OTTAWA — With 21 stores across Canada, Lee Valley Tools has always been, since its inception as a catalogue retailer, committed to bricks and mortar. And Lee Valley President Robin Lee is intent on making those spaces vibrant destinations for customer interaction.

The specialty tool and garden supply company started in Ottawa in 1978 and has spread across the country, mainly in major cities, but with some interesting exceptions. In recent years, it has identified smaller centres that serve as destinations in their own right. Two years ago, after debating whether to open in Stratford, Ont. (home to a renowned Shakespearean theatre festival), Lee settled on Niagara Falls, Ont. (shown here and home to, well, Niagara Falls).

(Another store that focuses more on the educational toys, novelties and popular tools available from Lee Valley, called L.G. Lee & Sons, was opened in 2015 in the town of Almonte, Ont., just west of Ottawa.)

Lee is currently focused on continued growth in Quebec. The first store there opened in Laval in September 2018. The success of that location has encouraged him to look for other sites. “Laval is our largest store to date. It features lots of new innovations,” Lee notes.

The next one will be in Brossard on Montreal’s South Shore. Lee expects that one to open in the fall of 2020.

All Lee Valley stores regularly host activities—everything from knife sharpening classes for adults to wood-burning workshops for children. “It’s not about trying to sell tools. It’s trying to promote handcraft and the acquisition of skills,” he says.

Reflecting on the importance of activities for kids, he adds, “It’s a small thing, but it’s an example of how to interact with customers. There has to be a takeaway—and that takeaway doesn’t have to be a product. It can be an experience.”

After Brossard, Lee expects the next store in Quebec to be on Montreal’s West Island, followed by Quebec City. He envisions a total of four stores in the province. After that, he muses, Moncton may be next.

“And we’ll keep an eye on Newfoundland.”

SURREY, B.C. — The Building Supply Association of British Columbia (BSIA) has completed its first Building Supply Warehouse and Distribution class.

The six-week, full-time training program was developed in co-operation with the trade association’s own members, along with the B.C. government and the Northwest Skills Institute. The certificate program covers the essential skills for new staff.

The 15 students who completed the first round of training are now being placed with BSIA members, both retail and supplier, in full-time entry level positions. According to Thomas Foreman, president of BSIA, the program is focused on the essential skills that the members wanted taught so that the graduating students will be ready to work once they have completed the fundamentals.

The schooling is a fully funded program offering unemployed, qualified people a certificate to enter the home improvement industry, on either the retail or supplier sides of the business. It includes placement and coaching for the students for one year.

As of last week, 10 of the students had already been placed and the BSIA is proceeding with the next class beginning June 24. Foreman says a similar program will be launched in Victoria starting in September.

DUBLIN — The seventh Global DIY Summit, held last week in Dublin, drew about 1,000 delegates from 55 countries, including 300 of the top home improvement retailers from around the world.

This year’s motto was “DIY Evolution–Designing the Future Together”. A range of speakers addressed the topics of innovation, digital platforms as new business models worldwide, how to prepare your team to embrace digital transformation, Asia as a new innovation leader worldwide and political and economic forecasts. The challenges of DIY logistics and a global overview of home improvement retailing around the world were also explored.

On the first day, Alexander Börsch of Deloitte presented a global economic and political overview and highlighted the risks and advantages within the era of the Trump presidency, Brexit and other challenges worldwide. The president and CEO of Ace Hardware, John Venhuizen, offered an impressive keynote entitled “The Heart of a Leader”.

A panel discussion, moderated by Steve Collinge of Insight Retail Group, featured DIY industry leaders: Sergio Giroldi of the German wholesaler and retailer OBI, Hartmut Jenner of Alfred Kärcher, Erwin van Osta from Hubo and Vincent Legros of Bostik exchanged views on why innovation really matters to survive and prosper in this era of disruption.

The second day saw presentations focusing on the growth of Asia as the centre of many technological innovations. The highlight of the morning was a keynote from Alibaba’s category group leader, Andreas Kerschner. Another highlight of the Summit was by author and China expert Pascal Coppens, who engaged delegates with his presentation, “China’s New Normal”.

The general perception of the global economy was positive, and most of the speakers forecast more innovation and growth within the next few years.

This year’s closing speech was given by Ibrahim Ibrahim, managing director at Portland Design (and a familiar face at past Hardlines Conferences!―Editor), who talked about the future of retail and the new metrics of winning.

The wrap-up was conducted by the chairmen of the Global DIY Summit, John Herbert, who heads up the retail organizations EDRA and GHIN; and Ralf Rahmede, who represents the federation of manufacturers' associations in Europe, fediyma).

TORONTO — Hudson’s Bay Co. needs to be free of its shareholders to make long-term improvements, its executive chairman declared last week. Richard Baker is part of a majority group of shareholders looking to buy out the remaining 43% stake and take the historic company private.

With the support of co-working firm WeWork, which acquired key real estate from HBC in 2017, the group is making an all-cash offer of $9.45 per share, almost 50% more than the closing price at the end of the previous week.

“While we continue to believe in HBC’s long-term potential, it has become clear that the significant challenges, risks and uncertainties facing HBC in the rapidly evolving retail environment are best addressed in a private market setting,” Baker said.

“Our all-cash proposal would provide HBC’s public shareholders the ability to realize immediate and certain value for their shares at a substantial premium... We believe that improving HBC’s performance will require significant time and patient long-term capital that is better suited in a private company context, without the emphasis on short-term results and returns.”

HBC has been in the limelight most recently for another reason: Hudson’s Bay Co. CEO Helena Foulkes’s $29.4 million compensation package is facing scrutiny from governance specialists, the Canadian Press reports. The package was one of the highest among Canada’s publicly traded companies last year, yet the company is not among the country’s largest.

Shares of HBC have fallen by 35% since Foulkes took the helm in February of last year. The sum did, however, receive the green light from shareholders, who approved it in a say-on-pay vote.

Sneha Shah has been appointed the new regulatory and ecofees manager at Rust-Oleum Canada. Formerly a product sustainability associate at Colgate-Palmolive, she succeeds Steve Wolinsky, who retired at the end of May.

...that the latest edition of our newest publication, Hardlines Dealer News, has stories about one RONA dealer’s efforts to connect with their pro customers with in-house services, the latest expansion by BMR in Ontario and an innovative hardware store in Brooklyn, N.Y., that attracts customers and tourists alike! Hardlines Dealer News is a monthly e-newsletter available at no charge. Click here now to get your free subscription today!

BOUCHERVILLE, Que. — Lowe’s Canada has joined dealer-owner Bobby Tinkler to celebrate the grand opening of the new RONA Tinsco store in Rawdon, Que. Following a $4 million investment, the new store weighs in at 32,000 square feet, twice the size of its predecessor. It now offers an appliance assortment on site as well as a wider selection of seasonal products, building materials and interior finishing products. “We were starting to feel cramped in our little downtown hardware store,” said Tinkler.

SUPPLIER NEWS

TORONTO — RBC Ventures, a subsidiary of Royal Bank of Canada, has acquired home renovation platform Smart Reno. Currently available in Ontario, Quebec and Alberta, Smart Reno connects consumers to qualified renovation professionals while supporting contractors and trades to efficiently grow their businesses with high-quality leads. Consumers post their requirements and Smart Reno provides free referrals to contractors who are qualified, available and interested in the project.

MONTREAL — Dollarama Inc. reported a first-quarter increase of 9.5% in sales and 5.8% increase in comparable store sales. Diluted net earnings per common share rose 6.5% to $0.33. The discount retailer opened 11 net new stores during the quarter and says it’s on target to reach 60 to 70 net new stores by fiscal year end.

NOTED

The early bird special to register for the fourth annual Home Improvement eRetailer Summit ended last Friday—but guess what! We have negotiated an extension for Canadian suppliers who want to meet some of North America’s biggest online hardware and building materials sellers. You now have until midnight tomorrow (Tuesday). This full-day, invitation-only conference is the only face-to-face event connecting the entire online marketplace for the home improvement industry. To ensure maximum networking, this incredible event is limited to just 80 companies. Further details and registration information can be found at the Summit’s website. But call now!

OVERHEARD

“Business isn’t just about transaction. The transaction, it pays the rent. But it’s about the relationship, products and people. That makes all the difference in the world.” —Robin Lee, president of Lee Valley Tools, on the specialty tools and garden products company’s dedication to providing distinctive products in an environment that customers trust and respect.