In 1903 a seven year-old from Lancashire arrived in Christchurch, New Zealand with his parents to begin a new life. His name was Harry Hamer. He left school at the age of 12 to augment the family income. Later, determined to become his own boss and aware of his lack of an academic record, he attended night school where he duly qualified as a Company Secretary. With these new qualifications he took up several professional positions and in 1918 became Secretary of Carrick Wedderspoon Ltd, Engineers and Merchants. In 1929, following the Company’s closure, Harry Hamer with Mr. Edgar C. Gough and Tracey T. Gough formed Gough, Gough and Hamer Ltd, a Company, which was to acquire the Caterpillar Tractor Agency for New Zealand and become nationally known.
THE BEGINNING
Nine years later the ambitious Harry Hamer resigned from Gough, Gough & Hamer and on the 18th June 1938 a new Company, Hamer Electrical Co Ltd, opened for business in a modest suite of offices in the Commerce Building, Hereford Street, Christchurch. Seven of the original staff, a rather worn De Soto “Airflow” car, and many of the products first marketed by the new Hamer Company had come from Gough, Gough & Hamer.
The first price list issued in July 1938 featuring such items as American ‘Beach’ refrigerators at £57.10 ($115.00); ‘Locomotive’ washing machines from Canada at £37.10 ($75.00); English ‘Revo’ electric heaters at £1.1 ($2.10); ‘Dux’ electric porcelain china jugs from 14/9 ($1.48); ‘Lumos’ electric light bulbs at 12/6 per 100 ($1.25); Johnson outboard motors from the USA from £21.10 ($43.00).
DIVERSIFICATION IN WAR YEARS
The following year the English Hoover Agency was acquired beginning a long association with that Company. 1939 was also the year that World War ll began and the supply of overseas products became very difficult. Undaunted, Harry Hamer concentrated on local products and began marketing the ‘Morlynn’ rotary clothes dryer; ‘Elgene’ safety washing machines; the Heco milking machine and Heco plough lift. The ‘Speedway’ twin tub washing machine, forerunner to the Hoovermatic, was also successfully marketed.
But these products alone were insufficient to develop the Company’s profitability and the innovative Harry Hamer diversified into other business activities . . . a 500 acre cropping farm, two orchards, a cool store and the South Island Oil Refining Company which recycled used motor oil. Through these efforts Hamer Electrical emerged from the war years financially viable.
During the early post-war period the difficulties in obtaining imported products continued and of necessity, many were put on allocation until manufacturers premises in Hereford Street to Oxford Terrace and in 1946 the Company purchased and moved to a site in Tuam Street.
Several of Harry Hamer’s near relatives had worked for the Company including his daughter Patricia who served as a shorthand typist. In 1950 his son Derek, fresh from Canterbury University with a Bachelor of Science degree, was appointed as a junior clerk and soon after was sent to the United Kingdom for sales training at Hoover Ltd, Bowthorpe and other Companies represented in New Zealand by Hamer Electrical.
This background in sales training and product knowledge was to prove invaluable to Derek in the years that followed.
In 1950, expansion into the Otago/Southland region began with the appointment of Desmond Purvis as Dunedin Representative, who later established and successfully managed the Dunedin Branch and who, in 1967, was appointed National Sales Manager in Head Office. This expansion was followed a year later with the appointment of an Auckland Area Representative Aubrey Baggs, a retired engineer from the Post & Telegraph Department, who later became Manager of Auckland Branch operating from a new office/warehouse property in Mt Eden until his retirement in 1967.
RAPID GROWTH
The 1950s was a period of rapid growth. Derek Hearn had joined the Company in 1952 as Sales Engineer to strengthen the representation and to provide expertise in technical products. Sales of Hoover electric irons and cleaners were booming and the Hoover 0307 model small washing machine fitted with a hand wringer was introduced, followed by the revolutionary Hoovermatic. Ganoid food mixers, Heco heaters, Arko Electric Fences, Bowthorpe line taps were in demand throughout New Zealand, together with electrical cable, electrical accessories, Johnson outboard motors and many small appliances.
But the boom period did not last. In 1958 the Government of the day imposed stringent import restrictions to combat a serious overseas balance of payments problem. The products, which had been built up in the post-war years to become so much a part of Hamer’s success, were quite suddenly unavailable.
The resourceful Harry Hamer and his team were not deterred. After all, they were in better financial shape than they had been during the war years and the Company was determined to overcome this setback.
The first Heco electric heaters were launched onto the New Zealand market in the later 1950s. This initiated an association with Rinnon Products, Dunedin, who still manufacture the range of heaters today. It is interesting to note that the Heco design has outlived almost all of the other brands, which were available at the time Heco was introduced.
Bowthorpe business in New Zealand prospered and a very strong personal relationship developed between the families of Harry Hamer and Jack Bowthorpe C.B.E. When Jack and Norah Bowthorpe and their two children Peter and Sonia visited New Zealand they established a joint venture company Bowthorpe (NZ) Ltd to make split bolt two piece line connectors to overcome difficulties of supply.
About this time, in an effort to combat import difficulties, Fisher & Paykel, New Zealand’s largest home appliance manufacturer, had secured the right to manufacture Hoover washing machines, cleaners and electric irons for the New Zealand market. Through the kindness of the late Sir Woolf Fisher, then Chairman of Fisher & Paykel, Hamer Electrical was permitted to retain the distribution of Hoover appliances in the South Island. Thus a twenty-two year association with Hoover was continued.
The introduction of the new Heco heaters, the establishment of Bowthorpe (NZ) Ltd and the South Island representation of Hoover products meant that the Company once again had products available to sell which resulted in the 1960s becoming a period of recovery and growth.
Dennis Hall joined the Company in 1966 as Secretary and became Finance Controller ensuring the Company’s continued viability.
Sadly, Harry Hamer who had provided leadership of the Company since its formation in 1938 suffered a serious decline in health and passed away on 20 August 1967 at the age of 70.
A NEW ERA
Following his father’s death Derek Hamer became Chairman and Managing Director and a new era began.
Sustained Government restrictions on imports meant that an increasing number of wholesalers were relying on many of the same limited range of New Zealand manufactured products for their livelihood. Inevitably this resulted in severe competition as established wholesalers and price cutters sought to obtain their share of a limited market at any cost, and profitability declined.
Recognising the danger signal, Derek Hamer introduced radical changes to marketing policy. Distribution was restricted to power supply authorities, retailers and industry with emphasis on agency and distributor products.
A close personal relationship was established between Ralph Penn, President of Penn Controls of USA, and Derek Hamer and his family. This resulted in the establishment of Penn Controls NZ Ltd, (now Johnson Controls NZ Ltd) to make under license Penn Pressure Switches. This overcame shortages of these products due to Government restrictions.
Harry Hamer had made a point of taking regular overseas trips to cement relationships with overseas principals and to seek new product lines. Derek Hamer continued this policy and during various trips has secured many important agencies.
Penn Controls Ltd of Oakbrook Chicago; Karl Pfisterer (KP) products from West Germany which include a range of top quality underground and overhead cable fittings; Flash Electrical timers, France; Metabo power tools and hedge trimmers and Edma metal shears from West Germany; Rotel food processors from Switzerland; Hot-shot animal prodders from USA; Ismet coffee makers from Germany; and Merri-Mix soft-drink makers from the United Kingdom, are just some of the product agencies which he had secured.
In 1979 Fisher & Paykel were preparing to sell their private Company and to apply for Stock Exchange listing and felt that it was necessary to terminate the South Island Distributor agreement for Hoover products. After an association with Hoover products dating back to 1939, the termination came as a severe blow. The loss was soon overcome by the addition of new agency lines from local and overseas suppliers.
By 1978 the executive team had developed the Company to the stage where it was structured into four separate divisions.
Division 1 – concentrated on equipment for Power Boards and Industry. Products include Bowthorpe brass and aluminum connectors, KP underground and overhead cable fittings, 3M low and high voltage equipment, Sterling Greengate specialised cables.
Division 2 – marketed products to industry including Johnson controls, Penn controls, Saginomiya controls, Flash Timers and BHC electrolytic capacitors.
Division 3 – marketed high quality tools for engineering, metal working and building industries. Major products are Metabo power tools, Klein hand tools, Edma metal shears, Baudat cable cutters, and Nibblex power drill nibblers.
Division 4 – focussed on products principally to the consumer market and include Heco heaters, including a model designed for schools and institutions, Heco electric blankets, Rotel food processing machines, Ismet coffee makers, Dymo tools, Merri-Mix soft-drink makers. The Hot-Shot animal prodder was marketed for agricultural use.
This policy of product segmentation had enabled the Company to clearly focus on the specific needs of each client group, which it serves, resulting in better service and the supply of a constantly improving product range.
69 years have now passed and Hamer Limited has continued to grow. The Hamer family is still actively represented at the highest level in the company with the grandson of the founder, (and son of Derek Hamer), Mr. Martin Hamer has a chair on the Board of Directors.
The Company has continued with the philosophy of market segment divisional structure and employs the latest concepts and processes of Human Resource Management including individual performance appraisals that provide opportunity for personal growth for all staff members. The emphasis remains focused on marketing high quality products and the provision of the best possible service.
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