Business Opportunities in the Mexican Water Sector

November 18, 2009

Vince Lencioni

Wisconsin Trade Office - Mexico

Five Part Presentation

• 1. Tips on How to Sell into the Sector

• 2. Market/Opportunity Overview

• 3. Description of assistance LGA will be providing for free to Wisconsin companies

• 4. Examples of Wisconsin company water project assistance

• 5. Description and Explanation of LGA Services (Two Page Sheet)

Tips on How to Sell into Sector

GOVERNMENT• Decentralization and

River Basin Situation• Federal vs State vs

Municipal Dynamic– Regional Differences

• Bid/Award Tendencies– Compranet vs Pre-Pipeline– Tendency Info (Table)

• Sector Funding– Conagua Role– 2010 Status

PUBLIC & PRIVATE• Selling through

intermediaries and Integrators– Public: National vs

International Bids– Private:

• Transparency Issues– Public and Private

• Commercial/Industrial– Water Shortage (Reuse)– Electrical, Related Costs– Corporate Culture

Market/Opportunity Overview*Survey of Attendees*– Problem Analysis

• Biggest Problems vs Solutions vs Political

– Perception of Need Realities in Mexico

• Clean Water• Waste Water• Private (Industrial)

– Angles for Analysis• 2009/Current Projects• 2010-2012 Projects• Current Infrastructure• Information Realities• LGA Value Proposition

Infrastructure Info• Treatment Plants

– Clean Water, Waste Water, Industrial

– Processes and Types– Water Reuse

• Hydraulic – Dams, Irrigation,

Aqueducts• National/State Coverage

– Drinking Water, Sewage

What are you looking for?

Description of Free Assistance• Monthly

– Take Spanish Bid Info• Translate• Make User-Friendly

– Deliverables• Water Bid Info• Water Award Info

• Quarterly– Feedback: Local Officials

(3 levels) & Intermediaries– Tips: Business Strategies– Synopsis of Bids and

Awards during quarter• Challenges & Evolution

• On-Going– Information as developed

• Non-Proprietary– “Next to Free”/Subsidized

• Intermediary Searches• Client Searches• Market Viability Analysis

– Sector-specific mission– Fine tuning and modifying

Monthly and Quarterly Info • We want your feedback• Some company specific

changes can be made– Surveying of Council and

other water companies

Service Related Hand Outs

• A. Water Bid Info – July and August

• B. Water Bid Award Info – July

• C. Water Bid Location & Timeline Info

• D. Water Intermediary Breakdown Info

• E. Service Description Info (one and two page information)

Example of Wisconsin Company Water Project Assistance

• Traditional Wisconsin DOC Services– Intermediary (or Integrator) Search– Client (or Project/Bid) Search– Market Viability Analysis

• Examples in Water Sector– Kasco Marine – National Distributor Search– J&Y – Hybrid: Integrators, Bids, and Bottlers– Others with local presence – Distributor Search

focused on broad coverage (function, geography)

• Strategy + Implementation =PRACTICAL SERVICES

• Channel Strategy/Searches– Intermediaries & Integrators

• Project and Region Specific– Sales Managers & Partners– Performance Monitoring– Post Search Assistance with

Intermediaries: leads, direct interface, assistance, and liaison

• Sales Generation/Strategy– Current Sales Strategy Analysis– Private: Client Identification– Govt: Lead Generation from System,

Intermediary, Gov´t official interfacing• Early, Pre-confirmation Detection• On-going bid & lead determination

– Early stage sales pipeline assistance

• Market Information– Product Market Viability– Imported vs National Products– Surveying: End-users, gov´t officials,

intermediaries– Competitor & Import Analysis

• Technical/Legal Trade Services – Customs & Product certifications– Bid & Technical Spec Analysis– Contract, credit, collections assistance

• Direct Presence Transition– Manufacturing/Strategic Partners– Local sales office set-up– Accounting, invoicing services

LGA CONSULTING – Vince Lencioni

vlencioni@lgaconsulting.com

US Toll Free Number for Mexico City Office: 1-888-750-0988