CR-Connect Dealer Tour: Fun in the Sun

Copy Concepts, a small dealer that looms large across Southwest Florida.

If I ever had doubts about a small dealer’s ability to thrive in a changing business landscape and a post-pandemic world—and I never would—but if I did, they would have been quickly dispelled after speaking with Christina Dargis, corporate administrative manager, of Copy Concepts, Inc., in Fort Myers, Florida. She reaffirmed my faith in the viability of small dealerships that can hold their own in a world where midsized and private-equity-backed mega dealers routinely chew up the competition. The fact that Copy Concepts has been competing since October 1983 is inspirational and underscores that bigger is not always necessarily better.

Above: Ron Hickox, co-founder of Copy Concepts and Christina Dargis, corporate administrative manager.

Copy Concepts was founded by Ron Hickox, who continues to lead the dealership, and his partner Jim Stiglich, who passed away in 2003. Both met while working for Lanier where Stiglich was the district manager for Southwest Florida, and Hickox was the firm’s top-selling sales rep, selling 3M copiers. Fun fact: One of the reasons Hickox and Stiglich decided to sell Toshiba copiers in 1983 was because the 3M machines were made by Toshiba. The dealership was originally based in Naples in Collier County, now one of the wealthiest and fastest-growing counties in the country. But it wasn’t that way in 1983. “There was one two-lane road that went through town,” said Dargis. “But everybody in Collier County had a copier that first year, whether they needed it or not.”

Above: Co-founder Jim Stiglich second from left in the striped, red tie and Hickox with a promotional item during the early days of Copy Concepts.

Since then, Hickox and his team expanded the business up the Gulf Coast and throughout central Florida. It’s nothing short of amazing how Hickox and his team of 13 employees successfully serve customers across Fort Myers, Naples, Sarasota, and Tampa/St. Petersburg. “Having so few employees is not our ideal,” said Dargis, who has been with the company for over a decade. “Like every other dealer, we want to hire more people. We need more sales reps in Sarasota and more technicians in the Tampa Bay area. The people that we do have work hard and well covering the territories that we do cover. Our technicians cover a lot of square miles.” As a result, Copy Concepts’ expense reports are the highest they’ve ever been, and they have increased the mileage reimbursement because of rising gas prices. Meanwhile, Dargis is actively recruiting and running ads for admin, sales, management, and tech positions. She’s even using Toshiba’s tech recruiter. “Even the experts aren’t having luck in this Great Resignation age,” she acknowledged.

Above: Copy Concepts Fort Myers showroom and lobby.

Currently, all operations are based out of Fort Myers. At one time, there were five brick-and-mortar locations throughout Southwest Florida. Over the years, those were closed, with the final two locations in St. Petersburg and Sarasota closing in 2020. Competition is brisk in most markets, from other independent dealers as well as OEM direct branches and the behemoth DEX in the Tampa area. Meanwhile, competition in the Fort Myers area is probably the least it’s ever been, according to Dargis. “They’re having a hard time hiring help as well.”

Above: Copy Concepts’ showroom and lobby offers a bit of Florida flair.

Copy Concepts’ customers are mostly small and midsize businesses. “We don’t specialize in large accounts, and we don’t want to,” explained Dargis. “I don’t think we’re prepared to handle a super, large hospital administration or a large bank. We want to be the experts at the down-the-street business.”

Copy Concepts is often in competition with DEX, and how Copy Concepts wins those deals is pretty much what one might expect from any small local dealer—emphasizing how important the customer is to them and that customers are not just a number. “You can call here any day and get a live person and ask to speak to Ron or me,” said Dargis. “It is easy for us to talk to our customers. Some small businesses like dealing with other small businesses.”

A Satisfied Single-Line Dealer

Copy Concepts is a single-line Toshiba dealer that also sells Lexmark A4 and KIP wide format. Besides traditional document imaging, the dealership also sells Toshiba barcode printers and digital signage, as well as software. On the services side, it offers MPS. “It’s the only brand that we’ve represented and will continue to represent,” said Dargis. “We still get calls every week from other manufacturers, hoping that we’ll take on another line. We are the epitome of KISS—keep it simple, stupid.” Because of that philosophy, her team comprises experts on Toshiba’s offerings. “We are the dealer that you look to in Southwest Florida for Toshiba,” said Dargis. “If you don’t know Toshiba, we’ll point out why you want to do business with us instead of who you might be with.”

Dargis has nothing but praise for everyone she deals with at Toshiba, many of whom she has been working closely with since she started at Copy Concepts. “When you work with those people daily, you establish relationships so that communication flows nicely. I don’t have to learn their quirks, and they don’t have to learn mine.”

With all this talk of diversification, Copy Concepts has no immediate plans to branch out beyond Toshiba’s non-document imaging offerings. However, Dargis revealed that managed IT is a potential diversification opportunity within the next five years because of customer demand. “They want us to take over their IT and their security,” she said. Should Copy Concepts go in that direction, it might look to acquire a small IT company.

Remote Control

During the early days of the COVID-19 pandemic, Copy Concepts embraced the work-from-home model with a little prodding from Dargis who was instrumental in selling it to Hickox. “I told him, four years ago, you were telling people you were never going to work from home, get over it.”

It was a challenging proposition transitioning a dealership with an owner who has been around since 1983 to embrace a work-from-home model. “It was hard to convince him, but it was necessary when Florida went on lockdown for a month,” noted Dargis. “We had to pivot.” Today, more than half of the team— primarily technicians and sales reps— still works from home. Dargis is one of the exceptions as she comes into the office every day. Quarterly onsite meetings ensure that team members remain engaged with each other.

Connecting with people via Zoom and staying connected was an early challenge for some employees, particularly sales reps who were used to meeting face-to-face with many different people on any given day. “All of a sudden, our Tampa Bay rep is working from his picnic table in his backyard; how do you keep that employee engaged?” asked Dargis. “With the restrictions being lifted, he’s now out in the field doing what he loves best, but still, it was a transition. We all got through it nicely.”

Another Copy Concepts sales rep thrived in this new environment, sending out email blasts and using social media to engage with customers and prospects, and attending whatever webinars were offered by Toshiba, Lexmark, or BTA.

Help Wanted

Hiring continues to be a challenge. Dargis recalls that prior to COVID-19, if she ran an ad for a sales rep she would receive 50 to 75 résumés, then narrow it down to 10, interview three, and hire one. “Now, if we run an ad for a sales rep, we maybe get 20 to 30 résumés, and maybe I want to talk to one. Maybe that one answers my call for a phone interview, and maybe they show up for the actual interview.”

One of her biggest hiring challenges is finding a warehouse truck driver. “You would think that would be the easiest; it’s unskilled labor,” she said. “We’re paying more than minimum wage. We hired three people. One person showed up out of those three, worked a day, and never came back.”

Ups and Downs

In 2020, business fell by about 25% because of the pandemic. Fortunately, it is coming back. “But here’s the caveat,” said Dargis. “Florida is one of the fastest-growing states, and we have some of the fastest-growing counties in our territory and the nation with Tampa Bay and Collier County, so business follows. We’ve got orders, but the orders can’t be filled, so they don’t count as sales yet.”

What she’s referring to is the supply chain. “From what I understand, Toshiba is one of the better suppliers,” said Dargis. “We’ve been very grateful that a, Toshiba makes the toner here in the U.S., so we haven’t had any issues getting toner. And b, I use ECI’s Purchase Order Processor for drop shipping, so we don’t inventory.”

For the most part, customers have understood the backorder issues, particularly those who are plagued by their own supply chain issues and backorders. But some customers who aren’t experiencing these issues themselves are less tolerant. That’s why Dargis acknowledged, “Our sales reps are open and honest.”

In a pinch, Copy Concepts can offer customers refurbished equipment. It repurchases 100% of its trade-ins, as well as 100% of its GeM products. “We have what I call the used-car lot,” said Dargis. “We have used copiers that are two, three, maybe five years old, but they’re completely refurbished. If you want something now, we’re going to sell you a refurb. If you want brand new, and some customers must have a new copier, then it’s going to be a three to four-month wait.”

A Bright Future

Our virtual visit to Copy Concepts would not be complete without sharing Dargis’ story about how she became such a valuable team member. Nearly 11 years ago, she was working in the legal field and searching for a position closer to her home and in a new industry. An employment agency notified her of a position for a receptionist that was geographically desirable. She was asked to report to work on Monday. “I didn’t realize there were 345 applicants for the opening,” recalled Dargis. “The position I wanted was the leasing position.” As luck would have it, she became the dealership’s leasing coordinator and the assistant to Hickox. Not content to stop there and buoyed by her previous management experience, she told Hickox, “You need somebody to oversee your admin department and that’s me.”

Over the years, Dargis’ role has expanded as she has taken on more responsibility and become more of an operations manager. “I do all the equipment ordering and still do all the leasing,” she said. “I love that part of this industry. I work closely with the sales reps. I make sure everything is rolling, whether it’s service, billing, or sales. I just keep pushing everybody.” And that includes Hickox. “I’m always pushing him, and he’s always pushing me,” said Dargis.

Every day is still fun despite all the current challenges. “There’s something unique that happens every day,” she said. “When it comes down to it, you’re dealing with people and their businesses, and they have unique challenges. It’s exciting.”

It’s also exciting to know that Copy Concepts has a bright future as well. In this age of acquisitions, don’t expect that to happen here. Dargis reports that Hickox has no interest in selling. “He built this company from one copier and spread it throughout Southwest Florida,” said Dargis. “He does not want to see that end. When he does decide to retire, he wants to sell it to the employees.”

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