Ny-Tek Oy reaps the benefits of strong product development

Ny-Tek Oy from Reisijärvi designs and manufactures machines, especially for the needs of property maintenance and agriculture. In the last few years, the company has greatly developed its product selection and has at the same time reached a good growth rate.

“By networking, we have been able to create growth, because otherwise we could not meet the seasonal demand.”

 

Ny-Tek Oy was founded in 2009 to manufacture cable trailers, among others, as subcontract work. In addition to the founder Toni Nybacka, the company had back then only one paid employee. Soon there was, alongside with the subcontracting, an idea of developing work equipment used in cattle keeping.

The first to be completed was the prototype of the Beltscoop bedding material spreader and the actual manufacturing began in 2011. A few years later, the development work around the Farmcrusher hammer crusher began. The machine was first presented in the KoneAgria exhibition in 2014.

In 2016, the company acquired the levelling blade business of Vieskan Metalli and began manufacturing levelling blades, now with the name Wieska. At the same time, Jari Huotari became Toni Nybacka’s business partner. The Wieska product family grew when Ny-Tek Oy bought in 2018 the product rights of Näppä snowblowers from a company in Leppävirta. The product has been developed further and new product models have been added into the selection.

-In the sales of property maintenance machines, the seasons are very noticeable. From autumn to February, the snow clearing and road maintenance create a demand for the machines. But cattle keeping machines are sold year-round, Huotari explains.

One way to prepare for the variation in demand is networking. Ny-Tek Oy has been building in the region a network, from which pre-welded machine frames, machining and surface treatments, among others, are purchased.

-By networking, we have been able to create growth, because otherwise we could not meet the seasonal demand, Huotari states.

“When the company is small and flexible, the personnel can be reached easily and the customer’s problem can be solved immediately without any bureaucracy.”

 

During the last few years, Ny-Tek Oy has grown from a company of a couple of people into the workplace of 12 people. At the same time, the revenue has grown to almost two million euros. The product selection has turned its focus from agriculture to property and road maintenance, which is already 80 per cent of the company’s revenue.

-After the product development phase we have in the last few months focused on the development of production. However, the market demands regeneration and so there will surely be need for product development once again in a couple of years, says Huotari.

Especially in the property maintenance products there is plenty of competition in both domestic and foreign markets. Success requires standing out and both the technology and service have to be of good quality.

-Our machines have a reputation of durability and high quality and they are very reliable. We have a Finnish customer service and after-sales marketing has brought in positive feedback. When the company is small and flexible, the personnel can be reached easily and the customer’s problem can be solved immediately without any bureaucracy, Huotari states.

 

“With NIHAK’s help, the company has also sought funding from Leader and the ELY centre. In NIHAK they listen to the entrepreneur and they have services and trainings related to excellent subjects.”

 

As the company has grown, Ny-Tek Oy has turned it attention to the international market. Machines have been supplied to Estonia and Sweden, among others, and this year the company has for the first time its own stand in the Euro-Tier trade fair in Germany.

Starting the exportation requires a good groundwork. Ny-Tek Oy has utilised the consultation services of NIHAK and Viexpo, has had country-specific market surveys done and has visited the trade fairs of its own industry.

-The hardest thing is finding a partner in the target country. We cannot deliver the products directly to the end user, we need a distributor to take care of the sales and after-sales marketing, Jari Huotari says.

A few years ago, Ny-Tek Oy was involved in the trade fair and marketing project of four companies, which was led by NIHAK and during which a marketing plan for domestic market was made, among others. The companies also participated in trade fairs with a joint stand. According to Huotari, the project left a very positive impression and results have been achieved. With NIHAK’s help, the company has also sought funding from Leader and the ELY centre.

-Financially, it has been a great help to us and at the same time we have gotten expert service, Huotari says.

NIHAK has also given the company advice related to the development of products and production, the planning of projects and how to arrange funding. According to Huotari, they communicate with the NIHAK personnel almost weekly.

– In NIHAK they listen to the entrepreneur and they have services and trainings related to excellent subjects. From the entrepreneur’s viewpoint there are so many options available that you have to really think which ones you should invest in.

More about Ny-Tek Oy: nytek.fi