OUR CEO EDDIE PERDOK ABOUT THE YEAR 2024
Despite challenging market conditions, Kramp succeeded in further growing the business and maintaining profitability in 2024. Eddie Perdok, our Chief Executive Officer (CEO), explains how strong partnerships, our efficient supply chain, enhanced technology, a renewed market focus and Kramp’s engaged employees all played a role in this.
The whole value chain in Kramp’s main market – agriculture – was affected by more selective spending of farmers in 2024 due to inflationary pressure and political uncertainty. “This led to slower machine sales, resulting in a disappointing year for Original Equipment (OE) manufacturers and dealers,” says Eddie.
Partnerships play a key role for success
“In view of these difficult market circumstances, I am satisfied with our performance in 2024 because we succeeded in further growing the business and maintaining profitability,” he continues. He emphasises that the company’s commitment to long-term partnerships with customers, suppliers and employees played an important role in this success.
“Over the years, we have built a strongly loyal customer base in the agriculture industry. In difficult times, people turn to trusted partners – and we really noticed them turning to us last year. We worked closely with numerous partners to find joint solutions to their inventory issues, for example. And following several years of high inflation, our customers appreciated our conscious decision not to raise our prices in 2024,” Eddie explains.
Reducing total cost of ownership
Kramp’s efficient end-to-end supply chain also paid off last year. “In challenging economic circumstances, companies are always looking for ways to reduce their total cost of ownership. Thanks to our comprehensive assortment as well as extensive network of warehouses throughout Europe, Kramp is the logical partner to help them. With consolidated shipments and streamlined invoicing, we helped customers and suppliers to improve their operational efficiency by reducing complexity,” states Eddie.
“Moreover, reducing the number of deliveries results in a smaller carbon footprint. We connect over 60,000 customers with around 3,000 suppliers and consolidate their shipments whenever possible. Imagine the transport emissions involved if all those orders would be sent individually across Europe.”
Investing in tech to meet customer needs
Another way Kramp has continued to build loyalty is by enhancing the role of technology in meeting customer requirements. “In the past year, we once again invested heavily in our webshop and other customer-facing systems. This ongoing process is making it easier for customers to find and order the right products, and is driving business growth for us,” he comments.
“Meanwhile, at the backend, we made significant progress on replacing our legacy systems to make our IT landscape more scalable, while also simplifying our way of working. This will reduce our costs in the future and improve our efficiency.”
Focus on new business
Besides building the business with existing customers in the agriculture industry, Kramp recently renewed its focus on achieving growth in related sectors, such as the forest & landscaping and small earth-moving industries. “We saw accelerated growth in both these industries last year thanks to a carefully planned expansion of our product range and targeted approach to align with market needs. We onboarded multiple new customers and product brands, and we expect to add many more in 2025,” says Eddie.
Employees rose to the challenge
“As a family company with a unique culture and strong sense of belonging, we’re always very proud of our loyal, hard-working and engaged team of people, but in 2024 they really excelled,” he adds. “Everyone rose to the market challenges to ensure that our customers, suppliers and other partners continued to receive outstanding service. The long-term partnerships with our employees are just as valuable as all our other partnerships, and we are grateful that they provide such a strong foundation for our company’s future success,” states the CEO.
At Kramp, we intend to continue on our ambitious path to growth in 2025. “We remain committed to strengthening our relationships, both with existing partners and with companies who are open to new partnerships. We will continue to invest in improvements to make it even easier for customers and suppliers to work with us, that support their efficiency and that help us all to build a sustainable and futureproof business,” concludes Eddie.
Empowering clusters, enabled by group functions
We are continously improving to better serve our customers and deliver results. To have a strong representation of our markets and customer perspective in all decisions we make, we have put a new leadership team in place. This new setup comprises of a three-member Board of Directors, which will strategically support and guide a ten-member Executive Team that will align on strategic direction, priorities and execution.
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