$90 billion a year science education market
EKI/Sciencelabs.com has been firmly established in the education market for 25 years. The science education market is huge in size with some estimates ranging as high as $90 billion annually. The public education market is driven by a combination of a bidding process and ongoing smaller purchases. Negotiated discounts off of catalogue prices are also widely used. Educational institutions choose vendors based upon price first, and all other factors are secondary. Most of the competition has a significant fixed overhead and substantial legacy costs, making the market prime for a low price provider. Additionally, the market is plagued by long delivery times and poor customer service.

Five large, significant education distributors are serviced by a few decent sized manufacturers along with a significant number of smaller, fragmented manufacturers. Those distributors then sell directly to the schools. This is an outdated and cumbersome model.

The company has already seen that they have the ability to obtain significant penetration into this marketplace. Its low prices, efficient operations and ability to quickly adapt to changing situations enable them to respond to the changing needs of educational institutions better than its competitors.