Watsco to Host Investor & Analyst Meeting Focused on Technology and Innovation
Long-term goals of Watsco’s strategy:
- Enhance profitability and margins while generating increasing levels of cash flow.
- Operate the most innovative suite of technologies available in the industry.
- Create the industry’s deepest repository of information concerning customers, markets and products.
- Accelerate sales growth and grow market share for supplier partners.
- Extend Watsco’s reach into new geographies and additional sales channels.
Watsco’s leadership will discuss the strategic vision and opportunities that are being designed and implemented:
Mobile Apps, E-Commerce and Product Information
- Enable customer engagement, technical assistance and sales using any mobile device 24/7/365.
- Build the largest source of digitized HVAC product information (current data-enriched catalog includes over 300,000 SKUs with a goal of over 1 million).
- Launch and iterate new functionality to drive adoption and use.
Business Intelligence & Data Analytics
- Provide intuitive data and analytics for better decision making to Watsco’s 700 P&L managers and an expanding number of other internal users (user group currently over 1,600).
- Enhance customer service provided by a salesforce of over 1,000.
- Tailor sales efforts from a better understanding of purchasing behaviors.
Supply Chain Optimization
- Increase fill-rates to reduce missed sales.
Improve inventory turns (targeted inventory decrease of 20% or
Reduce infrastructure costs (a current annual spend of approximately
$160 million), including a 10% decrease in the 13 million square feet presently under lease.
- Leverage long-term sales growth against a lower cost structure and expand margins.
Enhance the Customer Experience
- Create an omni-channel shopping experience across online, mobile devices and in-store.
- Revolutionize the fulfillment process to provide customers hours of additional productivity.
- Achieve greater efficiency for the 7+ million annual transactions with over 200,000 discrete purchasers.
- Establish model stores to test and improve the process improvements outlined above, including enhanced product merchandising, inventory optimization, space planning and mobile-enabled order fulfillment.
A question and answer session will also be held to provide further insight into the presentation. An audio webcast and presentation slides will be available on our website, http://www.watsco.com.
Watsco’s traditional sales channel is the sale of products from one of
its 567 locations in
This document contains or incorporates by reference statements that are not historical in nature and that are intended to be, and are hereby identified as, “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Statements which are not historical in nature, including the words “anticipate,” “estimate,” “could,” “should,” “may,” “plan,” “seek,” “expect,” “believe,” “intend,” “target,” “will,” “project,” “focused,” “outlook” and variations of these words and negatives thereof and similar expressions are intended to identify forward-looking statements, including statements regarding, among others, (i) economic conditions, (ii) business and acquisition strategies, (iii) potential acquisitions and/or joint ventures, (iv) financing plans and (v) industry, demographic and other trends affecting our financial condition or results of operations. These forward-looking statements are based on management’s current expectations, are not guarantees of future performance and are subject to a number of risks, uncertainties and changes in circumstances, certain of which are beyond our control. Actual results could differ materially from these forward-looking statements as a result of several factors, including, but not limited to general economic conditions, competitive factors within the HVAC/R industry, effects of supplier concentration, fluctuations in certain commodity costs, consumer spending, consumer debt levels, new housing starts and completions, capital spending in the commercial construction market, access to liquidity needed for operations, seasonal nature of product sales, weather conditions, insurance coverage risks, federal, state and local regulations impacting our industry and products, prevailing interest rates, foreign currency exchange rate fluctuations, international political risk, cybersecurity risk and the continued viability of our business strategy.
We believe these forward-looking statements are reasonable; however, you
should not place undue reliance on any forward-looking statements, which
are based on current expectations. For additional information regarding
other important factors that may affect our operations and could cause
actual results to vary materially from those anticipated in the
forward-looking statements see the discussion included in Item 1A “Risk
Factors” of our most recent Annual Report on Form 10-K, as well as the
other documents and reports that we file with the
Barry S. Logan, 305-714-4102
Senior Vice President