Team,
We are in the home stretch of 2021, one more quarter to go! Our Virtual Principals Meeting is scheduled for Wednesday, October 13th. In addition to covering our strategic initiatives for 2022, we will be sharing the Spacesaver Group’s performance through nine months and our forecasted finish to 2021. I will also be sharing an operations update, which will include our new plan for communicating orders not shipping as promised. Although our performance in operations is not where we thought we would be at this time, we continue to make progress, in light of our continued challenges with supply chain disruptions and labor shortages. As you know, these issues are not unique to Spacesaver.
Regarding our military and government markets, we are waiting for further clarification from our legal counsel(s) on how Biden’s Executive Order 14042 (Ensuring Adequate COVID Safety Protocols for Federal Contractors) may affect not only Spacesaver Corporation, but our entire network of Area Contractors and subcontractors. It appears to apply only to service contracts, which means installation services would be affected. Time is of the essence since these mandates go into effect December 8, 2021. As soon as I find out more information about the exact impact to the Spacesaver Group, I will be in touch.
I’m looking forward to seeing all the Principals and Sales Managers on October 13.
Regards,
Mark Haubenschild | President/CEO
Spacesaver Scorecard
The third quarter closed out with a major boost to our YTD numbers…thanks in large part to Diversified Storage Solutions, who secured the largest order of the year on the way to booking over $5M in September! This win moves them to 280% of YTD quota, behind StorageLOGIC (348%) for the lead based on quota percentage. In any other month, AOS ($967K or 540%) and Casper Corporation ($861k or 449%) would be garnering all the attention, as they led the rest of the group of monthly quota-hitters. DSS now sits at $9.2M for the year in incoming orders, firmly in second place trailing only Patterson Pope – who has entered $13M in new orders through three quarters (102% of YTD quota). Heading into the final months of the year, we have 20 PARs exceeding their incoming order YTD quota, and 4 more at 90% or higher.
We took yet another step forward in shipments, with 17 PARs exceeding their monthly quota (combined total of 110% of monthly quota), led by Patterson Pope ($1.3M shipped), Midwest Storage Solutions (311% of quota) and Donnegan System ($780K shipped or 200% of quota). For the year, the group surged to 94.5% of YTD quota and with the expected backlog we should close that gap before December ends.
Winter is coming (for all you Game of Thrones fans) but this Group has proven to be prepared for any weather, obstacle or challenge. Thank you all for the unbelievable year we are achieving together!
The Team has FOCUS
Synergy. Transformation. Superiority. Momentum. Performance. Resilience. These words truly represent all the wonderful things we have accomplished in 2021. However, like all good things, ‘better’ is waiting just around the corner. We have paved the way for our 2022 strategic initiatives, built our rally cry that will bring them life, and will be rolling out our plan to kick start our 50th year. Sit tight—we have a plan that is sure to reIGNITE, reNEW, and reVISION us into the future.
Vertical Market Updates
Library and Education
Don’t forget: the American Rescue Plan is steering millions of dollars toward this market! You can help your clients use it to get funding for storage projects that free up space for social distancing, pop-up testing or vaccine clinics, and more. If you missed our “Follow the Funding” webinar, check it out here.
Making sure your clients understand ARP opportunities is especially important as schools and campuses enter the fall planning period. Your clients in the education market are planning for the upcoming fiscal year now, so be sure you’re on their radar!
Next Library and Education Call: October 29 at 1:00 CST
Want to strategize? Contact Zak Hermans to get started.
A ‘Powerful’ Sale
Congratulations to Stuart Lowe of Casper Corporation, who sold a large powered mobile system to the Shapiro Library at the University of Michigan! The university has been a client for years, and back in 2019 Stuart developed five different book storage scenarios to help consolidate the library’s collection. The project stalled during the COVID shutdown, but in spring 2021 the client came back with funding and opted to triple size of the Eclipse system they’d previously installed in the library’s lower level. Stuart was able to get strategic pricing from Spacesaver despite the price increase, and the sale resulted in $778,247 Spacesaver net.
Museum
Over the past couple of months, we’ve been pushing the Viking Preservation Cabinet – 920 Series through email, social media, and advertising, and we need you to back up those efforts out in the field! Check out our product presentation and find all the 920 collateral here.
Next Museum Call: October 19 at 10:00 CST
Ben Adamitus is here to share ideas and provide insights into the museum market.
Historic Changes
Kudos to Ryan Mawhinney at Bradford Systems, who landed an impressive sale right in Spacesaver’s back yard! Ben Adamitus initially worked with a consultant for the Walworth County Historical Society’s museum, and he brought Ryan into the project when Bradford’s territory expanded into Wisconsin. After thinking they’d need to build a modest addition to accommodate collections storage, the society jumped at the chance to acquire a large city-owned building in downtown Elkhorn. The museum’s final storage layout takes full advantage of the building’s location on a street corner, with custom stationary shelving and endcaps on the mobile system that will be visible from the sidewalk and street on two sides. The project also includes Nantucket drawers for maps and flat files, 4-post shelving with accessories, and custom woodwork…and it resulted in $49,065 Spacesaver net.
Agriculture
We’re looking forward to showing off our newest innovations at MJBizCon in Las Vegas this month! We’re taking a GROW Mobile System outfitted with steel trays, Hawthorne ABS trays, Gavita lighting, and our accessories for integrating plumbing and electronics. We’ll also have a GROW Drying System (carriage, racking, and cart) outfitted with vertical posts and T-Bars, and we’ll even give away a cart at the show! The winner will be drawn at random from the leads we scan, and as always, we’ll pass leads in your territory along to you!
Reach out to Greg Sayre for insights and advice in this market.
Cultivating Relationships
High fives to Brad Lieber at Systems and Space, who sold another large cannabis project! Brad is committed to building relationships with growers, facility managers, and others in northern California’s cannabis cultivation scene. That commitment is paying off with referrals and repeat customers. His most recent sale was a referral from a project manager with whom he’s worked on other grows; this sale includes two-tiered GROW systems in six flower rooms. The project resulted in $121,000 Spacesaver net.
Military
Happy Military New Year! After all the hustle and bustle of closing out the military’s fiscal year in September, you might be tempted to sit back and relax. But the work isn’t done! Take a short breather and then follow up with your contacts. We encourage you to get after first quarter funds before Thanksgiving to help ensure your projects get funded.
Next Military Call: October 28 at 1:30 CST
Want to strategize? Contact Pete Rooney to gain insights and start building a plan.
Successful Innovations
Congrats to Brandon Beyl at AOS Interior Environments whose persistence is paying off! Years ago, Brandon and an ADS rep worked with Spacesaver’s engineers to create the UEWSS tricon for shipping military weapons. The Navy Seebees have been placing small orders over the years, and now Brandon is closing the largest order yet: the Seabees out of Gulf Port are purchasing five units for each battalion and five for the group as a whole. This set of orders resulted in $660,000 Spacesaver net.
Major Projects Spotlight
When a multi-million-dollar order is on the line, it pays to loop in the Major Projects team! Garry Bashore at Diversified Storage Solutions partnered with Spacesaver to secure a large order with the Pennsylvania State Archives. Joe Leibfried helped Garry meet the customer’s technical needs, including coordinating the design of extra-tall 4-Post shelving and custom flat-file cabinets below open shelving. Garry was able to secure the sale under the Pennsylvania state contract with no competition, and this great example of teamwork resulted in an order that totaled $4,731,180 Spacesaver net.
Marketing Minute
Now that summer has come to a close and we get ready for autumn; changing colors, falling leaves, and pumpkins– we are returning to in-person tradeshows. Our triumphant return started with NeoCon in Chicago, where our theme was ‘A New Twist on the Old Fashioned,’ capturing the innovative spirit of storage with aesthetics and flexible storage to our AEC community. We now turn our focus to MJBizCon which is next week in Las Vegas. More details to come when we get back!
NOW AVAILABLE: a healthcare-focused AIA/IDCEC-accredited presentation! We are excited to have this new course available for the AEC community. We have learned that space in health centers continues to be expensive to design, build, and occupy, and every cubic foot that’s used for storage is space that could be used for patient care. This presentation counters the misconception that storage space is “wasted” because it doesn’t visibly impact patient care and directly generate revenue. In fact, convenient and thoughtfully designed storage for supplies and equipment can actually improve productivity, patient care, and profitability. Know an architect or designer that would benefit from this course? Check out our resources below:
ARCHITECTURAL DESIGN RESOURCES: Our newest resource for the AEC community on all things Spacesaver. We’ve compiled all of Spacesaver’s literature and sales tools (from specs to technical data sheets to brochures and design finishes) in one place. Everything is always up-to-date and new things are added often. Share it with your AEC connections today!
FACT OR RUMOR: Lori Compas no longer works at Spacesaver. Fact. You may have noticed that your Trailblazer emails have been coming from Spacesaver Marketing versus Lori personally. Lori has decided to take on a new adventure with a role at a local architecture firm. So, what’s next? Who is your contact for photography, installs or case studies? Marketing has already started recruiting a Content Marketing Specialist to pick up where Lori left off, so if you have any colleagues looking for a great place to start their career, send them our way! In the meantime, please reach out to Carla Chase with any questions related to cool ideas, installs, case studies.
Save the Date
October 2021
| October 19 | Conference Call | Museum Market Call |
| October 21 | Trade Show | MJBizCon – Las Vegas, NV |
| October 28 | Conference Call | Military Market Call |
| October 29 | Conference Call | Library and Education Market Call |
November 2021
| November 2-4 | Webinar | Product School |
| November 16 | Conference Call | Museum Market Call |
| November 19 | Conference Call | Marketing Tribe Call |
| November 25-26 | Office/Factory Closed | Thanksgiving Holiday |
December 2021
| December 15-17 | Trade Show | Cannabis Business Summit – San Francisco, CA |
| December 17 | Conference Call | Library and Education Market Call |
| December 21 | Conference Call | Museum Market Call |
| December 23-24 | Office/Factory Closed | Winter Holiday |
| December 30 | Conference Call | Military Market Call |