Electrical Distributors
Electrical distributors serve as the essential link between manufacturers and the contractors, designers, architects, specifiers, and service professionals who put the products into operation all over the world, Beyond warehousing and selling electrical products, distributors also provide critical value-added services like providing extensive product knowledge, furnishing one-stop shopping for many customers, and extending credit to end-users.”
Infor10 Distribution Electrical Distributors components
- Lot billing:When handling large projects, contractors often want to order everything necessary for the job upfront to ensure that it is on hand when they need it. But they also want to receive the material in stages and to pay for it as they receive it. Infor10 Distribution distributors to handle lot billing by:
- Enabling distributors to first deliver and bill contractors for rough in materials, then invoice and deliver finished goods at a later date.
- Rebate functionality:Many of the electrical industry’s major vendors offer rebates when distributors sell certain products, or when certain companies buy their products. Infor10 Distribution helps distributors handle rebate tracking by:
- Automating the process: Each step, from negotiation to receipt and beyond is recorded, in real time, and reflected in the General Ledger and price schedules.
- Enabling users to print detailed, easy to understand reports.
- Electronic price updates: Many electrical manufacturers will send price updates electronic files, which distributors often re-key into their systems. Infor10 Distribution helps simplify this task by:
- Enabling distributors to upload pricing electronically.
- Companion item capabilities:Many electrical distributors sell conduits with wire or lamps with fixtures. But sales representatives often forget to offer products that accompany other items. Infor10 Distribution helps distributors handle this --and up sell items-- by:
- Automatically “suggesting” products that go with items on a customers order, increasing sales and improving customer satisfaction.
- Contract Pricing: Electrical contractors often need a certain amount of units for a job, and distributors will offer special pricing on those units. Infor
ERP FACTS helps manage this process by:- Establishing job-specific pricing schedules.
- Front counter capabilities: Many distributors deal with will-call and walk-in customers at the front counter. Infor10 Distribution helps handle these customers by:
- Offering the ability to access inventory price and availability from order entry or a true point of sale with cash drawer capabilities counter sales entry.
- Enabling distributors to apply cash or credit card deposits against an order.
- Printing special “will-call” tickets for orders called in for pick-up, so the warehouse does not pack and prepare the order for shipment.
- Reel Tracking: Many distributors sell wire and cable, and must track the amount of wire on warehouse reels to maximize inventory profitability. Infor10 Distribution helps distributors handle wire and cable reels by:
- Tracking the amount of product on each reel.
- Directing warehouse workers to pull product from reels to maximize inventory investments.
Distributor Profile
Electrical distributors deal with two primary markets. While some specialize in serving only one market, others serve both.
- Contractor/Consumer Markets:These distributors sell primarily to the contractor and end-user market. Typically, they have a front counter, where customers pick up products ranging from conduits to lighting products.
- Because much of this type of distributor’s business comes from walk-in and will-call customers, they require front counter functionality.
- Some contractors tend to be slow payers. Therefore cash collection capabilities are important.
- Some electrical distributors working on the contractor and end-user market sell lighting fixtures, go companion items or go together items and showroom functionality may be required.
- Industrial/OEM Markets:These distributors sell products like switches and controls industrial clients and manufacturers. Sales representatives work one-on-one to build relationships, and often work on a consultative basis to help customers find the best products to maximize operations or solve problems.
- Because many distributors in this market work with contractors and/or industrial firms completing large projects, they require lot billing functionality and contract capabilities.
- Many of these distributors sell wire and cable, so reel tracking functionality is important.
- Manufacturers in the electrical industry often offer distributors rebates for selling certain products, or for selling items to certain customers. Therefore rebate tracking capabilities are also important.
Industry Terms
Due to the brevity of the industry, it is impossible to pinpoint a group of terms commonly used in any distributorship. But the following websites offer excellent glossaries listing definitions of terms generally used in electrical distributorships:
Major Product Groups
- Lighting
- Builders’ products
- Line construction material
- Wire cords and cables
- Conduit and raceways
- Conduit accessories
- Distribution and switchgear equipment
- Controls
- Wiring devices and data/telecom equipment
- Industrial automation equipment
Infor has Customer Overviews available on the following electrical distributors
- Hannan Supply Company
- Sam Pievac Company
- Call One, Inc.
- More companies available upon request
Associations and Trade Shows
- National association of Electrical Distributors (NAED) - Hosts approximately 50 meetings per year. Its primary annual meeting is usually held in May. www.naed.com
- Electrical Distributors Network (EDN) http://www.profitpower.com/
- I.E.D. Limited Partnership (IED) www.ied.com
- National Association of Independent Lighting Distributors (NAILD) - Convention and Tradeshow, OCC www.naild.com
- Electro-Federation Canada (EFC) http://www.electrofed.com/
Educational Group
- NAED Education and Research Foundation ( www.naed.org ) The mission of the NAED Education & Research Foundation is to further the professional growth and career development of the thousands of people who work in the electrical industry. Over the last decade, more then 45,000 individuals have been impacted by the NAED Education & Research Foundation’s multitude of educational programs, thanks to the annual contributions of electrical distributors and manufacturers.
Buying/Marketing Groups
- IMARK Group, Inc., more then 180 distributor members
- Equity Electrical Associates
- Affiliated Distributors, hundreds of distributor members
- EDN (now a part of Equity)
Publications
- TED: The Electrical Distributor (12 issues/year) http://www.tedmag.com/ – for distributors, focuses on all aspects of the industry
- Electrical Wholesaling (12 issues/year) www.ewweb.com – for distributors, focuses on all aspects of the industry
- Electrical Product News http://www.epnweb.com/
- Electrical Apparatus (12 issues/year) http://www.barks.com/ covering the fields of electromechanical and electronic application and maintenance
- Market Focus (6 issues/year) published by IMARK for their members
- ElectroFed (weekly/online) and The Advocate (bi-yearly- print) http://www.electrofed.com/ – Electro-Federation 16 page newsletter