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MARTIN’S CORNER What’s the big concern?


ASA, buying/marketing plumbing/PVF groups & national wholesale distribution companies


W


elcome to the fourth edi- tion of “Martin’s Corner” for The Wholesaler in our


new year of 2011. Hope your busi- ness is going the way you hoped it would! We have a good solid eight months plus ahead of us, so keep up a good spirit and work hard. Good things really do happen to “good peo- ple” — I’m convinced of that. Some- times it takes longer than others, but do not give up the faith that it will.


today [PVF or plumbing or a mix] were or currently are active members of ASA.


My point is that for the most part, the successful companies in our industry


We all have to pull together to help get our great nation back on her feet and fuel our business and personal ef- forts. But it will happen! In the mean- time, thanks for checking in again to see what I’m up to. Bringing you all the success stories


of some of the independent whole- salers in our industry from around the country has been fun and interesting. I will be doing that again, but thought I’d give you a break from that report-


ing style to do an “Opinion Article” on our industry. You know, most peo- ple have an opinion on just about everything — me included — but many keep them to themselves due to shyness, not being sure of the opin- ion, not wanting to upset the status quo, etc. Me? I believe in freedom of speech! I love to give my opinions when asked about different issues — even if it might be one that makes me work a bit of “overtime” in my thought process to draw out a real and believable answer, know what I mean? Having said that, however, I feel “I have some meaningful re- marks and responses” to share my thoughts on when it comes to this double-edged sword, if you will, about industry and wholesalers/man- ufacturer success in today’s world. Please stay with me on this very im- portant issue that I believe will have significant impact on our collective success going forward and for years to come. First of all, let me be very honest. I


really should declare that this is a free-of-any-charge personal opinion and non-solicited advertisement in 100% support of all the independent and national companies that support ASA and its industry efforts. And at the same time that my opinion and


“Inspired by the dedication of our volunteer leaders, ASA has emerged stronger, more connected to the entire in- dustry and most importantly we have once again become relevant in our leadership to the industry. ‘To Be Indispensable to Achieving Prosperity in Our In-


dustry’ is the mega goal that ASA’s Board and members have established to guide the organizations efforts into the future. This is some bold stuff for any organization to publically state. It shows the difference in mentality between ASA today and ASA a half decade ago. ASA


is governed today through a process called strategic governance where the board and committees and staff continue to turn to our long range strategic plan which keeps the association focused on our vision for the future of this industry, our relevance as an organization in helping our partners run more profitable and efficient businesses and the feasibility of the strategies needed to move the industry forward. It is our belief that this strategic governance structure is or should be


a very valuable addition for the independent wholesaler to the value add they receive from membership or ownership in one of the buying/mar- keting groups or for that matter for the national wholesaler as well. Our volunteer leaders have stepped forward to provide programs that


best serve the interest of the entire industry. Providing full time represen- tation in Washington, D.C.; cost effective and easily deliverable educa- tional programs that will help your employees become the best trained, best educated and most professional in the industry; critical actionable data about the changing nature of the industry and how to navigate the future have been cornerstones of our value proposition. Being indispen- sible is a lofty goal, in fact some may say that it is arrogant. But if ASA can achieve a fraction of the objectives that our members have estab- lished, our industry will be far better of for it.” — Michael Adelizzi, Executive Vice President, American Supply Association


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support also applies to the market- unified efforts in general of those buying/market groups and the sup- porting national wholesalers as well. Just a few words about the wide-


spread national (and international) wholesalers in our industry as they relate to the ASA segment of this issue as well. I in no way leave them out of my thoughts and scope of impor- tance to me, the industry manufacturer I work for (Anvil), and the industry as a whole. Think about the mega growth these national com- panies have experienced since the mid-1980s to pres- ent! The key point of interest I offer to that question is that other than some pure organic growth, they did it via the M&A model. Think about it for a mo-


ment. The hugely successful companies that were ac- quired by and large by these aggressive growth compa- nies were what? The fact is they were hugely successful independents or hugely suc- cessful regional distribution companies in the plumbing, PVF, me- chanical and/or underground whole- sale markets — just like the current members of ASA and/or the current member/owners of the industry buy- ing/marketing groups. Doesn’t that make sense? They went to the best, and for the


most part the best were active mem- bers of what? They were active mem- bers of the ASA — and some were active members of a successful buy- ing/marketing group! My point is that for the most part,


the successful companies in our in- dustry today (PVF or plumbing or a mix) were or currently are active members of ASA. Today, many buy- ing group member/owners are active ASA members, but some aren’t. And several buying group corporate of- fices are members, but some aren’t. Meanwhile, national companies’ cor- porate offices are members, but not all their locations participate. So, my friends, I am trying to un-


derstand what makes some independ- ents see the need to be part of a very successful buying/marketing group and why they feel that active mem- bership in ASA is important to their business as well. To the opposite side of the coin I’m trying to understand


BY JOHN MARTIN PVF industry veteran


“ASA is fortunate to have the Karl Neupert ASA Ed- ucation Foundation to support continued educa- tional growth and develop- ment for our industry. We at American Pipe & Sup- ply benefit greatly from the products and pro- grams offered by the Foundation. I am excited by the future programs to come. Also, ASA offers many opportunities for individuals and/or com- panies to get involved with educational is- sues, governmental issues affecting our industry and industry topics that will be shaping our workplace for years to come through various committees under the ASA organization. So just as your buy- ing/marketing group gives you a lot of group-oriented experience and need along with incentives, getting involved with ASA gives you all the above as value added to your group offering.” — Jeffrey Beall, CEO, American Pipe & Supply


why some independents feel the strong need for their buying group, but no need for ASA. You get the pic- ture, right? My struggle is the same with un-


derstanding why a national com- pany’s field location does not see or feel a need for ASA, and quite hon- (Turn to Are you... page 74.)


“The ASA educa- tional and leg- islative efforts are the back- bone of this group, which pro- vides tremen- dous value. The ability for whole- salers to network work with companies outside their buying group is also worth- while. For the vendor, the oppor- tunity to see a number of customers in one venue provides a substantial time and cost sav- ings. In most cases, this gives upper management a “second touch” during the year in conjunc- tion with the buying group meet- ing.”


— Harold Arrowsmith, Vice


President-Mechanical Sales, Anvil International


•THE WHOLESALER® —APRIL 2011


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