Thread: GMC goes into receivership

Originally Posted by Eagle

expect an announcement no later than the end of next week.

I really hope that means good news for the employees of GMC/Triton, and for us as well

Peter

my information was that there was a staff meeting either yesterday or this morning.

I then spent $1400 on triton gear.

I am hoping that Triton go down the direct online sales route and become the Dell of power tools. Trade shows, forums like this and word of month (or jaws) should see them grow. A direct sales option would allow them to reduce costs and maintain quality. The cost of logistics, shipment and retails storage and retail markup must be a significant impost akll of which must be paid for in the end price. sure it would p*** bunnings off but hey they are not that cheap just big and handy. Online sales is the way of the furture.Places like burnning become a display show room and spare parts garage. You can bet that if they do go direct that the big B will try and undermine their sales. Harvey Norman pulled out of stocking Compact when they opted to provide a online retail outlet. This is the down side of the big coporations. Once they get market share they tend to not pass on the benefits of scale but pocket the profits and dicate to the market.

The problem with online sales is that a significant number of people still want to be able to physically look at a tool before purchase. Things like how it feels in the hand etc cant really be determined except by holding the thing. For online sales to work exclusively I think you would need to have a no risk return policy, but those are open to abuse too with people buying a tool for a single use and then returning it at the end of the job.

Peter

Originally Posted by petersemple

The problem with online sales is that a significant number of people still want to be able to physically look at a tool before purchase. Things like how it feels in the hand etc cant really be determined except by holding the thing. For online sales to work exclusively I think you would need to have a no risk return policy, but those are open to abuse too with people buying a tool for a single use and then returning it at the end of the job.

Peter

Unless you have a very good relationship with the bloke running the place and the product quality precedes itself.

Trade shows, road trips and p0ther promotional activity would still take place but most important is word of mouth and user endorsement. Forums such as this forum play an important role. Online direct sales can produce significant savings and would bring so that they can compete. As more and more companies adopt a direct on line sales warehousing companies begin to focus more on client satisfaction and product quality.

Yes return to base may be an option or policy that needs to be looked at.

But an online direct sales is the way to go for a tool company that has a niche market and a high values product. The costs of sales can be reduced up to 30%. By being the first to establish an online direct sales presence in thsi marklet space Triton would be ahead of its competitors.

Originally Posted by KnockOnWood

Trade shows, road trips and p0ther promotional activity would still take place but most important is word of mouth and user endorsement. Forums such as this forum play an important role. Online direct sales can produce significant savings and would bring so that they can compete. As more and more companies adopt a direct on line sales warehousing companies begin to focus more on client satisfaction and product quality.

Yes return to base may be an option or policy that needs to be looked at.

But an online direct sales is the way to go for a tool company that has a niche market and a high values product. The costs of sales can be reduced up to 30%. By being the first to establish an online direct sales presence in thsi marklet space Triton would be ahead of its competitors.

Hmmmm. I was under the impression that the sales volume from online stores is no-where near the same as retail outlets, especially something like Big B. Even if it is only summarily stocked and prices well above online, the sales from online can't be compared.

So it may be a nice idea to have online sales only, but access to store fronts and physical purchases will continue to have the largest revenue.

BTW my brand new Triton router is a dream to use. I hope all is well for the future of the company.

Originally Posted by KnockOnWood

Online sales is the way of the furture.

Maybe you're right but solely online sales will be the end of Triton.

It may be okay for the younger generation but for us old and demented folks we like to see and handle and feel the tool before we buy. Sort of part of the experience of buying that has been ingrained into us from an early age.

Ofcourse we use the internet to investigate and research our purchases as well as print media like tool catalogues but when it comes to purchase I will only buy locally from a retailer that hands over my purchase after I pay for it in cash.

I may be in the minority but I doubt it as I think most would like to feel and handle a tool before buying.

Peter.

Originally Posted by Sturdee

I may be in the minority but I doubt it as I think most would like to feel and handle a tool before buying.

Peter.

unless the tool has a pretty high reputation in a place like this - talking to other tool freaks soon gets you onto the top value / quality for money tools

i usually do a lot of research before i buy a signifucant tool and pretty much know what i am after by the time i get to a retailer - my impulse buys are usually sub $100 tools which is where the bunnings / mitre 10 warehouses excel - high volumes of crappy sub $100 tools -

there are a few specialty tool shops that carry quality and i expect that those places may be in the triton plan also - i could envisage tool co's stocking rented demo showcases in specialty toolshops for that hands on stuff - possibly weighting the prices in favour of online sales - you go - you look - you order online -
if you have to buy off the floor you pay a premium -

the days when you could go to the nearest hardware warehouse and buy a quality tool are vanishing -

Again take a look at Dell computers and then compare with say something like eBay.

As far as Triton is concerned Bunnings is not doing Triton any favors. Their products can still have a presence on the display room floor and there still can be retail outlets/show rooms and trade show sponsorship events. Most companies nowadays are having to pay for product placement and display.

Triton is not what I would call a consumer product. It has a specific and limited market. online sales would best suit their product and positioning. As it stands if you want a Triton product you have to go to and place an order at the Bunnings special orders desk. (And they are not that helpful at the Special orders desk, more often then not they do not know the product range and they just look it up on the internet and make a phone call., they expect that you know what you want) By going direct there is a lot of savings to be had, savings that can be spent in other more hands on promoton.

Times are change and so is the face of retail.

To provide another example.I recently looked at the range on offer at Bunnings. They all seamed much a muchness. It is not until you have had time to look around, discuss your options or rent a unit that you really get a chance to know whats what and what you want. Talking on this forum is helpful, attending trade shows and displays and contact with friends and collegues are best, it all helps but in the end if you know what you want then price and availablity are the key factors. How many people visit Bunning choice the product then go looking around for best price. Triton has a select market. Its main issue should be quaility, accessibility and price. A direct sales model should deliver a better outcome.

For me another issue is returns. I want to be able to simply drive to the local shop to get a replacement or repair if needed under warranty. I don't want to run the risk of having to pay shipping to get a dud back to the online store. I know that some will pay return shipping, but some don't, and you don't usually get to find that out until you need to make a claim. I will happily pay a little bit extra for the piece of mind that comes from being able to take the thing back and get it sorted out quickly. As for the range on display at Bunnings and sorting them out, that's what a decent salesperson should be able to do. If the salespeople aren't knowledgeable enough to know their products well or match a product to your needs then shop elsewhere.

Peter

Originally Posted by old_picker

unless the tool has a pretty high reputation in a place like this - talking to other tool freaks soon gets you onto the top value / quality for money tools

Yes that is part of my research, and I have heard great reports of fantastic stores on here YET I won't buy even from them on line.

I want to see and feel the tool in person, I want to take it home with me when I pay for it. I want to pay cash or eftpos and not use or divulge a credit card number.

And most importantly I want to be able to take it back in person if it needs it for warranty claim. I don't want to be on the end of a internet cable or telephone line or deal with an overseas call centre, I want to look in a persons eye when I make a claim.

For these reasons I will not buy on line. Call me a neanderthal or an old fool but that's what I do. I'm sure there are many others as well.


Peter.

In Japan, people talk about "the Way". Often we in the west who used to watch Bruce Lee or poorly dubbed samurai movies associate this with the way of the warrior, or martial arts.

There is the way of tea ceremony as there is the way of the carpenter or any other trade.

My perspective on the way of Triton is that though internet sales are cheap to process, they are detrimental to the development of the product and the brand.

I think the boys at Ryobi have the right idea. Select a retail outlet that best matches your market demographic and support it so that you get the store level support you require.

Net sales only of Triton will only reach those of us who are already woodworkers. Providing DVDs and great internet sites are all secondary to raising an eyebrow in a store, at a demonstration or a trade show.

All of this is irrelevant however if the suppliers are not happy, producing and getting paid.

Follow up service requires after sales service staff who are well aware of the products, not just from a SOP guide, but from experience using the product.

If the people running the company choose to let a bean counter who has no idea about woodworking decide what spares are needed to be held and what aren't then there is every likelyhood that the relatively small percentage of customers who have a problem will be annoyed by delays and become very vocal in their disaproval.

I know from the thousands of customers I met and spoke with that the product range meets the needs of many and does so well.

I am hoping that whoever buys the scraps of GMC has an understanding of the way of Triton. Looking forward to seeing what happens next week when an anouncement is made, then what follows.

Originally Posted by Sturdee

Call me a neanderthal or an old fool

Ok. You are a neanderthal and an old fool! Only Joking!!!


I am starting to wonder what I have not bought on-line. Last year I bought a Triton bandsaw. a Triton Steel cutter, Triton router bits, digital angle and height gauges from Rockler in the USA, welding rods from Bob the Welder at Ballina, etc plus plenty of books from the USA including a second hand copies of a toy making book that is now out of print.

Other than that I have bought lots of fishing equipment, computers and accessories, clothes, sports shoes (gotta get your size right first!), digital camera, CDs and hard-to-get DVDs etc etc etc.

Not once have I touched these things before I bought them BUT I have done heaps of research online including looking at product testing websites (knowing that these almost never give a bad report lest they never get any more freebies but at least they show how the product works) and very importantly, seeking user comments and ratings on the product and vendor, of which there are usually thousands. ( I hasten to add though, that I have never bought from a private seller on eBay)

As for payment, I reserve a fee free Visa card exclusively for online purchases or use Paypal. By keeping a separate card only for online purchases, I can quarantine any problems to it and leave my other day-to-day Mastercard free of issues.

The big attraction to me by buying online is price usually but also often convenience or the ability to get something that I cannot find easily by wandering around the shops. In terms of price, often the price online can be as low as 1/3 of the retail shop price, especially on imported goods.

Never had a problem so far.