Archived posting to the Leica Users Group, 2000/02/21
[Author Prev] [Author Next] [Thread Prev] [Thread Next] [Author Index] [Topic Index] [Home] [Search]- ---------- From: "Csernus, Andrea" <Andrea.Csernus@leica-camera.com> Date: Mon, 21 Feb 2000 15:22:20 +0100 To: jbcollier@home.com Dear Mr. Collier, We have received your prompt reply regarding the change of Leica distribution in Canada and read your comments very anxiously. You learned about the motive from Mr. Werner Schmalz. Please allow us to explain the case from our point of view: We never doubted the loyalty of Werner Schmalz. You received great service and support. Neither personal critics nor "internal" issues between Leica staff and him lead to this step. The following rational facts turned into to bring a necessity of change and improvement: Only 2.5% of the American turnover is generated in Canada. Looking at the potential 10% market share that could be achieved in Canada, it appears clear to us, that we could do a lot better. Not to be unreasonable a 5% market share is still feasible. End of 1998 the Leica Camera AG has been almost insolvent. Considerable efforts and increasing sales in the most of our markets - besides many other actions, like e.g. the reduction of more than 100 jobs in Solms - lead to considerable improvements of the company's performance. From your point of view, this decision is unfair. But in this case we do not talk about people, but about the future direction, which has already began. A part of it is, that a potential market has to be penetrated. Mr. Werner Schmalz gave his best, but only one person being a "one man show" is insufficient to cover a country like Canada. We see in Lisle Kelco, our new distributor, a partner, who runs an organization, that enables him to penetrate this market in a dealer and consumer oriented way. Under the new management, Leica Camera AG developed a future oriented strategy. This strategy is influenced and composed by all of us. We solidly focus on you as our retailer and naturally on our common customers. You also drive and benefit from this future strategy. An opportunity to confirm his great efforts, as a sales rep, with this new organization has been offered to Mr. Werner Schmalz. Yes; we do understand your disappointments about a one way communication and information flow. The more we want to clarify and explain our thinking and steps taken. The future will open new market chances for all of us with this new performance of the Leica Camera AG. Above all, we would like to thank Werner Schmalz and his colleagues at Kindermann (Canada) Inc. for their efforts and work in the past. Please look ahead and give Lisle Kelco your faith. We will not disappoint you. Best regards, N.R. Strauch P.S.: The quarterly report, which has been published can be viewed on the Internet.