Distribution Insights are blogs written by experts in their area of expertise. Our goal is to provide these insights to help distributors and others in the HVACR industry run their business more effectively and profitably.
Given the speed of change in wholesale-distribution, particularly in the “business value,” every wholesale distributor will need to project that operational excellence (OPEX) will become more commonplace as a mission critical objective.
It’s impossible to ignore the competition. Like the forces of market supply, recessions, economic recovery, and upticks in energy prices, competitors influence your business environment. Extending further, competition varies from market to market and even territories within the market.
During years of editing this magazine and others in our industry, I’ve received various versions of this reply when asking a wholesaler for an interview: “We don’t like to talk about ourselves; we don’t want to bring attention to the business; we prefer flying below the clouds; or we don’t want to give away any secrets.” I’m a soft sell guy, and invariably my response was to say “thank you” and move on.
Everyone sells no matter what you do. It might not be a direct sale where you receive a financial reward for “selling” something. But selling includes trying to convince to do something they might not have to consider or are in opposition to.
Quite frankly, I can’t imagine any distributor not assigning a value to their service and recouping at least a portion of the expenses tied to the service. While I personally believe 10 percent is a bit low, it is a start in the right direction.
Is your facility prepared for a natural disaster? Can you rest assured the power will stay on? May 7-13 is Hurricane Preparedness Week. The start of hurricane season is around the corner, and it’s important that your facility is prepared should one make landfall near your location. These suggestions are not just for hurricanes, but also for tornadoes and other naturally occurring disasters that have the potential to knock out your prime power source.
It’s no secret ecommerce is changing the way we all do business, and distributors are no exception. The new digital economy has created B2B and B2C convergence that puts tremendous pressure on distributors to either find new ways to offset increasing costs or reinvent themselves in some way. Simply put — buyers’ behaviors are changing and distributors need to adapt quickly to fulfil these new needs.
There are over 5.6 million commercial buildings in the U.S., comprising 87 billion square feet of floor space. Air moving, heating, and cooling systems account for the largest amount of electricity used in these buildings. The industry has made intensive efforts to improve the efficiency and productivity of motors and driven equipment. However, the belt drive connecting these components is critical to achieving maximum efficiencies. Two simple solutions for improved HVAC system performance are the use of energy efficient belts and proper drive installation.