Simon joined Miele six years ago and soon identified that the foundations of Miele were as robust and sound as their end product. “With one hundred and twelve years of history and experience behind Miele, it’s during tough economic times such as we are experiencing now that Miele can reinforce the quality of its product without compromising in any way. We are doing better than our competitors I’m pleased to say, but there’s no doubt we still have to work hard to give our customers value for money and we have never worked harder to do so. We are going into new areas, such as providing foraging experiences, embarking on wider advertising campaigns and providing even more support for our dealer network. In short, we’re not letting up.”

Miele moved to the UK forty nine years ago and last year celebrated thirty years in Abingdon, now the UK headquarters. “Over the last 30 years in Abingdon we have expanded in the site considerably.” Outlines Simon. “We started with a small office in a small warehouse and now have five warehouses with an impressive Experience Centre for our customer events, such as the B4 event in September.

“There are three hundred and sixty UK employees, two hundred of which are based in Abingdon. We regularly recruit twenty five people per annum from the local market, mainly for the Contact Centre. It is principally a sales and service operation in the UK and cover a broad base of skills, from management positions to expert customer advisers, showroom advisers and a number of people who work in the warehouse and finished goods area.

“We are always trying to recruit good people and, for instance in our contact centre, which operates six days a week and contains seventy staff, we have been casting our net wider to recruit University students between courses or students in their gap years. We are constantly aiming to recruit in this area.”

The company, founded in 1899, has eight production plants in Gütersloh in Westphalia, Germany (where 97% of everything Miele sells in the UK is manufactured) and one plant each in Austria, the Czech Republic, China and Romania. Turnover for the year 2009 / 10 was £2.83 billion, the highest in the company's history) with sales outside Germany accounting for 70%. Miele has its own wholly owned sales subsidiaries in forty seven countries and is represented in a further forty eight countries by importers and distributors. With eleven factories within 50km of Gütersloh, each tends to specialise in one product, such as dishwashers, vacuum cleaners and cooking products. In total, Miele employ 15,000 staff in Westphalia.

I had previously learned that the factories in Germany were a site to behold and asked Simon if thousands of washing machines really did hang from the production lines. “Miele at its heart is principally an industrial company, a company made up of engineers. The factory, as a result, has been really cleverly designed whereby all of the space in the factory is efficiently utilised. So, literally hanging above you as you make your way through the factory are recently enamel-coated washing machine panels which will be going around in circles on a production line to be assembled in an automated way, much as you would see parts in a car factory. It’s a process very similar to car assembly, automated and very robotic. This means the process is not only efficient, but incredibly cost effective, meaning that the factory can stay in Germany, as opposed to all of our competitors who have moved to Eastern Europe or China, or Turkey, purely to keep costs down. Automation doesn’t mean that we don’t apply the human touch, on the product line someone runs a pair of silk stockings around every single Miele washing machine drum to ensure there are no snags. If there are it is not used and goes to be recycled.

Miele is wholly owned by two families, the Miele family and the Zinkann family. Now in their fourth generation as owners, both families sit on the Operating Board, so they are actively involved in the day to day direction of the company, something which is clearly evident when Simon visits. “Two or three times a year, when I go to the factory with customers, Dr Miele and Dr Zinkann will know everyone because in the same way that they are fourth generation, there are fourth generation families working in that factory, which is great for binding everyone and creating a family spirit. They are very informal which means they are well known and nobody has an issue with going up to them to ask questions or make suggestions. The family culture certainly makes Miele unique in our market which is dominated by very large corporate companies, but Miele maintain that family feel.”

Reinforcing this theme, all of the glass offices in Gütersloh are identical, even those belonging to Dr Miele and Dr Zinkann, who, like their staff, adopt an open door policy. This is a well oiled machine which has been assembled over a huge period of time as Simon underlines. “The two families have worked very hard to make sure that the manufacturing processes and the products which leave the factories are super efficient. The current Dr Zinkann senior is 86 and still works three days a week, still designs products and still files patents and this, more than anything, illustrates that the family is entrenched in the business and isn’t just there because heritage says they should be.”

In terms of Miele’s UK market share, Simon explains the three dimensions of the business and where Miele ranks. “We have the white goods business made up of washing machines, dishwashers and products for the kitchen like ovens, steamers etc…., there is a separate business selling vacuum cleaners and finally the commercial business, which supplies hotels, hospitals and care homes with high grade, high quality products for heavy use. For example, Miele supply huge sterilisers for use in hospitals. So there are three quite different parts making up the whole, and we have varying market shares. In the commercial sector we are very strong, particularly in the care home and hospitality sector and sell a high number of large washing machines, in particular into hospitals, care homes, fire brigades etc…. In the vacuum cleaner market, we rank third and much lower in the domestic appliances market which is dominated by global brands. However, despite having just a 4% domestic appliances market share, there is huge scope to grow this side of the business. In terms of Miele’s production split, it’s a simple 60% / 20% / 20% split in favour of the domestic appliances market.”

Simon reinforces that this is a premium product and that with particular regard to the commercial business where Miele performs so well, the fact that Miele provide a premium product fits in with the sector demand for heavy, industrial use of machines which are rarely idle. “The products are incredibly well made and run for years – they are a key purchase for large establishments such as hospitals and hotels and are built to last for twenty years.”

Miele are also keen to engage their customers as early as possible in the buying process to enable them to make an informed decision as possible when it comes to making their final purchase, whether it’s a domestic or commercial kitchen installation or a one off appliance purchase. Zoe Carter, Miele’s PR Manager, explains how Miele have gone one step further than the traditional sales events held for customers in the past. “These are our ‘Let’s Do Lunch’ events and our ‘Appliance Academies’, which are both held pre and post purchase. So a consumer looking to refit their kitchen can come here for the day, learn about the full range of our products and actually use our products. We have a Home Economist and also Product Advisers on hand to enable our prospective customers to identify the products that are right for them. We have been hosting these events for a number of years.” It goes without saying that an offering like this is not only time consuming but also provides Miele with nothing in the way of guarantees that the fortunate prospective customers will become actual customers. However, it would be hard to imagine an ultra efficient organisation like Miele continuing to provide this unique experience to would be customers without a successful track record, which, as Zoe confirms, is most certainly the case. “The days are incredibly successful. Although the ultimate purchase will be made from the dealer which has sent the prospect to the Miele Experience Centre, more often than not, the prospect’s original shopping list will tend to grow once they have entered our stunning showcase facility.“

Moving on from the pre and post purchase familiarisation days, Miele started running cooking schools a couple of years ago, which have, unsurprisingly also been very successful. But, in March, Zoe reveals that a second branded event will be launched. “We are launching ‘Kitchen Secrets’ with the focus on food and drink. We will be engaging with local producers and even taking customers out on foraging events and looking at running a street food market here. The aim is to bring the latest food trends, stories and producers to the consumers at our Experience Centres in Abingdon and London and, soon, in Sutton Coldfield. We will also be running Design events which will provide a 'Beginners guide to Kitchen Design'.

“We recognise that buying a kitchen is a potentially confusing experience given that there is so much choice in the market. These events are designed to give customers an even greater insight into what products are right for them and to ensure that their final choices are the right ones.”

In a tough economy, all of us are thinking more about large purchases, holding off completely or wanting to know more about the products which we may or may not end up buying. Miele are therefore very in tune with the potential dilemmas their prospective customers have and these events serve to make sure that the final decision is the right one but also give the customer an even greater sense that they are dealing with a rather extraordinary company.

More About Miele

Miele is a world leader in the production of premium domestic appliances including cooking, baking and steam-cooking appliances, refrigeration products, coffee makers, dishwashers and laundry and floorcare products. This line-up is augmented by dishwashers, washer-extractors and tumble dryers for commercial use as well as washer-disinfectors for use in medical and laboratory applications (Miele Professional). Miele’s PR Manager, Zoe Carter, gives us an insight into the world of Miele.

The Miele Philosophy
“We are an independent, self-contained and family-run company with traditional values committed to our workforce, customers and the general public alike.

“We manufacture high-quality appliances and equipment for domestic use as well as for different branches in the commercial sector. At all times we aim to be a reliable partner for our customers.

“We not only feel particularly committed to our workforce and customers, we also have a responsibility towards our suppliers and the general public. The relationship with our suppliers should be performance-oriented, reliable and longstanding. Furthermore, we are all committed to strengthening public awareness of our positive company image.”

Miele GB
“Miele GB was established in 1963 when Karl Heinz Wedekind was entrusted by Rudolf Miele to set up a sales and marketing subsidiary in Great Britain. Originally operating with a small staff from offices in Great Portland Street, the company moved to larger premises in Acton in 1972 and, in 1981, to our current purpose-built offices in Abingdon.

“When the building was completed it provided an office area of 20,000 sq feet, which included a second floor built as a shell for future expansion, and 56,000 sq feet of warehouse space. In the intervening years, through the acquisition of two adjacent warehouses, the site has expanded to cover 13.5 acres, our storage capacity has been increased to 120,000 sq feet and the opening of our new customer centre, the Miele Experience Centre, in 2005 released much needed office space on the ground floor of the main building.”

Miele in the Community
“As a large organisation, we receive lots of requests for sponsorship or charitable support, and took the decision to focus our support on the local community. Recent activities include donations of vacuum cleaners as raffle prizes for local schools and nurseries, sponsorship of The Choose Abingdon Partnership and, of course, the In Oxford Magazine Oxfordshire Restaurant Awards.

“The Choose Abingdon Partnership builds on Abingdon’s existing strengths and history to support and improve the economic, social and cultural vitality of the town for all its businesses, residents and visitors, and specifically to:
• Envision, plan and act as a catalyst for positive change.
• Bring together and coordinate those activities of various organisations and businesses concerned with the towns future.
• Influence and engage with the visions, strategic plan and actions of various local authorities and other external projects.
• Communicate the aspirations of the town.
• Initiate and implement its own projects.”

Miele Events
“The aim of our kitchen events is to connect consumers and influencers, through a programme of exciting events, to the best-in-class resources they need to create a kitchen space that exceeds their perceived functional and emotional requirements. The events programme will showcase expert teams including product advisers, home economists, chefs, local producers, kitchen designers and architects.

“Experience counts for everything, which is why we host a series of regular demonstrations and interactive events in our showrooms. Let's do Lunch days are ideal if you are in the process of planning a new kitchen and are the perfect opportunity to see Miele's cooking appliances in action. Appliance MasterClasses are perfect for anyone who wants to understand the finer details of their Miele appliances or those who want to try out appliances before they make a purchase. Simply Cooking classes are open to anyone who wishes to learn more about producing wonderful dishes.”

Miele Centres
• Miele Centres provide the highest level of service when purchasing a Miele appliance. Consumers are able to view the widest range of Miele products, helping to ensure they experience Miele appliances that are best suited to their requirements, whilst receive engaging expert advice.
• Miele actively encourages and supports experimental activities within the Miele Centres, recognising that engaging and educating the customer empowers both our partners and the consumer.
• Miele recognises that physical spaces still provide the best means to communicate with customers and offer a brand experience.
• Fully live products across all core categories
• Creating a flexible in-store environment through design, product offerings and promotions, ensures that each visit will feel like a brand new experience.
• Dedicated Miele specialist within each centre.