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February 3 2014

 

Hardlines Weekly Newsletter

 

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February 3, 2014 Volume

xx, #5

“If you can’t feed a team with two pizzas, it’s too large.”

—Jeff Bezos (founder and CEO of Amazon, 1964- )

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Latest Lowe’s stores feature female-friendly adjacencies

BURLINGTON, Ont. — Lowe’s will hold grand openings for two more stores in Canada on February 6. One of them is in Burlington, west of Toronto, and the other a little farther west in Cambridge, Ont. The stores are being touted as “a new concept store experience” by Lowe’s Canada president Sylvain Prud’homme.

Prud’homme, whose background includes working for Walmart in Quebec, Sobeys in its Edmonton offices, and most recently Loblaw in Toronto, has plenty of experience opening new stores. With almost a year under his belt since joining Lowe’s Canada in the spring of 2013, he nevertheless delayed the opening of these stores in order to fine-tune them. The goal, he says, was to make them as responsive as possible to customers’ needs.

Based on customer feedback, Lowe’s has developed these two new stores with improved adjacencies and new signage, Prud’homme says. Those needs came as much from him talking to customers himself as anything else. (He says he spends at least one day a week walking his stores.) On a tour of the Burlington store just a few days before its grand opening, he points out some of these changes and enhancements.

First and foremost was the need to distinguish two customer profiles: contractors and builders on one hand and DIYers, especially the woman shopper, on the other. For the contractor, he notes that “speed is everything.” Research showed that the pro customers wanted to get in and out quickly, finding what they need in a hurry. Now, the right side of the store has been designed for contractors. Aisles are higher and products used to construct a house are merchandised to better suit the shopping patterns of a customer as they would visit the store over the course of a project.

For example, says Prud’homme, the customer desk has been simplified and anything not related to getting the contractor in and out quickly has been eliminated. Dimensional lumber is not merchandised sequentially by size, but rather by project. Untreated wood is followed by cedar, and then green treated wood. Across the aisle is newer “MicroPro” brown treated wood.

On first entering the store, allowances made for female tastes are evident: lower sight lines, strong end caps, and vignettes and displays that bring products such as sinks and counters to floor level—well within reach of customers. “When you walk the store you’ll see that you can touch and feel the product,” Prud’homme says.

Once again, products are arranged in a way to suit the needs of shoppers. Faucets are merchandized by finish, rather than by brand. “I want to partner with the vendors, but it’s really about the customer.” Other changes include larger granite samples for counter-tops, and lower lighting clouds.

“The reason for the change is not that we have any problem with the existing stores,” he says. “It’s that we have to keep changing. Retail is very aggressive these days and we have to stay up on the changing needs of our customers.”

The changes being tested here will be applied on a case-by-case basis to Lowe’s existing outlets.

Other details of the new stores sound more typical of existing Lowe’s outlets: an investment of more than $20 million for Burlington, which is 117,000 square feet plus a 32,000-square-foot garden centre; the Cambridge store is 94,000 square feet with an additional 26,000 square feet for the garden centre. These latest openings will bring the number of Lowe’s stores in Canada to 37.

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New Lowe’s stores deliver discount touches

BURLINGTON & CAMBRIDGE, Ont. — The “new concept” Lowe’s stores that open here this week have some touches that are distinctly price-driven. No wonder: the resumé of Sylvain Prud’homme, the president of Lowe’s Canada, includes a stint at Wal-Mart Canada. That experience is reflected in a couple of ways in the new Lowe’s stores.

A power aisle down the centre of the store is remarkable not only because it is noticeably wider than what one would typically find in a big box store, but it’s filled with promotional buys that feature low prices. Then, at the far left of the store, just before the seasonal and garden departments, an aisle with simple red and yellow signs proclaims low prices on specially selected products.

“Research has told us there are specific colours that people associate with value. We used yellow and red so customers can easily find good prices on sales products,” says Prud’homme. The signage will give a clear direction to customers who are looking for value-priced items, he adds.

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Quebec industry connects at gala

QUEBEC CITY — Dealers and vendors alike gathered here at the historic Chateau Frontenac on January 25 for the second annual Gala Reconnaissance awards dinner. The purpose of the event was to toast the accomplishments of individuals and companies in Quebec, and their “stories of passion, talent, and hard work.” The Quebec home improvement industry association, AQMAT, hosted the event, drawing more than 400 people from both retail and manufacturing for the black tie affair.

The master of ceremonies was AQMAT president and CEO Richard Darveau, who presided over an evening of dinner, music and dancing, interspersed with a lively awards program that featured a total of 16 awards. These were given to both dealers and vendors, and both companies and individuals were honoured.

Notable dealer winners included RONA J. Anctil, St-Denis-de-Brampton, and Groupe Patrick Morin. Particularly touching was the standing ovation given to Patrick Morin, who made a rare public appearance to accept an award for best family retail operation on behalf of his family. (Click here for the full lineup of winners.)

The event came on the heels of an afternoon conference that was highlighted by a report on business conditions and retail benchmarks for Quebec dealers. (see more in our next blazing issue —Editor).

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Canadian Tire previews spring and summer lines

TORONTO – On a cold, windy January day, Canadian Tire held its annual Spring Summer Showcase. The new collections have an emphasis on condo-sized options for outdoor furniture, barbecues offered in compact sizes, and garden tools in new colours.

Tracy Platt, brand development manager for CTR’s Outdoor Living category, started the tour with a look through everything new in outdoor furniture, including aluminum made to look like wood, gazebos, outdoor fireplaces, and cushions and outdoor rugs that feature colour—and even dots.

Gold medal Olympian Rosie MacLennan was there, showing off a new trampoline with no springs, no metal frame, and reinforced netting. She explained that this was one of the world’s safest trampolines—and she even offered a brief jumping demonstration to prove her case.

From there, the tour turned to the newest trends in home organization. Outdoor drying was featured prominently, including a drying line that auto-clipped the clothes onto the line. Along the theme of selling products for condo life, Dan Turpin, category business manager for Home Organization, explained that “Canadian Tire wants to be known for storage solutions as people are downsizing.”

In automotive, Canadian Tire is rolling out a line of tools made for its “Tested for Life in Canada” campaign. The line features a Mastercraft 20-volt battery that can be used interchangeably in some 20 tools. For the spring, Canadian Tire is also carrying a new line of Yardworks garden tools in a variety of colours, annual flowers in monochromatic colours, and a full range of Yardworks outdoor tools—from lawnmowers to brushless, cordless chainsaws.

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Orgill completes meetings with Canadian vendors

TORONTO—More than 55 Canadian vendors, all interested in working with U.S. hardware wholesaler Orgill Inc., gathered recently in Toronto to meet with senior members of Orgill’s merchandising team and discuss collaborative distribution opportunities.

In Canada, where Orgill has seen marked growth, the Open-to-Buy day was open specifically to Canadian manufacturers that might fit into both Orgill’s Canadian and worldwide distribution offering.

In attendance from Orgill were Brett Hammers, senior vice president of merchandising and marketing; Myron Boswell, vice president of dealer sales-central & Canada; Jeff Curler, vice president of advertising and dealer promotions; Mike Ferrell, vice president of LBM; and Phillip Walker, vice president of marketing. Following the event, Orgill executives took the vendor information back to their merchandising team in Memphis.

“The Open-to-Buy event sets the stage for expanding our collaboration with manufacturers who are looking to grow their distribution network throughout the U.S. and Canada,” says Curler.

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Classifieds

National Retail Sales Manager, The Hillman Group Canada

Our client is a leading distributor of hardware, signs and key duplication equipment to more than 21,000 retail locations worldwide. The company has 11 facilities across North America and services over 58 countries with a significant presence in Mexico, South and Central America, and the Caribbean. The integration of the H Paulin business unit has provided the company with dominant North American market share in all categories they serve.

We’ve been retained to search out a Retail Sales Manager for the Canadian division overseeing growth of the sales encompassing LBM and other independent retailers nationally. Big Box and mass merchandise retailers would be excluded. Primary objectives are: driving revenue, developing business relationships, managing field sales organization and controlling expenses. He/she will provide hands-on leadership in developing an existing field sales team including both factory sales staff and independent agents. The position will involve some time in the Toronto east end office, but the majority of time will be spent in the field with sales staff assisting them in overachievement of their goals and providing excellent customer satisfaction as a direct result.

Key qualifications include:

  • Minimum 10 years field sales management experience
  • Experience in the Canadian hardware and/or building materials industry preferred
  • Extensive senior sales experience and contacts with national/ regional hardware and building materials retailers and wholesalers
  • Ability to develop and execute sales and management programs and policies
  • Excellent planning, organization, time management skills
  • Strong written and verbal skills . French a definite asset.
  • Advanced User of Microsoft Office – Word, Excel & PowerPoint
  • Strong interpersonal, communication and presentation skills
  • Post secondary undergraduate diploma/degree in business or equivalent
  • Ability to travel extensively

Interested? Please contact Wolf Gugler in strict confidence by phone (888-848-3006), by clicking this link or by applying online on our web site at www.wolfgugler.com . We reply to all responses.

Wolf Gugler Executive Search, 200-100 Consilium Place, Toronto, ON. Offices in Canada and the U.S.

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RENIN CANADA CORP

National Account Manager

Renin is an International market leader in Wall Mirror, with its Canadian head office based in Brampton, Ontario. We are currently seeking an experienced National Account Manager to join our team .

SCOPE

  • Managing portfolio of North American retail accounts
  • Promotional planning and sku/category management.
  • Development and preparation of customer presentations and meeting materials.
  • Coordinate and attend customer/ industry trade shows and events, as required.
  • Create and maintain competitive market price shops on a regular basis.

CORE SKILLS

  • Excellent written and verbal communication skills.
  • Strong organizational skills – ability to work independently and within a team.
  • Participate effectively with cross functional departments internally and externally.
  • Experience in product forecasting and sales data analysis required.

QUALIFICATIONS

  • 5+ years of national/regional account sales experience in the retail home improvement/plumbing.
  • Post-secondary education.
  • Knowledge of big box DIY and Mass home products channel is essential.
  • Ability to travel within Canada required and USA.
  • Advanced Microsoft Office Applications including: Excel, Word, and PowerPoint.

Interested applicants should email resumes to hr@renincorp.com .

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TERRITORY MANAGER

(ONTARIO – EASTERN, CENTRAL, GTA)

ISOLOFOAM Group is a well establish company, manufacturer and distributor of innovative rigid foam insulation panels (EPS) for all types of buildings.

We are currently seeking a talented, energetic individual with strong drive to success and determination to join our growing team.

This position requires an individual who is familiar with the Lumber and Building Supply industry, as well as building techniques and specifications.

Reporting to the District Manager, this position will develop and expand relationships with LBM dealers, retailers, contractors and architects. Manage and direct the sales process for these customers to achieve and surpasse sales and corporate goals. Enhance market positioning. Support the organization in competition and market requirements analysis. Competitive compensation package offered.

Please forward your resume in confidence to rh@isolofoam.com

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National Account Manager

Blanco is an International market leader in the Kitchen sink and faucet industry, with its Canadian head office based in Brampton, Ontario. We are currently seeking an experienced National Account Manager to join our expanding Canadian Sales team and drive our continued growth in this channel. This position will manage the Canadian retail portfolio, and will report to the Director, National Sales.

RESPONSIBILITIES

  • Managing portfolio of retail accounts, as assigned.
  • Promotional planning and sku/category management.
  • Development and preparation of customer presentations and meeting materials.
  • Coordinate and attend customer/ industry trade shows and events, as required.
  • Organize and monitor product training programs.
  • Create and maintain competitive market price shops on a regular basis.

KEY COMPETENCIES

  • Excellent written and verbal communication skills.
  • Strong organizational skills – ability to work independently and within a team.
  • Participate effectively with cross functional departments internally and externally.
  • Experience in product forecasting and sales data analysis required.
  • Ability to develop and effectively deliver PowerPoint sales presentations.

QUALIFICATIONS

  • 5+ years of national/regional account sales experience in the retail home improvement/plumbing.
  • Post-secondary education.
  • Knowledge of online retailer category management an asset.
  • Ability to travel within Canada required.
  • Bilingual (English/French) not required, but considered an asset.
  • Advanced Microsoft Office Applications including: Excel, Word, and PowerPoint.

Interested applicants should email resumes to wmcpherson@blancocanada.com . We thank all those who apply, however please note only applicants selected for an interview will be contacted.

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Januaary 27 2014

 

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January 27, 2014 Volume

xx, #4

“It’s far more impressive when others discover your good qualities without your help.” —Judith S. Martin (aka “Miss Manners,” American advice columnist and author, 1938- )

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Réno-Dépôt launches new concept store in Saint-Hubert

BOUCHERVILLE, Que. — RONA inc. has unveiled the new positioning of its Réno-Dépôt banner with a new store concept at its Saint-Hubert location. This major repositioning has been central to RONA’s overall recovery strategy, as outlined by president and CEO Robert Sawyer.

The new—and much-anticipated—concept being rolled out at the Saint-Hubert store has been seen as a return to the banner’s value-driven, contractor-oriented big box roots. That means an emphasis on national brands that appeal to the renovation needs of both contractors and serious DIYers. RONA has also made drastic changes to Réno-Dépôt’s procurement policy, eliminating 25% of its SKUs, offset by greater depth of merchandise to reduce out-of-stocks.

The Réno-Dépôt stores on the Island of Montreal will be converted by the end of February. All 16 Réno-Dépôt stores are to be converted before year’s end.

RONA says the in-store shopping experience at the new-look Réno-Dépôt has been given a complete overhaul to make it easier for customers to find products, with more user-friendly signage, more staff on the floor—and faster service.

“The Réno-Dépôt repositioning marks a pivotal point in the RONA relaunch,” said Sawyer. “We have revised our entire marketing strategy to better meet the needs of our customers, which includes professionals and contractors, as well as expert and novice home renovators. We are confident that the concept we have developed will keep our existing customers, draw in those who have gone elsewhere, and attract new ones.”

Mario St-Louis, is vice president–operations for Réno-Dépôt. He oversees the Réno-Dépôt division, with the support of Luc Nantel, who heads up a dedicated buying team for the chain as Réno Dépôt’s vice president–merchandising, and David Giguère, executive director–marketing. The focus on Réno-Dépôt as a discreet business unit reflects a larger move by RONA’s executive team to identify the different businesses within the company and decentralize their operation. Those other businesses include its big boxes, the commercial and pro outlets, and its function as a wholesaler to independent dealers.

“We have spared no effort in redesigning the Réno-Dépôt branding and marketing strategy,” said St-Louis.

“Everything has been thought through and upgraded. We want to create a real difference in the retail industry and offer the customer a memorable experience that is primarily based on outstanding customer service. The way products are now arranged in the store, with easier access, will allow our employees to spend more time advising customers.”

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Solid turnout at Prairie Showcase reflects Western optimism

SASKATOON — The latest edition of the Prairie Showcase, the buying show held by the Western Retail Lumber Association, drew a healthy turnout from dealers in the West, including some big outlets in British Columbia. While attendance was considered lighter than last year by many, the number of outlets represented did not appear to suffer—nor did their willingness to place orders, according to many vendors—reflecting the positive mood among those dealers.

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Sexton shuffle moves Buckle into president’s role

REGINA — Steve Buckle has been promoted to the role of president of the Sexton Group Ltd. He replaces Brian Kusisto, who will assume the role of CEO; Ken Sexton will become the chairman.

Buckle joined the Sexton Group in 2006 as vice president and in 2008 became VP and general manager. Before joining Sexton, he spent more than 20 years in the lumber and building materials industry, starting as a sales representative and moving his way up through sales and general management. That included working as GM of CanWel in Quebec, then from 2001-2005 as Eastern Canadian Division general manager for Weyerhaeuser Residential Wood Products.

Asked if the new executive lineup will presage further changes in the group, Buckle told HARDLINES, “It’s business as usual. We’re happy with the direction we’re headed in now and we’re just going to do more of that.” That includes continued growth and the addition of members in areas of the country where the group has been under-represented.

In a letter to the member dealers, Kusisto touted Buckle’s contribution to Sexton, noting that “he has strengthened our commitment to deliver value to all of our members and for us to always seek ways to assist our members to achieve greater business success and to execute with great precision on those strategies.”

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Federated Co-operatives enjoys strong year

SASKATOON — Record bumper crops in Western Canada helped to drive results up a healthy 7.4% for Federated Co-operatives Limited. And performance by FCL’s home and building supplies department was in line with those results, says the new director of that business.

“We achieved our top-line goals for the year,” says Tony Steier. He took over at the end of 2013, replacing Rod Baergen, who retired after heading the division for a decade.

“It was a very big growth year for us, on behalf of our co-ops and independents across all sectors—hardware, building materials, and seasonal categories,” Steier continues.

FCL’s hardware and home improvement sales are in the area of half a billion dollars per year, making it one of the top 10 retail groups in this industry. Efforts in the past year and a half to update its hardware and building supply-focused Coop stores have also had a positive effect on results. “A number of stores have been completed and our sales teams are working on renovating a number of the stores, both interior and exterior, for 2014.”

The net result has been, says Steier, steady growth that has persisted for a number of years. He notes that “both top- and bottom-line goals were achieved.”

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Paint companies launch colours in time for spring

BURFORD, Ont. & SHAWINIGAN, Que. — The company claims it took two years to develop its new colour palette, but Home Hardware’s paint division, Beauti-Tone, unveiled the “Colour Comes Home” paint system at the Interior Design Show in Toronto last week. The new system consists of 1,288 haute hues, 42 essential whites, and eight-all new colour palettes.

Although it launched officially last week, the line won’t be available in Home Hardware stores until the end of March. Beauti-Tone is not alone in pushing the style envelope in coatings. Quebec-based Laurentide Paint has a new palette of its own for 2014. It consists of 20 shades grouped into four decorating “spheres”— Clarity, Elemental, Embrace and Discovery. The company says the new program is inspired by the latest in emerging trends and fashions, and features “mixes of vibrant colours and neutrals to provide for the creation of harmonious living environments.”

This new palette will be presented starting in late February through Laurentide’s network of 300 dealers in Quebec and Atlantic Canada.

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Classifieds

RENIN CANADA CORP

National Account Manager

Renin is an International market leader in Wall Mirror, with its Canadian head office based in Brampton, Ontario. We are currently seeking an experienced National Account Manager to join our team .

SCOPE

  • Managing portfolio of North American retail accounts
  • Promotional planning and sku/category management.
  • Development and preparation of customer presentations and meeting materials.
  • Coordinate and attend customer/ industry trade shows and events, as required.
  • Create and maintain competitive market price shops on a regular basis.

CORE SKILLS

  • Excellent written and verbal communication skills.
  • Strong organizational skills – ability to work independently and within a team.
  • Participate effectively with cross functional departments internally and externally.
  • Experience in product forecasting and sales data analysis required.

QUALIFICATIONS

  • 5+ years of national/regional account sales experience in the retail home improvement/plumbing.
  • Post-secondary education.
  • Knowledge of big box DIY and Mass home products channel is essential.
  • Ability to travel within Canada required and USA.
  • Advanced Microsoft Office Applications including: Excel, Word, and PowerPoint.

Interested applicants should email resumes to hr@renincorp.com .

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TERRITORY MANAGER

(ONTARIO – EASTERN, CENTRAL, GTA)

ISOLOFOAM Group is a well establish company, manufacturer and distributor of innovative rigid foam insulation panels (EPS) for all types of buildings.

We are currently seeking a talented, energetic individual with strong drive to success and determination to join our growing team.

This position requires an individual who is familiar with the Lumber and Building Supply industry, as well as building techniques and specifications.

Reporting to the District Manager, this position will develop and expand relationships with LBM dealers, retailers, contractors and architects. Manage and direct the sales process for these customers to achieve and surpasse sales and corporate goals. Enhance market positioning. Support the organization in competition and market requirements analysis. Competitive compensation package offered.

Please forward your resume in confidence to rh@isolofoam.com

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National Account Manager

Blanco is an International market leader in the Kitchen sink and faucet industry, with its Canadian head office based in Brampton, Ontario. We are currently seeking an experienced National Account Manager to join our expanding Canadian Sales team and drive our continued growth in this channel. This position will manage the Canadian retail portfolio, and will report to the Director, National Sales.

RESPONSIBILITIES

  • Managing portfolio of retail accounts, as assigned.
  • Promotional planning and sku/category management.
  • Development and preparation of customer presentations and meeting materials.
  • Coordinate and attend customer/ industry trade shows and events, as required.
  • Organize and monitor product training programs.
  • Create and maintain competitive market price shops on a regular basis.

KEY COMPETENCIES

  • Excellent written and verbal communication skills.
  • Strong organizational skills – ability to work independently and within a team.
  • Participate effectively with cross functional departments internally and externally.
  • Experience in product forecasting and sales data analysis required.
  • Ability to develop and effectively deliver PowerPoint sales presentations.

QUALIFICATIONS

  • 5+ years of national/regional account sales experience in the retail home improvement/plumbing.
  • Post-secondary education.
  • Knowledge of online retailer category management an asset.
  • Ability to travel within Canada required.
  • Bilingual (English/French) not required, but considered an asset.
  • Advanced Microsoft Office Applications including: Excel, Word, and PowerPoint.

Interested applicants should email resumes to wmcpherson@blancocanada.com . We thank all those who apply, however please note only applicants selected for an interview will be contacted.

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January 20 2014

Hardlines Weekly Newsletter

ARE YOU READING THIS ON YOUR SMART PHONE?

CLICK HERE TO CHECK OUT OUR NEW MOBILE EDITION!

January 20, 2014 Volume

xx, #3

“Man’s many desires are like the small metal coins he carries about in his pocket. The more he has the more they weigh him down.” —Satya Sai Baba (Indian guru, 1926-2011)

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Cross-border shopping poses challenge for lumber dealers

WINNIPEG — Blame it on a higher minimum wage here. Or blame this country’s higher tariffs. You could even point a finger at the “lack of courage among our politicians,” says Diane Brisebois, president and CEO of Retail Council of Canada. Speaking recently at a breakfast meeting held by the Winnipeg Chamber of Commerce, she outlined some of the challenges of cross-border shopping.

“We lost $16 billion last year to cross-border shopping. And that’s not vacationers. That’s same-day and overnights,” Brisebois adds.

It’s a story that’s very familiar to the group of building supply dealers in the room, there courtesy of the Western Retail Lumber Association. “It’s a huge problem,” says Martha Konantz, president of North American Lumber. The TIM-BR MART dealer is headquartered in Winnipeg with 21 stores stretching from Northwestern Ontario to Saskatchewan. That puts many of her locations in sight of Menards. “In South Winnipeg, we all get Menards flyers in the newspaper. They have a warehouse in Winnipeg and they deliver from Duluth [Minnesota] up to Thunder Bay, and to Red Lake and Kenora [Ont.].”

Menards is a giant privately held big-box chain with 280 stores throughout the U.S. Midwest and sales that are estimated at over $8 billion annually. It is known for low prices, aggressive advertising, and a maddening obsession with selling into Canada.

“You quote on kitchens or garages, say, and next thing you know, the Menards truck is there instead,” Konantz says.

Brisebois concludes her presentation with an exhortation: “I think it’s time we all stand up and tell our governments [to pass legislation] to keep our customers here. To accuse our homegrown retailers of gouging is the most irresponsible thing.”

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Regional wholesalers innovate to maintain edge

SPECIAL REPORT — Barrie, Ont.-based CanSave is one of the shrinking breed of regional hardlines and building materials distributors that has withstood the industry’s tumultuous consolidation.

Another is Coast Distributors, which since 1968 has sold a range of hardlines to dealers on Vancouver Island and in lower British Columbia. And it’s done so in the face of what Coast’s sales manager Brad McCluskie characterizes as competitive “turmoil” in Western Canada during most of those years.

Regional distributors, and particularly those specializing in just one or two product categories, have long been protecting their flanks from increasingly aggressive onslaughts into their territories by national wholesalers. Those still standing succeed by emphasizing the value propositions of their inventory management and delivery services to dealers looking for any competitive edge.

Coast, with more than 1,500 retail accounts that include hardware stores and auto centres, is looking to add product categories where it currently has little or no market penetration. These include plumbing and electrical, striking tools, automotive, and lawn and garden, the last of which McCluskie believes presents “a massive opportunity” for his company.

Lawn and garden—specifically outdoor furniture and living products—have also been a boon for Holland Imports, the Burnaby, B.C.-based importer and distributor. “The hardware business has been soft over the past two years, so outdoor living will account for one-third of our division’s sales in 2013,” says Keith Brown, general manager of Holland Imports.

Like other distributors we talked with, Brown says attrition and consolidation have winnowed the number of buying offices and dealers his company can sell to. Brown notes that the number of independent dealers in urban centres has been dwindling, too, which causing his company to shift its marketing toward rural stores.

(This is an excerpt from a feature story on the state of Canada’s regional distributors that appears in the current edition of our sister publication, Hardlines Home Improvement Quarterly. HHIQ is available at no charge to dealers and managers in Canada. Click here to get your copy today! —Michael)

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Quebec inventor’s planning software is ready for take offs

QUEBEC CITY — A former estimator, civil technician, and general contractor has developed a proprietary project planning software which is garnering the attention of some of the country’s largest independent dealers.

The software, called constructeurvirtuel.com (the English version, thevirtualconstructor.com, will go live in a few weeks) is the creation of François Lepage, who spent 19 years at Canac, the giant Quebec home improvement chain, before venturing out on his own. He recognized a need for easy-to-use software that could update project specs with the click of a mouse. “In Quebec alone, more than half of all hardware and building supply stores do not offer estimates, quotes, planning, or budgets for customers.”

The software is being tested by a couple of major Quebec dealers, who license the software on a monthly basis, while customers can use it online at any time. Lepage notes that a person can access their project on their computer or even on their mobile device—and make changes or updates on the spot. With every change made, the plan is redrawn, the list of materials recalculated, and the budget readjusted automatically.

His website has been live since last June and during that time users have completed more than 20,000 projects with constructeurvirtuel.com.

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HTV Exclusive: Stories to watch in 2014

SPECIAL REPORT — after a year filled with mergers, new retail players, personal scandal, more consolidation, and unusual retail formats, there can be little doubt that 2014 will hold its share of surprises too. A new segment from Hardlines TV takes a look at the economic conditions and retail companies that are expected to shape the news in the year ahead.

With the economy ending on a flat note in many areas—including employment rates, housing starts, and building intentions—many hardware and home improvement dealers will be relying on local opportunities and their own resourcefulness to grow in the coming months. Meanwhile, the weakness of the Canadian dollar may help to dampen Canadians’ love of cross-border shopping while giving a boost to manufacturers that rely on exporting.

Companies that dominated the news in 2013 included RONA and TIM-BR MART Group and they are already giving indications of how they intend to strengthen their positions in the year ahead.

(To watch our latest short video from HTV,

“Looking to the Year Ahead,” click here now!)

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Target’s poor performance in Canada good for shoppers

MISSISSAUGA, Ont. — Target’s Canadian stores now expect to post a fourth-quarter loss of about 45 cents per share, almost doubling its previous guidance of a 22-32 cent loss.

The revision comes on the heels of a difficult holiday season, which saw much of eastern Canada blanketed by a severe ice storm. Deep discounts offered to move merchandise into the hands of reluctant Canadian shoppers also took a bite out of profits, and the Target brand was damaged by a credit card data breach, even though Canadian stores operate on their own point-of-sale system and were unaffected.

Target’s poor performance in Canada since making its debut could have a bright side—for shoppers, if not for stakeholders. The meagre showing may prompt the retailer to cut prices, Toronto Life suggests.

In fact, many products have already seen deeper discounts as Target seeks to counter slow sales, a factor noted in its Q4 results. Higher prices have been a persistent complaint since Target’s arrival among Canadian consumers, many of whom are familiar with the chain’s American stores and their price lines.

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Classifieds

TERRITORY MANAGER

(ONTARIO – EASTERN, CENTRAL, GTA)

ISOLOFOAM Group is a well establish company, manufacturer and distributor of innovative rigid foam insulation panels (EPS) for all types of buildings.

We are currently seeking a talented, energetic individual with strong drive to success and determination to join our growing team.

This position requires an individual who is familiar with the Lumber and Building Supply industry, as well as building techniques and specifications.

Reporting to the District Manager, this position will develop and expand relationships with LBM dealers, retailers, contractors and architects. Manage and direct the sales process for these customers to achieve and surpasse sales and corporate goals. Enhance market positioning. Support the organization in competition and market requirements analysis. Competitive compensation package offered.

Please forward your resume in confidence to rh@isolofoam.com

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National Account Manager

Blanco is an International market leader in the Kitchen sink and faucet industry, with its Canadian head office based in Brampton, Ontario. We are currently seeking an experienced National Account Manager to join our expanding Canadian Sales team and drive our continued growth in this channel. This position will manage the Canadian retail portfolio, and will report to the Director, National Sales.

RESPONSIBILITIES

  • Managing portfolio of retail accounts, as assigned.
  • Promotional planning and sku/category management.
  • Development and preparation of customer presentations and meeting materials.
  • Coordinate and attend customer/ industry trade shows and events, as required.
  • Organize and monitor product training programs.
  • Create and maintain competitive market price shops on a regular basis.

KEY COMPETENCIES

  • Excellent written and verbal communication skills.
  • Strong organizational skills – ability to work independently and within a team.
  • Participate effectively with cross functional departments internally and externally.
  • Experience in product forecasting and sales data analysis required.
  • Ability to develop and effectively deliver PowerPoint sales presentations.

QUALIFICATIONS

  • 5+ years of national/regional account sales experience in the retail home improvement/plumbing.
  • Post-secondary education.
  • Knowledge of online retailer category management an asset.
  • Ability to travel within Canada required.
  • Bilingual (English/French) not required, but considered an asset.
  • Advanced Microsoft Office Applications including: Excel, Word, and PowerPoint.

Interested applicants should email resumes to wmcpherson@blancocanada.com . We thank all those who apply, however please note only applicants selected for an interview will be contacted.

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January 13 2014

 

Hardlines Weekly Newsletter

 

ARE YOU READING THIS ON YOUR SMART PHONE?CLICK HERE TO CHECK OUT OUR NEW MOBILE EDITION!

January 13, 2014 Volume

xx, #2

“My friends say I’m actin’ wild as a bug/I’m in love, I’m all shook up.”

—Elvis Presley (Singer and actor, 1935-1977,

who co-wrote “All Shook Up” with Otis Blackwell in 1957)

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New VP, new name at TIM-BR MART Group

CALGARY — A new head for its commercial division and a new name for its services division mark the latest changes from Canada’s largest buying group, as it repositions itself under new president Bernie Owens.

Mark Finucane is joining the TIM-BR MART Group as vice-president-Commercial. The move, effective January 17, positions Finucane as the business lead for Commercial and GSD (gypsum supply dealers) members. He will direct member and manufacturer relationships, negotiations, recruitment, and day-to-day details for this arm of the business. Finucane was most recently the director of sales-Canada for CertainTeed Gypsum and Insulation.

Based in Vaughan, Ont., Finucane will report to Owens, who came over himself from CertainTeed last fall to take over TIM-BR MART Group.

In addition, the group has re-organized internally with the renaming of its retail support division, which handles everything from group insurance to office supplies. The division, formerly known as Purple Cow Retail Services, has been renamed TIMBER MART Retail Services, “to reinforce the brand across the company,” according to a release. The name ties in with a new brand for TIM-BR MART member stores by switching them to the conventional spelling of “timber” in their signage and other marketing tools, including online.

In operation since 1967, TIM-BR MART Group is a member-owned organization serving building material and hardware retailers, commercial dealers, and manufacturers. Total sales by all dealers in 2012 were estimated at $3.6 billion, according to the HARDLINES Who’s Who Directory .

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Home Hardware reprises contractor events

ST. JACOBS, Ont. — Home Hardware Stores Limited is once again running its annual “ Tough as Nails” contractor shows. The events are aimed at contractors, renovators, builders, and tradespeople. The series kicked off in Sudbury, Ont., on January 9, and continues on to the following cities: Waterloo, Ont., January 13; Peterborough, Ont., February 3; Moncton, N.B., February 25; Saskatoon, March 12; and Edmonton on March 20.

Almost 5,000 contractors typically attend the invitation-only events across the country each year, with each show featuring about 65 hardware and building materials suppliers. These exhibitor booths are set up with company spokespeople to answer questions, offer ideas, explain new products, and provide demonstrations. At each show, thousands of dollars in giveaways and door prizes are awarded. In addition, attendees from all six shows are entered for a chance to win a grand prize of a 2014 Toyota Tundra pickup truck.

“These shows allow us to reinforce the many ways in which we work to be the building centre of choice for contractors and homeowners alike,” said Paul Straus, president and CEO of Home Hardware.

New this year is a seminar series presented by JELD-WEN, the window and door supplier. All attendees are able to attend the seminars, which will run at each stop across the country and provide building and renovation information on building codes and new products.

Contractors in attendance can also take part in skills competitions, including a driver drill competition, a flooring challenge, a nail driving contest, and a hockey shootout.

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WRLA Prairie Showcase will host lunch for younger generation

WINNIPEG — A new addition to the upcoming WRLA Prairie Showcase in Saskatoon later this month is an event aimed specifically at young people in the home improvement industry.

A “NexGen” lunch will be held on Friday, January 24, onsite at the buying show. The event comes out of a mandate by the Western Retail Lumber Association, which owns and operates the show, to develop more initiatives for the next generation of industry members. The event is open to both retailers and supplier members of WRLA. They can sign up for the lunch at no charge, as long as they’re registered for the show.

“This event is open to both retailers and associate members, so it will be a great way for the next generation of vendors and dealers to network,” says Gary Hamilton, president of WRLA.

The young participants will also have the opportunity to meet and network with some veteran members of Canada’s retail home improvement industry. “I hope this will generate some exchange between the younger dealers and vendors with more seasoned members of the industry,” Hamilton adds.

Other people expected to attend will include WRLA past chair Mike Doyle of the Home Improvement Warehouse in Calgary, and incoming chair Rob Hauser, owner of the Home Hardware Building Centre in Camrose, Alta. However, the direction and future of the group will be determined by the young delegates themselves, with some hands-on exercises in planning and goal setting to take place at this inaugural meeting.

Krista Scherpenzeel, WRLA admin and co-ordinator of the WRLA NexGen, says “The goal of this group is to connect, educate, and offer influence to the next generation of building supply professionals.”

The 2014 WRLA Prairie Showcase will be held in Saskatoon from January 22-24. Online registration ends today, so click here now.

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Dealers stock up in face of light bulb ban

NATIONAL REPORT — A federal ban on incandescent light bulbs went into effect on New Year’s Day, but some Canadians were prepared, having stocked up on the now-contraband lights before saying goodbye to 2013. The new rules, aimed at increasing energy efficiency, have already taken effect for 75- and 100-watt bulbs, and will extend to 40- and 60-watt models next December 31.

The regulation is not without loopholes. Bulbs manufactured before January 1 can still be shipped. Children’s cookware toys, like the classic Easy-Bake oven, continue to rely on the heat given off by incandescent bulbs.

Some stores have reported seeing a rush to buy up incandescent bulbs in their last weeks of legality, with customers complaining about the higher cost of compact fluorescent bulbs. Those with medical sensitivities to light have also cited concerns about headaches and irritation.

OSRAM Sylvania has a particular interest in taking the pulse of consumers on their bulb purchases. In the last days of 2013, the lighting manufacturer released the “Sylvania Socket Survey,” which found that only 60% of consumers were aware of the new law, while 30% planned to “stockpile.” Two thirds of those surveyed, on the other hand, planned to make the switch to fluorescent.

The lack of awareness cited by Sylvania may be one reason not everyone was lining up to buy bulbs in bulk. On the other hand, given the ample warning, consumers have had time either to adjust their lighting habits, and merchants have had time to guide them through the transition. “As a retailer you have to get your customers accustomed to that,” says Steve Hamilton, a manager at JL’s Home Hardware in Guelph, Ont.

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Classifieds

National Account Manager

Blanco is an International market leader in the Kitchen sink and faucet industry, with its Canadian head office based in Brampton, Ontario. We are currently seeking an experienced National Account Manager to join our expanding Canadian Sales team and drive our continued growth in this channel. This position will manage the Canadian retail portfolio, and will report to the Director, National Sales.

RESPONSIBILITIES

  • Managing portfolio of retail accounts, as assigned.
  • Promotional planning and sku/category management.
  • Development and preparation of customer presentations and meeting materials.
  • Coordinate and attend customer/ industry trade shows and events, as required.
  • Organize and monitor product training programs.
  • Create and maintain competitive market price shops on a regular basis.

KEY COMPETENCIES

  • Excellent written and verbal communication skills.
  • Strong organizational skills – ability to work independently and within a team.
  • Participate effectively with cross functional departments internally and externally.
  • Experience in product forecasting and sales data analysis required.
  • Ability to develop and effectively deliver PowerPoint sales presentations.

QUALIFICATIONS

  • 5+ years of national/regional account sales experience in the retail home improvement/plumbing.
  • Post-secondary education.
  • Knowledge of online retailer category management an asset.
  • Ability to travel within Canada required.
  • Bilingual (English/French) not required, but considered an asset.
  • Advanced Microsoft Office Applications including: Excel, Word, and PowerPoint.

Interested applicants should email resumes to wmcpherson@blancocanada.com . We thank all those who apply, however please note only applicants selected for an interview will be contacted.

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January 6 2014

 

Hardlines Weekly Newsletter

 

ARE YOU READING THIS ON YOUR SMART PHONE?CLICK HERE TO CHECK OUT OUR NEW MOBILE EDITION!

January 6, 2014 Volume

xx, #1

“Life is a lot like jazz music … it’s best when you improvise.”

—George Gershwin (American composer, 1898-1937)

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Industry history now on the Hardlines website

WORLD HEADQUARTERS, TORONTO — A new look for the Hardlines website now includes a history of the Canadian home improvement marketplace in one location. Back issues of the HARDLINES e-newsletter, representing a weekly chronicle of home improvement retailing for almost two decades, are now available for public use.

HARDLINES has been a source of breaking news for vendors and retailers, news services, and competing publications for almost 20 years. But until now, past issues had been reserved for paid subscribers of the weekly HARDLINES e-newsletter. Effective immediately, past issues, starting one year ago from the present date, are available on the Hardlines website. Not only have we unlocked the archives starting one year ago for public viewing, but we’ve also uploaded every issue of HARDLINES since 2000.

The newly released Hardlines Archives and the enhanced Daily News are fully searchable and categorized chronologically for easy viewing. It’s all part of a new design for the Hardlines website, making it easier to navigate and providing archives of both our Daily News and weekly e-newsletter. Other features include easy access to free samples of all our publications, every issue of our print magazine HHIQ, a full calendar of industry events, Classified Ads, and Hardlines TV. The new site features exciting new advertising opportunities for sponsoring companies.

The release of the Hardlines Archives, our library of magazines online, and our range of special marketing reports are all ways that Hardlines is connecting the Canadian hardware/home improvement industry through information and analysis.

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EXCLUSIVE INTERVIEW: Lowe’s Canada head Sylvain Prud’homme

TORONTO — Sylvain Prud’homme doesn’t much care for the limelight. He doesn’t care for speaking with the press, appearing on TV, or getting up in front of a group. He cares about his business and about his customers. And that’s where he chooses to direct his focus.

Being a relative newcomer to the industry (he joined Lowe’s Canada from Loblaw, where he was a VP in Quebec, developing the grocery chain’s business there), he does say he reads HARDLINES every week.

He is also looking at his own team, watching how to better manage relations with Lowe’s vendors. As a result, he made some dramatic changes recently, to simplify the company’s management structure. To that end, he created three new positions. Nick Padovano became head of operations and supply chain, effectively filling the gap left by former Lowe’s Canada president Alan Huggins, who is strong in operations. Tony Tutolo was appointed head of finance and administration, replacing Stephen Taylor, “the last American on the Canadian team.” Taylor has returned to the U.S. to work with Lowe’s international team there.

Igor Halencak came over from Sears Canada to head up merchandising and marketing, replacing both an interim marketing position and the duties of former merchandising VP Bob Sherwood, who had been with the company since setting up shop in Canada in 2008. (The rest of Lowe’s Canadian merchandising team was unchanged.)

“I wanted the team to be leaner and more nimble,” says Prud’homme. “I wanted it to be able to make decisions quickly.” For example, he points out that Halencak’s role will include both marketing and merchandising.

Prud’homme is watching his competitors, and wants to avoid replicating their mistakes. “Everyone should learn these lessons,” he says. “Keep your team tight. Keep your team nimble.”

He talks briefly about expansion, as well. Just two stores have been confirmed to open this year. Both are in Southwestern Ontario and scheduled to open in early spring: one in Burlington and the other in Cambridge. Prud’homme says he is taking his time with these stores, to understand how best to fine-tune them for this market. “We’re trying things a little differently in these stores and we’ll see how customers will react to them.” He hinted that the changes would be reflected in the way the stores are merchandised. “We are looking at the right model for today’s customer.”

However, they will fit into the large big-box mould of all of Lowe’s sites in Canada so far. The Burlington store will have 117,000 square feet of retail plus a 32,000-square-foot garden centre, while Cambridge will be about 94,000 square feet with a 26,000-square-foot garden centre.

“Stay tuned,” he adds, smiling.

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Home Depot ramps up to offer same-day delivery

ATLANTA — Home Depot has announced plans to open fulfillment centres in California, Atlanta, and Ohio over the next two years in an effort to build its same-day delivery capability. The move will cost the retailer at least $300 million in supply chain, technology, and online improvements.

Home Depot has all but halted construction of new brick and mortar stores in the U.S. and Canada, turning its focus to building its online business. A key factor will be establishing a delivery and supply chain system that will enable same-day delivery. “It’s a big investment,” Home Depot’s CFO Carol Tomé says.

Home Depot hopes to allow shoppers to place orders by 5 p.m. and choose a one-hour delivery window. Customers will be able to receive real-time delivery updates via their mobile phone and choose from 100,000 items, says Mark Holifield, Home Depot’s senior vice president of supply chain.

Home Depot also plans to begin filling online orders within its stores rather than at a warehouse or distribution centre, to enable delivery of 90% of orders within two days. Currently, it takes between two and seven days for customers to get most orders.

“In 2008, upon reaching what we believed to be market saturation, we slowed new store openings,” Tomé says. “Now we believe our sales growth will be driven by a continued recovery in the [U.S.] housing market, as well as interconnected retail.”

In 2012, online sales represented 2.4% of the company’s $74.8 billion in net sales. Home Depot’s web sales are expected to increase by 50% for 2013 to $2.7 billion. The company also said it is looking to expand in-home assembly and installation programs for products including appliances, patio furniture, and barbecues.

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ANALYSIS: Home improvement survey worldwide

SPECIAL REPORT — The DIY/home improvement world market reached approximately €410 billion ($600.8 billion) in 2012, says a new report from Fediyma, the association of hardware and home improvement (DIY) manufacturers in Europe.

North America and Europe combined represent 93% of this world market, although their joint population accounts for only 23% of the world population. The DIY markets of these two continents represent approximately €381 billion.

According to The Fediyma World DIY Report 2013, North America, with €246 billion ($360 billion), represents more than 60% of the world market, while Europe, worth €135.2 billion ($198.1 billion), comprises 33.1% of the world market. Asia and the Pacific regions, with €18.3 billion ($26.8 billion), represent 4.5% of the world market. Japan, Australia and New Zealand are the most active markets in this part of the world.

French markets are targeting not only Europe, West, South and East, including Russia and Ukraine, but also exporting worldwide with branches throughout the world. They are present in 24 countries with 656 stores. German retailers are increasing their efforts in all European countries, particularly Scandinavia and Eastern Europe. They are present in 29 countries with 845 stores.

UK retailers led by B&Q are expanding worldwide in seven countries with 392 stores. Kingfisher has the control of Castorama and Brico Depot and a substantial stake in Hornbach (German), but is reducing its involvement in China. Screwfix, owned by Kingfisher, will expand to Germany this summer.

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Classifieds

National Account Manager

Blanco is an International market leader in the Kitchen sink and faucet industry, with its Canadian head office based in Brampton, Ontario. We are currently seeking an experienced National Account Manager to join our expanding Canadian Sales team and drive our continued growth in this channel. This position will manage the Canadian retail portfolio, and will report to the Director, National Sales.

RESPONSIBILITIES

  • Managing portfolio of retail accounts, as assigned.
  • Promotional planning and sku/category management.
  • Development and preparation of customer presentations and meeting materials.
  • Coordinate and attend customer/ industry trade shows and events, as required.
  • Organize and monitor product training programs.
  • Create and maintain competitive market price shops on a regular basis.

KEY COMPETENCIES

  • Excellent written and verbal communication skills.
  • Strong organizational skills – ability to work independently and within a team.
  • Participate effectively with cross functional departments internally and externally.
  • Experience in product forecasting and sales data analysis required.
  • Ability to develop and effectively deliver PowerPoint sales presentations.

QUALIFICATIONS

  • 5+ years of national/regional account sales experience in the retail home improvement/plumbing.
  • Post-secondary education.
  • Knowledge of online retailer category management an asset.
  • Ability to travel within Canada required.
  • Bilingual (English/French) not required, but considered an asset.
  • Advanced Microsoft Office Applications including: Excel, Word, and PowerPoint.

Interested applicants should email resumes to wmcpherson@blancocanada.com . We thank all those who apply, however please note only applicants selected for an interview will be contacted.

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December 16 2013

 

Hardlines Weekly Newsletter

 

ARE YOU READING THIS ON YOUR SMART PHONE?

CLICK HERE TO CHECK OUT OUR NEW MOBILE EDITION!

December 16, 2013, Volume

xix, #47

“Christmas is doing a little something extra for someone.” —Charles Schulz (American cartoonist and creator of the “Peanuts” comic strip, 1922-2000)

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MESSAGE FROM THE HARDLINES TEAM: This is our last issue of the year. We all want to wish you a safe and happy holiday and a merry Christmas. We hope you all had a fruitful and prosperous 2013, and look forward to joining you again in the New Year. Our next issue will come out January 6. The World Headquarters remains open until December 20. —Michael, Beverly, Brady, Katherine, Margaret, Geoffrey and Caela

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Chalifour prepares to launch electronic catalogue

LONDON, Ont. — In the new year, dealers will be able to order online with the launch of Chalifour Canada’s new electronic catalogue (ECAT).

Customers of the hardware and LBM distributor, which is part of the TIM-BR MART Group, will have access to the new system when it launches on January 13, 2014. The new ECAT will be an industry-leading tool, claims the company, with improved navigation and searchability, and a complete redesign to improve customer experience. It was first introduced at the Chalifour Buying Expo in early October.

The site’s new features include:

  • The ability to review pending orders, with the option to view details of each order.
  • A tool to allow customers to calculate the total value of their order and confirm the purchase.
  • New printer-friendly invoices and orders.
  • Advanced order management that enables customers to download order details to automatically populate an Excel spreadsheet.
  • A new feedback option throughout the site that allows customers to report a problem quickly.

In addition, the new ECAT will be completely mobile enabled, allowing customers to order from their smart phones and tablets.

“Customer feedback has really helped us shape the development of the new ECAT,” says Bret Walters, general manager of Chalifour Canada. “We’re excited to deliver this new tool that will ultimately help our customers run their own businesses more efficiently by improving and streamlining their ordering process.”

“As a company, TIM-BR MART Group is committed to meeting our customers’ needs and to being easy to do business with,” says TIM-BR MART Group’s new president, Bernie Owens. “The new ECAT reflects this commitment.”

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A World-Class Opportunity

Orgill is looking for Canadian Manufacturers to add to their offering.

Click here for more information.

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Report from China International Hardware Show

SHANGHAI — With five halls representing over one million square feet, the China International Hardware Show drew 38,000 visitors and 2,500 exhibiting companies from November 26-28, and HARDLINES was there to check it out.

The stands by Chinese manufacturers were enormous and elaborate. Jimmy, a sales person for Juba Weld, explained his company’s strategy: it sells welding equipment to developing countries trying to build their manufacturing facilities. Brazil and Southeast Asia are among its best markets, although he says the company is also selling well in Europe.

North American suppliers were rare here, but one familiar brand was Werner Ladder. Kelvin, a Werner sales associate from Hong Kong, pointed out that smaller, thinner ladders are more prevalent in Asia due to the difference in the size of people here. He said Werner was exhibiting among the Chinese companies to reflect the Chinese production of the ladders they displayed, rather than the ladders produced in North America.

European retailers were represented, often by several buyers from each company. BricoAlliance, OBI, Globus, and Kingfisher were all there, while Home Depot and Lowe’s buyers were rumoured to be on the show floor. One of the show organizers noted that Canadian Tire’s Asian team usually comes, as well.

The next edition of CIHS will take place from Sep 18-20, 2014.

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Ply Gem offering expanded lines at Prairie Showcase

Cary, N.C. — Building products supplier Ply Gem will showcase an expanded product portfolio at the Western Retail Lumber Association’s Prairie Showcase , January 22-24 in Saskatoon (booths 346/440).

The move reflects the integration earlier this year of Mitten, which in turn expanded both Ply Gem’s product range and its network of distribution centres. Ply Gem manufactures windows, doors, vinyl siding, and accessories for the new construction, home repair, retail, and remodeling markets in Canada.

Now with more than 35 Ply Gem and Mitten by Ply Gem DCs in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, New Brunswick, Prince Edward Island, Nova Scotia, and Newfoundland and Labrador, customers have access to a wide variety of exterior building products, including windows, doors, vinyl siding, replica stone, fencing, railing, and architectural accents. 

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Softwood production still short of pre-recession levels

OTTAWA — Canadian softwood production rose in 2012, while hardwood lumber production declined 13.2% to 1.3 million cubic metres.

According to a new report by Stats Canada, spruce, pine, and fir accounted for 90% of the nation’s softwood production. British Columbia accounted for more than half of that production (53.5%), while Quebec had just over 20% of the national total, followed by Alberta with 15%.

Even as lumber production rose in 2012, production has yet to return to pre-recession levels. Lumber production hit a record high of 84.8 million cubic metres in 2004, which is 34.1% higher than 2012 levels. Since 2004, lumber production has fallen by 43.1% in Quebec and by 27% in British Columbia. Alberta, up 4%, was the only province of the top three producers to post an increase from 2004 to 2012.

The United States remains the largest importer of Canadian lumber, accounting for 64.6% of lumber exports in 2012. That demand is being fueled by a strong housing market, which is rebounding after tanking during the worldwide recession of 2008-2009.

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U.S. dealers resume investment in growth strategies

While consumer confidence still wavers in Canada, many American retailers are reporting a more positive outlook, which has them focused on growing their business. New research from the Farnsworth Group shows that most of its retail clients this year seem to be re-energized with a fresh attitude of “I’m taking charge” and “I’m going to invest in my future growth.”

The Farnsworth Group specializes in providing market research and strategy consulting to the building supply, home improvement, and hardware products industry.

Just how to accelerate growth seems to be a growing priority for many dealers, as they develop various traditional channels and explore ways to capture a greater share of their existing customers’ wallets. These include opening new locations, acquiring existing businesses, undertaking major remodels, category resets and new product categories, and adding new or unrelated products.

Looking for unique ways to grow, companies are expanding from one type of store strategy to operating different formats in different channels. A good example of this in the U.S. is Lowe’s acquisition of Orchard Supply Hardware stores in California.

Numerous independents are also embarking on multiple format strategies. Building supply dealers are expanding into (or back into) retail. Hardware stores are opening single category specialty stores such as paint and decorating, home organization and more, adds the report. (Closer to home, we can see more and more Home Hardware dealers expanding their businesses with an adjacent Home Furniture outlet.)

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December 2 2013

ARE YOU READING THIS ON YOUR SMART PHONE?CLICK HERE TO CHECK OUT OUR NEW MOBILE EDITION!

December 2, 2013, Volume

xix, #46

“The man who does not read good books has no advantage over the man who can’t read them.” —Mark Twain (American author and humourist, 1835-1910)

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HOLIDAY PUBLISHING SCHEDULE: HARDLINES is published monthly in December, so this is our last issue. We will resume our regular publishing schedule in the New Year, returning January 6. As always, of course, the World Headquarters remain open right up until Dec. 20 … well, maybe late on the 19th. Okay, not that late.

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HARDLINES EXCLUSIVE: BMR CEO talks about La Coop deal

QUEBEC CITY — Groupe BMR and La Coop fédérée have finally confirmed a deal that will combine the home improvement assets of the two companies. However, surprisingly, La Coop will take only a minority interest in BMR, and not, at this time, make an outright acquisition, despite being flush with cash following two solid years of performance, combined with a desire to grow its home improvement retail side.

Nevertheless, the new arrangement enables the two companies to rationalize their buying functions and combine distribution facilities. It has also resulted in putting the leadership of the combined entity under the control of BMR president and CEO Yves Gagnon. He is expected to continue in this role for the next three years.

HARDLINES spoke with Gagnon at his group’s annual hardware buying show, held in Quebec City last month. Although reluctant to say too much more about the deal—at least not until after January 1, when the acquisition goes into effect—he did share some insights.

Branding for the new, combined entity is among the details which remain outstanding. BMR’s nearly 190 dealers fly the BMR banner, while La Coop has been promoting its hardware and home improvement outlets under the Unimat name. “We have to work it out,” says Gagnon. “We have to do the business plan.”

Nor could Gagnon shed much light on the potential merging of buying offices. La Coop is turning to BMR for its expertise in LBM, while “they are strong in hardware,” Gagnon says of his new partner.

La Coop is technically part of the Independent Lumber Dealers Co-operative (ILDC), until January 1. As a matter of good form, he says, the company has agreed to withdraw from that buying group’s vendor negotiations, which take place around this time.

But the two companies are not waiting until the beginning of next year to start learning from each other. A number of Coop dealers were seen walking the BMR show, accompanied by executives, including La Coop CEO Claude Lafleur, “just to see how we do it,” Gagnon said.

Gagnon reiterated that all major decisions are on hold until the first of the year. He does expect lots of changes to take place on the Coop side, as it prepares to merge the two companies and rationalize the distribution centres. “They are two very different cultures.”

Overall, Gagnon admits, “It’s a big challenge.”

(In the latest segment of HTV, our Trusty Editor offers his analysis of the Quebec home improvement market. Click here to view the segment on Hardlines TV)

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A World-Class Opportunity

Orgill is looking for Canadian Manufacturers to add to their offering.

Click here for more information.

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Spotlight on the ORA Winners: Chad Sonnenberg, Young Retailer of the Year

HARDLINES is proud to present the Outstanding Retailer Awards, honouring some of the finest dealers in this country. The awards were given at a Gala Dinner on October 23 during the 18th Annual Hardlines Conference in Toronto. We’ve focused on a different winner each week—concluding this week.

l-r: Robert Boulanger, Key Account Manager for Techniseal, sponsor of the Young Retailer of the Year award; Chad Sonnenberg, RONA Dealer and winner of the award, with his wife Amy; Beverly Allen, publisher of Hardlines, which hosts the Outstanding Retailer Awards; and Lee Harney, Director of Market Development for RONA.

TORONTO — Chad Sonnenberg, the owner of two RONA stores in Northern Ontario, RONA Elliot Lake and RONA Massey, has won the 2013 Outstanding Retailer Award in the category of Young Retailer of the Year.

Sonnenberg was recognized at the Outstanding Retailer Awards Gala Dinner, held this fall during the 18th Annual Hardlines Conference. He was present to accept the award before an audience of retailers and suppliers from across Canada. The Outstanding Retailer Awards have been recognizing and honouring the best in home improvement retailing across Canada for more than two decades. The award was sponsored by Techniseal.

Sonnenburg has built and expanded his business based on exceptional customer service, proving himself a canny marketer while helping his local community. He also invests in training his staff to make them feel part of the team. These qualities made him the 2013 Outstanding Retailer Award winner for Young Retailer Award.

“Chad Sonnenberg impressed the judges with his dedication to hard work and the courage to take chances,” said Michael McLarney, Editor of HARDLINES. “Despite his age, he has grown his business successfully. Chad was buying his second store before many young people buy their first house.”

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Canucks go nuts for Black Friday

SPECIAL REPORT — Canadians may have celebrated their Thanksgiving weekend in October, but they’re catching up with their neighbours in another observance: Black Friday, the notorious day of bargains which follows on the heels of the American holiday. A few short years ago, Black Friday was virtually unknown as a retail event in Canada. Now, thanks to the growth of online shopping, which has no borders, and to the growing field of American retailers in Canada, the occasion is gaining in popularity here.

Target, the latest arrival from the U.S., offered its Canadian customers Black Friday specials in all departments, with some items marked down by as much as half.  Sears Canada promised equally deep savings, which continued through the weekend and ended with special online discounts on “Cyber Monday.”

Without a public holiday here, Canadian Tire got a jump on sales with a “Red Thursday” promotion the day before Black Friday.

While more and more retailers are bringing the experience of Black Friday to Canadians’ own backyards, the day will also remain a popular one for cross-border shoppers. A survey by polling company Acccenture found 60% of respondents still planned to shop in American stores on Friday, either travelling in person to such destinations as Buffalo and Detroit, or online from the comfort of home. Retailers in Canada will have to step up their game if they want to compete seriously with the big price savings in the U.S., Accenture warned.

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Consumers still unsure about spending

TORONTO — Canadian consumers have been experiencing a “slow decline” in confidence, according to the latest Canadian Consumer Confidence Index by TNS Canada.

The overall index fell in August to 94.6 from a high of 97.7. Further decline to 93.3 followed in September before rising slightly to 93.7 in October. TNS cites slow economic growth as the main reason for the slump, offset partly by stock market gains in the same period.

The “Present Situation” index, which measures sentiment about current economic conditions, fell dramatically before leveling out again in October at 96.5, just as Canada signed a key trade agreement with the European Union. The “Expectations” Index, measuring consumers’ six-month outlook, reflected the wider decline, while the “Buy” Index, which tracks enthusiasm for “big ticket” purchases in the present climate, fell from 91.3 in September to 86.6 in October.

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November 25 2013

Hardlines Weekly Newsletter

ARE YOU READING THIS ON YOUR SMART PHONE?
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November 25, 2013, Volume xix, #45

“Let’s dance. Put on your red shoes and dance the blues.”
—David Bowie (British musician and actor, 1947- )

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HOLIDAY PUBLISHING SCHEDULE: HARDLINES is published monthly in December, so we’ll put out an issue on December 2. We will resume our regular publishing schedule in the New Year, returning January 6. As always, of course, the World Headquarters remain open right up until Dec. 20 … well, maybe late on the 19 th. Okay, not that late.

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Lowe’s Canada makes key additions to executive team

TORONTO — Lowe’s Canada has made significant changes to its senior leadership team as it positions itself for continued to growth in this country. The changes, which have been happening over recent months at its corporate office in Toronto, include newly created roles in merchandising and marketing, operations and supply chain, and finance and administration.

Nick Padovano was appointed to the newly created position of head of operations and supply chain. He is responsible for leading the company’s store operations, store support, and supply chain functions. In addition, he will oversee commercial and installed sales, as well as distribution. Most recently, Padovano was senior vice president, store operations at The Bay-Lord & Taylor. Prior to that, he was senior vice president, store operations at HBC-Zellers.

Igor Halencak was appointed to the newly created position of head of merchandising and marketing. He will lead the company’s merchandising and marketing strategies, as well as the planogram facility. Most recently, Halencak was senior vice president, home, hardlines and major appliances at Sears Canada.

Tony Tutolo was appointed to the newly created position of head of finance and administration. In this role, Tutolo is responsible for leading the company’s finance, loss prevention and information technology functions, as well as project management and merchandising support. He brings more than 20 years of experience in risk management, IT, and finance, coming over from the Beer Store.

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A World-Class Opportunity
Orgill is looking for Canadian Manufacturers to add to their offering.
Click here for more information.

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Sexton unites dealers and vendors in San Francisco

WINNIPEG — The Sexton Group held its Member Conference in San Francisco earlier this month, reporting that the event was “a resounding success.”

Sexton members from all areas of Canada attended to share best practices, meet new dealers, and network with vendors. A number of companies from both the dealer and the vendor sides were attending for the first time. “As a new vendor participant, not only was the conference first class in terms of the events and activities, [but] we feel we have greatly enhanced the familiarity of our quality brands and programs—as well as relationships—with the many members in attendance,” said Stuart Mann, a representative from Irwin.

The theme of the four-day conference was “Getting Connected,” which delegates were able to do through a number of formal and informal networking events. The centrepiece of the activities was a trade show which reportedly generated millions of dollars in purchases in just four hours.

“It is satisfying to see a record number of participants from all over Canada,” said Steve Buckle, vice president of Sexton Group Ltd. The buzz of energy and interaction that the compressed four-day schedule encourages is exciting,”

Next year’s event will take place in Nashville, Tenn.

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Lowe’s and Home Depot report gains in third quarter

MOORESVILLE, N.C. & ATLANTA — As the home improvement market rallies in the U.S., those gains were reflected in latest quarterly results of America’s leading home improvement retailers. Lowe’s Cos., the world’s second-largest home improvement retailer, had a 7.3% increase in sales for the third quarter ended November 1, to $13.0 billion. Comp sales for the quarter increased 6.2%. For the nine-month period, sales were $41.8 billion, a 5.8% increase over the same period a year ago, and comparable sales increased 5.1%.

Net earnings for the quarter reached $499 million, up 26.0% over the same period a year ago. For the nine-month period, net earnings increased 18.6% to $1.98 billion.

Lowe’s biggest rival, Home Depot, also reported strong increases. Sales reached $19.5 billion for the third quarter of fiscal 2013, a 7.4% increase from the third quarter of fiscal 2012. Comparable store sales were positive 7.4%, and comp sales for U.S. stores were positive 8.2%. Net earnings for the third quarter were $1.4 billion, or $0.95 per diluted share, compared with net earnings of $947 million, or $0.63 per diluted share, a year ago.

Lowe’s also reported strong results for its stores in Canada. “I am also pleased with our performance in Canada. We have a new leadership team in place and for the second consecutive quarter, they’ve delivered double-digit comps,” said Robert Niblock, Lowe’s chairman, president and CEO, during a conference call to analysts.

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Spotlight on the ORA Winners: Wellington Home Hardware

HARDLINES is proud to present the Outstanding Retailer Awards, honouring some of the finest dealers in this country. The awards were given at a Gala Dinner on October 23 during the 18th Annual Hardlines Conference in Toronto. We’re focusing on a different winner each week—and our congratulations to all the winners!

l-r : Evan Nash, Ted and Donna Nash, and Tom Nash of Wellington Home Hardware, winners of the Marc Robichaud Community Leader Award; Erik Schlaud and Myron Boswell of Orgill, sponsors of the award; and Michael McLarney, Editor of Hardlines, which hosts the awards.(NOTE: High-res photos and writeups of all ORA winners can be found at www.oras.ca.)

TORONTO — Wellington Home Hardware, in Wellington, Ont., has been recognized as one of the country’s best home improvement retailers as the recipient of the 2013 Outstanding Retailer Award. Wellington Home Hardware won the Marc Robichaud Award for Community Leader for 2013.

Three generations of owners, Ted Nash, along with his son Evan and his father Tom, were recognized at the Outstanding Retailer Awards Gala Dinner last month. They accepted the award before an audience of retailers and suppliers from across Canada. The Community Leader Award is named in memory of Marc Robichaud, an innovative dealer and leader in his own community of Meteghan Centre, N.S. Marc died in 2012 of cancer at the age of 36. The award is sponsored by Orgill.

The Nashes embody the philosophy that business, family and community are intertwined. As the go-to destination for everything from tools to tourist needs, their business is more than just a hardware store. This dedication to the community makes Wellington Home Hardware the 2013 Outstanding Retailer Award winner for Marc Robichaud Community Leader.

“Wellington Home Hardware had a terrific story of involvement with their community that went well beyond the norm. The leadership of each member of the Nash family impressed the judges and made them a natural to get the Marc Robichaud Award this year,” said Michael McLarney, Editor of HARDLINES.

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Resumés

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November 18 2013

ARE YOU READING THIS ON YOUR SMART PHONE?
CLICK HERE TO CHECK OUT OUR FANCY NEW MOBILE EDITION!

 

November 11, 2013, Volume xix, #44

“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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RONA sales slip on higher profits

BOUCHERVILLE, Que. — RONA touted its cost-cutting efforts as a success even in the wake of soft results for the third quarter. A net income of $30 million represented a gain from $5.5 million, but a decline from $33.5 million adjusted for one-time costs.

Results felt the impact of reduced sales following the closing of stores over the past several months, and the tightening of its inventory. The company has also been investing in repositioning its Réno-Dépôt stores in Quebec, and buying back assets of some of its independent dealers. Most recently, it announced it is buying the outstanding minority stake in Groupe Coupal Inc., a 99-year-old lumber and building materials store near Montreal. RONA will pay an undisclosed sum to the Doucet family, owners since 1971, for the remaining 49% stake.

CEO Robert Sawyer said the “transaction is fully in line” with RONA’s consolidation goals.

While acknowledging the numbers fell short of expectations, Sawyer held firm to the company’s objective of saving $110 million by the end of the year. With savings amounting to $63 million year-to-date, RONA is on track to meet that goal, he said.

With cash on hand as a result of both its cost-cutting measures and the $214 million sale of its Commercial and Professional Division last month, RONA also announced it would use up to $150 million to buy back up to 10% of its shares.

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Daniel Rioux leaves TIM-BR MART for PrimeSource

CALGARY — Daniel Rioux, , formerly TIM-BR MART Group’s general manager – Quebec and sales manager – Ontario for its Chalifour Canada business, has left the company after five years there. He is heading over to PrimeSource, where he will assume the role of general manager, Quebec, effective November 27. PrimeSource is a U.S.-based building products distributor with Canadian locations in Montreal, Toronto, Winnipeg, Calgary, and Vancouver. (Rioux can be reached at danielrioux@icloud.com.)

Meanwhile, Eddie Durocher, who worked with Rioux out of the Montreal office, has stepped in as interim Quebec general manager of TIM-BR MART Group. Rich Huisman, Chalilfour’s national director of sales, will assume the role of Ontario sales manager until a replacement is named.

The move comes just weeks after the company appointed Bernie Owens as its new president, replacing former CEO Tim Urquhart. Urquhart and his then-EVP and COO, Barb Hopper, both left the company earlier this fall after taking a paid leave of absence. Owens was formerly vice-president of building products manufacturer CertainTeed Canada.

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Orgill to hold second Open to Buy Day for Canadian vendors

MEMPHIS, Tenn. — Orgill, Inc., the U.S. hardlines distributor, will host its second annual Open to Buy Day, January 14, 2014, in Toronto. The event will be open to Canada-based hardlines manufacturers.

Orgill, which has been expanding its reach—and its inventory—in Canada, is already providing home improvement products and retail services to retailers in more than 60 countries. Orgill’s customers represent a broad spectrum of home improvement retail models, ranging from convenience hardware stores to full-service home centres and contractor-oriented dealers.

“We are constantly looking for products to add to our inventory that will meet our customers’ dynamic needs,” says Brett Hammers, Orgill’s senior vice president – merchandising and marketing. “We held our first Open to Buy Day in Canada last year and it proved to be a very worthwhile sourcing endeavour for our buying teams.”

At the next Open to Buy Day in Toronto, senior members of Orgill’s merchandising team will meet with select Canadian manufacturers, evaluate their product lines, and determine vendor partners who will fit into the company’s worldwide distribution offering.

“Our experience at the first Orgill Open to Buy Day last year was excellent,” says Normand Caissie, CEO of Imperial Manufacturing Group, a New Brunswick-based producer of HVAC supplies and building products. “Senior managers from Orgill gave us a short presentation on the history of the company and then we met individually with key stakeholders from different Orgill divisions. A follow up meeting was arranged at their head office and we are now a vendor with inventory in all DCs. Our experience with Orgill has been a very positive one.”

The merchandising team will consider manufacturers that produce a variety of product lines, ranging from plumbing and electrical to hand and power tools. Other categories include: outdoor living, paint and sundries, builders’ hardware, lawn and garden, housewares, lumber and building materials, and automotive.

For more information or to register for Open to Buy Day, click here.

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Spotlight on the ORA Winners: TRU Hardware Breton

HARDLINES is proud to present the Outstanding Retailer Awards, honouring some of the finest dealers in this country. The awards were given at a Gala Dinner on October 23 during the 18th Annual Hardlines Conference in Toronto. We’re focusing on a different winner each week—and our congratulations to all the winners!

Brenda and Larry Fullerton (centre), owners of TRU Hardware Breton; with (from left): Mona Caplan and Sam Russo of Schlage, which sponsored the award; Mark Wilson of Schlage; and Beverly Allen of Hardlines, host of the awards.

TORONTO — TRU Hardware Breton in Breton, Alta., has been recognized as one of the country’s best home improvement retailers as the recipient of the 2013 Outstanding Retailer Award. TRU Hardware Breton won in the category of Best Hardware Store.

TRU Hardware Breton was recognized at the Outstanding Retailer Awards Gala Dinner, held during the 18 th Annual Hardlines Conference in Toronto on October 23. Larry Fullerton and his wife Brenda, the owners of the store, were present to accept the award before an audience of retailers and suppliers from across Canada. The Outstanding Retailer Awards have been recognizing and honouring the best in home improvement retailing across Canada for more than two decades. The award was sponsored by Schlage.

Larry and Brenda Fullerton pride themselves on finding out what their customers need and then searching out the right products. They have dedicated staff and a business mix to meet the needs of their unique customer base and location.

“TRU Hardware Breton is an example of hard work and the courage to take chances—and seeing that hard work pay off,” said Michael McLarney, Editor of HARDLINES. “The owners of Breton TRU Hardware were able to grow their business and successfully diversify in their small town, responding brilliantly to the needs of their local customers.”

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Gradual improvement for Superior’s Construction Products

CALGARY — Following a year of restructuring, the construction products division of Superior Propane reported positive results in its latest quarter, despite fewer Canadian locations after restructuring in 2012.

EBITDA from operations for the third quarter reached $10.1 million compared to $3.6 million in the prior year quarter. Prior year results included $2.7 million in one-time restructuring costs. Excluding the impact of the restructuring costs, results in the third quarter were higher year-over-year due to improved selling prices, sales margins, volumes, and cost reduction initiatives.

Gross profit was also up, due to improved average selling prices and sales margins, and higher sales volumes in the U.S. gypsum sales volumes were up, as improved residential construction activity in the U.S. effectively offset reduced activity in Canada, as a result of a weaker residential market and the impact of a reduction in branch locations after restructuring last year.

Sales volumes were up in areas like commercial and industrial insulation, attributed to sales and marketing initiatives to increase sales. However, gross margins for C&I were down slightly due to pressure on margins in large projects.

Superior expects business conditions for 2014 for its Construction Products Distribution business to improve somewhat in the U.S. commercial market, even as Canadian residential and commercial markets are expected to be more challenging.

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Resumés

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Novemeber 18 2013

Hardlines Weekly Newsletter

ARE YOU READING THIS ON YOUR SMART PHONE?
CLICK HERE TO CHECK OUT OUR FANCY NEW MOBILE EDITION!

 

 

November 11, 2013, Volume xix, #44

“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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RONA sales slip on higher profits

BOUCHERVILLE, Que. — RONA touted its cost-cutting efforts as a success even in the wake of soft results for the third quarter. A net income of $30 million represented a gain from $5.5 million, but a decline from $33.5 million adjusted for one-time costs.

Results felt the impact of reduced sales following the closing of stores over the past several months, and the tightening of its inventory. The company has also been investing in repositioning its Réno-Dépôt stores in Quebec, and buying back assets of some of its independent dealers. Most recently, it announced it is buying the outstanding minority stake in Groupe Coupal Inc., a 99-year-old lumber and building materials store near Montreal. RONA will pay an undisclosed sum to the Doucet family, owners since 1971, for the remaining 49% stake.

CEO Robert Sawyer said the “transaction is fully in line” with RONA’s consolidation goals.

While acknowledging the numbers fell short of expectations, Sawyer held firm to the company’s objective of saving $110 million by the end of the year. With savings amounting to $63 million year-to-date, RONA is on track to meet that goal, he said.

With cash on hand as a result of both its cost-cutting measures and the $214 million sale of its Commercial and Professional Division last month, RONA also announced it would use up to $150 million to buy back up to 10% of its shares.

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Daniel Rioux leaves TIM-BR MART for PrimeSource

CALGARY — Daniel Rioux, , formerly TIM-BR MART Group’s general manager – Quebec and sales manager – Ontario for its Chalifour Canada business, has left the company after five years there. He is heading over to PrimeSource, where he will assume the role of general manager, Quebec, effective November 27. PrimeSource is a U.S.-based building products distributor with Canadian locations in Montreal, Toronto, Winnipeg, Calgary, and Vancouver. (Rioux can be reached at danielrioux@icloud.com.)

Meanwhile, Eddie Durocher, who worked with Rioux out of the Montreal office, has stepped in as interim Quebec general manager of TIM-BR MART Group. Rich Huisman, Chalilfour’s national director of sales, will assume the role of Ontario sales manager until a replacement is named.

The move comes just weeks after the company appointed Bernie Owens as its new president, replacing former CEO Tim Urquhart. Urquhart and his then-EVP and COO, Barb Hopper, both left the company earlier this fall after taking a paid leave of absence. Owens was formerly vice-president of building products manufacturer CertainTeed Canada.

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Orgill to hold second Open to Buy Day for Canadian vendors

MEMPHIS, Tenn. — Orgill, Inc., the U.S. hardlines distributor, will host its second annual Open to Buy Day, January 14, 2014, in Toronto. The event will be open to Canada-based hardlines manufacturers.

Orgill, which has been expanding its reach—and its inventory—in Canada, is already providing home improvement products and retail services to retailers in more than 60 countries. Orgill’s customers represent a broad spectrum of home improvement retail models, ranging from convenience hardware stores to full-service home centres and contractor-oriented dealers.

“We are constantly looking for products to add to our inventory that will meet our customers’ dynamic needs,” says Brett Hammers, Orgill’s senior vice president – merchandising and marketing. “We held our first Open to Buy Day in Canada last year and it proved to be a very worthwhile sourcing endeavour for our buying teams.”

At the next Open to Buy Day in Toronto, senior members of Orgill’s merchandising team will meet with select Canadian manufacturers, evaluate their product lines, and determine vendor partners who will fit into the company’s worldwide distribution offering.

“Our experience at the first Orgill Open to Buy Day last year was excellent,” says Normand Caissie, CEO of Imperial Manufacturing Group, a New Brunswick-based producer of HVAC supplies and building products. “Senior managers from Orgill gave us a short presentation on the history of the company and then we met individually with key stakeholders from different Orgill divisions. A follow up meeting was arranged at their head office and we are now a vendor with inventory in all DCs. Our experience with Orgill has been a very positive one.”

The merchandising team will consider manufacturers that produce a variety of product lines, ranging from plumbing and electrical to hand and power tools. Other categories include: outdoor living, paint and sundries, builders’ hardware, lawn and garden, housewares, lumber and building materials, and automotive.

For more information or to register for Open to Buy Day, click here.

back to top Back to top

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Spotlight on the ORA Winners: TRU Hardware Breton

HARDLINES is proud to present the Outstanding Retailer Awards, honouring some of the finest dealers in this country. The awards were given at a Gala Dinner on October 23 during the 18th Annual Hardlines Conference in Toronto. We’re focusing on a different winner each week—and our congratulations to all the winners!

Brenda and Larry Fullerton (centre), owners of TRU Hardware Breton; with (from left): Mona Caplan and Sam Russo of Schlage, which sponsored the award; Mark Wilson of Schlage; and Beverly Allen of Hardlines, host of the awards.

TORONTO — TRU Hardware Breton in Breton, Alta., has been recognized as one of the country’s best home improvement retailers as the recipient of the 2013 Outstanding Retailer Award. TRU Hardware Breton won in the category of Best Hardware Store.

TRU Hardware Breton was recognized at the Outstanding Retailer Awards Gala Dinner, held during the 18 th Annual Hardlines Conference in Toronto on October 23. Larry Fullerton and his wife Brenda, the owners of the store, were present to accept the award before an audience of retailers and suppliers from across Canada. The Outstanding Retailer Awards have been recognizing and honouring the best in home improvement retailing across Canada for more than two decades. The award was sponsored by Schlage.

Larry and Brenda Fullerton pride themselves on finding out what their customers need and then searching out the right products. They have dedicated staff and a business mix to meet the needs of their unique customer base and location.

“TRU Hardware Breton is an example of hard work and the courage to take chances—and seeing that hard work pay off,” said Michael McLarney, Editor of HARDLINES. “The owners of Breton TRU Hardware were able to grow their business and successfully diversify in their small town, responding brilliantly to the needs of their local customers.”

back to top Back to top

______________________________________________________________________

Gradual improvement for Superior’s Construction Products

CALGARY — Following a year of restructuring, the construction products division of Superior Propane reported positive results in its latest quarter, despite fewer Canadian locations after restructuring in 2012.

EBITDA from operations for the third quarter reached $10.1 million compared to $3.6 million in the prior year quarter. Prior year results included $2.7 million in one-time restructuring costs. Excluding the impact of the restructuring costs, results in the third quarter were higher year-over-year due to improved selling prices, sales margins, volumes, and cost reduction initiatives.

Gross profit was also up, due to improved average selling prices and sales margins, and higher sales volumes in the U.S. gypsum sales volumes were up, as improved residential construction activity in the U.S. effectively offset reduced activity in Canada, as a result of a weaker residential market and the impact of a reduction in branch locations after restructuring last year.

Sales volumes were up in areas like commercial and industrial insulation, attributed to sales and marketing initiatives to increase sales. However, gross margins for C&I were down slightly due to pressure on margins in large projects.

Superior expects business conditions for 2014 for its Construction Products Distribution business to improve somewhat in the U.S. commercial market, even as Canadian residential and commercial markets are expected to be more challenging.

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Resumés

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