FDS - FLATWRAP Logistics and Distribution Circulation Fulfillment model 2013/14
1.
2. MISSION STATEMENT
FLATWRAP Distribution Services (FDS) was established to provide print sites and publishers a complets range of services and a comprehensive solution in regards to logistic and the creation of distribution models that
require specific and regular analysis to ensure the circulation of the publication is not only accurate but is being delivered direct to the intended market as expected - reliable on-time delivery /pristine condition/accurate
supply quantity each edition and access to real time reporting (Delivery reports)
* FDS General Manager - Simon Coulter will be responsible for the management and implementation of this platform and deliver weekly/daily reporting system that is to be updated as data is received and will ensure that
all requests from TVN Mgt receive a response within 2hours and any data will be treated as TVN's Intellectual Property and will be accessible, transparent, based on a reporting system that is simplistic in design and TVN
will have complete open book and electronic access to the nominated bank account of their choice where sales revenue is accruing. The TVN sales revenue will be transferred on the 1st day of each and every month to TVN
accompanied with the relevant sales and reconciliation reports for each edition .
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FLATWRAP/Distribution in Australia and New Zealand. It is our goal to become the specialist supplier of FLATWRAP technology in Australia and New Zealand to publishers, print sites, mailing houses, newsagents,
distributors and contractors by the 1st July 2014. All Research and Development is trialled and implemented by our distribution arm – MMPD P/L.
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MMPD is an experienced print, magazine and free press distribution specialist and logistics operation and currently operates a daily large paid newsprint and magazine circulation fulfilment platform that has the
ability to manage and process retail sales within Australia and has the capability to manage and facilitate the complete account management process within both home delivery and reseller networks.
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FDS is currently trialling Aust made bolt on purpose built equipment that will deliver substantial revenues streams currently not available within Aust Newsprint distribution centres. Negotiations have begun with WA
interested parties on developing an Aust made all in one FLATWRAP machine.
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This additional advertising space & form of direct targeted marketing will allow advertisers to target the intended demographic at a unit cost that is far more competitive and priced at a rate far cheaper than the
current players that dominate the market Nationally.
4. MMPD PERSONELL
Managing Director:
Simon Coulter
Owner:
Michelle Coulter
Operations Manager:
Katrina Roberts
Administration Manager:
Tina Moore
Customer Services Manager:
Courtney Hamson
Accounts Manager:
Kestra Triasmono
Distribution Supervisor:
John Northcott / Jacob Cordtz
Human Resources:
Wanita Triasmono
The above mentioned personnel have developed and delivered a unique distribution model
called P.D.D. This model will continue to become “Smarter” and evolve as the market dictates,
Publisher Direct Distribution, combined with a state of the art FLATWRAP distribution facility
that specializes in the distribution of newsprint and magazine publications including
subscription titles into residential, and commercial areas within SE QLD, Northern NSW, Sydney,
Melbourne, Adelaide, Perth, Auckland and Wellington.
5. MARKET SUMMARY
MMPD was created due to the lack of print solution providers within the local market. In accordance
to this, with rising costs and the fact that the QLD Newsagent distribution model was plagued by
numerous small delivery networks with limited resellers, the model was simply destined to fracture,
due to its current state being unviable and outdated.
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The absence of a reliable professional print contracting service in the QLD market enabled MMPD to
establish a centralized distribution centre that specialises in accurate, targeted, reliable and
timely delivery into the market
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In 2008 MMPD embarked on a 4 year R&D program embracing FLATWRAP (an innovative unproven
technology that allowed for the development of highly profitable revenue streams which included
the creation of a new advertising space on printed film)
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FLATWRAP significantly reduces labor and service costs and turn around time is improved by up to
50% per shift.
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Savings are a minimum of:
• 50% when manually inserted
• Increased output (200%) when the PF12 hopper unit is in use
6. TODAY’S SITUATION
Today is about recognising and taking the opportunities presented and developing a
HD/reseller/ Free Press distribution network that is viable, highly profitable, KPI focused
and rewards those entities that are prepared to do the work and invest the capital
required.
• Current Print distribution networks in both QLD
regional & metro areas are fractured and broken.
• Strengthening the relationship between publisher
and distributor, improving tech, introducing standard
bench marking and KPI standards.
• Remove Old World Technology and deliver print in a
manner that is reliable, accurate & customer service
orientated and most importantly delivered – FLAT to
the market. The exact format in which they were
designed.
7. CURRENT OPPORTUNITIES
The creation of specialist newsprint and magazine distribution centers' that have been specifically
designed to deliver premium advertising revenue due to newly created advertising space and features
capable of delivering additional advertising revenue.
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Offering the total solution including subscription and sub agency based revenue streams.
This type of central FLATWRAP facility & distribution centre allows the targeted demographic to be
continuously engaged at a relatively low cost to the advertiser with the resources that are currently
accessible by the publisher.
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Exponential potential in Aust to grow quality brands and deliver a level of customer service not yet
witnessed within the Nation. Evolution from Print to Online sales delivery
The transformation from distribution centre into profit centre is due to the recent availability &
integration of FLATWRAP technology & the review of timely, accurate distribution platforms, that assist
with ensuring the brand is always being promoted & delivered when the client expects to receive the
daily news same time and position within the property line.
8. BUSINESS CONCEPT
The FLATWRAP model is based on the proven and well established Japanese technology that has
been further enhanced by an Australian designed and manufactured Hopper fed conveyor system
that increases the output from 1600units per hour to over 3Kunits per hour and the capability to
generate a further (6) additional advertising revenue streams.
The placement of (7) such units at the NQN Print Facility and additional News Print site in
Brisbane will deliver a minimum of 14K wrapped units per 75. MMPD will have the technology,
resources and the expected WHS/OHS to provide Print Sites support with regards to the newly
created divisions/areas for newspaper distribution within Cairns/Townsville and the SE QLD.
• FDS has installed 2 units in Victoria @ Regional sites
CA (Commercialization Aust) believe that the MMPD model can be franchised and delivered to
market in conjunction with News Ltd future distribution model, which would allow MMPD to
retain the master license and sell the remaining licenses in NSW/Vic/TAS/SA/NT. This gives the
publisher greater control over the type of personnel who are likely to embrace such a business
whilst keeping a close check on the progress of each zone roll out.
Export opportunities into North America have been identified and once brand is established and
dominant in local market then this opportunity will be explored.
9. BUSINESS CONCEPT
Goal and Objective
The objective is to negate current distribution costs to deliver ongoing highly profitable
revenue streams within parts of the distribution model which were not attainable until
now.
Specialised in targeting and marketing campaigns whereby specific demographics are
engaged and saturated with the chosen brand, with elements being layered throughout the
landscape in which the demographic works, learns, rests, plays & prays.
Printed Film – Create viable and innovative revenue streams that engage and excite
advertisers which alternatively allows pricing to be charged at a premium rate.
• Subscriber based platforms for all print paid/free publications.
• FDS has the A4 Magazine and brochure tech to manage this task.
• Mailing house and online sales platforms to be built once print media model is
established.
10. COMPETITION
Currently in QLD there is no other parties that have the scope, resources or technology
to threaten MMPD’s position within the QLD Newsprint and magazine account
subscription market, which includes both resellers and home/commercial clients.
MMPD’s has a number of competitive advantages which include:
• Industry Knowledge. Robust and Dynamic corporate structure
• Resources which Incl statewide substantial subcontractor base
• Innovative Tech – win8 tablet pc and FLATWRAP
• Diverse revenue streams
• Suppliers trust and confidence
• Ability to establish MMPD distribution networks in major QLD regionals and
Northern NSW
11. PREFERRED OPTION – QLD/NSW (INCL REGIONAL)
FLATWRAP Distribution Centre's within Brisbane Metro at Rocklea to cover all HD
clients/commercial and subsequent sub – retailer network. Vehicle number subject to
information data being made available by John Fairfax Publications.
• Gold Coast: service from Logan River to Ballina
• Sunshine Coast: service from Caloundra to Gympie
• Townsville: service region including specialised commercial deliveries during the hours
of 6:00-10:00am and complete all HD before 6am.
• Cairns: service City and Northern Beaches and complete all HD before 6:30am
The number of vehicles for the above territories are still yet to be determined. Once
delivery data is provided MMPD will be able to provide accurate pricing.
12. FLATWRAP JOYNER X
THE NEWSPRINT DISTRIBUTION EVOLUTION
The FLATWRAP Joyner X currently has no competitor in the Aust/NZ market. It has replaced
old world technology that is not only noisy, smelly, heavy, complicated in design but
dangerous due to its violent action with numerous cams and spinning shafts.
The FLATWRAP Joyner X has been purchased by a number of Australia’s and New Zealand's
major newsprint publishers/print sites. This will result in a range of bolt deliveries on units
that will not only double the output but deliver additional revenue streams through new
advertising features.
• Backed by a national service team peace of mind is guaranteed and fds techs fly
anywhere in Australia to complete services on site
FLATWRAP technology enhances the workplace and improves work place health and safety
due to a low risk assessment, basic design, uncomplicated insert procedure and an operating
procedure that delivers impressive safety features and high productivity. This ensures that
the operator is not working longer than 15mins per rotation. When compared to the old world
tech, today’s operator will produce up to 1800units/hr with minimal exertion and a greatly
reduced load on the body. Whereas the old world tech has a number of work place related
problems (RONAI/ROTAK) & average output is 800/hr.
13. DESIGN AND SAFETY DELIVERS POSITIVE RESULTS.
The FLATWRAP Joyner is a simple design which offers a number of favorable safety features,
to alleviate and ensure safety of the operator, colleagues and surrounding workplace at all
times.
• From simple shut off to the simple housing that is complete whilst still allowing for ease
of maintenance.
To date 1st Nov 2012 there has been zero reported accidents, injuries or incidents involving
this evolutionary technology. There is currently 66 units operating in Aus and can be quantified
as over 26Million FLATWRAP units delivered into the market since 2007.
• The FLATWRAP Joyner is a totally enclosed unit that requires no oil or lubricant
• It is a basic (3) unit heater blade design that doesn’t allow the operator or staff member to
injure or harm their person through accident, lack of concentration or fatigue
• Form of FLATWRAP does not produce any toxic or irritating odors/smells that emits almost
no noise. Less than 35dB.
14. INNOVATION and FUTURE DIRECTION
MMPD and FDS are committed to the continual development of FLATWRAP technologies and tech that assists
with the processing and delivery of both newsprint and magazine publications to the intended market or niche
channel. Now available Printed Film – Conveyor Fed Hopper – Newsprint Transporter - Heavier Gauge Film 1214micron. These improvements have all been commercially proven and are delivering results beyond MMPD’s
expectations.
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MMPD is currently trialing a Hopper Fed conveyor unit which can be used for magazine style publications as
well as newsprint (i.e. Mailing House)
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Hopper will have the following features built in and simply bolted onto the current unit. Sticky Note
Applicator – (4) Insert Lines
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Printed Film Improvements and targeted delivery to the exact demographic that our clients require on both
a State and National Platform.
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PC Tablet tech that is GPS based designed as a point to point navigation system purpose built for Home and
Commercial delivery of Newsprint/Internet Sales. Number of specific features that have been developed to
ensure real time reporting and transfer of required data and P.O.D at the push of a button.
Developing and implementing distribution models that deliver a total solution and a R.O.I within months – not
years. (ie Warehousing / Pick, Insertion & Wrap /Distribution / Account Management / Constant evaluation and
improvement of business practices.
PC Tablet tech that allows for real time reporting and the transfer of data and information when the business
requires reducing bottlenecks and ensuring there is less risk of this info or data being lost which is an issue
currently with hardcopy. This tech will also allow for SMS communication / email and GPS. It has the same
features and capabilities as the current windows based mid level laptop.
15. LATEST INNOVATION
Newsprint Transporter
Built in Australia by OCD Fabrications
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Newsprint Transporter.
Built to handle 50 S.B./750Kgs . Next
model can be forked on or off transport.
16. LATEST INNOVATION
FLATWRAP STATION – PRODUCE 6K
HALF FOLDED NEWSPRINT
PUBLICATIONS WITHIN 60MINS.
mmpd vehicles have a number of features that are
specific when delivering newsprint and magazine
products. (access from all sides – led spotlights – diesel
– auto transmission – driving spotlights – mounted
warning lights to improve vehicles visibility and warn
other road users and soon to carry pc tablet tech.
(elec manifests / p.o.d / GPS and many more features.
18. PROPOSAL
• Hendon site to become the Print Distribution Innovation Centre for South Australia from
which all current titles within Global Intertrade’s stable are managed and delivered into
both local and interstate markets.
• Direct Mail/Subscription Centre that delivers a TOTAL Solution for all clients including
database management, developing strategies and implementing circulation full fillment
models best suited to each clients budget and business model whilst offering a
consultancy component and digital solutions as part of the complete package.
• Digital Excellence Facility that teaches & nurtures the nations brightest minds – creating
and delivering the latest digital concepts and platforms whilst identifying synergies
available through print.
• State Training Centre for Logistics/Warehousing and Distribution personnel.
• Evolution from Media DC to Internet Sales DC focused on dominating SA/WA and
Northern Territory markets.
19. JOINT VENTURE OPPORTUNITY
MMPD and FDS are committed to establishing a Publisher
Print Site solutions provider and purpose built DC in a
number of cities around Australia, this does include the
major regional cities.
• Seeking a 5yr agreement that can be discussed in a open
and transparent forum
MMPD is prepared to provide open book financials each
quarter over the 1st year and then every 6months during the
term of the agreement. This is to ensure that all parties are
comfortable and aware of the costs and profits that this
distribution model delivers.
• MMPD is seeking a min 30% return and is prepared to
offer equity up to 25% share in either or both companies
i.e./ MMPD and FDS