Sunday, February 25, 2007
Tinkering with more than a century of Yankee product heritage isnÕt easy.
But after 120 years of doing business its own way, Byer of Maine, the countryÕs oldest and only remaining manufacturer of wood-frame camping cots, had to do something differently if it was going to weather changes in a global economy.
Founded in 1880 by Orono native Harry Byer, the company has built and sold its own line of wooden camping furniture for 125 years. For 119 of them, every piece was cut, fitted and stitched on-site.
That all changed in 2001, when current owner and company president Jay Shields was faced with a tough decision: Either relocate the shop to someplace cheaper to do business, or stay in Maine and find ways to reduce costs while boosting revenue.
ÒItÕs an unfortunate reality of the marketplace,Ó Shields said. ÒThe world has moved to places where labor costs are lower.Ó
Shields opted to keep the company in Orono Ð a decision that meant slashing the work force by nearly three-quarters.
The other change was revamping Byer of MaineÕs product line to include items imported from Europe, Asia and South America.
The company now also markets gadgets and home goods, which only peripherally relate to its heritage of serious camping implements, but draw from a wider consumer base than just individuals who like to be outdoors.
Most of the newer products are made of modern materials, such as aluminum and composites, instead of wood. They donÕt have woodÕs classic rustic appeal, but they do have greater strength-to-weight ratio.
That appeals to another part of ByerÕs customer base: agencies like the Federal Emergency Management Agency, American Red Cross, the Mayo Clinic and the state of CaliforniaÕs disaster response division.
Even with new technology, Shields is confident the civilian market for handcrafted wood products will never disappear.
ÒThere is a certain intangible quality in wood products that the consumer is willing to pay a little more for,Ó he said.
Byer of Maine now sells everything from hammocks and stools and chairs to sleeping bags and even birdhouses.
Marketing research during the last year revealed that a large segment of Byer of Maine customers also have an interest in birding. Shields discovered the bird homes at a trade show in Germany. Their design and excellent quality caught his eye.
ÒYou adapt, you find niches,Ó Shields said. ÒWhoÕd have thought that weÕd be selling German-built bird homes?Ó
Such changes have kept the company competitive, but it cost jobs: In 1996, Byer of Maine employed 45 workers; now there are 12. Additionally, there is the issue of Òmade in MaineÓ versus Òimported from wherever.Ó
From 1926 until 2000, everything the company sold was built in its 33,000-square-foot plant on Mill Street in Orono. Today, only about 20 percent of the product line is made in-house. The rest comes from manufacturers in Brazil, Germany and China. Shields said he expects the next import frontier to be Vietnam.
ÒLook around your home and office and youÕll see that we are, every one of us, the beneficiaries of lower labor costs around the world,Ó he said. ÒBut we also pay the price in higher (domestic) production and sales costs, disappearing manufacturing and loss of jobs.Ó
This trade-off has become more common in Maine and the Northeast, as manufacturers look for ways to lower costs while increasing sales, according to John Holden, director of business services at Eastern Maine Development Corp. If companies can import some of their product line and sell it for less than it costs to produce here, that just makes sense.
ÒCompanies have to be innovative in how they generate income,Ó Holden said. ÒThe fact is, weÕre in a global market.Ó
It was a difficult swallow for a company that once could boast of being absolutely local. Whenever possible, however, Byer of Maine continues to use local resources. Back on Mill Street, all in-house products still are made of wood and crafted by hand from lumber grown and milled within 150 miles of Orono.
ItÕs part of keeping the ÒMaine mystique.Ó
Ò\u2009ÔMade-in-MaineÕ is as much a tradition of fair-dealing and ethical business practices as it is related to quality of product construction,Ó he said. ÒBut today IÕm just happy to still be in business and employing a dozen people in Maine.Ó
Shields, 59, moved to Maine from New York in the 1970s after he and his wife decided they would rather raise their children here. He sold yachts for 10 years at the Henry Hinckley Company in Southwest Harbor before going into business for himself.
In 1985, he bought Byer of Maine from Hayden Bayer , founder Harry ByerÕs nephew and third generation of the founding family.
Shields said he knew owning a business would be tough, but he didnÕt realize how much harder it would get due to rising taxes, energy and insurance costs, and declining state and national economies.
ÒThe business climate in Maine is extraordinarily difficult,Ó Shields said. ÒThereÕre all kinds of very good reasons why (this business) should be located somewhere else Ð transportation, geography, taxation Ð and it would be, except that this is where we want to live.Ó
Staff Writer Tux Turkel contributed to this report.
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Appreciate your telling this story.
Arthur Bayer
2 Gristmill Lane
Sotuth Natick, Ma 01760report abuse
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