Henry Schein 2009 Annual Report Download - page 17

Download and view the complete annual report

Please find page 17 of the 2009 Henry Schein annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 127

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127

5
Competitive Strengths
We have more than 77 years of experience in distributing products to healthcare practitioners resulting in
strong awareness of the “Henry Schein” brand. Our competitive strengths include:
D
irect sales and marketing expertise. Our sales and marketing efforts are designed to establish and solidify
customer relationships through personal visits by field sales representatives, frequent direct marketing and
telesales contact, emphasizing our broad product lines, including exclusive distribution agreements,
competitive prices and ease of order placement. The key elements of our direct sales and marketing efforts
are:
•
ield sales consultants. We have approximately 2,750 field sales consultants, including equipment
sales specialists, covering major North American, European and other international markets. These
consultants complement our direct marketing and telesales efforts and enable us to better market,
service and support the sale of more sophisticated products and equipment.
•
D
irect marketing. During 2009, we distributed approximately 27.0 million pieces of direct marketing
material, including catalogs, flyers, order stuffers and other promotional materials to existing and
p
otential office-based healthcare customers.
• Telesales. We support our direct marketing effort with approximately 1,400 inbound and outbound
telesales representatives, who facilitate order processing and generate new sales through direct and
frequent contact with customers.
B
road product and service offerings at competitive prices. We offer a broad range of products and services
to our customers, at competitive prices, in the following categories:
• Consumable supplies and equipment. We offer over 90,000 Stock Keeping Units, or SKUs, to our
customers. Of the SKUs offered, approximately 49,000 are offered to our dental customers,
approximately 39,000 to our medical customers and approximately 22,000 to our animal health
customers. We offer over 100,000 additional SKUs to our customers in the form of special order items.
• Technology and other value-added products and services. We sell practice management software
systems to our dental, medical and animal health customers. Our practice management software
solutions provide practitioners with patient treatment history, billing, accounts receivable analyses and
management, appointment calendars, electronic claims processing and word processing programs. As
of December 26, 2009, we have an active user base of more than 65,000 practices, including Dentrix®,
Easy Dental®, Oasis® and EXACT® for dental practices, MicroMD® for physician practices and
AVImark® for animal health clinics.
•
R
epair services. We have 192 equipment sales and service centers worldwide that provide a variety of
repair, installation and technical services for our healthcare customers. Our ProRepair technicians
p
rovide installation and repair services for dental handpieces; dental, medical and animal health small
equipment; table top sterilizers; and large dental equipment.
•
F
inancial services. We offer our customers solutions in operating their practices by providing access
to a number of financial services and products (including non-recourse financing for equipment,
technology and software products; non-recourse patient financing; collection services and credit card
p
rocessing) at rates that we believe are generally lower than what they would be able to secure
independently.