Auburn appliance retailer continues expanding with business acquisition, new warehouse
Photo / Courtesy, Agren
The distribution center was designed to streamline operations, increase the ability to buy in very large quantities and help deliver, service and install on a faster timeline.
Agren, a Maine-based retailer of appliances and mattresses, is continuing its expansion path with the recent acquisition of an appliance company in the Kennebec County town of Sidney and the opening of a new distribution center in Auburn.
Acquisition
A family-owned business, Agren was founded in Auburn in 1969 and was soon expanding to multiple locations.
It recently acquired Steve's Appliance, at 6 Pond Road in Sidney.
“When it came time to step back, I knew Agren shared my values of trust and top-notch service," said Steve Barrows, founder of Steve's Appliance. “I'm confident they will continue serving my customers with the same dedication I always aimed to provide.”
The acquisition gives Agren a presence in Greater Augusta.
"We’re honored to carry on Steve's legacy of exceptional customer care," said Jason Agren, CEO of Agren. "Shoppers in the Greater Augusta Area will enjoy the same personalized service Steve's customers have come to expect, along with access to a larger product selection."
Steve's Appliance was founded in 1992, and had nine employees. The facility consists of an 18,000-square-foot showroom, a 10,000-square-foot warehouse and 120 self-storage units, all located on a large property on Route 27, just outside of Augusta, Eric Agren told Mainebiz.
Eric Agren is Jason Agren’s brother and helps manage the business in a number of capacities.
Steve’s carried a variety of major appliances, as well as mattresses and furniture. With the transition, Agren will be selling and servicing about 80 brands of major appliances, and mattresses from a variety of manufacturers, including its own branded line, Agren Factory Direct.
Most of Steve’s employees have joined Agren, which will provide service to the new market with its service, delivery and installation departments. Staff training has begun. Two of Steve’s employees decided not to make the transition.
Barrows and his wife Darcey will be stepping back but have been helping with the transition, said Agren.
In all, Agren has 61 support staff on the road every day representing the departments.
Terms of the acquisition were not disclosed. Agren purchased both the real estate and the business.
New distribution center
About a month ago, Agren also opened its new distribution facility. The 53,000-square-foot warehouse and service center is headquarters for the company’s service, installation and delivery operations.
The center features a 15-foot by 35-foot oval sign, made by Neokraft Signs of Lewiston, displaying the company’s blue and yellow logo
The facility is considered a major milestone for the company, it said in a news release. Located on a 12-acre corporate campus at 11 Adamian Drive, near the Interstate 95 exit for Auburn, it’s adjacent to Agren’s headquarters and to the headquarters of Harriman Architect and VIP Auto Service & Tires.
"We're excited about this expansion," Jason Agren said in a separate release. “This distribution center not only bolsters our ability to meet customer demands more effectively but also signifies our dedication to continuous growth and innovation in the appliance market."
The facility is designed to be a hub for employees and to provide ample space for departments to gather, learn and collaborate, including training sessions, company meetings and manufacturer-led workshops.
The distribution center, built by Zachau Construction, now employs 20 people, and the company is looking to hire more staff for its warehouse operations — an increase from the old facility.
“The distribution center streamlines our operations, increases our ability to buy in very large quantities and helps us deliver, service and install on a faster timeline,” said Eric Agren.
The company’s past growth, and additional growth planned for the next five years, prompted the need for the new facility.
“We had already outgrown our previous facility, and building from scratch allowed us to build it specifically for the appliance and mattress business for maximum efficiency,” he said.
Continuous investment
Agren has seven retail locations: in Auburn, South Portland, Saco, Topsham, Bridgton, Norway and now Sidney.
“We operate the largest service department in Maine, with 20 technicians on the road and 18 support staff, including our large customer service representative group,” said Agren. “Our installation department is also the largest in the state, with 14 installers and two estimators on the road.
"This group focuses on installing items like cooktops, ventilation, built-in refrigeration and the like.”
Its South Portland store is the largest appliance and mattress showroom in Maine and its Topsham location the second largest, he added.
The company keeps 15 delivery trucks on the road, with 30 employees who make deliveries throughout the state. In total, Agren employs 160.
“We are fortunate that our business is growing steadily, and our revenues are up year over year, in an industry down approximately 7% nationwide,” said Agren. “We continue to invest heavily in our physical operations, and our incredible staff.”
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