As we begin planning for the new calendar year, we would like to take a moment to reflect on the dynamic year that is coming to a close. The release of Pasela represents the largest product launch in the company’s history, and it’s been a resounding success! We have been overjoyed with the reaction from customers, both new and old. The introduction of our digital program comes at an interesting time as businesses face increased costs from ongoing inflation and educators face decreased budgets. We have managed these costs through decades of business experience and optimized production processes. We also anticipated many of the increases in commodity prices while designing Pasela.
Several years ago, we reached a critical threshold. The cost of paper, printing, and shipping activity sheets and workbooks became cost-prohibitive. We elected to maintain our prices for as long as possible to ensure affordability for you–our customers.
As time went on, it became apparent that the increased costs of paper were reaching another threshold, and it was simply no longer commercially viable to print activity sheets and workbooks. Last year, we made the difficult decision to discontinue the printing and packaging of activity sheets and workbooks, knowing that we could provide these materials as downloads available inside Pasela. We are now reaching a milestone in our transition plan as the existing inventory of remaining activity sheets and workbooks is nearly exhausted. Currently, there are approximately two to three months of supply left for products that include activity sheets or workbooks.
Starting on December 2nd, we will no longer be offering our traditional kit products. We will discontinue their availability online and for purchase. We will fully transition to the new Pasela Starter Kits, which have been redesigned and optimized for long-term affordability for customers who seek to supplement Pasela with physical materials in their classrooms.
These new kits have updated materials—a process that started more than four years ago. With the removal of the instructor’s manual and the printed activity sheets and workbooks, the production cost of these kits has been greatly reduced. However, other items inside the kits are subject to inflation and other price increases. For this reason, beginning December 2nd, we will also institute a minor adjustment to the retail prices of the Pasela Starter Kits.
In previous years, price adjustments were rare and aimed at improving purchasing efficiency for schools, districts, and other sites. However, as the economy becomes more dynamic, we acknowledge that cost changes are becoming necessary and will occur more frequently. We continue to focus on affordability for our customers and have identified another component we believe needs adjustment to offer more flexibility and reduced implementation costs.
The puppets in Pre-Kindergarten and Kindergarten kits have become increasingly expensive and difficult to acquire in large quantities. Recently, larger quantities have been unavailable, and we have been required to pay retail prices for these items. The cost of puppets continues to rise to an unsustainable level, so we have decided to remove the puppets from Pre-Kindergarten and Kindergarten kits starting December 2nd.
We will provide customers with links to retailers that offer the same or similar products to those previously included in the kits, and we encourage our customers to seek out the best value when purchasing puppets. As a result of this change, the price of the Pre-Kindergarten and Kindergarten kits will be reduced, beginning on December 2nd, to reflect this new structure. However, other kits will see a minor price increase due to inflationary factors.
The last change coming on December 2nd is new volume discount tiers for Pasela Starter Kits and bundles, particularly for schools that are just getting started. These product bundles will present the most affordable option for new implementations.
As we move into the 4th quarter of the year, we wish to thank everyone for their support and patience as we roll out Pasela. We could not be happier with the response or more excited about the innovative features we have planned for 2025!
Wishing you the best,
The Positive Action Team
If you have active quotes for any of these products, please contact your Program Consultant for an updated quote should your intended order date be on or after December 2nd, 2024. Starting October 1, we will not be issuing any new quotes for traditional products.