Cart dealers brace for distribution boom

Written on the 1 June 2009

LEADING golf car and parts distributor Augusta Golf Cars have entered into an arrangement with USA-based company Nivel Parts and Manufacturing Co that is set to revolutionise the cart industry. The landmark partnership will see Augusta Golf Cars Pty Ltd effectively become 'Nivel's Australian Warehouse', a move Augusta Golf Carts chief executive officer Raymond Georgiou said will provide great benefi ts to the Australian market.

"We will be importing container loads of golf car spares and accessories into Australia for distribution nationally, as well as to all the surrounding islands including New Zealand, Fiji, Vanuatu among others," Georgiou told Golfer Pacific.

Nivel Parts and Manufacturing Co is the largest supplier of aftermarket golf car parts and accessories in North America. They are owned by a private equity group and have been in operation for over 40 years. In this time they have also focused on industry needs to develop a broad product line and a reputation for being a market leader with new product development.

"Nivel, like us at Augusta Golf Cars, follow the principal that to succeed they must ensure that their dealers are successful, which is why they have developed a comprehensive operating system, combining a world-wide sourcing network and national distribution system, to support their customers' needs," Georgiou said. "Our intention at Augusta Golf Cars is to set up a structure within Australia that will emulate what Nivel has achieved in America.  "We are confident that by buying correctly and in bulk we can build a stockpile of parts and accessories that will enable us to support and service local needs in an effi cient and price competitive manner."

"WE WILL BE IMPORTING CONTAINER LOADS OF GOLF CAR SPARES AND ACCESSORIES INTO AUSTRALIA FOR DISTRIBUTION NATIONALLY"

Georgiou said his primary objective was to create a pricing and distribution structure that will encourage dealers that are presently importing themselves in smaller quantities to take advantage of bulk buying and purchase from Augusta Golf Cars at prices that will adequately compare to their present landed costs in Australia. "This will enable them to get on with selling the parts and not have to be concerned with volatile exchange rates, exorbitant freight costs and in many instances, prohibitive lead times,"  Georgiou said.

Although Augusta Golf Cars are the offi cially appointed Master Distributor of EZGO products for Australia and the Pacific Islands, the product range of parts and accessories to be stocked will include all brands of golf cars. "We believe that the service levels of our competitors in supplying parts and accessories is ordinary," Georgiou said.

"This has created an opportunity to set up an organisation that will give all dealers nationally an opportunity to properly service all their local golf car users, no matter what brand, with their parts and accessories needs in a more effi cient and timely manner.
"We are also investing a substantial amount of funds into designing and developing our new website which will incorporate real time shopping of all available parts and accessories."

The website will also include on-line manuals of all brands and list what stocks are on the shelf in Australia and the potential lead times of stocks not immediately available.  Georgiou said buying patterns and quantities will be accumulated over time and statistically monitored to ensure that they achieve fill and back-order rates that far surpass current experience and expectations. "Our goal is to build up a national network of accredited dealers who will be authorised to utilise this website in a manner that will make buying easy, effi cient and seamless which we have no doubt will add enormous value to their businesses," he said.

"There is also potential to expand this structure to include a type of multi-level marketing concept where the website is opened up to all buyers with accredited dealers automatically benefiting from online sales by buyers within their allocated territories."

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