<TABLE border=0 cellSpacing=0 cellPadding=0 width=452><TBODY><TR><TD vAlign=top width=452 colSpan=2>Published September 17, 2009
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>In Gain City we trust
It wins customers' trust by providing value-for-money products and services, write GOH CHENG KANG, LAY SHI WEI, KATIE PHON and TAY WEI PING
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DANNY Teo, managing director and founder of Gain City Best Electric, built his company on two pillars - trust and sincerity. That means being straight with customers and business partners - which has taken Gain City a long way since it was founded in 1981.
<TABLE class=picBoxL cellSpacing=2 width=100 align=left><TBODY><TR><TD>
</TD></TR><TR class=caption><TD>Bright future: Despite the economic slowdown, Gain City says it is edging closer and closer to its vision of providing a unique full-service shopping experience for customers </TD></TR></TBODY></TABLE>By trust, Mr Teo does not just mean winning customers' and partners' confidence. It also means delegating responsibilities and authority to staff based on trust.
'We run Gain City like a real city, with sales staff acting as the entrepreneurs of the city,' he says. 'The more motivated these employees are, the harder they will work and the more benefits they enjoy. And the better these entrepreneurs perform, the more the city stands to gain as a whole.'
As for customers, Gain City wins their trust by providing value-for-money products and services. Through channels such as 'Vote and Win' contests, a Feedback Hotline, consumer surveys and e-mails, the company finds out what customers really want. And the information gathered is translated into operational processes and services.
Value-added services that Gain City has introduced include a Service Connection Programme, which offers various warranties, and plans such as an 'eight-day lowest price guarantee', extended warranty and replacement plan, zero interest instalments, trade-in programme and 'buy and deliver today'.
Product safety is also a priority. The company strives to make sure everything it sells is reliable and approved by the Productivity and Standards Board. All of its installation technicians are certified by the Building and Construction Authority, and all installations are in accordance with regulatory guidelines.
Mr Teo was just 21 when he started Gain City - as an air-conditioning bushiness. Knowing most Singaporeans do not enjoy the island's non-stop heat and humidity, he foresaw a growing market as more residential and commercial buildings began to install air- conditioners.
From a set-up in Hougang, Mr Teo initially installed and maintained air-conditioners. As the business grew - primarily through word of mouth - Mr Teo ventured into refrigerator installation, maintenance and repair, as the basic concepts behind air-conditioners and fridges are similar.
In 1983, the business relocated - and opened its first retail store in Towner Road. Product offerings catered to the audio-visual and electrical home appliances market. Mr Teo's customers followed him to the new store - a vote of confidence after the trust he built with them. It was then that he realised that the foundation of a successful brand had been laid.
In 1985, despite a recession at the time, Gain City grew its market share in air-conditioning and set up projects and export divisions to handle retail, commercial and special projects locally and regionally.
In the late 1980s it introduced product demonstrations for air-conditioners at its showrooms. The air-conditioners are mounted to the walls, categorised by brand, and connected to amp meters to show their electricity consumption. Customers can therefore compare energy usage, noise level, cooling capacity, prices and other features of different products.
In 2006, another milestone was reached when Gain City started opening modern Lifestyle Home Concept Stores, such as the one at Marina Square, featuring an apartment with a bedroom and a kitchen fitted with air-conditioners, and furnished with audio-visual products and home appliances.
As a retailer, human capital is one of Gain City's most important resources. Mr Teo rewards staff with monthly and annual bonuses for good sales performance as part of his efforts to align staff interests with those of the company. He also believes in empowering his employees, such as by giving them flexibility to set prices. To reduce the risk of price under-cutting among sales staff, Mr Teo pegs their performance targets to the profits they bring in, as well as sales revenue.
In this way, each sales person is effectively a profit centre - operating like an entrepreneur running their own business within a 'city' while ensuring congruence with the company's objectives.
Mr Teo says: 'As no two retail store locations are the same, care must be taken to ensure the sales staff at various retail stores are given fair and realistic targets to meet - targets that are pegged to the overall performance of each store at each location.'
Remuneration for retail staff also includes a 'service-delivery' component - a percentage of pay is based on an evaluation of their sales quality and customer satisfaction index. Internal guidelines help steer employees through their day-to-day relationships with customers and suppliers.
A challenge for Gain City is in keeping its sales staff relevant in the rapidly changing retail landscape. With ever-changing consumer preferences and so many products available, Gain City makes sure its staff are well equipped to serve customers by providing regular in-house and external training and to keep them up-to-date with the latest product developments and offerings.
In 1999, Gain City was awarded ISO 9001- 2000 Certification. This was followed by a Singapore Promising Brand Award in 2006. In 2007 the company won an Enterprise 50 award. And in 2008 it received another Enterprise 50 award, as well as Professional Enterprise Certification. The company also received Superbrands awards in 2004, 2005, 2006, 2008 and 2009.
Despite the economic slowdown, Gain City says it is edging closer and closer to its vision of providing a unique full-service shopping experience for customers. 'We are still growing, though at a slower pace,' says Mr Teo. 'The market still has potential and we are looking out for opportunities to expand.'
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</TD></TR><TR><TD vAlign=top width=452 colSpan=2>In Gain City we trust
It wins customers' trust by providing value-for-money products and services, write GOH CHENG KANG, LAY SHI WEI, KATIE PHON and TAY WEI PING
<TABLE class=storyLinks border=0 cellSpacing=4 cellPadding=1 width=136 align=right><TBODY><TR class=font10><TD width=20 align=right>
</TD><TD>Email this article</TD></TR><TR class=font10><TD width=20 align=right>
</TD><TD>Print article </TD></TR><TR class=font10><TD width=20 align=right>
</TD><TD>Feedback</TD></TR></TBODY></TABLE>DANNY Teo, managing director and founder of Gain City Best Electric, built his company on two pillars - trust and sincerity. That means being straight with customers and business partners - which has taken Gain City a long way since it was founded in 1981.
<TABLE class=picBoxL cellSpacing=2 width=100 align=left><TBODY><TR><TD>
</TD></TR><TR class=caption><TD>Bright future: Despite the economic slowdown, Gain City says it is edging closer and closer to its vision of providing a unique full-service shopping experience for customers </TD></TR></TBODY></TABLE>By trust, Mr Teo does not just mean winning customers' and partners' confidence. It also means delegating responsibilities and authority to staff based on trust.'We run Gain City like a real city, with sales staff acting as the entrepreneurs of the city,' he says. 'The more motivated these employees are, the harder they will work and the more benefits they enjoy. And the better these entrepreneurs perform, the more the city stands to gain as a whole.'
As for customers, Gain City wins their trust by providing value-for-money products and services. Through channels such as 'Vote and Win' contests, a Feedback Hotline, consumer surveys and e-mails, the company finds out what customers really want. And the information gathered is translated into operational processes and services.
Value-added services that Gain City has introduced include a Service Connection Programme, which offers various warranties, and plans such as an 'eight-day lowest price guarantee', extended warranty and replacement plan, zero interest instalments, trade-in programme and 'buy and deliver today'.
Product safety is also a priority. The company strives to make sure everything it sells is reliable and approved by the Productivity and Standards Board. All of its installation technicians are certified by the Building and Construction Authority, and all installations are in accordance with regulatory guidelines.
Mr Teo was just 21 when he started Gain City - as an air-conditioning bushiness. Knowing most Singaporeans do not enjoy the island's non-stop heat and humidity, he foresaw a growing market as more residential and commercial buildings began to install air- conditioners.
From a set-up in Hougang, Mr Teo initially installed and maintained air-conditioners. As the business grew - primarily through word of mouth - Mr Teo ventured into refrigerator installation, maintenance and repair, as the basic concepts behind air-conditioners and fridges are similar.
In 1983, the business relocated - and opened its first retail store in Towner Road. Product offerings catered to the audio-visual and electrical home appliances market. Mr Teo's customers followed him to the new store - a vote of confidence after the trust he built with them. It was then that he realised that the foundation of a successful brand had been laid.
In 1985, despite a recession at the time, Gain City grew its market share in air-conditioning and set up projects and export divisions to handle retail, commercial and special projects locally and regionally.
In the late 1980s it introduced product demonstrations for air-conditioners at its showrooms. The air-conditioners are mounted to the walls, categorised by brand, and connected to amp meters to show their electricity consumption. Customers can therefore compare energy usage, noise level, cooling capacity, prices and other features of different products.
In 2006, another milestone was reached when Gain City started opening modern Lifestyle Home Concept Stores, such as the one at Marina Square, featuring an apartment with a bedroom and a kitchen fitted with air-conditioners, and furnished with audio-visual products and home appliances.
As a retailer, human capital is one of Gain City's most important resources. Mr Teo rewards staff with monthly and annual bonuses for good sales performance as part of his efforts to align staff interests with those of the company. He also believes in empowering his employees, such as by giving them flexibility to set prices. To reduce the risk of price under-cutting among sales staff, Mr Teo pegs their performance targets to the profits they bring in, as well as sales revenue.
In this way, each sales person is effectively a profit centre - operating like an entrepreneur running their own business within a 'city' while ensuring congruence with the company's objectives.
Mr Teo says: 'As no two retail store locations are the same, care must be taken to ensure the sales staff at various retail stores are given fair and realistic targets to meet - targets that are pegged to the overall performance of each store at each location.'
Remuneration for retail staff also includes a 'service-delivery' component - a percentage of pay is based on an evaluation of their sales quality and customer satisfaction index. Internal guidelines help steer employees through their day-to-day relationships with customers and suppliers.
A challenge for Gain City is in keeping its sales staff relevant in the rapidly changing retail landscape. With ever-changing consumer preferences and so many products available, Gain City makes sure its staff are well equipped to serve customers by providing regular in-house and external training and to keep them up-to-date with the latest product developments and offerings.
In 1999, Gain City was awarded ISO 9001- 2000 Certification. This was followed by a Singapore Promising Brand Award in 2006. In 2007 the company won an Enterprise 50 award. And in 2008 it received another Enterprise 50 award, as well as Professional Enterprise Certification. The company also received Superbrands awards in 2004, 2005, 2006, 2008 and 2009.
Despite the economic slowdown, Gain City says it is edging closer and closer to its vision of providing a unique full-service shopping experience for customers. 'We are still growing, though at a slower pace,' says Mr Teo. 'The market still has potential and we are looking out for opportunities to expand.'
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