Best Brands Plus revamped to better serve members
By Tom Edmonds -- Furniture Today, January 14, 2002
GERMANTOWN, Tenn. — Best Brands Plus, a buying group based here for midsized and small U.S. retailers, is reorganizing to reflect the various levels of participation that members can choose.
A holding company, MEGA Group USA, has been created, and all member retailers who are not part of the Best Brands Plus banner store program will now be members of the new entity, said Pat Reed, executive director.
"The forming of the MEGA Group holding company will allow the group to segment its members in a more common fashion and better focus programs and benefits to each member's desire," Reed said.
In 1996, Best Brands Plus created its licensed banner identity program, which has grown to more than 100 retailers in 10 states. This group will now be able to focus on programs, advertising and merchandising strategies to drive growth, Reed said.
Best Brands Plus stores incorporate the same colors, interior designs and signage and have been very successful in the marketplace, he said. Nonbanner Best Brands Plus members will be redesignated to reflect their choice of services and benefits, and all will be members of MEGA Group, the U.S. version of the major Canadian buying group.
"We have some dealers who are interested only in the traditional group benefits of lower costs on insurance and services," Reed said. "Then we've got another category of dealers willing to make additional volume commitments to vendors, for example. They may not be candidates for our banner program. Our top group of dealers is in our banner program. Their commitment allows us to provide an enhanced level of service and the benefits that come with it."
He said there would be no diminishment of services for members who are not part of the banner program. At the same time, the group does not want to dilute the potential strength of the Best Brands Plus brand by using it anywhere other than as a store identity, Reed said.
He expects the Best Brands Plus program to grow rapidly this year, with many new members coming from the group's existing members. "We expect to penetrate 50% of the group in the next 15 to 18 months," he said. "It's going to be obvious that we can do some things with this banner that are going to work better than what independent retailers can do on their own."
| Reed |
