Hyman Peller [Raxxess] | Jim Hofman

2009 1

Racks Basic Training

Overview: History & status

Rack dims & definitions

Line review – racks & accessories

Rack markets & buying decisions

Competition & selling

Rack building exercise

Racks Basic Training

Raxxess Acquisition Update June 1 acquisition date

Hyman Peller joined Milestone

Assembly moved from NJ to MN

Currently recruiting for Product Manager

Racks Basic TrainingRaxxess Company History• Raxxess was founded in December of 1989. • Started the company with a check for $30,000 to a local sheet metal shop and utilized

experience from working for Mid Atlantic to build a line. Packaged the parts for hanging on slat wall, labeled and priced them for retail and started selling to the music business through independent reps. (The music business is defined as retail music stores and pro audio. Pro audio was limited to recording equipment and audio for bands and touring & production applications. )

• Raxxess made some headway into the market but soon realized that as the commercial market grew reps were being pulled in another direction. Those customers were not going to buy from Raxxess if we didn’t have a full line to sell. The company didn’t sell any commercial racks at the time but realized they were required in the line if we were to get attention. So Raxxess jumped into the commercial market.

• Middle Atlantic, Atlas and Lowell were formidable competitors and they remain so. A few years in, Raxxess realized they were “a me too” competitor without being innovative or offering anything new to the market. The company began focusing on product development and introduced some very innovative and sought after products including the Converta racks, roll top desks and rotating racks.

• Our competitors soon began emulating us, which gave us serious credibility in the market.

• Raxxess entered the custom install market a few years ago, but frankly, time and money limited out efforts. Quickly discovered that the same products that sell into one market tend to sell into the others.

Racks Basic Training

Paterson, NJFacility

Hofman’s Grandfather Buried Here

Hofman’s Grandfather Buried Here

Racks Basic Training

Racks Basic Training

Savage rack production

Racks Basic Training

Rack Dimensions Three are critical:

10-32 1.75 inches 19.125 inches.

Why?

Racks Basic Training

Rack Vocabulary Rack Space / Rack Unit / RU - Rack rail is measured in EIA

standard rack space increments allowing easy equipment alignment. One rack unit, or RU, has three holes spaced at 1.75” centers.

Rack Rail – Mounting rail with holes every 1.75”. Two rack rails are aligned vertically in each rack. 19.125” horizontal hole distance in a rack (or new construction or millwork).

Rack Mountable – Any equipment made to mount on opposing rack rails.

Rack Ears – Either integral face plate with holes, or optional flanges that mount to the side of the equipment that attach to rack rail.

Rack screws – 10-32 Machine screws used to attach rack mount equipment. Some video racks use 12-24 tapped holes and screws.

Racks Basic Training

Typical Rack Dimension Matrix

Racks Basic Training

Initial Rack LineRacks Accessories

 

                             KAR Enclosed Rack SKR Skeleton Rack SWR Wall Rack WMK Wall Rack ROTR Rack System ROTR-HD Rack Quiet Fan Casters Floor Levelers Power Distribution iRDS iPod Dock ESD Drawer SDR Drawer Shelves Panels Hardware

Side panels No side panels Hinged at wall Wall plate attachment

Rotating for cable access Heavy duty rotating Quiet fan kits Locking vs. non-

locking Set of four Surge & filtering Single or double Economy sliding drawer Sliding drawer Large assortment Large assortment Screws for rack

mountingKAR-18-22 SKR-12- [20/26/30] SWR-10-12 WMK-7 ROTR ROTR-HD  [8 to 44] QFPL-1 Caster-CMLCK FL PD-800 iRDS-1 ESD-2 SRD-2 UTS-1 VPL [1/2/3] HPSWKAR-18-28 SKR-24- [20/26/30] SWR-10-17 WMK-10 ROTR-XL QFPL-2 Caster-CM PD-800L iRDS-2 ESD-3 SRD-3 UTS-2 AFG [1/2/3/4] CPSWKAR-24-22 SKR-42- [20/26/30] SWR-18-12 ROTR-S PD-800VM ESD-4 SRD-4 UTS-3 SFT [1/2/3/4] PTSWKAR-24-28 SWR-18-17 ROTR-W UNS-1 SFG [1/2/3/4] PNTXKAR-35-22 SWR-24-12 Anodized Aluminum SLE-1 AFT [1/2/3/4] PNTX-BKAR-35-28 SWR-24-17 SRD-2CL SLS-1 EVP [1/2/3] SDSKAR-40-20 SWR-35-17 SRD-3CL SLS-1.5 DCR [1X 2/3/4/6] SDBKAR-40-28 SRD-4CL SKRS-20 PVP STSWKAR-44-22 SKRS-26 FVP SHWSKAR-44-28 SKRS-30

EXS-2 Finishes:RKRL - rail rack [pairs]

Doors Doors Doors EXS-2-16 Clear anodizedKARD-LP SKRD-P SWRD-PLX UTVS-3 Black wrinkleKARD-R SKRD-PLX SWRD-P ROTRS Black smoothKARD SKRD SWRD CMKKARD-PLX SKR-SP FSKKARD-P 

SKRS [shelf]

Racks Basic Training

Rack Anatomy - KAR Welded, 16-gauge cold-rolled steel construction.

Fully adjustable front rack rail with optional rear rail kits also available.

16-gauge steel rack rail supports are punched with 1/4" holes for cable tie off points.

Available in outside depths of 22" and 28", accommodating equipment up to 20" and 25" respectively.

Removable conduit knockout panels at both the top and bottom rear of the enclosure.

Additional knockouts are located on each side of the rack for passing cable directly through and allowing racks to be ganged.

A unique cable strain-relief furrow is located in the bottom pan of the rack, as are punched holes to accommodate optional casters without the use of a costly caster base.

Sides, top and bottom have venting slots to ensure adequate cooling.

Racks Basic Training

Rack Anatomy - SKR Constructed of four pieces of 11-gauge steel rack rail, cut

to any length.

Top and bottom pan are constructed of 16-gauge cold rolled steel.

Assembles in less than five minutes.

Optional side panels are available (12, 24 and 42 spaces) in either 16-gauge steel with a black powder coat finish.

Available in 20, 26 or 30" depths.

“Skeleton Racks" are so named because of a "Bare Bones" approach to racking audio equipment.

Racks Basic Training

Rack Anatomy - SWR Re-designed with ease of installation, security and structural

integrity in mind. Back pan is reinforced at the hanging points to minimize the

possibility of tear-out. Welded stiles and rails eliminate cabinet distortion while an

extended bottom lip provides support for the center section during installation and use.

Center section pivots on alloy steel socket pins, that thread into weld nuts on the cabinet.

Pins aid during installation making it possible for one person to install the rack with just the use of a hex key.

Rack is equipped with fully adjustable, 11-gauge rack rail, ventilated sides, and a variety of conduit knockouts in the top and bottom.

There are abundant tie-off points throughout the rack. Keyed locks are standard between the rear and center sections,

and between the center and the optional front door. Can be set up so that both the center section and door can swing

left or right. Locking security rod can be added as an option for additional

security. Shown with optional locking rod and optional front door.

Racks Basic Training

Rack Anatomy - WMK Compact audio enclosures for smaller

installations.

Constructed of 16-gauge steel.

Finished in durable black powder coat.

Equipped with 11-gauge rack rail, WMK has conduit knockouts top and bottom and slotted sides for passive cooling.

Key hole slots on the rear panel allow for secure attachment to wall.

The WMK-10 utilizes a rear mounting pan with a laser knockout for cable passage.

Mounting pan facilitates servicing equipment and uses a locking rod for rear rack security.

Standard front locking door can swing from left or right and is 1-1/2" deep.

WMK-10 is shown with rear mounting pan.

Racks Basic Training

Rack Anatomy - ROTR Available in sizes from 8 to 24 rack spaces.

Rack extends a full 20" from its frame and is then capable of rotating 90 degrees in either direction, allowing unobstructed access to components regardless of their depth.

System locks in the closed position with security panel and screws provided.

Easy and effective cable management system and 8-space rear rack rail are included.

The ROTR-XL version has an extended base designed to increase clearance when mounted behind cabinet doors.

Perfect for installing in existing cabinetry or new millwork.

Racks Basic Training

Rack Anatomy – ROTR-HD Solidly constructed of 13-gauge cold rolled steel.

Available in sizes up to 44 rack units.

Weight capacity of 650 pounds properly distributed.

Perfect for installations in walls, closets, cabinetry and custom millwork.

Rack extends out on ball bearing sliders and rotates 90 degrees in either direction making access to the rear of installed equipment simple and safe.

Rack frame locks in place when retracted or in service position, preventing any unintended motion.

Factory height-adjusted extension truck bolts to the rack and supports the load in front of the cabinet opening to ensure stability.

Articulating cable carriers allow for neat and organized cable storage.

Racks Basic Training

Accessorizing Racks: Thermal management integrated into rack structure

or after market accessories. Doors, front or rear as needed.

Solid Perforated, or see-thru side panels if applicable Plexiglas Locking, vented.

Racks Basic Training

Accessorizing Racks: Panels appropriate to specific application ( filling

space, ventilation, security, connectors)

Racks Basic Training

Accessorizing Racks: Casters and /or levelers if applicable Electrical power Cable management Grounding studs

Racks Basic Training

Accessorizing Racks: Drawers, shelves

Racks Basic Training

Rack Markets In general, wherever electronic equipment needs to

be mounted. Specifically commercial applications such as

schools, houses of worship, arenas, airports, hotels, warehouses and retails stores. Also, home theater installations.

Telecom and IT applications. Recording, both audio and video, touring and stage

(mobile and fixed).

Racks Basic Training

Customer Buying DecisionsDecision to buy one type of rack over

another is often based on: Application Location (how much room) Quantity of units to be mounted Security issues Cost Aesthetics.

Racks Basic Training

Competition:Where we each stand:

Strengths Weaknesses Major market positions

Racks Basic Training

Selling Racks:Keep it simple - only two or three things are really critical in

deciding which manufacturer's racks to use: Can they deliver it on time and will it arrive in good

condition (square and without dents)? The next element is you - and how you represent us.

Our major competitors: Middle Atlantic, Lowell and Atlas all deliver good quality racks.

The feature sets may have minor differences, but none of the differences should stop the user from buying one over another.

If we keep enough inventory to supply the customer with a good rack, if we pack and ship it properly and if you are the best salesman, we will make the sale.

Racks Basic Training

New Mini-Catalog for CEDIA

Racks Basic Training

Build-a-Rack Exercise Break into teams

Review installation requirements Select components from catalog Build a rack based on requirements

Present to group Review alternatives (no wrong answers!)

Racks Basic TrainingBuild-a-Rack Exercise

1) Off of a small recreation room a couple has a hallway with a closet.  The hall is about 36 inches wide with a small closet meant for a few coats.  The closet backs up to the garage.  They have their big screen in the recreation room but do not want to locate the electronics in that room and use more of that room’s space.  They would rather use the closet if possible.  The closet door is about 28 inches wide and 84 inches tall inside.  They have about 10 pieces of equipment that would amount to about 35 rack spaces.  What racks and accessories would they use? 2) The arrangement we selected for the above couple works fine for a few years, but they have achieved some success in their lives and are  moving to larger digs.  The new place has a larger family room and a built in cabinet, almost wall to wall, that’s on the wall where they want to locate their much larger screen.  The useable vertical space in this cabinet is 30 inches between the bottom shelf and the underside of the maple top.  They have added four more rack units of equipment.  Behind this cabinet is a utility room.  Which racks and accessories would you use? 3) Ten years later the kids are gone.  One is in college and the other got married and took all the electronics for her own home.  Mom and Dad have hit the jackpot as he was a big Wall Street money guy in 1998.  They move to Chanhassen, MN and settle into a new 8,500 square foot home with a media room.  Dad’s a bit of a show off.  The media room has mahogany walls on four sides.  One wall is all custom mill work with carved doors covering beautiful closets on each side of where he wants to locate the screen.  They go out and buy a pile of AV equipment and he decides, not being a shy guy, that he wants the equipment to glow in the media room.  He loves the lights.  When his friends come over to watch the super bowl, he wants them to see them too (so he can tell them how much it costs).  How would you do the install to keep him happy?

4) After living with the lights a few years, his wife hates the set up.  She doesn’t want the electronics anywhere in sight.   Move it please.

Racks Basic Training

Rear Door

Build-a-Rack Exercise

Accessories

Rack Front Door