Paddock Pools may well be the template on which building/retailing companies should be based.
The Scottsdale, Ariz.-based company, which ranks No. 3 on Pool & Spa News’ Top 50 Builders list, is known for its high-volume building (it constructed 2,305 pools in 2003). But it may be even better known for its world-class retail business. Paddock Pools did $40 million in sales last year, pushing the company’s overall revenue past the $100 million mark. That’s a significant milestone.
“We never looked to hit any certain number in revenue, but it is a great accomplishment for all of us,” says David Ghiz, one of the 46-year-old company’s owners and a senior vice president. “But our focus remains on finding ways to do things a little bit better each day.”
The company started in 1958, when George Ghiz bought a Paddock Pools franchise and, later, the right to strike out on his own in Arizona and Nevada. When he passed away in 1988, he left the company to his three sons: Buzz was named president/CEO, David managed retail and Edward took over construction. Edward eventually left to start a pool business of his own.
By the time the boys took over the family business, they understood the mounting threat from the mass merchandisers, who were sprouting up like weeds all around them. They decided to challenge them head-on and created super-sized retail stores. The 22,000-square-foot showrooms featured pools and spas on display in lavish, backyard settings inspired by George Ghiz’s original concept of “Garden Town,” a 10-acre pool and spa park.
Paddock now boasts eight locations in the Phoenix/ Scottsdale area and two in Las Vegas. According to company officials, it has captured 22 percent of the pool market share in “the Arizona desert scene” and has become one of the most successful family-owned operations in the nation.
“Paddock has always been, and always will be, a leader in our industry,” David Ghiz declares. “The results along the way have been ... exciting and will only help to enhance the future of backyard living.”
To further compete with the mass merchants, Paddock created its own product design business. For the off-season, it developed a line of prelit Christmas trees.
But Lewis “Buzz” Ghiz, president/CEO, says that besides the company’s commitment to customer service, its growth also can be attributed to outside factors. “[Last year] was successful due in part to low inflation, low interest rates and being in growth areas of the Southwest like Arizona and Las Vegas,” he says. “I expect 2004 to continue to have strong growth. We anticipate double-digit increases.”
- Top 50 Builders
View the list of the Top 50 Builders.
- 1 Blue Haven Pools & Spas
- 2 Anthony & Sylvan Pools Corp.
- 3 Paddock Pools
- 4 Shasta Industries
- 5 Swan Pools