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Michael McLarney, President & Editor
mike@hardlines.caBeverly Allen, Publisher
bev@hardlines.caJohn Caulfield, Contributing Editor
Phone: 416-489-3396
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| January 5, 2009, Volume xv, #1 | |
| In This Issue | ||||||||||||||||||||||||||||||
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“Only two things last: shoes too small and foolishness.” —Hamilton Wright Mabie (Minou Drouet (French poet, 1947- ) |
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| Industry experts will present at new Dealer Conference | ||||||||||||||||||||||||||||||
| TORONTO — Understanding what’s ahead for the Canadian economy and how to compete against big boxes are just two of the hot topics being addressed at a new conference for home improvement dealers.HARDLINES, Canada’s news and information service for the retail home improvement industry, has joined forces with global building products manufacturer Johns Manville (JM) to create the first-ever Johns Manville Hardlines Dealer Conference. Keynotes and workshops will be offered on a range of topics aimed at helping independent building supply dealers cope with a tough year ahead.
To maximize accessibility of the event to independent dealers, the JM Hardlines Dealer Conference will be presented in conjunction with the Canadian Home Improvement Show, a high-impact buying event that attracts retailers from across Ontario and beyond, held Feb. 5-6, 2009 at the Toronto Congress Centre. The show is held by the Lumber and Building Materials Dealers Association of Ontario (LBMAO).
Leading retail and economic experts have been confirmed for the JM Hardlines Dealer Conference, including Pat Bolland, the insightful and outspoken broadcaster at BNN Television. Bolland will tell dealers how they can recession-proof their business with the latest information about where the economy is headed and how it will impact independent dealers.
Michael McLarney is the Editor of HARDLINES, the weekly newsletter for the retail home improvement industry. He will share the latest strategies of Canada’s big boxes and how they want to go after your business (including a close look at the new kid on the block – Lowe’s). Drawing on more than 20 years experience tracking the industry, and using the latest statistics on the growth of big boxes, drawn from the Hardlines Database, dealers will get a vivid picture of the strengths and weaknesses of this major competitive sector.
Learn how to beat the economic downturn by training your staff to better sales. The latest product knowledge training is now available to Canadian dealers, and NRHA’s Dan Tratensek will explain how it can work in your store. Mr. Tratensek will also make a presentation of techniques being used by U.S. dealers to weather the severe downturn that has stricken the economy there. “Best practices: top guns share their secrets” will offer a wealth of useful — and practical — tips for Canadian dealers.
Richard Simms, Consultant with Black Eagle Consulting, will talk about succession planning for your future and how to ensure maximum return on a lifelong investment. He will explain how succession planning is not a one-time event, but a lifelong process that encompasses a wide range of steps aimed at ensuring the continuity of your business.
The first-ever Johns Manville-Hardlines Dealer Conference will be held Feb. 5-6, 2009 at the Toronto Congress Centre, in conjunction with the Canadian Home Improvement Show. For more information and to register, contact the LBMAO at 905-625-1084, or click here.
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| Training is top of mind for top dealers | ||||||||||||||||||||||||||||||
| TORONTO — Many of Canada’s top home improvement dealers are recognizing the need for well-trained staff on the sales floor. With growth in home improvement sales forecast to slow to less than three% in 2008, a growing number of dealers are using an innovative training program from the North American Retail Hardware Association Canada.NRHA Canada’s comprehensive product knowledge training program, with modules for both hardware and building materials, is available online to every dealer who joins NRHA Canada. (NRHA Canada is represented and managed by Hardlines.) NRHA Canada has recently welcomed dealers of all sizes, from across Canada, to its ranks. These include: Kent, Turkstra Lumber, and RONA Arrow Building Supplies. They join existing members including Home Hardware Stores Limited, IRLY Distributors, Federated Co-operatives, and Ottawa-based Preston Hardware. “We use the online learning tool provided by NRHA for our departmental general product knowledge training needs,” said Patti Robichaud, Training Manager for Kent, the chain of 33 stores based in St. John, N.B. “We have found the module learning to be a user-friendly and creative solution satisfying our multi-location and virtual team training needs.” At the heart of NRHA Canada’s programs are the Basic Training Course in Hardware Retailing and Basic Training Course in Building Materials Retailing. Both contain everything hardware and home improvement retailers need to train employees to improve their skills, including interactive modules that cover product knowledge, selling tips and merchandising techniques. The course also includes testing and grading functions to ensure employees retain this information. All training programs have been customized for Canadian dealers. “For the dealer who is time starved and challenged with an overloaded schedule, these training programs from the NRHA can provide the solution,” said Bill Ferguson, dealer support manager for Home Hardware Stores Limited, the co-op representing more than 1,000 dealers nationwide, headquartered in St. Jacobs, Ont. Ferguson points to the ease of use as one of the key advantages of the NRHA’s training. “These programs are easy to use by the staff member and easy for the dealer to administrate. The staff member is provided with an on-line test that instantly evaluates their comprehension of the course completed. Staff can choose to take the entire course or concentrate on the product category that is most pertinent to their responsibility.” In addition, NRHA member retailers can take further advantage of their membership in their respective dealer association for further discounts in the cost of the training. Dealers who are members of the Building Supply Industry Association of British Columbia, the Western Retail Lumber Association, the Lumber and Building Materials Association of Ontario, the Quebec Hardware and Building Supply Association, or the Atlantic Building Supply Dealers Association receive a 10% discount off the regular NRHA Canada rate. For more information about NRHA Canada, click here. | ||||||||||||||||||||||||||||||
| Lowe’s begins next round of openings in Canada | ||||||||||||||||||||||||||||||
| BELLEVILLE, Ont. — Lowe’s opened its eighth store in Canada just before Christmas, and its first store for fiscal 2008.The 117,000-sq.ft. foot outlet, which features an additional 13,500-sq.ft. garden centre, is typical of Lowe’s large-footprint offering, with a full range of hardware, lumber, and building products. The store was also highlighted by a flair for merchandising that even impressed two visiting staffers from the nearby Home Depot. The Belleville store opens exactly one year after Lowe’s opened its first site in this country. Six more were opened within a month, then the company spent the rest of 2008 operating those stores and filling in its real estate pipeline to prepare for future openings. Does the latest opening reflect any major shifts in Lowe’s approach since first arriving here? “Mostly what we’ve learned has validated what we started with,” says Alan Huggins, vice-president operations for Lowe’s Canada. Some enhancements were made to core categories, such as plumbing and electrical, but otherwise the Lowe’s formula, as initially repurposed for Canada, has held up. “Where we thought there was a compelling difference we could make here, customers tell us that there is.” Those differences include maintaining high standards within the store that include clean, bright aisles and a strong focus on customer service. Some fine-tuning did take place however. Huggins points out that doors and windows are more prominently featured, more high-end products have been added, particularly in closet and storage organization (garage storage is a big category for customers in the Greater Toronto Area, he notes). Kitchen displays have become larger and more integrated, featuring shelf storage and more appliances, while throughout the store more special-order items are featured on end-caps and in portable vignettes. Otherwise, he says, there have been no major changes to the store or to the merchandise assortment. “Our customers have pretty much validated our concept,” Huggins says. The company will open three more this month, all in Ontario. The soft openings for each will be: Whitby (4605 Garrard Rd.), Jan. 13; and Windsor (1848 Provincial Rd.) and Barrie (71 Byrne Dr.), both on Jan. 27. This will bring the total number of Lowe’s stores in Canada to 11. | ||||||||||||||||||||||||||||||
| IRLY opens commercial division | ||||||||||||||||||||||||||||||
| SURREY, B.C. — IRLY Distributors Ltd. has established a new commercial division under the name IRLY Commercial Supply. This new division will service industrial accounts that are looking for a local source of goods.“We have been approached by a number of independent industrial suppliers seeking a local source of distribution to support their businesses,” says Brad Dixon, IRLY’s business development manager. “With our Surrey based warehouse, expertise in distribution and diverse mix of products it is a natural fit to support the light industrial and commercial independent dealers of Western Canada.” IRLY’s first commercial account is North Shore Doors, a door and window supplier located in North Vancouver, B.C. | ||||||||||||||||||||||||||||||
| Taiga unveils succession plan | ||||||||||||||||||||||||||||||
| BURNABY, B.C. — The board of directors of Taiga Building Products Ltd., one of Canada’s largest building materials distributors, has approved a succession plan for Taiga’s senior management. Jim Bradshaw, formerly Taiga’s president and COO, has assumed the position of CEO. A 32-year veteran of the company, Bradshaw was most recently responsible for operations and product line development. He replaces Dr. Kooi Ong Tong, who has stepped down as CEO. He will, however, continue as executive chairman of the board and remain active in the business’s strategy via its executive committee.Cam White takes over Bradshaw’s duties as COO, adding them to his existing title as Taiga’s executive vice-president, sales and operations. White, who has been with Taiga since 1973, will work alongside Bradshaw to seek out new sales growth opportunities and manage costs through the current downturn. Doug Morris, Taiga’s evp, supply and major accounts, will retire effective March 31, 2009. Considered one of the key builders of Taiga in Eastern Canada, Morris has contributed to Taiga’s growth opportunities and will remain a key advisory resource to the company. | ||||||||||||||||||||||||||||||
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NRHA LAUNCHES A NEW INTERACTIVE WEBSITE:
The North American Retail Hardware Association has a new website — one that makes it easy to access the information and training independent retailers need to stay competitive and in-the-know. It’s like a store that’s always open 24 hours a day, seven days a week. Get details about products and manufacturers, read industry reports and find out about today’s newsmaker. Click here.
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| COMPANIES IN THE NEWS |
| LONGUEUIL, Que. — The building materials association representing Quebec dealers enters 2009 with a new name, a new conference — and a profit on the bottom line. The Building Materials Dealers Association of Quebec (ADMACQ) has been renamed the Quebec Hardware and Building Supply Association (AQMAT). The new name and direction of the association — which will be unveiled officially in Montreal on Jan. 21, along with other strategic initiatives that will be rolled out for the 2009-2013 period, under CEO Richard Darveau — marks a more horizontal representation of the market, and one not exclusive any longer to dealers. In addition, the association enjoyed a profit of more than $100,000 for fiscal 2008, following years of losses or breaking even. AQMAT’s first-ever annual convention will take place March 15, 2009, in Montreal.OKLAHOMA CITY, Okla. — Franklin Electric, a manufacturer of water pumping systems, has acquired CAL Pump, a move that increases Franklin’s position in the water transfer and water gardening markets. The company has also recently acquired the Little Giant Pump Company and Monarch Industries (Pump Division). For more than 50 years, CAL Pump has been manufacturing pumps designed for fountains, spas, ponds, parts washers, marine air conditioning units, and other applications. LONDON — According to a survey of 36 countries conducted on behalf of sponsor Checkpoint by the Nottingham-based Centre for Retail Research, the U.K. has the highest rate of retail theft in the world. Losses reached £4.1 billion ($7.3 billion), or 1.3% of retail sales, higher than the European average of 1.27%. Occasional shoplifters and organized gangs account for 42.6% of the theft in U.K. stores. NEW YORK — Amazon.com had its best holiday sales season ever, reporting a 17% increase in its online sales during its busiest day, Dec. 15. On that day, 6.3 million products were ordered, up from 5.4 million on the same day the previous year. However, according to SpendingPlus, which tracks credit-card spending, online sales in general were down by 2.3% this holiday season, compared to last year’s. BENTONVILLE, Ark. — Wal-Mart plans to open its first Sam’s Club warehouse club store in Shanghai, in Pudong, later this year. This will be the fourth such outlet in mainland China. Wal-Mart introduced Sam’s Club to the Chinese market in 1996. LONDON — Shortly after Christmas, Woolworth’s, the venerable British mass merchant, closed 200 stores. Unable to find a buyer and with debt that has climbed to £385 million ($691 million), the remaining 600 stores are slated for closure this week. |
| ECONOMIC INDICATORS |
| Consumer confidence in the U.S. economy and their own future financial condition hit a record low in December, as measured by The Conference Board’s monthly index, which fell to 38 (on a scale of 100). In addition, Standard & Poor’s Case-Shiller index found that existing home prices — a barometer of homeowners’ perceived wealth — in 20 metro markets had fallen by 18% in October from the same month a year earlier. Fourteen of 20 metro markets recorded record rates of annual declines. A spokesperson for the Conference Board’s Consumer Research Center said that the erosion in the confidence index “reflects the rapid and steep deterioration of economic conditions that occurred in the fourth quarter of 2008. The overall economic outlook remains quite dismal for the first half of 2009, and only a modest recovery is expected in the second half.” |
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Industry Resumés |
| Just Posted I am an accomplished sales professional and solution-oriented person who thrives in challenging, fast paced environments where my performance directly impacts the bottom line. In addition, I have solid organizational leadership and decision-making skills that can make an immediate contribution to your operations and business development. Currently, I am seeking a position where I can continue to uphold strong sales and performance standards. |
| Just Posted Experienced Sales Accounts Manager - Senior Buyer with 20 years of knowledge and contacts in the building supply industry. Excellent organizational and analytical skills complimented by my outgoing and positive attitude will make me a great asset to your companies team |
| Just Posted Enthusiastic, versatile buyer/category manager with experience in sourcing a wide assortment of goods and services. Offers experience in negotiations, brand development, merchandising, vendor management, competitive analysis, inventory management and business development. |
| Posted last week Entrepreneurially focused, front-line retail marketing professional with organizational and strategic marketing talents; combines a unique blend of product and market knowledge with solid business development abilities. |
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Posted last week Achievement-oriented, entrepreneurial and creative. Ability to motivate and lead others. Extensive experience in marketing, sales and retail operations.. Full computer literacy, Cad, Coral, Windows etc. |
| Seasoned Territory Manager - skilled in building and maintaining customer relationships in the retail building supply channel and industrial tooling & consumables sector. Looking for an exciting new challenge with progressive, growth oriented company calling on all sectors from distribution to end users. |
| Well respected Sales Professional, established relationships in Mid West and South West Ontario. An excellent team player who achieves ongoing success with peers and customers by building morale, maintaining teams' self-confidence and encouraging them to build the sale by improving their people skills, communication skills and Product Knowledge. |
| “Strategic Sales and Marketing Executive available to achieve your top line and bottom line results during these challenging economic times…..If it is leadership, entrepreneurial spirit and passion you seek, look no further…..” |
| Achievement-oriented, entrepreneurial and creative. Ability to motivate and lead others. Extensive experience in marketing, sales and retail operations.. |
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A highly qualified sales/marketing and senior buyer with over 25 years experience and a proven track record is seeking a senior management position with a growth-oriented corporation where leadership and strong communication skills will have an impact on profitability, productivity and market share. |
| Sales professional - established relationships with key clients in the hardware, building materials, and paint industries, team player, superior business development skills, competitive, enjoys challenges. |
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