the fact that you did the work for us under some difficult conditions. While you were working to help us, you were able to get beyond many of the obstacles in your way. You did this even as there was significant turnover in the marketing department.

Ira, thank you again for all your efforts. As we have already discussed, I would like to continue to use your services as the need arises.


Marvin L. Snyder, President



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