Rochester-based Pace International celebrates 50 years of business
In 1972, the year Jim Deutsch founded Pace International, people needed phonograph needles and TV tubes to connect with arts, entertainment, and news. Today, satellite TV signals beam through 5G nodes into RVs parked in the most remote corners of the country.
As an electronics distributor, Pace has navigated the last five decades of ceaseless progress and innovation with a familial work environment that fosters respect and responsibility. It’s a tradition passed down through three generations of the Deutsch family.
“I’ll never forget this: my dad, at one of our company's annual celebrations, gave a speech; he said, ‘If we have to spend eight hours a day together, we might as well get along and have some fun,’” remembers Tim Deutsch, executive vice president of sales. “When you think about how much time you spend at work with your employees, it's a big chunk of your life. It should be an enjoyable experience, an enjoyable part of your life. I don't want anybody getting a pit in their stomach Sunday night knowing they have to wake up Monday morning.”
It takes a well-rounded team to anticipate client needs in electronics, so Pace’s roster includes over 100 employees, covering marketing, IT, software development, customer support, technical support, and a fully-staffed warehouse. That multi-faceted approach is crucial in an industry where giant C band satellite dishes turn into microwave sized rooftop receivers in a matter of years.
“As technology gets smaller, revenues shift into something new,” says Sam Schell, senior vice president for business development. “But there's always ways that we can figure out how to help our customers with that. We have a core way of doing business. As technology changes, we're going to continue to come through on our promises, treat people well, and make sure our customers come first.”
Pace outfits a multitude of corporate vehicle fleets, like Best Buy’s GeekSquad vans, which means all the drill bits, ladders, cables, window cleaner, microfiber cloths, and storage bins they use come from Pace. In other corners of the warehouse, staff programs and ships retail video displays pre-loaded with content.
Pace also provides a multitude of buildings with DISH Network’s SmartBoxes (which do for $10,000 what several racks worth of gear for $100,000 several years ago). Those clients often need help with equipment and installation, so Pace’s engineers are experts at the process. Materials-wise, the Pace facility produced over 400 miles of coaxial cable in 2021.
“We try to make our customer experience as effortless as we can. That means we'll take on things like taking 1,000 feet of coaxial cable and making it into 500 cables for a customer, so they don't have to do it on the job site,” says Brent Afseth, vice president of channel partners.
Adding value like that is how the company builds and maintains its relationships with companies across the industry. It’s a daily grind that often pays off years down the road. Tim Deutsch cites multiple instances of people who have switched from one Fortune 500 company to another and called Pace right away from their new job. That doesn’t mean Pace staff can rest on the laurels of their (sometimes literal) ancestors, though; maintaining success in electronics means staying at the forefront of technology. That’s something Pace has excelled at for five decades.
Rooted in Rochester
Pace International began in 1972, when founder Jim Deutsch acquired his employer, the Lew Bonn Company, an electronic distribution company. After renaming the company, Deutsch began connecting small town electronics retailers with inventory.
Pace’s original facility was located at 222 First Avenue NE (now the east end of Civic Center Drive). During the flood of July 1978, six feet of water poured into the space, destroying inventory. Government disaster relief helped them recover from the calamity.
Twenty years later, Pace reached another major milestone. In 1998, their role as a C band satellite distributor led to a relationship with DirecTV, which made them a national distributor capable of servicing private cable operators nationwide. It was an almost overnight transition.
In 2005, the company moved headquarters to its current location, 3582 Technology Dr NW.
In October of 2008, Pace left its partnership with DirectTV and began partnering with DISH Network. Shortly after Pace began its relationship with DISH Network, an executive from Winnebago asked DISH about a pay-as-you-go program. It didn’t exist yet, but DISH referred Winnebago to Pace. Schell met with them at a 2010 Winnebago rally in Forest City, Iowa. Within a year, they’d “broken the rules of satellite,” and launched a pay-as-you-go program for RVs.
“That wasn't risky because it was just an addition to what we were already doing. But that's become a third of our business now,” says Eric Deutsch.
Two-thousand-eighteen saw a call center added to the Pace headquarters, which deepened the company’s ability to sell and support clients.
The company’s warehouse and assembly area were fully staffed throughout the entire Covid-19 pandemic, doing one-day turnaround of crucial PPE equipment for their clients. To keep essential warehouse operations continuing, the other staff pivoted to working from home. Pace has kept those workers out of the office to avoid a chance of outbreak, and while some call center staff are flourishing without anyone listening in, the communal vibe of the office is sorely missed by those who remember how things usually operate.
“We used to always try and do at least one cookout meal, go to a Honkers game, and it's obviously been tough the last couple years,” says Eric, whose patio furniture sits dormant in a corner of the warehouse, waiting for a cookout.
A family business
After founder Jim Deutsch passed away in 1999, his son, current CEO Pat Deutsch, became president. His sons, Eric and Tim, grew up around Pace, frequently heading to the facility after school at St. John’s. Those childhood walks from school have evolved into daily work communications.
“You hear the horror stories of family business and working side by side with the family… sometimes that doesn't go very well. For us, it's been awesome,” says Tim.
The Deutschs aren’t the only ones blurring the family/colleague line. Schell’s brother works at the company, and Afseth’s father worked there, too. Those family ties help maintain the tightly-woven, supportive working environment that has given the company such success.
An example: In 1998, the day after his 16th birthday, Afseth walked into Pace for his first day of work. Jim Deutsch had a birthday cake waiting for him.
“Everyone is connected to someone at Pace,” says Beth Blanchard, director of marketing. “Many employees have long tenures and that speaks volumes about the satisfaction working at Pace.”
“I'm pretty new, I've only been there 14 years,” jokes Schell.
Pace hires people who take initiative, and who have a sense of humor, according to Schell. Rochester’s diverse pool of skill sets makes it a rich environment for new employees.
“Pace is an environment where you're allowed to make decisions. If you have an idea, everybody is open to listening, from the owner all the way down; nobody's doors are shut,” says Schell. “There's not one person that isn't incredibly valuable at our company. We want to make sure they know that.”
Unlocking the future
As Pace looks toward another 50 years of innovation and support in the electronics industry, they have their gaze set on the RV industry and 5G.
“We're not trying to say you need TV everywhere,” says Eric. But, he points out, RVs act as more than societal escape pods; over a million people live full-time in their RVs. Not to mention the prevalence of TVs at tailgating events.
But the rise of 5G is what Pace sees as truly transformational. They’re already in the game with the four-month-old RV hotspot TravlFi. And as uses grow, they aim to be a part of it, working hard to leverage relationships and creative thinking to stay at the forefront.
Cover photo: Pat Deutsch (center) with his two sons, Eric (left) and Tim