Attached please find instructions for obtaining your 2022 pricing updates, effective January 1, 2022. Prices are increasing on all product lines, on average 2-6%, for two interrelated reasons:
1. Significant increases in the cost we pay for the materials and components that we use to manufacture our products.
2. Our commitment to only producing the highest quality products means we have not – and will not – substitute lower-cost, lower-quality materials and
components that would allow us to keep prices lower but would deliver an unacceptable value proposition.
Also, unlike many other leading industrial brands, we did not increase prices during the year, choosing to instead maintain our disciplined approach to pricing management on an annual cycle.
2021 has been a study in extremes. On one hand, we have seen demand for our products boom as the global industrial economy recovered from the pandemic-induced weakness of 2020, but concurrent with this historic demand we have experienced historic challenges in our supply chain. It is no consolation that we are not alone in navigating shortages, as we know the situation has created challenges and frustrations for you and your operations. Our manufacturing, procurement and logistics teams continue to work tirelessly, and we remain committed to doing all that we can to protect our partners and customers through these continuing unprecedented supply chain disruptions.
Improving the Customer Experience remains an important focus. A core strategy is to enable partners who want to compete on value to win sales that otherwise may have gone to a price-based, low-service seller. One outcome is that we further reduced the number of authorized partners in our network, allowing us to work more closely with those of you who share our commitment to long-term customer success.
We continue to emphasize growth via customer-focused product and service innovations. We recently revealed the next generation air plasma, Powermax SYNC™, featuring a single-piece, RFID-enabled cartridge consumable for tracking performance and analyzing usage patterns. Feedback from customer test sites and at this year’s FABTECH show indicate that this innovation will be a game changer for users.
Our innovation pipeline is strong and includes:
• Hardware and software innovations for automated shaped steel cutting.
• Next generation waterjet cutting technology.
• A new SureCut™ performance application that significantly increases material utilization, thus addressing the #1 cost associated with cutting: Wasted material.
We are excited to bring these innovations to market with you.
As we all continue to navigate the pandemic, we wish you good health and great success as we close out 2021 and in 2022. We look forward to seeing you in person soon.
Reese Madden
Sr. Director, Corporate Marketing Operations
reese.madden@hypertherm.com