Electrical Distributors - Twenty years a fair test for the best in the west

By Richard Mead.
This article appeared in Electrical Gems Issue 88, December 2008 – January 2009

Since first opening its doors in Belmont, Electrical Distributors has traversed both the peaks and the troughs of the huge industrial landscape of Western Australia. Now, in its twentieth year of trading, principals John Moore and Greg Jones take time out for reflection and celebration.

Some say they breed ’em tough in Western Australia. How else can an independent company not only survive competition from big multinationals, cope with the booms and busts of the West Australian economy and manage to grow and mature along the way? Well, according to John Moore and Greg Jones, a little creative thinking and a tonne of optimism can go a long way in W.A’s testing industrial environment.

When John and Greg first opened the doors of their Belmont warehouse on the 5th of December 1988 they had 20 years of electrical wholesaling experience between them. And they needed every minute of it! John Moore, the company’s CEO, describes their first months in business as: “…like flying on a wing and a prayer. We really took the plunge,” recalled John. “We had champagne taste but a beer budget, and to try to project the image of a well stocked branch we filled the shelves with empty cartons. The warehouse looked impressive, but to capitalise we had to perform. We promised delivery within hours and of course we kept our promise, which meant running from one supplier to the other for the stock we couldn’t afford and then delivering direct on to site.”

“…to project the image of a well stocked branch we filled the shelves with empty cartons.”

“Service was the name of the game,” John recalled. “We excelled in keeping the customer happy. It meant early mornings and late nights but our clientele began to grow. Greg’s philosophy has always been that all Electrical Distributors warehouses are to be full of stock, so that when the client comes in and asks for 10 items he walks out with ten items. After 20 years of business his philosophy still applies today.”

Proud to be west australian owned

The recession in 1990 hit and hit hard, but instead of giving in to pressure from the big guys and the banks, and with the very real possibility of bankruptcy lurking in the shadows, John and Greg put all their skills and years of experience together and made some decisions (some potentially risky ones in hindsight). Their main focus was always providing the ultimate service to their clients, and treating every order as an urgent order was a philosophy that enabled Electrical Distributors to claw its way back, open new branches in Balcatta and Midland and add extra staff. And all this while other wholesalers were reducing…

Gemcell helps create new opportunities

“As the economy came out of recession it was time to open more branches. There was a niche in the marketplace and independent wholesalers were fast becoming the preferred suppliers to the electrical market,” said John. “With three branches now under our belt we were excited when the opportunity to join the Gemcell group was offered.”

“Our very loyal customers and Electrical Distributors both benefited greatly from this move,” said John. “The access to the expertise of the Gemcell members, the diverse product lines on offer and the increased buying power has amounted to our clients being more competitive in the market place and has allowed their companies to grow, as well as our own. The Gemcell group enables independent wholesales like ourselves to have a strong presence in a once internationally dominated electrical industry.”

“In addition, Gemcell membership created an opportunity to encourage senior people within the Electrical Wholesale Industry to become financial partners, and in the opening of a further two branches within the metropolitan area - Naval Base and Bentley,” John continued. John has been an executive member for many years on the board of the Gemcell buying group.

Moving upwards in a downturn market

When year 2000 was on the horizon and everyone was in a panic that their businesses were going to suffer and the world was going to stand still, John and Greg (forever the optimists) decided it was time to expand again and open another branch at Kenwick. As Western Australia was coming of age and population growth was mushrooming, the demand was becoming greater and the south west of WA was an area of interest for promoting Electrical Distributors. This was when the Mandurah, Busselton and Margaret River branches emerged. “For all you eastern state dwellers,” declared John, “Margaret River is God’s own country with beautiful beaches, vineyards, olive oil, best cheeses and chocolate factories.”

We dig deep for our customers in mining

The mining industry is on a roll in W.A., which puts our management team under pressure to prove that they can deliver technical information in a variety of ways. Because of their expertise, they are able to service our trade customers as well as the mining industry with most of their needs. This all comes together under the supervision of our IT Manager, who is always on call.

Diversity in overseas markets

Electrical Distributors not only sells to the domestic, commercial, mining, and shipping sectors. We also export to Ghana, Cambodia, Vietnam, South Africa, and Africa. Electrical Distributors is well equipped to meet the demands of any company or major project within Australia or overseas.

100% West Australian owned and proud of it

Electrical Distributors continues to be an independent 100% West Australian owned company committed to assisting our customers to achieve bigger and better businesses. With 12 branches, dedicated and experienced staff and loyal clientele, Electrical Distributors is now the largest independent wholesaler in Western Australia, and the third largest within Australia.

Keeping our profits in Australia

John Moore is a firm believer that profits from our industry should remain within Australia. “ Too many European and American companies have bought Australian businesses within the electrical industry,” emphasized John. “In these tough economic times we all need to support locally owned electrical businesses, which helps to ensure that profits stay within Australia.”

We wouldn’t be where we are today without our loyal staff, suppliers and partners

“To give due credit,” emphasised John, “our high service standard and diverse product range would not be possible without our loyal management and staff and of course our fantastic suppliers. These are the people who all help make us the premier electrical supplier in WA. At times, being involved in Gemcell puts more focus on our members than our suppliers. But without supportive suppliers, none of us would be in business today,” said John.

“We also would not be where we are today without the backing of our financial partners,” added John. “Walter Foy, Geoff Burton, Ian McAuley, Phil Byass and Terry Watkins have been an integral part of our success, and we could not have reached our full potential and built the business through good times and bad without their support.”

Downturn in the market in 2008 and beyond

“Electrical Distributors has ridden on the wave of success and also hit rock bottom in previous recessions and slow markets,” John recalled. “With the combined knowledge of our directors, management and staff, we stand strong and our goal is to maintain the service our clients have become accustomed to. The electrical industry is a great industry, not just about working hard and making a quid but about forging great relationships, making great friends and having great times together.”

Electrical Distributors now boast a staff of 85, and with strong relationships with our customers, will continue to provide top service and a lot of good fun for at least another twenty years and more.