Like many other sectors of the economy, our industry has witnessed an extraordinary number of mergers and acquisitions during the last decade. In fact, this activity level has drastically increased in just the past five years as investment firms and private equity companies have become smitten with the temperature-controlled supply chain. This point was underscored just recently with a significant acquisition that will once again realign the cold storage landscape.
I certainly recognize the value of change and adaptation in a competitive business environment and appreciate the role that private equity plays within countless industries of our economy. Growth, scale and investment are not inherently bad. My concern and primary focus is where value is derived for our customers in all of this.
During a recent conversation with a food company executive, she lamented the fact that their cold storage provider they had used for 10+ years was recently acquired and that despite promises to the contrary there were significant management changes and an appreciable erosion of service and attention. I understand the value to investors, but at what cost to this customer?
For our part, we are doubling down on what truly matters to our customers, and we hope, the broader industry: service, value, strategic partnerships and meeting your business challenges and needs. As the landscape around us changes, I am convinced these things matter most and we are committed to ensuring our focus remains squarely where it needs to be…on you!
We appreciate your business and support.
John Tippmann, Jr.