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October 8, 2012, Volume xviii, #38
“If your actions inspire others to dream more, learn more, do more and become more, you are a leader.” ―John Quincy Adams (American diplomat and 6th president of the United States, 1767-1848)
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TruServ show features services for independents
WINNIPEG ― RONA dealer Robbie McKay came in from Black Diamond, AB, southwest of Calgary, to attend his first TruServ show last week. And he liked what he saw. After walking the show at the Winnipeg Convention Centre, McKay observed that TruServ had a lot to offer for an independent like him. “I really see the TruServ lines rounding out the offerings in our store and that’s really important to me,” he said.
McKay has started to see a turnaround in his market and says September was his best month ever since opening five years ago. “To grow in this business you have to be a survivor,” he says bluntly. For him, surviving meant offering the convenience of local operator combined with staff expertise to his contractor-oriented customer base. “When things get tough, find your strength and your best niche.”
McKay was also pleased with a new program that has service teams calling on independents, regardless of banner, to offer services and support. According to Bill Morrison, president of TruServ Canada and vp wholesale for RONA inc., the “Our Dealers: PR1ORITY” program has assembled the largest service team in Canada. And it’s just one of the many things TruServ is doing, in conjunction with its parent company, RONA, to help independents. He said that, from 2013 to 2015, $1 million per year will be made available to distribute among all TruServ dealers to invest in their business.
Other highlights of the latest TruServ show included a big display for RONA’s own Haussman power tool line, and its Uberhaus hardware and workwear brand, plus demonstrations of microsites currently in the works to help dealers.
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Home Depot launches drywall delivery service
TORONTO — The Home Depot Canada recently launched a new service to make it easier for contractors — and even DIYers — to undertake their own drywall project.
The Drywall Direct delivery program was created to simplify the often cumbersome process of ordering and transporting drywall. Customers who call any time before 2 p.m. to order drywall will be guaranteed next-day delivery anywhere within a two-hour drive. The retailer also guarantees to deliver it anywhere on the jobsite, whether in a basement, second floor, or multi-storey scenario.
The minimum order for this free delivery service is $650, but this includes related products, including mud, tape, corner beads, and insulation.
The Home Depot’s Drywall Direct program is now available at more than 100 stores across Canada, covering most major markets.
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Young retailers share concerns
SPECIAL REPORT — This industry’s young retailers face new challenges as they assume the reins of a business that was, in many cases, in the hands of more than one generation of family before they took over.
For example, the purchase of a retail hardware business is not easy to finance, even when the organization has a solid transition plan in place, and this has made succession a major concern for owners. “The costs of capitalizing these operations are huge,” says RONA store owner Marc Palsson, of Gimli MB, “and getting new people involved, and financed, is going to be a big challenge.”
Drew Beaumont, 29-year old general sales manager at Lyons TIM-BR Mart, agrees. “It’s not like cash is readily available,” he says. “I think that buying groups for independents are going to have to come up with strategies to help people finance acquisitions.”
The next generation of customers also presents new challenges. “We’ve seen a larger increase in retail customers,” says Beaumont. “Ten years ago, we were probably 80-85% contractor. Now, we’re more like 45-55% retail.”
Todd Young, who co-owns a Home Hardware in Wasaga Beach, ON, and Beaumont both claim that this expanding customer base has less knowhow about home renovation. The need to provide more handholding for customers means operators will have to continue to retrain and restock in order to meet their demands.
One the other hand, these customers tend to spend considerable time trolling the web, and often arrive at the store with pre-conceived ideas. “People are researching a lot more at home, and coming in with products they already want,” says Beaumont. “Although you often have similar products, they’re often fixated on a product they found online.”
Those who embrace social media, too, can start a conversation with customers before they even enter the store. “We’re embracing Facebook,” says Young. “We’re going to have computer savvy, handy people that can help people fix things, maybe by watching a video of somebody fixing it.”
(These young retailers, along with Jamal Hamad, director Pro & Tool rental Services at Home Depot Canada, will share their insights in a panel discussion at the 17th Annual Hardlines Conference, Oct. 25-26 in Toronto. To learn more about the Conference, click here.)
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Toronto housing resales dip in September
TORONTO — Greater Toronto Area Realtors reported 5,879 transactions through the TorontoMLS system in September 2012. The average selling price for these transactions was $503,662, representing an increase in price of more than 8.5% compared with last year.
However, despite the rising prices, the number of actual sales was down by 21% from September 2011. (September 2012 had two fewer working days than September 2011. On a per working day basis, sales were down by 12.5% year-over-year.)
“While sales have been lower due to stricter mortgage lending guidelines, we continue to see substantial competition between buyers. The months of inventory trend remains low from a historic perspective, which explains the strong price increases we are experiencing,” said Ann Hannah, president of the Toronto Real Estate Board.
Based on inventory levels, price growth is forecast to be strongest for low-rise home types, including single-detached and semi-detached houses and town homes.
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China International Hardware Show hits new high
SHANGHAI ― 46,368 visitors attended and sourced as the China International Hardware Show 2012 drew to another successful close last week in Shanghai, China. This is a year-on increase of 17.22 % . This year, 2,400 companies from 20 countries and regions spilled across 103,500 square meters.
The event got off to a spirited start with 14,895 visitors registered on the first day ― a 17% jump from last year. They came to visit exhibitors from around the world. The largest contingent of manufacturers was from Taiwan. A total of 100 Taiwanese manufacturers occupied more than 2,000 square meters at the show.
The collaboration with overseas supporters including the International Federation of Hardware and Housewares Associations (IHA), the National Association of Home Builders from the U.S., and the European DIY-Retail Association (EDRA). Together, they brought buyers from about 90 countries and regions to the show. Retailers that attended included Walmart, Carrefour, Kingfisher, Lowe’s, Leroy Merlin, and Metro.
The next edition of CIHS will take place Sept. 19-21, 2013.
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Classifieds
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Program Manager Assistant - Lumber & Building Materials
CASTLE BUILDING CENTERS GROUP LTD. is the premier, independently owned buying group of lumber and building materials in Canada. Located in Mississauga, Ontario, Castle has an immediate opening for a Program Manager Assistant - Lumber & Building Materials.
Job Duties/Responsibilities:
- Execute, prepare, and organize all information flow between the Members, Vendor Partners with respect to programs and products. Liaise with members, Buyers and vendors in various program and product categories
Qualifications:
- Advanced Microsoft Office skills, excellent communication skills and strong organizational skills are a must.
- Bilingual, English & French both written and spoken would be an asset.
- Knowledge of lumber and building material products would be an asset.
Qualified applicants are invited to submit their resumes and salary expectations in Microsoft Word or PDF format to jobs@castle.ca . We thank you for your interest in this position however, only the most qualified applicants will receive responses.
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Member Support Assistant - Hardlines Quebec
CASTLE BUILDING CENTERS GROUP LTD. is the premier, independently owned buying group of lumber and building materials in Canada. As a result of the rapid growth of our Hardware Solution in Quebec, Castle has an immediate opening for a Member Support Assistant - Hardlines Quebec. This position will be based in the province of Quebec.
Job Duties/Responsibilities:
- Execute, prepare, and organize all information flow between the Members Vendor Partner with respect to Hardlines programs and products, in the Province of Quebec
- To manage product assortment needs in a growing Hardware environment.
Qualifications:
- Advanced Microsoft Office skills, excellent communication skills and strong organizational skills are a must.
- Bilingual, English & French both written and spoken.
- Knowledge of Hardlines products would be a distinct asset.
Qualified applicants are invited to submit their resumes and salary expectations confidentially, in Microsoft Word or PDF format to jobs@castle.ca We thank you for your interest in this position however, only the most qualified applicants will receive responses.
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Resumés
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