Nelson & Associates, Sante Fe Springs, Calif., early this year announced it was ending its relationships with several manufacturers and focusing its efforts on working with eight remaining “premier” suppliers.
The manufacturers that Nelson will continue working with are Alcan, Ferraz Shawmut, Hoffman Enclosures Inc., Panduit, Encore Wire, Generac, JM Eagle and Wheatland Tube Co. Manufacturers with whom the rep firm is ending relationships are Crescent/Stonco, Edwards Signaling, Sola/Hevi-Duty, Bivar and Schurter.
Kurt Nelson, the company’s president, said the decision would allow Nelson & Associates to reposition its resources and assets toward the manufacturers it’s continuing to represent. “With fewer lines to sell, our salespeople will have a more focused product expertise, enabling them to effectively drive new product sales, which is crucial to distributors’ sales growth and profitability,” he said.
Bob Zamarripa, president, One Source Distributors, San Diego, applauded the decision. “This is a move in the right direction. For years, we’ve felt reps have had too much of their time diluted because they carry too many lines. They haven’t been able to provide a competitive cost solution for the marketplace. Having fewer lines will allow them to provide value.”
The firm’s decision is similar to a change the agency made in its datacom business a year ago. “We became more focused and were able to increase sales,” he says.