Anti-Graffiti_Coating

 

Los Angeles Business Journal

November 5, 2007

Innovation

Joel Russell, Staff Reporter

Page 18

 

Excerpts from… “Keeping It Clean – SEI Chemical targets do-it-yourself market with aerosol can version of anti-graffiti coating”

 

For Ross Sklar, graffiti is a problem at the molecular level.  His company, SEI Chemical in Vernon, makes coatings that thwart would-be vandals before they can apply their spray paint.

 

SEI’s first anti-graffiti coating was aimed for the industrial and government markets.  It worked by preventing paint from adhering, so the spray would leave only streaky drips.  The product, still a major driver of SEI’s revenues, sells for $300 per gallon.

 

But this month, SEI is launching a coating for the do-it-yourself market.  The product comes in an aerosol can and is called Anti-Graffiti Barrier Coatings.   It sells for $9.99, a price that represents a major victory since Home Depot sets strict limits on retail prices.

 

……Rick Jones, vice president of the chemical consulting firm ChemQuest, Group, said Sklar will have to conform to Home Depot’s system to achieve success.  The retail route “is fraught with peril,” especially for warehouse stores that demand low markups and speedy delivery from suppliers. 

 

“They have an expectation for you to manage stock or supply JIT (Just in Time).  Their system is to not carry huge inventories, but to sell what they have,” Jones said.  So if they want two packs of product every other day, they expect you to deliver that.” 

 

“There’s an old saying:  At times it’s cheaper to drill for oil on Wall Street than in the sands of the desert,” Jones said.  “In other words, it’s easier to buy an oil company with proven reserves than to drill holes that may come up dry.  In chemicals, the tendency is to buy companies with proven technology.”

 

 

 

 

(To read the complete article…and more comments on “Keeping It Clean – SEI Chemical targets do-it-yourself market with aerosol can version of anti-graffiti coating”………see Los Angeles Business JournalNovember 5, 2007 issue)