Do we dare to take on the big end of town? And more importantly, does size really matter?
We all know that in the world of business size is certainly an important factor. The cost advantages that go with economies of scale make it an exercise in futility to try to mix it with the major players. But there is an exception to this rule.
IF you are an innovator then size really doesn't matter. German supermarket chain, Aldi, is a prime example. Aldi dared to take on Australia's long-standing duopoly – Coles and Woolworths – and now the entire market is taking notice.
A recent report by credit rating agency Moody's says the supermarket's aggressive expansion poses a long term threat to Coles and Woolworths.
Previously its growth had been at the expense of Metcash's IGA supermarkets and other independent retailers but the report says an increasing acceptance of Aldi by Australian consumers has changed all that. As a large refrigeration customer, the HVACR sector is also taking notice.
Moody's estimates Aldi holds eight per cent of the local market whereas Woolworths has 37 per cent and Coles has 26 per cent.
Aldi recently announced a $700 million expansion into South Australia and Western Australia adding 130 stores to its 300-strong network. Another innovator that's even closer to home is Seeley International, manufacturer of the world's first energy efficient ducted gas heater – the Braemar 7 Star.
Proof again that size doesn't matter if, you are an innovator. On a global scale Australia isn't exactly a big player but the Aussie spirit of ingenuity has certainly grabbed the world's attention.
It's the kind of magic deserving of rewards and recognition which is why CCN Live has launched the HVACR Leadership Awards.
This exciting awards program features five categories covering the entire spectrum of the HVACR industry.
I am thrilled to have the opportunity to award outstanding leaders of projects, programs or products deserving of industry wide recognition. I write about this industry daily so I know there isn't a shortage of HVACR superstars, they are everywhere but you will have to act now as entries close on June 26, 2015.
Winners will be presented with their awards at a CCN Live breakfast to be held on Friday, August 14, 2015. To nominate go to www.climatecontrolnews.com.au/awards and good luck!