Positioning for growth
There are many growth levers, including bringing true innovation to existing markets, growing into adjacencies, expanding or improving your global footprint and others. Ridge Tool’s legacy includes all of these. It began with the company’s first product — an innovative, highly improved descendant of America’s first practical pipe wrench, patented in 1869 by Daniel Stillson. The RIDGID® wrench, introduced in 1923, offered dramatic performance differences and abundant durability, quickly gained a reputation among the trades — it remains a global icon today.
“We are absolutely dedicated to this legacy in providing the highest quality, innovative products; it is the price of admission for any our new product efforts,” Pond says.
Ridge Tools’ product offering has grown to include innovative hand and power tools serving commercial and industrial markets.
“Many of our products today employ sensor technology and software that improves performance and usability,” he says. “Tradespeople around the globe have come to expect quality and efficiency RIDGID® products deliver, and we are absolutely dedicated to this standard.”
As the company expanded its product offering, it also extended its global reach, positioning it for faster growth. The company has a strong commitment to bringing its products into dynamic markets that are growing and underserved — and it doesn’t hurt to have a highly identifiable brand.
“We know professionals throughout the world understand the value of owning RIDGID®. For instance, if you visit the Daqing Oil Field in China, you will find RIDGID®,” Pond says.
“The same is true at China National Offshore Oil Corp. platforms in China. There are vastly cheaper products available in China, but the fact is they will not perform or last in demanding applications, and our customers know this.”
As the company grows globally and expands its operations, it always does so in a way that holds true to the company’s quality standards.
Ridge Tool operates seven manufacturing plants throughout the world and those plants all live by a common commitment to produce under the same exact standards.
“The idea of cutting corners isn’t an option, and this does not come without effort. We invest significant engineering, materials science and capital in producing products that excel in reliability and durability,” Pond says.
A Ridge Tool tactic is to segment customers and focus efforts to meet expectations at the top of the pyramid on down.
“‘ED’ represents the top, and stands for the Expert Demander: professional tradespeople who rely on our products to deliver in their most demanding jobs,” Pond says, “ED extends across all of the trades: a professional pipefitter, a plumber, an electrician, an air-conditioning /refrigeration specialist, sprinkler contractor, oil well service contractor and so on. They are the true experts in their trades, and we aim to bring certainty and efficiency to the work they do daily.”
Pond often tells employees a story about the RIDGID® brand, and its message speaks volumes:
“A large group of customers was visiting our plant in Elyria, and we were talking about a drain-cleaning machine; I kept pushing them for feedback,” he says.
“‘Why did you buy RIDGID®?’
“One customer said, ‘Well, you know.’
“And I said, ‘No, I don’t know. Why did you buy RIDGID®?’
“I think he got a little perturbed at me. He looked at me and said, ‘You don’t get it, Fred. I feel I am good enough to own RIDGID®.’
“And I thought, ‘Wow. This is perhaps the strongest brand statement ever, in that this contractor defined himself with our products.’ It is also one heck of a responsibility for all of us fortunate enough to be part of this company.”
Strengthening relationships
It’s often been said in the manufacturing industry that you can have the best product in the world, but if it is not marketed correctly, you won’t make money. That’s the focus of Pond’s second point in the three-part Ridge Tool strategy: strengthening relationships with customers and distribution partners.
With more than 4,000 distribution partners globally that have 50,000-plus locations serving millions of customers, Ridge Tool Co. needed to insure that its people understood the changing needs of distributors and customers.
“Our distributors are our partners, and they have extremely valuable roles in helping us better serve customers,” Pond says. “Ridge Tool Co. has hundreds of salespeople throughout the world who work closely with their distribution partners in planning, training, demonstrating our products and closing sales. Supply chain efficiencies are a given today. Customers want what they want, when and where they want it, and we are committed to this level of service for our distribution partners.”
Company online sales have been growing at a rapid rate, and a new RIDGID.com website has numerous features in 18 languages. The new site is a responsive design, in that whether the user is on a smartphone, iPad or computer, the quality of the information is the same.
A “Buy Now” capability allows a customer to buy a product through one of the numerous distribution partners.
“The volume of customers choosing this option is impressive, and it’s continuing to ramp up,” Pond says.
“The customer is the person who reaches in his pocket to pay for RIDGID®. We have refined our sales and service process to ensure that everything we do is making our customer’s lives easier for their businesses — and more productive. We operate 14 Training Centers around the world that bring real training to both existing and aspiring tradespeople.”
One of the ways that helps strengthen the RIDGID® brand is seen in the company’s internally developed CRM system, RIDGID® 360, that enables its salespeople to educate, provide and collect information.
“This fully featured capability insures our sales people throughout the world can answer any question for any customer at any time in a more personalized manner,” Pond says.
To support this, RIDGID® salespeople carry iPads that allow them to handle sales calls efficiently and quickly.
“We love engaging with our customer,” Pond says. “RIDGID® sales people are on hundreds of job sites, fab shops and factories every day, engaging customers, demonstrating our products in real-world applications and providing service.
“We also put our marketing, engineering, software and operations teams in the field to talk to customers, understanding how we can add quality, certainty and efficiency to their lives. Nothing replaces real-world experience.
“I recall when we had our folks taken to a copper mine nearly 16,000 feet up a mountain in Peru to see firsthand the problems those miners faced.”
Ridge Tool’s social media use continues to rapidly evolve with many outlets.
“We created a RIDGID® Forum nearly 15 years ago, that today has more than 80,000 members and 400,000-plus lifetime posts,” Pond says. “Video has replaced much of print media, and on YouTube alone, we have more than 4.5 million views. We want to interact with our customers however and whenever they wish, and we do.”
Adopting new technologies
Pond’s third strategy element is to make the most of technology and best practices.
Not long ago, nearly every inch of Ridge Tool’s Elyria plant was connected to traditional methods of manufacturing. But as customer and channel partner needs advanced, it became clear that technology and innovative practices were required for the company to be more responsive and agile.
For this reason, the production floor of the Elyria plant, is now home to state-of-the-art investments, including robotics that help plant workers do their jobs more safely and efficiently.
“We employ the best technology in all our factories around the world,” Pond says. “Our ability to capture, analyze and act on data is essential in delivering the quality, repeatability and agility our markets demand. This quest never ends. Our attitude is: We can always get better.”
In addition to advanced manufacturing technologies, the company also looks for ways to operate smarter and more efficiently at a corporate level.
“On the fourth floor of our headquarters, there is a large department of software developers assuring our technology across-the-board is ahead of the curve,” Pond says.
“We are in a more connected, enabled and information-rich age, and we actually do third-party software work for others because we’ve become very good at what we do. That’s good for us; it stretches us and exposes us to new thinking, which is vital.”
