Wooden Toy Manufacturer

Background
The firm is a manufacturer of small wooden kazoos, tops, and whistles. At time of certification, the firm had 12 employees and annual sales of approximately $638 thousand.

As a producer of all wood kazoos, tops, and whistles, the firm was import impacted by penetration of domestic markets by overseas manufacturers, and the inroads of alternative fabricated materials used to produce these products.

The firm had begun addressing the materials issue by experimenting with various types of fabricated materials, while maintaining an active presence in the market by attending trade shows and investigating niche markets that still sell only all wood toys.

Assistance Provided
Diversification into new markets that would capitalize on the strengths of the firm's current products was the firm's primary strategic objective. The action necessary to achieve this objective encompassed a planned yet action-packed marketing effort that targeted new business from current and potential customers.

To succeed in new markets, three critical functions required attention. The firm, with NYS TAAC assistance, needed to develop a plan to build an organized marketing function and evaluate opportunities for new business. This project took into consideration the firm's current activities in marketing and then developed the structure and tools needed for obtaining new business. The project cost approximately $20,000.

A second project addressed management's need to operate and understand the techniques and procedural aspects of its automated equipment. This project would address how to design and operate the automated equipment to benefit from the machine's vast capabilities. This project would cost $10,000.

A third project would assess the firm's needs and capabilities as related to its information system requirements. Based on the analysis, the consultant evaluated the current implementation of the "Prosper" package. Recommendations were made, along with a plan of action to integrate the selected solution. The project cost was estimated at $25,000.

Project Results
With two of the three projects completed, the firm was experiencing a lot of new interest by customers. Existing customers are pleased with the new aggressive stance to sales and many new, prospective customers are just now finding out about the firm.