Marketing Funds, Virtual Tradeshows and Automation Consolidation

A little bit of a “mishmash” of things we’ve been thinking and seeing recently that we’d like your thoughts on marketing funds, Infor and GE Automation (and Industrial).

• Marketing Funds (Co-op and MDF) – distributors love them (and think they are their’s) and manufacturers wish they were more effectively used and more performance-oriented. We’re hearing that a number of manufacturers are considering changes to their programs for 2010 under the guise of targeting the funds to more effective strategies (and distributors). Gone are the logoed golf balls and counter days with no purpose (let alone “sponsor the hole”). Manufacturers need to manage their costs (so why provide co-op to everyone vs those who will use the funds effectively and want to work with those distributors that want to work with them (which means willing to commit the time to develop a marketing plan for the manufacturer or for the activity, with measureable goals). Distributors will need to be more contemplative in their initiatives; more performance-oriented; and may need to budget a percent of revenues (or set a budget) for marketing. What do you think about the changes that are occuring with marketing funds? Take our marketing funds survey.
• Infor is trying a new approach for their fall customer conference. They are trying to save everyone much money (and cost airlines and a hotel revenue opportunities) by conducting their conference virtually. Inforum 2009 is a virtual tradeshow. From speaking with Steve Epner who has conducted a virtual tradeshow, these events can be very effective. The conference is October 20-21 and, since they are promoting it in public venues and charging a fee, presumably anyone can attend (virtually!) If this format is successful, and well accepted by electrical distributors, could it represent a model for other “organizations?”
• Jim Pinto’s latest newsletter shared some thoughts about GE Automation emerging as a major automation player, probably through acquisition, with Rockwell named as a possible target (they are always mentioned as an acquisition target). Jim shares some insights but another element is that many Rockwell distributors are also GE Consumer and Industrial (Gear) distributors (for switchgear and distribution equipment), which could make for a nice package for GE and create heartache for Siemens (who has recently had a reorganization). The automation world is frequently talked about, but deals have been few. Do you think Rockwell will be sold in the next year? Would a Rockwell / GE marriage be good for one or both companies?

Share your thoughts regarding marketing funds, Infor, the concept of virtual conferences and GE (or Rockwell)