THE decision by Retravision (WA) to expand into solar energy systems earlier this year harnessed the goodwill developed by its 50-year-old brand to sell an increasingly popular green technology.
It was a decision that has paid significant dividends for the WA electrical retail chain, which grew to be the fourth biggest provider of solar panels in the state within just three months.
What Retravision tapped into was demand for green energy along with uncertainty about the products and the existing providers, none of which had high-profile brands in the local market.
Retravision chief Paul Holt said the company moved into solar relatively late, at a time when the market was starting to look a bit crowded but none of these companies had any long-term track record in WA.
And he recognised there was an opportunity for Retravision to leverage its strong profile and the trust built up in its brand to drive sales.
“We tried to focus on all of our existing qualities, our brand reputation, our service reputation, the reputation we have for great installation and providing advice and it’s really resonated with the buying public,” Mr Holt said.
Retravision’s success with solar is even more impressive given that it is only selling panels through nine of its 93 WA stores.
And its success has given it fresh impetus to research up-coming technologies including the yet-to-be released solar-powered air-conditioning.
The Retravision brand was built on ‘new’ technology, and its expansion in this state from its first five stores has tracked the introduction of the refrigerator, the washing machine and colour television.
It’s a rich history that dates back to 1961 when a group of Victorian retailers, the Radio Electrical TV Retailers Association, formalised their purchasing power into a buying group and traded as Retravision, a name formed from the first letters of their association and the word ‘vision’.
In that same year a group of five retail business owners in Perth formed their own Retravision Group.
To this day the business remains a franchise operation with a number of former and existing storeowners throughout WA making up the 58 shareholders of Retravision (WA).
In 2004, Retravision (WA) bought the South Australia and the Northern Territory Retravision operations, but these store owners are not shareholders.
Retravision chairman Bill Harries said the group’s ability to secure a reliable pipeline of stock was one of the biggest enticements for store owners in the early days of the brand.
“When colour television first came out they were really hard to get hold of and you had to put in forward orders and take your chance,” Mr Harries said.
“But once we had established that (retail) platform right through WA the major issue then was holding on to it, we weren’t the only retailer in town and in the middle of that 50 years we knew there was major opposition arriving from the east in the form of The Good Guys and Harvey Norman.
“The directors had the vision to start up what we call large format stores ... well in advance of them arriving here, so we had a strong hold when the opposition finally arrived.”
Mr Harries puts the strength of the Retravision brand down to the individual store owners and their service and long-term relationships with shoppers.
“The country stores are part and parcel of their community, they support the cricket club and the footy club ... and that relationship means they get good steady business all the time,” he said.
Retravision was one of the first retailers in WA to use catalogues to market its products, and this medium is still one of the central planks of its sales and brand strategy.
But it’s moving with the times as well, and in a bid to reduce the impact of online retail, Retravision is launching a national website in affiliation with Retravision’s national buying group in November this year.
“Our view is you need to make that offer because so many people only want to shop online and they are looking for good deals and great services,’’ Mr Harries said.
‘‘So you will be able to shop online with the real confidence you are dealing with a business that has been around for 50 years.”
