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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.


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WAVE Electronics is aiming to take its innovative hand-pick warehouse design national starting July 1, 2012.

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.




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Article Topics

News · Distributors · Wave Electronics · Powerhouse Alliance · All topics

About the Author

Jason Knott, Editor, CE Pro
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.

12 Comments (displayed in order by date/time)

Posted by jayfroman  on  06/07  at  08:55 AM

Congrats go to the team at Wave for doing an outstanding job of taking care of their customers and having a great product selection so that they can branch out to other areas of the U.S.

Posted by Tim Eberts  on  06/07  at  11:51 AM

I have been a Wave Customer for almost 3 years here in New Orleans and they are the most loyal bunch of people I have ever done business with. They treat their customers and employees better than any other company I have ever seen. Congrats to Wave !

Posted by Jay w crescent city electronics  on  06/07  at  12:10 PM

I have been a wave customer since the very beginning, not only do they have great products, the most knowledgeable staff that goes way above and beyond, for their dealers. My business has grown largely due to hard work and the professionalism of wave electronics. In our business there are many options to buy equipment. But to have a partner in business, there is no other choice. Wave will be successful in any markets they open. Because they are the very best in the industry. Continue the great work guys!

And for the competition maybe they should focus on improving there service, instead of commenting on others success!

Posted by Jamie @ Dynamic Audio Video  on  06/07  at  05:15 PM

I’m speechless, but I’ll chime in after being in business over 10 years.

WAVE has consistently exceeded my expectations in sales, customer service, and support. They have even opened up on a Saturday for me, several times, to help me for a last minute weekend job. Their in house tech support is second to none and their show room is state of the art and always presentable and up to date.  They also provide some of the most comprehensive training classes I’ve been to.

From cookouts, crawfish boils, parties, and dinners, the guys at Wave are more like family than “business partners”.  I did over $200,000 of sales last year with Wave, more than all my other vendors combined. The bar is set high and I’ve seen no other vendor yet even come close to their standards so good luck!

Congratulations WAVE!

Posted by Brad Smith  on  06/07  at  06:02 PM

I purchase 99% of my equipment from Wave because they are the best in there industry. They truly want to see there customers succeed and I wish them the best of luck.

Brad Smith
Electronic Innovations

Posted by 3PedalMINI  on  06/09  at  04:02 PM

Any chance that they will be coming to the Philadelphia Market? I love my local guys but we are really in need of a big guy in the area when the smaller guys dont have parts.

Love the idea of a grab and go set up too! as much as i hate avad them pulling out of philadelphia really put a dent in the way i purchase things.

Posted by Morgan Harman  on  06/11  at  07:41 AM

I’m in the Southern California market.  I don’t know the details of the agreement in the alliance, but obviously they have to respect territories.

This is a big disrespect to all others they had an agreement with.  I suppose you never know what direction you will go in business, but when you burn a bridge like this with a proactive decision within your control - you have to say, hmmm?

I suppose we’ll have to see if their other business decisions build their business, or not.

Posted by BobbyBrown  on  06/11  at  08:11 AM

@thetechsource, “big disrespect”...what are you some kind of former inmate?

Posted by Julie Jacobson  on  06/11  at  08:12 AM

TheTechSource, I don’t think you can begrudge WAVE for the decision. They helped launch Powerhouse three years ago, and now they want to go even bigger. It may or may not work for them, but they need to do (or attempt) what they think is best for their business and their employees.

Posted by Morgan Harman  on  06/11  at  08:31 AM

Indeed, and I’m guessing the decision must have been weighed.  I’m just seeing a side to it that wasn’t addressed in the article.

@BobbyBrown - I have not been incarcerated. Or was that rhetorical?

Posted by IkeTurnerBeatDown  on  06/11  at  08:46 AM

@TheTechSouce

Isn’t it overwhelmingly ironic that a guy who lists walmart as a vendor on his website is criticizing the loyalty of a business that is trying to grow in this industry?

Buy the way, who are these genius customers of yours who need help buying from wally world?

Posted by Morgan Harman  on  06/11  at  09:07 AM

Nice Ike.  I’m cut to the quick.

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