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A Unique Approach to the Distribution of Networking, Security, and Business Continuity Solutions

A Unique Approach to the Distribution of Networking, Security, and Business Continuity Solutions. Company History/Background. RIT. RADCOM. RAD Data Com. SILICOM. Cabling Management Established: 1989. WAN, LAN and ATM Analyzers Established: 1991. RADVISION. WAN/LAN

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A Unique Approach to the Distribution of Networking, Security, and Business Continuity Solutions

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  1. A Unique Approach to the Distribution of Networking, Security, and Business Continuity Solutions

  2. Company History/Background

  3. RIT RADCOM RAD Data Com. SILICOM Cabling Management Established: 1989 WAN, LAN and ATM AnalyzersEstablished: 1991 RADVISION WAN/LAN Access Solutions Established: 1981 Home Networking Established: 1987 IP Voice and Video Conferencing Established: 1992 CERAGON BYNET Wireless WAN Established: 1996 Group Distributor in Israel RADWIN WISAIR Wireless Local Loop Established: 1997 UWB – Ultra Wideband Communications Established: 2001 RADirect RADWARE Network Services Established: 2000 SANRAD MODULES AXERRA Internet Access ManagementEstablished: 1997 Storage Area Networks Established: 2000 IP for the Home Established: 2000 IP Over Sonet/SDH Established: 1999 The RAD Group • Coordinated Strategy • Shared Marketing Channels • Joint Development & Technology Sharing • Some companies arePublic

  4. RADirect Company History • Established in 2000 • Headquartered in Mahwah, New Jersey • Member of internationally renowned, $450+ million RAD Group of companies that develop, manufacture and market solutions for diverse segments of the networking and telecommunications industry • Original charter: To increase sales & exposure of the RAD Group companies in the United States as a value-added online distributor of networking and internetworking products manufactured by these companies

  5. RADirect Today

  6. Three Primary Areas of Focus • Networking / Infrastructure • Products from RAD Data Communications, FibroLAN • Security / VPN / IPS (Intrusion Prevention Systems) • Products from Radware, Check Point • Business Continuity Solutions • Products from Radware, SANRAD

  7. Range of Solutions • RADirect specializes in selling data communications and telecommunications access equipment, security & business continuity solutions including: • Fiber Access Solutions – Extending enterprise voice, data or LAN over fiber infrastructure • xDSL Last Mile Access Solutions – High capacity transport of data, LAN or voice over 2-wire/4-wire copper • Migration of Legacy Services to IP – Solutions for transporting legacy voice, video and more over IP Infrastructure • Voice & Data Convergence Applications • Load Balancing Solutions – For multiple ISP links, servers, firewalls and more • Firewalls, VPN Gateways & IPS (Intrusion Prevention Systems) • IP Storage Networks (IP SAN/iSCSI) Solutions

  8. RADirect Technology Equipment Distribution Landscape

  9. RADirect Customer Breakdown Service Providers: Rural Telcos Small ISPs Tier 3 & 4 Markets End Users: Government Military Enterprise Utility Small VARs: < 10 employees < $2 Mil Revenue

  10. The RADirect Sales Cycle

  11. The RADirect Sales Cycle: Marketing • An e-commerce business model at inception • Highly detailed, well-organized online catalogs that can be searched by product type or application (including application drawings) • Majority of leads today are generated through Internet Search Marketing: • Paid listings • Unpaid (organic) listings • Current marketing mix also includes a proactive targeting of lucrative and underserved rural markets

  12. Internet Search Marketing Example Paid Organic

  13. Rural Markets: Opportunity • While customers in rural areas experience the same datacom and telecom challenges faced by their urban counterparts, they are often underserved due to: • Lack of local expertise / knowledge • Lack of local resources • Funds and infrastructure readily available • “Utelco” concept is proving successful

  14. Targeting Rural Markets • RADirect proactively targets rural VARs and service providers, and helps to “fill in the knowledge gap”. • Trade shows and events • Publications • Direct mail / cold calling • Targeted website content • Marketing collateral

  15. The RADirect Sales Cycle: Systems Engineering • RADirect’s systems engineers are among the most knowledgeable, proficient, and accessible in the industry: • Boast an average of 20 years of experience per systems engineer in RADirect’s narrowly focused area of operations • Offer free consultation to ensure customers always get the best solution • Are available for “live chat” online during business hours • Provide 2-hour or less response time on phone and web inquiries

  16. The RADirect Sales Cycle: Account Management • Dedicated account manager for every customer • Quotes provided in 24 hours or less • 85% of products ship in 24 hours • Online account management • Order status • Tracking • 30% of buyers are repeat customers!

  17. Success Metrics - Revenue Projected

  18. Success Metrics - Employees

  19. Going Forward

  20. Going Forward… • Projected 2004 Total Revenues: $5.25 million • How to accomplish? • Expand product portfolio in 3 target areas (networking, security, business continuity) • Increase Internet-based marketing activities • Penetrate key vertical markets

  21. Recent Success Stories

  22. RADirect Success Story: (Rural Utility)Pend Orielle County Public Utility District • Washington State-based “Utelco” (utility that also provides communications services) • Challenge: To provide T1 services to customers over a fiber Ethernet infrastructure • Solution: Purchased RAD Data Communications’ IPmux TDMoIP gateways from RADirect

  23. RADirect Success Story: (Rural Utility)Empire District Electric Company • Joplin, Missouri-based rural “utelco” (utility that also provides communications services) • Challenge: To provide managed T1 services over fiber • Solution: Purchased RAD Data Communications’ LRS managed modem racks and Optimux fiber multiplexers from RADirect

  24. RADirect Success Story: (Education)Illinois State University • State University (enrollment: 20,000+) located in the heart of Central Illinois • Challenge: Needed increased capacity for T1 voice extension across the campus. Required some unique features that are mostly found on higher-priced alternatives • Solution: Purchased RAD Data Communications’ Optimux-T3 units from RADirect to transport T1s and E1s across their campus

  25. RADirect Success Story: (Wireless/ISP)Heritage Internet Services • Salt Lake City, Utah-based wireless ISP that recently launched one of the first citywide wireless networks in the United States • Challenge: T1 Access - needed a reliable, easily managed, compact router for installation between wireless towers and their Internet backbone • Solution: Purchased RAD Data Communications’ Web Ranger II T1 Routers from RADirect

  26. www.rad-direct.com

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