Wholesalers now struggling

[M107]

Just been down Newey's to pick up some cat7 & asked how they were doing trade wise.

Me Keeping busy then

Manager "it's dead we are on our ****, we are struggling real bad at the moment"

As a branch they are 83K down from this time last year, they have lost some eight account holders who have given up & folded last/this month.

The manager seems to think most contractors are now favouring on-line or the smaller independant wholsaler.

Got to admit I now compare price's more keenly.

 

[septiclecky]

Just been down Newey's to pick up some cat7 & asked how they were doing trade wise.Me Keeping busy then

Manager "it's dead we are on our ****, we are struggling real bad at the moment"

As a branch they are 83K down from this time last year, they have lost some eight account holders who have given up & folded last/this month.

The manager seems to think most contractors are now favouring on-line or the smaller independant wholsaler.

Got to admit I now compare price's more keenly.

Or as you say companies are now looking around for the cheapest price instead of going to just one wholesaler.

 

[betty swollocks]

must admit that ive had every wholesaler local to me offering me cheaper and cheaper prices, last week two reps stopped by my van and came looking for me just to offer me some decent prices if i open an account.

i tend to use two main wholesalers and everytime i walk in now and show them the prices they up my discount to keep me, yesterday i got firerated d/l b/chrome tranny and bulb for

 

[300TDI]

Must admit a lot of them are very quiet

Although there are a select few still very busy, this is a result of keeping customers happy AND not just wanting to know them when times are hard.

How can some wholesalers try to tap up business from someone they upset/overcharged or not wanted to know over the years

I know im not going to use the ones tapping me up now, when my existing wholesaler has always charged a decent price and is on hand to help me out however they can

They were doing this from day one, not just when they have a quiet spell

And for that they have my loyalty ( they are also still busy....wonder why ?? )

 

[HONEYMON57ER]

As a small independent wholesaler myself our problems stem from cash flow

due to some of our customers having difficulty getting paid. The turnover still seems to be there and we can't take on any more accounts as it would stretch our finances too much. We are also very wary of new customers looking for accounts at the moment as they are probably on stop with their

regular supplier. We are trying to look after our regular customers first!

 

[Theorysparky]

are you giving bigger discounts at the mo ????

 

[andy8758]

I live in a small town in Somerset, but even here we have 2 electrical wholesalers, plus a number of builders merchants selling electrical wiring/fittings, as well as a hardware store, and a Focus DIY - hell its no wonder wholesalers are struggling. But I still end up using TLC on internet for a lot of bulk purchases, (price) or travel to Wilts Wholesale in Trowbridge who seem to stock everything.

 

[HONEYMON57ER]

are you giving bigger discounts at the mo ????

Well in some instances yes we are. If we can beat or equal a price then we

will always do that for a regular customer.

If someone comes in with a quote from another wholesaler or screwfix etc then again we will try to help, whereas in the past I'll admit this hasn't always been the case. Whilst we can beat/

equal these other companies it is sometimes a struggle as they have much bigger buying power but if we feel it will lead to further business then we will do it. There is little point doing it if the margin is tiny. I know this sound obvious but we are in business to make a profit and have overheads to pay.

Some of the larger wholesalers are only interested in turnover which can cause them long term difficulties.

I know of one large wholesaler whose bonuses are paid on sales and profit with extra bonus for hitting both targets.

So, come the end of their financial year they have hit the profit bonus easily but not the sales target. So what did they do? They imported

 

[sparky999]

Also seeing that alot of customers are buying there own items theres so many places you can find cheap items now.

 

[andy8758]

Had one potential customer tell me they saw CU in B and Q for

 

[batty]

Had one potential customer tell me they saw CU in B and Q for

 

[SLIPSHOD & SLAPDASH]

Had one potential customer tell me they saw CU in B and Q for

 

[SPECIAL LOCATION]

It still amazes me that the average house down south is +

 

[Theorysparky]

 

[a1]

are you giving bigger discounts at the mo ????

Well in some instances yes we are. If we can beat or equal a price then wewill always do that for a regular customer.

If someone comes in with a quote from another wholesaler or screwfix etc then again we will try to help, whereas in the past I'll admit this hasn't always been the case. Whilst we can beat/

equal these other companies it is sometimes a struggle as they have much bigger buying power but if we feel it will lead to further business then we will do it. There is little point doing it if the margin is tiny. I know this sound obvious but we are in business to make a profit and have overheads to pay.

Some of the larger wholesalers are only interested in turnover which can cause them long term difficulties.

I know of one large wholesaler whose bonuses are paid on sales and profit with extra bonus for hitting both targets.

So, come the end of their financial year they have hit the profit bonus easily but not the sales target. So what did they do? They imported

 

[extension15]

Of the 3 wholesalers I use, only one appears to have been honest about business through the summer especially..

The one that has suffered the most, appears to have had a lot of staff changes..

 

[SPECIAL LOCATION]

Of the 3 wholesalers I use, only one appears to have been honest about business through the summer especially..The one that has suffered the most, appears to have had a lot of staff changes..

Would the one with a lot of staff changes be a large national one with many branches and and anagram of EFC? ?:|

I know they have had been having staff changes round this side if the world? :|

 

[Theorysparky]

and down here aswell.

phone my rep up for a price..he left 2 months ago

unrealistic sales targets and his commision wasnt good

 

[Theorysparky]

only use one now

been an account holder for 6 weeks and they already know what type of stuff i need and use.

trouble is there seems to be a queue at the counter.....

 

[SLIPSHOD & SLAPDASH]