July 16, 2018 Volume

xxiv, #28

“Dream no small dreams for they have no power to move the hearts of men.”
―Johann Wolfgang von Goethe (German poet, playwright, scientist and statesman, 1749-1832)

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B.C. industry celebrates 80 years with gala dinner and Orion awards presentation

HARRISON HOT SPRINGS, B.C. – Dealers and suppliers from the home improvement industry in British Columbia gathered last week for a gala bash to celebrate their association’s 80th anniversary. The Building Supply Industry Association of B.C. (BSIA) hosted a roomful of members to visit table-top displays, network and celebrate award-winning companies and individuals.

Thomas Foreman, president of the BSIA, talked about the early years of the association as dealers banded together to manage pricing for lumber and building materials. He then took time to mention the latest initiatives his association is pursuing in partnership with other associations in the country. Four of the country’s regional building supply associations have joined to address concerns common to the entire industry across the country. Under the umbrella of the Building Material Council of Canada (BMCC), the groups are tackling the need for advocacy in Ottawa to get in front of politicians on issues such as tariffs and duties.

Another key initiative is to attract talented workers to the building materials industry, on the part of both the retailers and their suppliers. To that end, Foreman said, BMCC has launched a job board to help dealers find employees. “We have an employment crisis. It’s so serious we didn’t know what to do. So we started a career website nationally.”

Business leader and entrepreneur Peter Legge, chairman and CEO the magazine publishing company Canada Wide Media, was the keynote speaker, sharing his thoughts and inspiration for being a great leader.

The evening was capped by the presentation of the association’s Orion Awards, which acknowledge excellence among dealers and suppliers during the past year. This year’s winners were:

• urban hardware or rural lumber yard―Black Creek Farm & Feed Supply in Black Creek;
• contractor yard―Northcoast Building Products in Surrey;
• building supply centre (mini big box)―Mack Foster Building Materials RONA in Richmond;
• finishing and specialty products―Landscape Centre in Coquitlam;
• supplier―Taiga Building Products in Langley;
• salesperson―Ace Challes of Westform Metals;
• customer service―Marcus Kavanagh of Taiga Building Products in Langley.

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Hosted by its one West Coast member, TORBSA dealers gather in B.C. for AGM

WHITE ROCK, B.C. ― Members of TORBSA arrived last week in the town of White Rock, south of Vancouver, for the buying group’s annual general meeting, rounded out by a series of social events and golf. While the majority of TORBSA’s members are located in Ontario, it has one member, Crown Building Supplies, in nearby Surrey―reason enough, said Bob Holmes, general manager of TORBSA, for moving to the West Coast venue this year.

Gary Sangha, owner of Crown Building Supplies, and his wife Jas, acted as hosts for the group, which included about 80 dealers, vendors and their partners. During a welcome lunch, Holmes (shown centre), thanked Gary Sangha and Jas Sangha for their hospitality and their dedication to the business.

Crown is a ceiling and wallboard supplier that joined the group four years ago. Sangha said he really enjoys being part of the group. He was initially attracted by the “low overhead and the full transparency” with which it operates, especially after being a member of other groups in the past. “Yes,” he says, “we’re glad to be part of it; we’re very fortunate to be part of it.”

The TORBSA getaway continued to the end of last week with a golf tournament, a wine tour and a harbour dinner cruise.

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Kent opens a new flagship big box store in the Halifax market

DARTMOUTH, N.S. ― Kent Building Supplies has opened a new big box in the Halifax Regional Municipality at Dartmouth Crossing, according to the Halifax Herald. In addition, the company is reportedly going to invest in a major expansion of its location in Lower Sackville.

The new Dartmouth store opened its doors July 9, with a grand opening celebration this past weekend. Located next to the Halifax-area IKEA, the Kent outlet features 124,000 square feet of retail space and employs 120 people, a spokesperson for parent company J.D. Irving told the Herald. The opening reflects Kent’s return in recent years to the big box format. In July 2014, the company opened a 100,000-square-foot big box in Charlottetown, its first large-format store in Prince Edward Island and its first big box in almost two decades.

Kent originally opened seven big boxes in the mid-’90s to head off potential expansion by then-newcomer Home Depot, which was busy expanding in Central Ontario.

Kent is also making changes at other locations in the Halifax area. A former Kent store in Dartmouth, at Mic Mac Mall, is being converted into 110,000 square feet of office space, while the 30-year-old Lower Sackville location will be expanded by almost 14,600 square feet. Considered one of Kent’s smallest stores, it is currently 39,360 square feet in size. The expansion will include enlarging the parking lot and adding another entrance from the main road.

According to the Herald, Kent’s Russell Lake store in the Woodside area of Dartmouth will be left unchanged during all the expansion.

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With 100 RONA dealers now online, affiliates are catching up to corporate stores

BOUCHERVILLE, Que. — RONA announced that its e-commerce channel now includes 100 participating dealer stores, as it rolls out its Click and Collect service for customers who want to shop online through RONA.

Lowe’s Canada’s own big box Lowe’s stores have been operating in the digital space successfully for years, and RONA’s corporate stores, including its Reno-Depot chain, all offer Click and Collect, truck delivery and parcel delivery programs. But the acceptance by RONA’s affiliate dealers represents a big step by independents toward adapting to the realities of online retail.

RONA reached 100 stores participating online with the addition of the three RONA Bois Turcotte stores, located in Val-d’Or, Amos and Malartic, Que. “In 2018, e-commerce is indispensable, especially in regional markets, where our stores serve larger areas,” says Sylvie Turcotte, co-owner of the RONA Bois Turcotte stores. “In addition to being able to offer our current customers a wide range of products, we can now reach customers farther away.’’

RONA dealers are incorporating e-commerce in their everyday store operations, including RONA North Vancouver, where owner Bruce Allen has implemented a drive-through service for pickup of online orders. According to Allen, the support RONA has offered its affiliate dealers has been instrumental in helping independents like him up keep with digital sales―and not losing out on sales opportunities.

The program has had a direct impact on both sales and on the store’s culture. “You can’t help but be excited,” Allen says, “when you open the doors in the morning and see 10 to 12 internet orders that have come in overnight.” It’s important to respond quickly to these orders, he notes, as the online world brings a new kind of immediacy to his business. “You need to respond urgently, causing you to prioritize the selection of items and the ordering and delivery of items.”

And, like Sylvie Turcotte in Quebec, Allen now finds that his store is serving a customer base beyond its regular trading area.

Keeping the affiliate dealers up to speed with its online strategy means those stores fit better into the overall marketing that Lowe’s Canada is doing to support RONA’s online efforts. All RONA corporate stores are already on board, offering online purchases to their customers.

For example, the RONA corporate store in Surrey, B.C., in the community of Fleetwood, has a team of four that is devoted entirely to online order fulfilment. That team includes Sheralynn Joynt and Dinusha Mudunkotuwa (shown here). For orders up to a certain weight, they are shipped through Canada Post; and over that they go by Purolator. According to Adam Creelman, the interim manager of the store, the volume of ship-to-home sales is now exceeding that of the store’s regular deliveries.

Allen at the RONA North Vancouver store understands that the move to online is a big step for some dealers, but he believes it’s an important one. “You are either prepared to change and grow or you are relegated to just keep doing what you’ve always done,” he says.

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TIMBER MART has added a new procurement manager for Ontario. Aaron Gilmoure will be responsible for negotiating regional building material buying programs, assisting in the development and organization of TIMBER MART’s flyer program and national buying show, and supporting the buying group’s national network of hardware and building supply dealers. Gilmoure brings more than 20 years of experience in the building materials industry, having held sales and management positions on both the retail and vendor sides. Based out of TIMBER MART’s office in Vaughan, Ont., he reports directly to Randy Martin, vice-president of procurement for TIMBER MART.

Bob Fellows has joined Castle Building Centres Group as business development manager for the group’s Commercial Builders Supplies (CBS) division. Fellows was most recently at Crossroads C&I as regional director for Central and Eastern Canada. He replaces Ron Craighead, who had served as national business development manager for CBS for a decade.

Isolofoam Group has announced the addition of Robert Cardinal as part of its marketing and innovation team. Cardinal has been appointed technical expertise leader, bringing to the role more than 30 years’ experience in the construction products industry. An active participant in thermal insulation standards related activities since the mid-1980s, and a member of the Standing Committee on Energy Efficiency in Buildings, he has worked for different manufacturers of thermal insulation plastic foams. Prior to joining Isolofoam, he was construction and standards regulations specialist at BASF Canada. (rcardinal@isolofoam.com; 514-378-5014)

At Liteline Corporation, Salyna Nguyen has been promoted to director of marketing. She joined the company in 2017 as channel marketing manager – C&I North America. Prior to joining Liteline, Nguyen spent close to a decade as marketing manager for Allied Technical Solutions.

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CLASSIFIED ADS

Westman Steel Industries is one of Canada’s largest manufacturers of steel roofing and siding products. Westman Steel Industries is a member of The WGI Westman Group, a dynamic entrepreneurial group of companies who values safety, health, community, relationships, growth and fiscal responsibility.
Westman Steel Industries has the following career opportunity in Langley, BC:

GENERAL MANAGER

The General Manager leads a team of production and sales employees in the manufacturing and supply of steel roofing and siding products to the B.C. market. The successful candidate will plan, organize, direct, control, and evaluate the process activities of Production, Customer Service, and Shipping and Receiving staff. Oversees the entire manufacturing process which includes: production and operations management, human resource management and health and safety.

Westman Steel provides a competitive total rewards package including professional growth, career development and continuous learning. The company offers excellent benefits and a deferred profit sharing plan. Interested candidates can apply by visiting https://www.indeedjobs.com/westman-steel-industries/jobs/d5d8013ea3909b6a5357

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FCL invites applications for the position of Category Manager – Building Products in the Home and Building Solutions department at Home Office in Saskatoon, Saskatchewan.

Under the direction of the HABS Category Development Manager, this position is responsible to plan, develop and negotiate the programs and marketing strategies for the direct building product category. The Category Manager is responsible to search out opportunities allowing for increased sales, and margin for the CRS. This position is responsible to meet targeted financial objectives within their Business Category for the CRS. Approximate annual travel time 10% is required.

To see a full position description and to apply directly, please click the following link to be taken to our career page:  https://www.fcl.crs/careers/current-opportunities/job/HO-Category-Manager-Building-Products-R1

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July 9, 2018 Volume

xxiv, #27

“Summer afternoon, summer afternoon; to me those have always been the two most beautiful words in the English language”
―Henry James (American author, 1843-1916)

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Terry Davis’s pending retirement points to more changes at Home Hardware

ST. JACOBS, Ont. — The news that the head of Home Hardware Stores Ltd. will retire at the end of 2018 is very much in keeping with the rate of change the co-op has been undergoing in recent years.

Terry Davis announced last week his desire to retire later this year after nearly 50 years with the company, following the naming of a new CEO and a transition period as that replacement steps in.

He’s only the third CEO in more than half a century. Co-founder Walter Hachborn held that title for more than a quarter-century, until he was succeeded by Paul Straus in 1988. Straus turned over the CEO title to Davis four years ago, maintaining the president’s role until just two months ago.

Davis, 67, is a 48-year veteran of the company. He started in the warehouse in St. Jacobs, Ont., which to this day is the head office and distribution centre for the co-op retailer and the 1,000-plus dealers it serves. In 2010, he was appointed executive vice-president and COO, before becoming CEO in 2014.

He said from the start of his tenure at the helm that he was leading the company on a short-term basis, as Home Hardware positions itself for the future. Part of that realignment has included the appointment in 2016 of an outsider to a senior executive position, Rick McNabb. As VP marketing and sales, McNabb has been instrumental, under Davis’s direction, in a range of changes at the company. Now, as Home Hardware sits poised to embrace the digital future of retail, Davis is prepared to step aside.

“It has always been my plan since taking over as CEO in 2014, that I would help prepare Home Hardware for a new generation of leadership—one that can ensure our continued success in the decades ahead,” Davis said in a letter to  vendors that went out July 4.

Davis and the board of Home Hardware have been working for some time on succession planning and have recently engaged an executive search firm to assist with identifying the right person for the job. In the letter, he stated he doesn’t expect the pending change to be disruptive. “I wish to assure you that throughout this transition it will be business as usual.”

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Industry growing stronger than expected, says newest report from Hardlines

WORLD HEADQUARTERS, TORONTO — Canada’s retail home improvement industry grew at a healthier rate than anticipated in 2017 and business is expected to keep pace for most of 2018.

According to the 2018-2019 Hardlines Retail Report, sales by hardware stores, building centres and big boxes, Canadian Tire, and related sales by Walmart and Costco, were up 5.1% year over year in 2017. And while growth is forecast to moderate somewhat in 2018, the industry is expected to remain strong for the next two years.

This Report examines:

• why the big boxes have seen their share of the market slip in 2017;
• how building centres continue to maintain—and grow—their share of the business;
• which provinces and regions enjoyed growth, and which ones slipped;
• where Home Hardware is gaining market share—and at who’s expense;
• what Canadian Tire is doing to combat online threats like Amazon;
• where BMR is staking its growth in 2018 and beyond.

Offering a complete breakdown and analysis of Canada’s retail home improvement industry, the Hardlines Retail Report features in-depth analysis of the industry’s top players, including the market shares of the top 20 players, and sales and forecasts for Home Depot, Canadian Tire and Lowe’s Canada.

Carefully researched by the Editors of Hardlines, the 2018-2019 Hardlines Retail Report features in-depth analysis of the sales trends by region and by store format (big box, hardware store, building centre and Canadian Tire). This year’s Report also digs deep with important forecasts of sales growth by province and store format, as well as anticipated sales performance of the Top Four players.

Available in either PDF or handy PowerPoint format, the Report has 200 slides, dozens of charts and graphs, and more photos than ever before. (Click here for details and to order your Hardlines Retail Report now!)

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Lowe’s continues updating its RONA building centres with new format

ETOBICOKE, Ont. — The RONA store in the West end of Toronto has been converted to RONA’s new building centre model. The location, at 1170 Martin Grove Road, is actually the former head office and anchor store for the Lansing Buildall chain, which was an early—and major—acquisition by RONA as it expanded into Ontario and beyond in 2001.

Now, the store has undergone a major transformation, at a cost of more than $3 million. It’s the second RONA location in Ontario to be converted. Parent company Lowe’s Canada expects up to eight more stores to be refurbished by year’s end.

“The customer was at the centre of our thought process when developing the new RONA building centre model, which was designed with three goals in mind: better meet current needs and trends in home improvement, become a true one-stop-shop for our customers’ home improvement projects and enhance our offering for contractors and pros,” says Patrick Lapointe, divisional vice-president, RONA operations.

He points out that the store format is aimed at both DIYers and contractors, and “plays a key role in Lowe’s Canada’s growth strategy,” one that the company intends to keep investing heavily in as part of its growth strategy.

Keeping in mind the way homes are being designed and furnished—including open floor plans, bright lighting and plush outdoor spaces, the store reflects those changes in both its layout and product selection. The result is a brighter, less compartmentalized store, with entirely redesigned racking that has been lowered, except on the perimeter of the store, to allow customers a 360-degree view of the store at a glance. In addition, seasonal products have been moved up near the entrance and household appliances now have a prime location near the kitchen project section.

The new-look store is also designed to accommodate project sales, anything from a kitchen or bathroom remodel or roof repair to replacing doors and windows. Project sales are supported by services such as design consulting, 3D renderings and installation services.

Eventually, all RONA building centres will feature a kitchen section, which will be bigger or smaller depending on the size of the store.

Drawing on the store’s historical use as a distribution centre for the former Lansing Buildall stores across the Greater Toronto Area, the store will use its 130,000-square-foot warehousing area and a five-acre paved lumber yard as a central delivery hub for the 26 RONA stores in the GTA. It can house large quantities of products in key contractor categories such as roofing, drywall and insulation. This gives all 26 GTA RONA stores access to an overall wider product assortment and increased availability, therefore improving the level of service provided to all customers. This is especially effective for, and appreciated by, pro customers who must meet tight timelines when completing their projects. In peak season, the hub has over 30 delivery vehicles.

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Taiga expands wood treatment operations with acquisition of U.S. company

BURNABY, B.C. — Taiga Building Products Ltd., through a wholly owned subsidiary, has entered into a share purchase agreement with a U.S. treated-wood producer, Exterior Wood, Inc. Taiga will acquire all common shares of Exterior Wood for US$42 million ($55.2 million).

Exterior Wood has been operating a wood treatment facility and distribution centre in Washougal, Wash., since 1977, and services retail building supply centres throughout the western United States and Canada with a wide array of pressure treated products. The acquisition will expand Taiga’s existing wood treatment operations at three facilities in Canada, with additional penetration into the U.S. market.

“The acquisition of Exterior Wood and the expansion of our wood treatment business represents a significant step forward in our corporate strategy of pursuing value enhancing opportunities,” said Trent Balog, president and CEO of Taiga. He expects the new addition to integrate well with Taiga’s existing treated wood operations and expand its distribution reach.

The deal, which is expected to close by the end of this month, is subject to certain adjustments at closing of the acquisition in respect of working capital, cash and certain outstanding indebtedness. The acquisition has been structured to close on a cash-free, debt-free basis.

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CLASSIFIED ADS

FCL invites applications for the position of Category Manager – Building Products in the Home and Building Solutions department at Home Office in Saskatoon, Saskatchewan.

Under the direction of the HABS Category Development Manager, this position is responsible to plan, develop and negotiate the programs and marketing strategies for the direct building product category. The Category Manager is responsible to search out opportunities allowing for increased sales, and margin for the CRS. This position is responsible to meet targeted financial objectives within their Business Category for the CRS. Approximate annual travel time 10% is required.

To see a full position description and to apply directly, please click the following link to be taken to our career page:  https://www.fcl.crs/careers/current-opportunities/job/HO-Category-Manager-Building-Products-R1

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IN-STORE MERCHANDISER (#865)
About Home Hardware Stores Limited
Home Hardware Stores Limited is Canada’s largest Dealer-owned cooperative with close to 1,100 Stores and annual retail sales of over $6 billion.
Located near Kitchener/Waterloo, Ontario, Home Hardware remains 100% Canadian owned and operated.  Home hardware has received designations as one of Canada’s Best Cultures and Best Managed Companies and is committed to providing local communities with superior service and quality advice.
Responsible to the Store Design Merchandising & Systems Supervisor for assisting Dealers improve store appearance and profitability, through effective merchandising and display.
Assist Home Dealers with Merchandising Product and Installation of Displays and Shelving, focusing on current Merchandising Technique and Programs.
Help with the flow of information between Dealers and Home Office with respect to product mix, display and assortment.
Make onsite recommendations and modifications to the merchandising plan as required.

QUALIFICATIONS:
Extensive travel required – away from home for several weeks at a time.
Valid Driver’s license required.
Secondary School Diploma or equivalent with post-secondary courses in business an asset.
Effective communication, both verbal and written, with Home Dealers & Home Staff.
Retail experience (hardware or building supplies) is a preferred asset.
Must live near an international airport or be within commuting distance to St. Jacobs.
Fluency in both English and French would be an asset.

Interested applicants, please submit your resume to Dayna Weber, Recruitment, Human Resources at hr@homehardware.ca.
Full posting available at www.homehardware.ca.
Phone: 519-664-4975
34 Henry St W, St. Jacobs, ON, N0B 2N0

*While we appreciate all applications received, only those to be interviewed will be contacted.
We will accommodate the needs of qualified applicants on request under the Human Rights Code in all parts of the hiring process

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July 2, 2018 Volume

xxiv, #26

“Wisdom outweighs any wealth.”
—Sophocles (Ancient Greek playwright, 496 B.C.-406 B.C.)

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Doug Skrepnek: expect more consolidation from Titan in Canada

VAUGHAN, Ont. — WSB Titan is on an acquisition trail. And it’s not being shy about using the Titan name, which refers to the three commercial dealers that came together originally to form Titan. They are Shoemaker in the West, Watson in Ontario, and Beauchesne in Quebec.

Titan is now part of GMS, a giant commercial drywall operation out of the U.S. GMS acquired Titan for US$627 million ($800 million) in a deal that closed early last month. The U.S. parent has been actively buying up business in the U.S., including Grabber Construction Products in the San Francisco area and CMH Distributing in Nebraska in April 2018. With the Titan acquisition here, GMS intends to keep looking for new acquisition opportunities in Canada.

The latest addition to Titan is a new outlet for its commercial roofing business, BC Ceiling Systems, which was acquired in 2015. The store in Langley, B.C., was not named BCCS, but called “Titan”. It’s part of a plan to expand the Titan name among commercial customers while infilling various markets. BCCS also has locations in Richmond and Vancouver. “We’re one branch away from saying we’ve got the Lower Mainland well served,” Skrepnek says.

But don’t expect Titan’s legacy businesses, Shoemaker, Titan, and Beauchesne, to change their names. “It would be foolish to get rid of the names that built the gypsum drywall business in this country.”

On the retail side, Titan’s ownership of Slegg Building Materials, a major dealer on Vancouver Island, with a dozen locations, is also shoring up its brand power. Titan bought up Dodd’s Lumber last year, another yard on Vancouver Island, in Duncan, and that was renamed a Slegg yard, Skrepnek notes.

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UFA focuses on upgrading its back-end systems with new ERP

CALGARY ― UFA has been making a lot of changes at the store level with the refit of its Farm & Ranch Supply stores, but changes are going on behind the scenes, as well. The company has invested heavily in a new enterprise resource planning (ERP) platform.

The system, which will effectively tie in all the company’s various systems―including purchasing, inventory, and order processing―is replacing an existing POS system.

According to Glenn Bingley, COO of retail operations at UFA, the move signifies a big change for the company, and one whose time has come. “It is replacing some really aged technology,” he says.

Along with its lucrative petroleum business, United Farmers of Alberta has an agribusiness division. That business is represented mainly by 35 UFA Farm & Ranch Supply stores throughout Alberta, through which the co-op also drives its commercial agriculture side. Bingley oversees this division, and has been working with his teams to fine-tune assortments, update merchandising, and develop smarter relationships with vendors. Now he’s focusing, along with Mark DiGioacchino, UFA’s director of merchandising, on the back end, as well.

Using the Microsoft Dynamic 365 platform, the company is currently rolling this out to the retail and commercial division that Bingley oversees. He expects it to be completed during the next 16 months.

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eRetailer Summit seen as a valuable way to stay ahead of the online competition

CHICAGO ― The annual Home Improvement eRetailer Summit is less than six months away, and leading dealers registered to attend are already anticipating its benefits.

The third annual Home Improvement eRetailer Summit will be held November 7 to 9 at the Hotel Monaco in Chicago. It is a unique event that provides delegates with insights into all aspects of e-commerce. Presenters include leaders from the worlds of manufacturing, distribution, and online retailing, as well as service providers and business media.

“The eRetailer Summit provides an ideal forum to share key insights and trends that are evolving within the home improvement landscape,” says Alyssa Steele, VP of merchandising for eBay (shown here), who will be going for the second time. “As the lines of offline and online commerce continue to blur, it’s important for manufacturers and retailers to ensure an effective distribution strategy within today’s competitive environment.”

Jim Carpenter, director of marketing for Curtis Lumber, a 21-yard LBM dealer based in Ballston Spa, N.Y., says he’s looking forward to attending his first Summit, “to better understand how our regional, family-owned company can transition into integrated retail and grow for the future.”

“This Summit was designed to help the entire home improvement retail channel focus on understanding the internet as a distribution channel, and to become more competitive by understanding and capturing the growth opportunity of Home Improvement ecommerce,” says Sonya Ruff Jarvis, the event’s founder and organizer. It will be held this year from November 7 to 9 at the Hotel Monaco in Chicago.

(For more information about the Summit, click here, or contact Sonya directly at sonya@eretailersummit.com.)

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Dealers selling online must blend e-commerce with a solid in-store experience

SPECIAL REPORT — There are few innovations that have changed retail as radically as the invention of the internet. The digital revolution, the shift from analog to electronic technology, was intended to create a “better tomorrow”. But who is benefitting from these changes?

What’s changed with online shopping, and the proliferation of access to smartphones and mobile technology, isn’t just the ways people shop, but what they’re looking for when they make a purchase. As John Williams, a senior partner at J.C. Williams Group, puts it, “it’s the most disruptive time to be in business, ever.”

“This has dramatic implications for your brand strategy and your product architecture,” says Williams. “You can’t serve this market with one product. There are huge gaps and shifts going on in the marketplace.”

Home Hardware saw that shift in the marketplace and, in response, turned its marketing strategy completely on its head. Rick McNabb, VP of marketing and sales for Home Hardware Stores Ltd., says when he was hired for the position, he looked at the strategy Home had been using for a long time and felt some aspects of it were too clinical.

Hoping to appeal to a younger demographic, Home Hardware launched a new marketing campaign, “Here’s How”, which shifts the focus from Home’s traditional product-centred commercials to projects big and small.

“We think it’s relevant to all targets, and particularly millennials, where they need help,” says McNabb. “Projects can be inherently personal; they can be emotional. They provide a sense of accomplishment. We really felt our sweet spot with Home Hardware is that we’re where expertise meets humanity.”

McNabb says Home Hardware is backing up the new marketing approach with an updated website, which was launched this spring. “We’ve made a significant investment there. We’re really excited to get that rolled out.” At this point, the company has a ship-to-store capability that has been working very well, but Home Hardware is also looking into being able to ship to home by the end of the year.

(This is an excerpt of a larger feature that appears in the current edition of our sister publication, Hardlines Home Improvement Quarterly. HHIQ is mailed to 11,000 dealers, owners, and managers. Click here to get your own subscription today!)

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CLASSIFIED ADS

IN-STORE MERCHANDISER (#865)
About Home Hardware Stores Limited
Home Hardware Stores Limited is Canada’s largest Dealer-owned cooperative with close to 1,100 Stores and annual retail sales of over $6 billion.
Located near Kitchener/Waterloo, Ontario, Home Hardware remains 100% Canadian owned and operated.  Home hardware has received designations as one of Canada’s Best Cultures and Best Managed Companies and is committed to providing local communities with superior service and quality advice.
Responsible to the Store Design Merchandising & Systems Supervisor for assisting Dealers improve store appearance and profitability, through effective merchandising and display.
Assist Home Dealers with Merchandising Product and Installation of Displays and Shelving, focusing on current Merchandising Technique and Programs.
Help with the flow of information between Dealers and Home Office with respect to product mix, display and assortment.
Make onsite recommendations and modifications to the merchandising plan as required.

QUALIFICATIONS:
Extensive travel required – away from home for several weeks at a time.
Valid Driver’s license required.
Secondary School Diploma or equivalent with post-secondary courses in business an asset.
Effective communication, both verbal and written, with Home Dealers & Home Staff.
Retail experience (hardware or building supplies) is a preferred asset.
Must live near an international airport or be within commuting distance to St. Jacobs.
Fluency in both English and French would be an asset.

Interested applicants, please submit your resume to Dayna Weber, Recruitment, Human Resources at hr@homehardware.ca.
Full posting available at www.homehardware.ca.
Phone: 519-664-4975
34 Henry St W, St. Jacobs, ON, N0B 2N0

*While we appreciate all applications received, only those to be interviewed will be contacted.
We will accommodate the needs of qualified applicants on request under the Human Rights Code in all parts of the hiring process

_________________________________________________________________

June 25, 2018 Volume

xxiv, #25

“Ever tried? Ever failed? No matter. Try again. Fail again. Fail better.”
—Samuel Beckett (Irish novelist, playwright and poet, 1906-1989)

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Home Hardware makes big gains in Quebec with new dealer members

ST. JACOBS, Ont. ― With more than 1,000 stores spread across every province and territory, Home Hardware Stores Limited is well represented in the Canadian marketplace. However, it has traditionally been under-represented in Canada’s second-largest province.

But that’s changing.

In the first half of 2018, the co-op more than doubled last year’s growth of Quebec store conversions. Year to date, it has welcomed eight new stores into the fold, for a total of 133 stores in the province. The latest additions include L.D. Roy, Sainte-Perpétue; Riopel Centre de Rénovation, Sainte-Adèle; and Nemaska Home Hardware in Nemaska.

Another five locations belong to one dealer, Groupe Turcotte, a home improvement and garden centre retailer based in Laval, with more than 200 employees. Turcotte also has a sixth store in Stittsville, Ont. It too has switched to a Home Hardware Building Centre.

The other Turcotte locations are Les Grands Jardins de Laval, Laval; Les Vivaces Plus, Blainville; Quincaillerie Côte des Neiges, Montréal; Quincaillerie Latendresse, Pointe-aux-Trembles; and Quincaillerie Parc & Bernard, also in Montreal. The grand openings at these Turcotte stores are planned for September 2018.

Quebec, which represents slightly more than one-fifth of retail home improvement sales in Canada (source: the 2018 Hardlines Retail Report—your ever-helpful Editor) had just 125 Home Hardware stores at the end of 2017, representing about 12% of Home’s locations. These latest conversions reflect years of investment in the Quebec market that have seen dealer numbers there increase dramatically. That initiative was spearheaded by Dunc Wilson when he joined Home a decade ago to lead dealer development nationally.

“We want to welcome our new dealers into the Home Hardware family,” says Wilson. “This growth represents further evidence of our interest to growing our presence in Quebec and we look forward to continuing to serve these communities.”

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Peavey adds stores in Manitoba and Alberta, with more locations planned

RED DEER, Alta. — Peavey Industries continues to add stores through 2018. It opened its 38th Peavey Mart store in the Pembina Highway area of Winnipeg in January, with a grand opening sale in March. The store, in a former Zellers location, comprises almost 33,000 square feet. This is the second Winnipeg location for Peavey, complementing the Nairn store on the city’s East Side. And it’s Peavey’s fifth in Manitoba, along with Brandon, Winkler, and Swan River.

To support these locations Peavey has invested in a key interactive sponsorship of the Red River Exhibition, in addition to several community sponsorships in other Manitoba markets.

Peavey’s most recent opening, and its 39th Peavey Mart, opened in Sherwood Park, Alta., in April, with a grand opening in early June. The new 29,000 square foot store features tweaks to the merchandise assortment and placement that included relocating the pet and birding sections toward the front of the store, complete with new graphics.

Later in 2018, Peavey will add 10,000 square feet to its existing location in Humboldt, Sask., a project approved in early 2018. In addition to its wide market area in the centre of the province, Humboldt is the centre of the province’s fast-growing sheep industry. That expansion is expected to be finished by Christmas.

Also in Saskatchewan, the Peavey Mart in Kindersley will move to an expanded location vacated by a Home Hardware. The new 40,000-square-foot space will be renovated and is expected to be open this fall. (Photo: Drew Kenworthy)

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Reorg at Hardlines puts Katherine Yager in operations role

WORLD HEADQUARTERS, Toronto — Continuing our reorganization at Hardlines Inc., we are pleased to announce the appointment of Katherine Yager as Vice President of Operations. This promotion follows on the previously announced departure of Beverly Allen, Publisher and Partner, who is retiring effective July 1.

Katherine has been with Hardlines full-time for five and a half years. Formerly Marketing Director for Hardlines, she has grown her role over time, managing all sides of company’s day-to-day activities, including the Hardlines Conference, website, reports, and research.

In her new role, she will use the skills she honed as Marketing Director with her background in business to oversee the company’s finances, budget, and cash flow, and work with the Hardlines Team to develop new products and services to better serve the retail Home improvement industry.

Katherine’s experience combines well with her education, which includes a Masters of Arts in Political Science from York University and a Business Administration Certificate from George Brown College. In her spare time, Katherine is an avid ultramarathon runner who recently finished her first 100-mile race.

With her strengths in planning, evaluating, and keeping projects on budget and on time, Katherine will be a valuable part of Hardlines’ growth in coming years.

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M-D ramps up inventory, sales after RCR acquisition

MISSISSAUGA, Ont. — Following the acquisition in March of the assets of Boucherville, Que.-based RCR International, M‐D Building Products, Inc. has been busy relocating inventory from RCR’s Boucherville warehouse to M-D’s facilities in Mississauga, Ont.

M-D also purchased the assets of RCR’s Chicago‐based wholly‐owned subsidiary, W.J. Dennis. RCR and W.J. Dennis produced weather‐stripping, insulation components, screening, snow brushes, squeegees, and other hardware and seasonal products for the retail market in North America. M-D took over about 1,000 SKUs in total.

M-D is keeping RCR’s well-known Climaloc brand, but will, over time, add the M-D brand on packaging, to read “Climaloc by M-D”. The company is trying to minimize the impact on its retail customers, says Joe Comitale, president of M‐D Canada. “We’re maintaining the product and UPC codes to make it easy to convert to the new lines.”

Comitale points out that the time to ship weather-stripping products is August and September, “But we’ll be in position by the middle of July,” he notes. “We are fully operational. We expect to have full inventory in 30 days.”

The company is not just focused on the product side. “We’re shifting our resources and adding people, mostly on the sales side, to make sure we’re serving our customers properly.”

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CLASSIFIED ADS

Sales Territory Managers | Atlantic Canada

Regal Ideas is the innovative leader in Aluminum Railing and associated outdoor living products to the Canadian Home improvement Industry. We require experienced Building Materials Professionals to expand our sales team and drive sales growth across Canada. If you are a motivated and highly organized team player then we want to speak with you.

Please send resume and salary expectations to Marketing@regalideas.com and you will be contacted if qualifications are commensurate with our requirements.

_________________________________________________________________

COMMODITY TRADER (#765ON)

About Home Hardware Stores Limited
Home Hardware Stores Limited is Canada’s largest Dealer-owned cooperative with close to 1,100 Stores and annual retail sales of over $6 billion.

Located near Kitchener/Waterloo, Ontario, Home Hardware remains 100% Canadian owned and operated.  Home hardware has received designations as one of Canada’s Best Cultures and Best Managed Companies and is committed to providing local communities with superior service and quality advice.

Responsible to the Commodity Manager for:

Marketing Wood Products to targeted Dealers.

Contacting vendors for up-to-date prices and trends. Providing analysis and input to Commodity Manager, determining when the time is right to buy.

Providing input on Block Buys and Commodity Offerings.

Advising Home LBM Dealers on market conditions and assisting them in making buying decisions.

Purchasing lumber and sheet goods on behalf of the Home Hardware LBM Dealers in Ontario.

Purchasing lumber, sheet goods and allied products for the Kitchener LBM Distribution Centre.

Making outgoing sales calls to Dealers.

Inputting purchase orders and other records as required. Creating and running reports as required.

Qualifications:

Secondary School Diploma or equivalent with post-secondary courses in business and negotiation.
Five to ten years of retail and/or wholesale business experience.
Full knowledge of softwood lumber products.  Strong Eastern and Western mill connections essential.
Ability to analyze economic reports, commodity reports and information received from various industry sources, including those generated internally.
Highly motivated and able to problem solve.

Interested applicants, please submit your resume to Dayna Weber, Recruitment, Human Resources at hr@homehardware.ca.
Full posting available at www.homehardware.ca.
Phone: 519-664-4975
34 Henry St W, St. Jacobs, ON, N0B 2N0

*While we appreciate all applications received, only those to be interviewed will be contacted.

We will accommodate the needs of qualified applicants under the Human Rights Code in all parts of the hiring process.

_________________________________________________________________

June 18, 2018 Volume

xxiv, #24

“Write it on your heart that every day is the best day in the year.”
—Ralph Waldo Emerson (American essayist, philosopher, and poet, 1803-1882)

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CertainTeed Gypsum Canada’s latest suit targets 54-inch drywall dumping

MISSISSAUGA, Ont. ― CertainTeed Gypsum Canada has filed an anti-dumping “retardation” complaint against U.S. importers of 54-inch wide drywall into Western Canada. This is the second drywall case filed with the Canada Border Services Agency in recent years. Last year, the Canadian International Trade Tribunal (CITT) validated CertainTeed’s first anti-dumping complaint against U.S. importers of 48-inch wide board in Western Canada, resulting in duties at levels ranging from 94.6% to 324.1%.

Now CertainTeed contends that the same thing is happening with 54-inch drywall. The suit claims that U.S. manufacturers are selling into the Western market at prices substantially below what they charge to their domestic U.S. customers. This practice “is preventing the company from investing in domestic 54-inch manufacturing capability by suppressing 54-inch prices,” says CertainTeed in a release. “This market suppression is destroying the economic viability of, and thus ‘retarding’, any 54-inch manufacturing investment in Western Canada.” Because 54-inch drywall was not included in the 2016 claim, dumping continued―and even increased, says CertainTeed―since that time.

“U.S. dumping of 54-inch drywall in Western Canada, is distorting the Western Canadian drywall market, and preventing new investments and jobs,” says Matt Walker, CEO of CertainTeed Canada. “We believe we have a very strong case that will restore free and fair trade and create new jobs in Western Canada.”

CertainTeed says the 2016 complaint and resulting duties have had a positive impact on Western Canadian 48-inch wide drywall manufacturing, even though the Minister of Finance has implemented a duty remission of 32.17%. This reduces the calculated dumping duty levels and allows U.S. importers to keep selling 48-inch drywall in Western Canada. CertainTeed Gypsum Canada says this has resulted in a continued price impact from U.S. dumping, although at a lesser level. As a result, the company says it has been able to rehire plant shifts that were cut over recent years due to the dumping injury, and has increased staff at its three Western drywall plants, in Vancouver, Calgary, and Winnipeg.

CertainTeed, headquartered in Malvern, Penn., is a subsidiary of the French building materials giant Saint-Gobain.

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Knauf’s $7 billion acquisition of USG promises continued support of North America

IPHOFEN, Germany & CHICAGO — Building materials maker Knauf is buying all outstanding shares of drywall and ceiling products maker USG for $44 per share in a deal that will total $7 billion, but promises good news for the Canadian operations. A family-owned business based in Germany, Knauf operates 220 factories worldwide with revenue in excess of $8 billion.

Knauf did not have to arrange any financing for this. The transaction will be financed from existing cash and committed debt financing. It expects the deal to close early in 2019.

USG will continue to be managed locally in the U.S. as Knauf intends to maintain USG’s existing corporate headquarters in Chicago and its facilities in North America. Those facilities include its Canadian operations, CGC, based in Mississauga, Ont. According to a joint release announcing the takeover, Knauf plans to make significant long-term investments in those operations.

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Hardlines’ Publisher Beverly Allen to retire

SPECIAL REPORT — Beverly Allen is retiring. A fixture at Hardlines Inc. for more than two decades, Beverly came aboard in the company’s second year to take over managing the company, securing its solid financial footing that ensured the years of growth to come.

Within a few short years, she expanded her talents to manage sales for the HARDLINES newsletter, annual conference, a growing online presence, and a new magazine, Hardlines Home Improvement Quarterly. As publisher, with business partner Michael McLarney, she guided the company to become the trusted voice of the industry for retailers and suppliers alike.

As part of Hardlines’ efforts to get out and be an active part of Canada’ home improvement industry, Beverly became a familiar face at events, stores, and shows across the country. But she also developed many important relationships with industry leaders around the world, from the European retail federation to the French manufacturers’ association and the Lowe’s International buying team. She managed to do all this as a woman in an industry where women were scarce. Her profile as a well-known spokesperson for this industry made her a mentor for many other women entering the industry behind her.

Beverly has always been able to combine her business skills with the vision of a true artist. In fact, she has degrees in both fine arts and in commerce. Not only could she determine the fiscal viability of new projects, she was an integral part of honing and cultivating those projects at the creative level.

Now, she is taking that creative side and investing in it in her retirement. Beverly has been developing a career in the arts as an artist and painter. In her new pursuit, she has quickly demonstrated the same skill and talent she had for steering the ship at Hardlines. She’s already had her work displayed in shows in Toronto, Chicago, Las Vegas, and Berlin.

We’re grateful for all Beverly has done for Hardlines and for the industry, and wish her the best in her next chapter. Her last day will be June 26. You can reach her by email until then or on her cell: 647-880-4589.

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When it comes to e-commerce, what do consumers expect from independents?

SPECIAL REPORT — Home improvement dealers say their customers are asking for ways to complete their transactions online. According to a survey by the North American Retail Hardware Association, ship-to-home is something many retailers are working towards offering, but the option to buy online, pick up in store is still important, says Dan Tratensek, EVP of publishing at the NRHA.

Consumers have also expressed that they would like online access to real-time information on product availability in the store. They still want to visit the store, where they can get feedback and advice on their projects, but they don’t want to waste a trip if what they’re looking for isn’t in stock. And the other features they’re looking for are more complete product information and reviews.

Tratensek says your web presence doesn’t have to be the most cutting edge. In fact, some consumers appreciate that their local retailer isn’t as slick or high-tech as the bigger chains or corporate stores. But dealers still need to make that effort to listen to what their customers are looking for and do their best to deliver on that. It’s just part of how customer service has evolved with the internet; the retail experience now begins before customers even walk into the store.

“It’s great to see that 96% of independent retailers have established a web presence, but like when you plant a garden, you can’t just plant the garden and walk away,” says Tratensek. “You have to nurture it and cultivate it if you want it to continue to yield for you.”

Tratensek has been confirmed to present again at this year’s Hardlines Conference. He will report on the latest research by NRHA on the trends and business conditions affecting independent dealers in North America. For more information about the 23rd annual Hardlines Conference, at Queen’s Landing in Niagara-on-the-Lake, Ont., click here.

(NRHA is represented in Canada by Hardlines. One of the key benefits of membership is the product knowledge training programs for employees. Training programs are available in core hardware and building materials categories. For more information on the NRHA, please click here.)

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Tom Bell has joined the Sexton Group as business development manager, Western Canada. In his new position, he will work to identify and develop strategic partnerships and generate growth opportunities in the Winnipeg-based buying group’s member and vendor communities. Bell brings 30-plus years of experience in wholesale, distribution, buying group, and retail home improvement environments, most recently as an independent retailer with Jeni’s Food and Hardware in LaSalle, Man. Prior to opening his own business, Bell worked at MacMillan Bloedel, North American Lumber, and even had a stint in his early career years with Sexton. He is also an active member of the Western Retail Lumber Association. (bell@sextongroup.com)

Anthony Snell has been named general manager of Coast Distributors (Nanaimo) Ltd. He will assume his new responsibilities on July 9 and will succeed Brad McCluskie, owner and general manager. Snell brings years of experience on the purchasing side, having been employed with Petcetera before coming to Coast two years ago. Since then, he has expanded Coast’s import business and expanded the marketing department. With Snell taking over day-to-day duties, McCluskie will take the opportunity get back on the road, building the business and meeting with customers.

A number of management changes have taken place at Ply Gem, following the $2.4 billion buyout of the window, door, and siding company at the beginning of 2018 by San Francisco-based private equity investment firm Clayton, Dubilier & Rice. Gone are Michael Slapman, SVP finance; Tara Kelly, VP of HR; John Vukanovich, VP marketing; Ron Plant, Ontario sales manager; and Rosemary Fernandes-Walker, national sales manager, retail.

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CLASSIFIED ADS

TIMBER MART is looking for a Sales Development Agent based in Langley, BC who will play an integral role in the following areas that support our dealers and customers:

* Establish and build strong relationships with our dealers and customers

* Promote the purchase and utilization of our products and services

* Actively pursue new business opportunities and strengthen our current ones

* Work with our sales team to meet and exceed monthly sales initiatives

* Conduct sales calls and store visits

* Communicate customer concerns, questions and ideas clearly

* Review monthly sales reports to identify opportunities

Qualifications:

* A minimum of 3 to 5 years’ experience in the building material industry

* Competency in Microsoft Office and basic computer skills

* A valid driver’s license and a clean abstract

* Business to Business (B2B) sales experience

* Purchasing experience

* Specific knowledge of the lumber and panel market

* Post-secondary education or equivalent experience

* Formal sales training

If you are a motivated team player who is looking for a challenging and rewarding opportunity, please forward your resume to hr@timbrmart.com.

____________________________________________________________________

COMMODITY TRADER (#765ON)

About Home Hardware Stores Limited
Home Hardware Stores Limited is Canada’s largest Dealer-owned cooperative with close to 1,100 Stores and annual retail sales of over $6 billion.

Located near Kitchener/Waterloo, Ontario, Home Hardware remains 100% Canadian owned and operated.  Home hardware has received designations as one of Canada’s Best Cultures and Best Managed Companies and is committed to providing local communities with superior service and quality advice.

Responsible to the Commodity Manager for:

Marketing Wood Products to targeted Dealers.

Contacting vendors for up-to-date prices and trends. Providing analysis and input to Commodity Manager, determining when the time is right to buy.

Providing input on Block Buys and Commodity Offerings.  

Advising Home LBM Dealers on market conditions and assisting them in making buying decisions.

Purchasing lumber and sheet goods on behalf of the Home Hardware LBM Dealers in Ontario.

Purchasing lumber, sheet goods and allied products for the Kitchener LBM Distribution Centre.

Making outgoing sales calls to Dealers.

Inputting purchase orders and other records as required. Creating and running reports as required.

Qualifications:

Secondary School Diploma or equivalent with post-secondary courses in business and negotiation.
Five to ten years of retail and/or wholesale business experience.
Full knowledge of softwood lumber products.  Strong Eastern and Western mill connections essential.
Ability to analyze economic reports, commodity reports and information received from various industry sources, including those generated internally.
Highly motivated and able to problem solve.

Interested applicants, please submit your resume to Dayna Weber, Recruitment, Human Resources at hr@homehardware.ca.
Full posting available at www.homehardware.ca.
Phone: 519-664-4975
34 Henry St W, St. Jacobs, ON, N0B 2N0

*While we appreciate all applications received, only those to be interviewed will be contacted.

We will accommodate the needs of qualified applicants under the Human Rights Code in all parts of the hiring process.

____________________________________________________________________

June 11, 2018 Volume

xxiv, #23

 “Fortune knocks but once, but misfortune has much more patience.”
— Laurence Peter (Canadian educator and management theorist who gave us the Peter Principle, 1919-1990)

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Top online sellers added to speaker roster for 23rd annual Hardlines Conference

WORLD HEADQUARTERS, Toronto — Three powerhouse sessions have been added to the 2018 Hardlines Conference, finalizing the roster of top-level speakers who will present at this national forum on November 13 and 14 in Niagara-on-the-Lake, Ont.

Ace Hardware in the U.S. made news last fall when it invested as the majority shareholder of an online retailer, The Grommet. Why would a dealer-owned co-op hardware chain, with deep roots in bricks and mortar, choose to buy a company that exists solely online? Delegates at the conference will hear from The Grommet’s co-founder and CEO, Jules Pieri. Under her guidance, The Grommet has launched more than 2,800 consumer products since 2008.

Anthony Stokan is a familiar name to past conference attendees. And no wonder: Stokan represents one of the keenest retail minds in the country. His firm, Anthony Russell and Associates, has been a major consultancy to some of the most ambitious shopping centre developments and retail initiatives of the past 20 years. Stokan has agreed to join us this year for a “fireside chat” about the future of bricks and mortar, and particularly what role shopping centres, now under siege in the U.S., will play as retail grows into the online space.

Finally, we are very excited to have eBay Canada join us again this year. Closing out the 2018 Hardlines Conference, Robert Bigler, COO and director of product for eBay Canada, will present “Staying Competitive in the Age of e-Commerce”. He’ll provide an overview of the e-commerce and retail landscape, demonstrating how eBay is innovating to create new experiences that are relevant to both buyers and sellers. Most important, Bigler will examine how online marketplaces play into omni-channel sales strategies for traditional retailers looking for a competitive edge.

The Hardlines Conference will be held at Queen’s Landing in Niagara-on-the-Lake, Ont., November 13 to 14. (Click here for more information about the 23rd annual Hardlines Conference.)

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Federated continues management re-org with promotion of Ron Healey as VP

SASKATOON — Federated Co-operatives Ltd. announced the appointment of Ron Healey as VP of agricultural and consumer business, effective July 3. He was formerly associate vice president.

In this new role, Healey will lead FCL Food, Crop Supplies, Fertilizer, Feed, and The Grocery People (TGP), while continuing to head up Home and Building Solutions. Healey began his career with Archer Daniels Midland Company as a grain merchandiser before joining FCL in 1998 as a retail sales coordinator in the Edmonton Region.

After taking a hiatus from the company to earn his MBA at the University of Alberta, he returned in 2002 as human resources manager for the Edmonton area. He moved to the company’s Saskatoon head office the following year, where he served in a series of roles, most recently as associate VP of ag and home.

The promotion comes less than a month after the appointment of Cody Smith to home and building solutions director, reporting to Healey. Smith has been with the co-op for the past 15 years in a variety of buyer roles, most recently as category development manager. He took over in his new position from Tony Steier, who retired at the end of April, after 40 years of service with the organization.

Federated Co-op is one of the Top 20 home improvement groups in Canada, with home improvement sales through its Co-op Home Centres exceeding half a billion dollars annually (source: the Hardlines Retail Report, being updated as we speak for release in just a couple of weeks. —Your ever-helpful Editor).

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Latest dealer conversions mark big wins for RONA as it ramps up recruitment efforts

NATIONAL REPORT — Recent announcements of the recruitment and expansion amidst its affiliated dealer base, along with new hires within its dealer development team, all point to a concerted effort by Lowe’s Canada to step up its dealer recruitment for its RONA banner.

Lowe’s Canada is currently hiring regional business development directors for every part of Canada:  Western Canada, Ontario, Quebec, and the Atlantic region. These reps will be charged with presenting the RONA and Ace banners as options for independents.

RONA’s approach to dealer affiliations tends to focus on larger retailers with multiple stores, which are willing to expand further, often with help from RONA itself. For example, RONA recently signed the five stores owned by Groupe Godin. Founded in 1979, Groupe Godin did belong to RONA before joining Castle Building Centres in 2010.

Quincaillerie Godin first opened in Namur, in the Outaouais region. Through expansion of existing stores and strategic acquisitions, including two Matériaux à Bas Prix stores in 2014, the chain has grown. Today, the company operates five home improvement centres, three of which are in Quebec and two in Ontario.

Insiders close to the deal indicated that RONA made a generous offer to bring Godin back into the fold. During the heydays of RONA’s expansion efforts under Robert Dutton in the early part of this century, some of the offers were legendary for their large size.

Late last year, Lowe’s Canada secured another affiliate dealer with multiple stores. Dennis Doidge, formerly with TIMBER MART, owns Doidge Building Centres Ltd. & Mahood Lumber Company Ltd., with six locations in Ontario. The stores range in size from 6,000 square feet to 16,000 square feet of retail with yards as big as 12 acres. Doidge cited a desire to expand his e-commerce business and the strength of RONA’s brand among his reasons for making the move.

The company has been actively working with existing affiliate dealers to expand and upgrade their stores. This spring, Vernon, B.C., and Leduc, Alta., were converted to RONA’s latest store format, and the company expects to convert eight more stores by year’s end. And most recently, Ray Cyr, president of Fraser Valley Building Supplies in British Columbia’s Lower Mainland, completed a $3 million expansion of his store in Hope, B.C. That store had been a corporate RONA outlet until Cyr bought it in 2017.

Along with the RONA program, Lowe’s Canada has been actively recruiting dealers for its Ace banner. It’s typically offered as an option for smaller stores. They are primarily hardware stores, but many have building materials, as well. The most recent Ace recruit was a Co-op store in Owen Sound, Ont., which also represented a milestone for the banner as the 100th Ace store in Canada.

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Lowe’s shift from methylene chloride puts pressure on paint stripper makers

SPECIAL REPORT — Lowe’s has committed to stop selling paint solvents containing chemicals that have been linked to deaths. The company announced May 29 that, by the end of 2018, it would no longer sell paint strippers with methylene chloride and N-Methylpyrrolidone (NMP).

Lowe’s already sells paint removal products that do not contain the chemicals, and “has plans to bring more options to consumers by year-end,” the company says. Since 1980, about 50 people in North America have died while using the product. The U.S. Environment Protection Agency proposed to prohibit the use of methylene chloride in paint removers in 2017, but later decided against a ban. The product is not banned in Canada, either.

Lowe’s Canada has confirmed that it “will indeed mirror Lowe’s efforts in the U.S. in phasing out paint removal products with the chemicals methylene chloride and NMP from its global product selection,” says Valérie Gonzalo, spokesperson for Lowe’s Canada.

The move has taken manufacturers by surprise. “Methylene chloride products are still safe to use, when taking necessary precautions,” says Sébastien Plourde, president of Super Remover in Granby, Que. His products, he notes, are clearly marked and instructions advise users to work in a well-ventilated environment.

For consumers, the stronger formulation of traditional strippers continues to be much more effective than more environmentally friendly alternatives. That alone may drive shoppers to other retailers besides Lowe’s.

Plourde says his company is “being proactive and is has been working closely with a university in the U.S. to introduce a new, safe product that is similar in strength to our product with methylene chloride.” He’s confident this new formulation will revolutionize the paint remover industry. However, final testing and processing of the new line is still some weeks out.
 
Nevertheless, Lowe’s Canada will go ahead with the move to eliminate products with methylene chloride. “Over the next few weeks, the products in inventory will progressively be removed from our shelves and we will update our planograms accordingly,” Gonzalo confirms.

“Lowe’s Canada currently has several paint remover alternatives without methylene chloride available today and has plans to bring more options to consumers by year-end.”

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TIMBER MART has promoted Alexandra Kazan, currently corporate messaging specialist, to the role of corporate communications manager. In addition to her current responsibilities of conducting media relations and producing corporate internal and external communications, Kazan will now manage and oversee all aspects of TIMBER MART’s communications and trade media advertising, including the media, messages, and strategies used by the organization. (Alexandra.Kazan@timbrmart.com)

At Empire Company Limited, with its wholly-owned subsidiary, Sobeys Inc., Lyne Castonguay has been promoted to executive vice president, store experience, responsible for store operations, distribution centres, and customer satisfaction across Empire’s traditional grocery banners outside Quebec. She previously served as EVP of merchandising for Sobeys. Until 2016, when she joined Sobeys, Castonguay held progressively senior positions with The Home Depot both in Canada and the U.S. She reports to Empire President and CEO Michael Medline.

Marshall Croom, CFO of Lowe’s Cos., has announced he will retire as of October 5. A 21-year veteran of the company, he will stay on after that date while a replacement is named to help with the transition period.

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____________________________________________________________________

CLASSIFIED ADS

Sales Territory Managers | Atlantic Canada

Regal Ideas is the innovative leader in Aluminum Railing and associated outdoor living products to the Canadian Home improvement Industry. We require experienced Building Materials Professionals to expand our sales team and drive sales growth across Canada. If you are a motivated and highly organized team player then we want to speak with you.

Please send resume and salary expectations to Marketing@regalideas.com and you will be contacted if qualifications are commensurate with our requirements.

____________________________________________________________________

TIMBER MART is looking for a Sales Development Agent based in Langley, BC who will play an integral role in the following areas that support our dealers and customers:

* Establish and build strong relationships with our dealers and customers

* Promote the purchase and utilization of our products and services

* Actively pursue new business opportunities and strengthen our current ones

* Work with our sales team to meet and exceed monthly sales initiatives

* Conduct sales calls and store visits

* Communicate customer concerns, questions and ideas clearly

* Review monthly sales reports to identify opportunities

Qualifications:

* A minimum of 3 to 5 years’ experience in the building material industry

* Competency in Microsoft Office and basic computer skills

* A valid driver’s license and a clean abstract

* Business to Business (B2B) sales experience

* Purchasing experience

* Specific knowledge of the lumber and panel market

* Post-secondary education or equivalent experience

* Formal sales training

If you are a motivated team player who is looking for a challenging and rewarding opportunity, please forward your resume to hr@timbrmart.com.

____________________________________________________________________

COMMODITY TRADER (#765ON)

About Home Hardware Stores Limited
Home Hardware Stores Limited is Canada’s largest Dealer-owned cooperative with close to 1,100 Stores and annual retail sales of over $6 billion.

Located near Kitchener/Waterloo, Ontario, Home Hardware remains 100% Canadian owned and operated.  Home hardware has received designations as one of Canada’s Best Cultures and Best Managed Companies and is committed to providing local communities with superior service and quality advice.

Responsible to the Commodity Manager for:

Marketing Wood Products to targeted Dealers.

Contacting vendors for up-to-date prices and trends. Providing analysis and input to Commodity Manager, determining when the time is right to buy.

Providing input on Block Buys and Commodity Offerings.  

Advising Home LBM Dealers on market conditions and assisting them in making buying decisions.

Purchasing lumber and sheet goods on behalf of the Home Hardware LBM Dealers in Ontario.

Purchasing lumber, sheet goods and allied products for the Kitchener LBM Distribution Centre.

Making outgoing sales calls to Dealers.

Inputting purchase orders and other records as required. Creating and running reports as required.

Qualifications:

Secondary School Diploma or equivalent with post-secondary courses in business and negotiation.
Five to ten years of retail and/or wholesale business experience.
Full knowledge of softwood lumber products.  Strong Eastern and Western mill connections essential.
Ability to analyze economic reports, commodity reports and information received from various industry sources, including those generated internally.
Highly motivated and able to problem solve.

Interested applicants, please submit your resume to Dayna Weber, Recruitment, Human Resources at hr@homehardware.ca.
Full posting available at www.homehardware.ca.
Phone: 519-664-4975
34 Henry St W, St. Jacobs, ON, N0B 2N0

*While we appreciate all applications received, only those to be interviewed will be contacted.

We will accommodate the needs of qualified applicants under the Human Rights Code in all parts of the hiring process.

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June 4, 2018 Volume

xxiv, #22

 “I have learned silence from the talkative, toleration from the intolerant, and kindness from the unkind; yet strange, I am ungrateful to these teachers.”
—Khalil Gibran (Lebanese novelist, poet and artist, 1883-1931)

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Hardware and home improvement retailers take honours at Retail Council awards

TORONTO — Home Depot President Jeff Kinnaird headed up a stellar roster of individuals and companies from the hardware and home improvement industry at last week’s Excellence in Retailing Gala. The event capped day one of the RCC’s annual convention, STORE. Kinnaird was selected as Distinguished Canadian Retailer of the Year.

“He’s a retailer through and through, doing what most great merchants do, starting out at the bottom and working his way through different roles,” said RCC President Diane Brisebois, in her remarks about Kinnaird. She described him as having a passion that spreads to his team and to the communities served by Home Depot stores. “And all this is done with humility and gratitude.”

Robin Lee, president and CEO of Lee Valley Tools, earned a Lifetime Achievement Award for the success and rich corporate culture that company has maintained since its inception in 1978.

Other winning companies included Canadian Tire, which was nominated in a number of categories, and earned top honours for both in-store merchandising and supply chain innovation. From Lowe’s Canada, Reno-Depot was nominated for the e-commerce experience, while its sister banner RONA won for mobile experience, thanks to the launch of a new, responsive website. “Offering a seamless, consistent, and transparent experience to our customers no matter when, where, and how they interact with us is what Lowe’s Canada’s omnichannel strategy is all about,” said Tanbir Grover, vice president, e-commerce and omnichannel at Lowe’s Canada, on the award.

Rounding out a strong showing by hardlines retailers in the evening’s awards, Federated Co-operatives was nominated in two categories, including best marketing strategy, and won for philanthropic leadership.

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UFA taps big box DNA to improve best practices, and sales are going up

CALGARY — One of the ways UFA has been able to get more in touch with store operations is through its field merchants. “They’re our eyes and ears in the stores,” says Glenn Bingley, They can identify everything from slow-selling merchandise in particular markets to community needs that a particular store could respond to. “We’ve been working very hard to fulfill those needs,” Bingley adds.

In fact, the use of field merchants reflects just one of the many best practices UFA has borrowed from the big box retailers. Bingley himself came over from Home Depot Canada seven years ago. There, he had served in a number of roles over 17 years with the big box retailer, ultimately as vice president of merchandising. Another big box alumnus, Mark DiGioacchino, was director of field merchandising at Home Depot Canada before moving to Lowe’s Canada. He has been at UFA for two years as director of merchandising.

“We learned a lot of strong retail fundamentals from the big box retailers,” Bingley admits. They include rigorous line reviews, better management of vendor relations to benefit both sides, and improved retail programs, with standardized assortments that vary only in size depending on the footprint of the store. The process, he says, has given UFA access to a broader range of new products and increased value for customers.

“That discipline is something Mark has been able to bring to his buying teams,” he says. “And ultimately we’re seeing improved sales.”

Bingley is confident the trend will continue. Despite the flat economy in Alberta, where most of UFA’s stores are located, the retail business was able to grow by just over 5%. And despite a slow start to 2018, something shared across the country, the year ahead looks good. “We’re very optimistic. We had a very, very strong 2017. The economy in Alberta is picking up.”

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Kohltech Windows awarded during transition to new branding

DEBERT, N.S. — Kohltech Windows & Entrance Systems has been recognized for overall business performance and sustained growth as one of Canada’s Best Managed Companies. The 2018 Best Managed program award winners are amongst the best-in-class of Canadian owned and managed companies with revenues over $15 million demonstrating strategy, capability, and commitment to achieve sustainable growth.

The growth and success of Kohltech, formerly Peter Kohler in the Atlantic provinces, continues to be driven by the culture of service the company was founded on. It has made consistent efforts to improve business practices in an increasingly complex industry, whether through its award winning “Best in Class” dealer software or through training programs. Customer loyalty and word of mouth have propelled the company from being a top regional brand towards becoming a top national brand over the last few years.

“We are incredibly grateful to be receiving this designation,” says Kevin Pelley, President of Kohltech Windows & Entrance Systems. “This accomplishment recognizes the hard work and dedication of our staff to serving our customers, to producing quality products, and to relentless innovation in windows and doors.”

Until recently, the company had operated under the Peter Kohler name in the Atlantic provinces and Kohltech outside of Atlantic Canada. The long-term plan has always been to trade under the Kohltech name once brand recognition was established.

The company plans to transition the Peter Kohler brand to Kohltech by promoting both brands in its messaging over the next eight months. An advertising campaign has already begun, showcasing the brand transition using TV and digital video advertisements shown across Atlantic Canada.

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Small town independent focuses squarely on farm and rural customers

CLARKSBURG, Ont. — James and Patricia Hindle of Hindle’s Clarksburg Hardware in Clarksburg, Ont., have been running their 2,000-square-foot small town hardware store for 46 years, and all without the benefit of kitchen and bath displays, doors and windows, or lumber and building materials.

“Lots of other stores carry those kinds of things, so we don’t think it makes any sense to fill the store up with products we can’t compete on,” says Hindle. “Instead, we focus on specializing in items those other stores don’t have.”

The Hindles’ store stocks all the items you would expect to find in a typical small hardware store—like basic plumbing and electrical supplies, housewares, hand tools, some paint, and seasonal items—but large sections of the store are devoted to products essential in their specific market. The town of Clarksburg is in a rural area of Central Ontario where orchards are common, and Hindle’s Hardware has carved out a niche as the go-to supplier for specialized tree pruning and horticulture tools.

“We have been importing specialized horticulture tools since the 1970s—from the U.S., France, Switzerland, and even Japan,” Hindle says. “Plus, we service and sharpen that equipment and carry the parts. We’ve sold equipment to orchards as far away as Nova Scotia and to forestry businesses in Quebec.”

Hindle’s also stocks a wide assortment of work gloves, clothing, and boots specifically for seasonal workers who come to the area to work at the local orchards. In addition, the store stocks a huge assortment of fasteners that are commonly found on agricultural vehicles and equipment, as well as a wide assortment of chains. Says Hindle: “Lots of our customers are farmers, and they know they can come here and get exactly what they need.”

(This is an excerpt of a larger feature that appears in the current edition of our sister publication, Hardlines Home Improvement Quarterly. HHIQ is mailed to 11,000 dealers, owners, and managers across Canada. Click here to get your own subscription today!)

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Doug Knowles, operations manager for the Home and Building Solutions division of Federated Co-operatives Limited, is retiring at the end of this month. His final day is June 29. (Doug.Knowles@fcl.crs)

At Derby Building Products, manufacturer of the Tando and Novik brands of exterior cladding products, Mark Schlagheck has been named vice president of retail sales. In his new role, Schlagheck will position Novik for expansion to the retail home improvement channel in the U.S. and Canada. He will divide his time between Dayton, Ohio, and Derby’s headquarters in Quebec City. With 30-plus years of experience, Schlagheck previously served as VP retail sales at The AZEK Company and the Kohler Company. He will report directly to Mitch Cox, Sr., vice president of sales. (mschlagheck@derbybp.com)

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CLASSIFIED ADS

Sales Territory Managers | Atlantic Canada

Regal Ideas is the innovative leader in Aluminum Railing and associated outdoor living products to the Canadian Home improvement Industry. We require experienced Building Materials Professionals to expand our sales team and drive sales growth across Canada. If you are a motivated and highly organized team player then we want to speak with you.

Please send resume and salary expectations to Marketing@regalideas.com and you will be contacted if qualifications are commensurate with our requirements.

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TIMBER MART is looking for a Sales Development Agent based in Langley, BC who will play an integral role in the following areas that support our dealers and customers:

* Establish and build strong relationships with our dealers and customers

* Promote the purchase and utilization of our products and services

* Actively pursue new business opportunities and strengthen our current ones

* Work with our sales team to meet and exceed monthly sales initiatives

* Conduct sales calls and store visits

* Communicate customer concerns, questions and ideas clearly

* Review monthly sales reports to identify opportunities

Qualifications:

* A minimum of 3 to 5 years’ experience in the building material industry

* Competency in Microsoft Office and basic computer skills

* A valid driver’s license and a clean abstract

* Business to Business (B2B) sales experience

* Purchasing experience

* Specific knowledge of the lumber and panel market

* Post-secondary education or equivalent experience

* Formal sales training

If you are a motivated team player who is looking for a challenging and rewarding opportunity, please forward your resume to hr@timbrmart.com.

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May 28, 2018 Volume

xxiv, #21

 “People who think they know everything are a great annoyance to those of us who do.”
—Isaac Asimov (Russian-born American writer and professor, 1920-1992)

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Speakers, dates announced for 23rd annual Hardlines Conference

WORLD HEADQUARTERS, Toronto — Retail’s front lines will unite with leading edge thinkers on stage at the 2018 Hardlines Conference. This year’s conference will take place November 13 to 14 at the historic Queen’s Landing in Niagara-on-the-Lake, Ont.

With the theme, “The Power of Brand”, the event will bring together some of the top retail brands―and brand leaders―in Canada, including one of Canada’s top brand gurus. Ian Madell, president and managing partner of Level5 Strategy, will kick off the sessions, outlining what’s good and bad regarding our thinking about brands and branding.

Getting more industry specific, Charles Valois, VP central marketing at Lowe’s Canada, will talk about how this retail giant is integrating and leveraging a range of retail brands, namely Lowe’s, RONA, Reno-Depot, and Ace. Darrin Noble, VP of Home Hardware’s Beauti-Tone paint business, will talk about the power of this private brand for Home’s dealers. From Orgill, Catherine Vaugh will outline how this hardware wholesaler is providing integrated marketing strategies for retailers to use to promote their own brand to their respective markets. 

Representing important case studies from the front lines of home improvement retail, Hardlines will present two dealers from opposite ends of the country. Ray Cyr operates RONA Fraser Valley Building Products in British Columbia’s Lower Mainland. Jillian Sexton is a TIMBER MART dealer with two stores in Nova Scotia, and now a third in Charlottetown that has taken off.

Steve Buckle, president of Sexton Group, will talk about how his group supports the individual brands of its members.

Also on hand: Dan Tratensek, VP of publishing for the North American Retail Hardware Association; Peter Norman, our economics expert from Altus Group; and Denis Melanson, chair of the Building Material Council of Canada, on the latest initiatives by this organization to attract workers to the home improvement industry.

(For the full lineup of speakers and activities at the 23rd annual Hardlines Conference in Niagara-on-the-Lake, Ont., click here now!)

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Castle Building Centres, Sexton Group top $2 billion with record dealer sales

SPECIAL REPORT — Two of Canada’s largest buying groups got even bigger in 2017. According to the latest research from Hardlines, both Castle Building Centres and the Sexton Group topped $2 billion in total sales from all its dealers last year.

As sales results are calculated for Canada’s top retail groups, and by extension, the size of the retail home improvement industry overall in preparation for the release next month of Hardlines’ annual Retail Report, these milestones signify the ongoing strength of the independents in the Canadian home improvement industry. Castle’s estimated sales climbed from $1.95 billion in 2016 to just over $2 billion last year. Sexton Group enjoyed a lift from $1.8 billion to $2 billion as well.

Both groups have been growing steadily in recent years, through a combination of incremental sales increases post-worldwide recession and through member acquisitions. While all groups and banners have their share of dealers that join and leave in a year, Castle, which is headquartered in Mississauga, Ont., and is celebrating its 55th anniversary this year, has made strong gains recruiting independents, including traditional yards and specialty dealers in lines such as flooring and doors. Sexton, based in Winnipeg, has had wins with the signing of modular home and RTA (ready-to-assemble) producers, many of which have supplied the resource sector in Northern Alberta.

In terms of ranking with other buying groups, they both fall in after Independent Lumber Dealers Co-operative, whose 21 member companies generated about $3.6 billion in combined sales last year; and TIMBER MART with 600-plus dealers and estimated sales that land just shy of $3 billion.

The increases by the buying groups reflect healthier-than-expected growth within Canada’s retail home improvement industry in 2017. According to preliminary numbers from the Retail Report, the industry grew by more than 5% last year, ahead of industry forecasts. Growth for 2018 is likewise being revised upward and will be finalized for the release of this year’s Hardlines Retail Report.

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UFA updates stores with a focus on consistency, product programs

CALGARY — Glenn Bingley is completely upfront about what needed to change at UFA’s retail stores. “I admit there was a need to change the company to meet the needs of our members, and that meant we had to focus on the retail fundamentals.”

United Farmers of Alberta has two businesses: petroleum and agribusiness. The latter consists of 35 UFA Farm & Ranch Supply stores throughout Alberta, one building centre in Fort McMurray, and the commercial agriculture side. In 2015, as the oil industry was suffering, the retail side came under careful scrutiny—and was found wanting. As COO of retail operations for UFA, Bingley heads up that business. “We had lost our retail focus, and we had lost our ability to focus on the local community.”

With a background serving at Home Depot Canada for 17 years, he is now focusing his team’s efforts on improving service and refining product assortments. Both, says Bingley, had suffered in recent years under a previous management with a different retail vision. Stores lacked cohesion and product lines were inconsistent from store to store. “So we’ve been working hard for just over two years to change the business—and the members are really noticing this.”

With a customer base that consists of farmers, ranchers, and rural homeowners, the core products for the Farm & Ranch Supply stores include both commercial items farmers and acreage owners use to maintain their operations and retail home improvement lines for home and farm renovation and repair.

“They expect us to have that stuff in stock,” Bingley says. Consistency of both products and services has been a goal for the stores across the chain. With a more rigorous approach, the company has also gotten better at fine-tuning standardized assortments to fit with the size of each store and the market they serve.

UFA’s biggest lines are fencing and feed. These, for the farm customer, remain the big sellers. But lumber and building materials are also seeing good growth, and he attributes much of that success to the buying teams, headed up by Mark DiGioacchino, UFA’s director of merchandising. Like Bingley, DiGioacchino has big box experience, having worked at both Home Depot Canada and Lowe’s Canada.

“Mark and his team are working to bring in new programs that offer better quality.” Efforts by DiGioacchino are paying off in other ways, Bingley says. “And we’re more competitive now.”

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Pro dealers still taking baby steps toward social media

SPECIAL REPORT — Home improvement stores are still struggling with content management on social media, while their contractor customers aren’t fully experiencing the benefits of online engagement just yet.

Many pro dealers are still trying to figure out how to fit social media into their customer engagement strategies. However, social media is not something they can ignore. In 2017, there were 22.7 million users in Canada, according to Statista DMO. That number is projected to rise to 24.1 million by 2020. Facebook alone has 85 percent market penetration with social media users. And 83 percent of Canadian businesses claim they engage in some kind of social media marketing or brand building.

“It’s not going away, that’s for sure,” says Paul Mutter, purchasing manager for Merkley Building Supply in Ottawa, Ont., which has a presence on Facebook, Twitter, Instagram, and Houzz. Merkley specializes in stone and masonry products and uses social media to drive traffic to its website and showroom.

Dauphin, Man.-based McMunn & Yates Building Supplies, with 19 locations in three provinces, appears to be among the more active dealers on social media. It has more than 4,000 Facebook followers, and posts to that platform every other day. It also tweets or retweets every weekday to its 622 Twitter followers.

“Social media is a touch point for us,” says Mike Doyle, owner of The Home Improvement Warehouse in Calgary, Alta. “Millennials don’t shop the same way [as other customers], so how do we talk to them?” He adds that his company’s social media platforms—Facebook, Twitter, Pinterest, Instagram, LinkedIn, and Houzz—are useful for connecting with architects and designers who are often avid followers.

(This is an excerpt of a larger feature that appears in the current edition of our sister publication, Hardlines Home Improvement Quarterly. HHIQ is mailed to 11,000 dealers, owners, and managers across the country. Click here to get your own subscription today!)

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At Lowe’s Cos., Marvin Ellison has been named president and CEO, effective July 2. He will also join Lowe’s board of directors. Ellison succeeds Robert Niblock, who previously announced his intention to retire. Ellison is coming over from J.C. Penney Co., where he currently serves as chairman and CEO. He also has an extensive track record in the home improvement industry, having spent 12 years in senior-level operations roles with The Home Depot, where he served as executive vice president of U.S. stores. Before that, he spent 15 years at Target. The Lowe’s board has also appointed Richard Dreiling, a director of Lowe’s since 2012, as chairman.

At Liteline Corporation, Steve McMullen has been promoted to national sales manager. He joined Liteline in 2016 as regional sales manager for Ontario.

At Garaga, Erick Rocheleau has been named vice president of sales for all of Garaga’s operations. Rocheleau most recently spent eight years as sales manager, then sales and strategic development manager, for a major Canadian door and window manufacturer. Before that, he worked for a hardwood manufacturer and a construction product dealer. He reports to Maxime Gendreau, co-president of Garaga. (info@garaga.com)

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CLASSIFIED ADS

Sales Territory Managers | Atlantic Canada

Regal Ideas is the innovative leader in Aluminum Railing and associated outdoor living products to the Canadian Home improvement Industry. We require experienced Building Materials Professionals to expand our sales team and drive sales growth across Canada. If you are a motivated and highly organized team player then we want to speak with you.

Please send resume and salary expectations to Marketing@regalideas.com and you will be contacted if qualifications are commensurate with our requirements.

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May 21, 2018 Volume

xxiv, #20

“Rest is not idleness, and to lie sometimes on the grass under trees on a summer’s day, listening to the murmur of the water, or watching the clouds float across the sky, is by no means a waste of time.”
—Sir John Lubbock (English banker, politician, philanthropist, and scientist, 1834-1913)

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BMR gets serious about Ontario expansion with new sales rep and new programs

BOUCHERVILLE, Que. ― Groupe BMR is back in the Ontario market.

The buying group and wholesaler is actively developing business outside its home province of Quebec, and Ontario is squarely in its sights. That includes a person working with the Ontario dealers, Gilles Parenteau, BMR business development advisor.

BMR already has a handful of dealers in Ontario, including Windsor Building Centre in Windsor and Drummond Building Supplies in Marmora (shown here). But the group ceased expansion efforts in that province after it was acquired outright by La Coop fédérée at the beginning of 2015. The next three years found the company focused on reorganization closer to home.

Now, as the group seeks to build a strong presence in Ontario, it’s embracing a number of dimensions of dealers’ needs. “One is certainly to emphasize the independent dealer’s value of success,” says Pierre Nolet, BMR’s vice president of business development.

“BMR dealers are independent entrepreneurs and cooperatives that have freely chosen to associate themselves with BMR Group. Their expertise in hardware and building materials, coupled with their in-depth knowledge of their respective markets, allows them to offer consumers and contractors highly personalized service,” Nolet continues.

BMR says the convergence of product, innovation, and service is already driving BMR’s growth in Ontario. Currently, the group has a network of 325 independent home improvement centres and hardware stores in Quebec, Ontario, and the Maritime Provinces. It also has 17 corporate stores, located mainly on the South Shore and North Shore of Montreal.

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New products from the show floor at the National Hardware Show

LAS VEGAS, Nev. ― Individual companies that exhibited at the recent National Hardware Show offered an insight into the trends and product innovation that help drive the industry. On the show floor, new products were in abundance, driven by technological advances in categories such as lighting, power tools, space saving, and even wood panelling.

Surrey, B.C.-based QualityCraft was putting on a big push for two segments of its business, QualityCraft flooring and Montezuma tool storage, now combined as a full line of products to organize and utilize the garage space. Said QualityCraft’s SVP of sales and marketing, Dave Bickel, “Our goal is to own the garage, floor to ceiling, wall to wall.”   

Philip Fitzpatrick, VP and general manager of Positec Canada, which markets Rockwell and Worx, showed off the Worx battery system. It runs on a 20-volt battery, or Power Module. “We’re building the whole thing around marketing the Power Module program,” for products ranging from leaf blowers to power mowers, Fitzpatrick said.

Another product advance at the show might be considered more low-tech, but no less innovative. Estwing featured a series of mallets and sledge hammers with spring steel bars that run all the way through the handle. The bars are locked with the hammer head using steel locking plates ensuring that the head never gets dislodged. Dhiren Bammi, Estwing’s managing director worldwide, said the line would be available in Canada in 90 days.

M-D Building Products, which recently purchased the weatherstripping, cleaning tools, screen, and snow brush lines of RCR International, was featuring RCR’s Climaloc brand, which will be maintained, but with the M-D name gradually replacing the RCR mark, said Joe Comitale, president of M-D Canada. “We’re maintaining product and UPC codes to make it easy to switch to the new lines,” he added.

Just days after winning the 2018 Energy Star Award for Excellence in the U.S., L’Image Home Products was at NHS to show off its latest lighting advances, including affordable LED lamps for low-income families. The Energy Star Award was given to L’Image for its efforts to promote the Energy Star brand and to educate consumers about the benefits of energy efficiency. The award is given by the U.S. Environmental Protection Agency and the U.S. Department of Energy. On day one of the show, the company received news that it had also won the Canadian version of the award, sponsored by Natural Resources Canada.

ShurTech Brands was featuring a new addition to its Canadian product lines: a better line of its popular green Painter’s Tape masking tape. According to Scott Robins, national account manager for ShurTech, Painter’s Mate Ultra fits in between the company’s Painter’s Mate value line and its top-end Frog Tape. It has a longer clean removal time―14 days versus seven. “And it meets the changes going on in paint formulations with a higher tack,” Robins said.

Mywoodwall was a very cool wood panelling product line harvested in Indonesia. The fast-growing wood can be remanufactured to a variety of colours and finishes. A simple peel-and-stick process makes DIY installation simple. The line has been picked up by Taiga for distribution in Canada.

The Quebec government once again organized a group stand for manufacturers from that province. Harry Jacobs of Ideal Security (shown left with a customer) reported healthy traffic for the display, despite being in the rear annex of the main hall. Eric LeClair of Bedford Ruler (on the right) was likewise pleased with the location and the traffic at the show. His company, which supplies stir sticks to paint and hardware dealers across Canada, was showcasing his family business’s wares, complete with private branding feature that puts the dealer’s name on each stir stick.

In the lawn and garden section of the show, Heath Outdoor Products had an array of bird feeders, including a new line of bright, colourful feeders shaped like birds such as owls and chickens. They can accommodate two suet pucks as well as loose bird feed.

DynaTRap offered a plug-in fly trap, which attracts the insects with to a disposable sticky pad that sits discreetly behind a decorative cover.

The show once again proved to be an important showcase for what’s new in home improvement retailing, as well as an opportunity for vendors and retailers alike to renew existing relationships.

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Canadian Tire CEO commits to growth, private brands, rewards program

TORONTO — Canadian Tire used its annual general meeting at the Four Seasons hotel in Toronto earlier this month to make several announcements about the company.

Addressing the crowd, Maureen Sabia, chairman of the board, attributed Canadian Tire’s successful year to CEO Stephen Wetmore. “I would be remiss if I didn’t single out our CEO Stephen Wetmore for his efforts,” Sabia said.

The company’s Q1 profits declined from a year ago, coming in at $78 million compared to 87.5 million in the first quarter of 2017. Total revenues for the quarter rose by 3.3% to $2.81 billion, compared to $2.72 billion a year ago. Same-store sales saw an increase of 5.2%.

Sabia then revealed that Wetmore had signed another three-year commitment, which began this year. In addition to Wetmore’s commitment, Sabia also announced the company’s acquisition of Helly Hansen, the outdoor apparel brand, and the launch of Triangle Rewards program.

Triangle is the company’s latest effort to unite its many retail divisions under the Canadian Tire banner. Customers can use the card at Canadian Tire, Sport Chek, Gas+, participating Mark’s, and Atmosphere locations to earn Canadian Tire money, which can also be redeemed at any of those stores. Of the launch, Sabia said “there’s no better example of us working as one company.”

She went on to say that while the last few years have been positive for Canadian Tire, they have also taught her team that the company’s future success depends on disruption, not just sticking to what’s always been successful. “Great challenges also present great opportunities,” she said.

For his part, Wetmore described the Triangle program as “the most important announcement we have made since I joined the company” and a “natural progression” for the Canadian Tire rewards program.

The Helly Hansen acquisition is the most recent example of the company’s efforts to build up its private brands in-store. Over the past year, it has also picked up the Paderno cookware line, premium barbecue brand Vermont Castings, the lawn care brand Golfgreen, and team sports Sher-Wood Athletics Group Inc., which manufactures hockey gear and licensed products.

In terms of Canadian Tire Retail, Wetmore also announced that the home delivery pilot the company was testing in the Ottawa area will be expanded to across the country starting late this summer. All these announcements, Wetmore said, are in line with the company’s goal to become the number-one retail brand in Canada by 2022.

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Home Depot Canada will play role in company-wide IT hiring campaign

TORONTO — The Home Depot is looking to support its intensive growth into high tech retailing by hiring 1,000 new IT professionals across North America this year. And the Canadian division will play a role in that initiative.

Most of the hiring will take place in Austin, Tex., where Home Depot opened a corporate tech and data centre in 2005. Up to 500 people are being sought for that facility. But the retailer has technology centres in Atlanta, Ga., and Dallas, Tex., which will collectively hire another 500. The hires will support initiatives related to a massive $11.1 billion, three-year strategic investment plan that was first unveiled at the end of last year. It addresses the store and online shopping experience, supply chain and delivery capabilities, and associate and workforce management systems.

Closer to home, The Home Depot Canada is recruiting 100-plus new technology professionals at its headquarters in Toronto’s east end, called its Store Support Centre.

“With the changing Canadian retail environment, we know technology is playing an increasingly important role,” says Paul Berto, director, corporate communications, external affairs, and sustainability for Home Depot Canada. The initiative, he points out, ensures that Home Depot shoppers can interact with the retailer across multiple platforms.

“Customers want to shop whenever, wherever, and however they want. That’s why the Canadian team is making similar investments in our business for roles like software engineering, system engineering, UX design, product management, and roles with e-commerce,” Berto adds.

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Cody Smith has been promoted to the role of director, Home and Building Solutions at Federated Co-operatives Limited. He takes over from Tony Steier, who has retired from FCL. Smith has been with the co-op for the past 15 years in a variety of buyer roles, most recently as category development manager.

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CLASSIFIED ADS

TIMBER MART is looking for an Ontario Building Materials Procurement Manager, based in the GTA who will play an integral role in the following areas that support their dealer network: 

* Align product prices in accordance with the market for Vendor Buying Agreements to maximize dealer margins and sales. 

* Review market pricing in order to negotiate better costs for commercial agreements with vendors. 

* Ensure a proper product mix that meets sales and budget objectives and maximizes profitability. 

* Negotiate trade discounts and terms. 

* Ensure the proper and faithful execution of the agreed upon Vendor Buying Agreements. 

* Routinely review categories and sub-categories to decide whether to promote or discontinue products based on their market performance. 

* Select products within assigned product categories for TIMBER MART flyers. 

* Select vendors that will appear in the TIMBER MART National Buying Show, as well as travel to and assist in preparations for the event. 

* Support TIMBER MART dealers regionally and nationally, providing them with appropriate and timely information, guidance and vendor support. 

* Develop new programs to ensure our dealers are kept current in the building material industry. 

* Monitor competitors’ markets nationally and regionally in order to maintain a competitive standing in the marketplace. 

Qualifications: 

* Preferably a College/University Degree in Business, Sales or Marketing 

* 5 plus years’ experience in category management and retail sales 

If you are a motivated team player who is looking for a challenging and rewarding opportunity, please forward your resume to hr@timbrmart.com.

____________________________________________________________________

Sales Territory Managers | Atlantic Canada

Regal Ideas is the innovative leader in Aluminum Railing and associated outdoor living products to the Canadian Home improvement Industry. We require experienced Building Materials Professionals to expand our sales team and drive sales growth across Canada. If you are a motivated and highly organized team player then we want to speak with you.

Please send resume and salary expectations to Marketing@regalideas.com and you will be contacted if qualifications are commensurate with our requirements.

____________________________________________________________________

May 14, 2018 Volume

xxiv, #19

“By working faithfully eight hours a day you may eventually get to be boss and work twelve hours a day.”
—Robert Frost (American poet, 1874-1963)

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Expanded role for Home Hardware CEO Terry Davis points to next steps for the co-op

ST. JACOBS, Ont. — The announcement last week that Home Hardware chief executive Terry Davis has added the title of president to his responsibilities marks the latest step in propelling the 54-year-old company forward. While Davis has had the CEO role for the past four years, the president’s role had remained with his predecessor, Paul Straus.

Straus, who has had a reduced role at the dealer-owned home improvement co-op, is now retiring, but will remain in a counsel role to the company.

In his expanded role as both president and CEO, Davis will continue to report to Home’s board of directors, but now as president, he will also sit on the board, putting him in closer contact with the board as he executes day-to-day functions. More specifically, he is accountable for the control of the business and the general conduct and affairs of Home Hardware Stores and its wholly-owned subsidiaries. He also remains responsible for the financial control and long-term health of the company.

Davis said from the start of his tenure in the top job that his would be an interim role, and while four years might be considered a reasonable period for a CEO to stay in place, it’s brief by Home Hardware’s standards. Founded in 1964, Davis was only the third person to lead the company, following Straus and co-founder Walter Hachborn before him.

Davis joined Home Hardware more than four decades ago in a junior warehouse position at the distribution centre in St. Jacobs, Ont. He moved his way up through the ranks, taking on a series of managerial and executive positions accountable for dealer support and dealer development, marketing, information technology, dealer finance and legal services, administration, and strategic planning.

In 2010, he was appointed executive vice-president and COO, and became CEO in 2014.

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National Hardware Show rolls out with strong attendance, upbeat mood

LAS VEGAS, Nev. — The largest hardware show in North America got off to a strong start yesterday with 2,600 vendors playing host to dealers and buyers from around the world. Canadian attendance was strong, as well, with head office buyers from Canadian Tire, RONA, Groupe BMR, Lee Valley Tools, Spancan, and more walking the aisles. The show is also proving to be a draw for an increasing number of independents.

These included dealers from Home Hardware, a number of whom were also involved in activities and workshops hosted by the North American Retail Hardware Association. The range of seminars put on by the NRHA filled all three days of the show, and featured representatives from companies such as The Grommet (an online seller that Ace Hardware has invested heavily in), Alibaba.com, and Treehouse.

The NRHA kicked off the show with its Young Retailer Awards gala. A Canadian, Mike Wilson of Wilson’s Home Hardware Building Centre in Barrington Passage, N.S., was among the eight winners of the awards. The fourth-generation dealer-owner joined Home Hardware in 2008. Since then, he has made changes that included adding a Home Furniture and a mobile phone store. As a result, top-line sales have increased every year since 2012.

Many of the Canadian buyers who made the trip to Las Vegas attended the annual Maple Leaf Night, held on the first night of the show by the Canadian Hardware and Housewares Manufacturers Association at the Mirage hotel. On the show floor, new products were in abundance, driven by technological advances in categories such as lighting, power tools, and even wood panelling.

Traffic continued to be healthy throughout the show, with buyers from countries as far afield as Australia, Japan, South America, and Europe.

(More on what we found at the National Hardware Show in next week’s mind-boggling edition of HARDLINES!)

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Lee Valley Tools plans largest store ever—and first in Quebec

OTTAWA — Continuing the steady expansion of its bricks-and-mortar presence, Lee Valley Tools will open its first store in the Quebec market this fall.

Robin Lee, head of Lee Valley Tools, says his company is currently working on its next store, which will be beside Autoroute 15 in Laval, Que., near Montreal. Sitting in a former Best Buy store, it will have more square footage than typical Lee Valley stores. “It’s going to be one of our largest stores,” says Robin Lee, president and CEO of the company. The large size will pose some challenges, he admits. “We’re doing a little more tweaking of the store design there.” The move to Quebec will also mean translation of all of Lee Valley’s materials into French.

One of the differences will be more emphasis on making the store more experiential. “It will have a lot of interactivity,” Lee says. It is scheduled to open in October. The product mix of a traditional Lee Valley store caters to woodworkers, hobbyists, and people searching for unique cabinet hardware, toys, and puzzles. On any given day, seminars and workshops draw customers who want to learn knife sharpening or how to make a bird house.

Despite Lee Valley’s strong presence online (it started out in 1978 with one store in Ottawa and a ground-breaking mail order catalogue), Lee has been committed to growth of the bricks-and-mortar side of the business. The last store to open was in Niagara Falls, Ont., in June 2017 (shown here).

Lee, along with the company’s founders, his parents Leonard and Lorraine Lee, were recently awarded the Excellence in Retailing Awards 2018 Lifetime Achievement Award. The award is presented by the Retail Council of Canada. 

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Big things are happening in small stores, even as national chains keep growing

SPECIAL REPORT — Big boxes might have the advantage of size, but small stores have come up with several ways to make the most of their square footage. From customer service to clever merchandising, size is secondary to how retailers use their space.

These days a more sophisticated customer has led to a more sophisticated approach to small store merchandising. “No matter what kind of market a retailer is in, customer needs and expectations have evolved, and stores have had to evolve with them,” says Bill Morrison, divisional vice president of Ace Canada. “The key is the store has to remain relevant to its local market or it won’t survive.”

The store’s core product selection also must be based on hard sales data collected over time. If the retailer wants to maximize sales per square foot, says Morrison, vital space can’t be taken up by merchandise that moves too slowly or is out of season. At the same time, retailers need to regularly augment their core product selection with interesting new products to keep the customer experience fresh. “Small can’t mean boring,” he adds.

Another function of choosing the right core products is demonstrating to customers that the store is “in that business”, says Laurie Wittie, store design manager for Home Hardware Stores Ltd., whether that be tools, plumbing, electrical, or kitchen and bath. If customers come into a smaller store looking for a certain product, they don’t expect to see multiple brands and lines of the same product several tiers deep like they would in a big box store.

“As long as the store has a couple of options to choose from—good, better, best if possible—the customer knows they can fill their need for that particular product at that store,” Wittie says. “If they’re looking for more options, at least the retailer can start a conversation and perhaps get what the customer wants on special order.”

That’s an approach to merchandising that Yves Lebel uses in his 2,500-square-foot BMR hardware store in the small town of Saint-Anne-de-Madawaska, N.B. With a much bigger RONA dealer about 15 minutes away in Edmundston and a Kent building supply store the same distance away in Grand Falls, it’s essential that Lebel display as many different products as possible.

“Big stores have way more space than we do, but it’s just lots and lots of the same stuff,” says Lebel. “Instead of 10 of an item on the shelf, we might have two or three and store the overstock in the warehouse. We can’t take up space in the store with too much inventory; it’s more important that our customers know that we have all the products they might need.”

(This is an excerpt of a larger feature that appears in the current edition of our sister publication, Hardlines Home Improvement Quarterly. HHIQ is mailed to 11,000 dealers, owners, and managers. Click here to get your own subscription today!)

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Jeff Kinnaird, president of Home Depot Canada, has been recognized for a lifetime of achievement by the Retail Council of Canada (RCC). Kinnaird and his team have garnered the Excellence in Retailing Awards 2018 Distinguished Canadian Retailer of the Year Award. The Distinguished Canadian Retailer of the Year Award recognizes a retail leader who has led their company to outstanding business success and innovation and has consistently demonstrated community commitment and support. The recipient is a role model because of their leadership within the corporation, in the retail industry in Canada, and in the community at large, through personal and/or corporate philanthropic activities. The Excellence in Retailing Awards Gala will close the first day of RCC’s conference, STORE 2018, May 29 to 30. For more information and to purchase tickets, click here.

Lixil Canada Inc., home to such kitchen and bath brands as American Standard and GROHE, has named Valerie Malone as president and general manager. In her new role, Malone will be responsible for Lixil’s business strategy and growth in the trade, retail, and e-commerce channels, working with the international Lixil team. A graduate of the University of New Brunswick in finance, Malone joined Lixil a year ago.

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CLASSIFIED ADS

TIMBER MART is looking for an Ontario Building Materials Procurement Manager, based in the GTA who will play an integral role in the following areas that support their dealer network: 

* Align product prices in accordance with the market for Vendor Buying Agreements to maximize dealer margins and sales. 

* Review market pricing in order to negotiate better costs for commercial agreements with vendors. 

* Ensure a proper product mix that meets sales and budget objectives and maximizes profitability. 

* Negotiate trade discounts and terms. 

* Ensure the proper and faithful execution of the agreed upon Vendor Buying Agreements. 

* Routinely review categories and sub-categories to decide whether to promote or discontinue products based on their market performance. 

* Select products within assigned product categories for TIMBER MART flyers. 

* Select vendors that will appear in the TIMBER MART National Buying Show, as well as travel to and assist in preparations for the event. 

* Support TIMBER MART dealers regionally and nationally, providing them with appropriate and timely information, guidance and vendor support. 

* Develop new programs to ensure our dealers are kept current in the building material industry. 

* Monitor competitors’ markets nationally and regionally in order to maintain a competitive standing in the marketplace. 

Qualifications: 

* Preferably a College/University Degree in Business, Sales or Marketing 

* 5 plus years’ experience in category management and retail sales 

If you are a motivated team player who is looking for a challenging and rewarding opportunity, please forward your resume to hr@timbrmart.com.

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