Business Proposition
Autel’s Product Line
Distribution in Brazil
About Brazil
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Population: Approximately 200 million
9th GDP in the World
2007 GDP Growth Rate: 5.4%
2008 GDP Growth Rate Projection: 5.2%
Car Sales Record in 2007: 29.7% growth
2008 Car Sales Growth Projection: 20%
9th Country on the Rank of Car Sales
7th on the Rank of Motor Vehicle
Producing Countries
• 143,000 Automotive Repair Shops
About Brazil
• While most of the important
countries are facing a recession,
Brazil keeps growth above 5% and
car sales continue impressive.
• The automotive markets in North
America and Japan are stagnant,
while those in South America and
Asia grows strongly. Of the major
markets, Russia, Brazil, India and
China sees the most rapid growth.
About Me
• My name is Romero Dubeux de
Andrade, I am Gary’s first employee.
I work with him for over 4 years now,
starting since the beginning, when we
developed the business plan to take
over Launch’s X431 product line
exclusively in the US market.
• As you know, we sold Launch’s
products in the United States,
building a good market and a strong
name for them.
Romero Dubeux de Andrade
• I was born and raised in Brazil. My
father is an American citizen, which
makes me a dual citizen by birth of
both Brazil and the United States.
• I am fluent in Portuguese, Spanish and
English.
• Graduated in International Business –
Integrated University of Recife, PE,
Brazil
Dubeux Com. & Rep.
• Dubeux Commerce & Representations is a
family owned company which I have
worked for as a Sales Manager when we
were the Brazilian Distributor for Daewoo,
the machinery and equipment Korean
company.
• The company has been in business for 14
years with an impeccable reputation. I
have inherited the corporation, my project
is to re-structure it with my own standards
to introduce Autel’s Product Line to the
Brazilian Market the
Dubeux Com. & Rep. Portfolio
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Trevo Industry
Sofima Indusa
Fiel Industrial Equipment
Daewoo
Hidromineral Alegria
Exttra Mineral
Company Resources
• Main Office located in São Paulo
• Northeast Office located in Recife to
facilitate logistics operation.
• VPN Integration
• Asterisk Call Center System
• Toll-free number and local area code Voip
numbers for the 7 largest States.
• Website (Portuguese and Spanish)
• Same day product delivery for orders in
São Paulo, Rio de Janeiro and Recife.
Operated by a third party motorcycle
courier company.
Team
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Sales Manager
Operational Manager
Secretary
Telemarketing Sales Team
In-house IT department
In-house Marketing department
Multilingual Technical Writer /
Translator
• Independent Sales Reps. (minimum of
1 for each of the 26 states)
Competition
• A market research was done, we found that
only a few of our competitors in the US are
operating in Brazil. The prices are also higher
than the same products sold in the United
States.
• The only Brazilian companies that makes
automotive diagnostic equipment is Alfatest
and Tecnomotor. Their product line that will
compete with Autel is the Kaptor and the
Rasther, which has an inferior capacity than
the MaxiDAS DS708, the price is equivalent.
• With lack of competition and its lower pricing
structure, Autel’s products potential sales
perspectives are projected to be very
successful for the Brazilian market.
Competition for
OBDII Code Readers
Price Range:
$100.00 ~ $450.00 US Currency
(R$220,00 ~ R$1000,00) Brazilian Currency
Competition for DS708
Price Range:
$2900.00 ~ $7000.00 US Currency
(R$6.200,00 ~ R$16.000,00) Brazilian Currency
Competition not found for all
other products
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MaxiDiag JP701, EU702, US703, FR704
Vehicle Monitoring
EPB Service Tools
TPMS Diagnostic & Service Tools
Oil Reset Tools
No equivalent products where found in the
Brazilian market to compete with the above
listed Autel products. Some expensive
scanners, similar to DS708, offers specific
packages like Asian, European or American
software. This could compete with JP701,
EU702, US703, FR704. But the prices are
very higher.
Price Strategy
• Dismembering Hardware and
Software Prices – Differently than the
United States, Brazil has very high
import taxes. Our strategy is to be
billed by Autel on two different
invoices, one bill of sale for the
hardware and another bill of sale for
the software. This way we can apply a
lower importing tariff for the software,
translating the savings to the end
users, been able to offer an even
more competitive pricing structure.
Marketing
• Trade Shows – Automec is the most
important trade show in Brazil, it takes
place every two years in São Paulo. The
upcoming show wil be in April 2009. We
will introduce Autel to Brazil at Automec
Show.In additional to Automec, there are 8
other important trade shows in Brazil that
we will be attending. These shows are:
Autopar, Tecnoshow, Repara Nordeste,
Semana do Mecanico, Autonor, FEISA,
Autoparts and Autop.
Marketing
• Magazine Ads – Full page and
half page ads will be published
on the highest circulation
automotive magazines and
journals in the country. Some of
them are: O Mecanico,
Sincopeças, Ponto A Ponto and
Balcão Automotivo.
Marketing
• State Associations for Mechanics –
There are approximately 143,000
automotive repair shops in Brazil.
Most of them are affiliated to its state
association. We will become a
member on all 27 states associations,
so we can advertise on their
informative journals and participate on
most events and meetings to promote
Autel.
Marketing
• School Program – Special pricing
(as low as our cost) will be offered for
schools and teachers so they can use
our products at their classes. This will
be a valuable advertisement for all
technicians attending classes.
• Special Student Pricing – Discount
coupons will be offered to the
students from the schools and
teachers that are participating on our
school program, as an incentive for
them to chose Autel for their
diagnostic needs.
Marketing
• Auto Parts Stores – Introduction of
Autel’s product line will be set up by
arranging meetings with all auto
parts stores chains for a catalog
presentation to offer distributorship
of our products. The goal is to have
the major auto parts stores as our
vendors, including Rede Ancora the largest chain in Brazil.
Marketing
• Print Advertisement – Catalogs,
brochures and flyers will be
designed for distribution to all our
sales force and for direct mailing.
We will be using GPS software to
retrieve contact information for
direct mailing and telemarketing.
Web Marketing
• Google Campaign – A pay per click
campaign with unlimited funds will be
set up to show our website as the 1st
result when an user searches for any
main keywords such as OBD, OBDII,
code reader, automotive scanner, auto
diagnostic, etc.
• Banner Ads – The most important
automotive forums and news websites
will have our banners.
• Automotive Forum Participation –
Active participation on web message
boards related with automotive
diagnostics and scantools.
Mission Statement
• Autel's product line is very diversified, it has
tools available to fulfill the diagnostic needs for
any kind of repair shop. Our goal is to build a
strong name for Autel in Brazil, making all the
code readers and DIYers product line available
for sale on all auto parts/aftermarket stores. As
for the specialized diagnostic scanners line we
want to set up the largest independent sales
network of diagnostic equipments in the
country.
• Benefiting from an outstanding sales network
and an aggressive marketing plan, resulted from
a partnership that will benefit both of us, every
shop in Brazil will know Autel. As for having the
best OBD Code Readers and for having a
complete and most affordable specialized
comprehensive diagnostic equipment line.