HSG Launches Pro Glass Alliance; Focus is on
Combined Purchasing Power, Customer Service
September 27, 2011
HSG Code Blue, a third-party glass claims administrator, has launched
a new division, called the Pro Glass Alliance, with a goal of combining
purchasing power among independent shops. A meeting was held recently
in Memphis, Tenn., launching the concept, and a follow-up webinar
was held today and attended by more than 50 representatives.
"To put it in short, we feel like our industry is under siege,"
said HSG president Paul Gross in introducing the concept. "The
competition is very limited today and our customers need more and
better options than we currently see."
The Pro Glass Alliance, Gross said, is "open at no cost to
anybody who meets our criteria." Pro Glass vice president and
general manager Dan Mock told glassBYTEs.com/AGRR
magazine that the program is currently available to what HSG refers
to as its Tier 1 network locations.
"We're really trying to build an A-team of glass shops,"
Gross said the Pro Glass Alliance is designed to offer the advantages
of a large company to smaller ones.
"These solutions are going to deliver better customer service
experiences and a better overall outcome for the industry,"
he said. "
I think in order to compete head-to-head
we have to create a differential service opportunity. Additionally
we're going to have to address this notion that your largest competitor
is buying millions of pieces of glass and urethane more than you."
He added, "We believe there's an opportunity to harness that
same buying power through a buying co-op."
Referrals also will come into play, said Gross. "We've got
to make sure that increased referrals is a key part of this process,"
"Furthermore, we need to make sure that we have things such
as higher standards for marketing resources, for instance."
Gross said that although his organization has no formal relationship
with the Auto Glass Replacement Safety Standards (AGRSS®) Council
Inc., "AGRSS registration is a critical part of this."
"We want to encourage everyone to become an AGRSS-registered
participant," he said.
All of this comes back to a focus on the end customer, said Gross.
"What we're doing is focusing on the customer-to be completely
fair that is where this particular competitor has succeeded. They've
had a significant focus on the customer," he said.
Gross said audited financials will be provided to participating
shops for the buying co-op portion of the program "to make
sure it's being [conducted] at an at-cost basis."
One question that came up during the webinar was this: why would
a third-party administrator organize such a program?
"That's a very fair and natural question," said Gross.
"Without this our business model is going to be weaker because
there's not going to be a strong independent retail community
We're not going to have anybody to give the referrals to."
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