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June 9, 2014 Volume

xx, #23 “And we should consider every day lost on which we have not danced at least once. And we should call every truth false which was not accompanied by at least one laugh.” —Friedrich Nietzsche (German philosopher, author and poet, 1844-1900 ) ______________________________________________________________________ Home Hardware & RONA: getting more selective about recruitment SPECIAL REPORT — The top executives from two of Canada’s largest home improvement banners may be heated competitors, but they agree on one point: the nature of dealer recruitment is changing. HARDLINES spoke recently with both Terry Davis, CEO of Home Hardware Stores Limited, and Luc Rodier, senior vice president of RONA inc. Both execs had a similar message about the recruitment—and defection—of dealers. For Davis, the challenge in many markets is the sheer popularity of the Home banner. That’s why efforts to enter new markets are often aimed at an existing dealer. “We’re not just pushing another store into a market, but we talk to the incumbent and convert them,” Davis says. RONA has faced the departure of a number of independent dealers over the past year, in light of the uncertainty that company went through during its first year under new executive leadership. “Yes, a number of dealers have gone to other banners, and that’s all part of the dynamic of the market,” Rodier admits. But he adds that RONA’s recruitment policy is much more strategic these days—to the point that many of the dealers who leave reflect a conscious decision by RONA not to retain them. “Not all dealers are a fit for RONA,” he says. For both Davis and Rodier, the goal of recruitment today appears to be maintaining a dealer base that conforms best to the ideals and philosophy of each company. “We really want to make sure the Home Hardware brand is well represented in the market and we’ve made the decision with some dealers that they are not the right fit for us,” Davis points out. Rodier concurs. “That’s probably the biggest change for the company—to work with the dealers we’ve got and make them more profitable.”

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Federated Co-op expands football merchandise for 2014 season (Left image) Calgary Stampeder Jon Cornish autographs boxes of cereal at the Stampeders’ Fanfest at McMahon Stadium. Cornish is featured on “Cornish Flakes” and “RB-Q Chips” as part of FCL’s Stampeders Game Day Approved product line, benefitting the Alberta Children’s Hospital Foundation. SASKATOON — Federated Co-operatives Ltd. is carrying a range of football-themed products this season, thanks to expanded licensing agreements with Western teams in the Canadian Football League. Saskatchewan Roughriders slotback Chris Getzlaf and quarterback Darian Durant (right image) will headline the Riders’ Co-op Game Day Approved roster with “Chris-py Dill Chips” and “Darian’s Quarterback Quench Sports Drink.” Riders’ Co-op products for 2014 include a bar fridge, hard hat, lounge chair, food cooler, and energy drink. FCL also has Game Day Approved products with the Winnipeg Blue Bombers, the Edmonton Eskimos, and Calgary Stampeders. Co-branded food and merchandise will be sold at Co-op locations in all four markets. A portion of sales from Game Day Approved products will be donated to local children’s hospital foundations in the three Prairie Provinces. A total of $416,000 has been raised since the partnership began in 2010. (Please note: HARDLINES has yet to receive samples for any of the snacks mentioned above, therefore, cannot comment on taste or quality of these great sounding products.)

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______________________________________________________________________ Chalifour’s top paint and décor buyer shares secrets of getting listed TORONTO — How to get a meeting with a Chalifour buyer? Ask Catherine Vaugh. She is the category manager for paint and décor at Chalifour Canada. Her company, which is owned by TIM-BR MART Group, is a full-line national hardware wholesaler that ships to 700-plus independents across Canada, including Ace, Pro, and TIM-BR MART dealers. As part of the hardware buying group Spancan, Chalifour also supplies members of the Independent Lumber Dealers Co-operative (ILDC) and Federated Co-operatives Ltd. But that means that new hardware products are viewed by Spancan, as well. And the focus is on relevance. “Ask yourself, ‘Will it really help our customer.’ It’s really important that vendors bring a relevant product with a relevant program,” Vaugh says. Chalifour’s category managers are charged with product selection, but also with merchandising, including flyers and online marketing. When a vendor gets to that all-important buying meeting, they have to be able to present a business case for their product, and let the Chalifour buyer see financials. Focusing on relevance again, a vendor should be prepared to get challenged on how much demand there actually might be for the product. Here’s what Vaugh says Chalifour is looking for from a vendor:
  • Retailer Partnerships. “We’re interested in the success of our dealers and we want vendors who are, too.”
  • DC/SupplyChain. “We expect a level of service to support our five Chalifour distribution centres nationwide.”
  • Branding & Packaging. “We will help you along the path to getting your product launched in the Canadian marketplace, including translation, etc.”
  • Code Compliance. “All our products must adhere to government standards and CSA requirements."
  • EDI. “Important, but not essential.”
  • Product Differentiation. “There needs to be uniqueness—and exclusivity is good, too.”
  • Research & Analysis. “We want to make sure you’ve done your homework.”
Finally, she stresses the importance of vendors bringing full assortments. “We don’t want to be ‘single-SKU Sally.’ We don’t want our customers to cherry-pick our lines. So planograms are important,” Vaugh adds. (To watch Catherine Vaugh at our latest Meet the Buyers Breakfast, click here for a four-minute video with tips on how to do business with Chalifour Canada! —Michael)

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______________________________________________________________________ Home Depot prepares to roll out customer order system ATLANTA — Home Depot launched its first in-store implementation of its new customer order management system (OMS). According to executives, Home Depot will roll out the OMS across the U.S. by the end of the year. The system “is designed for greater visibility and execution of special orders by our associates and a frictionless experience for our customers,” says Craig Menear, Home Depot’s president of U.S. retail. “When customers place an order they can understand the status of that order, including where it is in the process of manufacturing, and our associates will have visibility into store arrival so they can better answer consumers’ questions during that process,” Menear said. In the past, to get an update on an order, a customer would have call the store. Under the new system, customers will be able to get that information in real time—by mobile or desktop, text, or email.

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Classified Ads

National distributor of wood, metal and automotive machinery and accessories. Seeks an experienced

TERRITORY SALES REPRESENTATIVE for British Columbia

Ideal career opportunity for an agg\ressive, self-motivated individual with excellent interpersonal and communication skills.

Please forward cover letter and resume to: Ted Fuller E-Mail: tfuller@kingcanada.com

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Retail National Accounts Sales Manager, Toronto based

 A brand champion selling to home improvement retailers and mass merchants, this Canadian subsidiary is pursuing additional business and would be the perfect home for a sales driven, customer-intimate sales leader who wants responsibility for the strategic management of key Canadian national accounts. Specific duties will include:
  • Development and management of senior level relationships with key retailer personnel including merchants, directors and buyers;
  • Development and execution of a comprehensive plan to drive sales and profitability, including detailed tactics required to meet strategic objectives;
  • Field analysis and recommendations on key trends, competitive activity, and general marketplace activity;
  • Overcoming problems and finding satisfactory customer resolution;
  • Assisting in the facilitation of corporate projects and initiatives including, but not limited to, new products, pricing, promotions, and training programs.
Requirements:
  • Key Account management: the ability to provide input into new category ideas or solutions. Also able to solicit and understand Customer feedback and make appropriate recommendations to further increase penetration, sales and profitability.
  • Current or past successes in a retail national accounts role.
  • Possess the skill set to analyze product category for competitive positioning and marketing or promotional opportunities.
  • Resourceful; innovative, can find information when the answer is not known.
  • Self-driven, competitive, team oriented, wants to be the “Category Captain”.
This is an excellent career opportunity with a market leader in a collaborative, cohesive environment. Interested? Please forward your resume quoting NAM-Toronto to resumes@wolfgugler.com. Please note all responses will be forwarded directly to our client for their review and action. If there are any companies that you do not wish your resume forwarded to, please indicate those in your email and we will exclude your application. Wolf Gugler Confidential Recruitment Advertising, a division of Wolf Gugler Executive Search. www.wolfgugler.com. 888-848-3006. Offices in Canada and the U.S.

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