Arctic Spas

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Arctic Spas is the brand name of a line of portable electric hot tubs developed as a niche product for cold climates[1] by Blue Falls Manufacturing Ltd. of Thorsby, Alberta, Canada. The line is sold in Canada and exported to the United States, Australia, and Europe.


Contents

[edit] History

In 1994, a small manufacturer of hot tubs in Edmonton, Alberta, went into receivership. It was purchased by a local entrepreneur and reincorporated as Blue Falls Manufacturing, but continued to lose money. In 1997, the company was sold to the present owners, all of whom had been involved as dealers selling the product. "The [new] owners decided to change the brand name to one that would set the brand apart...Bringing their own twist to the hot tub market, they came up with the name 'Arctic Spas' which highlighted the ability of Blue Falls' hot tubs to withstand extremely cold temperatures. They also designed a new logo featuring a polar bear.... In an industry dominated by images of palm trees and sunshine, the new name and logo 'definitely stood out'."[2]

Changes to the product and extensive marketing during the nineties resulted in rapid growth. In 2000, the company opened distributorships in Australia [7] and Britain[8]. Within six months, the UK location had more than tripled in size; the Australian operation showed 100% growth. In 2004 a division was opened in Estonia, Latvia[9], to serve Eastern Europe and Scandinavia and in 2005 the UK division of Blue Falls opened up a second warehouse and showroom location near Lyon, France, to better supply Western Europe.

This growth earned the company recognition in financial and business media but also necessitated several factory expansions and moves. In 2001, the company built a 50,000 sq. ft. factory in the small town of Thorsby, Alberta (population 700) to take advantage of land prices, low tax rates, and an available rural labor pool.[3] In 2003, the company purchased a 90,000 sq. ft. facility in Coleman, Alberta, to manufacture some of their models. A third plant was opened in 2005 in Breton, Alberta, to produce the company’s cedar accessories and gazebos. [citation needed?]

By late 2006 the company had four warehouse-showroom facilities in Europe and Australia, and more than 230 dealers serving international markets in 26 countries[4] and was among the top 20 North American manufacturers by production volume [5][6] with gross sales in excess of $65 million CAD reported for 2005. [7]

The company was recognized as one of Canada’s 50 Best Managed Companies [8] in 2005 [9] and requalified in 2006 and 2007. [10]. This was during a period of fast growth in Alberta, especially in the resource sector, that resulted in high materials costs and a general labor shortage [Alberta Venture]. During the same period, the spa industry experienced a decline in sales. [NPSI, need quote?] As a result, the parent plant was not among the 2007 Top 100, but strong sales in Eastern Canada put the Ontario dealer network on the list in its place.[citation needed]

For 2007, the company completely revamped their second line, Coyote Spas, in a move to capture a greater share of the entry-level market [internal documents, needs validation]

[edit] Awards

  • Jun 2002 – BFM recognized by Profit Magazine as being in the top 200 of Canada’s Fastest Growing Businesses [10]
  • Jun 2003 - BFM recognized by Profit Magazine as being in the top 100 of Canada’s Fastest Growing Businesses [11]
  • Apr 2004 – Arctic designer Pete Van’t Hoff wins AutoDesk International Design Award for the Tundra [11] [12]
  • Jun 2004 – BFM ranked by Profit Magazine as one of Canada’s 100 Fastest Growing Businesses [12]
  • Apr 2005 – Arctic designer Van’t Hoff is runner-up in the AutoDesk International Design contest with the Arctic Fox.
  • Feb 2005 – Western Economic Development Canada select BFM as finalist for 2005 Business Export Award of Distinction
  • May 2005 – Arctic Spas receives TUV [13] certification [13]
  • May 2005 – BFM wins Convergence 2005 Award of Excellence for applying IT solutions to business challenges
  • May 2005 – Spa technician Trevor Lonsbury wins International Business Award (Best Technician) [14]
  • May 2006 - CAD designer Pete Van’t Hoff wins International Business Award (Best Product Developer) [15]
  • May 2006 - BFM is finalist for three IBA (Best Turnaround Business, Best Dealer Support Organization, Best New Product: Tundra LSE)
  • Jun 2005 – Profit Magazine ranks BFM among Canada’s Fastest Growing Businesses
  • Sep 2005 – BFM’s owners named Ernst & Young 2005 Entrepreneurs of the Year (Prairies Region, Manufacturing Category)
  • Dec 2005 – BFM is finalist for Export Award of Distinction
  • Jan 2006 – BFM ranks as one of Alberta’s 50 Fastest Growing Companies
  • Feb 2006 – BFM named one of Canada’s 50 Best Managed Companies [16]
  • Jun 2006 – Profit Magazine ranks BFM #123 among Canada’s Fastest Growing Businesses
  • Jan 2007 – BFM 2007 Certified by Spasearch magazine [14]
  • Feb 2007 – BFM is again recognized as one of Canada’s 50 Best Managed Companies [17]


[edit] Notes

  1. ^ "Arctic Spas designed for cold climates: It’s always spa season." Appliance Magazine, 2005
  2. ^ strategis
  3. ^ Dalal, Edmonton Journal, February 26, 2003
  4. ^ Strategis Success Case Histories [1]
  5. ^ Lucite1
  6. ^ lucite2
  7. ^ Profit 100: Canada's Fastest Growing Companies. Profit: The Magazine for Canadian Entrepreneurs, June 2005, p. 46-47 [2]
  8. ^ Canada's 50 Best Managed Companies 2005 [3]
  9. ^ “Canada’s best managed: Beyond the spa — Blue Falls Manufacturing Ltd.” National Post, Don Mills, Ontario, February 3, 2006.
  10. ^ Canada's 50 Best Requalified 2006 [4]
  11. ^ Pete1
  12. ^ Pete2
  13. ^ TUV USA [5]
  14. ^ Spasearch Certified 2007 [6]


[edit] References

  • "Arctic Spas designed for cold climates: It’s always spa season." Appliance Magazine, Oak Brook, Illinois, April 2005.
  • "Arctic Spas Warms to 3D Digital Design Process Reducing Costs and Errors." Autodesk, San Rafael, California, n.d. [18]
  • “Autodesk Awards Customers for Design Excellence in Eleven Categories.” Autodesk, San Rafael, California, n.d. [19]
  • “BDC Success Stories: Hot business in cold climates.” Profit$ Magazine, Vol. 22 No. 3, Fall 2002.
  • “Blue Falls Manufacturing opens state-of-the-art manufacturing facility.” Edmonton Commerce & Industry, Edmonton, Alberta, July/August 2001, p. 8
  • Bello, Adam. “Getting into hot water for fun and profit.” Alberta Inventors and Inventions, July 22, 2004. [20]
  • “Blue Falls Manufacturing: Turning Market Knowledge into Competitive Edge." Managing for Business Success, Strategis.gc.ca Detailed article with extensive references. [21]
  • "Bridge the Credibility Gap." Profit: The Magazine for Canadian Entrepreneurs.. June, 2003, p. 76-7
  • Calloway, Tim. “Made in Alberta and sold around the world.” Business Report, Edmonton, Alberta, April 2004. [22]
  • Callihoo, Brad, "How to sell anywhere." Profit: The Magazine for Canadian Entrepreneurs, Markham, Ontario, June 2003, p. 75
  • “Canada’s best managed: Beyond the spa — Blue Falls Manufacturing Ltd.” National Post, Don Mills, Ontario, February 3, 2006.
  • “Canadian inventors develop jet barrel for spa jet.” U.S. Fed News, March 12, 2005.
  • “Canadian Spa Maker Recognized for Innovation.” Pool & Spa Marketing, Toronto, Ontario, Vol. 30 *3, March/April 2006
  • Coyote Spas [23]
  • Dalal, Suntanu. “Small town appeal lands big time company.” Edmonton Journal, Edmonton, Alberta, February 26, 2003.
  • Foster, Scott. “Thorsby bursting at the seams: Alberta advantage causing unforeseen housing problems.” Edmonton Journal, Edmonton, Alberta, July 22, 2001. Alberta Venture, Vol. 10 Iss. 7, p. 36ff
  • “High hopes for tub builder.” Edmonton Sun, Edmonton, Alberta, February 4, 1995
  • Holubitsky, Jeff. “Spa maker to the world.” Edmonton Journal, Edmonton, Alberta, March 24, 2004.
  • “Ice hotel installs Thorsby hot tubs.” Edmonton Journal, Edmonton, Alberta, January 18, 2003.
  • James, Barry L. et al., "Behind the Venture 100."
  • “Modeling complex shapes”. Autodesk, San Rafael, California, n.d. [24]
  • O’Donnell, Sarah, “Employers think outside the McBox to attract help”. Edmonton Journal, Edmonton AB. September 20, 2006 [25]
  • Profit 100:The Next 100, Profit: The Magazine for Canadian Entrepreneurs, Markham, Ontario, June 2002, p. 65-66. [26]
  • Profit100: Canada's Fastest Growing Companies. Profit, June, 2003, p. 42-43. [27]
  • Profit 100: Canada's Fastest Growing Companies. Profit, June 2004, p. p. 36-37. [28]
  • Profit 100: Canada's Fastest Growing Companies. Profit, June 2005, p. 46-47 [29]
  • Profit 100: The Next 100. Profit, June 2006, p. ?? [30]
  • "Spasearch names 2007 award winners" Spasearch.org [31]
  • Spence, Rick, Kara Kuryllowicz and Laura Pratt. “The great big idea guide: Tips from CEOs.” Profit, November 2002 (cited by Strategis).
  • "Top Spas." Spasearch Magazine USA, Vol 8 Iss 1, p. 42ff
  • "Top 2007 Certified UK Spas." Spasearch Magazine UK, Vol 2 Iss 1, p. 31ff
  • Tougas, Maurice. “Spa team enjoys plunge into global market.” Business Edge, Calgary, Alberta, March 25, 2004. [32]
  • “Work begins on hot-tub plant in Thorsby.” Edmonton Journal, Edmonton, AB. July 6, 2000.

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