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The last year proved to be very difficult for CIH which, in line with rest of the industry, had no control over many external economic factors, such as reduction of credit limits which has caused some members to retire early, said Robin Millwood, chairman of the buying group, speaking at the annual CIH Suppliers Luncheon. “It seems like CIH has become a property company with now having 20 first charges on members’ properties and many of these members have been solid supporters of CIH for years and have never missed a payment, but payment records and credibility do not appear to account for anything in today’s difficult trading environment.”
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The Independent Electrical Retailer (IER) is the leading monthly magazine for independent electrical retailers in the UK. The title provides retailers with an authoritative mix of business, market and product information across the three main sectors of the electrical trade: consumer electronics; major domestic appliances; small appliances. IER is also read by senior personnel in relevant multiple retailers, leading manufacturers, suppliers, distributors and service providers.
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Indesit Company, energy supplier npower and RLtec, the smart grid technology company, are about to begin a UK trial of fridges fitted with grid-balancing technology.
The dynamic demand technology, developed by RLtec and Indesit research teams, helps to maintain the balance between supply and demand across the national electricity grid. Through 2010, up to 3,000 UK npower customers will be supplied with Indesit Company dynamic demand fridges and fridge freezers, free of charge, in what will be world’s first residential test of the technology.
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Miele recently opened its experiential showroom in Cavendish Place, Central London. The Miele Gallery London offers visitors a hands-on experience of a range of working cooking, cleaning and laundry appliances. Visitors can also test a washing machine programme on a favourite garment, and even put a Miele vacuum cleaner through its paces to test its performance.
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The central hub of the BSH customer support system is the Customer Service Centre in Kettering, dealing with all four of the company’s brands – Bosch, Siemens, Neff and Gaggenau. Opened in 2006, it includes a contact centre handling engineer visit requests, replacement spare part sales, customer liaison and product advice. It also provides a centralised location for phone calls, letters and emails related to customer service, and works closely with the BSH HQ in Milton Keynes. Other back up staff, based in Kettering, provide support for field service engineers and IT services.
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The digital switchover reached an important milestone at the end of 2009, when the North West region began the move from analogue to digital on 4 November, with the process due to be completed on 2 December. It’s important because, it’s the first major urban region to make the change, and includes cities such as Manchester and Liverpool. Around seven million viewers in this region are estimated to be affected by the switchover. On the face of it, the digital switchover is progressing well. According to Ofcom figures for the end of September 2009, the number of households with TV sets that could receive digital TV was 89.8%, with an average of 2.4 digital capable sets per household.
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In a difficult economic climate some companies adopt the ‘slash and burn’ approach to staff training. This often causes damage to relationships with customers at a time when competition is fierce and high satisfaction levels are vital to survival. A recent poll conducted by the Institute of Customer Service found that 30% of organisations surveyed have cut investment in customer service training, and 21% have laid off customer-facing staff in 2009. At the same time the Institute’s research shows that companies with a reputation for service excellence and committed frontline staff have a 24% higher net profit margin than same-sector rivals who do not enjoy similar standing.
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The most important asset of any business are its employees. It is also the one most difficult to manage and retain. Their loyalty (‘longevity’) to a great extent depends on their professional satisfaction – their ability to do their job well. In retail, this is mostly down to their sales skills which, although they can be mastered through years of practice, can also be taught and learnt – as with any other discipline.
The beginning of the year is a good time for reflection on the developments of the past twelve months and the lessons which can be learnt from recent experiences and challenges.
As in previous years, IER has approached the executives of the leading players in the electrical industry for their views on the performance of their companies and the impact of the market forces on their operations in 2009. We also asked them to make some predictions, however difficult this might be in the current trading conditions, of what’s to come in 2010.
We hope that you will find this information interesting and indicative of the state of the electrical market as a whole.
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