Executive Interview with Chicago Pneumatic's Jay Lewis - aftermarketNews

Executive Interview with Chicago Pneumatic’s Jay Lewis

Today's Executive Interview features Jay Lewis, GM Charlotte Operations & Chicago Pneumatic Vehicle Service Americas, for Chicago Pneumatic. In this role he provides strategic support for the growth and development of the Chicago Pneumatic Vehicle Service market in the Americas. A 23-year tool and compressor industry veteran, Lewis joined Chicago Pneumatic in 2002. Prior to joining the company, he held multiple sales and management positions in the tool and compressor industry. Lewis holds a bachelor of general studies degree in marketing from the University of Iowa.

CHARLOTTE, NC — Today’s Executive Interview features Jay Lewis, GM Charlotte Operations & Chicago Pneumatic Vehicle Service Americas, for Chicago Pneumatic. In this role, he provides strategic support for the growth and development of the Chicago Pneumatic Vehicle Service market in the Americas. A 23-year tool and compressor industry veteran, Lewis joined Chicago Pneumatic in 2002. Prior to joining the company, he held multiple sales and management positions in the tool and compressor industry. Lewis holds a bachelor of general studies degree in marketing from the University of Iowa.

Chicago Pneumatic (CP) has been making tools for professional technicians for more than a century. What have been some of the most notable changes that have taken place in the tool market during that time?

The main thing that’s changed is consumer choice. There are more products, solutions and brands than ever in the market, so as a company we need to keep innovating in design and application to ensure we remain a preferred brand with the professional technician.

There has been a shift in focus to ergonomics as well. As technicians have become more aware of comfort as well as performance, we have engineered tools to meet this need, striving in new products for what we call “E3Q” – ergonomics, efficiency, environment and quality.

Associated with the above objectives is the opportunity to drive change in the tool and equipment market with the incorporation of new materials. This also contributes to improved operator comfort and performance.

Late last year (December 2007), the company announced that it acquired KTS Co. Ltd., a leading Japanese maker of hand-held pneumatic tools. How did this acquisition come about? Was this part of a bigger global expansion strategy and should we expect to see more acquisitions in the future?

The acquisition of KTS is two-fold. It serves the second largest automobile market in the world (Japan), providing Chicago Pneumatic with a sales presence and manufacturing arm that will facilitate fast growth in Japan and throughout Asia. It also continues our development of a global manufacturing network. This was the third acquisition for the division in the past 12 months and is part of our plan to acquire companies that will facilitate accelerated growth.

CP recently announced it would return for a fifth year as a major sponsor of NHRA. What are the benefits of being involved in motorsports, and how do you use this sponsorship to leverage your brand?

Because such a large percentage of technicians have an interest in racing, NHRA provides Chicago Pneumatic with a fantastic venue where we can spend time with the user. The opportunity to be involved in this racing series and meet hundreds of thousands of tool users is crucial in mobilizing the Chicago Pneumatic brand and showcasing our new products.

This race season, Wyotech, the Official Technical School of NHRA, will join Chicago Pneumatic and Ringers Gloves as a partner in the 2008 Road Show tour, hitting all 24 POWERade Drag Racing Series events across the country.

Our partnership with Wyotech is another tie that demonstrates our dedication to working with the technicians of tomorrow.

CP recently partnered with one of our sister publications, Tomorrow’s Technician magazine, for the T2 School of the Year competition. Why is supporting technical education important to CP?

Through our partnership with Tomorrow’s Technician, and our dedication to providing the vo-tech arena with educational opportunities, we hope to make a real impact with the young technicians who will lead the next generation of vehicle repair. The sustainability of the industry is obviously very important to us; we want to see it thrive. Making sure the mechanics of the future train with the best tools and understand what to look for when buying tools is key to our future growth as well.

What is CP’s overall marketing strategy and philosophy?

Customer focus and customer-driven innovation. Chicago Pneumatic is a brand committed to raising the standards within the vehicle service aftermarket. All of our products are developed with the professional technician in mind — a result of working with key end user groups before, during and after the product design and development process. Large research projects have formed the base of our strategic direction, and we make sure we are always realigning our product development in line with our customers’ needs. A key to our global marketing strategy is focused sales and service in every key market.

How does the company keep a brand with such a long history current and fresh?

Our first focus is always on new product innovation. Look at the ½ inch impact wrench we launched last year, the CP7740. It weighs less than three pounds and still has more than 500 ft.-lbs. of torque – that’s a really big change in what technicians have traditionally been able to choose from. Key to our E3Q strategy is the importance that the end user benefits from reduced weight and size … not just raw power.

We’ve entered the cordless category with products that offer unique benefits in power choice, greater access to tight spaces with compact design and surface textures adding to operator comfort, again with the focus on making the tool easier to use for the tech.

We also partner with industry leaders that challenge boundaries. Our relationship with Rich Evans of Huntington Beach Bodyworks, an incredibly talented car designer who is always pushing the envelope in his builds. Our partnership with the NHRA and with Chevrolet as their tool of choice in the FIA World Touring Car Championship – both experiences allow us to connect with customers and show how our tools perform in the most competitive garages in the world. We’re also the official tools of MTV’s “Pimp My Ride” in the UK.

We are doing more in the way of connecting with customers as well, like our new website, CP7740Challenge.com. Designed to promote the CP7740 Challenge – a 60-day money back guarantee on the CP7740 – the site gives our customers a chance to learn more about this product and have some fun doing so.

What are your thoughts on the tool segment today and going forward? What are some of the major issues this segment of the industry expects to face in the next few years?

The biggest challenge is convincing technicians that they are not just purchasing a commodity, but selecting a product that can improve comfort and safety while getting the job done more efficiently.

Automobile manufacturers have consistently pushed new design and development in the way they produce vehicles, constantly pushing technology to its limits. At the same time “maintenance and repair” has been left behind somewhat when it comes to ergonomics, quality, efficiency and even more with environment. New technologies being developed for the vehicle service market will have to be adopted in the aftermarket to meet ever increasing standards.

Increasing shop environmental factors such as reducing waste are obviously becoming more of a focus issue as well. A need to reduce noise and vibration levels in tools will be part of this improved shop environment. We are addressing this not only in tools but also with the CP QRS rotary technology compressor product offering.

CP is also taking an industry leading position with an innovative product offering in the heavy duty market. In the past, changing wheels on heavy duty vehicles has been cumbersome and less than desirable in productivity. By learning from technology that our industrial teams have developed for OEMs in vehicle assembly, we’ve been able to develop a product line we call BlueTork. It reduces the weight vs. that of the standard pneumatic wrench used to change a wheel, lowers the decibel rating, virtually eliminates the vibration common in typical impact wrenches and turns what can be a two-man job into an easy one-man operation, thereby improving shop productivity.

What does the company have in store for 2008, anything exciting to share?

We will continue to develop and introduce new products for the professional technician coupled with continued marketing of our brand to enhance the sales efforts of our distributor partners.

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