Bergvik Company Analysis

Part
01
of seven
Part
01

Bergvik: Company Background

Bergvik was found in 1970 and its headquarters is located in Bergvik, Gävleborg. The company has offices in Australia, South Africa, Sweden and USA. Bergvik also serves 100 countries globally.

1. Bergvik Global

  • Bergvik was found in 1970 and its headquarters is located in Bergvik, Gävleborg. They are a global supplier of raised access Flooring, Seismic Bracing, and Load Bearing Structural Ceilings.
  • Bergvik specifically imports from Bergvik Southern Africa Pty Ltd manufacturing facility in South Africa.
  • Bergvik Group is a privately held company owned by owner Peter Brandstrom.

Growth markers over the years

  • The company started in Sweden and then expanded to South Africa and the United States. Currently, the company has offices in Australia, South Africa, Sweden and USA. Bergvik also serves 100 countries globally.
  • Bergvik was founded by Brandstrom's father in 1970, the company started by making floor panels in Sweden and other parts in South Africa. In 2010, Brandstrom recognized the dramatic growth of U.S. data centers as an opportunity for the company in the United States.

Awards

2. Bergvik North America

  • Bergvik North America, Inc., a subsidiary of the Bergvik Group AB in Sweden, the company is focused on developing a market position for Raised Floor systems, Structural Ceiling System, and Cabinet specific Seismic Bracing Frames for; Data Centers, Electrical Equipment Rooms, Telecom Switches, and Homeland Security in North America.

Products

  • Bergvik's products include Iso Floors, HiFlex Floors, Tech Floors, Seismic Bracing Frames, and Iso Flex-Grid.
  • Iso Floors are modular flooring systems available for data centers, electrical rooms, and 911 centers.
  • HiFlex Floors are modular raised floor systems that can replace concrete cable cellar designs.
  • Tech Floors are specialized raised floor systems for 911 centers, laboratories and other facilities which may require future changes in structure.
  • Seismic Bracing Frames are targeted towards data centers, electrical and telecom environments that need protection from vertical ground motion (earthquakes).
  •  Iso Flex-Grid is a flexible structural ceiling system targeted towards data centers and clean rooms among other environments

Growth by estimated revenues

  • ZoomInfo also estimates that Bergvik North America has a revenue of $4.9 million in Q4 2019 and a total of about 25 employees.
  • The company has partnered with RLA Power in Costa Rica to market its products in Latin America
  • The company reportedly had revenues of $5.6 million in Q1, $5.4 million in Q2, and $5.2 million in Q3 of 2019.
  • The company has not received any awards.

Research strategy

We found limited information on Bergvik because it's a privately held company with no annual report or legal disclosure.

The team started by reviewing through Bergvik's official website specifically its various sections like Products, Services and Press Releases page as companies generally tend to communicate their growth, awards, acquisitions and expansions through their press releases. However, no details were available regarding the company's growth on its website. All the information was catered around the company's product description and its technical features.
Next, we look through specific media articles from Forbes, Business Insider, WSJ, Washington Post, Bloomberg, Reuters and more. These are all sources that provide insights around companies including their growth. However, again no such information was found and all the details were related to the products offered by Bergvik North America and the general overview of the company and its operations.

We then reviewed through databases such as craft, Zoominfo, Hoovers, Crunchbase and more. These databases often provides details regarding a company's growth, locations and number of employees. Through this approach we have provided Bergvik North America's growth in terms of estimated revenue. Both Bergvik global and North America has not made any acquisitions.

Part
02
of seven
Part
02

Bergvik: Supply, Distribution, Target, Pricing

Bergvik North America primarily targets customers across the globe and supplies its products in over 100 countries. Its manufacturing facilities are based in Australia, South Africa, Sweden, and the USA.

Product Pricing

  • Bergvik has not disclosed any product pricing in public as the same is based on the project requirements and customization by the clients.
  • The sales contact 'peter.brandstrom@bergvik.com' is in charge of providing pricing quotes/offers.

Customers/Target Market

  • Bergvik North America primarily targets customers from across the globe and supplies its products in over 100 countries globally through its distribution network.
  • The key industrial areas/applications targeted by the company include Data Centers, Electrical/UPS Equipment Rooms, Power Substations, Telecom Switches, 911 Centers, Clean Rooms, Laboratories, and Libraries.
  • One of the customer examples of the company includes the global data center operator company 'Data Realty' to whom Bergvik provided with a flexible raised floor solution that would allow them to change the Server Rack pitch at any stage, depending on rack size and which type of customer would move in.
  • Another customer example of the company includes Harford County 911 Center for whom Bergvik provided trenchant flooring solutions to avoid obstructions and speed up installation.

Distribution Channels

  • The company, in its brochure, has a local supplier network in its operating geographies through which it serves its clients.
  • The brochure avers that clients need to consult their "local Bergvik supplier" for procuring various product accessories of the Company.
  • The company primarily has a DTC model wherein the clients/companies get in touch with Bergvik North America directly for the various product solutions and the company offers them customized solutions.
  • This is corroborated by the case studies presented by the company which shows that the clients got in touch with Bergvik directly for various customized solutions.
  • Since their product solutions are customized as per the client's needs, there is no online/e-commerce retail distribution channel through which the company's products are distributed.

Supply Chain

  • The company itself manufactures and supplies the products globally. Its manufacturing facilities are based in Australia, South Africa, Sweden, and the USA.
  • Bergvik North America specifically imports from Bergvik Southern Africa Pty Ltd manufacturing facility in South Africa through the port of New York/Newark Area, Newark, New Jersey.
  • Bergvik also manufactures server rack-specific, independent seismic bracing frames locally in the USA to secure equipment in high-risk data center zones.
  • The company has been involved in the self-manufacturing and supply of secure, fully modular Mechanical Support Systems such as Raised Access Floor systems and Seismic Bracing Support Frames since 1970.
  • They also have diversified and started manufacturing supply drop-down Load Bearing Structural Ceiling Systems since 2015 in its manufacturing facilities.

Your Research Team Applied The Following Strategy

No information specific to the product pricing range of Bergvik North America products could be found on the company website or in public domain. All the information found catered around the various product specifications and technical features of the various products of the company with no pricing details being provided.
Our first strategy was to scour through the company website and its various sections like 'FAQ', 'Resources', 'Products', 'Services', and especially 'Press Releases' as companies generally tend to communicate any changes in their pricing plans or any newly introduced price points through their press releases. However, no product pricing information was available on their website and one needs to contact the sales department to procure the same. All the information was catered around the company's product description and their technical features.
Our second strategy was to look through specific media articles from Forbes, Business Insider, WSJ, Washington Post, Bloomberg, Reuters etc; flooring blogs and websites such as 'Floor Trends', 'Flooring.org', 'First US Floors'; company databases such as Owler, Hoovers, Crunchbase, Zoom Info and any surveys around the company's products from Pew Research, Market Insider, Deloitte. These are all potent sources that provide insights around companies and their competitive advantages including pricing and hence the idea was to see if any of them has provided any pricing related information. However, again no such information was found and all the details were related to the products offered by Bergvik North America and the general overview of the company and its operations.
Our third strategy was to look for the client reviews and client case studies normally presented by the companies on their website. At times in such case studies and reviews, the companies do highlight the cost of the project along with its benefits for the client to accentuate a positive cost-benefit analysis for the client, hence, the idea was to check if Bergvik North America has any such case studies or reviews available. While we were able to locate a few US clients based on case studies and success stories for the company, there were no pricing details available in the same. All the information was catered around the product solution that was administered to the client and the success that ensued thereafter for the client. Additionally, we tried to triangulate the information by checking through third-party comparison sites like 'Home Advisors', 'Remodeling Image', Product Hunt for product reviews and comparisons for the company. But, all the information was centered around the general pricing for the flooring solutions or the comparative pricing of the various floor materials. No information specific to the product pricing of Bergvik North America could be found.
Part
03
of seven
Part
03

Bergvik: Competition and Differentiation

Bergvik North America differentiates itself as a competent raised flooring supplier and a world leader within the segment of technical floor systems offering lower total cost of ownership to customers in over 100 countries. The competitors of Bergvik include ASM Modular Systems Inc and Global IFS.

Bergvik US/North America - Differentiation

  • Bergvik promotes itself as a competent raised flooring supplier with over 49 years of experience in the market and manufacturer of the rigid and self-supporting Iso floor raised access floor system with "unrivaled stability, strength and modularity".
  • It is established in over 100 countries including manufacturing in international markets of Australia, South Africa, Sweden and USA were the company commits to offer lower total cost of ownership to the customers and being a top choice as a supplier or a customer by continued technical development.
  • The company has earned the position of a world leader within the segment of technical floor systems by "striving to deliver the right product solution at the right time at the lowest total cost." They are known for controlling manufacturing through forecasts from their marketing group and by "working in self-controlled groups in accordance with ISO 9001 and ISO 14001."
  • Bergvik offers a wide range of flooring products ranging from Iso floor for data centers, electrical rooms, heavy industry, secure seismic solutions offering hiflex floors, tech floor among others.
  • The company has published its credible success stories and testimonials from esteemed customers including Harford County Emergency Services -911 Center, North American Hoganas, Data Reality USA and others.

Top Competitors

ASM Modular Systems Inc.

  • ASM Modular Systems Inc. is one of the largest access floor companies in North America, based in Ladson, South California. They specialize in the data center and office market offering access floor panels, accessories, raised floors, commercial floorings and more.
  • The company is determined as a competitor to Bergvik based on similar business line, location and estimated revenue range.
  • The company is offering business in the similar product line as Bergvik, of raise flooring offering to industries like datacenter and heavy commercial market offering wide range of flooring categories in the North American market. It has mentioned itself as a largest access floor companies in North America.
  • ASM Modular has been listed along with Bergvik as a supplier and manufacturer in the US for a variety of raised flooring systems with estimated annual sales range of $1 million to $4.9 mil lion.

Global Integrated Flooring Solutions

  • Global Integrated Flooring Solutions (Global IFS) is based in Michigan, US, and is a leader in supplying broadest product offering of fully integrated raised access floor, modular power, and underfloor air distribution solutions. This product offering is extended to applications including data centers, commercial offices and industrial facilities. It is North America's only provider of workplace solutions which include access flooring, mechanical and modular power systems.
  • Global IFS is determined as a competitor to Bergvik based on similar business line, (offering raise flooring product range to industries like datacenter and heavy commercial market offering a wide range of flooring categories in the North American market), location and estimated revenue range.
  • The company is a supplier of access flooring solutions of enduring quality serving the US and North American market and has an estimated annual revenue of $6.8 million.

Research Strategy:

To obtain the information on the differentiation of Bergvik in the US/North America market along with details on its competitors, we searched through the official website of Bergvik North America Inc. and examined the sections on their history, products, applications, market, news and resources.

We searched through company database sites and directories such as zoominfo, hoover, thomasnet and others to gather insights around competitors of Bergvik based on the criteria of functioning in the similar business line, location (US/North America) and estimated revenue range.
Part
04
of seven
Part
04

Bergvik: Leadership, Partnerships, Revenue

Bergvik North America is led by company president Charl Kinghorn. The company has an annual revenue of $15 million and has partnered with General Sheet Metal for manufacture of seismic bracing frames. These and other findings are outlined below.

EXECUTIVE TEAM

  • Bergvik Group is a privately held company with no annual report or publicly available information regarding its annual revenue.
  • However, South Bend Tribune quoted owner Peter Brandstrom stating that Bergvik has an annual revenue of around $15 million in 2013.
  • ZoomInfo also estimates that Bergvik North America has a revenue of $4.9 million in Q4 2019.
  • The company reportedly had revenues of $5.6 million in Q1, $5.4 million in Q2, and $5.2 million in Q3 of 2019.

PARTNERSHIP

PRIMARY PRODUCT CATEGORIES

  • Bergvik's primary product categories are Iso Floors, HiFlex Floors, Tech Floors, Seismic Bracing Frames, and Iso Flex-Grid.
  • Iso Floors are modular flooring systems available for data centers, electrical rooms, and 911 centers.
  • HiFlex Floors are modular raised floor systems that can replace concrete cable cellar designs.
  • Tech Floors are specialized raised floor systems for 911 centers, laboratories and other facilities which may require future changes in structure.
  • Seismic Bracing Frames are targeted towards data centers, electrical and telecom environments that need protection from vertical ground motion (earthquakes).
  • Iso Flex-Grid is a flexible structural ceiling system targeted towards data centers and clean rooms among other environments.

Research Strategy

We found limited information on Bergvik North America's primary revenue sources due to the fact that it is a privately held company with no annual report or legal disclosure. However, we have provided key executives from its corporate website as well as revenue and partnership information from available business media sources.

We searched and x-rayed the website for data on revenue and primary income streams. There was no annual report, company overview, or publication that contained this information. We also checked for business intelligence profiles in Hoovers, Crunchbase, and others but found no helpful source except for ZoomInfo. Lastly, we conducted a press search and successfully found a business media article that contained a quote from Peter Brandstrom discussing his company's annual revenue. Aside from this and ZoomInfo's estimate, there was no publicly available report on Bergvik's revenue or primary revenue sources based on product categories.

We also found limited information on the company's partnerships. Its corporate website contained little news in general, though one press release detailed its partnership in Costa Rica. We have included this as part of our due diligence. No information on partnerships was available in its company overview or publications. We did not find data on Bergvik North America partnerships as well from business intelligence providers. Only our press search yielded information i.e. Bergvik and General Sheet Metal, which we have outlined above.

In summary, due to limited public data disclosed by the private company Bergvik North America, we did not find information on its primary revenue sources. However, we have included all available information on its leadership, revenue, product categories, and partnerships.
Part
05
of seven
Part
05

Bergvik: Challenges

Bergvik's North American business is challenged by is limited online presence, lack of customer reviews, cost issues and client delivery issues.

Limited Online Presence

  • Perhaps one of the most significant challenges facing Bergvik North America is the company's limited online presence, which invariably limits awareness about the company, its products and its unique value proposition to potential customers.
  • Notably, an extensive scan of publicly available resources revealed that any meaningful online mentions of Bergvik's North American business was mostly through the company's relatively sparse corporate channels, including its corporate website, North American web pages and regional product information pages.
  • Moreover, unlike many modern companies, Bergvik also maintains a minimal presence on social media channels, with the company hosting one global LinkedIn page and no social media accounts specific to Bergvik's North American business.
  • Meanwhile, the company's related mentions on North American industry pages was similarly minimal, with the few websites that mentioned Bergvik offering very little detail that might attract or inform a potential customer.

Lack of Customer Reviews

  • Similarly, Bergvik's North America business also faces a lack of any significant customer reviews or feedback in the public domain.
  • Both more prominent customer review sources, such as YP, as well as industry-specific sites, including Oscarpages, generally provide no actual customer feedback information.
  • Considering the importance of customer reviews for many consumers in selecting and ultimately purchasing products, this lack of customer feedback online represents a significant potential hurdle for the company in acquiring new clients.

Cost Issues

  • A more historic and ongoing challenge for Bergvik's North American business is product cost issues, due to the fact that the company is headquartered outside of the region.
  • In particular, the majority of Bergvik's manufacturing facilities are also outside of the US, which creates additional costs and challenges for the company in importing products to North America.
  • More recently in 2011, Bergvik North America looked to partially improve related costs and pricing in the region by establishing a production facility for some of its product offerings in the US.

Client Delivery Issues

  • Similarly, the company's North American business is challenged by delivery issues for its regional customers, which can impact customer satisfaction and future sales.
  • Among the other reasons Bergvik cited for opening a manufacturing location in the US was to reduce lead times for product delivery to customers.
  • Notably, the fact that the company is headquartered outside of North America, as well as that most of Bergvik's manufacturing facilities are also outside of the US, creates additional lead times in transporting and importing products.

Research Strategy

Please note, for the purpose of this analysis, an article published in 2011 about Bervik North America was included to inform the discussion about several challenges currently facing this division of the company. Notably, while this credible resource was published several years ago, the content relevant to this analysis continues to be current and accurate, given that the primary salient points relate to Bergvik's international headquarters, which remain outside of the US at present. Moreover, one of the company's significant challenges is its limited presence online, both in terms of corporate-sponsored channels as well as coverage by industry and other relevant publications. Recognizing the still relevant insight provided by this article, the dearth of more recently published materials, as well as the fact that all other resources used to support this analysis were published in 2018 or 2019, it was deemed appropriate to include this resource in order to provide additional context into Bergvik's competitive challenges.
Part
06
of seven
Part
06

Bergvik: CEO and President

Peter Brändström is the founder, chief executive officer, and chairman of Bergvik Group. He has an educational background in engineering. Charl Kinghorn is the president of Bergvik USA; he has experience in finance.

Peter Brändström

Professional Background

Roles and Responsibilities — CEO

Roles and Responsibilities — Chairman

Educational Background

Charl Kinghorn

Professional Background

Roles and Responsibilities — President

Educational Background

Research Strategy

We searched through professional networking sites for information on the individuals. To provide their roles and responsibilities in the company, due to limited information on the company's website and their professional profiles, we searched for the roles and responsibilities for the positions they hold in the company from credible sources to use as a proxy for the requested information.


Part
07
of seven
Part
07

Bergvik: Executive Summary

Founded in 1970 by the current owner Peter Brändström, Bergvik is headquartered in Sweden and has offices in Australia, South Africa, Sweden, and the USA, from which it serves 100 countries globally. They are a global supplier of Raised Access Flooring, Seismic Bracing, and Load Bearing Structural Ceilings. The company won Build Magazine award for the best-raised access flooring supplier 2019 in South Africa.

Products

  • Bergvik North America is headquartered in Salisbury, MD, about 30 miles inland from Ocean City and 2 hours from the Port of Baltimore. Operating as a subsidiary of the Bergvik Group AB in Sweden, the company focuses on the sales and installation of Raised Floor systems, Structural Ceiling Systems, and Cabinet specific Seismic Bracing Frames for Data Centers, Electrical Equipment Rooms, Telecom Switches, and Homeland Security.
  • Modular flooring and ceiling systems are installed for data centers, electrical rooms, 911 centers, laboratories, and more. Seismic bracing frames are purposed for mission-critical centers that need earthquake protection.

Revenue

  • Bergvik NA has partnered with RLA Power to market its products in Central America. The estimated annual income for Bergvik NA in 2019 is $21.1 million, with figures for each quarter at $5.6, $5.4, $5.2 and $4.9 million respectively.

Supply Chain

  • Bergvik has manufacturing facilities based in Australia, South Africa, Sweden, and the USA. Bergvik North America specifically imports from its Bergvik Southern Africa Pty Ltd manufacturing facility in South Africa through the port of New York/Newark Area, Newark, New Jersey.
  • In the U.S., they manufacture server rack-specific, independent seismic bracing frames to secure equipment in data centers in earthquake-prone areas.
  • The company sells through a DTC model wherein the clients/companies get in touch with Bergvik North America directly, and the company prices customized solutions for them.
  • They provide architectural templates on their web sites for clients to complete and submit for pricing.

Competition

  • Bergvik North America differentiates itself from competitors through its company longevity, its global reach, its implementation experience, and its dedication to lower total cost of ownership.
  • They are known for controlling manufacturing through forecasts from their marketing group and by working in self-controlled groups following ISO 9001 and ISO 14001 standards.

Challenges

Leadership

  • Peter Brändström is the founder, chief executive officer, and chairman of Bergvik Group. He graduated with a Bachelor's in Electrical Engineering from Tekniska Institute in Stockholm.
  • As CEO, Peter is responsible for improving shareholder value through management and assessment of company executives, recognizing and mitigating threats to the company, and all other traditional CEO duties.
  • As Chair of the Board, he leads the business and activities of the Board, ensuring integrity, high standards, and social responsibility are integrated into the companies activities.
  • Charl Kinghorn currently serves as the president of Bergvik NA and the director of Bergvik Group. Starting in 2010, he has progressed from financial manager to head of business development to his current position.
  • He began his education at Stellenbosch University in Sweden and completed it with a Bachelor of Accountancy degree from the University of South Africa.
  • As president of Bergvik NA, Charl is responsible for the day to day management of the company and relationships with the community and the industry.
The remainder of the leadership team is composed of

Sources
Sources

From Part 04
Quotes
  • "Charl Kinghorn President Mobile: +1 347 366 2905 Email: charl.kinghorn@bergvik.com Skype: charlk1"
  • "Dawn Brandstrom Sr. V.P. Business Development Mobile: +1 410 422 7109 Email: dawn.brandstrom@bergvik.com Skype: dawn.brandstrom"
  • "Lisa Baker Accounting & Office Manager Mobile: +1 410 548 1449 Email: lisa.baker@bergvik.com"
  • "Paul Waite Engineering and Design Manager Tel: +1 (775) 990 2221 Email: paul.waite@bergvik.com"
  • "Scott Hughes Installation & Production Manager Mobile: +1 410 422 6460 Email: scott.hughes@bergvik.com"
  • "Peter Brandstrom Director Mobile: +1 443 365 9300 Email: peter.brandstrom@bergvik.com Skype: peter.brandstrom"
Quotes
  • "CEO & Owner, Bergvik Group (Australia, Norway, South Africa, Sweden, USA)"
Quotes
  • "Senior V.P. Business Development at Bergvik Flooring Dover, Delaware Area"
Quotes
  • "Business Development Exec | Marketing Enthusiast | Partnership Builder Salisbury, Maryland"
Quotes
  • "Bergvik Group Building Materials Bergvik, Gävleborg 512 followers"
  • "36 employees"
Quotes
  • "Bergvik has entered into an agreement with RLA Power in Costa Rica to market and sell the Iso Floor & HiFlex Floor Raised Floor Systems and Iso Flex-Grid Structural Ceiling system in Latin America."
  • "The countries that RLA Power will prioritize are; Costa Rica, Guatemala, Honduras, Mexico, Nicaragua, Panama, Columbia, El Salvador, Belice, Nicaragua, Venezuela, Peru, Bolivia, Ecuador, and Dominican Republic."
Quotes
  • "Bergvik's annual revenue is about $15 million per year, Brandstrom said, and the U.S. market for raised flooring is $160 million to $200 million per year."
  • "Data Realty ended up using a Bergvik raised floor in its data center, and Bergvik is working with General Sheet Metal to make seismic bracing, which stabilizes data server racks in areas prone to earthquakes."
  • "A video on Bergvik's website features Rich Carlton, president of Data Realty, explaining how the company's flooring benefited the South Bend data center."
Quotes
  • "Iso Floor Brochures: Iso Floor - Electrical Equipment Rooms "
  • "Iso Flex-Grid Brochures: Iso Flex-Grid - Structural Ceiling System"
  • "HiFlex Floor Brochures: HiFlex Floor - 2-story Data Center design"
  • "Seismic Floor Brochures: Iso Floor - Seismic Design Seismic Bracing Frame"
  • "Tech Floor Brochures: Tech Floor"
  • "Accessories & other Product sheets: Pedestal Mounting Clamp for Cable Ladder Brackets Bergvik AirMax Panel"
Quotes
  • "HiFlex Floor - on a higher level! Replace your static concrete cable cellar design or super structure with a HiFlex prefabricated and modular raised floor system."
  • "The HiFlex Floor system from Bergvik is the most cost effective and modular solution on the market with happy customers within Data Centers, Mining, Power Generation, and Pulp & Paper."
Quotes
  • "Tech Floor Bergvik’s Tech Floor is a raised floor system providing flexibility and medium strength for applications such as 911 Centers and Laboratories where changing technology requires future modifications. "
  • "Tech Floor is an excellent solution for floor heights of 4-8 inches (100-200 mm)."
Quotes
  • "The Bergvik design does not depend on any support from a raised floor, but is instead securely anchored directly from the equipment Rack or Cabinet down to the concrete sub floor with seismic anchors."
Quotes
  • "The Iso Flex-Grid is an engineered structural ceiling system that acts as both a dropped return air ceiling plenum, as well as a support grid, providing a cost effective solution for use in data centres, clean rooms, labs and other environments."