The first car stereo distributor buying group announced that it is now owned by its distributor members and that it changed its name to the Elite Distributor Alliance (EDA).
The Alliance, previously owned by industry veteran Ray Windsor, was initially called MED, the Mobile Electronics Distributors Merchandising Alliance.
Under the new structure, each distributor will invest an initial sum in the group and then pay annual dues thereafter. Nine of the 10 previous member distributors have stayed on as member owners, said Windsor, who added that the group restructured at the request of its members, which sought ownership.
The group is now talking to vendors and EDA expects 4 vendors to join this year.
Under EDA operations, distributors provide the vendors a group commitment to inventory purchases and the vendors then offer a discount. This will help retailers in two ways, said Windsor. They have better product flow and inventory availability and they also see improved margins on product.
The first officers of EDA should be voted on by Friday.
The distributor member-owners of EDA include Advanced Marketing & Distribution in S. CA; Custom Plus Distributing in N. CA, OR, WA; Mountain West Distributors in MT, ID, WY, UT, CO, AZ, NM; Pioneer Music Distribution in NE, IA, KS, MO; Sunbelt Distributors in TX, OK, LA, AR; P & E Distributors in TN, MS, AL, GA; Ultimate Marketing in NC, SC, FL; MRI Premium Distributor, ME, NH, VT, CT, MA, RI, Upstate NY; AM Distributors in N. IL, E. WI.
A tenth member is expected to be announced in the next 30 days.
EDA has said in the past, it aims to restore trust between suppliers and distributors in handling inventory management, purchasing forecasting and solving distressed inventory problems. Basically, it hopes to end the practice of fire sale buying at the end of each month that ultimately erodes profits. “It doesn’t have to be that way,” Windsor said.
The group was first announced late last year. It officially incorporated July 28, 2015 as an LLC in the state of Delaware
For more information, contact Windsor at 949-228-2153 or [email protected].
