You are on page 1of 3

SDSS exports to Ireland, France, Germany, Belgium, Holland, Portugal, Sweden, Spain, Saudi Arabia,

Canada, the US, Tasmania, New Zealand and South Africa. The original Shelton trencher went into
commercial production in 1981 and won the Royal Agricultural Society of England (RASE) Silver Medal in
1983.The market for SSDS was seen to be sports venues, including cricket, golf, football and rugby
grounds, worldwide. Sports grounds need intensive drainage to allow them to be played on all year
round. Drainage equipment has, in the past, caused considerable disturbance to the playing surface and
facilities were often out of use for weeks, sometimes months. 5SDS claims it is possible to ‘drain today
and play tomorrow’. Shelton equipment has been used at Twickenham and Murrayfield grounds, St
Andrews and Loch Lomond golf courses, Birmingham City and Benfica football clubs and the 2007 World
Cricket Series pitches in the West Indies. Sixty pent of machine sales are exported. Reliability of
equipment is very important and 10 per cent of is devoted to R&D. In 1983, turnover was £35 000, by
1985 it was £180 000. Turnover is now in of £1 million.

In 1998, SSDS formed another company, Shelton Drainage Solutions (South Africa) SDS A Originally it was
set up to sell, contract and hire SSDS equipment but now it is involved mainly con tracting work. It boasts
that it has drained every racecourse and every polo field, bar one, in South Africa. It drained the pitches
for the World Cricket series in 2003 and will drain the pitches the 2010 Football World Cup, both in South
Africa. More than 80 per cent of overseas sales are de through direct contact, based on an international
relationship marketing approach. Direct contact is made through trade exhibitions and from enquiries
made in response to papers and articles published in international trade journals. As a consequence,
about 50 per cent of the machines sold are customised to buyer requirements.

Customisation: Several sizes of trenchers, trailers and back-fillers are available, depending on customer
need.

New product development (NPD) process: New designs are built as prototypes and initially go into the
‘contracting division’. Skilled self- employed technicians staff the contracting division. This prototype trial
period extends to about one year. The machines are then hired out – a quick way to determine any
further weaknesses! Only then, do they go into repeat production.

Buy-back options: Much equipment is sold on a ‘buy-back’ basis. Used machines are refurbished and
sold on with a guarantee. This repurchase system provides a ready secondhand supply to the market for
smaller operators, e.g. contractors, smaller golf courses (less than 90 acres), and football and rugby clubs
with only a few pitches.

Premium pricing: Premium pricing is applied for several reasons. The machines are very robust, stainless
steel being used widely in their construction. Breakdowns in the field can be costly, Operator and
supervisor training is often undertaken on delivery of machines; plus the guarantees are interpreted
generously.Finally, the well-built machines have a good trade-in value. Discounts are given for prompt
payment, i.e. within three weeks.

Currency: Prices are quoted in pounds sterling and, to European buyers, in euros also. Exchange rates are
calculated by reference to the currency markets, and both spot and forward purchases and sales are
made in currency to cover sales made abroad. Payments can also be made in US dollars for goods
exported to that market. SSDS uses an international merchant bank to help them with currency
transactions.

International marketing communications: The SSDS drainage systems have won numerous prizes for
innovation: three Royal Agricultural Society of England (RASE) Silver Medals and the 2006 European
Society of Agricultural Engineers Innovation Award. Papers and articles are published in trade journals in
the sports and turf maintenance sectors. English is the main language of these journals and magazines.

International promotion: Although agents have been appointed in the US, Germany and Sweden, they do
not seem to have the necessary expertise in drainage solutions to be able to promote sales effectively,
although they have received training. Most of the sales are concluded on a face-to-face basis directly
with SSDS technical personnel from contact at international sports and leisure trade exhibitions. In the
US, a large exhibi- tion stand is shared with Mastenbroecks, a German MNC manufacturing very large-
scale trenching equipment.

International relationships: Word of mouth is a very important means of spreading the benefits of SSDS
in this small global niche industrial market. Initially, people come from all over the world and are shown
the machines working over three or four days. This personal connection benefits the post-purchase
relationship, as the buyers are then personally known to the small group of SSDS sales staff. Should any
problems arise, the level of communication has been established and staff may go out to the foreign
buyer’s site and sort out any problems. In this way, a reciprocal relationship is developed and SSDS
maintains a good reputation of care for its clients.

Language: Attending the Trade and Leisure Exhibition in Paris will mean hiring a linguist to help to
promote the drainage systems. Government funding has been acquired to meet this extra cost and to
have some of the brochures translated.

Distribution: Machines and parts are despatched around the world, usually by container. The width and
height of some of the machines have had to be altered so that they fit into the containers. Sometimes,
con- tainers can be shared with distribution partners. This often happens when shipping to North
America. One major problem has been damage to equipment whilst in transit. No claim for damages
from the insurance company has ever been successful! As a consequence, SSDS pack their own
containers to ensure that the machinery arrives undamaged, rather than leave it entirely to shipping
agents.

You might also like