October 25, 2023
Cree Lighting Partners with Hossley Across South Central U.S.
Navigating market realignments, Hossley partners with Cree and expands into new territory
Hossley Lighting & Power Solutions, a large-multistate lighting agent based in Dallas, Texas, has partnered with Cree Lighting across a large portion of the South Central United States – a move that impacts eleven traditional local lighting territories.
This latest maneuver follows Current HLI Brands' decision to end its decades-long association with Hossley this past August. Notably, Current HLI Brands subsequently teamed up with Bell & McCoy Lighting and Controls, one of Hossley's main competitors. The dynamic industry shift has been akin to a line swap: while Bell & McCoy secured Current HLI Brands, Hossley has now onboarded Cree Lighting, previously represented by Bell & McCoy.
This partnership solidifies Hossley's commitment to expansion, further extending its geographical footprint into Alabama and the Florida Panhandle, countering market recent speculations about the company selectively and strategically exiting from certain markets. Cree Lighting did not immediately reply to our request for confirmation of Alabama and Florida Panhandle representation, but we validated the move through other sources.
A Look at Hossley's Expansive Reach:
Hossley's representation of Cree Lighting encompasses a vast territory, covering the 1,000-mile expanse between Amarillo, Texas, and Pensacola, Florida. This change is effective immediately and impacts various channels including C&I, municipality and DOT. The utility channel is excluded from the partnership.
Hossley's influence in the lighting market is expansive. With its presence spanning across various states, such as Texas (notably with offices in cities like Dallas, San Antonio, Austin, Lubbock, and also Houston, where only an office phone number is cited), Oklahoma, Louisiana, Arkansas, Memphis (Tennessee), and Mississippi, Hossley has stood as a formidable entity.
When Houston-based Bell & McCoy took over the representation of Current HLI Brands, they also covered additional markets in Birmingham, Alabama, and the Mobile Alabama/Florida Panhandle region for Cree Lighting. With Hossley's recent alignment with Cree Lighting, they have efficiently filled this gap, expanding into these territories that were previously beyond the agency's reach.
Cree Lighting and Hossley share reactions:
Rob Zimmerman, Cree Lighting’s Vice President for Commercial & Industrial, expressed enthusiasm for this collaboration, stating, “We are excited to be partnering up with Hossley Lighting and Power Solutions to represent Cree Lighting throughout the South Central United States. We feel that their specification focused approach to the market aligns perfectly with our product offering and will allow for solid growth into the future.”
Echoing this sentiment, Al Near, President of Hossley, mentioned, “Hossley Lighting and Power Solutions is thrilled to be adding Cree Lighting as a key flagship brand and addition to our evolving portfolio of strong independent lighting, controls, and electrical manufacturers serving the South Central United States. By teaming up with them, Hossley aims to enhance the customer value and innovation that Cree provides by bringing their story to a broader audience within the region. This new journey with Cree will also take our company into some expanded territory which we are also excited about. Our specific plans for addressing and serving these areas will become further evident in the weeks to come.”
Southern U.S.: The Battleground for Mega Agents
The Southern U.S. has long been a hotspot for multi-state mega agents. Firms like Bell & McCoy and Hossley are among the significant players battling for dominance in this vast territory. This trend isn't unique to the lighting space alone; electrical industry representatives, such as the Houston-based JD Martin (who represents Keystone Lighting in numerous markets including parts of Florida, Virginia, Texas, and Colorado), are also extending their reach.
Arkansas-based electrical and lighting representative, Curtis Stout, ventured strongly into the lighting sector about two decades ago. Although Curtis Stout has scaled back its lighting focus, its stronghold remains prominent in its home market of Little Rock.
SESCO Lighting, known for its Southeastern agency expansion through acquisitions and organic growth, was rumored to be a potential player in these recent shifts in Texas. However, any such speculations were put to rest in a statement shared by the agency's President & CEO with inside.lighting in September.
Such wholesale changes for manufacturers can be tumultuous. In some instances, territory moves involving several states could translate into revenue shifts of 10-15% or even up to 20% in a flash. These changes can present immediate challenges. However, enduring and fruitful agent-manufacturer partnerships always have their eyes set on long-term growth and stability.
