DIGITAL MARKETING REELS IN CABLE CUSTOMERS
Written on the 25 October 2011
WHILE many businesses are downsizing and cutting marketing budgets, an Ormeau cable accessory company is bucking the trend using online video and social media.
KT Cable Accessories is seeking an international patent for a highly confidential lighting product range with ‘worldwide potential’.
General manager Adam Middleton (pictured) says the range will have a significant impact on the company’s revenues.
“It is to be the future of lighting. The main focus will be on cost-effectiveness and improved quality,” says Middleton.
“It’s a low voltage product operating on 12 to 24 volts and serves as an improvement on existing LED lighting technology.”
KT has 14 staff, but plans to add two more by Christmas. The company made $3.1 million in gross profit in FY11, compared to $2.7 million in profit for FY10 and Middleton is confident of achieving growth in FY12.
“We work a lot of hours; many people work from 7am to 7pm. You’ve got to have passion for this job to be successful,” he says.
Although KT also uses social media websites YouTube and Facebook to share product information, the simplicity of distributing the online videos has made the company a hit with customers.
“Instead of just giving a catalogue, we also send customers a link to a 30-second product description video. They see how to use it before it even hits the store,” says Middleton.
“The staff came up with an idea; they wanted to let customers see more details regarding our products and services. We prepared (our own) KT-Tube videos on technical specifications and new product details.
“We now want to make high-definition and more professionally produced videos. It’s really good for staff training and product training too.”
The company was established in 1994 and acquired by ASX-listed AMA Group (formerly known as Allomak) in 2007. It has serviced Supercheap Auto, Autobarn, Sure Power, CouplerTec, M J Trailers and Almar Machinery.
“About 50 per cent of our business is with distributors and we even supply wholesalers who sell to electrical contractors,” says Middleton.
“We also export our LED trailer plugs with built-in circuit testers range to the UK and a full range of trailer plugs, cables, terminals and heat shrink sealing to New Zealand.”
The company plans to relocate its operations to a larger site within 12 months.
“We definitely want to stay in the area. It will be somewhere close to where we are right now, but more like 3000sqm,” says Middleton.
KT has been recognised by the Gold Coast Business Excellence Awards in the retail, wholesale and distribution category for September 2011.