Hadwarc/Housewarcs Speciallssue Building Prcducts ,,4pPe

LMOST anyone over 40 remembers when the hardware store was the place to buy small appliances, cookware, mixing bowls, gadgets and often dinnerware and serving pieces as well. But in the '50s things began to change. The drug stores, the grocery stores and the discounters became places to shop for housewares. Many hardwares and the new breed of home centers started to deemphasize or ignore the product lines.

Now the National Retail Hardware Association is working to stop the eroding of the housewares business in the do-ityourselfindustry. A program has been developed to revitalize housewares. "Housewares is a home improvement opportunity" has become the slogan for those rallying home centers to the cause.

Support for this statement includes pointing out that over the past 10 years both the housewares industry and the d-iy/hardware industry have grown at an annual compounded rate of ll% But, sales in the houseware category have declined to as low as 3% oftotal sales in home centers. The total d-i-y industry has grown over 165% over the past l0 years while its housewares business has only grown 81% in the same period.

Rick t ambert of the NttHA staff says, "Maybe we all should take another look at housewares before we decide to abandon or de-emphasize the category."

Another look shows several factors in favor of a home centers/housewares relationship. A recent survey shows that women shoppers are increasing in home centers and that in some stores they account for 50% of the shoppers. Housewares is the No. 2 line which they shop, second only to paint and decorating merchandise.

Men also are becoming housewares shoppers. Almost 20% of all men live alone and even among those who live with spouses and families, there is a trend to do more cooking and housework.

"There's a new breed husband shopping today," says Wolf Schmin, president and general manager of Rubbermaid. "With evidence that more males are involved in conventional household chores previously relegated to the female. there is an increasing interest on the part ofthe task sharing husband to obtain goods and to develop better defined opinions about the quality of goods for the home."

The start ofthe second baby boom generation is another positive factor favoring housewares growth, according to Schmitt. Parents with children are considered more home centered and are among the best customers for housewares.

Stores commifted to housewares or interested in pursuing them as a profit center, should evaluate their capability of providing the optimum housewares product mix for their current customer base and for those they would like to attract, Schmitt recommends. Proper space utilization means higher turns. better margins and good return on investment.

Suppliers are valuable for helping with assortment planning. he points out. Although the product mix depends upon the target group identified by the store, there are products which have been identified as selling well in home centers. Household organizers, trash cans and waste baskets, small electrical appliances. microwave cookware, cookware, bakeware. gadgets and bathroom accessories are successful in most stores. Many find that giftware and accessories if merchandised properly are good selling items.

Promotion is important. Schmitt suggests that "you carry an eve4rday price on tu.o thirds of your offerings while prornoting one-third to build traffic among your targeted customers." Products to be promoted should be selected to draw the types of customers you rlant.

Quality is a consideration. he adds. Most customers want quality and are willing to pay a linle more for it. Quality is often more profitable to the merchant than inexpensive inferior merchandise. Maximizing shelf productivity is essential. Schmin suggests thal the merchandising objective should be to prwide the optimum produd mix with strong cye appeal to best display and move'rolume. Merchandising for maximum impulse sales, using promotion end caps. is strategic. Merchandising by category is also important with sections derroted to ilems which have appeal for argeted custonrrs. Advertising can create consumer demand and pull nelv cusorners into a store. Schmitt says. Pick out products which will draw the people you want to reach and take a deep cut on those items. Special flyen or ads can be themed to a particular market area. For example. a "what every bachelor needs in his kirchen" or "timesavers for the working woman" sales.

Ifyou survey your market, identify your customers and dwelop a pro{3ram to meet their needs. housewares can bring new sales and new money to your store. Schmin concludes.

Story at a Glance

Home centens urged to consader housewareopportunities... demographics change market... experts offer merchandisi ng advice...Hardware show and Great American Hardware Sale join in revitalization effort.

Housewares manufaclurers have joined the National Reail Hardware Association in the push to revitalize the housewares section of the home center industry. lambert speaks for both groups when he says "Enough retailers are experiencing good sales and profits to convince us that the right combination of basic housewares. merchandise selection, retail display. pricing and promotion can produce very acceptable resuls.. ." Horne ccnters. too. can be part ofthis experience.

As part of the emphasis program. housewares were stressed at the August National Hardware Show and will be included among items spotlighted in the annual Great Fall Hardware Sale sponsored by the National Retail Hardware Association. Oct. l-31.