MANA isn’t alone in celebrating its 75th anniversary this year. Joining the association in achieving that milestone is Altherm, Inc., an independent manufacturers’ rep firm serving the plumbing and heating industry. And if there’s anything the agency can point to as a reason for its lengthy and prosperous tenure, it’s adaptability and flexibility.

Tom Gallagher, president of Altherm, Inc. spoke about the 75 year history of Altherm, with the NYC skyline as a backdrop.

“In dealing with the manufacturers that we represent, they’re always talking about the importance of alignment,” explains Tom Gallagher, president of the Ridgefield, New Jersey-based rep firm. “They’ll always tell us how important it is for us to be aligned with what they hope to achieve. What that means to us is that we have to be flexible. As an example, if a boiler manufacturer says they want to get into the commercial market, we’ve got to be able to put someone on the road right away in order to call on consulting engineers and prospective customers. We’ve done that in the past and it shows our ability to adapt to changing marketing conditions and to stay flexible.”

That approach has served the agency, its principals and customers well over the years. As he looks back over the agency’s history and accomplishments, Gallagher emphasizes that “From the start, we’ve been providing superior representation in an ever-changing market. As the industry has evolved, so has Altherm. Our team has been able to adapt over the years and this has been paramount to our longevity. Whether it’s communicating supply chain issues and delays, or transitioning to a work-from-home environment and conducting virtual training, our team has kept up and pivoted when needed. Even as the pandemic has proved to be a challenging couple of years for many, Altherm has surpassed many of our manufacturers’ sales goals.”

Today, as it partners with more than 20 manufacturers, the agency can boast of 29 employees, housed in its Ridgefield, New Jersey headquarters that is equipped with a large training facility and 45,000 square feet of warehousing. According to Gallagher, the agency’s training facility, a large open area, with high-top tables and a kitchen that is “ideal for providing us with the opportunity to get industry professionals in our building.”

Rep Shows Adaptability

If there’s any evidence of Altherm’s ability to adapt to changing market needs, visitors to the agency’s website (www.altherm.com) will find descriptions of three distinct segments or teams the agency created that address the needs of the market it serves:

• Showroom Segment — With more than 400 plumbing wholesale and independent kitchen and bath dealer showrooms throughout metropolitan New York and New Jersey, this group focuses on the needs of showroom sales associates. New product training, assistance with displays and administering award programs are the responsibilities of this group.
• Trade Segment — This team is committed to the plumbing wholesale and plumbing contractor needs. The experts on this team can “walk the walk and talk the talk” with field technicians offering product training and solutions while creating demand in the field for new products for customers and manufacturers.
• Business development — This team, comprised of experts in local plumbing codes, calls on urban developers, architects, designers, engineers, hospitality owners, and commercial facilities. Members of this team are highly trained to conduct continuing education courses and assist these design professionals in writing specifications, therefore creating demand for customers and manufacturers.

If the aforementioned show how the agency has evolved over the years, so too has Gallagher in his own career. He explains that in the mid-’80s he was recruited out of college to work for an agency serving the elevator industry. “I went to work for them absolutely green, doing some forecasting, inside sales, and was the national rep for four or five of their lines. I was there for a little over two years when I decided that at that point in my career, I wasn’t going to be a rep anymore. I felt I spent too much of my time having principals and customers yell at me all the time.” It was then that he joined Altherm.

What happened was that Al Pekelney, who founded the agency, “recruited me to do some spec work around the New York City area. I was in my mid-20s, decided to jump ship from where I was and went to work for him; and now 34 years later, I’m still a rep.”

In the early ’90s a plan was put together allowing Pekelney to exit the business. Four years ago, Gallagher was appointed president and he presently serves in that capacity with three partners.

Smiles and laughter throughout the night. Left to right: Stan Artman (Native Trails), Debra Roche, Greg Kennedy (Delta Faucet Company), Jon Dartt (Delta Faucet Company) with his wife, Anette, Pam Hoppel (Delta Faucet Company), Doug Adams, and Mike Fumei.

Covid Impact

It’s unavoidable today to have a conversation with any agency owner without addressing the impact COVID-19 had on their business. So too with Altherm and Gallagher. “Like so many others, we started 2020 like nothing unusual was going on. For the first quarter of the year, it was business as usual. Then the virus arrived, hit everyone hard and things began to shut down — including manufacturing plants. Business almost came to a standstill in late March. Obviously, we were concerned. I conducted what I’d call my first ‘State-of-the-Union address’ early that year in order to let everyone know where we stood. We didn’t have any staff cuts; however, our staff began working remotely at the start of the pandemic. I and some others came into the office a few times each week. We applied for a PPP loan from the government and generally let everyone know that we were facing a huge unknown.

“We began conducting Zoom meetings with staff and customers. A somewhat unanticipated 2020 ended with record sales and 2021 started just as strong. Probably as a result of so many people working from their homes, they began tinkering with their kitchens and bathrooms. That benefited us.”

Then, just as so many other businesses, Altherm was faced with supply chain problems in that there weren’t enough containers to ship products or truck drivers to deliver products.

“Despite those challenges, we muscled through. With our Zoom and Team meetings we were able to keep in touch with our customers and engineers. It forced us to become a bit more creative while we stayed personally in touch with people.” If there’s any lasting impact from these challenges, Gallagher maintains, “It caused us to become a lot more efficient with our customers, all the while not getting in our cars. We’ve found that our customers have been very receptive to our approach.”

Value of Partnerships

While Covid, supply-chain concerns, and getting used to new and more efficient ways of working with principals and customers have all taken some getting used to by the Altherm team, one factor has remained the same — the value the agency places on the relationships with its principals. When he’s asked if he’s found that there’s anything he’d like manufacturers to be a bit more appreciative of in terms of what the agency does for them, Gallagher offers, “Rather than just getting thanks for what we do, the principals that we feel the closest to are the ones that acknowledge that we’re truly partners. I’ve naturally got my own definition of value. I maintain that value means that we contribute more than what we cost our principals. That’s a very simple equation. It’s those principals who truly recognize our achievements who are our emotional favorites. They are the ones who always stand by us and let us know that they want to be emotionally connected to us. When a manufacturer goes above and beyond what’s normal, that’s what causes them to stand apart.”

On the subject of Altherm marking its 75 years in business. Gallagher reflects that “Having to send everyone home in the face of Covid was a real ‘buzzkill.’ While we’ve really endured a bizarre couple of years, in addition to our 75 years, we’re also marking our 50th year representing the Delta Faucet Company, and we’ve moved into new office space. As a result, there was quite a bit for us to celebrate and acknowledge.”

Not missing the opportunity to celebrate, however, the agency got its entire team together to mark its anniversary and sales milestones in April.

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