Encover and Hahn Consulting Partner to Deliver Best Practice-Based Solutions for Marketing & Selling Service Contracts Through Direct and Indirect Channels

Business Wire, June 30, 2004

MOUNTAIN VIEW, Calif. -- Companies Are Working with Leading Manufacturers and Channel Partners to Transform How Service Contracts Are Managed and Sold

Encover(TM), Inc., the leading provider of technology-enabled services for marketing, selling and managing service contracts, and Hahn Consulting, Inc., the premier marketing consulting firm focusing on the strategies, marketing and selling of service and support, today announced a partnership to integrate and systematize their best practices for selling and marketing service contracts through direct and indirect sales channels. Encover and Hahn Consulting are also collaborating to provide an integrated solution that includes blended best practices, Hahn's business process strategy, consulting and training, and Encover's technology-enabled marketing and sales solution.

"Selling service contracts into the installed base is the fastest, most cost-effective way to increase high margin revenue, yet the complexity of this business significantly impacts a manufacturer's ability to capture the true services revenue potential," said Chip Overstreet, president and CEO of Encover, Inc. "The complexity is magnified further when manufacturers have a mixed distribution model; but the results of selling services correctly has a material, positive financial impact for every member of the demand chain. By coupling Hahn Consulting's world renowned expertise around strategy, consulting and training, together with Encover's expertise in management, marketing and selling solutions, we're able to help manufacturers drive substantial new revenue while increasing partner profitability and loyalty."

"In a traditionally product-centric world, a growing number of manufacturers are turning to services as a fundamental part of their strategy -- not only to deliver more revenue, but also to establish a stronger relationship with their channel partners and end customers," said Al Hahn, CEO, Hahn Consulting. "Yet with limited resources focused on services, manufacturers and their distribution partners are missing out on significant upside potential. Encover's proven technology and services dovetail with Hahn Consulting's focus on strategy and program development, and we're working together to deliver an end-to-end solution to the market."

Integrated Best Practices

Because of complexities and the iterative, labor-intensive approaches for managing and selling service contracts, neither manufacturers nor their channel partners have the resources to effectively sell into the entirety of their installed base -- let alone to touch each and every service sales opportunity. Applying best practices helps companies target new service revenue opportunities within their installed base, and to execute more effectively in closing these opportunities.

Both Encover and Hahn Consulting have independently developed best practices for different areas of the service contract lifecycle, and the companies are working together to integrate these best practices.

"Encover delivers a process-based technology that greatly enhances the way manufacturers can interact with their selling partners and their end customers, opening up a whole new set of options for driving revenues and increasing partner and customer satisfaction," said Hahn. "We're working together to systematize the best practices that are now possible, and we're already seeing the results in the marketplace."

An Integrated Service Sales Solution: From Strategy to Revenue

In addition to the best practices integration, Hahn Consulting and Encover are working in tandem to deliver the strategy, processes, technology and people to enable manufacturers and their channel partners to sell more service contracts. The integrated solution provides end-to-end service business transformation and includes:

1.  A service contract audit that helps manufacturers assess
            their current service business processes and map them
            against industry best practices;

        2.  Strategy consulting services, helping manufacturers assess
            and build their value-based service programs, packages and
            pricing for both direct and indirect sales channels;

        3.  Tiered training, from the executive level, to the field
            sales organization, to the inside sales team;

        4.  A suite of integrated services for managing, marketing and
            selling service contracts, both direct and in conjunction
            with channel partners; Encover's service sales specialists
            are certified in Hahn Consulting's "Value Based Selling"
            methodology, which has been proven with dozens of leading
            manufacturers;

        5.  A robust Service Management application that underlies the
            entire service contract lifecycle, including installed
            base management, opportunity management, quoting, and
            entitlement management across every part of the demand
            chain -- the manufacturer, channel partners and end
            customers.