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CONNECTING THE HOME IMPROVEMENT INDUSTRY
 
July 6, 2020 | Volume xxvi, #27
  IN THIS ISSUE:
  • Lowe’s Canada confirms move to virtual fall RONA Buying Show
  • CEO Boyden Moore explains Orgill’s pandemic response strategies
  • FROM THE ARCHIVES: Hardlines goes on radio, explains Home Depot expansion

PLUS: Lowe’s Canada extends salary boost, Canac suspends online orders, WRLA launches “shop local” campaign, Cobra Anchors gets lines in Home Depot, Lowe’s Canada’s big new DC, building permits bounce back, new HR exec at Lowe’s in Atlanta and more!

 
 
 
 
Lowe’s Canada confirms move to virtual fall RONA Buying Show

BOUCHERVILLE, Que. — Lowe’s Canada holds a Buying Show each fall to allow its RONA affiliated dealers to see what’s new for the upcoming year and make purchases, while networking with colleagues and suppliers.

Under the current pandemic, however, the retailer has decided to adapt a new event format and will meet with its dealers exclusively online this fall. Starting October 19, RONA affiliated dealers will have access to a platform developed by Lowe’s Canada, which, the company promises, will give them a completely renewed shopping experience.

The dealers will have access to a platform showcasing flagship products and new items from a range of suppliers, all while enabling dealers to interact with their representatives. To help dealers make informed choices, the Lowe’s Canada team will accompany and guide them throughout the show. As always, dealers can count on discounts, workshops and expert advice this year.

The move to a virtual event follows a trend in this industry—and universally—under the COVID-19 lockdowns. BMR Group announced a similar move just two weeks ago for its fall dealer market, moving it from early November to begin on October 5, just two weeks ahead of the RONA show. Home Hardware will host its second virtual market September 13 to 20, while hardware wholesaler Orgill will host its own online buying event from August 24 to September 4.

 
 
Hardlines
Orgill CEO explains his company’s pandemic response strategies

MEMPHIS — Orgill Inc.’s president and CEO, Boyden Moore, recently spoke with our partners at the North American Retail Hardware Association (NRHA), through its publication, Hardware Retailing, about how his company is adjusting and responding to the current conditions under COVID-19.

Moore talked about Orgill’s plans to manage its supply chain and accommodate shortages or delays. His management team, he says, has been holding daily video conference “huddles” to give updates on the safety and health of employees and to review any changes to the supply chain. They also study feedback from conversations Orgill’s sales team and senior management have had with customers.

More than 85 percent of Orgill’s employees are working from home, while the company’s 400 field sales reps are coordinating with customers via phone, email and video conferencing. “We’re also communicating often—many times each week—with our customers via email and through a resource area we’ve created on our website,” Moore says.

Moore stresses that any dealers who have questions or concerns about products or deliveries should start with their own Orgill rep. “We are fortunate to have many points of contact with our retailers. Our sales team is the best starting point for most Orgill customers, as they are closest to them and they have the most current product information from the appropriate distribution centre.”

He adds that staying in touch with vendors remains critical. “On the buying side, our merchants have been effective working with our vendors remotely. We have also created and shared documentation that supports vendors who are a part of our supply chain of ‘essential services’ and were initially asked to close by local authorities.”

Moore offers some recommendations to help retailers continue the supply chain through to their customers while keeping health and safety top of mind. “The best-practice recommendations here involve constant communication with both customers and employees. Professional customers may have specific needs as they work to complete jobs in progress, and retailers should reach out to key customers and help them plan. Retail customers need information as conditions change.”

Moore urges dealers to use timely communication channels like email and social media to stay in touch with their customers. They will want to stay informed about changing store hours, product availability, new or expanded services and safety practices. “We have found that customers appreciate the opportunity to be able to hear about these things in real time, so they can efficiently plan their time away from their homes.”

 
 
FROM THE ARCHIVES: Hardlines goes on radio, Home Depot slows expansion

WORLD HEADQUARTERS, Toronto — This week 25 years ago the headline in Hardlines was a “Home Depot Expansion Update: Need for ‘Breathing Room.’”  And that was also the topic of Hardlines’ first appearance on radio.

The publication’s founder, Michael McLarney, was invited on CBC morning radio in Edmonton to talk about the expansion plans of Canada’s newest player on the home improvement scene. The host asked about why Home Depot had slowed its expansion in Canada. McLarney said the company was busy focusing on the U.S. market, where it had tough competition. “But they’re by no means stalling. They’ll be full steam ahead up here,” he noted.

Home Depot did face other big box competition in Canada—and Edmonton was a virtual hotbed. Revy, which was later bought by RONA, was aggressively expanding with big boxes of its own, including four in Edmonton. An upstart chain from Oregon, Eagle Home and Garden, had also opened stores there. “It’s been a laboratory, a battle ground, for big box stores,” McLarney noted.

In that week’s edition of Hardlines, the corresponding article stated that Home Depot had expanded its business in Canada by more than 55 percent in the first year after arriving here through acquisition of five Aikenhead’s stores. According to Home Depot Canada’s then-president, Stephen Bachand, “We are definitely not scaling back on our original plans to build up to 50 stores in the Canadian marketplace.”

That prediction turned out to be something of an understatement. There are currently 182 Home Depot stores across Canada.

As for our trusty editor’s on-air career, the radio gig was actually his second time in front of a microphone. The first occurred some months earlier, when a television crew from CFMT Multilingual Television, or MTV (now OMNI), arrived at his modest basement home office. The topic was the future of MAAX Bath, at the time an up-and-coming shower and bath manufacturer based in Quebec.

Eager to see this first on-air appearance, his family got to watch him two days later when the show was aired, dubbed into Mandarin for the station’s multi-cultural audience.

 
 
People on the Move

At Orgill, Marc Hamer has been appointed to the newly created role of EVP, chief digital and information officer. In this position, Hamer will lead the digital and data strategy, information systems, information security and all technology teams across Orgill’s distribution business, Tyndale Advisors and Central Network Retail Group.

Lowe’s Cos. has appointed Janice Dupre Little as executive vice president, human resources. She joined Lowe’s in 2017 and most recently served as senior vice president, diversity and talent management. Prior to Lowe’s, Little held senior HR roles at McKesson Corp. and Dell. She replaces Jennifer Weber, who left the company in April.

DID YOU KNOW...?

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RETAILER NEWS

QUEBEC CITY — Canac has suspended online orders as a surge in demand has left it scrambling to keep shelves filled in stores. Building materials grew in popularity at the outbreak of the pandemic, and with summer arriving, customers are flocking to buy seasonal items.

BOUCHERVILLE, Que. — Lowe’s Canada has announced that its workers will continue to receive their temporary $2 hourly wage premium through July. The premium applies to full- and part-time front-line workers at corporate stores under all Lowe’s Canada banners, as well as in contact centres and supply chain facilities. While many retailers rolled out wage bonuses upon the outbreak of COVID-19, several major companies including Loblaw and Walmart announced this month that they would discontinue these as life adapts to a “new normal,” garnering criticism from labour advocates.

SEATTLE — Amazon will open its second fulfillment centre in Ottawa, with an anticipated opening date some time in 2021. The warehouse will be Amazon’s eighth in Ontario and 14th overall in Canada.

BOUCHERVILLE, Que. — Lowe’s Canada’s new distribution centre planned for the Calgary area will be the largest DC in Western Canada. According to the company, the building will have a 36-foot clear height, and be served by 74 dock doors, 406 trailer parking stalls and a pickup area for customers. Other features will include a 325,000-square-foot racked area and a 625,000-square-foot bulk storage area. The facility will also house offices—an 11,000-square-foot main office and a 7,000-square-foot warehouse office.

SUPPLIER NEWS

WINNIPEG — The Western Retail Lumber Association (WRLA) has launched a “shop local” campaign on social media and within its member stores. The public awareness campaign urges people to “build up” their local community by shopping at their local building supply store.

MONTREAL — Cobra Anchors has concluded another supply agreement with The Home Depot that will see the retail giant carry Cobra’s Parawedge line in all U.S. stores. The agreement adds to the other lines of Cobra’s hollow wall anchors already carried by Home Depot.

CORRECTION: In our story on electronic shelf labels last week, SoluM’s European head office in Germany was misidentified as its world HQ. In fact, SoluM global operations are based in Seoul, Korea. Hardlines regrets the error.

ECONOMIC INDICATORS

The total value of building permits in May bounced back 20.2 percent to $7.4 billion, following declines of 13.4 percent in March and 15.4 percent in April. This was the largest percentage increase since March 2009, and it coincided with the relaxing of COVID-19 construction restrictions in Ontario, Quebec and Prince Edward Island. The vast majority of residential gains were attributable to increases in the value of permits for single-family homes, which rose by a record 37.5 percent. (StatCan)

NOTED

Small family businesses, as well as those who employ contractors, can finally access the Canada Emergency Business Account program, thanks to new federal rules. Companies with payrolls amounting to less than $20,000 can now apply for loans of $40,000 provided that they have at least that much in eligible expenses.

OVERHEARD...

“I’m trying to find, for example, black earth. I have no more straw. There has been a tremendous appetite for gardening products and patio wood. I also have a few pieces of outdoor furniture and barbecue, but I never saw that train [of events] coming.”
Canac President Jean Laberge, speaking to Le Journal de Montréal about the popularity of garden products at his stores, which has left shelves empty during the COVID-19 pandemic.

 

 

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