In this our 1st quarterly newsletter we decided to reflect on the “new” Powder Keg. We are careful how we articulate “new” because the business transformation builds on the legacy of the previous owner Dr Lucas Potgieter. This year The Powder Keg celebrates 40 years of trading … tradition and excellence of a timeless pioneer.
The year is passing like clays in sports shooting, fortunately, we can look back at more hits than most have on their first outing on the range. New ownership of The Powder Keg took effect in January of this year when the business was bought from the Estate of the late Dr Lucas Potgieter. We knew that we were treading in big footsteps; equally, we recognised the immense opportunity in change.
Paul Luff is the manager of The Powder Keg and David da Silva primarily focused on strategy for profitable growth, a combination of strategic sourcing and innovative approaches to the market. If you scroll to the section “meet the team” under the INFO tab of our website you will find more information about the whole team.
There was more to fix at The Powder Keg than somewhat anticipated, but the journey has been fulfilling. There have been frustrating moments, we strive to “making legacy problems a 1-day problem” but in the gun trade, the licensing aspect adds time to the solution. We were told that the gun trade did not have a good reputation, we saw that as our opportunity for differentiation.
We have celebrated many successes in a mere 6 months, some highlighted below, which have already brought many new faces to the Powder Keg:
- A refreshed logo of the business reflecting the transformation to follow. We are proud of our new logo,
- A clear strategy for the business, whatever we do is aligned to our plans.
- Partnerships formed with key suppliers in chosen segments, they recognised our capability to grow their brands.
- Implemented process of continuous improvement, we have engaged principles of 6S (more commonly known as 5S but we added the 6th S for safety) and visual management,
- Revamped website to better communicate value to customers,
- Starting internet selling of selected products, those items we believe are suited for remote purchasing,
- New dealers being appointed in those products that we represent exclusively,
- Implementation of end to end integration of point of sale systems and accounting ledgers,
- Creating standard operating procedures and improvements in governance.
Our innovative approaches to market will take into account years of experience in “channel management”. That is the theoretical side, our focus will be on proving to dealers that we are their preferred and trusted partner. The Powder Keg leadership comes from small towns, we did not use lawyers, and our word is our honour. At The Powder Keg, we believe in forthright dealing irrespective of the situation.
At The Powder Keg, we strive to serve our customers, first, always. Paul Luff and the local team have a wealth of knowledge and experience to give informed advice to customers. We will bring value in innovative products. David da Silva is resident in central Europe, he will be seeking out best in class products and ensure continuity of supply. Our team is deep rooted in the principle of mutual advantage, this allows us to build relationships with suppliers and customers.
Our Facebook will reflect on experiences in The Powder Keg, hunting and sports shooting. We aim to give customers an appetite and insights into engaging new experiences as a family, whether it be local or European hunting and shooting experiences. The Powder Keg will be more than a destination hunting store; we will build The Powder Keg into a family by virtue of shared values in all walks of life; an incredible passion and love for guns, the outdoors, hunting and sports shooting.
The design of our website was chosen to mirror our strategy; clarity, simplicity, easily understood and an elegance to match the art in the fine guns that we sell. The content is carefully considered, it reflects the leadership of The Powder Keg and the values that we stand for. We did not want a busy website, our strength is not in the number of brands that we represent but in how we select best in class brands and in how we communicate the benefits and features of these brands.
The Powder Keg has a 5-year vision and plan; we say that if you don’t know where you are going then any road will take you there. Failing to plan is planning to fail. It may take a little longer, hopefully, shorter to reach our 5-year vision, but it is a path that ensures everything that we do is aligned and contributes to that vision. Life has many opportunities, our roadmap ensures that we are not side-tracked by opportunities that do not fit with our vision.
Our confidence in the success of The Powder Keg is based on our leadership knowing what matters and focusing on what matters. We expect hurdles along the way, but our teams’ passion in the business will ensure we persist to overcome whatever is thrown at us. The key driver in our business is a passion to add value for customers; the profitability of the business simply a scoresheet of the value we create.
Our impression of the industry is somewhat a “herding mentality”, everyone copying everyone else. This was an ideal environment to do something different, to stand out and be seen. Price discounting in the industry in South Africa is more prevalent than most countries in the world, suggesting that most businesses considered the price to be their only differentiation. Price is important, especially in mature markets, but there is much greater value to be had for consumers. The Powder Keg is continuously in pursuit of the different dimensions of value needed to create a loyal customer base.
We see a light at the end of the tunnel and it is not a train. The Powder Keg has a long way to go to be anywhere close to where we want it to be, hence our 5-year vision and roadmap. If we were doing everything right we would be extremely nervous – how to improve? The light at the end of the tunnel is many opportunities we need to grab and improvements we need to make. We encourage customers to join the Powder Keg journey, a journey based on trust and forthrightness, value generation and continuous improvement.
We need feedback from our customers about what we do well and what we need to improve on. At The Powder Keg, we understand the value of the voice of the customer. Only through constructive feedback from customers can we have an unbiased view of our business. The website provides for recommendations to be made online; alternatively please email your comments directly to david.dasilva@powderkeg.co.za and we will respond within 48 hours (unless travelling).