September 25, 2017 Volume xxiii, #36

“The human brain is a wonderful organ. It starts to work as soon as you are born and doesn’t stop until you get up to deliver a speech.”
— George Jessel, (American actor and popular toastmaster, 1898-1981)

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RONA and Ace dealers front and centre at latest Lowe’s Buying Show

MONTREAL — Lowe’s Canada held the annual buying show last week for its independent dealers and the event benefitted from solid attendance by both RONA affiliates and the growing number of Ace dealers in Canada.

According to Annick Day, director of wholesale and dealer support for Lowe’s Canada, 87% of the company’s dealer base attended this year, including 71 of the company’s 87 Ace dealers. For many affiliates of the burgeoning Ace banner, this year was their first show. “Only a few Ace dealers from Quebec were here last year, but they’re all here this year―and they’re pretty excited.” No corporate store managers were in attendance at this year’s event, reinforcing that Lowe’s wanted to focus directly on its dealer base at the show.

With some 330 vendors on hand, the show was also the largest in terms of support from suppliers. While some admitted the show felt “a little slow,” more vendors than not shared that it offered a valuable venue for connecting with a range of dealers from across the country in one room.

The show featured some new assortments, including a range of Ace products that will now be available to RONA dealers. These included workwear, toys, sports, fishing and hunting, and agro products. Another notable newcomer to the show floor was a range of large appliances, an important category for Lowe’s big box stores and one that is being introduced into other parts of the Lowe’s store network.

Seasonal products got a lot more space, as well. “This year, it’s huge,” said Day. “A lot of products this year are exclusive to the dealers.” She cited patio sets as an example: while perhaps 10 sets might be featured in a Lowe’s big box, about 30 sets in total are available to independents, depending on their local markets.

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UFA will close Wholesale Sports chain to focus on core agro and fuel businesses



CALGARY — Wholesale Sports Canada Ltd., the sporting goods business owned by United Farmers of Alberta Co-operative Ltd., is going out of business. UFA has announced it will wind down and eventually close all 12 of its retail locations in the four Western Canadian provinces. The inventory liquidation sales began September 15; all stores will be closed by December 28.

In addition, the stores have ceased selling products online.

“This was an all-inclusive business decision that, while difficult, was made in the best interest of UFA on behalf of our members,” said Carol Kitchen, UFA president and CEO. She attributed the decision to factors including “an increasingly competitive environment, the continued shift to online purchases, and an overall slowing of consumer discretionary spending as a whole, including the outdoor industry.” She added that the move will “allow UFA to focus on its core business of agriculture and petroleum.”

However, the move was likely motivated by internal pressures, as well. The acquisition, made in 2008 under the aegis of ex-CEO Dallas Thorsteinson, was never viewed favourably by the members. Thorsteinson was appointed CEO in 2005, moving over from UFA’s Farm Supply division.

Thorsteinson believed outdoor and sporting goods offered a natural fit—and good tie-in with UFA’s retail farm and hardware business—the co-op owns 35 stores under the Farm & Ranch Supply banner. He wanted to offer a wider range of products that might relate to the farm and rural customer.

The division was eventually put in the hands of Home Depot Canada veteran Glenn Bingley, who is currently COO, retail operations.

Founded in 1909, UFA Co-operative Limited is an Alberta-based agricultural co-operative with more than 120,000 member-owners. The co-op has a network of bulk fuel and cardlock petroleum locations, in addition to the Farm & Ranch Supply stores.

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Executive spotlight: Lowe’s Canada CEO to present at Hardlines Conference

WORLD HEADQUARTERS, Toronto — In a matter of a few years, Lowe’s Canada has gone from gradual greenfields expansion to acquiring RONA inc., and now represents the country’s second-largest home improvement business. In the process, Lowe’s had to learn how to operate as a wholesaler as well as a retailer, juggling a range of store formats and ownership models. Today, it comprises everything from corporately-owned big boxes and large regionally dominant RONA outlets to family-owned Ace Hardware stores.

Overseeing all these moving parts is Sylvain Prud’homme, president and CEO of Lowe’s Canada. He joined in 2013 as president, and became CEO in May 2016. He is responsible for driving the Canadian home improvement business for Lowe’s, including RONA’s network of stores and independent dealers operating under other banners.

He will also be our closing speaker at the 22nd annual Hardlines Conference, November 14 to 15. He will share how the company is planning to maintain growth, drive innovation, and manage its multiple banners. Prud’homme has more than 30 years of experience in the Canadian retail industry.

Other speakers presenting at this year’s conference include Rick McNabb, VP of marketing and sales for Home Hardware Stores Ltd.; Doug Anderson, CEO of Peavey Industries; Daniel Lampron, general manager of Quebec-based retail chain Patrick Morin; and Jim Thompson, former COO of Wal-Mart China and former senior executive at Wal-Mart Canada.

The Hardlines Conference, which will play host to some 200 industry dealers, suppliers, and executives, is being held at the Sheraton on the Falls hotel in Niagara Falls, Ont.

(For more information about the 22nd annual Hardlines Conference, click here now!)

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Weeks Home Hardware owner finds efficiencies through local expansion


HAMILTON, Ont. — Weeks Home Hardware had the grand opening for its fourth store earlier this month. The 23,000-square-foot store is the fourth for dealer-owner Ron Ciccutini.

Ciccutini has successfully expanded his business over the years with the addition of stores in smaller communities around the Hamilton area. He opened his first store in nearby Dundas more than 30 years ago. The new Hamilton store is his first ground-up location and features full service departments, a home expressions area, paint and decorating department, and a bath shop.

But his growth trajectory through the years reflects a growing trend among dealers to buy up stores in neighbouring markets. He acquired his second store in 2003 in Brampton, Ont., this time in partnership with fellow dealer Dave Liesemer.

But the acquisition six years ago of Weeks, a well-known Home Hardware store in nearby Waterdown, has been the basis for the latest expansion. The brand-new location sits in a former Target store which had been reduced in size and divided into different retail spaces.

“The key to success was the Waterdown store,” says Ciccutini. That store, just 20 minutes down the highway from his Hamilton stores, had already been marketing and dropping fliers into the area. “It made a lot of sense in terms of opening a new store and consolidating some efficiencies.” Those synergies include centralized retail systems and HR—as well as naming this new store a Weeks Home Hardware, as well.

“The Weeks name has been around for a long time and it does carry some weight,” he says. In fact, he’s considering renaming the Dundas and Brantford stores with the Weeks banner.

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Adrienne Burgess has been appointed to the position of vice president of sales – Canada, reporting to Bill Donaldson, Canadian vice president and general manager, effective October 16. Burgess will now also have a reporting relationship to Marianne Thompson, SVP of sales for North America. Formerly at Taymor Industries, where she served as national sales manager – independent retail, Burgess will now be responsible for continuing to develop Jeld-Wen Canada’s selling team and grow sales. All provincial sales managers and national account managers will report to her in this role.

Michael West has joined Lowe’s Cos. as senior VP of supply chain field operations, reporting to Chief Supply Chain Officer Brent Kirby. West moves to Lowe’s from a similar position at Neiman Marcus. He will lead operations for Lowe’s regional and flatbed distribution centres, millwork facilities, and bulk distribution centres.

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CLASSIFIED ADS

Taymor Industries Ltd. is now recruiting for a National Sales Coordinator for their Retail Channel – located out of their Mississauga location.

Family owned since 1948, Taymor is a leading designer and manufacturer of architectural hardware.

If you would like to receive a detailed job description for this role or have any questions, please submit your request to careers@taymor.com.

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