WORLD HEADQUARTERS, Toronto — In 2012, fashion buyer Vava Valentina and fashion designer Angela Phung met through a mutual friend. Over lunch, the two talked about how fun it would be to do something together. Driving down Toronto’s hip Queen Street, Vava saw a “For Rent” sign in a store window. Angela said, “Let’s do it!” Not even knowing each other’s last names, they signed their lives away together.

That sense of spontaneity and imaginativeness has made The Store on Queen, better known as TSOQ, one of Queen Street West’s coolest destinations. Those qualities are also why the store is being featured at the 24th annual Hardlines Conference, as Vava and Angela will kick off the two-day event on November 13.

With special sales events, customer-appreciation parties and women-only pajama nights, TSOQ is a clothing store that has built a culture of community and empowerment for the women who shop there. Count on Vava and Angela to challenge the audience with new ways to engage customers. (“You’re not on Instagram?” Angela asks. “Ninety percent of our sales come from Instagram!”)

But more traditional retailers will also be represented at this year’s conference. Canadian Tire will be featured in a “fireside chat” on the importance of loyalty and analytics programs for driving the customer experience online.

Two executives, Shawn Stewart, vice president, loyalty and customer insights at Canadian Tire Retail, and Erin McFeetors, VP sales support and operations for the Canadian Tire banner, will talk about the importance of loyalty and analytics programs. The question-and-answer session will be hosted by Paula Courtney, chief strategist at WisePlum, a company that provides research tools to measure specific customer insights.

The 24th annual Hardlines Conference will be held November 13 to 14, 2019, at the Kingbridge Centre in King City, Ont., just 30 minutes from Toronto’s Pearson International Airport. With the theme, “It’s All About The Experience”, this year’s event will feature some of North America’s top thought leaders in hardware and home improvement retail. (To register for this incredible event, please click here.)

SPECIAL REPORT — As home improvement retail banners refine their offerings, many are focusing more than ever on private label, or exclusive, products. Whether they’re appealing to a “made in Canada” demographic or the allure of well-known and respected brands, exclusivity has a certain cachet in the eyes of a consumer.  

Federated Co-operatives Limited has been focusing in recent years on its “Made By Us” initiative. The program has the co-operative working closely with domestic producers to spotlight its private-label lines made with small Canadian manufacturers.

Last year was the program’s second year and the first to promote hardlines products. Its TV and social media spots featured FCL’s own Imagine line of paint brushes and rollers and told the story of how Co-op makes these applicators together with Bennett Tools in Concord, Ont., which claims to be the only remaining Canadian manufacturer of paint tools.

For Canadian Tire, private label brands have historically been an important part of its business. The company continued to build its collection of brands as it finalized its acquisition of Norwegian outdoor apparel company Helly Hansen last summer. And in a call with analysts recapping Canadian Tire Retail’s financials for 2018, Allan MacDonald, executive vice president-retail, said the company plans to continue growing its house brands through 2019. “Owned brands are an important part of our strategy and we’ll be continuing our efforts to build world-class owned brands and assortments.”

Lowe’s Canada has also been building up its exclusive brands, confirming last spring that the company’s Lowe’s, RONA and Ace stores would exclusively carry the Craftsman tool brand in Canada. The addition of the line was formally launched at the RONA and Ace buying show last fall, and Annick Day, national director of RONA dealer support, anticipated it was going to be a major deal for retailers.

(This is an excerpt from a larger article that appears in the latest issue of our sister publication, Hardlines Home Improvement Quarterly. HHIQ is mailed to 11,000 dealers and managers across Canada four times a year. Free to retailers and managers, you can get your own subscription by clicking here!)

SPECIAL REPORT ― Amazon Prime Day, the e-commerce giant’s annual shopping event, was on July 15 and 16 this year. And it set new records for the company, leading to more sales than Amazon’s Black Friday and Cyber Monday events combined.

But companies like Ace Hardware and True Value found ways to make their own mark online.

Amazon says that worldwide, Prime members purchased more than 175 million items over the two-day sale and saved more than $1 billion. The company says Prime Day items were sent to customers faster than ever before thanks to one- or same-day shipping.

More people signed up for Amazon Prime on the first day of the sales event than in any other day in the company’s history. Top-selling items for this year’s Prime Day included robotic vacuums, smart garage door openers and the Amazon Smart Plug, a device that lets users control devices through Alexa, Amazon’s virtual assistant.

In the U.S., other major retailers staged sales that coincided with Amazon Prime Day. Ace Hardware began its first Ace Rewards Day event while Prime Day was in full swing. The co-op offered 15% off name-brand items across several categories, including power tools, outdoor power equipment, patio furniture, sheds, smokers and grilling accessories. It also offered free delivery for all purchases made during the promotion.

Similarly, True Value offered an online-only flash sale for its e-commerce customers.

Walmart launched a “summer sales event” that coincided with Prime Day. Best Buy, eBay, Target and other companies also publicized online sales during Amazon’s sales event.

COLOGNE, Germany — For retail buyers and suppliers who deal in the lawn and garden category, a trade show in Cologne, Germany, will be an important destination this fall.

Addressing everything from gardening and the latest live goods to outdoor power equipment and patio furniture, spoga+gafa opens its doors from September 1 to 3, 2019. Calling itself the world’s largest garden fair, it will feature 2,152 exhibitors from 61 countries showcasing their wares to 40,000 visitors from 114 countries.

Along with new products, the show will be a forum for the latest trends driving garden, outdoor living and leisure. These will include:

New looks and colours for outdoor furniture. Look for products suitable both for use in small areas as well as for luxurious seating ensembles. Look for vibrant colours on high-tech fabrics that are stain resistant and fast drying with soft contours and an increasingly more living room-like appearance.

Activity islands. Expansive areas for relaxing, with a sunroof that protects against the elements. Lighter and more mobile alternatives are available in the form of beanbags made of waterproof textiles as seating and lounging options.

Ergonomics and ease of use. For the ageing homeowner, devices like barbecues have to be easy to assemble and to operate. On the furniture side, low and comfortable models such as the classic wing chair, rocking chairs or daybeds are experiencing a renaissance for outdoor living. Footrests or storage space for books and drinks also increase comfort and practicality.

For dry summers, automated irrigation. Devices and automatic systems for irrigating the garden are becoming more popular. Smart devices are a trend in this segment. Equipped with sensors, they recognise when it’s necessary to irrigate to ensure efficient water use. And they can be operated with a smartphone.

More grilling diversity. Barbecuing remains a favourite open-air pastime. But as diet and tastes change, accessories on the latest high-tech grills provide options for smoking, curing or baking. High-temperature models lend meat a totally new flavour. Multi-functional is also the motto for accessories such as barbecue lights with LEDs and integrated Bluetooth loudspeakers.

Weatherproof cooking enjoyment. Modern kitchen units for outdoors can be individually combined with elements like sinks, fridges or worktops using modular construction and can also be safely installed on a balcony. Specially designed frame profiles or special supports are extremely weatherproof and can be coated with different colours. Foldable side panels offer protection against wind and rain.

(Hardlines will be at spoga+gafa in Cologne, Germany, September 1 to 3. To learn more, click here. And to secure your ticket now, click here.)

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MELBOURNE — Bunnings head Michael Schneider is setting off on a tour of Israel, The Australian reports, in order to bring his executives together with leading tech firms. The retailer is pursuing opportunities in cyber security, according to the report, and the tour will focus on security, robotics, fraud detection, data analytics and artificial intelligence. Parent company Wesfarmers previously took executives through Germany in order to gain DIY insights from firms such as Hornbach and Bauhaus.

SUPPLIER NEWS

CLEVELAND — Sherwin-Williams Co. says it earned profits of $471 million in Q2. The paint manufacturer reported net income of $5.03 per share and adjusted earnings of $6.57 per share. Total revenues of $4.88 billion, a 2.2% increase fell short of a projected $4.92 billion. Net sales at U.S. and Canadian stores open more than 12 calendar months increased 4.3% in the quarter.

VANCOUVER — A B.C. conservation group has accused CanWel Fibre of “liquidating” the endangered whitebark pine tree, CBC News reports. “Canwel [Fibre] is logging in sub-alpine areas where rare whitebark pine is found,” said Wildsight spokesperson Eddie Petryshen. The group says CanWel has cut more than 35 truckloads of the species over the past 18 months. The B.C. government is looking to prepare recommended standards for logging on private lands by the fall.

VANCOUVER — West Fraser Timber reported a Q2 loss of $58 million, or $0.85 per share, compared to a $5 million ($0.07) loss a year ago. Sales rose to $1.317 billion from $1.241 billion in Q2 of 2018. The company said that softer commodity pricing across segments dragged operating earnings. The quarter also saw the retirement of Ted Seraphim as CEO and his succession by Ray Ferris on July 1.

CHARLOTTE, N.C. — Honeywell International reported Q2 earnings of $2.10 per share, down 1% from a year ago. The conglomerate said sales declined 15% on a reported basis but were up 5% on an organic basis. The discrepancy was attributed to spinoffs from its aerospace and building technologies businesses. Honeywell Building Technologies sales for the quarter were up 5% on an organic basis, driven by strong performance in commercial fire products, building management software and global building solutions projects growth.

ECONOMIC INDICATORS

Total investment in building construction increased 2.2% in May to $15.2 billion. A 2.8% gain in the residential sector (to $10.4 billion) led the increase, while the non-residential sector edged up 0.9% to $4.8 billion. Investment in multi-unit dwellings rose 7.6% in May to $5.5 billion, led by higher investment in B.C., which accounted for approximately three-quarters of the national increase. Investment in single-unit dwellings declined 2.2% to $4.9 billion. (StatCan)

Retail sales in May declined for the first time in four months, edging down 0.1% to $51.5 billion. Sales of building materials and garden equipment, however, rose by 0.2% to $3.25 billion. Excluding sales at motor vehicle and parts dealers and gasoline stations, retail sales decreased 1%. Sales were down in four of 11 sub-sectors, representing 39% of retail trade. (StatCan)

U.S. housing starts declined by 0.9% in June to a seasonally adjusted annual rate of 1.253 million units. Single-family homebuilding increased by 3.5% but was more than offset by a sharp downturn in multi-family dwelling construction. Building permits for the month plunged by 6.1% to a rate of 1.22 million units. (U.S. Commerce Department)

NOTED

In April 2018, Amazon announced its Prime membership program had surpassed 100 million customers worldwide.