CSCX » Topics » Sales and Marketing

These excerpts taken from the CSCX 10-K filed Mar 16, 2009.
Sales and Marketing
 
We have structured our sales organization into four primary channels: (1) our U.S. acute care sales force, which sells cardiac monitoring products and services directly to hospitals; (2) our U.S. primary care sales force, which supports a network of independent distributors in selling both cardiac monitoring and defibrillation products to primary care physicians and cardiologists; (3) our North American defibrillation sales force, which consists of an integrated network of direct sales representatives and third party distributors who work together to optimize our sales of AEDs in this market; and (4) our international sales team, which consists of


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direct presences in China, Denmark, France, Germany, Canada and the United Kingdom, with a network of distributors that provide sales and service relating to all of our products in nearly 100 countries.
 
Our U.S. acute care sales team principally sells cardiac monitoring products to hospitals. Each sales representative is responsible for a region and a sales quota for that region. Our sales efforts in the acute care market increasingly target system sales opportunities. Our sales efforts have historically promoted stand-alone product sales and were most successful in small and midsize hospitals, and rehabilitation clinics. We believe improvements in our technology and changes in customer needs make our products attractive to larger hospitals, as well.
 
Our U.S. primary care sales force principally sells cardiac monitoring and defibrillation products outside of hospitals. Each sales specialists within this channel is responsible for a specific geographic territory and has a sales quota in supporting our independent distributor network in making sales to primary care physicians, cardiology offices, and all other alternate care facilities in that territory. We provide our distributors with discounts and promotional marketing support, based on a variety of factors including the annual volume of orders.
 
Our North American defibrillation sales force sells our defibrillation products, primarily AEDs and training services to corporate and government workplace markets, as well as through school, military, and first responder (police/fire) markets. Our sales representatives in this channel are responsible for territories that are defined by a combination of geographic and market segment characteristics. Each sales representative, selling directly and working with distributors in their territories, is responsible for a sales quota in that territory.
 
Internationally, we sell both our cardiac monitoring and defibrillation products primarily through country specific distributors, except in areas where we have direct sales operations or where we have a strategic selling alliance, such as Japan. Our international distribution network is managed by a team of employees and agents living abroad.
 
In addition to these sales channels, we have distribution arrangements with various partners such as GE, whereby we sell our AEDs and in-hospital defibrillation products in the North American hospital market and in all international markets. In North America, the products will be branded as Cardiac Science, while outside of North America, the products will be sold by GE under its own brand.
 
We support all of our sales efforts with a variety of targeted marketing activities, including direct mail, telemarketing, publications, trade shows, training, and other promotional activities.
 
We do not have significant sales backlog. At both December 31, 2008 and 2007, our total sales backlog represented less than 30 days of anticipated sales volume.
 
Sales and Marketing
 
We have structured our sales organization into four primary channels: (1) our U.S. acute care sales force, which sells cardiac monitoring products and services directly to hospitals; (2) our U.S. primary care sales force, which supports a network of independent distributors in selling both cardiac monitoring and defibrillation products to primary care physicians and cardiologists; (3) our North American defibrillation sales force, which consists of an integrated network of direct sales representatives and third party distributors who work together to optimize our sales of AEDs in this market; and (4) our international sales team, which consists of


10


Table of Contents

direct presences in China, Denmark, France, Germany, Canada and the United Kingdom, with a network of distributors that provide sales and service relating to all of our products in nearly 100 countries.
 
Our U.S. acute care sales team principally sells cardiac monitoring products to hospitals. Each sales representative is responsible for a region and a sales quota for that region. Our sales efforts in the acute care market increasingly target system sales opportunities. Our sales efforts have historically promoted stand-alone product sales and were most successful in small and midsize hospitals, and rehabilitation clinics. We believe improvements in our technology and changes in customer needs make our products attractive to larger hospitals, as well.
 
Our U.S. primary care sales force principally sells cardiac monitoring and defibrillation products outside of hospitals. Each sales specialists within this channel is responsible for a specific geographic territory and has a sales quota in supporting our independent distributor network in making sales to primary care physicians, cardiology offices, and all other alternate care facilities in that territory. We provide our distributors with discounts and promotional marketing support, based on a variety of factors including the annual volume of orders.
 
Our North American defibrillation sales force sells our defibrillation products, primarily AEDs and training services to corporate and government workplace markets, as well as through school, military, and first responder (police/fire) markets. Our sales representatives in this channel are responsible for territories that are defined by a combination of geographic and market segment characteristics. Each sales representative, selling directly and working with distributors in their territories, is responsible for a sales quota in that territory.
 
Internationally, we sell both our cardiac monitoring and defibrillation products primarily through country specific distributors, except in areas where we have direct sales operations or where we have a strategic selling alliance, such as Japan. Our international distribution network is managed by a team of employees and agents living abroad.
 
In addition to these sales channels, we have distribution arrangements with various partners such as GE, whereby we sell our AEDs and in-hospital defibrillation products in the North American hospital market and in all international markets. In North America, the products will be branded as Cardiac Science, while outside of North America, the products will be sold by GE under its own brand.
 
We support all of our sales efforts with a variety of targeted marketing activities, including direct mail, telemarketing, publications, trade shows, training, and other promotional activities.
 
We do not have significant sales backlog. At both December 31, 2008 and 2007, our total sales backlog represented less than 30 days of anticipated sales volume.
 
Sales
and Marketing



 



We have structured our sales organization into four primary
channels: (1) our U.S. acute care sales force, which
sells cardiac monitoring products and services directly to
hospitals; (2) our U.S. primary care sales force,
which supports a network of independent distributors in selling
both cardiac monitoring and defibrillation products to primary
care physicians and cardiologists; (3) our North American
defibrillation sales force, which consists of an integrated
network of direct sales representatives and third party
distributors who work together to optimize our sales of AEDs in
this market; and (4) our international sales team, which
consists of





10





Table of Contents






direct presences in China, Denmark, France, Germany, Canada and
the United Kingdom, with a network of distributors that provide
sales and service relating to all of our products in nearly 100
countries.


 



Our U.S. acute care sales team principally sells cardiac
monitoring products to hospitals. Each sales representative is
responsible for a region and a sales quota for that region. Our
sales efforts in the acute care market increasingly target
system sales opportunities. Our sales efforts have historically
promoted stand-alone product sales and were most successful in
small and midsize hospitals, and rehabilitation clinics. We
believe improvements in our technology and changes in customer
needs make our products attractive to larger hospitals, as well.


 



Our U.S. primary care sales force principally sells cardiac
monitoring and defibrillation products outside of hospitals.
Each sales specialists within this channel is responsible for a
specific geographic territory and has a sales quota in
supporting our independent distributor network in making sales
to primary care physicians, cardiology offices, and all other
alternate care facilities in that territory. We provide our
distributors with discounts and promotional marketing support,
based on a variety of factors including the annual volume of
orders.


 



Our North American defibrillation sales force sells our
defibrillation products, primarily AEDs and training services to
corporate and government workplace markets, as well as through
school, military, and first responder (police/fire) markets. Our
sales representatives in this channel are responsible for
territories that are defined by a combination of geographic and
market segment characteristics. Each sales representative,
selling directly and working with distributors in their
territories, is responsible for a sales quota in that territory.


 



Internationally, we sell both our cardiac monitoring and
defibrillation products primarily through country specific
distributors, except in areas where we have direct sales
operations or where we have a strategic selling alliance, such
as Japan. Our international distribution network is managed by a
team of employees and agents living abroad.


 



In addition to these sales channels, we have distribution
arrangements with various partners such as GE, whereby we sell
our AEDs and in-hospital defibrillation products in the North
American hospital market and in all international markets. In
North America, the products will be branded as Cardiac Science,
while outside of North America, the products will be sold by GE
under its own brand.


 



We support all of our sales efforts with a variety of targeted
marketing activities, including direct mail, telemarketing,
publications, trade shows, training, and other promotional
activities.


 



We do not have significant sales backlog. At both
December 31, 2008 and 2007, our total sales backlog
represented less than 30 days of anticipated sales volume.


 




Sales
and Marketing



 



We have structured our sales organization into four primary
channels: (1) our U.S. acute care sales force, which
sells cardiac monitoring products and services directly to
hospitals; (2) our U.S. primary care sales force,
which supports a network of independent distributors in selling
both cardiac monitoring and defibrillation products to primary
care physicians and cardiologists; (3) our North American
defibrillation sales force, which consists of an integrated
network of direct sales representatives and third party
distributors who work together to optimize our sales of AEDs in
this market; and (4) our international sales team, which
consists of





10





Table of Contents






direct presences in China, Denmark, France, Germany, Canada and
the United Kingdom, with a network of distributors that provide
sales and service relating to all of our products in nearly 100
countries.


 



Our U.S. acute care sales team principally sells cardiac
monitoring products to hospitals. Each sales representative is
responsible for a region and a sales quota for that region. Our
sales efforts in the acute care market increasingly target
system sales opportunities. Our sales efforts have historically
promoted stand-alone product sales and were most successful in
small and midsize hospitals, and rehabilitation clinics. We
believe improvements in our technology and changes in customer
needs make our products attractive to larger hospitals, as well.


 



Our U.S. primary care sales force principally sells cardiac
monitoring and defibrillation products outside of hospitals.
Each sales specialists within this channel is responsible for a
specific geographic territory and has a sales quota in
supporting our independent distributor network in making sales
to primary care physicians, cardiology offices, and all other
alternate care facilities in that territory. We provide our
distributors with discounts and promotional marketing support,
based on a variety of factors including the annual volume of
orders.


 



Our North American defibrillation sales force sells our
defibrillation products, primarily AEDs and training services to
corporate and government workplace markets, as well as through
school, military, and first responder (police/fire) markets. Our
sales representatives in this channel are responsible for
territories that are defined by a combination of geographic and
market segment characteristics. Each sales representative,
selling directly and working with distributors in their
territories, is responsible for a sales quota in that territory.


 



Internationally, we sell both our cardiac monitoring and
defibrillation products primarily through country specific
distributors, except in areas where we have direct sales
operations or where we have a strategic selling alliance, such
as Japan. Our international distribution network is managed by a
team of employees and agents living abroad.


 



In addition to these sales channels, we have distribution
arrangements with various partners such as GE, whereby we sell
our AEDs and in-hospital defibrillation products in the North
American hospital market and in all international markets. In
North America, the products will be branded as Cardiac Science,
while outside of North America, the products will be sold by GE
under its own brand.


 



We support all of our sales efforts with a variety of targeted
marketing activities, including direct mail, telemarketing,
publications, trade shows, training, and other promotional
activities.


 



We do not have significant sales backlog. At both
December 31, 2008 and 2007, our total sales backlog
represented less than 30 days of anticipated sales volume.


 




EXCERPTS ON THIS PAGE:

10-K (4 sections)
Mar 16, 2009
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