Cornerstone Building Brands Competitive Analysis (3)
Allied Building Products and Builders FirstSource provide building materials for the residential and commercial construction markets, while Star Building Systems' focus is on industrial and commercial building construction. The industry's changing economy, demand, and the service provided by its distributors are the main issues in the companies' supply chains.
Star Building Systems
- Products: Star Building Systems offers roof panels, wall panels, insulated panels, accessories, and retrofit/nuroof in different materials, and styles including PBR, Double-Lok, BattenLok HS, SuperLok, Ultra-Dek, ShadowRib, AVP, etc.
- Target Market: The company's target is commercial and industrial building construction.
- Customer Perception: The company has received mostly positive reviews from its customers, earning 4.5/5 stars in Google reviews thanks to its fast delivery and customer service, and 4.3/5 on Facebook reviews, thanks to its customer service, quality, and price.
- Examples of the feedback received: "
I've made a delivery at this place yesterday... Very polite and very fast workers, stay as you are now" — Didzi Midji
, Google Reviews.
- "Star builds the best quality buildings for the best price!!!" — Emory Stewart, Facebook Reviews.
- "When you need the best building at the best price Star Buildings is the only way to go!" — Lee McCoy, Facebook Reviews.
- Supply Chain Issues: Most complaints received by Star Building Systems about its supply chain comes from troubles with their local distributors, such as a lack of accountability, follow up, and poor installation.
- Feedback examples of these issues: "In late October I emailed and called my Star Rep in West Va. to request a quote for a new 24 x 24 building as well as some repairs needed on my existing buildings.. After no reply from several attempts I called the Corporate Office and low and behold the Rep did call me and put me in contact with Star's recommended contractor from Roanoke Va R. L." — Bill Craft, Facebook Reviews.
- "Completed my 5th Star building in Aug 2016 and had numerous roof leaks. Star Rep George Aubin personally looked at the roof and said it needed a bit more caulking. Fast forward 2.5 years and the leaks are still there. I call George again and this time he tells me the roof was installed incorrectly and has multiple issues. Same Star Representative same roof. " — Louis Misto, Facebook Reviews.
- "We bought a building kit from General Steel. Their sales tactics and customer service left much to be desired but it turns out that General Steel is just a marketing company [...] Star Building Systems customer service was wonderful. We did have a couple of problems with the kit but Mike Simons was there to rapidly resolve the issues. Fantastic service! Thanks guys." — Larry Dee Church, Facebook Reviews.
Allied Building Products
- Products: Allied Building Products provides sidings, gutter, lumber, manufactured stone, garage, insulation, roofing, tiles, soffits, tools, accessories, trim coil, windows, skylights, and doors for residential construction. They also provide asphalt, pitch, cement, coatings, insulation, metal, roll roofing, bitumens, waterproofing, membranes, tiles, drywall, equipment, and solar products for commercial construction.
- Target Market: The company focuses on residential and commercial construction.
- Customer Perception: The feedback provided by the clients is mixed, depending on the location. Overall, the company's perception is good and has received mostly positive reviews, earning 4/5 stars on Yelp and 4.8/5 stars on Facebook Reviews, thanks to its prices, product variety, and customer service. However, in locations like Ohio, the company received a 3.9/5 score on Google Reviews due to its personnel, cleanliness in the store, and prices.
- Examples of feedback: "Good place to check for roofing materials. Good products (Elastek for that local product connection!) and better prices than you'd find at Home Depot or other hardware stores. Friendly staff gets you in and out quickly and efficiently." — Eric G., Yelp Reviews.
- "Excellent company! Great service! Always helpful and knowledgeable!" — Ashlynn Ledbetter, Facebook Reviews.
- "Place was extremely dirty, staff was rude and not helpful to say the least. I’m never going here again." — Tommi Snelick, Google Reviews.
- "Expensive and ignorant. Poorly trained hyster operators. Staff looked like bunch of junkies. Save yourself a trip and don’t ever go there." — Kody Steis, Google Reviews.
- Supply Chain Issues: The company's CEO, Bob Feury Jr., explained in an interview with Best Supply Chain Practices that the biggest challenge the company's supply chain faces is the country's economy which has forced them to elevate their prices multiple times in the past years to maintain their quality and compete with other companies in the market. After hurricane Katrina in 2005; then in 2009, which was one of the hardest years for the construction industry; and in 2017, after Beacon Roofing Supply acquired the company.
- Examples of reviews provided about the price changes after the acquisition: "good guys to bad there being purchased by a lesser company" — Dave Austad, Facebook Reviews.
- "I used to like this place then they fiered everybody that was worth having and started to over charge and now a restock fee are you kiding me you lost my business boo to alied in howell mi boycott till they get rid of the ingrates." — Robert Ryan, Facebook Reviews.
- Products: Builders The company manufactures adhesives, sealants, cabinets, columns, decking materials, connectors, cultured stone, doors, drywall, engineered wood products, fireplaces, garage doors, hardware, house wrap, insulation, interior trim, mouldings, lumber, treated wood, railings, roofing materials, shingles, shutters, siding, stairs, steel, steel trusses, wall panel, windows, and wood trusses, among others.
- Target Market: Builders FirstSource focuses on residential, multi-family, and commercial construction and remodeling. Based on the company's report, their clients are large production builders, light commercial contractors, small custom home builders, repair and
remodeling contractors, and multi-family builders.
- Customer Perception: The company's clients have an average perception of the company, showing it in a mix of positive and negative comments. They've received a 3/5 score on Yelp and TrustPilot due to bad customer service and product availability, a 3.3/5 score on Facebook Reviews, and 4.2/5 on Google Reviews for good customer service, prices, and products.
- Examples of feedback: "You can always count on good quality products at a fair price sold by great people who know something about building. This is my go to place when working on our home. Please go and support these folks...they are worth every penny!" — Ben M., Yelp Reviews.
- "Always have what we need in stock. Very friendly staff" — James Hartnet, Google Reviews.
- "Highly recommend, great products, fast delivery highly knowledgeable staff been buying all my materials at bfs for a long time." — Dave and Stacy Winnie, Facebook Reviews.
- "WOW! For builders first source to remove a post to cover up, how bad your Tallahassee, FL. store is it is pathetic. This store has the worst manager we ever had to deal with." — Capital Home Builders, TrustPilot Reviews.
- "Unfriendly service and limited selection. " — Kevin H., Yelp Reviews.
- "Nothing like being ignored and hung up on when you just want to ask a simple question. Won't ever go there again. Not professional at all." — Daniel Pennington, Facebook Reviews.
- Supply Chain Issues: One of the challenges the company's supply chain faces is getting raw materials from socially responsible sources that don't use mining or smelting, don't use their revenue to finance armed conflict, and don't harm their local populations' economy and society.
- Additionally, they consider that some risks and challenges their supply chain experiences comes from the US economy in the residential construction market, the cyclical pressures that the building supply industry puts in the market, the seasonality of the industry, the fluctuating demand, competitive prices, and fragmentation of the industry.
To determine the supply chain issues these companies face, we looked through official statements and interviews with its executives on the company's website, newspapers, industry blogs, and magazines for the challenges in their supply chain, actions they are taking to address these challenges, etc.
If the information was not available through these sources, like in the case of Star Building Systems, we used the feedback provided by the clients to understand which concerns are generated from the company's supply chain practices, to determine the issues they face.