Great debate for 2008
January 1, 2008 By Patrick Hyland
There appears to be growing dissention in the ranks regarding the industry’s aggressive pursuit of the untapped indoor cabinet heater market.
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There appears to be growing dissention in the ranks regarding the industry’s aggressive pursuit of the untapped indoor cabinet heater market.
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Ray Murray Sr. had to quit his job to start Ray Murray Inc. (RMI) This decision was a significant one – he had devoted 25 years to a propane equipment manufacturer. He also had a growing family.
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The timing could not have been worse for news to circulate about the rupture of five propane-filled composite cylinders at a Heritage Propane facility in Miami April 4, 10 and 13 – just eight weeks before the propane industry had hoped to tap into the virgin cabinet heater market.
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Weakened cash flow, price uncertainty slows spring/summer pre-buy activities
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Virtually all propane marketers have seasonal customers, primarily on their residential accounts and usually in areas where vacationing is a big part of the local economy. People often purchase second homes or have a hunting lodge that they might only use for a portion of the year or just on weekends.
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For the first time ever, in early February, the ferry serving the Lake Erie Islands was able to shove-off into open waters — much to the delight of an islander who was forced by a fierce December gale to leave his car ashore on the mainland.
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It looks like we’ll have plenty of inventory. Only it may not be in the right place.
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Hoping to capitalize on its budding relationship with the manufactured housing industry, the propane industry is partnering with the U.S. Department of Energy in a $1.3 million project to develop an affordable water heater that also warms and cools the entire house.
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Fireside chats have become a popular pastime for many Americans in this post-9/11 era as they seek a warm and fuzzy comfort zone within their homes. Propane marketers with showrooms that convey feelings of serenity, love, family and friendship can stoke sales of their propane-fueled auxiliary heating appliances.
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Propane retailers interested in expanding their focus should consider selling hearth products – fireplaces, stoves, inserts, gas logs and more – for a profitable companion business, says a hearth products industry expert.
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