How to build into business success in niche markets

Acotec Ltd, the Finnish construction equipment manufacturer, believes it knows how to help its customers build new markets in the construction business. One of its customers, Rakennusbetoni ja Elementti Oy, has built up a 50 per cent share of the Finnish wet wall market over a period of only ten years.

This Finnish building products company, Rakennusbetoni ja Elementti Oy, has built a successful new business segment through investment in an automated pre-fabrication system developed by Acotec Ltd for continuous prefabrication of concrete wall modules and slabs.

Close co-operation
The success of its sales in the wet wall market has come out of its close co-operation not only on the technical aspects of manufacturing but exploiting Acotec's marketing and support expertise.

Rakennusbetoni ja Elementti Oy domination of a niche market is more remarkable when the fact that the company invested at a time when the building industry in Finland was entering recession. "It was an act of faith for our customer," says Vesa Tamminen, Acotec president, "However, We don't simply sell our equipment but we also give customers service and support to enter the market. If our customer is successful, we win, too."

Tamminen explains that the success came because the customer, with active support, rethought its marketing and manufacturing strategy. Rather than simply sell its product in the form of a bulk commodity, Rakennusbetoni ja Elementti Oy markets complete wall packages to builders that comprise partition wall elements and professional installation.

Managing director of Rakennusbetoni ja Elementti Oy, Esa Konsti points out the recipe for success depends on correct handling and installation. "Control of the product is important from raw materials to installation, tools and accessories," he says. As a consequence of the company's growth in this area, a second Acotec fabrication line was added in 1996 to meet the increased demand.

Finding your niche
This year, Rakennusbetoni ja Elementti Oy celebrates a decade of working with the automated production system. It was one of the pioneers in adopting Acotec's production technology in Finland.

Increasingly the European construction industry is looking for fabrication technology that can meet the demands of quality, efficiency and functionality at a competitive cost. Acotec says that its range of automated equipment for the production of prefabricated building components fulfils such requirements. This has led to sales of its equipment in more than 14 countries with strong growth overall.

For further information, please contact:
Acotec Ltd.
Mrs. Päivi Talonen
Tarmontie 6
FI-15860 Hollola
Finland
Tel: +358 3 887 2013
Fax: +358 3 887 2055
E-mail: acotec@acotec.pp.fi

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How to build into business success in niche markets

How to build into business success in niche markets

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