Thread Number: 20721
What would YOU do if you were ORECK? |
[Down to Last] |
Post# 231960   5/9/2013 at 19:43 (4,004 days old) by paulg (my sweet home Chicago)   |   | |
Checkrate/Likes
 
     
This is a slightly different thread than the Chapter 11 bankruptcy announcement thread.
... I got to thinking... What would I do if I were ORECK ? Yeah I know, Chapter 11 is a reorganization and Oreck will survive ending up a leaner, meaner and probably smaller Oreck. However, you all are full of information, new and old. You have seen many vacuum manufacturers come and go and probably know the reasons why. Surely you would have an opinion as to what Oreck should do now. Here's my two cents: It really does surprise me that Oreck is having trouble. I don't know of a hotel I've visited where I haven't seen an Oreck. I'm sure they still have the hotel industry "in the bag". (Sorry...) My Orecks are durable and leave me satisfied with my investment. Other vacs may do a better job perhaps but (in my opinion) Orecks pick up dirt reliably and are of good quality. Oreck has never given me much to complain about. Service and parts are super-duper easy to buy. It is a USA-based company. Some things did mystify me somewhat. SMALL APPLIANCES? An Oreck iron? Why? A Oreck clothing shaver? Why? Didn't Oreck buy Regina? Didn't Regina itself go bankrupt because of the belt issues with the Housekeeper series? Hmm. Did Oreck overextend themselves? Solutions? Should they reduce their range of upright selections? I was at the Oreck store recently and there was a sea of uprights. Do they offer too many? Bagged vs bagless: I get the benefit of bagged. The bagless has caught on with many people now. VHS vs BETA. BETA was better but the world wanted VHS. Is a "bagged" vac obsolete? Air cleaners: I have two electronic air cleaners very similar to the Oreck. I love them. Maybe they should sell them in China. Not joking. AIr cleaners are popular there due to the bad air quality. Should General Electric buy them? I don't know why I am suggesting this. I know GE is reinvesting in appliance manufacturing in the USA. They (and others) probably ran screaming from the vacuum-cleaner manufacturing market years ago. History repeats itself in strange ways.... Comments welcome. One last thing. TRIVIA. Wasn't it ORECK that put a radio in the vacuum handle? |
Post# 231964 , Reply# 1   5/9/2013 at 19:53 (4,004 days old) by super-sweeper (KSSRC Refurbishment Center)   |   | |
Checkrate/Likes
 
     
General-Electric went out of vacuum production in 1972, or 1973. etiher one. And yes, they put a radio transmitter in the Magnessium's handle, that way it be powered on from the handle, without an un-sightly cord.
If I was Oreck, I'd do what I could to stay alive, put out more TV commercials (IF there's even a budget for that sort of thing), and maybe radio ads? Idk.
I see what you Beta-max and VHS. (For those whom do not know, He's referring to the rivalry between home video cassettes in the 80's. Beta max was better quality, but had less space and was mroe expensive. VHS was cheaper, and lasted about 2 hours, allowing movies to be recorded, which is the main selling point of how VHS won over ;)
-Alex.
|
Post# 231966 , Reply# 2   5/9/2013 at 20:28 (4,004 days old) by vacman117 (Chicago, IL)   |   | |
Checkrate/Likes
 
     
|
Post# 231967 , Reply# 3   5/9/2013 at 20:29 (4,004 days old) by filterboy244 ()   |   | |
Checkrate/Likes
 
     
Radio in a vacuum cleaner??LOL . wow thats the wierdest gimmick ever |
Post# 231968 , Reply# 4   5/9/2013 at 20:29 (4,004 days old) by bagintheback (Flagstaff, Arizona)   |   | |
Checkrate/Likes
 
     
Oreck desperately needs to advertise. I think a good majority of their sales comes from return costumers. Most people I hear from that own Orecks are extremely loyal and have bought numerous products at full retail. They need to get more people hooked. Their Orbiter floor machine is amazing, and the best cleaning investment I've ever made. They need to get the word out about this product. The sales people at my Oreck Store seem to direct people only to their uprights. Is David Oreck is good health? He needs to be the spokesman for the company once again! Even his son, I think Tom, would be an improvement.
I too would slim down the upright product line. Just one of each style is necessary. Bring back the Dutchtech canister if possible. I've heard some great stuff about that model. All their current canisters are outsourced, cheap, and extremely overpriced. The Ironman may be an exception, but I don't know much about that model.
Oreck used to be pretty big on their air pruifers; not so much recently. We have one their huge floor models from the early 2000s and it does a fantastic job. The water is always black when we wash the cell. Their desk models were very unreliable but the scent tablets smelt amazing and the current Truman cell offerings seem to do better. Go back to in house air purifiers and advertise.
I do like the Oreck cleaning chemicals. As mentioned in the other thread, they hardly smell and do a great job. Since Oreck is already selling uprights at Target, why not sell the chemicals there? I'd rather pick up some quality products there than go to the Home Depot.
Here is the radio Oreck you asked about. I would love to own one of these. Has anyone seen one in person? I never saw any for sale at the Oreck store back when they were available. Maybe they were catalog only?
This post was last edited 05/09/2013 at 23:24 |
Post# 231988 , Reply# 6   5/9/2013 at 23:31 (4,004 days old) by bagintheback (Flagstaff, Arizona)   |   | |
Checkrate/Likes
 
1    
Here's an interview with David Oreck that was just published today:
David Oreck wants to finish what he started
If he had to do it over again, David Oreckwouldn’t have sold his vacuum company to a private equity group 10 years ago. “It was a successful company doing well, manufacturing in America,” said Oreck, who founded the company in 1963 then sold it to American Securities Capital Partners in 2003 for an undisclosed sum. “We were creating jobs in retail stores owned by individuals making a good living and educating their kids. What the hell is wrong with that. I can't for the life of me understand why people would buy something very successful and decide everything it was doing was wrong.” Oreck, who continued as spokesman for the company in TV spots, said mismanagement by American Securities Capital Partners and Black Diamond Commercial Finance, which bought the company in 2010, led to its struggles and recent filing for bankruptcy. Now Oreck, at age 89, and his family seek to buy the company back. He vows to keep its manufacturing in the Unite States and says he will focus the company back on its direct sales roots. He has no doubt other potential buyers would shift production overseas, where most major vacuum brands are made. “Where it’s made will depend on who takes it over,” Oreck said. “If Oreck Group prevails our products are going to be made in the U.S.” In recent years the Nashville-based company made a push into big-box stores, as vacuum shoppers shifted to major retailers. Oreck would like to return the company to selling direct to consumers in specialty stores that provide a high-level of customer service. “Oreck vacuums have a lot of features and benefits, but a salesman has to explain it to the customer,” Oreck said. “You don’t get any personal attention at a big-box store.” Oreck still wouldn’t trust a bagless vacuum in his home— even the new Oreck model that bears his name. “They spew dirt into the air,” he said. “In my opinion that’s a very bad thing.” Oreck would love to see the company he started become successful again. “The product is still excellent and in some respects better,” he said. “There’s nothing wrong with the product. There’s something wrong with management, that’s all.”
CLICK HERE TO GO TO bagintheback's LINK |
Post# 231991 , Reply# 7   5/9/2013 at 23:39 (4,004 days old) by mr_mom (pittsburgh (PA))   |   | |
Checkrate/Likes
 
     
|
Post# 232026 , Reply# 9   5/10/2013 at 09:04 (4,004 days old) by gottahaveahoove (Pittston, Pennsylvania, 18640)   |   | |
Checkrate/Likes
 
     
And, wouldn't you love to know that undisclosed amount?
It IS true: WHY would people buy any company (based on its reputation, etc) then change it all? HOOVER had 3000 employees. 2000 were let go. I heard them tell stories of how they'd see H.R. come....they KNEW someone was getting the axe.THey did keep the patents, etc and Windtunnel. It is what is saving them. Who knows what 'll happen. My next trip to Ohio, I'll meet w/ the man who worked in the "vault". He also was the man who restored the Model O(s)> I can't wait to get him talking. But, I hope Dave Oreck can save the company he started. I hope the American jobs are kept. I hope they all survive. I also hope someone will want the 2 Orecks from my basement. Idon't need/want them. I'll gladly sell them to those who do. It seems that all those companies wanted to make irons, etc..HOOVER later stopped all of that, too, to reinforce the "floor care line". Some of those appliances were great. some.............. I never used an Oreck iron, so, I cannot give an opinion. I "personally" never like the vacuums (ran 3 different models) But, that's just me. |
Post# 232029 , Reply# 11   5/10/2013 at 09:36 (4,004 days old) by kirbyloverdan (Egg Harbor Twp . NJ aka HOOVERLOVERDAN ❤️)   |   | |
Checkrate/Likes
 
2    
be the Oreck family buying it back that will fix everything .
The appliances they offered were mostly "free" gifts with purchase but could be purchased . When I managed our local Oreck store customers loved getting a "free" cord free iron which the last one they made was a very good iron very comparable to my favorite iron Rowenta . I know the Oreck family will buy it back and keep all the American jobs and weed out the junk . The Oreck stores are the best way to sell an Oreck I converted many doubters into Oreck owners who just stopped in out of curiosity. I love Oreck and the US made Orecks are very good well built long lasting vacuums made like they used to make vacuums . Dan |
Post# 232042 , Reply# 13   5/10/2013 at 11:03 (4,004 days old) by dysonman1 (the county)   |   | |
Checkrate/Likes
 
     
I'm fairly sure David Oreck sold the company all those years ago, because he was getting up in age and didn't want the stress of the day to day operations of a large company. I personally don't want to work past the age of 60, so I can understand.
The way I see it (from inside the vacuum manufacturing world), Oreck's problems were many - but they were easy to solve. It's just that no one did. 80% of all new vacuums sold are bagless. It's a fact that most people want a bagless. Whether we as collectors like them or not is immaterial. It's the opinion of the public that matters to a manufacturer. Interestingly, Oreck's new bagless (the Touch - made in China) is actually a good bagless with really good suction and a good multi-cyclonic separation system. They needed it ten years ago. But should have made it in America. Another problem is all the returns Oreck gets. They advertise a 30 day trial period and free return shipping if you don't keep it. Lots of people are drawn to that offer, and many people DO return them. After all, having two vacuums (upright and hand held canister) isn't very convenient for the general public. Older people will find that different - but a younger person would not like having to drag out two vacuums. Many people are surprised when using an Oreck by the lack of the feeling that it's cleaning DEEPLY. For a vacuum that isn't carried by retailers like Wal-Mart and Target (until very recently) they sure did have enough returns to outfit every Big Lots in this country. Another problem is the Franchise store and Company owned store principal. IF you sell your vacuums through specialty stores, you can't cut their throats on price. Sadly, many Oreck stores lose sales directly to Oreck Corporation because the web site price is less than the Oreck Franchise Store's cost at wholesale. The Company-owned stores are a real drain on the company's bottom line. Another problem is they do not update their core products. Yes, the 8 pound vacuum must remain 8 pounds in order to capture the 'older folks' market - but there are many changes that could have been made along the way in order to create a better cleaning machine. There's no comparison in cleaning ability between a Riccar Supralite and an Oreck. Riccar can clean rings around the Oreck. While both use the same type of design and engineering - the brush roller is many times superior in the Riccar. The Riccar creates the feeling of actually cleaning, where the Oreck creates only the feel of gliding over the rug. This 'feeling' to the customer is crucial in their ultimate happiness with the product. The entire Halo debacle also hurt Oreck tremendously. The cost of the lawsuit by owners as well as the headaches to the company brought about by the government over the advertising for that machine - have been tremendously draining on the company's profits. They lost many, many millions of dollars on that one. The Franchise store owners are now also selling Miele. To have two competing products in the same store, with one being much better than the other, has also cost Oreck sales. Yes, the Miele upright is heavy, but the Miele canisters are light years ahead of Oreck's canisters. The profits on Miele are much better as well. All in all, whomever buys Oreck needs to also hire some really good engineers, who will design brand new products. The tremendous cost of the tooling to make even one new model is overwhelming. I actually foresee (and I may be wrong - so don't quote me) another vacuum manufacturer (like TTI) buying Oreck. What ever happens, I believe the name "Oreck" will continue in some form or another. Euro-Pro is actually in a position that they could buy Oreck and continue to sell them - but they most surely will be completely built in China if that happens. |
Post# 232053 , Reply# 14   5/10/2013 at 12:58 (4,004 days old) by gottahaveahoove (Pittston, Pennsylvania, 18640)   |   | |
Checkrate/Likes
 
     
|
Post# 232060 , Reply# 15   5/10/2013 at 14:23 (4,004 days old) by tylerawells (-)   |   | |
Checkrate/Likes
 
1    
The last thing I want is for TTI or any other China-junk company to buy Oreck. |
Post# 232087 , Reply# 16   5/10/2013 at 16:58 (4,003 days old) by sebo_fan (Scotland, UK, member AKA ukvacfan, & Nar2)   |   | |
Checkrate/Likes
 
     
If Oreck are to survive they won't do it by going out of the Big store franchises for global profits and going into a store of their own. It might work in the U.S but it won't work in the U.K unless Oreck consider other products that will give them a bigger profit. The only store in the UK who sell Oreck on the high street are John Lewis who have been for many years the sole high street provider for SEBO as well.
The only brand that have been "successful" with going entirely independent with a store are Miele but they have larger appliances as well and for the fact that Miele also sell online, offline, at high street franchises as well as having their "sole boutiques" in London. Thus, that "shop" is more of a sideline marketing show room rather than a place to buy the products. Miele can do it as they have a big market share. Oreck on the other hand don't have anything in the UK other than their uprights and none of them have hoses or tools on board. Whilst there are a handful of canister vacs and a trickle of their air purifiers, it is a pity that the company don't have other appliances that would attract buyers to the brand- it isn't enough to offer just one or two models that have a similar spec and try and snatch sales globally. Either Oreck pull out of Europe altogether and just concentrate on the home market, or sell up or go with another company. |
Post# 232197 , Reply# 21   5/11/2013 at 11:17 (4,003 days old) by rexair (Illinois)   |   | |
Checkrate/Likes
 
     
|
Post# 232262 , Reply# 22   5/11/2013 at 17:53 (4,002 days old) by paulg (my sweet home Chicago)   |   | |
Checkrate/Likes
 
     
|