Why choosing to DIY was the
best decision Eric Lane ever made
August/September 2009


Now founding Chairman of the hugely successful GreatStar UK, Eric paid a visit to GCU HQ to reflect on the past and look to the future
GreatStar UK is a manufacturer, distributor and importer of high quality hand tools, power tools, accessories and storage products designed for the DIY and professional user. The team is highly experienced and focused on the needs of the customer, making the company a key supplier to the UK's major retail and trade accounts. “We listen, we action and we deliver to our customers specification. We have manufacturing capabilities at home and abroad and have brought inventors ideas into reality, turning prototypes into packaged items that are now selling in major retail outlets," said Eric.

GreatStar offers the full logistics package including pick and pack, storage facilities, bar coding, pallet labeling, quality control, invoicing and when necessary, financial backing. It currently distributes for big names such as Dewalt, Cooper Tools, CK Tools, Sterling Safety Wear and many top retailer own brand names. GreatStar's Chairman Eric Lane, whose vast experience in the industry gives him the leading edge when it comes to business help and advice, is offering companies the way in to the UK retail industry. “We are able to get your products in front of top buyers in the industry and can offer you all the help that you need to get your products onto the shelves in these stores," he told GCU in a call to action.

Eric's experience, which spans decades, led him to build GreatStar UK in 1995. Now a successful multimillion pound design, manufacturing and distribution business, today it has a client list to be envied - B&Q, Screwfix, Travis Perkins and Wyvale Garden Centres to name just a few. "Product innovation is very important to us and we have successfully brought many new innovative products to our customers and inventor products to market, and we are always looking at new products, prototypes and ideas. We can offer garden retailers new product innovation, competitive pricing, store delivery, computer/fax telephone ordering, merchandise services, manageable pack quantities and competitive terms and conditions," he said.

  

Eric took his first foray into the DIY trade in 1964, running a very profitable hardware and decorative business before bagging the top role of Buyer for Hardware, Seasonal and House-ware at Carrefour - now known as Asda - in addition to managing the shop floor. In 1979, he became manager of the London Croydon branch of Decco Cash and Carry, but within a year got his 'big break' at DIY giant B&Q as its Gardening & Seasonal Buyer.

In 1983 Eric won the position of Appointed Buying Controller for no less than five buying groups and six buyers, in the Decorative, Gardening, Timber, Building and Seasonal departments. Following a successful nine year stint with the high street favourite, he held various high level buying positions with companies such as Gardenstore, Texas Homecare and Costco Wholesale, before setting GreatStar up from scratch in 1995 to reach £13 million in sales last year alone.

“When I first started out in the business, everything came from the UK or the States. Buying was a lot easier then than it is now. Back then the buying process took a week, today you are looking at 12 weeks for the product to be delivered. We didn't have China then and now there is so much red tape involved in actually getting a product onto the shelves that I don't think companies have enough time to train buyers, if training is offered at all. An inventor will be really passionate but manufacturing costs are starting to rise. We select products and will involve the buyers from day one in packing, bar coding, flow and factory checking."

Asked about the recession, Eric was realistic in his response: "I've seen four of these recessions. This is the worst because of the banks, but really, recessions are just corrections for extravagance. This one is a big, big, correction. We have seen the effects of the economic downturn more in the area of big ticket items. Supermarket chains have created a culture of budget shopping and we have seen less promotional activity and more discounted goods. We have also seen much tighter controls on stock, with many customers going bust."

In a stark warning of tougher times ahead, he added: “The good weather so far this year has been a godsend to the garden industry and has benefitted the DIY sector too in terms of garden related products, but it has camouflaged the real truth. This will become more obvious in the autumn/winter, September to Christmas will be a difficult time and only those who prepare will have the best chance of survival.

Turning to leave, Eric said: "We are seeing some signs of green shoots – house prices are stabilising and the pound is rising in value. There is a lot to be said for localised buying nowadays – buying for your customer and target market. You know who has the best roses or organic food, you are part of a community, buying from and selling to it will be key to your success."



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