© 2007 Kensington Computer Products Group, a division of ACCO Brands
Connect it!U.S. Sales & Marketing MeetingOctober 2008Leonard Tsang
Agenda
1. Category Objective
2. Market Trends
3. Category Storyboard
4. Marketing tools
5. What we need from you
6. Questions
Objective
Objective
B2B: Solidify market leadership in 3rd party universal docking solutions
B2C: Continue to build connect category for consumer
smart made simple
TM
Market Results
Connect It! is a $200MM+ category. Overall, the category is -5% vs. YAG
* These figures include docking stations and port replicators only
Connect It! Category Dollar Sales (vs YAG) *
Source: NPD YTD August 2008 (vs. YAG) – Docking Stations and Port Replicators
$0
$50,000,000
$100,000,000
$150,000,000
$200,000,000
$250,000,000
2007 2008
-5%
The docking station market is dominated by OEM (90%+ market share)
Lenovo, 59.3%
Hewlett Packard, 31.7%
Sony, 1.1%
Targus, 0.9% All Other, 4.2%
Kensington, 1.3%
Motion Computing, 1.3%
Source: NPD YTD July 2008. Lenovo Enhanced Port Replicator not included. Lenovo sku valued at $3MM annually
Docking Station Dollar Share
Bulk of Kensington docking stations are sold through B2B
B2B, 87%
Retail, 13%
Source: NPD YTD August 2008
KTG Docking Station Tradeclass Contribution
Within 3rd Party docking solutions however, Kensington dominates the market
Kensington, 43.0%
Targus, 28.1%
Belkin, 10.1%
All Other, 18.8%
(+14%)
(-8%)
(-4%)
(-1%)
Source: NPD YTD August 2008
3rd Party Docking Station Dollar Share (vs YAG)
However, we have not only been successful in
docking solutions
2008 Major WinsOEM– Lenovo-branded docking solutions: $3MM+ in 2008– Lenovo-branded Dual Monitor Adapter: $2MM of ’09 revenue
Retail– Share central win @ BBY– Media Share Cable win @ Apple– Continued strong sell-through of BT adapters @ Circuit City
What’s our plan?
Objective: B2B: Solidify market leadership in 3rd party universal docking solutionsPositioning:
– Kensington offers the broadest and most advanced solutions for the OEM market
Strategy– Use WUSB as hero product to showcase technology & category
leadership
B2C: Continue to build connect category for consumer Positioning:– Kensington is the leader in “Smart made Simple” connect
solutions for home
Strategy– Drive awareness of / create demand for our consumer sharing
solutions
The Connect It!
Story
Target User Environments
HomeOffice
Consumer Pain Points…
I want my home office to still look like it is part of my
home. So many mobile accessories
make my home office look
like…my office!
Give me a
solution that is easy to set-up
and RELIABL
E!
There is so much cable clutter in my home office!
Source: One & CO Connect It Research & Positioning, 3/07
2009 Focus Skus
Strategy 1: B2B: Use WUSB as hero product to show technology & category leadership
First USBIF-certified docking station– At least 6 months ahead of competition
Ultimate user experience– Get in range, and your legacy peripherals come to
life– Streams Audio AND Video from laptop wirelessly– DVI out, supports up to 23 inch widescreen displays– Dual View button for easy mgmt of screen modes– 5 USB2.0 ports: 1 in front, 4 in back– Same space-saving form factor as award-winning
SD200vUse WUSB docking station to showcase/increase awareness of KTG’s leadership in UNIVERSAL docking solutions
– Unlike OEM docks, our products work with ALL laptops seamlessly
Understand and influence GTM activities for OEMs
Cross-sell with hardware/monitors to create synergy and improve value proposition
K33367US-A $179.99Notebook Expansion Dock with Video
K60721US $119.99sd100s Notebook Docking Station with Stand
K33419US $79.99sd100 Notebook Docking Station
K33415US $139.99sd200v Notebook Docking Station with Video
MAC Driverin BETA
MAC Driverin BETA
• Convenient and seamless 1 USB-plug solution• Ethernet support• Video/Audio: VGA out (1280 x 1024), stereo out,
mic-in• Universal – works with any PC notebook with
USB connection• 4-port USB hub• With Mac Beta Driver, works with OSX as well!
• CES Award-winning form factor saves desk space and hides wire-clutter
• Convenient and seamless 1 USB-plug solution• Video/Audio: VGA out (1280 x 1024), stereo out,
mic-in• Universal – works with any PC notebook with USB
connection• 4-port USB hub• With Mac Beta Driver, works with OSX as well!
We have these other great docking solutions as well!
• Convenient and seamless 1 USB-plug solution• Ethernet support• Universal – works with any PC notebook with
USB connection• 4-port USB hub
• Convenient and seamless 1 USB-plug solution• Ethernet support• Universal – works with any PC notebook with
USB connection• 4-port USB hub
How do we stack up to our 3rd party competition?* Updated competitive analysis will be provided
Strategy 2: Retail: Drive awareness of / create demand for our consumer sharing solutions
Focus sku: ShareCentral
Ultimate user experience– Plug and Play, no network set-up required– No more un-plugging and re-plugging shared devices – Devices clearly labeled with interchangeable button
plates– Active computer clearly indicated with bright LEDs– Smart Made Simple design eliminates cable clutter– High-speed USB2.0 = fast data access. Can be used
to share data in high-speed with hard drives and flash drives
Leverage BBY success with ShareCentral to gain incremental channel placements
– BBY ran focus groups: ShareCentral tested extremely favorably– BBY running page up during October
Explore x-selling opportunities: printers/hard drives…etc.
Category training for in store reps – why do consumers need ShareCentral?
Identify market segments within B2B channel and put plan together for launch; fast follow retail success for awareness push within VARs
How do we stack up to other KVM Switches?
Internal Roadmap
Docking Solutions & StandsK33367US-A $179.99Notebook Expansion Dock with Video (Vista Compatible)
K60721US $119.99sd100s Notebook Docking Station with Stand
K60149A $19.99LiftOff™ Portable Notebook Cooling Stand
K33419US $79.99sd100 Notebook Docking Station
K60112US $29.99Easy Riser Cooling Notebook Stand
K60723US $84.99Notebook Stand with USB Hub
No Software
No Software
No Software
K33415US $139.99sd200v Notebook Docking Station with Video
Apr May Apr May JuneJune July Aug July Aug SeptSept Oct Nov DecOct Nov Dec Jan Jan FebFeb Mar Mar
MAC Driverin BETA
MAC Driverin BETA
K33920 $229.99Wireless USB Docking Station
Bluetooth Connectivity
K33348USA $29.99Bluetooth® USB Adapter 2.0
K33902US $39.99Bluetooth® USB Micro Adapter
Apr May Apr May JuneJune July Aug July Aug SeptSept Oct Nov DecOct Nov Dec Jan Jan FebFeb Mar Mar
Hubs
K33118A $49.99DomeHub USB 2.0 (7 Ports)
K33366 $39.99PocketHub 7 Port USB
K33141 $29.99PocketHub USB 2.0
K33399 $19.99PocketHub Mini 2.0
Apr May Apr May JuneJune July Aug July Aug SeptSept Oct Nov DecOct Nov Dec Jan Jan FebFeb Mar Mar
Peripheral Connectivity
K33901US $79.99ShareCentral™ 5
K33900US $59.99ShareCentra™l 2
33903US $39.99ShareCentral™ 1
K33907US $119.99Dual Monitor Adapter
Apr May Apr May JuneJune July Aug July Aug SeptSept Oct Nov DecOct Nov Dec Jan Jan FebFeb Mar Mar
K33906US $59.99File transfer cable for Windows
Other USB Devices
K33120 $19.99Flylight 2.0
Apr May Apr May JuneJune July Aug July Aug SeptSept Oct Nov DecOct Nov Dec Jan Jan FebFeb Mar Mar
Marketing Tools
Competitive Landscape
New Products Flyer
Spec sheets
Flash demos
Website updates
Promotional plans
PR Plan
What we need from you…Docking Solutions:
– Understand and influence GTM activities for OEMs
– Cross-sell with hardware/monitors to create synergy and improve value proposition
– Use CES Design & Innovation award win and reviews to showcase & create buzz at CES, OEM and retail accounts
– Leverage WUSB buzz to showcase KTG’s leadership in docking solutions, and bring awareness to the entire docking station range
Sharecentral:– Leverage BBY success to gain incremental
channel placements– Cross merchandise with printers and other
USB devices– Category training for in store reps– Identify market segments within B2B channel
and put plan together for launch; fast follow retail success for awareness push within VARs
Questions?