Emphasizing Service and Community Involvement for 75 Years

Although many factors go into keeping a propane company in business for 75 years, Shannon McWhorter believes strong customer service and community involvement are two areas that have led to his company, Sequoia Gas (Fortuna, Calif.), celebrating its 75th anniversary this year.

In the area of customer service, if someone telephones the Sequoia Gas office in either Arcata or Fortuna in Northern California, he or she can talk to a Sequoia owner, or someone with decision-making authority, any time.

“If there is a problem or inquiry for more information on some kind of appliance, or what do I need to put a propane tank in, they’ll get someone on the end of the line who is going to be able to take care of them in a timely fashion,” said McWhorter, who owns the company with his brother, Shane. “Our goal is to exceed our customers’ expectations. And that kind of rolls into being part of the community.”

The concept of community involvement for Sequoia Gas comes from Shannon and Shane’s parents, Ben and Billie McWhorter. Shannon and his son, also named Ben and who also works for Sequoia Gas, have sat on the boards of directors of local hospitals. Ben has just been elected as the local hospital foundation’s vice president. Shannon’s and Shane’s grandfather, H.W. McWhorter; their father, Ben; and other family members have been involved with the Fortuna Rodeo Association — Shannon is currently president, and Ben is a board member. “The Fortuna Rodeo is one of the oldest and largest community events on the North Coast,” Shannon McWhorter said, adding that Britni McWhorter, Shane’s daughter, has served on the local American Cancer Society’s Relay for Life Committee as well as other local charity events.

In 1946, after serving in World War II, the elder Ben McWhorter returned home and went to work at Youngreen’s Propane Gas Service in Fortuna, which was established in 1941. In 1950, Ben bought the company with Gene Youngreen. They incorporated the business and changed its name to Sequoia Gas Co. Soon afterward, they hired the woman who would later become Ben’s wife and Shannon and Shane’s mother, Billie McWhorter.

“Then my dad married my mom, and later in the ’50s, he bought out Gene Youngreen,” Shannon McWhorter explained. “He built the business, went out there and beat the brush, set tanks, knocked on doors, and really did a lot to establish the company in the area. It was all propane and appliances. At that time, we had a full-blown appliance store in here.” The store sold propane refrigerators and cookstoves, and electric washing machines and dryers, along with televisions and stereos. The company stopped selling refrigerators, washers, and dryers in the 1990s.

Today, in addition to selling propane to residential and commercial customers, the business sells a limited line of propane appliances while again concentrating on strong customer service in that area. Main lines are Rinnai water heaters and direct-vent wall heaters, Empire wall and space heaters, Diamond and Unique gas refrigerators, Mr. Heater products, and various campstoves and accessories. Big-box stores and other appliance dealers entering the market are among the factors limiting Sequoia’s focus on appliance sales. “In the past, we sold every appliance under the sun, but the market changed, and so have we. In our market, we could no longer be competitive and have scaled back on what we have to offer. It has worked out for the better in our case. We only sell what we know. We concentrate on selling the best propane products available and back it up with excellent service after the sale.” Even with the limited efforts in that area of the business, the company’s appliance sales are increasing every year, with a goal to maintain a 30% margin on every sale.

Sequoia comes close to meeting that goal by following the strong service ethic of Ben and Billie McWhorter. After Ben died in an auto accident in 1976, Billie took over the company with the help of her family; her accountant, Gene Lucas; and propane industry leaders, and ran it for 23 years before she passed away in 1999. Shannon and Shane started started working in the business in the 1970s; today they are equal partners in the company.

Industry members stepping up to help Billie after Ben’s death illustrates the importance of propane industry involvement, and the family business has followed the example of its founders in that area.

“It’s pretty impressive how a company can keep going on through multiple generations, have a thriving business, and have a positive impact on the community, not only through our business, but through our participation in community events, organizations, and such,” Shannon McWhorter noted. “We’re pretty lucky that we had some great parents who were very much involved not only in the business but the community as a whole and the propane industry, on the regional, state, and national levels.”

Billie McWhorter served as chair of the Western Propane Gas Association (WPGA), then known as the Western Liquid Gas Association, in 1992-1993. Her son, Shannon, served as chair in 2003-2004 and is currently the National Propane Gas Association’s California state director. Shannon’s son, Ben, has followed the industry involvement example, serving as communications committee chair for WPGA. Shane McWhorter served on the Propane Education & Research Council’s consumer outreach committee. Why is the family such a strong believer in propane industry involvement? Networking is a main reason.

“The people that we have met through our affiliation with the National Propane Gas Association and WPGA is invaluable, not only for our business, but also the personal friendships you build,” Shannon McWhorter said. “It’s pretty special.”

Billie McWhorter and her family kept Sequoia Gas thriving after Ben McWhorter’s death in 1976. But the company overcame challenges before and after his death. Floods of 1954 and 1964 were major setbacks for the business, but employees worked day and night to return propane service to customers. The 1970s brought an oil embargo and price controls. A major earthquake hit the area in 1989, causing damage among Sequoia’s customer base. Again, employees and other propane companies throughout California pitched in to help Sequoia restore service to its customers.

The company has overcome those challenges and plans to keep serving the community for years to come. It diversified its offerings when it bought a local gas station two years ago. Sequoia operated a propane fueling dispenser there for years but purchased the location after the owner put it up for sale. The propane dispenser remains, but the station sells gasoline and tires and employs mechanics for a full-service auto shop. Although Sequoia’s involvement with autogas is minimal, the company plans to install an autogas dispenser on one of the islands at the gas station.

Shannon and Shane McWhorter are now preparing the third generation to take over the business someday. Shannon’s son, Ben, and Shane’s daughter, Britni, are active in the business.

“Hopefully, it will go on to the third and fourth generations,” Shannon McWhorter said. “It’s a great business, built on hard work, trust, and good friends, and I think it was instilled in Shane and me by our parents, and I think we’ve instilled it into our children as well. They know that if you treat customers right, you’re honest, give them the best products our industry has to offer, and do it at a competitive price, there’s no reason for a customer to look elsewhere. The bottom line is, if you’re in the propane business, you sell service. People can buy propane anywhere. It’s the service that makes a difference.”

His industry involvement helps him see many examples of propane companies with a strong service ethic. “I’m proud to be a member of the propane industry. You get out of it what you put into it. A lot of companies have been around a long time. They didn’t do it by resting on their laurels—they’re out there taking care of business and taking care of their customers in a safe manner every single day.” —Daryl Lubinsky