Over the past 10 or more years it's been impossible to increase the retail prices of our products, despite the NUMEROUS improvements in quality, advances in product design and improved safety features that we've introduced over that period, because the adverse exchange rate with the US $$$ has meant INFERIOR US imports have been flooding in to the UK at rock bottom prices.
In the UK raw material prices (like stainless steel & ally) have increased by as much as 20 fold in the past 10 years and the labour on machining costs has more than doubled.
Until recently all we could do to counter these company destroying trends, was to make major improvements in efficiency, which despite our best efforts has still resulted in a major dent in company profits.
However over the past 18 months we've been testing out supplies and suppliers from countries like China and I'm pleased to report that we're now forging links with some of the most outstanding ones. Day by day we are finding suitable suppliers for a growing number of our component requirements, that are equal to (or even superior to) our current standards of quality but which cost substantially less than from our current suppliers.
Initially we will need to re-establish the profitability of our company (to maintain our R&D programs to further advance nitrous technology) but in the not too distant future, we expect to be able to reduce retail prices to BETTER than even the cheapest US imports.
We already have samples of Revo parts that we've had made in China, which have been tested and proven to be as good as those we've had made in the UK. This means that when the times comes for mass production we'll be able to beat the current prices of generic solenoids and offer basic Revo valve systems at a lower price than solenoid systems.
We already have a number of MAJOR companies in different parts of the world interested in marketing the Revo systems for us, therefore all the ingredients are coming together nicely, so that when I think the time is right, all we need to do is bring the whole thing to the boil to get the REVOlution started.
In the more immediate future, we expect to see some of the more major components from China start coming on stream by next year and this will be reflected in the prices as soon as possible thereafter.
Regards
