Proudly serving the industry for which it was named for more than 50 years, Outdoor Power Equipment provides dealers who sell and service outdoor power equipment with valuable information to succeed in a competitive market.
Issue link: https://read.dmtmag.com/i/52507
doing business with their suppliers, there must be inventory on hand, and the orders must be shipped every day. CPD is blessed with outstanding employees that make sure our customers are treated with respect, they are helped without controversy, and then the product(s) are shipped that day. That is excit- ing to me. Our online customer ordering system, E- Zone, continues to add value to the user. We have been able to customize an E-Zone ac- count for every one of our customers. This allows us to put programs and pricing that pertain to that customer on their E-Zone page, while hiding programs and pricing of lines they don't carry. E-Zone is like having your own customer service agent 24/7 all year long. We will continue to be more efficient in our warehouses. In 2012, we will add more customization to the picking process, making the flow from the first part picked to the last very efficient. 2. What will be the OPE industry's top trends in 2012? JDH: I have been in this industry since 1985 and continue to be amazed at the changes taking place. 2012 will continue to see the smaller dealers go out of business and the larger ones becoming larger. However, more so in 2012 than in past years, small, more regional distributors will be challenged by their customers (and distributors) to have parts now. If they take the stance of the dealer and utilize their distributor's inventory, they could be gone in 2012. More than ever, we will be asked to provide value to our vendors and customers but prove why this industry is better with, rather than without, quality distribution. For several years, the focus has been on the dealer, and we have paid attention to how they will manage their businesses mov- ing forward. I believe that same attention will now be focused on the smaller distributors. And just like the pattern of the smaller dealer vs. the larger one, you will see fewer distribu- tors by the end of 2012. Someone reading this may see this as a bold prediction, but it is already starting, One major lawn and garden manufacturer will introduce a new, scaled- down version of distributors at the start of 2012. I will be anxiously watching to see if they have the correct amount of quality dis- tributors, or have forgotten a specific seg- ment in the U.S. I can see more consolidation continuing throughout the industry. There are aging owners of manufacturers that will want to modify their succession plans, and some of OUTDOOR POWER EQUIPMENT JANUARY 2012 19 the modification will be selling off the company. 3. What will be the OPE industry's biggest story in 2012? JDH: I think there are several big stories that will emerge during 2012. One I alluded to in question 2: The cancellation of certain distributors for a major lawn and garden line will be big news but forgotten. The fuel discussions on E85, E15 and/or E10 will cause more warranty-related prob- lems that won't be covered. Dealers will need to help manufacturers educate the general public. Lobbyists will continue to battle against the use of high ethanol but will lose in the long run. Therefore, associations like OPEAA, OPEI or OPEESA will start to lead the charge in consumer education. Events leading us to the Presidential elec- tion will keep the industry from growing the way it deserves to grow. More and more Chinese engines will appear, and dealers will "be used to it" at the end of the year. Chi- nese engine companies will have a difficult time emerging on their own. They will need a major player to help them get a start. The hype of China will begin to fade in 2012, and we will seriously ask ourselves, "Where is the next China?" 4. Who will emerge as the Republi- can Party representative for the 2012 U.S. presidential election? Who will be elected president? How will the out- come of the presidential election im- pact the OPE industry? JDH: For 2004, OPE asked the industry leaders this same question regarding the Dem- ocratic Party. I said Howard Dean, and a month later, he had a meltdown in Iowa and quickly went away. So I will stick my reputa- tion out there again for the world to see and say Newt Gingrich will be the nominee and eventually President of the United States. (In eight years, I'll look back and shake my head one way or another.) However, I think Newt would be industry friendly. His immediate ac- tions would create jobs, and with his election to the Presidential office, would make Christ- mas 2012 the holiday that America got back to spending without fear. His love for the Constitution, the United States and its small government, and putting people back to work, will send massive cuts to czars, EPA and other departmental money suckers. With all