Electrocomponents: Private Label ‘Vision is Clear’
The growing popularity of own-brand products has been a powerful trend across the B2C world over the last decade and we have seen the development and marketing of own brands increase in sophistication.
This same trend is now developing in the B2B market, resulting in a significant opportunity for growth.Lindsley Ruth joined Electrocomponents as CEO in 2015 and quickly identified that the company was not leveraging the hidden gem that was its private-label portfolio. To capture this growth opportunity, he created a separate division to house the private-label business and appointed new leadership. This development is strategic to the growth of Electrocomponents and represents a key differentiator for our business. However, we are not new to private label, it is an integral part of our heritage and expertise.For over 75 years Electrocomponents, through its trading brand RS Components, has been selling high-quality private-label products; between 1937 and the mid-1980s, RS was the sole brand identity. The RS brand was synonymous with high quality since the company’s engineers were committed to selecting best-in-class products. However, during the 1980s the business started to focus more on distributing multiple brands rather than on its private-label brand, and by the 1990s the RS product branding had drifted and the supplier business had taken priority.