A historic day at STARCO

lip 1, 2016 | News

Today is the first day after the extensive business transfer with Bohnenkamp. The company is buzzing heavily with activity – just like it has done since the official announcement of the agreement less than two months ago. Despite hectic times of welcoming new customers, transferring over previous ones, and moving goods to secure delivery to customers, today, STARCO still finds time to celebrate.

Many things have progressed since Bohnenkamp and STARCO signed the deal 50 days ago acknowledging Bohnenkamp taking over STARCO’s primary aftermarkets activities and STARCO taking over Bohnehnkamp’s trailer manufacturer customers:

“Our employees have made the impossible in less than two months possible. I am truly impressed and proud to reach this milestone today, where I have presented our 2020 Strategy for all employees,” says Richard Todd, Chief Executive Officer at STARCO.

Aiming for growth

The new strategy shows a dedicated focus on the market for original equipment (OE) and an aspiration and will to be even more recognised as a strong partner in wheel and tyre solutions. STARCO has during the spring re-structured the organisation to enhance OE customer focus.

Richard Todd expects STARCO’s turnover to drop by around 25 per cent in the short term as a direct result of divesting these aftermarket businesses, but stresses that in the long run they aim for growth. Following the Bohnenkamp business transfer on 1 July, around 80 percent of STARCO’s business will take place in the original equipment segment. Here STARCO works with various segments such as Industrial Vehicles, Tractors, Agricultural Implement and Specialised vehicles. A significant customer segment is Trailer & Caravan where STARCO holds specialised know-how and a high market share in various markets, for instance the UK, whilst the wheel and tyre manufacturer still sees extensive growth potential with customers working across Europe.

A true OE customer focus

A June-priority is being in touch with the potentially new customers that STARCO takes over from Bohnenkamp. STARCO paid a visit to the top 11 trailer-customers whom account for more than 80 per cent of the turnover transferred.

“Overall, the customers welcome the change. Primarily because we are specialised in wheel development and manufacturing for high speed trailers and can initiate joint product development. Also, we have a broader product range. For a start we just need to get to know each other – but we are already talking long-term business and orders of new products,” says Thomas Ballegaard, Chief Commercial Officer in STARCO.

STARCO manufactures 95 percent of the wheels they sell at their own manufacturing sites, with the factories in China and in Croatia specialising in the manufacturing of steel wheels for high speed trailers and caravans. Production here also cover other special wheels such as those for industrial vehicles and agricultural equipment.

During June the company effectively adjusted the customer care setup for servicing the new customers. The ramp up both covers organisational changes in the Customer Care team in the Central warehouse in Winsen Germany and the fitting equipment in the specialised Trailer & Caravan Centre in Arendonk, Belgium.

“We hope, in just half a year, to prove to the customers whom are affected by this deal that we can bring value as a supplier and as a strong partner for the future,” says Thomas Ballegaard.

STARCO still has aftermarket operations in France, South Africa, Poland, the UK and Switzerland. Poland was the first market to get the new e-commerce platform.

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Sarah Møller Lundberg

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+45 2067 0077

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