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May 11 2015

 

Hardlines Weekly Newsletter

 

READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

May 11 , 2015 Volume

xxi, #19

“Advice is seldom welcome, and those who need it the most, like it the least.” Philip Stanhope, 4th Earl of Chesterfield (British statesman and diplomat , 1694-1773)

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Kent plans another big box store

KENTVILLE, N.S. — Kent has purchased land and put through a proposal for a big box Kent store on a 15-acre site that will include a small commercial development. However, the vulnerability of the land has many locals up in arms.

Kent’s parent company, J.D. Irving, has agreed to a buffer of 16 acres to protect the Kentville ravine, an ecologically sensitive area in the Annapolis Valley that is the site of some old-growth hemlocks and other species that are reportedly at risk.

Kent, which has been steadily expanding in recent years, has for the most part been focusing on more traditional building centres that range from 35,000 to 50,000 square feet in size. But 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 format store in almost two decades. Kent now has 43 stores, of which eight are big boxes, with estimated sales of more than half a billion dollars (source: Hardlines Who’s Who Directory ) .

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. But Kent abandoned its big box strategy for many years in favour of opening more traditional building centres.

The Charlottetown Kent store, however, is one of a number of large-surface home improvement stores springing up in Canada: last month, Home Depot Canada opened it second store this year after a hiatus of three years, and RONA has re-opened two stores, under the Reno-Depot name, that had been closed more than a year earlier.

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Canadian Tire, Walmart to take over Target Canada sites

TORONTO — Canadian Tire Corporation and Walmart Canada have both made deals to take over properties formerly held by Target Canada. Canadian Tire will acquire 12 leases in a deal worth $17.7 million. Walmart is assuming 12 leases, buying one site outright and acquiring a 1.4 million-square-foot distribution centre in Cornwall, Ont. That deal is valued at about $165 million.

The newly acquired Canadian Tire locations are: one each in Halifax and Moncton, three in Quebec, two in Ontario, one in Manitoba, and four in British Columbia. The sites will add approximately 400,000 square feet of retail space to Canadian Tire Retail’s store network. Walmart intends to spend another $185 million renovating its stores and DC.

This is good news for Target, whose efforts to exit this country have been almost as beleaguered as its entry just two years previously. A court filing just a few days before the Canadian Tire announcement indicated that Target Canada had been unable to find suitable bidders for 55 of its sites, which would be returned to their landlords. The company, which went into bankruptcy protection in January, had operated 133 stores before they shut them all down.

According to Michael Medline, president and CEO of Canadian Tire, his company has been tracking certain Target properties for some time. He adds the ones chosen fit strategically and financially into CTC’s store network. They also represent a significant push into British Columbia. Walmart’s expansion will give it a greater presence across the country, and especially in B.C. and Quebec.

The Canadian Tire locations are: Bayers Lake Power Centre, Halifax; Northwest Centre, Moncton; Place Alexis Nihon, Montreal; Place Versailles, Montreal; Les Carrefours Rimouski, Rimouski, Que.; Aurora Centre, Aurora, Ont.; Sudbury Super Mall, Sudbury, Ont.; Grant Park Shopping Centre, Winnipeg; Driftwood Mall, Courtenay, B.C.; Tamarack Shopping Centre, Cranbrook, B.C.; Village Green Mall, Vernon, B.C.; and Hillside Centre, Victoria.

The Walmart Canada store sites are: Scottsdale Mall, Delta, B.C.; Coquitlam Centre, Coquitlam, B.C.; Surrey Place-Central City, Surrey, B.C.; Haney Place Mall, Maple Ridge, B.C.; Southdale Centre, Winnipeg; Guelph, Ont.; Bayshore Shopping Centre, Ottawa; Billings Bridge Plaza, Ottawa, Pen Centre, St. Catharines, Ont.; Candiac Power Centre, Candiac, Que.; Terrarium Shopping Centre, Pointe Claire, Que.; Galeries Chagnon, Levis, Que.; and Place Fleur De Lys, Quebec City.

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At 70, National Hardware Show features many changes

LAS VEGAS — Kicking off with a high school marching band, the National Hardware Show drew attendees from around the world, including a strong contingent of retailers and vendors from Canada, with retailers from Home Hardware, Home Depot Canada, Amazon.ca, Kent, and more represented . The three-day show ran May 5-7 at the Las Vegas Convention Centre.

It was the 70th anniversary for the show, which featured new products, seminars on new trends, plus networking. As in years past, the focal point for Canadians attending was the “Maple Leaf Night” reception hosted by the Canadian Hardware and Housewares Manufacturers Association, which drew buyers of all stripes to network with CHHMA member vendors.

A recurring topic of discussion was the size and layout of the show this year. The North American Retail Hardware Association’s “NRHA Village” moved its presentation stage from the entrance of the show to the middle of the show floor, offering the audience information and advice about understanding different generations, how to make the most of mobile technology and more.

The show also featured multiple curtained-off areas provided by NRHA for independent retailers to sit down and have their own meetings.

The South Hall was expanded over two floors, with a special area for new exhibitors on the second floor. On the show floor, the newest event was a three-day digital auction. The auction comes from collaboration between the National Hardware Show and RNO Exhibitions and includes the sale of hundreds of product lots, including new, overstock, discontinued, and seasonal products.

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Big boxes face scrutiny for unsafe flooring


SPECIAL REPORT — Now that an investigation into the safety of Lumber Liquidators’ products is under way, public scrutiny has broadened to include big box retailers’ flooring.

Multiple federal agencies are investigating Lumber Liquidators due to reports that some of the company’s laminate flooring contains unsafe levels of the chemical formaldehyde. Now public concern is inspiring questions about flooring sold by Lowe’s and Home Depot.

Lowe’s initially responded to the allegations by saying its laminate comes from “the most reputable, well-known, and trusted U.S.-based flooring companies,” according to Bloomberg Business. But just days later, both Lowe’s and Lumber Liquidators have cancelled any further orders from China for the flooring.

Retailers next faced pressure from consumers about the chemicals found in some of their vinyl flooring. Ortho-phthalates have been linked to asthma, birth defects, learning disabilities, reproductive problems, liver toxicity and cancer. Home Depot was the first to announce it would discontinue by the end of 2015, and now Lowe’s has announced it will phase out the chemicals by year’s end, as well.

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Alberta dealer wins Young Retailer Award

LAS VEGAS — The evening before the National Hardware Show opened, the North American Retail Hardware Association recognized its 2015 Young Retailer of the Year winners, including a winner from Canada: Heather Kreffer, owner of High River Home Hardware Building Centre in High River, Alta., was awarded in the category of stores over $2 million in sales.

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FROM THE ARCHIVES: This week in 1995

The mid-’90s saw a lot of consolidation at the local and regional levels across the country. Many long-time family-owned businesses disappeared during this time. HARDLINES reports here on the acquisition of Fairbank Lumber, a traditional lumber yard with a small sales counter and a large back end, by Alpa Lumber, which has become the largest dealer in the Greater Toronto Area. Also in this issue: another traditional yard, Dominion Coal, tries to exploit the growing seasonal business with the addition of another garden centre. Click here for this week’s blast from the past!

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LM2 Marketing, a 20-year-old Manufacturer’s Rep Agency, is looking for a Sales Representative for Central Ontario/GTA. Sales background within Hardware, Paint and Industrial markets would be an asset. Please send resume to Rlepine@LM2.ca

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May 4 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

May 4 , 2015 Volume

xxi, #18

“Some of us think holding on makes us strong; but sometimes it is letting go. ” –Hermann Hesse (Nobel prize-winning German author, 1877-1962)

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Home Depot Canada opens store north of Toronto

VAUGHAN, Ont. — The Home Depot Canada opened its 182nd store last Thursday, a 117,000-square-foot outlet with a 17,000-square-foot garden centre.

Open in time for the busy spring season, the store is putting a big focus on its seasonal assortments, including outdoor living products, décor, and home improvement services. The store employs close to 200 staff and boasts the first flooring showroom for a Canadian store.

To tie in with online shopping needs, the Vaughan store features a dedicated pick-up centre for orders made online, plus access to extended product offerings on HomeDepot.ca with kiosks throughout the store. It also features an updated area for contractors and an expanded kitchen showroom.

This is the second Home Depot store to open within the last five months. Another opened in North Brampton, Ont., in November 2014, the first for the chain since an opening in Chilliwack, B.C., exactly four years ago .

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Top buyers share secrets with vendors

TORONTO — Getting listed doesn’t guarantee you’ll get into dealers’ stores. That was just one of the overriding messages of last week’s Meet the Buyers Breakfast. The event gathered more than 50 vendors to hear from some of this country’s top buyers.

Dave Martin, product manager, hand and power tools at Home Hardware Stores Ltd., advised potential suppliers to recognize that Home’s promotional schedule is planned well in advance—as much as five months out. “Many vendors are not thinking that far out when they have products to offer.” He added that Home is always on the lookout for products that would be suitable for private label. He currently works with 60 vendors in his category alone who supply private label.

Darren Synder, category business manager for stationary power tools & wet/dry vacuums at Canadian Tire, also stressed the importance of flyers. Canadian Tire sends out 12 million every week. Despite a reputation in the past for inferior quality products, the company today works hard to develop quality products that will resonate with Canadians. “That’s the stuff you should be bringing us. That’s the stuff we’re looking for.”

Snyder gave the vendors some solid tips for getting listed with Canadian Tire. “Just make it easy for the buyer,” he said. To do that, you don’t have to clutter his office with samples. Just send a photo—and not one that’s 10 MB in size. Lay out the features and benefits of your product, identify any opportunities for an exclusive deal (be transparent here), and be prepared with costing, including what you expect the product to sell for at retail.

He noted that putting your product on the shelf means taking another one off. “There are some opportunities for extended assortments online, but our focus is on what goes in the stores.”

Snyder and Martin were joined at the event by Dave McNeil, vice president Eastern Canada for Taiga Building Products; and Randy Martin, vice president of business development for TIM-BR MART Group and its hardware distribution business, Chalifour Canada.

(We’ll share more tips from the buyers in an upcoming edition of HARDLINES! —Editor)

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Amazon to sell home improvement services

SEATTLE, Wash. — Amazon, the online marketplace, has branched out and now sells services, including electrical and plumbing work, home repairs and gutter cleaning.

“Amazon Home Services features handpicked pros offering upfront pricing on pre-packaged services with helpful reviews from customers that have made verified purchases,” the company states.

Shoppers can browse services and Amazon offers work packages from professionals who “are background checked, required to maintain insurance, and expected to maintain a high-performance standard,” according to the company website.

The providers are sorted by categories: which are home improvement, lawn and garden, automotive, computer and electronics, lessons, and other services. Amazon selects the professionals whose services are sold in the marketplace, and guarantees the quality of the work.

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Canadian Tire invites vendors at NHS

TORONTO — Following the success of a similar event last year, Canadian Tire’s Fixing Division will hold its Second Annual Tool Box Challenge, May 4 and 5 at the National Hardware Show in Las Vegas.

Canadian Tire is inviting vendors to submit their new and innovative products “designed to appeal to the tool, hardware and paint enthusiast.” Finalists in the event will get the chance to pitch their products to a panel of Canadian Tire representatives, including vice presidents, associate vice presidents, buyers, and associate dealers. Successful products could be launched as early as this fall.

Product categories of interest include: tools and tool accessories, tool storage, welding, paint and paint sundries, plumbing, electrical, and general hardware.

Vendors interested in participating must have registered already . Vendors with products that have been short-listed will have been notified by email during the week of April 14, 2015. To participate in the finalists’ round, vendors will also be required to pay and admission fee of $300.

Questions? Email: toolboxchallenge@cantire.com .

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Home Depot to feature new spring product offerings


ATLANTA — The Home Depot will promote national brands and proprietary products this spring in lawn and garden, outdoor power, outdoor living, and grilling. Highlights include patio furniture from Hampton Bay and Brown Jordan, complemented by additional fabric and colour options in the “Create Your Own Collection” program, and more outdoor living accessories such as pillows, rugs, lights, and lanterns.

Many of the products will be carried in Canada, as well.

The retailer has expanded its selection of barbecues, with everything from classic gas and charcoal to pellet grills and pizza ovens. “Nexgrill” is an exclusive brand launch for Home Depot and will complement several exclusive models from Weber and KitchenAid. The Nexgrill brand won’t make its way to Canada for this spring, but Home Depot Canada does plan to bring in a few Nexgrill models later this year.

There will be more emphasis on accessories in the grilling category, as well: 75 new products including a blossoming onion rack, jalapeno rack, ceramic pizza stones, and glow-in-the-dark skewers.

The core power tool category will see an expanded assortment of cordless tools and a number of products will be available online, like Toro’s “SmartStow,” a “mow ’n stow” mower that can be folded and stored vertically.

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FROM THE ARCHIVES: This week in 1995

Doug Robinson was first introduced to the Canadian market as a new vice president at Beaver Lumber. He had come from 84 Lumber, a Pennsylvania chain of yards (and one that is still going strong in the U.S.). Robinson ended up heading Beaver Lumber as parent company Molson Cos. sought to sell it. Robinson tried to orchestrate a management takeover of Beaver, but investors were scared off by the aggressive arrival of Home Depot in Canada and the bold gambit didn’t pan out. He later re-emerged as part of Lowe’s international division, charged with starting up Lowe’s Canada more than a decade later. Also this week 20 years ago: Wal-Mart wasn’t the biggest company in the world—yet.

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CLASSIFIED ADS


LM2 Marketing, a 20-year-old Manufacturer’s Rep Agency, is looking for a Sales Representative for Central Ontario/GTA. Sales background within Hardware, Paint and Industrial markets would be an asset. Please send resume to Rlepine@LM2.ca 

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April 27 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

April 27, 2015 Volume

xxi, #17

“I don’t need a whole lot of money; I don’t need a big fine car. I’ve got everything that a man could want; I’ve got more than I could ask for. ” –John Ellison (American-Canadian singer, from his hit song “Some Kind of Wonderful”)

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BMR launches installed services program

BOUCHERVILLE, Que. — BMR has begun testing a new partnership with a management company in Quebec to provide installed repair and renovation services to BMR ’s DIY customers. The pilot for the new service was launched yesterday at one of the company’s 17 corporate stores, situated in Ste-Catherine on Montreal’s South Shore. The program is expected to roll out to four more stores at a rate of one per week throughout the month of June. All 17 stores are expected to be running with the program by year’s end.

The installed services partnership is the latest initiative to come out of BMR since the wholesaler and buying group was acquired by La Coop fédérée at the beginning of February.

According to Martin Lecomte, vice president of retail sales for BMR, Travaux Solution will act as project manager, building a group of contractors and installers drawn from each BMR store’s own contractor customers. It will secure three quotes and guarantee the quality of the work.

“I think this will be good for the contractor customers of BMR because we offer references at the store, so the contractors don’t have to do their own marketing.”

BMR expects to have a test store in Ontario in the coming months as well. The concept will be test-driven in a bilingual market in the Ottawa community of Orleans, Ont., through Builders Warehouse, a large BMR store with estimated sales exceeding $50 million annually (source: our newly updated Hardlines Who’s Who Directory –your shameless Editor) .

“Travaux Solution will work for us at all 17 corporate stores in Quebec,” says Lecomte, “and I am working with another partner to offer the same service in Ontario in a few months.” He adds that outsourcing this service to a partner lets BMR “concentrate on our core [retail] business.”

Besides its corporate stores, BMR serves some 330 independents, both existing BMR dealers and Unimat stores that had been formerly served by La Coop. “We will be ready to offer installed sales in 2016 to our private [independent] members,” Lecomte adds.

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Dealers find products, services at Home Hardware Market

ST. JACOBS, Ont. — The theme at the latest Home Hardware Spring Market is “Be Bold.” But dealers, along with families and staff members, who descended upon the Kitchener-Waterloo region of Southwestern Ontario last weekend, are just as likely to be hopeful that the long Canadian winter has finally given way to spring.

Still, optimism prevailed throughout day one of the market, as dealers got updated on new products and services, including an updated education platform online. Dealers on the show floor reported that they were indeed starting to get busy, and hope they can catch up even as snow has yet to disappear from many regions of the country.

The semi-annual event also featured high-profile speakers. Fashion designer Simon Chang helped launch a new colour trend card for Home’s own “The Model Home Collection,” while Toronto Blue Jays CEO Paul Beeston was the keynote for the morning dealer session on day two of the market.

The company is also putting a big emphasis on its range of services available to members. In fact, according to Home’s CEO Terry Davis, the adoption and full compliance with Home’s services and branding is a major initiative for the company now.

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Lowe’s opens seventh Alberta store

TORONTO — The first Lowe’s store in Lethbridge, Alta., welcomed Mayor Chris Spearman and local councillors for its board cutting ceremony last week. The opening celebrations included presentation of a community grant to Lakeview Elementary School, which received $10,000 toward a new playground. Festivities continued through the weekend with an exclusive event for contractors on Monday. The store is the banner’s seventh in Alberta.

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Home Hardware’s paint division celebrates 35 years

BURFORD, Ont. — Beauti-Tone Paint and Home Products, the paint brand owned by Home Hardware Stores and sold exclusively through Home stores, is celebrating its 35th anniversary.

Back in 1979, the co-op’s paint was being supplied by Sherwin-Williams, but that company had announced it would open stores of its own. So co-founder Walter Hachborn decided it would be a good idea for Home to get into the paint business, rather than rely on another supplier. (Hachborn also looked for inspiration south of the border to Ace Hardware; that co-op already manufactured its own paint, as well.)

Hachborn recruited Eric Irving, a paint manufacturing executive from Northern Paints in Winnipeg. Then an empty textile factory was secured in Burford, Ont., near Home’s head office and distribution centre in St. Jacobs. Home Hardware bought equipment from DeSoto Coatings in the Niagara region and Multichem in London, Ont.  (Two of the original Beauti-Tone employees are still there: Linda Bourgeois, product manager, and Cathy Currie, R&D manager).

Today, after years of expansion, the Beauti-Tone plant and laboratories occupy a 215,000-square-foot facility. The range of products it manufactures has also expanded and now includes not just paint but a range of caulks and sealants, automotive chemicals, cleaning products, and pesticides.

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Vegas attendees can learn about inter-generational selling


LAS VEGAS — Attendees of the North American Retail Hardware Association’s All-Industry Conference, being held May 5-7 in conjunction with the National Hardware Show, will have the opportunity to hear from a variety of generational speakers and experts.

Jim Robisch, senior partner at The Farnsworth Group, will present “Generational Buying Patterns in the Home Improvement Industry” during the first morning of the conference. Robisch will present the data and explore how different generations shop and buy hardware, home improvement, and related products. He will examine similarities and differences between generational groups—and what you need to know to better market to and service your customers.

Ruth Furman, principal at ImageWords Communications, will shed more light on the topic of generational buying patterns. Her seminar, “Top Tips for Generational Target Marketing,” will be held May 5, at 3 p.m. on the NRHA Village Stage. Furman will share smart strategies to help independent retailers engage customers of all generations.

(Learn more about this and other conference events on the NRHA All-Industry Conference website .)

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FROM THE ARCHIVES: This week in 1995

Although Home Depot had arrived in Canada just a year earlier (with the acquisition of Aikenhead’s), Lowe’s was hedging its bets here even back then. Revelstoke used Lowe’s expertise to erect big boxes of its own, including seven openings in 1995. In this week’s edition of HARDLINES from 20 years ago, president Carl Grittner dispels rumours that Lowe’s might buy up the Revelstoke chain.

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April 20 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

April 20, 2015 Volume

xxi, #16

“It is better to live rich than to die rich. ” — Samuel Johnson (poet, essayist, moralist, and literary critic, 1709-1784)

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Federated builds new hardware/LBM buying team

SASKATOON — Federated Co-operatives Limited’s Home and Building Supplies unit has restructured its Home Office and Regional teams. The changes reflect an ongoing focus on the home improvement side of FCL’s business.

Rob Williams is now the Category Development Manager – Building Materials. Cody Smith is now the Category Development Manager – Hardware. Both Williams and Smith have a team of category managers, category co-ordinators, and planogramming staff reporting to them.

“Home and Building Supplies is a key strategic business category within the Co-operative Retailing System, which adds value through the offering of products and services to meet the needs of Western Canadian consumers,” says Tony Steier, Director of Home and Building Supplies, who heads up the entire division. “These changes are designed to better serve the needs arising from the continued growth and investment taking place at Co-op retail locations throughout Western Canada.”

Despite having a bigger focus on farm and feed and energy products, FCL remains a key player in Canada’s retail home improvement scene. With more than half a billion dollars in sales, it is one of the Who’s Who Top 20 Retail Groups .

Under Steier’s leadership, the team will work alongside Co-op retails, “in providing outstanding service to make customers feel at home in their local Co-op stores.” He notes that a broader investment is being made in the entire division. More resources have been added to bolster support in marketing, training, technology and procurement.

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Canadian Tire redefines its buyers as “experts”

TORONTO — Once infamous for moving buyers around from portfolio to portfolio, Canadian Tire is now seeing the value of grooming buyers in roles that position them as experts in the categories they represent.

Canadian Tire president and CEO Michael Medline explained the new approach at an analysts’ conference held recently by CIBC. Now, buyers are being cultivated for their expertise—and their passion—for their respective categories. They will actually be left in place to cultivate and strengthen that expertise.

“We used to change buyers around all the time. Not anymore,” he said.

That approach was first tried out in Canadian Tire’s automotive business, which Medline headed up before taking over the top job. Now, it’s being expanded to Canadian Tire’s other core businesses of Living, Fixing, and Playing.

The arrival of Target to Canada sharpened his company’s desire to strengthen its buying focus, as a way to solidify CTR’s expertise in core categories. The strength of Canadian Tire “and a bunch of other Canadian champions” gave Target a run for its money in categories such as paint and housewares.

The buying teams also rely on the dealers. “We work with the best dealers in each category to improve these sections, so it’s not just [up to] a bunch of buyers on laptops.”

(Get face-to-face with Canadian Tire’s own Darren Snyder, Category Business Manager for Stationary Power Tools & Wet/Dry Vacuums, at our upcoming Hardlines Meet the Buyers Breakfast, April 30 at the Toronto Airport Westin Bristol Place Hotel. He will be there representing the entire CTR buying team. So regardless of your category, you’ll want to be there! Click here for more details. —Editor)

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UFA names new president and CEO

CALGARY — United Farmers of Alberta has a new boss. Carol Kitchen has been named president and CEO of UFA, coming over from Land O’Lakes Inc., a Minneapolis-based farm co-op with $1.8 billion of annual revenue. She was senior vice-president and general manager of a business unit there that sold dairy products. She also worked in financial roles at the Growmark co-op in both Illinois and Ontario from 1992 to 2000.

Kitchen, a certified public accountant with an M.B.A., also worked for an international accounting firm for two years. The rest of her career has been in agricultural co-operatives. After growing up on a century-old family farm in Illinois, Kitchen has lived in many parts of the U.S. and in Ontario.

Besides its farm and feed businesses, UFA has 35 farm and ranch stores, plus one building centre in Fort McMurray, that fall under UFA’s Agribusiness unit. That business is headed up by Keith Jones, director, Farm and Ranch Solutions and has retail sales in the hardware and home improvement industry of $400 million (source: Hardlines Who’s Who Directory).

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Women’s golf will raise $$ for abused women and children

Another great organization is celebrating two decades in existence. The Women Fore Women networking group started in 1995—just like HARDLINES. The organization provides a forum for women in hardware and housewares to network.

To celebrate the 20-year milestone, the group is hosting a special golf tournament June 24 at Granite Ridge Golf and Country Club, 9503 Dublin Line, Milton, Ont. All tee times are at 12:00 noon, followed by dinner at 5:30 p.m. The evening will include a live auction and raffle to raise funds for the group’s charity of choice, Yellow Brick House , which support abused women and children. So goodie bag, raffle, and auction prize donations will be gratefully accepted.

Wendy Hanson, vice president sales for Canada at Neatfreak, the home organization company, is one of the organizers; you can email her directly if you want more information and wish to donate prizes, etc. Wendy invites everyone to pass this one along to all of the women in both your personal and professional life.

Wendy would also welcome any help from anyone with a bit of spare time on their hands to volunteer to help out, either ahead of time or on the day itself.

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Orgill to expand distribution network


MEMPHIS, Tenn. — Orgill Inc. has announced plans to increase the size of its Sikeston, Mo., distribution centre by more than 250,000 square feet. This expansion will bring the total size of the facility to more than one million square feet.

“This next phase in the growth of our Mid-America DC is a testament to the growth both Orgill and our retail customers have experienced,” says Orgill chairman, president, and CEO Ron Beal.

First opened in August of 2009, the Mid-America “SuperCentre” is Orgill’s largest distribution facility and this expansion will increase its capacity by more than 25%. The expansion will accommodate Orgill’s direct import products/containers from around the world, which is expected to result in lower acquisition costs to help its retail customers be more competitive. Construction is expected to be finished by year end.

Operating five distribution facilities in the U.S., a stocking flow-through centre in Canada, and three export consolidation centres, Orgill distributes hardware and home improvement products to customers in all 50 states, 10 Canadian provinces, and 50-plus countries.

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April 13 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

April 13, 2015 Volume

xxi, #15

“Laughter is the shortest distance between two people. ” —Victor Borge (Danish comedian and pianist, 1909-2000)

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RONA continues Réno-Dépôt rollout with Calgary opening

BOUCHERVILLE, Que. — RONA re-opened its big box in Calgary Northwest last week with a fresh new look. Following on the heels of another re-opening in Aurora, Ont., a month earlier, this store has been converted to RONA’s revamped Réno-Dépôt store format.

As only the second Réno-Dépôt outside of Quebec—and the first in Western Canada—RONA has a lot riding on this “back-to-basics” big box concept. (The name also dispenses with the French accents outside of Quebec.) “The opening of this new Reno-Depot in Calgary Northwest represents a major milestone in the expansion of our banner,” said Chantal Glenisson, senior vice president and general manager of Réno-Dépôt. She was brought in at the end of 2014 from Walmart Quebec to manage the banner.

RONA is returning to a warehouse-type approach with Réno-Dépôt that features a number of service elements such as:

  • a pricing strategy focused on everyday low prices (EDLP);
  • lowest price guarantee of 15%;
  • and a new installation service called Turnkey that can be done either by phone, online, or in-store using interactive terminals.

From a merchandising standpoint, Réno-Dépôt offers:

  • a dominant product selection in seven key departments (tools, hardware, flooring, plumbing, building materials, electrical, and kitchen);
  • a procurement strategy designed to ensure a reliable in-stock position;
  • more emphasis on national brands than private brands;
  • a service-oriented customer experience;
  • and a dedicated service counter for professionals and contractors with product on the floor that promotes available product selection (“grab and go”).

“We spent half of 2014 in the revamping of all our existing Réno-Dépôt stores and are proud to be moving on to the next step, opening new outlets and exploring new markets where we feel confident the Réno-Dépôt concept will be well received,” said Glenisson.

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CHHMA inducts Straus, Gilbart into Hall of Fame

MISSISSAUGA, Ont. — At its AGM last week, the Canadian Hardware and Housewares Manufacturers Association inducted two industry veterans into its 31st Industry Hall of Fame. Paul Straus of Home Hardware Stores Limited was the retailer inductee (shown right, with CHHMA president Vaughn Crofford).

Bryan Gilbart of Richmond Hill, Ont.-based Envirogard-Rainfresh, was the vendor inductee (shown right, with Peter Stojanov of Onward Sales & Marketing Ltd. and a CHHMA director).

Gilbart’s career included heading up Aqualine, then working for Moen when it acquired Aqualine. After spending time with Moen in the U.S., Gilbart became a partner in Envirogard-Rainfresh. He has been a staunch supporter of the CHHMA for the past 16 years, and is respected for his sense of social responsibility and commitment to fund-raising.

Straus has been with Home Hardware since the company’s inception 50 years ago. He developed the company’s first computer system, and moved up the ranks until he took over the day-to-day operations of the dealer-owned co-op from co-founder Walter Hachborn in 1989. Straus retired last year from the CEO position, but stays on as president and a member of the board.

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TIM-BR MART and Canadian Tire will share buyers’ tips

WORLD HQ, TORONTO — We are delighted to announce that Randy Martin, VP of Business Development at TIM-BR MART Group, has agreed to present at the Hardlines Meet the Buyers Breakfast, April 30 in Toronto.

With last week’s departure of Andrew Pantelides, who was procurement and merchandising manager at Chalifour Canada—TIM-BR MART’s hardware wholesale business—Randy did not hesitate to step up. He has promised to provide an update on some of the changes that have been taking place lately at his company.

We have also confirmed a senior buyer from Canadian Tire. Darren Snyder, Category Business Manager for Stationary Power Tools & Wet/Dry Vacuums, will explain how his company works with new and existing vendors.

Special Opportunity for LBM vendors: This MTB event has been designed especially to assist LBM suppliers. Besides TIM-BR MART/Chalifour, we are pleased to have Dave McNeil, VP of Eastern Canada for Taiga Building Products, on hand to share his insights with vendors seeking to do business with Canada’s largest building materials wholesaler.

Vendors who wish to learn more about how to do business with Chalifour, Canadian Tire and Taiga—plus Home Hardware—should join us April 30 at the Westin Bristol Place Toronto Airport Hotel: 8 a.m. to 11:30 a.m. (Click here for more details.)

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North American Lumber closes six locations

WINNIPEG — In an effort to boost profitability, North American Lumber has announced six closures to take effect by the end of July. The affected branches are in Manitoba (Brandon and Lockport), Saskatchewan (Kerrobert and Unity), and Northwestern Ontario (Keewatin and Red Lake). Two additional operations, Prince Albert Truss Factory and Biggar Ready-Mix, will be sold.

The closures will position the company “to enhance profitability over the long term,” says Martha Konantz, president of NAL. The company’s remaining 13 stores in three provinces will go forward, even though the others, she notes, “couldn’t make a go of it, despite our best efforts.”

Conscious of the impact the closures will have on her staff, Konantz was careful to give everyone at least four months’ notice, with transition opportunities. “It really was disappointing, but it’s good news moving forward.” NAL will hold a series of close-out promotions to wind down inventory. The real estate at most locations will be put up for sale.

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Home Depot offers digital tools for spring shopping

ATLANTA — The Home Depot has created an enhanced collection of online tools that aim to make online and brick-and-mortar shopping more “seamless.”

Friday marked the start of Home Depot’s sixth annual “Spring Black Friday” savings event in the U.S. It spans 11 days and features in-store savings plus a daily deal on popular seasonal items, including live goods, barbecues, and outdoor power tools.

Online shoppers can choose to have their purchases delivered straight to their home or shipped to their nearest store for pick up. Inside the stores, a mobile app identifies exactly where products are located on the shelves through text or voice-enabled search. Customers can also look up smartphone-enabled catalogues.

Other online features include a mulch & top soil calculator; a weed, plant, & pest problem solver; and a grass seed calculator. Shoppers considering a larger backyard project have access to several project planners, including a fencing project planner and decking project planner.

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FROM THE ARCHIVES: This week in 1995

On page two of the HARDLINES fax newsletter from 20 years ago , we reported on the promotion of Terry Davis to oversee marketing at Home Hardware Stores. At the same time, John Dyksterhuis joined the buying team. He’d been with the company for nine years already. (Dyksterhuis celebrated his 29th anniversary with the company last week, now as vice-president distribution, while Davis reportedly heads up the entire Home Hardware operation as CEO. —Editor)

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April 6 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

April 6 , 2015 Volume

xxi, #14

“There is something that is much more scarce, something rarer than ability. It is the ability to recognize ability. ” — Robert Half (American human resources executive and founder of Robert Half International, 1919-2001)

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Delroc sees potential for more growth

LANGLEY, B.C. — Delroc Industries had a good year in 2014, says the private buying group’s general manager, Dave Boyce. Boyce admits that the 10% growth the organization experienced was not typical of the industry overall. He credits the surge to some new member growth, which included dealers in Ontario, Prince Edward Island, and Saskatchewan.

But also, he adds, some of his dealers just “had a good year,” especially in Saskatchewan, as well as a member in the Yukon who enjoyed a healthy increase. The net result pushed total sales by Delroc’s members past $700 million in 2014.

Founded in 1974 by Bruno Mauro, Delroc’s membership tends to be gypsum supply dealers and other commercially oriented yards. (Its largest member is Windsor Plywood, also based in Langley, which specializes in moulding and millwork. It has about 60 outlets and more than $200 million in sales, according to the Hardlines Who’s Who Directory.)

Delroc’s newest member, which joined in February, is OK Builders Supplies, a Kelowna, B.C.-based dealer with four stores and a big concrete and masonry division.

While Delroc already had a relationship with Ok Builders on some products, Boyce says the appeal of his buying group is its “very lean operations.” That translates, he adds, into “the best deals for our members, the best buys for our members. In addition, being headquartered in the West gives the group an insight into the markets in British Columbia and Alberta—making it a good fit for a dealer such as Ok Builders.

“When we’re talking to western-based yards, I think we have an advantage.”

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Castle dealer adds location in Ontario

MISSISSAUGA, Ont. — Cottage Country Building Supplies is the newest dealer to join Castle Building Centres Group Ltd. The store is located in Carnarvon, Ont., about 20 minutes outside of Haliburton and represents an acquisition by the Emmerson family, which operates Emmerson Lumber in Haliburton. Under current owner Kim Emmerson (shown here), the business has been serving local contractors and DIYers in this cottage resort area since 1957.

Cottage Country Building Supplies will be managed by Kim’s son Ryan Emmerson, who has worked in the family business for the past 10 years. “It’s been a long road but I feel extremely proud today and happy to keep the business under local ownership,” said Kim Emmerson.

The family will now operate the new 3.5-acre location on Mirror Lake approximately 20 minutes away and will service the communities of Vankoughnet, Dorset, and Minden. Both locations will be connected to enable shared inventory and account access between both locations.

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B.C. buying show enjoys enthusiastic turnout

SURREY, B.C. — The mood was upbeat at the latest Westcoast Building & Hardware Innovative Products Show, held by the Building Supply Industry Association of B.C. Located at the Cloverdale Fair grounds in Surrey, the small size of the event went a long way toward encouraging a sense of intimacy and camaraderie among participants.

That meant lots of time for vendors to talk with their customers while the show organizers took care of amenities, providing retailers and visitors with coffee, tea, and water throughout the day. Lunch was catered by two food trucks parked outside.

The diversity of attendance was exemplified by the InStone booth (shown here). Jason Duniec, national sales manager, reported playing host to RONA, Windsor Plywood, and TIM-BR MART dealers all at the same time. InStone also received the award for the Best Looking Booth at the show.

The show also featured several innovative new products. Rolgear’s patented cam ratchet screwdriver, which includes a multi-bit version, won the award for Best New Product. The tool was invented by B.C. native Rob Suter, and it was on display at the Global Vision Marketing booth.

Next year’s show, March 9-13, 2016, will expand to run a day and a half as a trade show for hardware and building supply dealers. The event will then transform into a home show for the last half.

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Vendors: meet LBM & hardware buyers face-to-face

NEW WORLD HQ, TORONTO — Vendors looking to get new lines into some of the country’s top retail and wholesale buying offices will have a chance to meet face-to-face with top buyers on April 30.

At the Hardlines Meet the Buyer’s Breakfast, Canada’s leading hardware and home improvement buyers will explain to vendors what it takes to get—and stay —listed in their stores. Each buyer will represent their respective merchandising teams to tell vendors first-hand what preparations they need to make and what expectations they should have when they sit down with someone from their buying team.

Our speakers are:
Andrew Pantelides, Procurement and Merchandising Manager at Chalifour Canada;
Dave McNeil, VP Eastern Canada for Taiga Building Products;
Dave Martin, Product Manager, Hand and Power Tools at Home Hardware Stores;
and a Senior Buyer (to be confirmed) from Canadian Tire Retail.

The event is sponsored by Storesupport and will be held April 30 from 8-11:30 a.m. at the Westin Bristol Place Toronto Airport Hotel. Click here to register today.

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PrimeSource gets new owner

LOS ANGELES — PrimeSource has new owners. The building materials distributor, which has 42 locations in North America, including six distribution centres in Canada, has been sold by its current owner, Tokyo-based holding company Itochu Corporation, to Platinum Equity, a global private equity firm in Los Angeles. The transaction is subject to customary closing conditions, including legal procedures and approval by antitrust authorities. The company expects the transfer of shares to close before the middle of the year.

Sources at PrimeSource Canada say the company plans to continue supporting and growing its business here.

PrimeSource was acquired by Itochu Group in 1998 and with Itochu’s support the company expanded into new markets, including Canada and the Caribbean. PrimeSource Co-CEO David Fishbein has stated in a release that customers and suppliers of PrimeSource “should expect normal business operations to continue throughout the course of the transaction.”

Platinum Equity partner Jacob Kotzubei, who leads the Platinum Equity team pursuing the acquisition, said the acquisition was an appealing one because, “The opportunity to acquire PrimeSource is attractive for multiple reasons. The business is an industry leader with powerful brands and a strong culture.”

Platinum Equity specializes in executing divestiture transactions from large global corporations such as Itochu. In recent years, Platinum Equity has completed acquisitions from AP Moeller Maersk, Caterpillar, CBS, Deutsche Post DHL, Emerson, Telstra, and Volvo.

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FROM THE ARCHIVES: This week in 1995

TIM-BR MARTS Ltd. (now TIM-BR MART Group), at the time a buying group whose membership was exclusive to Western Canada, tops $1 billion in sales. Toronto-area independent Lansing Buildall reflects a growing trend to more DIY-oriented merchandising by opening a showroom at its flagship store in Willowdale. Canadian Tire launches a power tool centre in its ongoing effort to attract more contractors. Click here for this week’s blast from the past!

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March 30 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

March 30, 2015 Volume

xxi, #13

“A business must have a conscience as well as a counting house. ” —Montague Burton (Lithuanian-born British clothing retailer, 1885-1952)

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Call for Entries: Outstanding Retailer Awards

NEW WORLD HQ, Toronto — Hardlines is pleased to announce the call for entries for the 2015 Outstanding Retailer Awards.

The Awards, which recognize the finest retail accomplishments in our industry, are national in scope and all Canadian home improvement retailers and managers who have operated under their current ownership for at least two years are eligible.

Dealers may submit their entries directly or their chain or buying group head offices may select their best dealer(s) and prepare their entries for them, in collaboration with the dealer. Head offices may enter more than one store per category. In addition, vendors may identify specific outstanding retailers for entry. ORA submissions are due July 31st, 2015.

Categories to enter:
1. Best Hardware Store (any size);
2. Best Building Supply/Home Centre (under 15,000 square feet);
3. Best Building Supply/Home Centre (over 15,000 square feet);
4. Young Retailer Award (a store manager 35 or under; entrants may be owners or chain employees);
5. Marc Robichaud Community Leader This award is open to all stores. Its purpose is to celebrate the outstanding contributions, events, charitable donations, etc., made by a store’s staff/managers/owners to the community they serve;
6. Best Large Surface Retailer (over 65,000 square feet);
7. Best Contractor Specialist Store.

Winners will receive a trip for two to Toronto, including one night’s accommodation at the Westin Bristol Place Airport Hotel, to attend the Hardlines Conference on October 21 and 22 and the ORA Gala Dinner on October 21. In addition, winners will receive an inscribed plaque; a write-up in our sister publication, Hardlines Home Improvement Quarterly magazine; and a customized video and photo ready to be sent to local media.

(Click here for more info and to enter your store!)

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WRLA chair advocates more sharing among associations

CAMROSE, Alta. — The Western Retail Lumber Association has come under scrutiny in recent months since announcing a desire for more unified action among the regional building supply associations.

Rob Hauser, owner of Hauser Home Hardware Building Centre in Camrose, Alta., is the chair of the WRLA. During the association’s annual gala dinner late in January, he expressed from the podium a desire to work more closely with his fellow associations. Hauser says his comments came from a desire to facilitate a conversation around their common goals and challenges.

“I get that there are differences and I respect that,” he says. “But on the same note, is it wrong to think we can have a national voice to address government issues?”

The five associations—the ABSDA in Atlantic Canada, AQMAT in Quebec, LBMAO in Ontario, WRLA in the West, and BSIA in British Columbia—currently band together under a collective organization, the Canadian Retail Building Supply Council. However, the groups have not met for a CRBSC meeting in more than two years.

As one of the largest associations in the country, with a healthy trade show to generate revenue, WRLA’s efforts have been seen by some as hostile. Hauser says that’s simply not the case. Some of the issues all groups are facing, he says, include attracting a new generation of dealers and government lobbying. The next step, he says, is to find out what is important to each group. “We need to explore that.

“We have to remain focused on what’s in the best interest of the whole industry.”

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Ace execs emphasize service and relationships

LAS VEGAS — Ace Hardware held its spring convention last week, where executives from the co-op emphasized relationships and service to keeping retailers’ businesses successful. Retail profit dollars increased by 5% and total retail sales went up by about 10% in 2014, according to John Surane, executive vice president of marketing, merchandising and sales. Retailers grew foot traffic, transaction sizes, and sales, he said.

But service is more important than the dollars earned, and is key to retailers’ continued success, said president and CEO John Venhuizen.

Ace Hardware hosted the three-day convention In Las Vegas, offering training, networking, and buying opportunities to about 5,500 attendees. More than 1,200 manufacturers and vendors staffed booths at the event.

Venhuizen acknowledged that Ace stores compete against huge, well-funded corporations, but the independent retailers’ service and passion to help position them against these giants, he says. “Face-to-face interactions and personal relationships will always stir the human soul.”

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Home Depot increases proprietary brands

ATLANTA — The Home Depot has been increasing the number proprietary and exclusive brands across a wide range of departments and plans to keep looking for more such opportunities.

In 2014, these products included Husky hand tools and tool storage, Defiant door locks, Everbilt hardware fasteners, Hampton Bay lighting and fans, and lawn care products by Vigoro. Some other well-known brands available only at Home Depot that got beefed up last year were Ridgid and Ryobi power tools, Glacier Bay bath fixtures, and the Home Decorators Collection of furniture and home décor.

In fiscal 2014, Home Depot acquired one of its main fasteners suppliers, Crown Bolt, which provides sourcing, distribution, and in-store servicing support for the retailer’s Everbilt fasteners program.

Vendors have an opportunity to create partnerships with the giant retailer as it actively seeks more exclusive brands. Home Depot says it “will continue to assess strategic alliances and relationships with suppliers and opportunities to expand the range of products available under brand names that are exclusive to The Home Depot.”

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FROM THE ARCHIVES: This week in 1995

History repeats itself as a weak Canadian dollar throws up a challenge for Ace Hardware, which was developing its distribution relationship with CanWel Building Materials. This was Ace’s first foray into Canada. The idea at the time was to use CanWel’s own logistics infrastructure in this country to get Ace products into stores in Canada. The program was the developed under the leadership of CanWel CEO Tom Longworth. Click here to see the issue!

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CLASSIFIED ADS

General Paint Brand Manager
Vancouver, Canada
30% Travel

Apply to Hiring Mgr: Ahin Bose

Key responsibilities include:

1. Drive profitable growth, market share, consumer awareness and brand equity against a brand asset management strategy, to maximize the strength and value of the General Paint brand.
2. Deliver annual business strategy for short-term and long-term objectives
3. Develop and execute all trade-related objectives, programs, and communications
4. Oversee the rebranding strategy of General Paint away from Comex. Build the future of the General Paint and Federated Coop brands
5. Manage all existing products including new product/packaging launches through the product commercialization process
6. Spend time in the market and have highly competent grasp of the competitive landscape

5+ years successful marketing experience including; developing and implementing marketing programs, preferably within the paint retailer and dealer channels. Experience with designing promotions,programs and tools that will ultimately grow sales and gain market share through these channels. Experience with end-user/field interaction a plus as well as managing others.

Experience with new product commercialization preferred.

Bachelor Degree in related field or equivalent experience. MBA considered a plus.

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March 23 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

March 23, 2015 Volume

xxi, #12

“Well, we all shine on, like the moon and the stars and the sun. ” —John Lennon (musician and poet, 1940-1980)

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Associations align along regional concerns

SPECIAL REPORT — The notion of a strong national association for home improvement dealers has received a mixed reception from the various regional associations across the country. In the wake of a call earlier this year by the Western Retail Lumber Association to forge closer ties among the groups, some see the value of working more together, but they are unanimous in preferring to maintain the status quo.

The idea of a national organization has been hotly debated behind closed doors for years. Dave Campbell, president of the LBMAO, sees “some benefit” to the groups working together more closely, especially as they currently meet informally under an umbrella group, the Canadian Retail Building Supply Council. “Some of us have been vocal about trying to strengthen the position of the CRBSC on a national basis, but without consensus, it isn’t going to work,” he concedes.

The Quebec association, AQMAT, has been perhaps the most vociferous in its reaction. A blog issued by that association’s president and CEO, Richard Darveau, states, “ If the intention is laudable, the realities overtake the theory.” He pointed out some examples of “regional differences” that divide the groups, including AQMAT’s lobbying mandate and an annual conference that both take “strong positions to defend against the government. None of the four other associations take such foundations.”

He adds that the training provided by the different regions is not transferable, “because the standards of construction and renovation techniques are not exactly the same.”

Thomas Foreman, president of the BSIA of B.C, heads up what may be the smallest group in terms of membership. But the organization is healthy, he says. “BSIA is stable and has a good strategic plan,” he says, adding that the organization has added staff. Judith McLean has been recruited as training co-ordinator and Alex Taylor has joined as director of member services. He travels the province to ensure existing members are getting full benefit of their involvement with the association, while recruiting new dealers.

That includes what Foreman calls an “allied membership” of anyone in construction, such as architects, spec writers, contractors. That’s in addition to the traditional building supply and home centre members, and the suppliers and manufacturers.

“We don’t want to be the biggest,” says Foreman. “We just want to be the best.”

One controversial part of the “allied membership” has been the contractors. This has, for example, proved a stumbling block for WRLA to admit any BSIA member to its show, since that show has taken steps to prevent contractors from having access to the products and pricing available to its dealers. On the other hand, BSIA’s own show, being held this week, will host a walk-through for dealers and their preferred contractor customers.

At the other end of the country, the Atlantic Building Supply Dealers Association has a new president—and a new mandate. Denis Melanson took over from Don Sherwood late last summer and when Sherwood passed away suddenly before Christmas, Melanson was faced with overseeing the association’s own buying show less than two months later.

Despite bad weather that hampered attendance at the show, Melanson says the event garnered “good feedback” and he used the event to re-launch the association’s brand. “In my view, I was brought on to bring new views and new life to our association, which is very strong,” he says.

However, he agrees that it’s time for the associations to share more. “It’s time for the associations to talk more and to collaborate on certain issues.”

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Vancouver-area dealer uses 50 Shades of promotion

LADNER, B.C. — Because his store is a fixture on the main street of the village of Ladner, just south of Vancouver, James Price is used to movie scouts using his ’hood as a film set. But the latest shoot was perhaps the most notorious yet.

Ladner Hardware became the locale for the most infamous movie scene of the year. The erotic movie “50 Shades of Grey” features a kinky billionaire playboy who draws a young woman into his life of bondage. One of their first meetings is at the hardware store, where he asks her to lead him to an unusual collection of hardware items. Price, well known for his upbeat personality and trademark Hawaiian shirts, comments that, “she doesn’t quite see how these random products—rope, tape, and zip ties—go together.” (Admittedly, we don’t have an NRHA training course that covers that project! —Editor.)

“She finds out later on in the movie,” he adds dryly.

The movie production company took over his store for almost two full weeks, including setting up the aisles with their own racks and products. “They brought in their own shelving because they wanted to shoot through a mesh, rather than solid racks.” Then, when filming was finished, the film makers returned the store to its original state. That included repainting the front of the store.

Price has made the most of the notoriety generated by the movie. When it opened 14 months later (on Valentine’s Day, 2015), he made sure the store had a window display that tied in with the movie’s theme. And he was contacted by the Vancouver Sun, the Globe and Mail, the Daily Mail in the U.K. He even got interviewed on the CBC news.

His store has become something of a tourist destination as fans come from all over the world to see where the film was shot. “People come right into the store and look for the aisles the scenes were shot in.” And so they don’t go away empty handed, Price even offers a 50 Shades of Grey “starter kit,” complete with a length of rope, some coloured duct tape, and zip ties.

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Home heating systems vary across the country

OTTAWA — How Canadians keep their homes warm in winter depends on which part of the country they are in. Data from StatCan’s 2013 Households and the Environment Survey reveal that homes in Ontario and the West mostly opt for forced air furnaces burning natural gas. In Quebec and in the East, electric-powered baseboard heaters and furnaces using heating oil are in an overwhelming majority of households.

Forced air furnaces were the most common type of heating system, used by 53% of Canadians, followed by electric baseboard heaters, used by 28%. Those figures were unchanged from 2011. Forced air furnaces were the dominant type of heating system in Ontario (73%) and the Prairie Provinces (between 73% and 83%).

However, 64% of households in Quebec, 59% in Newfoundland and Labrador, and 52% in New Brunswick were all more likely to use electric baseboard heaters. Forced air furnaces and boiler systems each were used by about one-third of households in Prince Edward Island.

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Lumber Liquidators defends emissions charges against lawsuit

NEW YORK — A heated debate between the CBS program “60 Minutes” and Lumber Liquidators has ensued following an episode of the television show. And now the flooring retailer faces a class-action lawsuit.

The CBS report claims Lumber Liquidators sold laminate flooring with higher levels of formaldehyde than permitted by California’s health and safety standards. In the aftermath of the report, the flooring company has made several statements about its safety policies. Lumber Liquidators emphasizes that it complies with product regulations and it believes “60 Minutes” used an improper testing method.

“These attacks are driven by a small group of short-selling investors who are working together for the sole purpose of making money by lowering our stock price,” the company says in a statement.

On March 12, a class-action suit was filed against Lumber Liquidators. The complaint charges that from October 2013 through November 2014 three certified labs tested the formaldehyde emissions of laminate wood flooring purchased from several nationwide retail outlets, including Home Depot, Lowe’s, and Lumber Liquidators. The highest formaldehyde levels were found in laminate by Lumber Liquidators that was produced in China.

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CLASSIFIED ADS

National Account Manager
MAKITA CANADA

Calgary, AB, CANADA

Description:
Reporting to the Senior Vice President, Makita Canada Inc., and with three to five years’ account management and business development experience in the power tool industry, the National Account Manager is responsible for the growth and expansion of Makita’s business partnerships and sales with key national account(s) headquartered predominantly in  western Canada.

Key Responsibilities:

  • Travels throughout Western Canada for store visits, events, field work and other activities in relation to assigned account(s).
  • Represents Makita as the key head office contact for assigned national account(s).
  • Assists other National Account Managers, the Regional Managers and Sales Representatives in building our national success (with a particular focus on your assigned and/or shared accounts).
  • Develops and recommends for approval customized programs, presentations and promotions for assigned account(s).
  • Communicates and shares pricing programs, promotional plans and other pertinent competitor / dealer information with head office, senior management and other departments as necessary.
  • Various other activities, duties and assignments as may be assigned by senior management.

Travel requirements of the National Account Manager include regular and scheduled travel throughout the specific assigned region as well as other regions of Canada to visit store locations, events and to work with local territory representatives and as such, frequent overnight travel is required.
Qualifications:

  • 3 to 5 years account management and business development experience in the power tool industry.
  • Post-secondary education or combination of education and experience.
  • Valid Driver’s License .
  • Knowledge and experience with MS Office Suite and other sales-related software.

Makita Canada Inc. offers a competitive base salary; a generous quarterly bonus/commission structure; company vehicle (including associated operating costs); notebook computer and cellular phone; full travel and work-related expense reimbursement; and a generous company-paid benefits program including retirement plan. 

Interested, qualified candidates should email resumes (including salary expectations) prior to April 10, 2015, to 
k.pringle@makita.ca or by fax to Kim Pringle at 905-571-7434.

We thank all candidates for their interest but advise that only those under consideration will be contacted.  No telephone calls please  

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General Paint Brand Manager
Toronto, Canada
30% Travel

Apply to Hiring Mgr: Ahin Bose

Key responsibilities include:

1. Drive profitable growth, market share, consumer awareness and brand equity against a brand asset management strategy, to maximize the strength and value of the General Paint brand.
2. Deliver annual business strategy for short-term and long-term objectives
3. Develop and execute all trade-related objectives, programs, and communications
4. Oversee the rebranding strategy of General Paint away from Comex. Build the future of the General Paint and Federated Coop brands
5. Manage all existing products including new product/packaging launches through the product commercialization process
6. Spend time in the market and have highly competent grasp of the competitive landscape

5+ years successful marketing experience including; developing and implementing marketing programs, preferably within the paint retailer and dealer channels. Experience with designing promotions,programs and tools that will ultimately grow sales and gain market share through these channels. Experience with end-user/field interaction a plus as well as managing others.

Experience with new product commercialization preferred.

Bachelor Degree in related field or equivalent experience. MBA considered a plus.

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March 16 2015

 

Hardlines Weekly Newsletter

 

READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

March 16, 2015 Volume

xxi, #11

“All good music resembles something. Good music stirs by its mysterious resemblance to the objects and feelings which motivated it.” —Jean Cocteau (French author, designer, filmmaker and playwright, 1889-1963)

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Stew Valcour steps aside as Kent GM, Simms takes over

SAINT JOHN, N.B. — Stew Valcour, long-time head of Kent Building Supplies, has exited his role as general manager of the home improvement chain. Mike Simms, formerly director of purchasing, has taken over the GM’s role.

However, Valcour stresses that he’s not stepping down. He continues as a vice president at parent company J.D. Irving and stays involved in other companies under the Irving umbrella. Kent will remain under his purview and Simms will continue to report to him. “It’s all part of succession planning,” says Valcour.

That succession strategy has been in the works for some time, say industry insiders. Simms joined Kent when Schurman Building Supply, the leading chain on Prince Edward Island with five outlets, was acquired by Kent in 2004, as part of a larger deal whereby J.D. Irving acquired all the holdings of parent company M.F. Schurman. From that time, Simms was considered by many to be next in line for Valcour’s position.

Despite slow growth in recent years in the Maritime Provinces, Kent has been expanding aggressively, both through acquisitions and new stores. Last summer, Kent opened its first big box store in a decade in Charlottetown, P.E.I. It has been especially aggressive as well in Newfoundland, opening stores there to tap that province’s healthy growth in recent years.

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New BMR CEO Pascal Houle outlines next steps

BOUCHERVILLE, Que. — The newly appointed CEO of BMR says he will combine shows, gain market share, and offer more opportunities for vendors. In part two of an exclusive HARDLINES interview, Pascal Houle outlines more of what’s in store at his company.

With the acquisition at the beginning of this year of Groupe BMR, La Coop fédérée’s hardware and building materials business is now the number-two player in Quebec, second only to industry leader RONA. Quebec, in turn, is Canada’s number-two province for market share of retail home improvement sales, representing almost one-quarter of the market (source: Hardlines Market Share Report ).

And, he says, his organization is here to stay. In contrast to its chief competitor, La Coop is member owned, which means it isn’t vulnerable to an unwelcome takeover bid and therefore more stable than a public company. While La Coop’s 350 stores, under the BMR and Unimat banners, are centered mainly in Quebec (BMR has a few dealers in Ontario and the Maritimes as well), Houle says the formula for success is a good one, which can be expanded across Canada within the next few years.

Meanwhile, Houle will focus on the operations of the two companies, including combining their trade shows. Now, Unimat dealers will attend BMR’s hardware buying show in Quebec City, November 4-6. BMR also holds spring event for dealers to shop for products for the coming winter. That show will be held March 26 at BMR’s own headquarters in Boucherville.

Houle says vendors will have more efficiencies working with one buying office—and more opportunities, as well. Through BMR’s affiliation with the hardware buying group Octo, he expects BMR’s hardware and agro purchases to grow steadily. “It will be more efficient for us and more efficient for the suppliers,” he says.

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Industry trainer Bob Sutherland retires

LONDON, Ont. — After 40 years, five cars, and half a million kilometres, hardware trainer and consultant Bob Sutherland has decided to retire.

Sutherland got his start at D.H. Howden & Co., the national hardware wholesaler based in London, Ont. (now Chalifour Canada). There, he was a category manager and went on to become group merchandise manager. After working at Howden for many years, he began conducting product knowledge training, working first with Howden dealers.

He then moved to Cashway Building Centres to act as training manager. A year later, he started his own company, Solutions Training, and he began working on behalf of other retail groups and dealers’ associations. He spent the next 18 years criss-crossing the country training dealers and managers at retailers ranging from Kent and Central Supply in the Maritimes to Federated Co-operatives in Western Canada. Nor are his training skills confined to the classroom: he’s done 50 training segments on video for Home Hardware Stores Limited.

Over the years, his wife Ilse took to travelling with him, and helping with set up of the classes. At the age of 76, Sutherland is officially retired, but still makes an occasional appearance at a trade show, such as the WRLA’s Buying Show earlier this year, where he showcased his own how-to displays for rough plumbing and electrical. The displays have been a useful tool in Sutherland’s training sessions for educating staff about basic wiring and plumbing. Now, the displays, which work well on an endcap, are being carried by Burlington Merchandising and Store Fixtures as part of their inventory of product displays.

Sutherland says he’s trained up to 8,000 people during his time on the road. “It’s been a good run and I’m going to miss it. I enjoyed it. I met a lot of great people over the years.”

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Castle makes gains with dealer growth in Quebec

MISSISSAUGA, Ont. — Among the dealers heading down to San Antonio, Tex., this week for the annual general meeting of Castle Building Centres will be an unprecedented number of members from Quebec. This region continues to be an area of growth for the group. Matériaux St Étienne in the Quebec City region is the newest independent to join the group—and more are expected to be announced shortly.

“We are pleased to welcome Matériaux St Étienne to the Castle group and this move further reinforces the fact that Castle is quickly becoming the bilingual buying group of choice to francophone independents in the Québec region,” said Ken Jenkins, president of Castle.

For years, Jack Crombie, owner of Hudson Hardware in Hudson, Que., was well-known as the sole member in that province, even as Castle was becoming one of the dominant banners in Atlantic Canada and increasing its membership out West. But Castle has been expanding steadily in Quebec in recent years. The group installed a dedicated dealer recruitment person for Quebec six years ago, and today Robert Legault services 30 stores in the province, as well as another six in Northern New Brunswick.

In addition, Castle’s hardware partner, Memphis-based Orgill, set up support in Quebec last year, with a bilingual customer service department out of Montreal and support services, including flyers, now available in French.

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Johns Manville expands technology expertise

TORONTO — Johns Manville has made two hires designed to complement the company’s growing range of products and technologies.

Michelle Wood has been brought on board as architectural-specification manager in Toronto. In addition, the insulation products maker has hired Jeff Broadie as technical manager, also out of Toronto. These are newly created positions for Canada.

Wood graduated university with two diplomas, one in Business Marketing and the other in Human Resources. But she eventually found herself on the sales side representing noise control products to architects. Now, she will work on behalf of JM helping architects and installers. Broadie got his start at Gusmer Canada, where, he says, he learned “how to fix machines.” He then worked for Graco and Howard Marten, developing an expertise in the spray foam industry.

According to the company, as it develops new products and acquires companies (JM is a Berkshire Hathaway company), “the demand for these types of positions becomes invaluable in order for us to be at the forefront to help JM go to market and grow the business.”

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FROM THE ARCHIVES: This week in 1995

Al Munro was running Surrey based Irly Distributors, which was the dominant buying group and wholesaler on the West Coast. Munro decided to put a team on the road to increase sales and membership. Also in that issue: this editor was freshly returned from the International Hardware Show in Cologne, Germany. Besides seeing a plethora of new products and merchandising ideas, we met the heads of OBI and B&Q, Home Depot VP Jim Inglis, and more. (Click here to read this classic news from 20 years ago! —Editor)

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CLASSIFIED ADS

National Account Manager

MAKITA CANADA

Calgary, AB, CANADA

Description:

Reporting to the Senior Vice President, Makita Canada Inc., and with three to five years’ account management and business development experience in the power tool industry, the National Account Manager is responsible for the growth and expansion of Makita’s business partnerships and sales with key national account(s) headquartered predominantly in  western Canada.

Key Responsibilities:

  • Travels throughout Western Canada for store visits, events, field work and other activities in relation to assigned account(s).
  • Represents Makita as the key head office contact for assigned national account(s).
  • Assists other National Account Managers, the Regional Managers and Sales Representatives in building our national success (with a particular focus on your assigned and/or shared accounts).
  • Develops and recommends for approval customized programs, presentations and promotions for assigned account(s).
  • Communicates and shares pricing programs, promotional plans and other pertinent competitor / dealer information with head office, senior management and other departments as necessary.
  • Various other activities, duties and assignments as may be assigned by senior management.

Travel requirements of the National Account Manager include regular and scheduled travel throughout the specific assigned region as well as other regions of Canada to visit store locations, events and to work with local territory representatives and as such, frequent overnight travel is required.

Qualifications:

  • 3 to 5 years account management and business development experience in the power tool industry.
  • Post-secondary education or combination of education and experience.
  • Valid Driver’s License .
  • Knowledge and experience with MS Office Suite and other sales-related software.

Makita Canada Inc. offers a competitive base salary; a generous quarterly bonus/commission structure; company vehicle (including associated operating costs); notebook computer and cellular phone; full travel and work-related expense reimbursement; and a generous company-paid benefits program including retirement plan. 

Interested, qualified candidates should email resumes (including salary expectations) prior to April 10, 2015, to k.pringle@makita.ca or by fax to Kim Pringle at 905-571-7434.

We thank all candidates for their interest but advise that only those under consideration will be contacted.  No telephone calls please  

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March 9 2015


Hardlines Weekly Newsletter


READING THIS ON A MOBILE DEVICE? CLICK HERE FOR THE MOBILE EDITION!

 

March 9, 2015 Volume

xxi, #10

“Live long and prosper.” —Leonard Nimoy (actor and author, best known for his role as Mr. Spock in “Star Trek”, 1931-2015)

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Pascal Houle named CEO of BMR

BOUCHERVILLE, Que. — Pascal Houle has been promoted to the role of CEO of BMR. Formerly executive vice president of the business, he came over from parent company La Coop fédérée when it bought up 20% of BMR back in November 2013. La Coop, which is a $9.1 billion company, assumed total ownership of the buying group and wholesaler early last month.

With Houle firmly in place in the top job, he will be responsible for the hardware and building materials activities of La Coop fédérée, which operates its franchises under the BMR and Unimat banners. His office will be located at the headquarters of Groupe BMR in Boucherville, Que.

Houle, who holds a bachelor’s degree in business administration from Laval University and is a certified management accountant, has worked within La Coop network since 1998. He started as hardware director for La Coop des Appalaches, then as management advisor at La Coop fédérée. In 2004, he became director of hardware, materials, and petroleum products at La Coop des Bois-Francs before being promoted to general manager there. Under Houle, sales and profits at the Bois-Francs co-op increased considerably, and the business won several awards, notably for the motivation and engagement of employees.

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New CEO of BMR will focus on consolidating businesses

BOUCHERVILLE, Que. — Pascal Houle’s first order of business in the top job at BMR is to get two businesses working well together. In an exclusive interview with HARDLINES, the newly named CEO explains that his focus will be “to merge Unimat and BMR, and for the next 18 months we will work to that.”

That reorganization will be driven out of BMR existing offices. “The name of the business will remain ‘BMR,’ the head office will be at the BMR headquarters in Boucherville, and we will operate both banners under the BMR business name,” Houle explains.

A lot has happened already. Over the past year, a number of hardlines buyers were moved from La Coop to the BMR offices, and in January La Coop closed its hardware distribution centre in Trois Rivières, so all hardware supply for both Unimat and BMR stores now comes out of BMR.

Houle admits that the logistics of merging the two businesses have posed “a challenge.” But he is proud of the progress so far. “We are twice the company in less than three and a half months.” The combined business will represent close to $2 billion in sales at retail, and make it the number-two player in Quebec, after RONA.

In recent years, La Coop fédérée has been expanding its footprint in the hardware and home improvement sector. The creation of the Unimat banner was a way to attract dealers that were not necessarily co-op member stores. Over time, all hardware related stores within La Coop, both member and non-member, took on the Unimat brand. In 2012, Unimat rolled out a prototype building materials store. Then, at the beginning of this year, La Coop entrenched itself as a force to be reckoned with in this industry with the complete takeover of BMR.

La Coop’s BMR business now counts a total of 350 points of sale, mainly in Quebec. Of that, about 180 are BMR stores, and another 170 are Unimats. The latter are typically smaller stores, operating in smaller, rural markets. Most of them also have gas stations, operating under the Sonic brand. “Unimat is a leader in the farm industry, so we are in a strong strategic position in rural markets,” Houle says.

Actively growing the dealer network will be put on hold during the initial period of consolidation, says Houle. “But we expect in the next two years to develop additional dealers.”

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CanSave relocates show back to its own facility

BARRIE, Ont. — Specialty building products supplier CanSave is moving its Annual Expo back into its own building, after holding it for years at the Barrie Molson Centre. The event will be held May 28.

CanSave is not only a distributor, it does its own manufacturing as well. Its facility produces kitchen cabinets under the CabinetSmith name and doors under the DoorSmith brand, with programs for sell-through for independent dealers. The move back to its own facility will let CanSave show off those manufacturing capabilities and educate dealers about its programs.

“We couldn’t showcase the full potential of our new state-of-the-art showrooms out of house, so were excited to display to our dealers how special they are first hand, right at our own facility,” says Larry Koza, managing partner for CanSave.

The theme this year is “Rethink your Business,” with a focus on in-depth interaction with vendors and a bigger involvement in proper profit planning and risk-reducing tactics. Many of the staple attractions the show is known for will continue at the new location, including hospitality and entertainment, prizes, and games for dealers.

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Reno spending drives residential construction in 2014

OTTAWA — Residential construction investment in Canada rose 6.8% to $28.5 billion in the fourth quarter, compared with the same quarter in 2013, reports Statistics Canada. Renovation spending accounted for most of the increase at the national level, rising 10.3% to $12.9 billion. Construction of single-family dwellings was up 5.1% to $6.8 billion, while row houses were up 13.6% to $1.2 billion and apartments were up 3.5% to $3.8 billion.

Total investment in residential construction was up in eight provinces in the fourth quarter, led by Ontario, and followed by Quebec, Alberta, and British Columbia. The 7.3% advance in Ontario was the result of increased investment in renovations and, to a lesser extent, single-family dwellings. The gain in Quebec (+6.7%) also resulted from higher renovation spending, although apartments and row houses also contributed. Alberta’s advance (+6.8%) stemmed from higher investment in both single-family dwellings and apartments, while most of British Columbia’s 6.7% gain came from single-family dwellings and renovations.

Overall for 2014, residential construction investment totalled $109.5 billion, up 3.8%, marking the fifth consecutive yearly increase. The majority of the gain came from higher reno spending, which was up 7.3% to $50.6 billion, followed by row houses, up 15.2% to $4.4 billion, and single-family dwellings, up 1.9% to $26.0 billion.

For the year, Alberta posted the largest increase (+12.2%), followed by Ontario (+3.3%) and British Columbia (+5.8%). Conversely, every Atlantic province saw lower construction spending, except New Brunswick, which posted a slight 0.3% increase.

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Lowe’s, Kingfisher and Ace to present at Global DIY Forum

COLOGNE, Germany — Robert Niblock, chairman and CEO of Lowe’s, Véronique Laury, the newly appointed Group CEO of Kingfisher in the U.K., and Robert Moschorak, president and general manager of Ace Hardware International, have joined the list of distinguished speakers who will present at the European industry’s foremost conference.

The Third Annual Global DIY Summit will be held June 11-12 in London, put on by Fediyma and EDRA, the trade associations serving the European hardware and home improvement sector.

“The four main topics of our congress will illustrate very well the deep changes in the home improvement industry,” said Ralf Rahmede, general manager of Fediyma, which represents the hardware manufacturers’ associations throughout Europe. “Therefore, we have brought the best speakers from every continent around the world to give our delegates a comprehensive overview of this retail revolution.”

(Click here for more information about the Third Annual Global DIY Summit. —Editor)

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CLASSIFIED ADS

National distributor of wood, metal and automotive
machinery and accessories seeks an experienced

Sales Representative
for Alberta

Ideal career opportunity for an aggressive, self-motivated individual with excellent interpersonal and communication skills. These skills, coupled with extensive knowledge of the market, would put you in good standing to join our aggressive and expanding company and for substantial earnings potential.

Please forward cover letter and resume to:

Ted Fuller
fax 519-896-6497
email tfuller@kingcanada.com

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