Dealers and reps browsing exhibits at the Venetian at the upcoming International CES will not only see an entirely new brand of custom-integrator-tailored audio at the TDG Audio outpost (Suite 29-128); they will learn about how taking on the brand can make them shareholders as well as customers.
TDG Audio, a brand of The DaVinci Group, “has a very unique business model,” Daniel Kippycash, CEO and co-founder, told CustomRetailer. “The biggest turn with what we’ve done is to build a brand that had inclusion, and that really made a difference. This is the first company of this kind that I know of ever launched in the industry.”
CTO and co-founder Alex Chiou explained that dealers will have the opportunity to partake of a program that lets them be allocated non-voting company shares; the volume of business they do with TDG Audio will correspond to their annual profit-sharing at the end of the year.
Almost 75 dealers are on board so far. “The response has been amazing, off the charts,” Kippycash said.
A good deal of research was done in advance of product design, he added. “We pulled in some dealers on a VIP pre-launch basis and we asked them to help us drill down to what primary sizes and feature sets they needed us to work on and ship first. We also talked about products already out in the market that are good, not premium, but are being sold as premium products at premium prices. We asked dealers for logical steps in how they’re selling systems, and they gave us their insights, as well as great feedback on acoustics.
“While profit margins are critical to them,” continued Kippycash, “dealers said they didn’t want high retail prices without high-end, premium products. Another concern was service. So all our speakers have a lifetime warranty and we have an in-field replacement policy.”
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