Part and parcel to mergers and acquisitions is the shuffling of personnel, with some people leaving on their own accord and others being furloughed. It can be a challenging and grueling process, particularly when it is on the level of Tyco’s recent acqusition of Broadview Security (formerly Brink’s Home Security).
The global congolmerate has been spending several months blending No. 2 national market share provider Broadview’s operations into that of No. 1 provider ADT Security. Of course, as always is the case, the official word from both sides is that the transition and rebranding is progressing seamlessly. Word on the street, however (and common sense for that matter), suggests there are a few bumps in the road.
Typically in deals like this involving consumer customers, competitors attempt to lure away business by insinuating the company they had been buying from is changing and will no longer meet their needs. While that is indeed true there is also another important element to this transaction: authorized dealers.
Many dealers that had been long-time authorized Brink’s dealers were still adjusting to rebranding as Broadview when the Tyco/ADT purchase took place. For some, not only rebranding again but doing so as what had been an arch rival and potentially altering the fundamentals of their operation in the process, is too much to bear. Similar to how many providers have been pursuing Broadview’s end-user customers, those with dealer programs, such as Protection One (which itself recently changed hands), have been appealing to authorized Broadview dealers to jump ship.
Although they declined to speak on the record for fear of retribution, several dealers SECURITY SALES & INTEGRATION spoke with complained about how the transition was being handled and were angry and worried. Of course, the process is ongoing and perhaps some of their issues will be addressed to their satisfaction by the time the companies are fully integrated.
In the meantime, the biggest blow to the New ADT, as they are calling it, was delivered by Guardian Protection Services, which announced this week that the company had signed on what had been Broadview’s third largest authorized dealer, Southern Alarm. The official release is shown below.
Now this is meant as no slight to Tyco or ADT; after all any transaction of this magnitude would be subject to similar challenges and issues. But I am curious what your thoughts may be regarding this deal and transition. And if you are a Broadview dealer, are you pleased with how things are going? If, for argument’s sake, you were a Broadview dealer, how do you think you would feel about it? Post here or E-mail me at firstname.lastname@example.org.
*** FOR IMMEDIATE RELEASE ****
AUGUST 25, 2010
GUARDIAN PROTECTION SERVICES AUTHORIZED DEALER PROGRAM SIGNS THE #3 BROADVIEW DEALER IN AMERICA
Pittsburgh, PA. - Southern Alarm, the number three ranked Broadview dealer in America, has chosen Guardian Protection Services to partner as an authorized dealer. Kelley Clements, President and CEO of Southern Alarm, said that Guardian Protection Services was the most logical choice. “Our company has been aligned with a very values based organization in Brinks/Broadview, and after much research, I felt that Guardian best matched those same values. In fact their operations were even a little more impressive than any I have ever seen”. Southern Alarm generates approximately 150-180 accounts per month, and was consistently ranked within the first three spots on the Broadview Top 20. “You are placed on Broadview’s list by certain metrics. Volume is not the only indicating factor”, said Clements. “A dealer must also maintain quality installations, low attrition, and high levels of service”.
“We were immediately impressed with their operations, and knew right away Southern Alarm would be a great fit for Guardian’s business model” said Hank Groff, National Director of Guardian’s Authorized Dealer Program. “Brinks/Broadview was a tremendous company, and I knew that their dealers emulated similar qualities. We’re honored to be partnering with Kelley and his organization.”
Founded in 1950, Guardian Protection Services is the largest privately held security company in America, with authorized dealerships and corporate branches throughout the U.S. Guardian’s Authorized Dealer Program, established in 1995, has experienced a 278% increase over the last 12 months, and has become one of the fastest growing security dealer programs in America.