This year’s Hardlines Conference promises to bring together another world-class lineup of industry experts and retail thought leaders. And it’s being held at an equally world-class destination, the Fairmont Le Manoir Richelieu, in the Charlevoix region of Quebec, Oct. 22 to 23.

To present this year’s conference in la belle province, we are proud to collaborate with the Quebec Hardware and Building Materials Association (AQMAT), Quebec’s hardware and building supply industry association, which is offering up major support for this event. “AQMAT has chosen not to hold its usual annual congress in 2024 so that all the spotlight can be on the first edition of the Hardlines Conference to be held in Quebec,” said Richard Darveau, president of AQMAT and the founder of the buy-Canadian program, Well Made Here.

At the Hardlines Conference, you will join your colleagues and customers for two incredible days of information and inspiration, as well as a fantastic networking experience. This year’s speaker line-up includes executives from RONA, BMR Group, Lee Valley Tools, Altus Group, Gibson Building Supplies, and more.

Our confirmed speakers so far are:

• Alexandre Lefebvre, president and CEO of BMR Group
• David Collas, general manager of Les Mousquetaires, the European-based buying group representing 4,000 points of sale internationally
• Jason Tasse, president and CEO of Lee Valley Tools
• Helene Loberg, sustainability manager for IKEA Canada
• Richard Darveau, president of AQMAT
• Pierre Battah, nationally recognized HR advisor and workplace expert
• Michelle Chouinard-Kenney, CEO of Gibson Building Supplies, a major GSD in Ontario
• Sherri Amos, director of dealer support, Home Hardware Stores Ltd.
• Peter Norman, vice-president and chief economist at Altus Group
• Alain Ménard, vice-president at RONA inc.

“We are excited to take the Hardlines Conference to the province of Quebec, which has such a vibrant and diverse home improvement market,” said David Chestnut, vice-president and publisher at Hardlines Inc. “And our venue this year, the Fairmont Le Manoir Richelieu in Charlevoix, is a truly world-class destination that will give delegates a chance to savour the province’s beauty while building their business and their professional contacts.”

The Hardlines Conference is a key annual gathering point for top retail executives, leading dealers, major vendors, and, of course, features a prestigious roster of Canadian and international presenters. It’s also just plain fun. Please save the date for the 28th Hardlines Conference at the Fairmont Le Manoir Richelieu, in La Malbaie, Que., Oct. 22 to 23.

As a Premium Member (thanks to your subscription to this newsletter), you have front-of-the-line access to this year’s conference and registration that’s 20 percent off the regular price.

(For more information about the 2024 Hardlines Conference, click here.)

With the latest—and the final—round of store conversions of its remaining Lowe’s stores, RONA has declared the “sunset of the Lowe’s banner in Canada.” The last remaining 15 Lowe’s stores, out of a total of 62 in this country, were converted to RONA’s new banner, RONA+ earlier this month. Six are in Calgary, five are in the Edmonton area, and there is one each in Red Deer and Lethbridge, Alta., and Abbotsford and Vancouver (Grandview), B.C.

Also, RONA has moved to convert another two Réno-Dépôt big boxes to the RONA+ banner. The conversions, in Sherbrooke and Charlemagne, join the previously-announced “pilot project” that will convert the Réno-Dépôt in Hull to RONA+ later this month. The timing of the Sherbrooke and Charlemagne conversions is set for April. The stores are among 21 locations carrying the Réno-Dépôt banner, which exists only in Quebec.

“The conversions to the RONA+ banner that took place in other Canadian provinces had a very positive impact on store performance,” said a spokesperson from RONA. Réno-Dépôt is a banner that targets decorators, contractors and knowledgeable DIY customers and has historically been one of the most successful big box banners in North America, according to Hardlines data.

Meanwhile, the flagship RONA banner has experienced a brand repositioning. It will “go back to its roots, focusing on its entrepreneurial DNA and putting the RONA brand front and centre of all its marketing offensives,” said the company.

That rebranding includes a series of ads devised by Sid Lee with a theme centred on people who love to create, both contractors and DIYers. In addition, the retailer continues to expand its RONA+ banner and roll out a renewed visual identity for RONA affiliated dealers (see our Dec. 18 issue—Editor).

The company is also launching a new reality TV show in Quebec: Le grand chantier RONA.

“This is the most significant repositioning of the RONA brand in the last two decades. We’re refocusing our marketing around RONA, putting this brand, with its 85 years of history and consumer trust, at the core of our efforts,” said Catherine Laporte, senior vice-president, marketing and customer experience at RONA inc. “By emphasizing our commitment to our customers, the uniqueness of our stores, and our relationship with local communities, we reinforce the values of proximity and commitment that distinguish our network.”

Federated Co-operatives Ltd. held its 95th annual meeting last week and shared its 2023 financial results. FCL reported $12.46 billion in total sales for 2023, down slightly from $12.52 billion a year earlier. However, net income was up more than 90 percent to $781 million. Based on these results, the company distributed $399 million in patronage back to local co-ops.

Based in Saskatoon, FCL is one of the largest companies in Saskatchewan. It supplies everything from groceries and ag products to building materials and fuel to 161 local Co-ops and two affiliate members across western Canada. Representing over 26,400 employees, these co-ops serve 2.1 million members and even more non-member customers through 1,600-plus retail locations in more than 650 communities.

Collectively, FCL and this group of local co-operatives form the Co-operative Retailing System (CRS). The company supports those co-ops, which represent more than 1,600 retail locations through western Canada, with strategy and logistics, operational support, business services, and marketing.

Home and Building Solutions (HABS), the division that serves FCL’s home centres, had sales of $379 million in 2023, down from $412 million in 2022. Net income dipped from $12 million to $9 million. FCL added one new home centre during the year, as well.

The HABS team sourced 21 new Canadian-made products last year, bringing the total offered to 3,048. FCL also continued to roll out the electronic shelf label program to help local Co-ops manage in-store pricing more effectively. By the end of 2023, more than 1.5 million active electronic shelf labels were installed across 130 Co-op stores. The rollout will continue in food stores throughout 2024, with plans to explore additional ESL capabilities and expand the program to other business lines, including its home centres.

In 2023, FCL continued to search out environmentally friendly plastic alternatives, and this commitment was reaffirmed when Co-op signed the Canada Plastics Pact (CPP) in January 2022. In alignment with changing federal regulations, the company says it made significant progress in 2023 with the elimination of single-use plastic checkout bags. It also found new sourcing and alternative options for small items like plastic cutlery and stir sticks, and reduced the use of Styrofoam in packaging for products sold through the HABS division.

Sollio Cooperative Group held its annual general meeting at the end of last month in Montreal. The parent of BMR Group announced its net earnings totalled $115.4 million in the fiscal year ending Oct. 28, 2023. That followed a net loss of $336.9 million in the previous year.

Sales declined from $8.4 million to $8.3 billion. At the same time, the company announced the buyback of $28 million in shares.

Sollio’s retail division, BMR Group, earned net income of $34.5 million in 2023, compared to $41 million the previous year, due in part to a “historic drop” in housing starts, particularly in its home province of Quebec. Total sales came to $1.46 billion, where the division had reported net sales of $1.57 billion for 2022.

The fiscal year saw major upgrades to 12 BMR stores in Quebec and Ontario, according to Sollio’s annual report. BMR also launched a new Vendor Excellence Program and marked the return of its in-person buying show in Quebec City, where it welcomed almost 1,200 participants.

Asked about BMR’s expansion plans, CEO Alexandre Lefebvre underlined the addition of a VP of business development, Simon Gouin, at the end of last year, which he described as “central to our growth strategy.” Lefebvre noted that BMR was attracting media attention as “the grouping for independent dealers throughout eastern Canada, so we’re canvassing across all banners.” He also touted its remarkable dealer retention, highlighting that for yet another year, “we didn’t lose a single retailer.”

He believes that stability sets the group apart. “I think that’s circulating through the industry” and the message is resonating with dealers of competing banners. Lefebvre says to watch for more announcements in the near future.

Regal ideas has named Corey Weir as territory manager for Manitoba, Saskatchewan, and northern Ontario. Weir was most recently with EAB Tools, where he climbed the ranks to become regional manager, taking the lead on major accounts in the U.S. and western Canada. He has also been a writer for TSN and a PR professional for the Edmonton Oilers.

At Wolseley Canada, Steven Beggs has been promoted to vice-president, human resources. He joined Wolseley Canada in 2019. In his new role, Beggs will oversee all facets of the human resources department and provide strategic direction to Wolseley Canada’s senior leadership team. Before joining Wolseley Canada, he held positions with The Home Depot and American Express. Additionally, he served for 12 years in the Canadian Armed Forces.

DID YOU KNOW...?

… that we are now inviting nominations for our 2024 Outstanding Retailer Awards? The Outstanding Retailer Awards are Canada’s only national awards program dedicated to celebrating the achievements of hardware, home improvement, and building supply dealers and their staff. The ORA Awards Gala Dinner will take place Oct. 22 at Fairmont Le Manoir Richelieu in Charlevoix, Que. If you are a winner, you and a colleague or family member will be there as our guest! Entries are due at Hardlines by June 14. Download the English ORA entry form here, and French ORA entry form here.

RETAILER NEWS

Three corporate RONA stores in Nova Scotia have been purchased by the new affiliated dealer and local businessman, Adam Barrett of Terraine Capital. The stores joining Terraine Capital are RONA Halifax, RONA Elmsdale, and RONA Tantallon. This acquisition means that all RONA stores in the Halifax regional municipality are now dealer-owned. Barrett’s company, Terraine Capital (formerly BlackBay Management), owns commercial and residential rental properties in the Halifax area. The deals for all three stores will close by March 24.

Gypsum Management & Supply Inc. has announced the completion of its acquisition of Kamco Supply Corp. Kamco is a supplier of ceilings, wallboard, steel, and lumber in the New York City area. Founded in 1939, it logged revenues of about $245 million last year. GMS has a growing number of stores in Canada, including Watson Building Supplies in the Greater Toronto Area, Slegg Building Materials on Vancouver Island, and Rigney Building Supplies in Kingston, Ont.

A new RONA store, MSJ Building Supplies, has opened in Barrington Passage, N.S. The business is owned by Tom MacDonell, who has a background in business and project development in the home improvement industry. The new store features 5,025 square feet of sales area and a 148,000-square-foot lumber yard. It represents a $350,000 local investment and created 10 jobs. Jim Allair is the store manager.

Corydon Hardware in Winnipeg will close its doors after 75 years in business. As he approaches retirement, owner Rob Benson doesn’t think a sale is viable, and he plans to rent the space out instead. The story of the closing has been picked up by various media, including CBC and the Winnipeg Free Press, and the store has become a lightning rod in local and national media for the vulnerability of independent retailers in today’s economic climate.

RONA has a new reality show, Le grand chantier RONA. It debuts on Quebec TV April 1. Produced in partnership with Noovo and Zone3, it’s hosted by Marie-Lyne Joncas, with the collaboration of designer Daniel Corbin and contractor, Pierre-Olivier Cantin. The premise of the show will pit 12 couples against each other over a 10-week period, as they complete a series of home improvement projects to win a fully-furnished new home worth $700,000.

Doman Building Materials Group Ltd., the owner of CanWel, has acquired, through its U.S. subsidiary, two lumber pressure-treating plants formerly owned by Southeast Forest Products. They are located in Richmond, Ind., and near Birmingham, Ala. The acquisition adds approximately 300 million board feet of annual treating capacity to the Doman Lumber platform.

Canfor Pulp Products reported a net loss of $96 million for the fiscal year 2023, compared with a $79.1 million loss in 2022. For the fourth quarter, the company narrowed its net loss to $13.2 million from $69.8 million a year earlier. Sales for the year fell to $875.5 million from $1.09 billion in 2022. In Q4, sales of $193.9 million were down from $268.1 million.

Canada’s central interest rate will remain at five percent, a level that has been maintained since July 2023. It was not lowered amidst fears that such a cut would further aggravate the country’s inflation and heat up the housing market. Canada’s inflation rate settled to 2.9 percent in January. The Bank of Canada’s target inflation rate is two percent. (Bank of Canada)