Commitment to exclusively trading through wholesalers is reaffirmed
Commercial Electric Heat (CEH), the manufacturers of Electric Space Heaters which became part of the Turnbull and Scott Group earlier this year, has reaffirmed its commitment to only selling its products through electrical wholesalers. "We are aware that some companies are moving towards direct selling to contractors, online sales and the DIY outlets in an effort to increase volume" said CEH founder Neil Blunt.
"We have always resisted this temptation as we believe our success over the last 19 years has been through supporting our wholesaler customers and not competing with them."
Following the acquisition by Turnbull & Scott this policy was reviewed over a six month trading period. The review took sounding from customers, agents and electrical contractors. A competitor analysis identified the trend toward online sales and the DIY multiples. However the team agreed that providing online and telephone technical support to end users coupled with distribution through the wholesaler channel was the right model for the business going forward. "Our model is based on UK manufacturing" explained Turnbull & Scott MD Peter Murphy. "This allows us to provide technical support online and by phone to the wholesaler and contractor, and short lead times to the wholesaler. Our products do not need to be stocked as we can normally deliver next day, specials take a little longer. This model has worked well in the past and so we are sticking with our wholesaler customers"
CEH will now focus on supporting the model. Already the customer service function has been strengthened by new recruits to the Hawick based factory along with additional electrical engineers. The logistics network is being evaluated for potential improvements but with 95% of orders delivered next day but this is considered a fine tuning exercise. Distribution remains exclusively through Electrical Wholesalers and Distributors, deliveries are made through Branch networks or direct to site as appropriate. The majority of products are available from stock with next day delivery as the norm. Variations on standard units such as specific colours and bespoke controls are always considered and can often be turned round on short lead times.
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