Hardlines
Canada’s electronic information service for the home improvement industry
August 20, 2001
Volume vii, #35
Michael McLarney, Editor & Publisher
Phone: 416.489.3396
Fax: 416.489.6154
email: mike@hardlines.ca
hardlines.ca <https://hardlines.ca/>
* * * * * *
SUMMER PUBLISHING SCHEDULE:
Hardlines will not publish on August 27th. But don’t worry, the World Headquarters remain open as we get ready for our gala two-day Hardlines Conference event September 12-13. — Michael
* * * * * *
SPECIAL CHICAGO SHOW REPORT:
* Declining attendance gets mixed reviews
* Home Depot puts push on EXPO and Urban formats
* * * * * *
LAST CHANCE TO BOOK YOUR CONFERENCE HOTEL:
If you’re planning to stay over the night of September 12 to take in our conference event next month, make sure you’ve booked your hotel room. To get our special hotel rate at the Four Points Sheraton on Dixie Road at Highway 401. (NOT THE SHERATON AT TERMINAL 3), call 1-800-737-3211.
* * * * * *
The Retail Strategies Symposium is a half-day education seminar that will feature industry overviews on the Canadian and U.S. markets. Learn how the key retail players are positioned for growth, how Canadian distribution channels work, and how the big box retailers are capturing share of the Canadian market. Only $149 per person.
September 12, 2001, at the Four Points Sheraton Hotel, Toronto Airport!
HARDLINES MARKETING CONFERENCE UPDATE:
People have been asking me who will replace former RONA COO Rick Blicktead as our keynote speaker at our Conference on September 13. Henri Drouin, Chairman of RONA, will handle the duties. And if you’ve never heard him speak before, I guarantee you’re in for a thoughtful and insightful presentation.
Some sponsorships still available for the Conference. Go to https://hardlines.ca/html/conferences.html for details, or call me! — Michael
* * * * * *
INDUSTRY NEWS. EVERY DAY — Our website has daily updates on retail and industry news that matter to you. Keep informed. Visit hardlines.ca <https://hardlines.ca/> . Every day.
* * * * * *
CHICAGO REPORT: SMALLER HARDWARE SHOW STILL ATTRACTS CANUCKS
Smaller, with lots of empty spaces strategically filled with tables and benches, the world’s second largest hardware and home improvement show was almost 20% smaller this year.
The show still managed to attract an estimated 63,000 people and 3,000 exhibiting companies, but only 20% of those visitors were from outside the U.S.
"The show certainly has shrunk. It’s 200,000 sq.ft. smaller than last year — but it’s still a million square feet in size," pointed out one manufacturer who sits on the show’s board. The show is owned by the American Hardware Manufacturers Association.
Though marked by reduced buyer attendance, it remains an important destination for Canadian retailers and wholesalers. Canadian Tire sent 21 people, Home Hardware sent nine, while Kent sent a contingent and so did Sodisco-Howden. Vendors reported meeting successfully with other buyers, including representatives of Loblaws, Wal-Mart and Sheridan Nurseries. Rona’s newly reorganized buying team was there (including its newly appointed vp of hardware buying — see next issue for interview) and Réno-Dépôt’s team included representatives from Castorama, Réno-Dépôt’s French parent.
Some did not make it though: most notably, a team of buyers from Home Depot Canada had their flight plans to Chicago grounded at the last minute (see adjoining story).
Maple Leaf Night, the CHHMA’s Canadian buyer reception, remains, however, a focal point for Canucks in Chicago. This event was supported by the attendance of key Canadian buying personnel.
But the value of the show overall — at least as an annual event — is coming under increasing scrutiny. The Canadian sales manager from one U.S. based manufacturer said his Canadian buyer meetings at the show have been declining steadily. Standing in a booth that cost US$1 million, plus another US$10,000 in staff travel expenses, he said he met with 44 Canadian customers in 1999 and 37 in 2000. Last week, he had only 19 Canadian buyer meetings, two of which were no-shows. Based on this response, this vendor admits his company will rethink its strategy for next year.
The show is anticipating this kind of reaction from more and more exhibitors: before this show was even over, a notice was sent out discounting booth space for next year, though only by a dollar per sq.ft., to US$22.24 per sq.ft. The discount ends October 15, 2001. The notice also attempted to reassure exhibitors that they won’t get dinged too deeply by unionized service personnel. Finally, pricing for pre-show and in-booth promotions will be reduced by 5%.
______________________________________________
NARDELLI REVEALS DEPOT’S SHIFT TO
EXPO, URBAN STORE FORMATS
Speaking to a packed room at last week’s National Hardware Show in Chicago, Bob Nardelli, president and CEO of Home Depot, announced the company’s commitment to new store formats. "We are VERY excited about our EXPO platform," Nardelli emphasized. There are currently 45 such stores, but wants to up that to 100 in major markets within five years. However, that’s about half of what had been announced in the past.
Nardelli says another new concept will also get the push: the "Urban" store concept. Headed up by Home Depot veteran Bob Wittman and weighing in at no more than 80,000 sq.ft., they will backfill into smaller markets, operating on a "hub and spoke" principle, offering delivery from other larger nearby stores on product not carried in the smaller version.
In an exclusive interview with Hardlines, Nardelli explained the absence of Home Depot Canada from the show in Chicago last week. The decision not to come was a last minute one that came right from the Atlanta head office. Turns out Nardelli was to bring the entire board of directors up to see the Canadian operation first hand immediately after the show.
Nardelli told me coming up to Canada to see Depot’s décor and design centre that’s been developed in Toronto. Hints of it were tested at the Castlefield store in Toronto, and fine-tuned in the new Yorkdale store about three kilometres north of the Castlefield site. He wants the "soft-side DIY" approach rolled out chain-wide.
______________________________________________
* * * * HARDLINES MARKETPLACE* * * *
Check out Hardlines Classifieds on the web: https://hardlines.ca/html/classifieds_new.asp
______________________________________________
NORAL MARKETING:
Representing leading manufacturers since 1986. We ensure high profile retail presence for a wide range of product lines. Why not make yours one of them?
http://www.noralmarketing.com/ or call 519-439-6800 ext. 201
* * * * * *
THE HARDLINES MARKETPLACE: just $16 per line.
A classified ad with Hardlines is the most direct way to industry eyes.
Over 3,000 executives in the industry come in contact with our email and fax publications … and have you seen our Marketplace in our new website? https://hardlines.ca/html/classifieds_new.asp
Publish your ad where it matters. Get industry exposure today.
Contact us at 416-489-3396 or email: buzz@hardlines.ca
______________________________________________
Hardlines is published weekly (except monthly in December and August)
by McLARNEYCOM
542 Mount Pleasant Rd., Suite 302, Toronto, Ontario, Canada M4S 2M7
© 2001 by Michael McLarney.
HARDLINES™ the electronic newsletter hardlines.ca
Phone: 416.489.3396; Fax: 416.489.6154
Michael McLarney, Editor & Publisher: mike@hardlines.ca
Eugenia Canas, Assistant Editor: buzz@hardlines.ca
Beverly Allen, Marketing Manager: bev@hardlines.ca
Nancy Wright, Circulation Manager: nancy@hardlines.ca
______________________________________________
THE HARDLINES "FAIR PLAY" POLICY:
Reproduction in whole or in part is very uncool and strictly forbidden and really and truly against the law. So please, play fair! Call for information on multiple subscriptions or a site license for your company. We do want as many people as possible to read Hardlines each week — but let us handle your internal routing from this end!
______________________________________________
Subscription: $199+$13.93 GST = $212.93 (or $29.85 HST = $228.85) per year (GST #13987 0398 RT). Secondary subscriptions at the same office are only $28 + $1.96 GST = $29.98. You can pay online by VISA at our secure website or send us money. Please make cheque payable to McLarneyCom.
Hardlines
Canada’s electronic information service for the home improvement industry
August 20, 2001
Volume vii, #35
Michael McLarney, Editor & Publisher
Phone: 416.489.3396
Fax: 416.489.6154
email: mike@hardlines.ca
hardlines.ca <https://hardlines.ca/>
* * * * * *
SUMMER PUBLISHING SCHEDULE:
Hardlines will not publish on August 27th. But don’t worry, the World Headquarters remain open as we get ready for our gala two-day Hardlines Conference event September 12-13. — Michael
* * * * * *
SPECIAL CHICAGO SHOW REPORT:
* Declining attendance gets mixed reviews
* Home Depot puts push on EXPO and Urban formats
* * * * * *
LAST CHANCE TO BOOK YOUR CONFERENCE HOTEL:
If you’re planning to stay over the night of September 12 to take in our conference event next month, make sure you’ve booked your hotel room. To get our special hotel rate at the Four Points Sheraton on Dixie Road at Highway 401. (NOT THE SHERATON AT TERMINAL 3), call 1-800-737-3211.
* * * * * *
The Retail Strategies Symposium is a half-day education seminar that will feature industry overviews on the Canadian and U.S. markets. Learn how the key retail players are positioned for growth, how Canadian distribution channels work, and how the big box retailers are capturing share of the Canadian market. Only $149 per person.
September 12, 2001, at the Four Points Sheraton Hotel, Toronto Airport!
HARDLINES MARKETING CONFERENCE UPDATE:
People have been asking me who will replace former RONA COO Rick Blicktead as our keynote speaker at our Conference on September 13. Henri Drouin, Chairman of RONA, will handle the duties. And if you’ve never heard him speak before, I guarantee you’re in for a thoughtful and insightful presentation.
Some sponsorships still available for the Conference. Go to https://hardlines.ca/html/conferences.html for details, or call me! — Michael
* * * * * *
INDUSTRY NEWS. EVERY DAY — Our website has daily updates on retail and industry news that matter to you. Keep informed. Visit hardlines.ca <https://hardlines.ca/> . Every day.
* * * * * *
CHICAGO REPORT: SMALLER HARDWARE SHOW STILL ATTRACTS CANUCKS
Smaller, with lots of empty spaces strategically filled with tables and benches, the world’s second largest hardware and home improvement show was almost 20% smaller this year.
The show still managed to attract an estimated 63,000 people and 3,000 exhibiting companies, but only 20% of those visitors were from outside the U.S.
"The show certainly has shrunk. It’s 200,000 sq.ft. smaller than last year — but it’s still a million square feet in size," pointed out one manufacturer who sits on the show’s board. The show is owned by the American Hardware Manufacturers Association.
Though marked by reduced buyer attendance, it remains an important destination for Canadian retailers and wholesalers. Canadian Tire sent 21 people, Home Hardware sent nine, while Kent sent a contingent and so did Sodisco-Howden. Vendors reported meeting successfully with other buyers, including representatives of Loblaws, Wal-Mart and Sheridan Nurseries. Rona’s newly reorganized buying team was there (including its newly appointed vp of hardware buying — see next issue for interview) and Réno-Dépôt’s team included representatives from Castorama, Réno-Dépôt’s French parent.
Some did not make it though: most notably, a team of buyers from Home Depot Canada had their flight plans to Chicago grounded at the last minute (see adjoining story).
Maple Leaf Night, the CHHMA’s Canadian buyer reception, remains, however, a focal point for Canucks in Chicago. This event was supported by the attendance of key Canadian buying personnel.
But the value of the show overall — at least as an annual event — is coming under increasing scrutiny. The Canadian sales manager from one U.S. based manufacturer said his Canadian buyer meetings at the show have been declining steadily. Standing in a booth that cost US$1 million, plus another US$10,000 in staff travel expenses, he said he met with 44 Canadian customers in 1999 and 37 in 2000. Last week, he had only 19 Canadian buyer meetings, two of which were no-shows. Based on this response, this vendor admits his company will rethink its strategy for next year.
The show is anticipating this kind of reaction from more and more exhibitors: before this show was even over, a notice was sent out discounting booth space for next year, though only by a dollar per sq.ft., to US$22.24 per sq.ft. The discount ends October 15, 2001. The notice also attempted to reassure exhibitors that they won’t get dinged too deeply by unionized service personnel. Finally, pricing for pre-show and in-booth promotions will be reduced by 5%.
______________________________________________
NARDELLI REVEALS DEPOT’S SHIFT TO
EXPO, URBAN STORE FORMATS
Speaking to a packed room at last week’s National Hardware Show in Chicago, Bob Nardelli, president and CEO of Home Depot, announced the company’s commitment to new store formats. "We are VERY excited about our EXPO platform," Nardelli emphasized. There are currently 45 such stores, but wants to up that to 100 in major markets within five years. However, that’s about half of what had been announced in the past.
Nardelli says another new concept will also get the push: the "Urban" store concept. Headed up by Home Depot veteran Bob Wittman and weighing in at no more than 80,000 sq.ft., they will backfill into smaller markets, operating on a "hub and spoke" principle, offering delivery from other larger nearby stores on product not carried in the smaller version.
In an exclusive interview with Hardlines, Nardelli explained the absence of Home Depot Canada from the show in Chicago last week. The decision not to come was a last minute one that came right from the Atlanta head office. Turns out Nardelli was to bring the entire board of directors up to see the Canadian operation first hand immediately after the show.
Nardelli told me coming up to Canada to see Depot’s décor and design centre that’s been developed in Toronto. Hints of it were tested at the Castlefield store in Toronto, and fine-tuned in the new Yorkdale store about three kilometres north of the Castlefield site. He wants the "soft-side DIY" approach rolled out chain-wide.
______________________________________________
* * * * HARDLINES MARKETPLACE* * * *
Check out Hardlines Classifieds on the web: https://hardlines.ca/html/classifieds_new.asp
______________________________________________
NORAL MARKETING:
Representing leading manufacturers since 1986. We ensure high profile retail presence for a wide range of product lines. Why not make yours one of them?
http://www.noralmarketing.com/ or call 519-439-6800 ext. 201
* * * * * *
THE HARDLINES MARKETPLACE: just $16 per line.
A classified ad with Hardlines is the most direct way to industry eyes.
Over 3,000 executives in the industry come in contact with our email and fax publications … and have you seen our Marketplace in our new website? https://hardlines.ca/html/classifieds_new.asp
Publish your ad where it matters. Get industry exposure today.
Contact us at 416-489-3396 or email: buzz@hardlines.ca
______________________________________________
Hardlines is published weekly (except monthly in December and August)
by McLARNEYCOM
542 Mount Pleasant Rd., Suite 302, Toronto, Ontario, Canada M4S 2M7
© 2001 by Michael McLarney.
HARDLINES™ the electronic newsletter hardlines.ca
Phone: 416.489.3396; Fax: 416.489.6154
Michael McLarney, Editor & Publisher: mike@hardlines.ca
Eugenia Canas, Assistant Editor: buzz@hardlines.ca
Beverly Allen, Marketing Manager: bev@hardlines.ca
Nancy Wright, Circulation Manager: nancy@hardlines.ca
______________________________________________
THE HARDLINES "FAIR PLAY" POLICY:
Reproduction in whole or in part is very uncool and strictly forbidden and really and truly against the law. So please, play fair! Call for information on multiple subscriptions or a site license for your company. We do want as many people as possible to read Hardlines each week — but let us handle your internal routing from this end!
______________________________________________
Subscription: $199+$13.93 GST = $212.93 (or $29.85 HST = $228.85) per year (GST #13987 0398 RT). Secondary subscriptions at the same office are only $28 + $1.96 GST = $29.98. You can pay online by VISA at our secure website or send us money. Please make cheque payable to McLarneyCom.