Generator dealer

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Greg1707

Senior Member
Location
Alexandria, VA
Occupation
Business owner Electrical contractor
I have been promoting generator installations to my customers. However, there is an aspect to this that bothers me. Generators are basically an appliance similar to a washer/dryer, fridge or central AC unit. These appliances are typically sold by dealers or in the case of HVAC, dealer/contractors.

As a electrical contractor, as much as I would like to sell these installs, I don't feel that I am properly situated to provide this service. I am dependent on a supply house that is really only interested in selling a machine. They are not interested in getting involved with all kinds of accessories, options or service plans.

Therefore, if I choose to pursue these sales, I am in a awkward position trying to sell something that I don't have access to all of the needed information, pricing and services etc.

Basically, it seems to me that if I want to sell generators I would need to become a "dealer" just like HVAC contractors and have access to all of the support, technical assistance, sales literature etc. that is provided to a dealer.


Any comments?
 

Rewire

Senior Member
Generac offers several levels of dealerships along with classes to train you to provide service. Alot depends on how big an investment you want to make on how much benefit you get.
 

templdl

Senior Member
Location
Wisconsin
Generac offers several levels of dealerships along with classes to train you to provide service. Alot depends on how big an investment you want to make on how much benefit you get.

Does he have a business plan that would include his projected sales? Does he have a marketing plan as to how to promote his business?
I think that he does have a heck of a good idea but he would have to become a distributor himself essentially.
The issue is what he can bring to the party in value added other than to cut the local distributor party out of the supply chain.

As a sales engineer for a large electrical manufacturer we had stocking distributors for the most part except for one that stocked the very minimum. What they brought to the party was their expertise as I could trust them with handling my jobs when sold through a distributor. the also had the brains in order to package distribution equipment where other distributors didn't have the slightest clue what so ever.
As such, if I wanted to purchase generators you may try going through distribution by using a specific generator manufacturers product exclusively and getting a more aggressive discount because of volume and the distributor carries the stock instead f you of try to negotiate something with the manufacturer t go direct agreeing to not competing against the local distributor by simply purchase reselling their generators.
 

goldstar

Senior Member
Location
New Jersey
Occupation
Electrical Contractor
There have been several discussions regarding this in this forum. Do a search through the archives and you'll get some good advice. With respect to Generac, be advised that they're interested in SALES, SALES, SALES. If you go in at the basic level you can buy all the gen-sets you want but you won't be able to buy spare parts. I became a distributor several years ago. When I placed my first order I came to find out that I could buy the gen-set cheaper on line at a discount house than I could from Generac. FWIW, and as always, make sure you read the fine print before you sign the agreement.
 

kwired

Electron manager
Location
NE Nebraska
Like anything else, the more product you sell the more the company is willing to work with you, give you better pricing, support, etc. You will likely need to stock some parts, maybe learn about servicing the engine as well as the electric components, as you will be warrantying that also.

When did you last see a full service dealer for new cars, appliances, or any specific type equipment that did not have a full line of accessories, parts, optional add on's, etc.? Big box stores sell volumes of these things but do not offer service, if you have a warranty issue you have to find an authorized service center.

Not saying you can't or shouldn't pursue this, but you need to be fairly serious about installing and servicing these things or it may not be worth it.

HVAC seems to have its own ways of doing this to some extent. Many contractors usually only install one brand of unit, but not always. It is generally harder for average consumer to buy HVAC equipment though, so they have their own ways.
They also sell maintenance contracts and extended warranties more so than electricians or plumbers. Which is good money maker BTW and the reason I don't buy these contracts from others. You are better off to save your money and spend it when repairs are needed. Appliance places also make a lot from extended warranties.

Any consumer can usually buy a generator - and buy anything but what the contractor would recommend - then call for installation:sick: Just like they go to HD and buy a panel, breakers, wire, boxes and then call an electrician and find out he would rather have installed different items, either by preference or even because of codes.
 
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