Startup Aims to Become the Amazon of High Voltage Utility Equipment
This post may not be directly related to emergency preparedness, but I thought it was interesting enough to share anyway. A new startup company called Elektrik is aiming to become the Amazon of the high voltage utility equipment market. What a great idea! If you’ve ever been involved in procuring this type of equipment, you’ll agree that something like this has been a long time coming!
Business Model for Selling High Voltage Utility Equipment Online
The Utah-based company has been ramping up to launch its online platform for the past 2 years, and it’s just about ready for prime time after securing a $1 million venture capital seed investment.
The impetus of the concept came from the founding members’ prior experience selling high voltage utility equipment. The sales cycle has historically taken weeks due to a cumbersome process involving direct contact with a sales rep, receiving quotes, placing an order, and creating a PO. Obviously an online transaction would only consume a small fraction of this amount of time.
Although it may seem like a no-brainer to move these transactions online, there is a fair amount of complexity with this type of purchase because cables and other additional components are often needed. The solution was to build a database large enough to match and correlate each piece of equipment with its compatible accessories, and that is exactly what the founders of Elektrik did.
The site itself sells medium to high voltage utility equipment that ranges from 5kv to 35kv. Buyers can create lists and even customize certain specifications. The website then presents the options to the buyer, who can place the order right then and there. Elektrik also has an agreement with Southwire, the largest cable manufacturer in North America, the objective of which is to allow the company to become the leading supplier of IEEE and IEC electrical equipment in the U.S.
All told, I love this concept! And, with an estimated total market size of $200 billion, the company founders will probably love it too!
