Carrier Ductless Dealer Conversion Program

Objective

The objective of the Carrier Ductless Dealer Conversion Program is to increase the number of Carrier brand add-on/replacement dealers selling Carrier branded ductless equipment. This program is designed to help offset the costs of converting these dealers.

General Program Guidelines

•Distributors will work with their factory DLS RSM to identify prospective ductless dealers. Any dealers covered by this program must be approved by the DLS RSM and the Carrier Dealer Development Manager. (See Registering Dealers for more specific guidelines.)

•Dealers targeted under this program cannot be Bryant, Payne or ICP brand dealers.

•All factory funding made available under this program must be matched equally by the distributor.

•Dealer must be purchasing competitive ductless equipment (existing purchases from one or multiple manufacturers)

•Dealers targeted under this program must be primarily residential add-on/ replacement type dealers with <25% RNC business. This program is not intended for dealers that are primarily residential new construction or commercial in nature.

•Dealers targeted under this program can be existing Carrier dealers or competitive dealers.

•The timeframe for this program is a rolling 12 months once approved.

•Dealers in the program will have the option to choose:

oEarn 5% incremental market funds bases solely on their ductless purchases. The 5% is split 50/50 between Carrier and the distributor.

oReceive a 5% volume rebate on the total sales at the end of the rolling 12 month period based on sales goal establish with the Distributor and Ductless RSM at conversion program agreement

•.

•The minimum amount to total ductless equipment sales for the dealer needs to match or exceed 80% exclusivity to the Carrier brand within the rolling 12 month timeline of the program. Actual dates and transition goals to be determined by DLS RSM/distributor/dealer agreement at time of dealer registration into the Ductless Dealer Conversion program.

Registering Dealers (exactly the same as the other conversion programs):

oDealers will be registered on this program via

oDistributor submits the completed “Dealer pre-approval”form on Partners

oStatus of dealer application is “Pending Initial”

oDLS RSM is notified via Partners that an application has been submitted for review. DLS RSM has the choice to approve (status changes to “Pending Final”) or reject (status changes to “RSM Rejected”).

oCarrier Dealer Development Manager is notified via Partners that an application has been approved by the DLS RSM and is ready for review. Carrier Dealer Development Manager has the choice to approve (status changes to “Active”) or reject (status changes to “factory declined”).

oDistributor can log into Partners and go to the program enrollment screen and search for the Carrier Ductless Dealer Conversion program. Next, select “manage enrollments”. All the dealers and the status of each dealer are displayed.

oNo dealer is considered approved for this program until you have received notification of the approval from HVACpartners.

Funding

•For those dealers approved for this program, the factory will make conversion funds available at a rate of 2.5% of Carrier brand ductless purchases during the rolling 12 month period if the agreed to sales total is met(distributors cover the other 2.5%)

•Bryant and Payne branded products, Carrier commercial products, replacement parts, Totaline or Factory Authorized Parts brand parts and accessories are not eligible under this program.

•Funds will accrue beginning with the enrollment date set within HVACpartners and running for 12 months.

•The funds accrued under this program must be used and claimed according to the Distributor Operating Manual.

•The distributor is to track dealer purchases of ductless equipment and reimburse the dealer (5% of qualifying purchases OR applicable marketing activities).

•All claims must be made electronically via SAP (same as the other conversion programs). Claims must include: 1) Dealers ductless purchases 2) distributors tracking of ductless conversion claims 3) copies of expenditures/affidavits and ads

•No funds will be disbursed until the distributor has submitted an appropriately documented claim with tracking.

Acceptable Use of Program Funds

Funds made available under this program can be used as follows:

Marketing Fund activities option:

•Carrier Ductless branded advertising in media including television, radio, newspaper, billboards, direct mail, internet advertising, web site modifications (removal of competitive product information with placement of Carrier Ductless logos and content)

•Carrier branded uniforms, clothing and other branded merchandise

•Carrier branded truck identification, building signage

•Carrier branded letterhead stationery, envelopes, invoices, proposal forms, business cards

•Showroom equipment (Ductless demo system and display stands)

•Personal use program Ductless equipment

•Cost of technical and sales training on Carrier Ductless products

•Salesperson SPIFFs

•Ductless specific call tracking account & local phone number

Sales Rebate option:

  • 5% rebate credit on total year new sales at conclusion of rolling 12 month period (with goal attainment required)

Funds accrued under this program cannot be used for:

•Incentive trips or any other type of trip

•Inventory financing charges

•Personal gifts of any nature

•Any item that is not directory associated with advertising, promoting or identifying with Carrier branded ductless or the Carrier brand

This program is subject to audit and can be terminated at any time. Contact your DLS RSM or Carrier Dealer Development Manager if you have any questions regarding this program.

Carrier Ductless Dealer Conversion Program – 1.161