Hardlines Weekly Newsletter
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December 7, 2015 Volume xxi, #46

“I can't change the direction of the wind, but I can adjust my sails to always reach my destination.”
—Jimmy Dean (country music singer, TV host, actor, and businessman, 1928-2010)
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HOLIDAY PUBLISHING SCHEDULE: We take a bit of a break during the holidays, so there will be no weekly edition of HARDLINES on December 14 or 28. The World Headquarters will remain open until December 18, however, as we put the finishing touches on the next issue of our sister publication, Hardlines Home Improvement Quarterly magazine, which gets mailed to more than 11,000 dealers across Canada. Our regular weekly schedule will resume January 4.

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Lowe’s Canada opens giant regional distribution centre

MILTON, Ont. — Lowe’s Canada held an official opening of its new regional distribution centre in Milton, Ont., last week. The facility, half-an-hour west of Toronto, was erected for Target Canada, but vacated when that retailer exited Canada last year.

Many of the facility’s 330 employees were on hand for the ceremony. Mario Paradis, senior director of distribution, emceed the event. He was joined by members of Lowe’s management team, including Gregor Stuart, vice president of supply chain, and Wanda Walkden, VP human resources.

Paradis thanked his staff, saying, “You guys are the one who move the boxes. You’re the ones who keep our stores filled.” The facility is expected to employ up to 400.

Besides taking over this warehouse, Lowe’s purchased 12 Target retail sites that will be converted over the next 18 months. The next one to open will be in Ancaster, Ont. Other Ontario locations include Milton, Cornwall, and the Danforth neighbourhood in Toronto’s east end. Lowe’s currently has 40 stores in Canada.

Stuart noted that the new RDC will be instrumental in supporting not just Lowe’s bricks-and-mortar locations, but its online sales initiatives, as well.

The new RDC features about 1.3 million square feet of space, with room to expand by an additional 250,000 square feet in future. It features 197 bay doors—including 97 loading bays—plus a fully automated conveyor system that will move boxes at a speed of up to 630 feet per minute. It replaces an existing warehouse, also in Milton, that is 660,000 square feet in size.

The RDC has opened in time to manage extra capacity needed by the existing stores during the holiday season, while spring assortments will begin arriving by the end of this week.

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2016 Westcoast Building & Hardware Show partners with HARDLINES to offer dealer education

SURREY, B.C. & TORONTO — The next edition of the Westcoast Building & Hardware Show will feature a new, powerful educational component for dealers and retail managers and a new format for more exposure to end users.

Thanks to a new partnership with the Events Division of Hardlines Inc., the show, presented annually by the Building Supply Industry Association of British Columbia (BSIA), will feature a series of training and educational seminars to provide independent dealers and store managers with a full show experience to help them grow their businesses.

The combined event will be held March 11-13, 2016, at the Agriplex on the Cloverdale Fair Grounds in Surrey, B.C.

The Westcoast Building & Hardware Show will kick off with a breakfast speaker on both mornings of the show. Drawing on HARDLINES’ expertise and range of industry knowledge, topics will include industry trends, economic conditions, and an analysis of the West Coast home improvement market. The seminars will be carefully timed and will not interfere with dealers’ time on the show floor. A special presentation during the New Orion Awards and Supper will present information about the B.C. market that has been compiled exclusively for BSIA by HARDLINES.

Besides the powerful educational component of the show, retailers will be able to enjoy show specials from vendors. To make a dealers’ visit to the show a complete experience, a complimentary lunch will be provided by the finest local food trucks, and a chance to win incredible door prizes. Unique aspects of the Show, which sets it apart from any other buying show in the country, is that on Friday afternoon March 11, architects, designers, and contractors will be invited to attend seminars and to walk the show floor. In addition, on Saturday March 12 at 1:30, The Ultimate Home Show will open to the public. There will be onsite radio broadcasting. There will also be an “Ask the Expert” stage for presentations during the Home Show.

The BSIA is the official voice of the building supply industry in British Columbia. It is an association of retailers and related suppliers, wholesalers, and manufacturers who strive to provide information and services for members, promote the industry, and address issues of concern at all levels of government.

More details about keynote speakers for the Education Program will be announced in coming weeks. For more information about the show, contact the BSIA at 604-513-2205 or toll free at 1-888-711-5656; or info@bsiabc.ca.

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Spectrum integrates Canadian operations to focus on home improvement channel

SPECIAL REPORT — Spectrum Brands is a big company. It represents US$4.4 billion in sales through a number of divisions, and features a range of brands. However, in Canada, the company is working on marketing those various brands in a more cohesive manner to the home improvement channel.

First, a little background: Spectrum has four divisions. Batteries and appliances feature Rayovac and Remington, plus Black & Decker, George Forman, and Russell Hobbs small appliances. Hardware & Home Improvement (HHI) consists of the Stanley Black & Decker division, acquired in 2012, and includes Weiser, Baldwin, Kwikset, and Pfister. National Hardware is also part of this division, but was pulled from Canada earlier this year. There’s an automotive division (ArmorAll and STP) and a pet division.

Each division in Canada had worked discretely in the past, with their own sales forces and relying heavily on direction from the U.S. parent. But now, says Dave Albert, vice president of HHI’s International Business, the Canadian operation is seeking a more unified approach, especially, he says, as all those divisions have products that are sold through the hardware and home improvement channel.

So Spectrum has been integrating all the divisions in Canada. “We will be integrating into one office, coming on around February or March 2016, with about 60 people in that office,” Albert says. The company is looking for other ways to invest in Canada, as well. “We’re adding another 20 people in the next 90 days and that is part of looking at all our business and bringing it together under one structure.” The aim, he says, is to point all those diverse products more effectively into the home improvement channel.

Despite the retreat of National Hardware, Spectrum plans to put more emphasis on the remaining brands here. “We have a great portfolio of brands and we have a vision to be good stewards of those brands,” says Albert. “Each of those brands needs their own focus.”

Despite the departure of National Hardware, he believes a strong Canadian presence is crucial to that focus; there’s “a significant advantage to be in Canada for Canada,” with more autonomy than ever from the U.S. head office. “We want to maintain the focus and value proposition of each brand and leverage economies of scale.”

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Top Women include Canadian Tire’s Billes, Home Hardware’s Hand

TORONTO ― The Women’s Executive Network’s newly announced roster of Canada’s 100 Most Powerful Women includes names from the hardware and home improvement industry.

Christine Hand (shown here), chair of Home Hardware Stores’ board of directors since 2012, was recognized in the Corporate Directors category. Canadian Tire was represented by both controlling shareholder Martha Billes and Mary Turner, CEO and president of Canadian Tire Bank and senior VP of finance for corporate.

Comments were solicited from each winner on a range of topics. Hand said, “I would like to see more women take credit for their accomplishments without worrying about feeling arrogant or undeserving.” On the topic of embracing diversity in the workplace, she noted that “high-potential candidates must be balanced to reflect the makeup of your overall employee base. For instance, if 40% of the employees are female, then as leaders we should not accept a list of high-potential candidates that is 95% male.”

WXN founder Pamela Jeffery launched the Top 100 in 2003 to recognize the accomplishments of professional Canadian women. This year’s honourees were inducted recently at a gala at the Metro Toronto Convention Centre.

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FROM THE ARCHIVES: This week in 1995
HARDLINES readers got some encouraging news this week with a report that the economy was beginning to show some signs of recovery: both housing starts and building permits made positive gains. IRLY Distributors plans its golf tournament and OSRAM gets a new president. Plus, our very first Christmas message to our readers! Click here to read these blasts from the past!

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Coast Distributors has added two more sales reps. Randy Garrets (780-451-0606) is now representing Coast in Northern Alberta, while Leigh Allard (250-562-0625) has joined the Coast team, travelling Northern B.C. from Prince George to Prince Rupert. Both bring with them many years of experience in the hardlines industry. This brings the total of outside reps for Coast to 10.

Julie Pouliot, owner of Grant Home Hardware Building Centre in Kirkland Lake, Ont., has been elected to the board of directors of Home Hardware Stores Limited. She has owned and operated the store since 2003. She also operates two other Home Hardware Building Centres in Temagami and Temiskaming Shores, Ont.

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