Parts shop builds new niche in TV repair

Stay tuned -- Bloomington-based ShopJimmy is offering a fix for ailing flat-panel TVs and a possible boost for the TV repair industry.

In less than three years, ShopJimmy has grown from a one-man hobby to an online store with 26 employees and more than 120,000 replacement parts for LCD and plasma sets.

Owner Jimmy Vosika, 29, a computer programmer-turned-entrepreneur, buys TVs by the truckload, usually new ones damaged in shipment, from freight or warranty companies.

Working parts from those sets -- internal circuit boards, power supplies, even the flat screens themselves -- are removed and put up for sale on ShopJimmy's eBay-style online store (www.shopjimmy.com). Buyers typically are service technicians from repair shops around the country, with some hobbyists mixed in.

ShopJimmy has parts from thousands of TV models. Many are hard-to-find parts from older sets, which manufacturers usually don't have to stock after a model is a year old, according to Vosika.

Revenue last year was close to $2 million, Vosika said. He expects that to grow to $2.5 million to $3 million this year.

A separate company -- website and e-commerce software developer Monster Studios Inc. -- likely will generate $600,000 in revenue this year, Vosika said.

Launched last February, the 10-person Monster Studios does Web development for ShopJimmy and specialty projects for the TV repair industry and other outside clients.

Monster Studios could expand if Vosika had more space, but his 20,000-square-foot warehouse already is brimming with parts. He wants to find overflow storage space nearby rather than move the company, already in its fourth location, again.

ShopJimmy has grown rapidly despite the economic downturn, Vosika said, or because of it, at least in part. These days, a growing number of people would rather have a set repaired than buy a new one.

"Even if the economy was good and people were buying lots and lots of TVs, that improves our supply chain, the number of flat-panel sets that are out there," said Adam Nyenhuis, who oversees sales for ShopJimmy. "They're going to have three in their house instead of one or two, and they're probably still going to repair them."

Vosika launched ShopJimmy in January 2007 in his garage.

He had made a hobby of buying and selling broken TVs on eBay for the previous six months. That activity grew out of his interest in electronics recycling that began when he worked for his father-in-law's appliance recycling business.

As he works to build ShopJimmy and Monster Studios, Vosika also is trying to usher TV repair shops and the broader consumer electronics repair industry into the online age.

"We're doing a lot of things to try to increase the TV repair shops' revenues, help them save money and help them get people in the door," Vosika said.

The industry apparently is taking notice. ShopJimmy was one of three parts distributors recognized for exemplary service recently by the National Electronics Service Dealers Association.

Technician Jeff Dougherty, owner of Intrepid TV Repair in Steelton, Pa., said he had heard great reviews of ShopJimmy before he began working with the company 18 months ago.

"Dealing with them has been so easy," Dougherty said. "They have great customer support. They make us money because instead of charging for a diagnosis we can charge for a full repair. And the repair is cheaper than what a new one would cost, so everyone's happy."

One of Vosika's new programs -- ShopJimmy Stores -- allows repair shops to sell their parts through their own online stores on the ShopJimmy website. Setup and listings are free. ShopJimmy handles the details, charging a commission on each sale.

Another new effort, Websitecruiser.com, helps repair shops build their own websites at what Vosika said are competitive rates.

Yet another, Teklandia.com, aims to serve as a niche social-networking site for the consumer electronics repair industry, with a database of repair tips, Web-based business management applications and industry news.

"It's kind of ironic that some of the most advanced technology is serviced by an industry that's so technologically behind," Nyenhuis said. "Some have adapted and do really well, but there are a lot who are suffering because they're not keeping up. They're incredibly qualified and they can fix anything in the world. They just don't know how to get their names out there."

Vosika also is launching a one-stop search function on ShopJimmy that integrates inventories from most other parts distributors. A part that ShopJimmy doesn't have may be available elsewhere, and users also can compare prices on parts.

"It's all part of the Web 2.0 stuff, trying to be open with data and information," Vosika said. "We're going to lose sales off it, but we're going to gain a lot, too."

Nyenhuis said: "We want to be the first place people come for parts, for information, for connections with the industry, basically for anything involved with the consumer electronics service industry."

The expert says: Prof. Mark Spriggs, chairman of the Entrepreneurship Department at the University of St. Thomas Opus College of Business, said ShopJimmy has taken on the challenge of trying to change the way an industry works.

"That's a tough thing to do," Spriggs said. "It's also the exact thing we talk about in terms of bringing innovation to a particular industry. He's looking at significant innovation and revolution in the industry, and it looks like he's one of the drivers of it."

As ShopJimmy grows, Vosika may need to add to his management expertise or bring in professional management, Spriggs said. As an interim step he could form a board of advisers.

"You get to the point where somebody's going to have to organize the work, bring some systems and processes in or things start to get dropped," Spriggs said. "The delicate balance is how do you do that without losing what's made them successful growing the business to $5 million and even $10 million."

At that point, some entrepreneurs bring in professional managers so they can focus on what they would rather do, while others may sell off and move on to something else, Spriggs said.

Todd Nelson is a freelance writer in Woodbury. His e-mail address is todd_nelson@mac.com.