Electrical Industry Roundtable 2014 - 11

KERR: So you're saying that even in the existing
agent model, it's sometimes hard for a full-line
electrical distributor to work out with a hybrid.
CHAMNEY: Correct, because in a lot of cases a
full-line electrical distributor is also in cross-training
in that market. It could be a different end-user
or a different contractor channel, and is something
that's completely off-centre. Also, with all of the
acquisitions and globalization, you're fi nding full
blown electrical guys are getting completely into
plumbing or HVAC (as examples), and they're
blending together; the controls in HVAC and the controls in electrical are the
same.
KERR: That's interesting, because I was just in Quebec and I went through
Laval and the highest concentration of electrical distribution branches are
there. To your point, right around the comer in the peripheral, is a control
guy, the HVAC guys with their big HVAC shop - and right in the middle are
Fastenal and Brafasco. So, they're all concentrated there.
But, from a Quebec perspective, what do you see JS? Are you seeing more
entrepreneurial-specialized distributors starting?
BERCIER: I think distributors have a challenge to re-invent themselves as
we have as agents, but I think we have to be more specialized and technical.
If I look at my business, we're more end-user driven now than ever before.
We're very focused on specifi cation so we're covering engineers, architects,
designers, property managers and others. Again, we're a lot more end-user
and specifi cation driven.
KERR: Steve, what do you think?
BRANSCOMBE: The model of distribution has to change. When I think
about the discussion from the EFC AGM by HSBC, manufactur ing is
currently done for our own purposes. The presentation clearly stated that a
lot of manufacturing will be changed to support the Asian markets, so are we
going to be facing change. When you look at 347- volt for instance, will the
new markets all of a sudden expect us to abandon that and are we going to
have to re-invent that whole piece? Globalization is here and has always been
here. When you talk about the Internet-well, that's the easiest way for
somebody to get into someone's mindshare. Like JS was saying, it's a
challenge to get to unique markets and niche markets that traditionally haven't
been there, especially when you're trying to create an identity for yourself or
at least gain some short-term wins.
John Sencich.
Canadian Electrical Wholesaler JUNE 2014
11
Electrical Industry Roundtable 2014

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