Lift firm MediTek gambling on USA success
Jul 27 2010 by John Hill, The Journal
COUNTY Durham stairlift manufacturer MediTek expects to post turnover of £5m this year after launching into the US market in May.
The 15-year-old Fishburn company is the last remaining stairlift manufacturer in the region following the departure of rivals such as Stannah and Bison Bede.
It is now looking to attract American business after setting up a base in North Carolina.
With 23% of the global market, North America is the third biggest stairlift buyer behind Europe with 26% and the UK with 43%.
Angus Long, who acts as marketing manager for the company, said: “The North East has historically been the Detroit of the stairlift world, but over the years, with mergers, moves and acquisitions, we’re the only one left.
“The UK is a very well served market but the company was keen to break into the US market and spent £150,000 setting up their operations there in December last year.
“The products are still manufactured in the UK and then shipped to the US where modifications can be made.”
In a bid to attract new American customers, MediTek exhibited at the Medtrade show in Las Vegas, where they drew in trade buyers with a computerised Stairlift Slot Machine.
Technicians built a screen into the seat of a stairlift, which was operated by pulling the armrest of the product in a way that mimicked a one-armed bandit.
MediTek had to be careful not to contravene gambling laws, so they allowed visitors to try the machine for free and handed out corporate gifts, including a free stairlift of $7,000 retail value to one user who was selected out of a hat after getting three MediTek logos in a row.
General manager Chris Foss said: “With so much happening over the two days and the continuous hypnotic lure of the bright lights and casinos, exhibitors need to keep upping their game to attract interest and entice visitors to their booths.”
MediTek plans to add at least three staff to its 38-strong Fishburn workforce, while it will bolster its US workforce of one manager and one part-time sales employee with another two employees.
It said the world stairlift market is worth £350m a year, and is growing at a rate of about 6% to 8% annually.
The UK market is dominated by the government, which spends nearly £4m on stairlifts for social services use.
The company has adapted its products to make them easy for its buyers to maintain and install.
Long said: “The average stairlift capacity was 21 stone and you would pay more for a heavier-duty lift.
“But the average Westerner is getting heavier so MediTek made its standard lift rated for 25 stone so buyers didn’t have to pay extra.”
