Innovative Storage Solutions

The Econo-Rack Group of Companies

Appointed President of Econo-Rack in October of 2012, Mr. Mazzetti was able to combine his extensive experience in the lift truck industry with the business’s prominent position as a leader and solutions provider in North America’s demanding storage and material handling industry. Since it was formed with a staff of two back in 1987, privately held Econo-Rack has supplied racking solutions to hundreds of companies across the continent including Sam’s Club, Sears, UPS, FedEx, Cadbury Schweppes, The Shopping Channel, and many others.

Operating under three trade names – Konstant, Redirack, and Econo-Rack – the Econo-Rack Group of Companies is diversified and able to meet the racking and storage needs of clients of all sizes, even businesses undertaking massive, highly complex projects requiring millions of pounds of racking. To build on the company’s reputation for quality solutions at competitive prices, Mr. Mazzetti introduced a number of changes to the company that have seen Econo-Rack increase staff, sales, and create new racking system designs.

In the past, says Mr. Mazzetti, the factory was told what to do, and remained relatively uninvolved in the decision-making process. A great believer in sharing ideas, one of his key initiatives was to involve factory staff in discussions with engineers and other key players to develop products and designs. Today, the company has an innovation program and regular monthly Engineering, Design and Project Management meetings, which has seen a positive improvement in processes, products, and offerings to the market.

“I didn’t think it was possible to work properly unless our engineering and design people were speaking with the factory regularly about what was best for both groups,” says Mr. Mazzetti from the company’s head office in Oakville, Ontario. Hands-on in his approach, the company President also sits in on design meetings between engineers and manufacturing staff. This has resulted in greater efficiency for the company, and an innovative new proprietary deep-reach racking system design, which saw Econo-Rack awarded a number of large contracts with prominent Canadian companies. In addition to working closely with designers, engineers, and employees on the factory floor, the company’s sales incentive program was completely overhauled so that it paid on time, and sales staff knew exactly what the rewards were for their labour.

Taking on massive projects in excess of eight million pounds of racking and related materials requiring hundreds of delivery trucks to move the product to the client, the top-notch team at Econo-Rack continues to expand. Hiring seven new Salespeople in the past two years, the company has five full-time engineers, 15 designers across Canada, 44 in direct sales, with 300 employees in total. The business has expanded to eight locations nationwide, including a factory in Brantford, Ontario, and the company’s newest location in Edmonton, established in 2012.

The expansion has been warranted given the Econo-Rack Group has experienced significant revenue growth exceeding 13 percent over the last two years. “We’re on a growth curve, and we want to fill-in the requirement,” comments Mr. Mazzetti of the company. “We have doubled our New Customer result in the last three years, going from under 483 in 2009 to over 1 000 last year. Our Salespeople are committed to growing their businesses and our customer base.”

In the process of hiring two more salespeople in Ontario and one in the Maritimes, Econo-Rack has seen a strong market rebound in the past two years, and has been able to capitalize on increased demand. “Our balance sheet is strong, and working capital requirements are being met through organic growth rather than external financing.”

“We’ve got a great inside and outside sales team across Canada,” says Mr. Mazzetti of the company, which believes success comes from not only hiring good people, but also providing them with the necessary tools to be successful. Unlike most companies today who give sales staff a couple of catalogues and point them to the door, Econo-Rack provides an extensive, six-week sales training program. By taking this approach, energetic sales people become sales professionals, and are better able to interact and inform customers about the company’s new business, leasing, used rack sales, warranties, and much more. Additionally, the company’s dealer sales channel helps Econo-Rack reach customers otherwise unavailable to the company, and helps build very strong relationships.

The Leader in Racking Solutions

While there are other racking companies, the service, selection, superior quality, and sales professionalism offered by Konstant, Redirack, and Econo-Rack demonstrate truly that not all racks are created equal. With sales distribution facilities from coast to coast, and the ability to draw from a 200,000 square foot manufacturing facility, the company is committed to ongoing innovation and improvement of its racking systems and related products.

Holding many patents in both Canada and the U.S., the company prides itself on investing in new equipment, devising innovative manufacturing methods, and creating new products and solutions. Creating racks from Canadian made and recycled steel, the company’s talented designers and engineers work with state-of-the-art drawing programs. Recently implementing enhanced quality control initiatives, the company is able to design, produce, and deliver products to exact customer specifications quickly, efficiently, and with the capabilities of producing four to five million pounds of product per month over two shifts with the goal of increasing that production to six million pounds per month.

As an industry leader with a national scope, Econo-Rack provides a wide range of new, high density storage solutions designed to allow their customers to make the most efficient use of tight or awkwardly shaped spaces. Additionally, the company provides all of the accessories and safety equipment customers need to make the best, most efficient, and safest use of their storage capacity. From computer aided design to on-site Installation and assembly, pre-start health and safety reviews to project management, Econo-Rack is truly a one-stop shop for all racking storage needs.

A Selection of New and Used Products

In response to increasing customer demand, Econo-Rack introduced quality used products. “We found a huge market for used racking,” says Mr. Mazzetti of the company, which sells about half a million dollars in used racking per month, along with allied products such as used mesh deck, pallet flow, and carton flow. Engineers inspect all items to ensure quality and safety, and offer customers a choice of durable used pre-owned racking, shelving and accessories.

A proud Canadian company, Econo-Rack remains the largest supplier of racking and shelving in the nation, with 35 to 40 percent of the market. It is the company’s professionalism, years of service, and dedication that have earned it repeat business from numerous Blue Chip businesses across North American and worldwide. Today, it is not uncommon for Econo-Rack to design, fabricate and install racking systems exceeding 60 feet in height.

To ensure all stages are complete to the utmost customer satisfaction, Econo-Rack is often involved with projects before they enter the construction phase. Sitting down with the client, architect, and engineer, the company will review blueprints and consult with truck vendors for their input to determine the necessary specifications long before a single brick is laid. By working in tandem with the customer and other parties before building, Econo-Rack assures specifications are met each and every time.

“As we go through the process, we work out the design both in terms of what works for the architect, and what works for the customer,” comments Mr. Mazzetti. From design and approval, the company advises on other areas, such as the type of flooring required, facilitating quick turnaround by manufacturing any other necessary products in its own factories. With medium and large-size structures, buildings are often constructed around their rack designs.

Since an average of 45 000 pounds can be hauled per trailer – and some jobs involve millions of pounds of racking and hundreds of trailers – delivery is precisely coordinated to construction sites as needed, which speeds up the process and ensures job sites are able to receive other materials as needed. Recent projects have seen the company create 3.5 million pounds of racking systems for a meat processing plant, and six million pounds for a chocolate manufacturer which incorporated a specified deep-reach system. “That was a very interesting system,” says Mr. Mazzetti. “It was a hybrid with a structural front frame, and a bolted roll form frame in the back, all on this bridge base. That was a huge job for us, and a very, very successful job.”

Dedicated to meeting the needs of all customers, the company offers a wide range of competitively-priced racking systems and associated components, including the Konstant one-bolt beam connection, Interlock boltless shelving, wire mesh deck, an environmentally-friendly powder coated line, and more. Realizing the industry is competitive, Econo-Rack will soon invest almost $1 million into a seam welder for the plant. “We’re putting innovation and resources back into the company, so we’re at the head of the pack. There are many competitors in our market. We face five or six competitors every time we go out, and we win about 75 percent of the time.”

In the future, Mr. Mazzetti sees an increased emphasis on the company’s bolted product line. “It is very popular across Europe, and throughout the world,” he says. “Instead of a welded frame, it’s a bolted frame, and it has great benefits for the customer. If you damage any component of it, you just have to replace the component, rather than the whole frame. It is a beautiful-looking product, very attractive. We have the nicest bolted product available in Canada, and we promote it as well as we can.”

August 16, 2017, 7:37 PM EDT

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The Labourers’ International Union of North America (LiUNA) is a National Union representing over 500 000 members – over 110 000 in Canada with an International Office in Hamilton, Ontario. It has Local Unions across the country and is the most common union of construction, healthcare, waste management, and show service workers in this country. In fact, LiUNA, established in 1903, is Canada’s largest Building Trades Union.