Of the 24 dealers responding, 19 actively sell the 2400 product. Those 19 dealers sold 50 NEC 2400 systems in 1993. The same dealers were projecting sales of 123 systems in 1994, or an increase of about 150%. These dealers currently service 361 2400 systems in the field with 100 certified technicians. Of those 100 techs, only 22 are ICS certified.
Comments and concerns that were raised were:
a. High costs of training
b. Certification test procedures, reluctance to send techs to take test due to travel and costs, concerns that NEC was not going to support ICS if tech failed test.
c. Some techs with years of experience failed the test (80 was passing we found out later) and some newer techs passed. There was a 67% passing rate. Techs that failed missed one or two too many questions. d. Questioned why techs trained in last 2-3 years weren't considered HDS trained?
Found that 86% of techs dealt with T-1's on 2400. About 35% of 2400's being serviced had a T-1 circuit. About 49% of techs were CCIS capable, but only 4% were trained in OAI. About 49% of sales staff were familiar with CCIS. 36% had seen a demo. In summary, we expressed concern that projected sales are up, but technician training and certification is not keeping up with the transition to the ICS product due to the problems reported.
Next, Bob Talty showed a revised 2400 brochure using Fusion concept on the cover. Same part number (200700). New orders will get the new brochures. He also showed the new attendant console brochure (200811), a new ACD brochure (200810), a new Commander MAT brochure (200809), ISDN brochure (200807), and a Dterm Series III single line phone brochure (200808). A new general description will be out in 60 days. Bob said the 2400 Users Group is being expanded and urged dealers to help get customers to join.
There was discussion concerning the development of a 2400 user list so that NEC can mail marketing materials directly to customers announcing new products and refer customers to their local provider. A national user list could be helpful in obtaining new sales in different parts of the country.
NEC will be publishing a magazine listing products and services, but there will also be several articles highlighting customers with NEC systems, particularly customers with national recognition. Dealers are encouraged to submit a brief paragraph explaining a unique application. Fax or Qmail to Bob Talty at Dallas. They will contact the customer and get the necessary permission and write the story. Good publicity for your customer and for the dealer!
Marketing is looking at a new lead management system for faster tracking of leads. A new autoquote system is being written that will be on the Dallas LAN. Dialup access will be similar to the Library, so dealers will need Aterm software (part of PC Anywhere).
The next marketing effort will be Fusion II that will emphasize OAI. Bob Talty showed a new Small PBX marketing handbook that is being developed for dealers. Floppy disks will contain boiler plate information for proposals. Also, sales feature guides will be provided for NEC systems. Tom Burger showed the new NEC Dealer plaques that will be mailed out to dealers soon. Also, a bronze, silver and gold colored plaque for sales recognition will be sent out.
A brief discussion was held on the 1400 product line.
Starting Monday, Jan. 24th, the $50 bonus spiff for the Pro I and the $100 bonus spiff for the Pro II is back in place. Electra Professional sales were up 25% in December with that promo in place. The $200 spiff for the 1400 is still in place.
Electra Professional Series 300 will only include:
a. T-1 with E+M Tie Line signalling, DID
b. Delayed Ringing
c. Account Codes for SMDR (not forced)
Also, several fixes will show up, such as lighting only one light if you have the trunk appearance and a CAP key. If you want to be a Beta site, call Rich Hansen at 214-751-7640. They have a few more openings as 20 Beta sites will be used. If you have a customer that has been upset due to the lack of delayed ringing, this should solve those problems. Beta site software will ship Jan. 29th. If we make it through Beta testing OK, final release will be March 11th.
There will be a free chip kit available (no $100 labor credit this time) to get customers that need it the series 300 software. If you have customers that really want Account Codes or Delayed Ringing, this would be the time to do it. Chips must be ordered during a 60 day window from April 1 to May 31st.
The current chip upgrade program (to 2.77) has been extended to March 31st.
NEC has agreed to a new Multi-Location Discount for key system. Offer your M-L customer an incentive to buy at least 25 systems in the next 12 months. Include at least a small penalty for them if they don't. You then get 33% discount on Electra Professional products for that customer. Forward a copy of the contract to Customer Service. Make a note on each PO for tracking purposes. You will not be back billed by NEC if the customer fails to perform. You pass on the savings to get the additional business and we all come out ahead. Please take time to explain this program to your sales people. Also, remind them of the bonus dollars for selling Pro systems NOW. If 10% of the dealers sold ONE M-L account we would all be very happy doing installation work and picking up customers we typically lose. If you run into a customer that wants a similar deal on PBX systems or wants to bundle some PBX's and some key systems, write it up and fax it to your account rep.
New label kits for the E-Pro should be easier to type. Part # 730300.
NEC is providing one wall plaque for each dealer to indicating that you are a factory authorized distributor. You can order additional ones for branch offices out of coop funds. We thought they looked very nice and will be a welcome addition to our office display room. The plaques are currently awaiting inserts from the printer to list the dealer's name. They'll be shipping to dealers in 30-60 days. Also, NEC will be sending plaques indicating sales success with Bronze, Silver and Gold certificates for sales achievement. Send a press release to your local paper when these arrive.
It was suggested that dealer discounts for next year depends on your sales for the year ending March 31, 1994. Check your contract to see what the levels are for the Pro and 1400. Call your account rep to see where you stand with 3/4ths of the year over as of Jan. 1st. Don't get caught just below! Also, 6 month bonus credit accumulation ends March 31st.
Finally, the question was raised on the account reps effectiveness now that there is a separate account rep for both key and PBX. Dealer Council members gave personal opinions that previous setup (single rep with single point of contact to NEC) was better. Currently, the account reps are spread too thin to be as effective. If any dealers disagree with this position, please contact the Dealer Association at 1-800-843-8322.
MINUTES - 2400 NAG MEETING - JAN. 20TH, 1994
The final meeting of the NAG (Neax 2400 Associates Group) was held on Thursday, Jan 20th at the National Training Center. The group voted to become a 2400 Product Group, as a part of the National Dealers Association and the Dealer Council. Further discussion concerned the possibility of setting up sub-committees for the 1400 and Electra Professional product groups as well. Members of these groups would need to sign non-disclosure agreements as product plans would be discussed and NEC product managers would be seeking input directly from these sub-committees as to priorities for new features, phones etc.
Work is progressing in getting 2400 technical manuals available on CD rom.
Discussion on problems with MCI link indicated that most issues had been resolved. Problems had come up with missed messages (no lights or lights not going off) with Octel and Centigram. These appear to be resolved. No problems reported with VMX or Microlog.
Kanji Suzuki joined the meeting and gave examples of recent sales in large hotel installations in Las Vegas. (MGM Grand, Excaliber, Riveria) and Taj Mahal in Atlantic City. Red Lion chains have been buying 2400's as well as Hyatt. Kanji announced that there will be a Fusion II 2400 dealer national meeting following the 2400 User Group meeting.
Greg Menne reported in ISDN testing and thanked participants for the recent survey response. Testing has been completed with AT&T 5ESS. NT 100 and 250 will be done 2nd quarter of 1994. Work is being done on a BRI station card so 2400 users can use any brand of ISDN set behind their 2400. Discussion of toll fraud problems. Larger systems have tightened controls, problems are showing up on smaller systems. Suggested checking DISA and voice mail ports carefully.
Mike Steinmetz reported on ACD progress. ACD Level III with Infolink software should be out in a few months. Rough pricing is available, but not finalized. Package includes a PC running Unix with cables for connecting multiple VT-100 type terminals for supervisors. Stephanie Jacobs discussed medical center systems and showed the new attendant brochure (200811). It was announced that the NEC Users Group will meet May 15-18 in Phoenix.