Epicor EVP Welcomes Attendees at LBM User Conference
On November 17-18, 2016, we hosted the Epicor LBM (Lumber and Building Materials) User Conference at the Hilton in Anaheim, CA. The event was attended by hundreds of LBM professionals to dive into technologies and techniques, gain hands-on education, and network with other industry professionals. Attendees were also able to share ideas with other Epicor customers and hear what lies ahead in 2017.
I had the pleasure of kicking off the event by discussing the Epicor commitment to the LBM industry, its new ownership, and directions for the future. The following are a few hot topic questions that I was able to cover during my keynote address:
What value does KKR provide?
KKR, which acquired Epicor in August 2016, is the second largest private equity firm globally. They have an impressive portfolio of products and have been doing portfolio acquisitions for the past 40 years. They are also five times larger than the previous Epicor Software owners.
We have had the opportunity to spend time with KKR management over the last 90+ days and what’s impressive about them is that they made a conscious decision years ago to look at enterprise resource planning (ERP) solutions before they made a decision to acquire Epicor Software. This was a very thoughtful process. Passionate about moving into the ERP space, KKR understood our company from the very beginning and believed in our strategy to deliver cloud-ready, market-leading industry solutions paired with a world-class customer experience. KKR's desire is to keep us focused on what we're doing in the industry and verticals that we serve. They’re excited to be able to help better serve businesses by expanding the services and solutions we provide to our existing customers, as well as move into adjacent verticals and market segments. It is an exciting time for us and for our customers.
Where we are in the LBM space?
With 1,600 customers at 3,700 locations representing $23 billion in sales, it has been a fantastic year for Epicor customers in the LBM industry. As a business, we serve three different areas: manufacturing, distribution, and retail. So, we really cross over a number of areas and have the ability to impact industries in very broad ways. We’ve had extremely strong growth in the LBM space, due a great deal to the market itself, and it was the fastest-growing vertical for Epicor in 2016.
Where are we in terms of market share?
Epicor is continuing to grow its market share. We have made progress since the acquisition of Progressive Solutions in 2012. We have added more than 25 new Epicor LumberTrack software customers since the acquisition happened. Today, we have ten of the top 20 softwood lumber producers using the LumberTrack solution. We also have gained market share with Epicor BisTrack™ software in the distribution space with the pro dealers.
Additionally, we now have 51% of the top 100 pro dealers using and Epicor products, up 45% from last year. For software companies, the goal is always to continue growing market share and we're able to do that with both the BisTrack and LumberTrack solutions.
So what are we doing as we move forward in the markets?
We are investing to respond to market demands. We serve evolving markets and we evolve for them. We are enhancing many of our product areas, allowing our customers to take advantage of cloud and mobile technologies, evolving construction practices, consolidation and vertical integration opportunities, and expanded product lines and markets. In addition, we are introducing delivery solutions that allow Epicor products to be accessible to a wider range of LBM companies.
A better business partner
We really want be a better business partner, not just an IT partner. Our job is to help customers grow their businesses, not software.
Posted by Craig McCollum, Executive Vice President, Americas, Epicor Software