The exceptional growth that Park Electrical Distributors is currently enjoying is underlined by the fact that it had to create a brand new five-year plan in June after smashing its original targets two years early. The wholesaler is now setting its aspirations even higher, with the objective of broadening its horizons away from its North-East heartland and into Yorkshire.
“2023 saw us almost breaking through the £50m turnover barrier, which was two years ahead of our original growth strategy,” explains Ian Aitchison, Managing Director. “This forced a rethink that takes into account the upward trajectory we’ve been on over the past ten years, with growth averaging between 20% and 25% year-on-year.”
In order to maintain this phenomenal success, a need to remodel the business and uproot its focus on the North-East was identified. A new objective was therefore put in place, with the goal of establishing bricks and mortar branches in neighbouring counties to help continue the company’s forward momentum.
“We’ve long had our eye on expanding into Yorkshire and beyond, but we knew doing so would take considerable investment and a degree of directional change,” adds Mr Aitchison. “Our success in the North-East has put us in a position that allows us to step outside of our native territory and embark upon an ambitious Yorkshire growth plan.”
A key element of Park’s success has been meticulous planning, a philosophy that has ensured that it has always been able to remain focused on delivering high levels of customer service, regardless of how fast it has grown.
“We always think about things carefully to ensure we are well equipped to support the plans we put in place, such as by introducing our state-of-the-art 12,000 sq ft facility in Thornaby. This is specifically focused on providing an enhanced service experience for our major projects.”
The Thornaby site allows Park’s growing branch network to improve their own efficiencies and increase service levels for customers, while at the same time allowing them to utilise project logistics departments to ensure efficient operations during project call offs direct to site.
“As well as our long-standing lighting design department, which has been a great USP for many years, we’ve now added our latest point of difference: our modular solutions division, which offers offsite fabrication solutions and specialist component assembly across the industry.”
All of these latest innovations have made it possible for Park to move into Yorkshire in a confident and assertive manner, backed up by a fully supportive supply chain. At the same time, the company has been careful to get the staffing right too, as to succeed in any new geographical territory it is crucial to recruit personnel with local knowledge, expertise and experience. These are boxes that Josh Brown ticks, which made him an ideal choice for the Regional Business Manager tasked with getting the Yorkshire venture off the ground.
“My background is in wholesale, and I was well aware of the reputation that Park had developed in the North-East, so when I heard that they were looking to expand into Yorkshire, I leapt at the chance,” highlights Mr Brown. “Since joining the company in June, I’ve been busy recruiting the right people, which has been challenging in the current climate, but we’re determined to do it correctly. Getting people in that are ambitious, driven and hungry will allow us to make the most of this opportunity and develop some serious traction.”
With a site already operational in Wakefield, which boasts excellent links to the M1 and M62, and another Yorkshire-based site planned to be open by the end of the year, it is clear that Park is fully committed to its foray into the UK’s largest county.
“Josh’s local knowledge was vital in locating the Wakefield site and we basically gave him a blank canvas to work with,” outlines Mr Aitchison. “After pinpointing three or four possible sites, we quickly decided the Wakefield one was the best possible option.”
Mr Brown’s local insight was invaluable in choosing Wakefield as the site to go for, as he explains: “It’s ideal for servicing nearby towns and cities, as it has good links into the likes of Leeds, Barnsley, Doncaster and Huddersfield, as well as along the M62 corridor. What’s more, Wakefield itself has a strong manufacturing base to go at too.
“In terms of the site itself, we will be operating from a 7,500 sq ft facility, with the capacity for further expansion. As well as office space, we also have a large trade counter, as it’s important to have that ability to connect with customers.”
Having hit the ground running in Wakefield, Park is already on the hunt for other locations for expansion, as it moves forward with its latest five-year plan. “We’ve worked out our strategy for the future and with the stars aligning, we’re looking to increase our business up to £100m by the end of 2029, based on the opening of at least ten branches in Yorkshire, as well as moving into the Midlands. This will give us the ability to expand our customer base and add even more prestigious projects to our portfolio.”
With the progress it has made so far, it is not beyond the realms of possibility that Park’s targets will be reached ahead of schedule again, as the company begins writing the next chapter in its already impressive history.