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Changes to REDARC Electronics distribution model

Wednesday, 1 August 2018

To our valued Trade Customers,

In recent times the traditional supply chain for the automotive electrical aftermarket has changed significantly. In particular, the increased presence of online retailing has been a disruptor for traditional bricks and mortar retail businesses. REDARC recognises the need to adapt and change along with the evolving marketplace.

We appreciate that you invest in staff training, product showrooms, installation equipment, stock and facilities and this investment and the associated overheads requires a return. To help you get a return on your investment, we are making changes to our existing distribution model.

We will be splitting our current distribution model into specific market channels to ensure that they can operate together in this new and disruptive retail environment. We see only positive outcomes with these changes by being able to work closer with you, our valued trade customers, enhancing the end user experience and continuing to strengthen and drive demand for the REDARC brand.

Effective 1st August 2018, the following changes to our distribution model will be taking effect:

  • Our current wholesale distributors will sell into the “Trade Supply and Fit” channel.  They will cease selling products to businesses that are primarily reselling via a 3rd party online store.
  • REDARC will be operating in, and dealing directly with, the online channel by appointing authorised online resellers. To become an authorised online reseller, the online store will need to meet certain criteria to ensure that they are able to uphold REDARC’s brand values, have procedures for maintaining product integrity and properly support end consumers around the country.
  • REDARC will be further supporting the auto electrical trade by extending our training programs to provide more in-depth information so you can continue to provide high levels of customer service to your valued clients.

To complement these changes, REDARC has already invested heavily in upgrading our manufacturing facility in Lonsdale, South Australia, which is due for completion in November 2018. This will allow us to continue to provide new, innovative, high quality products for the market.

We will also continue to heavily promote to the end consumer via our branding and marketing activities to drive consumer demand for REDARC products to your door.

These changes to our market channels have not been taken lightly and we have spent significant time in ensuring that any transition will be as smooth as possible.

We thank you for your continued support of REDARC products and understanding of the changes that we are making to our distribution model.  We believe they will further strengthen our relationship and enhance the customer experience.

For further information:

 

 
Ben Marsh
National Sales and Marketing Manager
REDARC Electronics

23 Brodie Road North, Lonsdale,
SA, 5160, Australia
Email: bmarsh@redarc.com.au
Ph: (+61) 8 8322 4848
 
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