WAVE Electronics Going National; Leaving PowerHouse Alliance
Texas-based distributor WAVE Electronics is expanding to national distribution and plans to add 10 regional branches in addition to its existing seven locations.
WAVE Electronics, creators of innovative “hand-pick” distribution warehouses that allow dealers to roam the aisles and select their own products, is taking its operation national and more than doubling its number of branches.
WAVE will leave the PowerHouse Alliance as of July 1, 2012.
“We are gearing up to go national,” says Mark Fukuda, president of WAVE. “We have been planning this for months. It’s been part of our strategic plan for a long time and we are looking forward to it.”
WAVE already has seven branches in Texas and Louisiana and will soon launch 10 branches in different regions to cover the U.S. Fukuda says there is no exact timeframe yet for when those new branches will be in place. Fukuda says the new locations will “mimic who we are,” meaning they will all eventually be hand-pick warehouses. The rapid expansion is all being self-funded with no outside investment.
WAVE has converted all its existing branches to hand-pick designs except New Orleans, but Fukuda says that will happen in the next 12 months. It’s existing branches range from 7,000 square feet to 50,000 square feet in size.
“We are currently pinpointing the exact locations and we have multiple targets in each territory,” says Fukuda, adding that WAVE is also already engaging with potential staff in those territories. WAVE currently uses both an inside sales rep and an outside sales rep for each of its locations.
Because the 11-member PowerHouse Alliance can only consist of regional distributors, WAVE is leaving the group. Fukuda does not expect any fallout from its vendors due to the departure.
“We have already contacted all of them,” he says. “We brought 95 percent of the lines to PowerHouse.”
Dennis Holzer, executive director at PowerHouse, says the group will move on. “It’s disappointing to some extent, but we will replace them,” Holzer says. “They have national aspirations and have been a good partner in the alliance. But they are moving into a whole different realm by going national so it’s not possible for WAVE to remain in PowerHouse.”
Holzer is aiming to have a new member for the region within 90 to 120 days.
Jason has covered low-voltage electronics as an editor since 1990. He joined EH Publishing in 2000, and before that served as publisher and editor of Security Sales, a leading magazine for the security industry. He served as chairman of the Security Industry Association’s Education Committee from 2000-2004 and sat on the board of that association from 1998-2002. He is also a former board member of the Alarm Industry Research and Educational Foundation. He is currently a member of the CEDIA Education Action Team for Electronic Systems Business. Jason graduated from the University of Southern California. Have a suggestion or a topic you want to read more about? Email Jason at [email protected]
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