As of October 17, 2002 we were cut off as a Beam Dealer by our Beam distributor in Grass Valley, CA.
This is the letter and this is Beam Industries Sales and Service Policy that the letter from Robert Medlyn refers to.   

If you notice the last paragraph in page one states.

Distributors or dealers selling directly to consumers via trade shows, direct mail or the internet remain responsible for all labor required fulfill all service provisions of Beam Industries‘warranties. If product is sold for do-it-yourself installation, dealers must provide printed instructions, installation, video, telephone, Fax or E-mail assistance to consumers at no charge until they (consumers) are satisfied they have successfully installed the product.

I have emphasized that as a do-it-yourself site, I have provided pages of instructions and have stressed that any customer is welcome to email for help.  I discourage calls since they are expensive but will not turn them down or not return the call of a customer.  I have meet Beam's requirement.  The only violation is Beam Center's drop shipping.  Because of that I am cut off as a dealer.

Drop shipping, even local customers is a time and money saver.  I have customers that are 2 hours away.  I can not deliver an accessory that I make a couple of dollars on.  I can not expect the customer to pay double shipping charges either and wait another week to get the item or have to make a 2 hour trip just to pick up a part.  Beam's policy against drop shipping is not conducive to happy Beam customers.  I can still run the internet sales without drop shipping but will have to double ship and because of that will have to drop my 10% discount,  (people expect a discount on internet sales).

My sales are not infringing on any Beam dealer since my internet customers informed me that they had no local dealers or their dealer moved.  Most of my orders were existing Beam owners who could not find anyone to support their system and ordered replacement parts from us.   Beam mentions that dealers need to have a store to demonstrate the system.  Persons who purchase a vacuum system over the internet are familiar with  a vacuums system otherwise would not be making such a large purchase "site unseen", they do not need to see and use one.

I will be filling a protest to Beam.   Despite their claim, Beam does not have any policies to protect dealers.  About 8 years ago Beam put another Beam dealer in business in my exclusive area of over 20 years.  The dealer was only a couple of miles from me!   I received a email from a Beam dealer with the same problem with Beam.  This is a small county with almost no new building.  It can not support two vacuum dealers and certainly not two Beam dealers.   Labor is expensive, sales people expect a large percentage of each sale, one person I asked wanted 15%.  The power units and hoses and attachments are expensive and I only get a small discount.  This adds a large amount to the installed price if a dealer has installers.  I will charge about $1,100 (no electric carpet brush or electric hose), for a installed system in a house that needs 3 to 4 inlets (a small house in Marin).  This takes no more than a day to install and I make only a couple of hundred dollars.  If I had a installer (this is even if the installer works part time).  I would have to charge $400 to $600 dollars more to make up for the $15 hour or more SS, SDI, liability insurance, Bonding, workman's comp and health insurance.   I could not get anyone to work for less.   The other vacuum systems dealers and I have talked to have all said the same thing, you can not make money installing vacuum systems in the Bay area. They all do other things.   Contractors will put them in homes they build for themselves but will not put them in customers homes.  If the customer wants one, most of the time the builder will have their workers put in the piping.

I got on the internet since my sales disappeared after this Beam dealer showed up in our county.   This new company put an add in the Yellow pages that was three times the size of mine and called himself a Authorized Beam dealer.   I was informed in writing from Beam that only dealers purchasing from Beam are authorized.  My calls stopped and all the referrals from Beam from their magazine ad's stopped.  I then had to take a full time day job to pay bills.  I worked grave shift for over 20 year so that I could install vacuums during the day.  I spent thousands in promotion  with no help from Beam.  So now it is over,  I suspect that this new local dealer is behind this since now I am no longer in business and in his way,( if I was before).

I still consider Beam the best but I have a tremendous amount of time invested in this site with support from affiliates and listings to just give up.  I have established a web presence that takes years.  I will find another supplier who might not be Beam. This will take time.  Over the years I have received offers from many vacuum system companies to make me a dealer, I will start looking into them.

This news was devastating, I have been selling Beam for over 25 years, longer than the distributor that has cut me off.  It was not Beam Industries that cut me off, Beam in Grass Valley took the liberty for that privilege.   I have not heard anything from Beam Industries.  I was not aware of Beam's dealer "ban" of internet sales and not given a warning by my vendor.  They simply cut me off.  If they follows the "rules" from "Beam Industries Sales and Service Policy" all that should be done is to stop drop shipping to my customers.  Beam does allow dealers to do internet sales according to this policy, if the dealer provides support to it's customers which I do, and have always emphasized, my FAQ, Tips and ordering instructions took many hours of thought and work to write.  I do not want customers to have any trouble installing their systems.

I can not even install a system locally if I get one. They will not sell to me at all even though Beam does not completely ban internet sales just the sales of power units and power teams.   This site was just getting regular sales and just beginning to look promising.  I have a wonderful wife a two month old baby and a 4 year old and a house. The extra money is (was) a great help.

I have hundreds of local customers that rely on my supporting their system and I will no longer be able to support them.  I will be informing them of the change.

I can not purchase any Beam supplies so I can not accept any vacuum system orders.  I have to remove any Beam logos and products.   My x-10 site is still valid I will be expanding it, and I am working on a personal security site, (self install alarm systems with central station monitoring, personal protection etc.   See your local dealer (if you have one) for support of your Beam vacuum system.  

I have some Beam supplies and installation supplies in stock,  email me our e-mail address is west@electrawest.com.  

Thanks for everyone's support.  


Please write to Beam to protest their no internet sales and no drop ship policies