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TECH TIPS & TRENDS IN LBM WESTERN WOODS SPECIAL ISSUE JANUARY 2011
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Special Features 9 INDUSTRY TRENDS HYBRID SITES ADD SOCIAL MEDIA
10 FEATURE STORY GET DIALED IN TO THE BUSINESS ADVANTAGES OF SMARTPHONES
12 PRODUCT SPOTLIGHT NATURAL BARK SIDING
14 COMPETITIVE INTELLIGENCE LUMBER & MILLWORK DEALER GOES GREEN TO GROW
22 FAMILY BUSINESS USING MODERN COMMUNICATIONS
26 SPECIAL SECTION: WESTERN WOODS UPDATE ON WESTERN PRODUCTION, EXPORTS & OPPORTUNITIES
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In Every Issue 6 TOTALLY RANDOM 16 OLSEN ON SALES 18 GREEN RETAILING 24 MOVERS & SHAKERS 38 OVER THE COUNTER 42 KAHLE ON SALES 44 NEW PRODUCTS 49 IN MEMORIAM 50 ASSOCIATION UPDATE 50 BUSINESS CARD ADS 52 CLASSIFIED MARKETPLACE 53 DATE BOOK 54 IDEA FILE 54 ADVERTISERS INDEX
January 2011
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TOTALLY Random By Alan Oakes
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4500 Campus Dr., Ste. 480, Newport Beach, CA 92660
F
I do love a good whine!
IRST, I HOPE YOU HAD a Merry Christmas and a happy holiday, and I wish you a healthy and successful New Year. Let’s hope that at some point in 2011 will be the kick-off to the turnaround we are all waiting for. As I wrote last month, I am seeing more optimism, but remain cautious. I have never been one to make resolutions, since I know there is a fat chance of keeping to them, especially any involving weight loss. I have put on about 2 lbs. a year since joining the industry 10 years ago. Like everyone, as I get older, it is harder and harder to take it or keep it off. So my big first resolution is that I am not going to put those 2 lbs. on this year! Big deal, you may say, but now my second: I shall try to not eat that candy at my desk three or four times a day, I will not eat those cakes at lunchtime, and I will moderate all the free drinks I am offered during the year. Okay, on second thought, as I said, fat chance. But it was reading an article out of the U.K. that has really made me think twice for 2011. It turns out in a recent survey that Britain is a nation of moaners (as I was born there, I guess I qualify). Research showed that the average adult complains four times a day and spends about nine minutes a day doing it. So by extrapolation, the average Brit has 1,400 gripes a year and spends 53 hours a year complaining and whining. Government annoys 50% of the population, 52% complain about money worries, and 58% complain about household tasks. TV and the cost of goods get 65% grumbling at least once a week. Monday is the worst day (which is why I have always found Mondays to be the worst sales day). Now, if they are a nation of moaners, what about the U.S.? Frankly, after the last few years, it is probably just as well that the survey was not taken here, as I suspect the percentages would be even higher. Wouldn’t, for example, government and money concerns be in the 90-percentage range? I find myself complaining more than I have ever done in my life. I just cannot stand some of the so-called advances today. All those companies who state their customer service is the best should be on the other end of a call one day. Like the call centers where you are hold for an hour and can never get a straight answer, or the health insurance companies (I have been fighting one for four months now for a measly $200, which has cost them about eight hours of labor so far), or the myriad places that give you misleading information. You know what I mean. Everything seems a hassle today. You have to fight for everything. And, I have found the only way to get things resolved is moan, moan some more, and moan again, and maybe, just maybe, you might get some attention. Indeed I think I am becoming a professional moaner, which confirms I still have my British genes—not jeans, as they do not fit any more! But I am going to change! I am going to become calmer, take everything in stride, and let it all flow over my head. I am going to become kinder, gentler and more tolerant. But on second thought, why should I? I have decided there is nothing better to get it out of your system than having a good moan. But, perhaps 2011 will give us a little less to moan about.
Alan Oakes, Publisher ajoakes@aol.com
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The Merchant Magazine January 2011
Publisher Alan Oakes ajoakes@aol.com
Publisher Emeritus David Cutler
Director of Editorial & Production David Koenig dkoenig@building-products.com Editor Karen Debats kdebats@building-products.com
Contributing Editors Dwight Curran, Carla Waldemar, James Olsen, Jay Tompt, Mike Dandridge Advertising Sales Manager Chuck Casey ccasey@building-products.com
Administration Director/Secretary Marie Oakes mfpoakes@aol.com Circulation Manager Heather Kelly hkelly@building-products.com
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CLASSIFIED David Koenig Phone (949) 852-1990 Fax 949-852-0231 dkoenig@building-products.com
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INDUSTRY Trends Builder Community Websites
Hybrid sites use social media to hook builders
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SITES SUCH AS BuilderLink provide tools to help businesses thrive, while also providing space for interaction and networking.
Mark Zuckerberg once remarked about his own sprawling creation: “It’s not done, and we don’t know what we’re doing yet.” Faced with the task of figuring out how to make social media work for our businesses, we in the construction industry might be thinking: If he doesn’t know, how are we supposed to? Sites like Facebook, Twitter and YouTube are fueling a social-media revolution. Ninety million tweets and two billion YouTube videos watched per day… more than half a billion Facebook users around the globe… the numbers are staggering. The conversation is big and loud. But is there any value for the building community? Second-hand promotion is one tactic. Many companies use social media as an inexpensive marketing tool to reach large audiences with minimal investment. This can be as simple as setting up a profile and attracting a following of friends, clients and colleagues. Yet, passive promotional strategies rarely offer the clearly measured deliverables craved by the hammer-in-hand, old-school audience. “There is a generation gap,” explains Leah Thayer, publisher and editor of daily5Remodel, an online publication for remodeling professionals. “Social media is a fast, interactive communication channel that many business owners in our industry aren’t inclined to keep pace with.” Undaunted, Thayer, formerly an editor at Remodeling, created daily5 as a one-stop digital resource for her core professional audience. It’s an online destination for news and updates that matter to the remodeling crowd, from young, tech-savvy newcomers to veteran tradespeople. So, it saves time. Now we’re talking about tangible benACEBOOK FOUNDER
efits that transcend generation gaps. Other industry-related sites are getting in on the action, combining Web 2.0 functionality with back-to-basics builder sensibility. BuilderLink is an online community of builders, lumberyards and manufacturers who aren’t necessarily posting pictures of their pets, but they are taking care of business. On the site, more than 1,000 builders are gathering technical data and getting real-time estimates on lumber and building materials, lumberyards are creating new channels of access to their customers, and manufacturers are reaching a whole new focused, web-based audience. And they’re all gathering in one place. So is that social media? “With a twist,” explains BuilderLink president Steve Killgore. “There’s a social media function, but BuilderLink is really based on tools that offer time- and money-saving value. Within the context of an online community, we’re supporting lumberyards with the estimating tool, offering a technical library with product specifications and tech guides, and giving a platform for webinars on relevant industry topics.” About this hybrid form of social and business mediums, Killgore lauds “the possibility of increased efficiency,” which, tech wiz or not, is something for which everyone in the building industry is still striving. The social-media universe will no doubt continue its rapid evolution, as the early adopters break away from the Facebook and Twitter masses to offer industry-focused content and tools. If these new hybrid players can offer the promised efficiencies of information and transactions, the benefits of the union between social media and the building sector just got a whole lot easier to measure.
Network with Builders
A sampling of construction-related web destinations with social-media functionality:
BuilderLink (www.builderlink.com) Online tools connecting lumberyards, builders, engineers and manufacturers. Cadreas (cadreas.com) Web-based platform to unite consumers and home design professionals. Daily5Remodel (daily5remodel.com) Online info hub for remodeling industry professionals. Hard Hat City (hardhatcity.com) Professional networking site for construction industry members. My Online Toolbox (myonlinetoolbox.com) Platform to help contractors manage their jobs and businesses. Remodel Crazy (remodelcrazy.com) Ongoing dialogue of blogs, news and chatter from the remodeling world.
FEATURE Story By Ford Saeks
Use smartphones to energize your business
I
Alexander Graham Bell that one day his invention would evolve into a device that could turn your lights on and off, he would have taken your temperature with a mercury thermometer, which incidentally, in 1876, hadn’t changed much in over 100 years. Remember when cell phones first emerged? Chances are, you were just as cynical as Mr. Bell. You probably made that first call with a furrowed brow, skeptical to the possibility it promised. You were certain that your call wouldn’t connect, or at the very least your voice would be overridden by static. Like the rest of us, your bulky cordless phone had conditioned you to only walk within a certain range to avoid disconnect. Then you made that first call… from an oversized bag-type cell phone and—shazam—how cool was it to have the umbilical cord of your landline cut and the freedom to connect anywhere in cell-phone range? What started as a must-have device that didn’t tie you down has morphed F SOMEONE HAD TOLD
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The Merchant Magazine January 2011
into a texting, tweeting, multi-tasking productivity, and entertainment gadget that offers a wide range of possibilities for you and your business. The lightning-speed advancement of the smartphone has left many companies scrambling to keep up with the technology and new opportunities. According to ComScore, 45 million smartphones are now active just in the U.S. Like social media, they are the new wave of communication and the only place they are going is into the hands of more and more consumers. So, how can you capitalize on the growing popularity of this new technology? Here are four things you can start doing today to increase brand awareness, build relationships and grow your business: 1. Use text message advertising 2. Create a smartphone app 3. Make your website smartphonecompatible 4. Engage mobile customers via social networks
Text Message Advertising
More people now use their mobile phones for texting, rather than making a phone call. Plus, most users have it attached to their hip, figuratively speaking. Imagine the impact of advertising to your target market via SMS (Short Message Service) text message: you have the opportunity to get their attention, anytime, anywhere. Smart marketers get creative with these campaigns and often include a chance for the recipient to win something by responding to the text. Other ideas include mobile coupons, event invitations, mobile alerts, and special promotions. SMS text marketing works for virtually any industry, is relatively inexpensive, and allows creation of highly targeted campaigns. The first step in launching a text-messaging campaign is to find a company that provides sub-
scriber lists and can distribute your ads. Search your favorite search engine for “mobile marketing,” “SMS text marketing,” or “SMS advertising,” and you’ll get plenty of options.
Create a Smartphone App
Like most things, smartphone apps have been created to solve a problem, increase productivity, offer an intrinsic benefit, or for pure entertainment. Apple’s iPhone store alone has more than 150,000 apps available for download and users have downloaded more than 3 billion apps. The HTC and Motorola Droid (a.k.a, Android phones) also have millions of users and offer thousands of apps. You don’t need to be a member of the geek squad to capitalize on this trend; all you need is an idea for an app. There are plenty of companies who can help you develop an app to sell or to offer for free. A word of caution: do your due diligence and check the developer’s references to ensure your intellectual property and ideas are protected. If your app can solve a problem (i.e., the Jott app records voice messages and converts them to text messages), then you’re on the right track. If you own a smartphone, think about your favorite apps and how you heard about them. Most likely you heard about them from a friend. Viral wordof-mouth marketing is why popular apps can grow in use so fast with virtually little marketing expense.
Make Your Website Smartphone Compatible
The Internet is going mobile. Have you visited your website using a smartphone? What type of user experience did you get? If you want to gain a competitive advantage over your competition, your brand needs to be as mobile as your customer. Your customers and prospects don’t have the Building-Products.com
patience to view websites on their phone that aren’t user-friendly. Start by viewing your current website on a smartphone or iPad. If you haven’t designed a mobile-specific site, it probably won’t look the same. Text is smaller, graphics may not show up, and you have to scroll up, down, left or right to view content. You’ll get much more targeted traffic and improved conversions if you create a mobile-enabled version of your site’s main content to meet the demands of today’s multifaceted Internet mobile user. Creating the mobile version of your
Smartphone Brands
Apple iPhone BlackBerry Bold, Curve, Storm, Tour Dell Aero, Venue Pro HTC Desire, Droid, EVO, Fuze, Hero, Pure, Snap, LG
Surround, Tilt
Arena, Dare, eXpo, Incite, Neon, Optimus, Prime, Rumor, Vu Plus, Xenon
HP/Palm iPAQ, Pixi, Pre, Treo Huawei Ascend Motorola Charm, Cliq, DEFY, Evoke, Flipside, i1, Milestone
Nokia Surge Samsung Acclaim, Behold, Blackjack, Caliber,
Captivate, Code, Craft, Delve, Epic, Eternity, Exec, Fascinate, Flight, Focus, Gravity, Highlight, Impression, Instinct, Intercept, Intrepid, Jack, Mesmerize, Mythic, Omni, Propel, Reality, Seek, Solstice, Transform, Vibrant
Pantech Ease, Laser, Pursuit Sanyo Incognito, Innuendo, ZIO Sharp FX Sony Ericsson Xperio T-Mobile Comet, MyTouch
website’s content from a layman’s point of view requires reformatting the navigation, text and graphics to fit the smaller screen size of smartphones. The files are then published on your web server, and special code is added to your regular website to identify the type of device accessing your website. When a user visits, the appropriate version of your site is displayed. It’s a good idea to provide links from your mobile version to your full site.
Engage Mobile Customers with Social Networks
If you’re not friending and following, tweeting and YouTubing, you’re missing out on a lucrative opportunity to connect and engage with your target market. Social networking has leveled the playing field; it’s no longer just the companies with an over-inflated ad budget who can make waves. If you learn to add value and create a presence on websites like LinkedIn, Facebook and Twitter, you can expand your reach, increase awareness of your brand, and create a loyal following of customers who will help promote you. Research shows that more people access social media via smartphones than with their desktop computers. People who access the Internet with their smartphones are more likely to socialize online than their desktop counterparts, according to a Ruder Finn study. The study found 91% of mobile Web users socialize online, while just 79% of desktop users can say the same. The average American spends 2.7 hours a day on the mobile Web, the study found, with 45% of
those users commenting on social networking sites and 43% contacting with friends through the sites. Imagine the impact you can have when your customers can view your YouTube videos anytime they want using their smartphones. Just think of the effect a viral video could have on your business success. This can only happen if you create and upload the videos to content sharing websites like YouTube or Vimeo. There are hundreds of video-sharing websites, but start with YouTube since it’s the second largest search engine. Keep your videos short, authentic and to the point. If you have a larger message, you may want to break it down to shorter segments as user’s attention spans have shortened.
Don’t Wait… Make Your Brand Mobile
Not only is mobile marketing a great way to gain and connect with new customers, it also enables you to add value for your current customers. By making your brand mobile, you will increase awareness about your company, products and services. The future of your business is in the palm of your hands, and in the handheld devices of your customers and prospects around the world. If you aren’t on board already, make sure you jump on—or you and your business will surely get left behind.
– Ford Saeks, a business growth expert specializing in integrated marketing and social media campaigns, is a speaker, author and c.e.o. of Prime Concepts Group (www.primeconcepts.com).
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January 2011 The Merchant Magazine
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PRODUCT Spotlight Poplar Bark Siding
Bark hopes to take bite out of siding market For a tree, bark acts like a suit of armor, protecting it against extreme weather and insect attack. Consequently, a small but growing market has surfaced for siding made of bark, to provide similar protection to homes. The Merchant Magazine asked Patrick Parton, bark siding specialist at hardwood manufacturer Parton Lumber Co., Rutherford, N.C., for a rundown on the bark siding market:
The Merchant Is this a new trend, or has bark siding been around for a while? Parton Actually, bark siding has been around for more than 500 years, dating back to the North American Indians. Modern use of bark, however, began in the mid-1800s. The original tree of choice for bark siding was the chestnut. So, with the decline of the chestnut tree went the decline of chestnut bark siding. Later, in the 20th Century, another suitable species was identified—yellow tulip poplar. Found throughout the eastern U.S., yellow poplar has many of the same—and some would say better— cladding qualities as chestnut. With the switch to poplar, bark siding is making a comeback. How is it used? Typically bark siding is used as full siding on the building or as an accent on various areas such as dormers or
Weatherability then must be its strongest selling point? Poplar bark siding is extremely rugged and durable. Houses 75 years old exist that still have the original bark siding intact. Remember, bark is a non-living, protective covering for trees, comparable to a human fingernail. Its weather surface lasts the lifetime of the tree. In addition, bark siding is kiln-dried to reduce moisture content, further increasing its strength and long-term integrity and reducing the chance of shrinking, cracking, staining and decaying.
Photos by Parton Bark Siding
Does bark siding needed to be treated with preservatives or sealant? No, it’s naturally weather resistant. Bark siding doesn’t require sealants, chemicals or preservatives, meaning there are no additives to potentially seep into the ground.
NATURAL BARK provides a rustic, weather-resistant siding material.
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gables. This gives the structure a durable, tough and visually appealing exterior cladding, as well as a unique rustic appearance. It is generally installed over housewrap and roofing underlayment, with only a few simple tools. Bark siding can also be used inside the home, as paneling. Bark shingle thickness ranges from 1/4” to 9/16” for interior application, and 5/8” to 1-3/8” for exterior. Bark outside this range is rejected. A minimum thickness of 5/8” makes it better able to withstand harsh weather conditions. Shingles come 18” and 24” long. The width of the shingles varies randomly between 4” to 18”, but can be recut.
The Merchant Magazine January 2011
Is bark siding resistant to insects? Yes. The kiln drying process ensures that insects and Building-Products.com
their eggs are killed when the wood is heated above 130 degrees, especially at high humidity. Also, bark does not attract carpenter bees or termites.
How much does it cost, relative to other siding materials? The bark is expensive to acquire and process, so bark siding will cost more than, say, vinyl or hardboard. But when you take into consideration that it is maintenance free, will last the lifetime of the home, and provides that distinctive look, the cost becomes quite reasonable.
What are the prospects for growth in the bark siding market? Can its popularity grow beyond Appalachia? The fact that poplar bark is a beautiful, resilient and renewable siding material makes it appealing to individuals in all parts of the country. Since it is such a versatile material, it can be used in both residential and commercial applications. With the growing consumer demand for sustainably harvested wood products and eco-friendly building materials, the market for bark siding shows a lot of potential for growth. In addition, an increase in demand for bark siding would help make it a more affordable option— meaning buyers would get ‘more bang for their bark.’
Bark Siding Manufacturers Barkclad Natural Products Canton, N.C. www.poplarbarksiding.com (distributed in West by Bridger Forest Products, Belgrade, Mt.) Everhart Lumber Co. Tellico Plains, Tn. everhart-lumber.com
Furniss Enterprises Lake Toxaway, N.C. www.naturalbarksiding.com
Hardin Creek Boone, N.C. www.hardincreekmillwork.com Highland Craftsmen Spruce Pine, N.C. barkhouse.com
Parton Lumber Rutherford, N.C. www.partonbarksiding.com Building-Products.com
January 2011 The Merchant Magazine
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COMPETITIVE Intelligence By Carla Waldemar
Virginia’s Better Living gets better yet
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L IVING I NC ., Charlottesville, Va., was saluted last year with a Governor’s Environmental Excellence award for its new, eco-forward millwork shop. Most often, in outfits that have been going since 1893—the year the original lumber company was founded—it’s tradition that’s trumpeted. So why lead the vanguard—why take the pains—to become the first LEED-certified building in central Virginia, instead of simply glorying in the good old days? “It just made sense,” says president John Nunley, the fourth generation of his family to lead the company, in his gentle, no-big-deal Virginia accent. Well, “sense” is what Better Living (formerly Charlottesville Lumber) has employed all along. So, it seems, we’re looking at tradition after all. John’s father, Richard, demonstrated his own brand of forward-thinking by purchasing (gasp!) a forklift way back in 1958, then presenting his ETTER
unwitting boss (and father-in-law) with the bill. In 1960 he went on to open a furniture store as a sideline. It’s still going strong. Richard also guided the company, his son, John recounts, in opening a second building center in 2007, located 30 minutes distant, to capture further market share. Today that vanguard forklift has grown to a versatile delivery fleet of 40 vehicles, all painted the same distinctive green-and-yellow colors and sporting the company’s logos on both doors as free advertising as the company keeps on trucking forward. To justify the new “green” millwork shop was a no-brainer, according to John’s mode of thinking: “We’ve been in business since 1893 and plan to be around a whole lot longer.” Thus, a solar-assisted heating system that will pay back after five years. An 80,000-gallon water storage tank under the parking lot that collects rainwater (“With so much sawdust,
FOLLOW THE FLEET: Virginia dealer has built its delivery service up to 40 multi-purpose vehicles.
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The Merchant Magazine January 2011
we’ve got to think of fire retardation”). In addition, low, or no, VOC materials were employed in its construction, and over 92% of building debris was recycled. Do Better Living’s customers, 85% of whom are pros, give a rip? Maybe they ought to. “It’s the trend of the future,” John declares. Looking ahead is a huge part of what’s helped Better Living grow from its three original employees to a current staff of 110. “We watch trends through a very good group of managers heading our four departments: building supplies, cabinets, the door/mill shop and furniture. Each department is run as its own profit center by those managers, who foresee and meet market demands—by reading, attending shows, and seeking out customer feedback,” says their boss. Keeping abreast of technological innovations as well, five years ago Better Living adopted a delivery/dispatch software model with GPS that allows the sales department to track trucks; each driver is equipped with a mobile communications device as well. A recent decision to update its electronic network now assures that everyone is on the same page (well, screen). Managers, schooled to sell addons, take advantage of those weekly meetings to report on jobs they’re quoting as a nudge to other departments to get in on the bid and snare the whole package—the stairs man passing on leads to the lumber guy, and so on. In an even more robust marketing strategy, if a contractor is known to shop at Rival X for a certain item, he’s likely to be visited by a Better Living salesperson who can demonstrate why his company’s simiBuilding-Products.com
lar product is more efficient, cheaper, a better choice. These folks check building and remodeling permits on a weekly basis, then set out to woo those builders with insights on superior customer service (the company had developed and built many homes and commercial buildings on its own for years, so they demonstrate they can walk the talk.) As well as guaranteeing adept delivery, they set forth how they can deliver on their promise of easy, one-stop shopping—for Better Living not only has added millwork to its dance card, but the Nunleys also own Better Living Components, maker of wall panels and trusses. And for its customers’ customers—the home owners themselves—its design department gladly hand-holds prospective buyers through 3-D computerized demos of their options, from trusses down to cabinets. Add in the furniture line in a third, adjacent location, and folks are ready to move right in. “Furniture sells better in the opposite cycles, when home construction doesn’t,” notes John, who keeps eggs in several baskets. (“Except this time,” he groans.) Better Living recruits d-i-y devotees through “advertising that explains our products and promotes confidence in shopping here,” says marketing manager Pat Mete, who
EACH of four departments—door/mill shop, cabinets, building supplies, and furniture—is run as its own profit center.
also heads the furniture store. Traditionally, she has chosen a mix of radio, print and TV to convey the company’s message, but when faced with budget cutbacks imposed by the recession, she decided to focus solely on print, explaining, “By shifting dollars to a single media source, we were able to increase buying power and exposure while lowering our overall advertising expenses—and it’s working effectively. Because of our longstanding support of public television, however, we continue to underwrite Home Time, a targeted home-renovation program.” The company also actively updates its website, www.betterlivingvirginia.com, as a customer resource for product and service info as well as to spur the more warmand-fuzzy hometown connections fostered by sharing the history of a committed, fourth-generation family business. It also adds modestly stated insight into the huge impact on local quality of life its charitable giving program has effected. The Better Living Foundation, launched in 1988, focuses on education and feeding the hungry, John reports. But beyond donations ($313,000 in 2008 was typical), he and employees volunteer their time as well. “The commuBuilding-Products.com
nity made us successful, so we want to give back,” John explains. Contractors are reached, and rewarded, with programs of their own, beginning with imprinted give-aways like carpenter pencils, sweatshirts and hats, chosen not only for quality but to convey a specific message. For instance, says Pat Mete, “Our mill shop wanted to bring attention to its onsite measuring service for stair systems, so ‘Better Living…We Measure’ was imprinted on the pencils.” The company regularly hosts appreciation events such as barbecues, in-store trade shows, golf tournaments, and outings that range from football games to concerts. But Mete doesn’t simply toss tickets at anyone who wields a hammer. “Each social event is well-planned,” Mete insists. “We would never just throw something together because the quality of the experience should reflect the quality of our business and the respect we have for those who trust us with their business,” she emphasizes. In hiring employees, John places prime importance on a strong work ethic, unearthed by “putting a lot of time into our interviewing process.” Once on board, they receive cross-training to insure a backup for every position, as well as ongoing education in new products, including emphasis on the growing ‘green’ movement to which Better Living is committed. And why do these staffers stick around? “Because we care about them!” John responds. “We’re very conscious of putting the shoe on the other foot in the way we handle things. And my door,” he likes to stress, “is always open.” Facing up to today’s Slim-Fast economy, John has eliminated slow-moving SKUs from the company’s diet. He’s also curtailed overtime and bundled deliveries by geographical route. Prices are kept in line by shopping the competitors (“unfortunately, they are many”), and utility bills are pared by dimming lights and lowering thermostats in off-hours. Every little bit helps the bottom line. But the big switch—focusing on remodelers—is what’s keeping Better Living alive and kicking in these troubled times. Fortunately, there’s a little gravy at the high end, too. “If people have the money, now is a great time to build, while labor costs are low and materials can be had at very competitive prices,” John underscores. Looking ahead, 2011 will be no picnic: “Rough,” he intones: “Pretty flat. But things should get better by 2012, when we get out from under the blanket.” In the meantime, calling on both his MBA and OTJ training (He’s clocked time in the family yard since he turned 13), John, by his own admission, is “always looking for ways to improve the processes and the equipment—finding efficiencies and passing those savings on to the customer”—which means moving forward with everything from new software to greening his corner of the world, because he’s in it for the long run. “Never a dull moment, and that’s what I love about the business: our employees, our customers, visiting the jobsites—it’s all about the people!” Carla Waldemar cwaldemar@comcast.net January 2011 The Merchant Magazine
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OLSEN On Sales By James Olsen
Tough is not enough
Our customers don’t know how we are selling. They do know and feel how we act. If we act proud of what we do, they will buy more. Underachieving sellers are ashamed. They talk and carry themselves in a way that screams second-class citizen. Life is a mirror, so these salespeople are treated poorly and blame it on the customer.
I
N THE MOVIE Pretty Baby, Clint Eastwood plays a wizened boxing trainer who has seen it all and more than he’d like. He has a sign over his office door: “Tough Is Not Enough.” Later in the movie, Clint explains, “Show me a kid with nothin’ but heart, and I’ll show you a kid who’s ready to take a beating.” Many struggling sellers are hard working and honest, stand behind their products 100%, and offer a good product mix, great service, and competitive pricing. Many think this is enough. It’s just the sit-down money. There are high stakes poker games where all you need is the money it takes to sit down. The less you know, the better. There are “different” and “secret” rules that the professional player of any activity knows that the amateur does not.
Rule 1: Pareto’s Cruel Truth: If there are 10 salespeople in any territory, two of them are getting 80% of the business. What are the top two doing differently than the other eight? The bottom 80% are: • Information dispensers: They give the customer anything they ask for, but don’t ask for anything in return. • Product presenters: They are knowledgeable about product and are glad to talk to potential customers about specifications, about anything—except purchasing. • Service agents: Service is a sub-set of sales. The bottom 80% think they can service their way to the top of a sales business. Master sellers sell and service their accounts. Rule 2: Be Proud to Be a Salesperson. The difference between the top and the bottom is pride. The top 20% are proud to be salespeople. The bottom 80% are ashamed. They don’t like salespeople. How can you compete against someone who loves themselves and what they do, when you hate yourself and what you do?
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The Merchant Magazine January 2011
Rule 3: Prospect. The top 20% prospect for new business all the time. The bottom 80% prospect when times are tough. Too late! Master sellers make prospecting an ongoing part of their business. Minimum 10%, that’s one full day every two weeks. We do it and our business grows—guaranteed.
Rule 4: Promote, Don’t Quote. If we are asking customers what they need after the needs analysis step in the sales process—master sellers are thorough and meticulous in this step—then we are in the bottom 80%. The top 20% offer products and solutions. They ask lots of questions, listen for pain, and then prescribe a solution(s). We cannot have a good life as sellers if we chase customer inquiry/RFQ. Customer desires are too diverse and frivolous to chase. We must uncover customer need and sell to that need. Rule 5: Ask More Often. The bottom 80% are waiting for the magic phrase that will change their sales lives. Working with a group of new sellers, I had Donnie, a master seller, come into class to show them how it was done. Donnie is self proclaimed “Mr. Wonderful.” (Another characteristic of many master sellers—they live in their own dream world.) Donnie is not smooth. He is not artful. He does not have the magic turn-of-phrase that makes customers buy. He is positive and he is persistent. Donnie asks for the order—a lot. The biggest “technical” sales difference between the master producer and the rest: The top 20% ask for the order and ask more often. I repeat, they ask more often. The underlying psychology: Master sellers understand that the basics are just that—basics. Tough is not enough. Master sellers add the element that makes all the difference: salesmanship. James Olsen Reality Sales Training (503) 544-3572 james@realitysalestraining.com
Building-Products.com
GREEN Retailing By Jay Tompt
Taking the long view
“I
N THE LONG RUN, we’ll all be dead.” That unfortunate utterance from a now-dead economist has provided a handy excuse for shortsighted business planners focused only on extracting the maximum profit from the here and now. That kind of thinking is responsible for many business failures, yes, but also many environmental problems more daunting even than the federal deficit. Failure to consider the future implications of decisions made today virtually guarantees a legacy of difficulty and hardship for the next generation. Taking the long view, on the other hand, is at the heart of green thinking. Therefore, this January, I encourage you to forget about 2011’s top trends for a moment and invest some quality time considering the next decade, and the opportunities and threats it will present to your business and community. The best place to start is at the end—what will your business look like in 2020? Has it been passed down to your children? Acquired, shut down or thriving with you securely at the helm? Is it connected to the same old supply chain? Is the local economy vibrant and strong, or struggling along? Most importantly, what do you want your business to look like and what sort of realistic scenarios will lead you there? To answer these questions, one must first consider the long-term forces reshaping our industry. The next decade will see plenty of change and probably as many surprises as the last. Obviously, green building is on its way to becoming the new normal. Whether it’s LEED or another approach, it creates new opportunities for growth. Transport fuel prices are trending higher with the very real possibility that periodic episodes of price volatility will devastate marginal businesses. Households, businesses, and governments will continue to shift purchasing
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The Merchant Magazine January 2011
to less toxic and more eco-efficient products from socially responsible producers. Competition between “big box” chains and independent dealers will continue, with increasing activism from localization groups. The green d-i-y and urban agriculture movements will continue to take root across the country. And a host of global and domestic macroeconomic factors will attenuate or amplify these opportunities and threats. But underlying whatever scenario one wants to envision for the next 10 years, there is the inescapable reality that the global climate system is changing, most likely due to human activity. The last decade was the warmest on record, but more important to consider are the local and regional impacts. Extreme weather is becoming more common. NASA has published a slideshow depicting the number of temperature anomalies each decade going back to 1880 (earthobservatory.nasa.gov/features/worldofchange/). The trend is unmistakable, which should be cause for concern, especially in the context of the massively destructive heat wave that hit Russia last summer. Regional climate patterns are changing in ways that dealers and distributors should understand and anticipate. The U.S. Global Change Research Program (www.globalchange.gov) provides useful analysis for each region of the country. Depending on your location, expect more drought, more fires, more floods, more heat waves and cold snaps, and more precipitation when it comes. And when these “anomalies” occur, they will probably be at the wrong time, disrupting water supplies, agricultural harvests, supply chain logistics, and more. These broad trends suggest that merchandising and business model innovations will be required to sustain a successful business. Households, businesses and governments will be forced to invest in mitigation and adaptation strategies. Dealers will, too. But the long-term planners among them will be prepared to weather whatever the decade has in store, with solutions that will help their customers and communities, too. Jay Tompt Managing Partner William Verde & Associates (415) 321-0848 info@williamverde.com
Building-Products.com
DEALER Briefs
Hutchison Lumber has closed its store in Fairplay, Co., and Bryan Hutchison has stepped down as president. Matt Morrow will oversee the remaining yards, in Pine Junction and Florissant, Co., as general mgr. Former Fairplay yard mgr. Bill Kelz may expand his new business, South Park Stove & Solar, to sell windows, doors and some lumber.
ProBuild’s TimberROOTS , Butte, Mt., is now distributing LiteSteel beams throughout Montana. Channel Islands Do It Best Hardware, Port Hueneme, Ca., has
BMC Finds New Denver Home
BMC West is moving its two-acre distribution yard in Denver, Co., to a larger, 10-acre site. “This property substantially expands our capacity for lumber and building materials in one facility that is strategically located,” said c.e.o. Peter Alexander. “The size and location of the lumberyard was a critical factor in our decision as it is very scalable, and we can easily meet the demand for our customers on time and on budget.” The leased facility, set to open in first quarter 2011, will be overseen by
Doug Whiting, area operations manager for Colorado, and serve as a hub for distribution of all LBM in the state.
EcoBlu Unveils Own Formula
EcoBlu Products, Vista, Ca., has discontinued offering Bluwood mold treatment and instead has developed a proprietary line of non-toxic lumber treatments to protect against fire, mold and wood-ingesting insects. Utilizing advanced polymer technology, the SubSurfaceFilm antimicrobial wood protection formula includes fire resistance as a standard feature.
added a new store in Carpinteria, Ca. (Don Johnson, assistant mgr.), and a kitchen design center/showroom in Ventura, Ca.
Ace Hardware , Everett, Wa., was opened Dec. 7 by Judith Moratti (Sonia Mills, assistant mgr.).
Home Depot is negotiating with city officials to build a new store in San Juan Capistrano, Ca. The chain expects to open 10 new stores in 2011.
Lowe’s opened new 94,000-sq. ft. home centers Dec. 27 in Covina, Ca. (Jim Phillip, store mgr.), and Sonora, Ca. (Heather Farris, mgr.). The chain also purchased 11 acres in Fairfield, Ca., for a 139,000-sq. ft. store; received planning commission approval to build a 153,000-sq. ft. store in Thousand Oaks, Ca.; is waiting to move to a site in Poway, Ca., currently occupied by a car dealership; is wrangling for economic incentives from the city of Salinas, Ca., to build a store to anchor a proposed 200,000-sq. ft. shopping center, and is scouting sites in Union Gap, Wa., for a 120,000-sq. unit. Habitat for Humanity relocated its ReStore discount LBM outlet in Durango, Co., to larger, 8,000-sq. ft. quarters and moved its HabiStore in Tucson, Az., Jan. 5 to a bigger, 18,000sq. ft. home.
Stone+Wood Outlet added its fourth retail store in Portland, Or.
Door to Door Store , Wenatchee, Wa., has relocated after 23 years from a millwork shop to a 1,500sq. ft. showroom. Building-Products.com
LP® SmartSide® Trim & Siding products offer the beauty of cedar with the advantages of engineered wood. That means consistent boards with no knots or voids. An industry-leading warranty that provides a 5-year, 100% labor and replacement feature and a 50-Year Prorated Limited Warranty on the substrate. And our proprietary SmartGuard® process that ensures LP SmartSide products resist fungal decay and termite damage. LP SmartSide Trim & Siding. All the advantages you need. Distributed By
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January 2011 The Merchant Magazine
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ProBuild Closes 20 Facilities
Swanson Group has laid off about 100 workers—half the workforce—at its plywood plant in Springfield, Or., with hopes to return to full production in the spring.
ProBuild, Denver, Co., has shuttered 18 facilities—half of them in the West—with two more closures yet to be announced. According to a company spokesperson, ProBuild is aligning its business with current market needs by closing facilities in markets where customer demand no longer requires multiple locations or where market demand does not exist. Some facilities were consolidated with nearby locations, while others are being mothballed in hopes of quickly reopening once the construction market improves. In the West, closures included
lumberyards in Newberg, Or.; Sequim, Wa.; Sacramento, Ca.; Cottonwood, Az., and Orem, Ut.; a home center in Poway, Ca.; framing plant in Auburn, Wa., and truss plants in Phoenix, Az., and National City, Ca. Also closing were lumberyards in Jackson, Wi., and North Charlotte, N.C.; lumberyard with gypsum and millwork plants in Jacksonville, Fl.; framing/gypsum facility in Augusta, Ga.; millwork/window shop in Gainesville, Va.; components plant in Franklin, Tn.; gypsum facility in Easton, Md., and truss plants in Waldorf, Md., and Dry Ridge, Ky.
Canfor , Vancouver, B.C., will spend $120 million this year to upgrade its mills and another $5 million for maintenance.
Trex Co. has entered into a licensing agreement with CurveIt LLC, Castle Rock, Co., to market a device for heating and bending composite decking, railing and trim on the jobsite. Trex CustomCurve bends all varieties of Trex products and features adjustable legs to simplify on-site lev-
eling. The lightweight unit can be transported easily between jobsites and no specialized crew is required for operation. As the first on-site board-bending system made exclusively for contractors, it can achieve a 10-ft. radius and accommodates 8-ft. board lengths.
SUPPLIER Briefs
Redwood Empire , San Jose, Ca., purchased the former Piedmont Lumber facility in Calpella, Ca.
No word on its plans for the 18-acre site, but it is expected to complement sister operations, including Pacific
States Plywood, Pacific States Treating, Redwood Empire Sawmills, and Redwood Empire
distribution operations.
Premier Building Systems, Tacoma, Wa., has moved operations from its plant in Phoenix, Az., to a plant in Dixon, Ca., run by its parent company, Insulfoam. Its operations in Fife, Wa., will relocate later this year to Insulfoam’s plant in Tacoma.
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The Merchant Magazine January 2011
Trex Throws Contractors a Curve
Building-Products.com
the time Ace was selling franchises to appeared the whole thing was going first year. The co-op also allegedly them, it wasfurther trying alleges to convert when we got here. It took us about 45 told the investors that if they built said fire battalion chief Steve Sabo. “It generate positive cash flows in the The lawsuit thatfrom at an owner-cooperative a privately minutes get it under fourco-op stores also at once and contin-the time appeared thetowhole thing control.” was going firstthree year.orThe allegedly Ace was sellingtofranchises to held with offeranpublic Thegotfacility been closed45since toldued dozens along the Interstate when we here. Ithas took us about the with investors that if they built them,corporation it was trying to intent converttofrom SUPPLIER Briefs stock. record caused the roof to col- three74orNext corridor and the Quad-City area, minutes to snowfall get it under control.” four stores at once and continowner-cooperative to a privately held month, 82-year-old Sears it business has declined enough that plaintiffs argue that Ace lapse last year. Damage could make tens millions An unidentified 50-year-old worker ued they The facility has been closedestimates since with dozens along the of Interstate with to offer public Trostel Lumber & Millwork will con- ofcorporation makesThe sense to intent consolidate into one was tryingsotowe increase were available. dollars. atnot Lassen Forest Products record snowfall caused the roof to col-, Red 74 corridor the Quad-City area, solidateand its two Fort Collins, Co., stock. location can stillsales serve of ourboth cus- franchises and inventory to enhance The plaintiffs claim they repeatedly Bluff,year. Ca., was killed Nov. 10 when he they operations. tomers well and consolidate lapse last Damage estimates could make tens of millions of The plaintiffs argue that Ace and was the likelihood of a public offering. Canfor Cautious with Restarts notified Ace about the poor perforinto a wood chipper. fell reduce expenses a were not available. dollars. Sears Trostel is relocating its retail trying to our increase salesand of just bothhave franIn addition naming Despite higher U.S. lumber prices The mance of lumberyard their franchises and and to the sitedemandof its chises operation for thetoto future.” store betterand plaintiffs claim they repeatedly inventory enhance the Ace Exterior Wood Inc .,itsWashougal, Hardware as defendant, the lawsuit and growing demand wood in notified ed assistance, the corporation millwork facility.but The plant’s ware- likelihood The move is aexpected to reduce Ace about the poor perforCanfor Cautious with for Restarts of a public offering. Wa.,Canfor has entered thebe redwood market, house and manufacturing building are overhead by 20% and eliminate the Ace also names two men who China, won’t restarting its “turned a deaf ear” and demanded Despite higher U.S. lumber prices mance of their franchises and demandIn addition to naming sold Ace with distribution out of its new warebeing remodeled to make room. need for more layoffs, after cutting franchises, as well as several directors four shuttered B.C. sawmills any time they pay back the money it had and growing demand for its wood in ed assistance, but the corporation Hardware as a defendant, the lawsuit house in Newark, Ca. According Curt also eight jobs year. will also and vicelast presidents of Ace. soon. advanced to them. China, Canfor won’t be restarting its “turned a deaf ear” toand owner demanded names two menIt who soldallow Ace Viehmeyer, “The construction industhe retail store to showcase more “WeAll-Coast areB.C. not going to beany in atime rush to they pay back the money it had four shuttered sawmills franchises, as well as several directors Forest Products try is down 40 to 60% across the mouldings and expedite the growth of startwill up distribute a mill because thedecking marketprodhas advanced soon. to them. and vice presidents of Ace. Nova Batu board from a few years ago, and our its online store. spiked it going has Nova right saidWood presi“We areas notfrom to benow,” in a rush to ucts USA “We would have to startdent up Products aJim millShepard. because the Or., market , Portland, from has its facilseeassustainable recovery in presithe marspiked it in has rightCa., now,” said ities Chino, and Englewood, Co. would entertain dentkets Jim before Shepard.we“We would have to any Humboldt up ofrecovery any of Redwood our see starting sustainable inoperations.” the mar-Co ., Scotia,we Ca., agreed to pay $330,000 to Canfor’s 2009 shipments toany China kets before would entertain settle more than $4 million in fines from were up 40% over 2008, and now repstarting up of any of our operations.” water quality violations by bankrupt resent 7-8% of the company’s total Canfor’s 2009 shipments to itsChina predecessor, Pacific Lumber Co lumber production. “The market were up 40% over 2008, and now rep- . in China is now starting to recognize the resent 7-8% of the company’s Ainsworth , Vancouver, total B.C., has advantageous qualities of Forestry SFPinlumlumber production. “The market earned Sustainable ber,” said Shepard. China isInitiative now starting to recognize certification at itsthe three advantageous qualities of SFP lumCanadian mills. All Ainsworth wood Store Suechain-ofAce ber,”Bitter said Shepard. products areOwners now available Investors whounder own Ace Geo. M. Huff Lumber Company custody certified SFI three and PEFC . Hardware “Vision 21”toAce stores in Bitter Store Owners Sue Ainsworth also agreed acquire the hasGeo. teamed up with Forest M. Huff Lumber Co.Grove has Illinois have filed ainterest lawsuit Investors who three Ace the remaining 50%own inagainst Footner Geo. M. Huff Lumber Company Lumber to become the exclusive teamed up with Forest Grove and its OSBin mill in Forest Products co-op, claiming that larger stores Hardware “Vision 21”the stores has teamed up with Forest Grove Southern High from joint venture Lumber toCalifornia become thestocking exclusive failed to Level, produce promised profits. Illinois have filed aAlb., lawsuit against thepartLumber to become the exclusive ner Grant Forest . are distributor of Tru-Dry Timbers. co-op, Stores claiming that theinProducts larger stores included the lawsuit Southern California stocking Southern California stocking failed to produce promised profits. Silvis Ace Hardware, Silvis; Hilltop distributor of Tru-Dry Timbers. Jefferson Forest Stores included in Rock theState lawsuit are and distributor of Tru-Dry Timbers. Ace Hardware, Island, is relocating production Products All FGL Tru-Dry timbers are Silvis Ace Hardware, Silvis; Hilltop from Hayfork, Ca., to Grants Pass, Or. All Tru-Dry timbers Ace Hardware, Rock Island, and driedFGL in “HeatWave USA’sare RFV” All FGL Tru-Dry timbers are dried in “HeatWave USA’s RFV” AbitibiBowater emerged from kilns, which use clean, renewable kilns, which use clean, renewable dried in “HeatWave RFV” Chapter 11 bankruptcy. energy and have USA’s zero emissions. energy anduse have zerorenewable emissions. kilns, which clean, Tru-Drytimbers timbers dried comCMI’s CraftMaster doors have areare dried energyTru-Dry and have zero emissions. been certified for pre-consumer recypletely and evenly throughout so completely and evenly throughTru-Dry timbers are dried comcled wood content by SCS. yousowon’t experience the sticky out you won’t experience the pletely and evenly throughout so problems oftenoften encountered MoistureShield’s new DeckLife sticky problems encoun- with you won’t experience the sticky Village Hardware, Champaign. onlineAce design tool is free from www. beams that are not to the core. tered with beams thatdried are not The moistureshield.com/deck-design-tools. first two stores opened in 2006 problems often encountered with dried to the core. Combine selection Village Ace Hardware, and closed earlier thisChampaign. year. The phone beams that are notour dried to theof core. Combine our selection of with our Thewas first recently two stores opened in 2006 Douglas fir timbers along disconnected at the Paper giant Domtar Corp ., Combine our selection of and Champaign closed earlierP.Q., this isyear. Theopened phone Montreal, completely out of the Douglas fir timbers along store, which in skilled milling staff andwith you’ve got Douglas fir timbers along with our was2007. recently disconnected at the lumber business, after selling its 12% our skilled milling staff and one of the best resources in shareplaintiffs in E ACOM Timber Corp ., Champaign store, which opened inAce The allege that skilled milling staff and you’ve got you’ve got one of the best Southern California. Vancouver, B.C., forOak $24 million. 2007. Hardware Corp., Brook, Il., oneresources of the best in in resources Southern California. The plaintiffs that Ace induced them to allege invest millions of dolSouthern California. Columbia Forest Products Hardware Corp., land Oak Brook, Il., and lars to purchase and construct was awarded the Healthy Home checkinduced them tonew invest millions of dolstock the stores—which were mark from Green Parents’ List for its lars designed to purchase land and construct and to compete with larger home PureBond hardwood plywood. stock the new stores—which were improvement stores such as Home HUFF COMPANY HUFFLUMBER LUMBER COMPANY designed to compete with larger home Depot, Parr Menards, and Lowe’s. SANTA FE SPRINGS, CALIFORNIA Lumber , Chino, Ca., has SANTA FE SPRINGS, CALIFORNIA improvement stores such as Home According lawsuit, Ace launched a to newthe website at www. 800-347-4833 HUFF LUMBER COMPANY 800-347-4833 Depot, Menards, Lowe’s. parrlumberchino.com. promised thatand it had tested and proven SANTA FE SPRINGS, CALIFORNIA According to the lawsuit, Ace the concept and the new stores would 800-347-4833 promised that it had tested and proven Building-Products.com January 2011 The Merchant Magazine 21 the concept and the new stores would
Coloradoʼs Sears Trostel Consolidates
Old World Craftsmanship Old In OldWorld WToday’s orldCraftsmanship CrafDesigns tsmanship InInToday’s Today’sDesigns Designs
Tru-Dry T r u D r y Tru-Dry Timbers Timbers Timbers e g r La
Building-Products.com
n i y r o t n e v n I
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March 2010 The Merchant Magazine
33
FAMILY Business By Stephanie Brun de Pontet
Modern family business communication A
for modern communication has radically changed over the past decade, there have been countless articles and opinions offered on how to best reach your audience, in particular a younger audience. A whole new set of communication verbs and nouns have emerged in our vocabulary: “blogging,” “social networking,” “Web 2.0,” and “tweeting,” that testify to the changing landscape of information delivery. Yet, while we clearly need to understand how to use these new vehicles of information delivery, there seems to be less thought or discussion around what we are actually saying to one another. What seems to have been lost in the discussion about medium is some renewed thought on the message. Message is particularly important in a family business. “Who we are, and what we stand for” is often the key differentiator and competitive advantage of a family enterprise. As you think about the message you are crafting for your customers, ensure that no matter what platform you use to communicate—the essence of who you are—is not lost in translation. This is not to suggest that your business identity needs to stay stuck in the age of the dinosaur. Family business brands and identities (like those of any company) do well to evolve and stay current with the times. However, if your clients perceive value in the personal touch of your company, you want to be sure that any new communication platform you embrace will not take that away S THE PLATFORM
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The Merchant Magazine January 2011
from your customer’s experience. The point is not to get so distracted by the rush to jump onto the latest platform, or message system, that the communication you put out there is inauthentic to your business. In addition to communicating with customers, families that are in business together need to communicate with one another on a regular basis— and many are making use of more contemporary methods. Increasingly, we see families setting up Facebook pages or Yahoo groups to share information and encourage the involvement of the younger generation. Some families have set up blogs to journal a family member’s or the company’s activities. While one could imagine how more channels of communication might facilitate the flow of information, it is also true that these additional channels can provide more opportunities for miscommunication—especially if they are used to deliver the wrong message. Given the emotional load of both business and family issues, communication is a struggle for many family Building-Products.com
enterprises. Even just on family matters, different communication norms (for example, notions of confidentiality) that might be found between the generations is a source of problems. In fact, poor communication is the undoing of many otherwise strong family businesses—and has often also spelled the demise of family unity. Yet, the worst kind of communication is no communication, so this represents a challenge. We want to maximize the flow of information and communication, but we must be mindful of communicating in a productive and healthy manner. What to do?
Assume good intentions. Language is limited, not matter what the platform. When you are reading or listening to communication from a family member, assume they mean well and not harm. Not everyone is a skilled communicator and it is easy to be misunderstood, so it is important to actively seek the most positive spin you can put on a communication.
Be straightforward. No one likes to feel someone is trying to keep important information away from them—and the younger generation is particularly sensitive to this. If there is information you cannot share, or that should not be communicated through a particular medium, simply state this and explain why. It is reasonable to indicate that financial results should not be shared via email (who knows where that information can end up?), but you must then clarify how or when this information will be made available.
Understand the protocol. Different platforms of communication have different norms. For example, if you use CAPITAL letters in an email, the norm says you are yelling. Be sure that when you use a given communication tool you have good knowledge of how your message can be interpreted on this platform. Be authentic. This comes back to the flavor of the message. When communicating with clients, ensure the personality of your business is shining through, no matter what platform you use. Have tone fit the message. When communicating with family, the tone of the message should vary depending on the content you are communicating. There are some messages that should be delivered with a sense of Building-Products.com
professionalism: information about the company, minutes from a board meeting, etc. But when communicating about the annual family BBQ, the message should not be formal or it will be experienced as cold.
Clarify norms and expectations. It is important that everyone who will receive a communication understand what they are expected to do or not do with this information. If a reply or response is required, the family should establish norms around how fast responses are expected. Some people feel a three-day delay is fine, whereas others perceive anything longer than 24 hours as rude. Likewise, when information is sensitive, or should not be shared with others, it is important to explicitly clarify (especially to the younger generation) what this means.
Don’t sacrifice the human touch. While modern technologies can allow us to feel more connected, and certainly can facilitate the frequency of communication, electronic platforms should never replace face-to-face interactions. If you work down the hallway from your sister, walk over there to chat rather than send an email every time. Do not get let electronic communication take the place of regular family meetings, shared vacations, or other opportunities to more deeply reconnect with your family. The challenge of modern communication is another example of the tension between the old and the new. We want to be able to stay current and embrace new technologies in ways that will be to our advantage. But we need to be mindful of valued traditions and the older ways of doing things, which may continue to have some currency and should not be discarded lightly. The close connections of family are a vital ingredient in family business success. While you should embrace all the communication technologies that will help you in the business, don’t let these technologies damage the positive family feeling for your clients or your family!
– Stephanie Brun de Pontet is a consultant at the Family Business Consulting Group, Marietta, Ga.; (800) 551-0633. She can be reached at brundepontetat@ efamilybusiness.com. Reprinted with permission from The Family Business Advisor, a copyrighted publication of Family Enterprise Publishers. No portion of this article may be reproduced without permission of Family Enterprise Publishers.
January 2011 The Merchant Magazine 23
MOVERS & Shakers Steve Mitchell has been promoted to general mgr. of operations at Universal Forest Products, Riverside, Ca. Jerry Hahn, ex-Diablo Timber, has been named director of sales & purchasing for Hardware Hawaii, based at the store in Mapunapuna (Oahu), Hi. William Corbin, ex-Weyerhaeuser, and Manco Snapp, ex-International Paper, have been elected to the board of managers of Bridgewell Resources, Tigard, Or. Rick Fortunaso is now general mgr. of Interfor’s North American whitewood sales. He is based in Bellingham, Wa. Dale Schenstrom is operations mgr. at the new Lowe’s Home Improvement Center in Sonora, Ca. Jay Umphrey has joined E.T. Horn Co., La Mirada, Ca., as senior account mgr. for the coatings & building materials group. Tom Such now handles the equipment maintenance program at The Beck Group, Portland, Or.
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The Merchant Magazine January 2011
Allen Ravas has been named chief administrative officer and a board member at Orchard Supply Hardware, San Jose, Ca. OSH has hired a national search firm to find a new president and c.e.o. to replace Robert M. Lynch, who resigned to become president and chief operating officer of Lumber Liquidators, Toano, Va. Kevin Wentz is mgr. of the new Lowe’s Home Improvement Center in Vallejo, Ca. Mark Muus, ex-Arizona Tile, has joined Stone Source, as regional sales mgr. for the West Coast. Jamie Kutzer has been promoted to president of exterior products for the western division of Allied Building Products Corp. Greg Bloom is now chief sales & marketing officer. Chuck Dana has been named group president-building materials for Owens Corning, replacing Karel Czanderna, who has resigned. Arnaud Genis succeeds Dana as group president-composites.
Kevin Horsnell has been named chief operating officer for Conifex Timber, Vancouver, B.C. Robert Young, ex-Briggs & Stratton Corp., has joined True Value Co., as divisional v.p. for the paint, hardware and tool departments. Charles W. “Nick” Canter, executive v.p.-merchandising, Lowe’s Cos., retires March 4 after 36 years with the chain. Doug Hoal is the new landscaping specialist at Mungus-Fungus Forest Products, Climax, Nv., report co-owners Hugh Mungus and Freddy Fungus. Correction: Craig Evans did not leave Learned Lumber, El Segundo, Ca., as incorrectly reported last month. Correction: In last month’s photo coverage of NAWLA Traders Market, Denise Robinson, Sunset Moulding, Yuba City, Ca., was incorrectly referred to as Denise Morrison.
Building-Products.com
Berkeley Dealer Expands
Ashby Lumber, Berkeley, Ca., plans to expand its location in Concord, Ca., onto a neighboring property and build two new buildings, totaling 13,000-sq. ft., to house its milling operation and door and window warehouse. “When we put in the store in 2002, we didn’t really expect it to be quite the success it was,” said Rick Kelley, who is manager of the location in Berkeley and will oversee the expansion in Concord. “We’ve been pretty steady all the way through the years.”
Murphy Restarts Rogue River Plywood Mill
Murphy Co., Eugene, Or., reopened the former Panel Products plywood mill in Rogue River, Or., Dec. 13, after almost a year of renovations and repairs. “We’re excited about getting this facility back up and running and being a part again of the Jackson County economy,” said John Murphy Jr., who oversees the company’s interests in southern Oregon. “It’s nice to see a few sprockets being turned over.” Most of the machinery in the mill had to be upgraded or replaced, and a new lunchroom has replaced an opensided, tin-roofed building formerly used. Duane Prazoo, who has worked at Murphy for more than 26 years, oversees plant operations. Murphy said that the biggest challenge for the mill is getting enough raw materials. Oregon’s 2009 timber harvest was the lowest since the Great Depression, and 2010 was probably about the same. “We’re not getting enough trees,” he said. Murphy Co., which celebrated its 100th anniversary in 2009, also owns a hardwood plywood plant in Eugene, veneer mills in White City and Elma, Wa., and an engineered lumber facility in Sutherlin, Or.
Fortune Brands to Spin Off Home Products
Fortune Brands, Deerfield, Il., will spin off its home and security products division, to focus on its liquor unit. Home and security brands include Moen faucets, Aristokraft, Omega, Diamond and Kitchen Craft cabinets, Therma-Tru doors, Simonton windows, Master Lock security products, and Waterloo storage products. Building-Products.com
January 2011 The Merchant Magazine
25
WESTERN WOODS
Western mills make difficult adjustments
T
HE TWO-PLUS-YEAR collapse in the residential construction market has forced sawmills in the West to make difficult adjustments to stay strong. Most have cut shifts or mothballed facilities, hoping to ride out the storm. The key to survival has been recognizing the coming challenges and adjusting quickly. “We’re heavy to retail, so we identified where the market was heading early on and rightsized to fit,” said Steve Schmitt, v.p.-marketing, Stimson Lumber, Portland, Or. “Eighteen months to two years ago, we reduced production by more than 50%. We’ve also worked with the crews in our mills to enhance productivity and remove obstacles and bottlenecks. We made our moves early on, because the we’re the first product put in the home, not the last.” The reductions were implemented in such a way that if the log-to-lumber price ratio improves, Schmitt said Stimson “could add hours at any and all of our facilities.” Plum Creek Timber Co., Seattle, Wa., has closed two sawmills and idled its stud plant in Kalispell, Mt. Operational facilities have cut overhead dramatically, to the point where the same millwrights who operate the machinery also repair it if there’s a breakdown. A goal for Collins Cos., Portland, Or., has been to keep all facilities running, despite having to reduce the workforce. “It’s a blessing for us that we are family owned,” said Kevin Paldino, v.p.-sales & marketing. “We make decisions for the right reasons and we are very nimble, which isn’t always the case with a large, publicly traded company. We are more long-term thinking.” With hard work and creativity, said Paldino, “our manufacturing facilities are producing more footage per man hour on a reduced-shift schedule than when they were running full tilt. Our hardboard plant in Klamath Falls, Or., can now produce almost as much on two shifts, five days a week, as it did when it ran 24/7. The mills are always looking for ways to cut costs and increase productivity.” Productivity is also up on the sales side, in part thanks to Collins’ IT department. Orders can be written on the road from anywhere, even using a hotel’s computer. In addition, Paldino said, “everyone carries an iPhone. And when we’re out of the office, our business calls are forwarded to us. We can be reached virtually any time, anywhere, so that while the mills may not run 24/7, the sales department does.” Other sawmills have adjusted product mixes. Sierra Pacific Industries, Anderson, Ca., is retooling its sawmill in Sonora, Ca., shuttered since 2009, to accept a broader
26
The Merchant Magazine January 2011
array of log sizes. SPI hopes to restart the mill in May with 130 workers. Last May, SPI cut a shift at its large-log mill in Quincy, Ca., and restarted Quincy’s small-log mill, which had been idle for a year. The switch resulted in a net gain of 35 jobs. “We are in it for the long run,” said SPI’s Mark Pawlicki. “We anticipate the market will come back.” Trinity River Lumber Co. is preparing to restart its sawmill in Weaverville, Ca., which was destroyed by fire 16 months ago. During the rebuild, Trinity River has been working out of the former Siller Brothers Sound Stud Mill in Anderson, Ca. Weaverville will reopen with up to 70 workers—50 fewer than it had before the fire, but considerably more than the 40 now in Anderson. “It will take some time to get the bugs out of it totally, and we will not be jumping into two shifts immediately,” said general manager Dee Sanders. Swanson Group, Glendale, Or., was winding down production at its Glendale sawmill at the end of last summer, when a 20-million-bd.-ft., eleventh-hour order from China allowed the facility to fire back up—at least into January. John Stembridge, v.p.-sales & distribution, realizes that export sales aren’t a permanent solution. Residential construction will continue to dictate western mills’ prosperity. “It’s the same (customer) base, only shrinking,” he said. Mills that can hang on until a turnaround should be the stronger for it. Said one lumber manager: “Like many other companies, we were a bit fat from the good times, and this downturn forced us on a harsh diet. In the long run, we’ll be a better competitor for it.” Building-Products.com
WESTERN WOODS
Sawmills hope slow recovery gains momentum
T
HE HOLE THE LUMBER industry plunged into in 2008 and 2009 will take some time to climb out of, with many mills starting that long journey back this past year. Lumber markets hit the lowest level in modern history in 2009, according to Western Wood Products Association. Lumber demand totaled just 31.3 billion bd. ft., the lowest annual volume since WWPA began tracking statistics in the 1940s. Production at western mills plunged to 10.39 billion bd. ft., a new industry low and down almost half from the 19.3 billion bd. ft. produced five years previously. Any recovery for the wood products industry will be dependent on housing. However, based on 2010 activity, it appears housing construction will come back much slower than in previous recessions as the country struggles with foreclosures and financial changes. The 554,000 housing starts in 2009 was the lowest in a half century. More construction was seen in 2010, but it’s
expected that only about 600,000 new houses will be built for the year. The anemic construction activity is reflected in production statistics. Western mills increased production just 6% in 2010, to just above 11 billion bd. ft. In the South, mill output matched 2009 totals of 11.7 billion ft. Import volumes fell more sharply than domestic production. After reaching a record 24.7 billion ft. in 2005, imports plummeted to 8.86 billion ft. in 2009. Canada, which supplies most of the lumber imports to the U.S., began increasing shipments in mid2010 and was expected to finish the year up nearly 10%. In contrast, Europe—which five years ago sold nearly 2 billion bd. ft. to American customers—shipped just over 100 million ft. to U.S. destinations in 2010. Exports, particularly shipments to the Far East, have been a bright spot for many mills. China has emerged as a key export market, with U.S. shipments more than doubling in 2010 to total some 120 million bd. ft. Business (Please turn to page 32)
Malheur
Lumber Co.
QUALITY PONDEROSA PINE
FSC CHAIN-OF-CUSTODY CERTIFIED SCS-COC-002883
Douglas Fir, Larch & White Fir Products
Contact Art Andrews (541) 575-1148 Fax 541-575-2512 Email: art.andrews@centurytel.net
28
The Merchant Magazine January 2011
New Grading Rulebook
One of the lumber industry’s most recognizable books, WWPA Western Lumber Grading Rules, has been revised for 2011. The distinctive “brown book” details lumber grading rules covering all commercially available western species, including Douglas fir, hem-fir, ponderosa pine, and western cedars. The 2011 edition includes all approved grading rule changes since the previous edition, published in 2005. Essential for anyone making, selling or using western lumber, the book lists grades for nearly all products produced by sawmills. This includes framing lumber, joists/planks, timbers, common boards, shop, selects and special products such as MSR lumber. Each grade lists the characteristics and limiting provisions as well as the standard sizes. All grading rules are approved by American Lumber Standard Committee’s board of review. The book is $10 each from www2.wwpa.org. Building-Products.com
WESTERN WOODS By Craig Larsen, Softwood Export Council
Western softwood shipments rise to international markets T
HE INTERNATIONAL MARKETPLACE
for U.S.-produced softwood lumber is one of the few lumber markets that have continued to grow over the past few years. As recently as 2005, during the height of the U.S. housing market, international markets dropped to $449 million and 76,424,000 bd. ft. By 2008 the market had climbed to $584 million, $372 million from western species and 86,814,000 bd. ft. After a small retreat in 2009, exports for 2010 were 51% ahead and expected to top the 2008 figures, climbing to $600 million. Western species have done well the past few years. Douglas fir has climbed from $58 million in 2005 to $156 million (29% of all softwood exports) in 2009, and hemlock has climbed from $11 million to $30 million during the same period. Ponderosa pine has maintained a steady market at about $24 million over the past five years. U.S. softwood producers are still small suppliers in the international markets. Europe, Canada, Chile and New Zealand are the major exporting regions or countries for softwood lumber products. International markets requirements are widely varied by species, sizes, grade requirements, and end use of the materials. Traditional U.S. structural species, such as Douglas fir and hemlock, are found in many nonstructural products. Lower grades of all species, which have limited value in structural applications, find a home in crating, pallets and packaging. They are used in many remanufacturing and gluing facilities, in parts of the world with much lower labor
30
The Merchant Magazine January 2011
Building-Products.com
rates, for furniture and millwork components. Wood frame residential construction is mostly limited to North America, Japan and parts of Oceana. Even in those markets, the North American framing system using 38mm x 89mm (2x4) structural members is limited to the U.S., Canada and a small segment in Japan. Japan is the second largest woodframe building country in the world, but of the almost 500,000 wood frame units in Japan last year, only 91,000 were 2x4 based. The vast majority were traditional Japanese metric post and beam timber construction using metric sizes. Most of the U.S. softwood exported is for non-structural uses. Interior applications, such as doors, windows, frames, moulding, flooring, paneling and other millwork is a prime destination for both pine and fir species. Furniture parts and glued panels are also a destination for softwood lumber. Douglas fir and hemlock in the clear and other upper grades are prized in Europe for wooden window and door parts and frames. Ponderosa and other western pines are used in rustic pine furniture and for upholstery frames in Mexico, China and Vietnam. A large portion of exported lower grades in softwoods is used in concrete forming for forming, wailers and support posts. Much of the worldwide structural construction is based on the use of concrete, so there is a large demand for formwork materials at all levels. Western softwood species have found distinct foreign markets based on species and size. For strength, long lengths, and large selections of solidsawn lumber, the Pacific Northwest is the place to go. The Pacific Rim is the leading market for western species, and Japan is the leading destination. Japan is the major export market for U.S.-produced Douglas fir importing $77 million (98,435,000 bd. ft.), which was 50% of all Douglas fir exported in 2009. The vast majority of the product is in metric sizes and lengths for post and beam construction. For 2010, exports are on track to increase by more than 60% over 2009. China is another market that has grown over the past five years. In 2005 American lumber exports to China were $23 million (33,072,000 Building-Products.com
bd. ft.) and rose to $35 million (49,566,000 bd. ft.) in 2009. With the change in the Russian export taxes,
Douglas fir Japan Canada Philippines Mexico China Netherlands
China is looking to the west for increased supply for raw materials (Please turn to next page)
2009 Softwood Lumber Exports Western Species by Destination Country
Hemlock Canada China Japan Taiwan Vietnam Philippines
Hem-fir
Canada Korea, South China Japan Mexico Taiwan
Ponderosa Mexico Canada China Korea Japan Pakistan
Cedars
Canada Indonesia China Belgium Japan Caribbean
January 2011 The Merchant Magazine
31
Western Exports (Continued from previous page)
RECENT TRADE MISSION to China included a tour of a distribution yard in Tianjin.
All Eyes on China by Bob Maurer, Swanson Group
One of the success stories to emerge from an otherwise slow third quarter of 2010 is the sharp increase in softwood lumber exports. Offshore business has been good in a number of countries with an over all increase in the third quarter of 52% over the same period a year ago, according to Random Lengths. Of particular interest is the volume going to China, as exports there more than doubled last year’s numbers. Bolstered in large part by our weak dollar, increased taxes on Russian logs coming into the country, the Chinese have been looking more and more to U.S. mills to provide the products they need to satisfy their appetite for wood fiber. And with domestic prices at record lows, many producers see the China market as a better alternative. One result of this flurry of business is that new floor levels have been established for domestic prices. Recently, a number of producers and exporters took part in a trade mission to China that was organized by the Evergreen Building Products Association. EBPA is a non-profit trade group whose members are interested in promoting western-style construction, U.S. building products, and related services in international markets. EBPA has worked in conjunction
Slow Recovery (Continued from page 28)
to Japan has also expanded, with American mills exporting some 160 million bd. ft. to the island country in 2010, a 50% increase. Looking to 2011, housing is
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The Merchant Magazine January 2011
with the U.S. Department of Commerce to create the U.S./China Build program, and they have been conducting two “missions” a year to China since 2001. The program consists of seminars presented in different cities to promote, educate and illustrate the value of U.S. building products and building techniques. The program regularly attracts close to 400 designers, architects, builders, distributors, remanufacturers, landscapers and students. While this program may not be responsible for the recent surge in business in China, it has certainly been busy laying the ground work to familiarize the end users in China with U.S.based products. Fifteen companies participated in the most recent U.S./China Build program last October (photo above).
Region
North America East Asia
Caribbean
Southeast Asia
European Union
World
Countries
and low-cost remanufacturing stock. Hemlock was the leading U.S. species imported in 2009 at $7.5 million (13,356,000 bd. ft.), which is 29% of all hemlock exported. By December 2010, shipments had already surpassed 2009 totals, running 105% ahead. Mexico is the second largest market for western species. Its imports have followed the U.S. economy downward from $102 million in 2006 to $83 million in 2009. But 2010 looked to be a strong turnaround, running at 37% over 2009, with the market value topping $100 million again. Mexico is a low-grade pine market for ponderosa pine. Uses include furniture components, pallets, crating and millwork. Canada is a perennial top destination for U.S. softwood species, but there is limited data as to how much is transported to the Pacific Rim via Vancouver and to Europe via the St. Lawrence, although anecdotal data points to a large percentage. It should be noted that western species such as Douglas fir are used in construction and remanufacturing and components throughout Canada. Looking at all U.S. softwood exports by region and leading country, Canada and Mexico are by far the leading markets for softwoods, with eastern Asia following.
Percent
Increase
$148,204,000
28%
76%
Canada, Mexico
$218,309,000
DR, Jamaica, Bahamas
$61,941,000
Japan, China, Taiwan
Philippines, Indonesia, Vietnam Italy, Spain, U.K., Germany
expected to pick up the pace. Many anticipate housing starts to grow to 725,000 to 800,000 in 2011, with increases gaining momentum in the second half of the year. Lumber production should follow the same path, with western and southern mills increasing output by as
2010
Value
$40,009,000 $27,917,000
$528,755,000
41% 12%
55% 46%
8%
-22%
100%
51%
5%
36%
much as 8% to 10% in 2011. Canada is expected to gain more market share and increase shipments to the U.S. in 2011 by 15% or more. Exports to Japan and China should remain strong in 2011, although they may not grow at the same rate as seen in 2010. Building-Products.com
WESTERN WOODS
Dust up: Industry working to
meet Prop 65 requirements
S
AWMILLS, WHOLESALERS
and retailers are gearing up to meet requirements under California’s Proposition 65 law to post consumer and employee warnings regarding wood dust. Wood dust was added to the list of more than 800 chemicals and other substances under Proposition 65 in December 2009. The final rule went into effect on December 18, 2010. Under the law, wood product manufacturers and wholesalers must send the warnings about wood dust to their retailer customers and retailers have the responsibility to post warning signs and materials at the point of sale for wood products. Western Wood Products Association and the Lumber Association of California & Nevada met with the California Office of Environmental Health Hazard Assessment and the California Attorney General’s office to develop the necessary materials for
Building-Products.com
communicating the wood dust warnings. In November, LACN began contacting retailers and made signage available to meet the law. WWPA has developed a wood dust notification service to assist manufacturers and wholesalers in informing their retailer customers, as required. In December, WWPA sent wood dust warning materials to more than 2,300 wholesalers, retailers and other wood users in California and surrounding states on behalf of some 20 sawmills and distributors. Since receipt of the warning materials must be confirmed, the WWPA service makes it easier for companies to comply. Retailers and wholesalers can fill out one form, either online or by fax, that will cover multiple manufacturers and distributors. Subscribers to this service must provide a customer list in a predefined Excel format and WWPA will
contact the customers, confirm receipt of the warning information, and provide a report back to the company of the confirmed customers. All customer lists received by WWPA will be kept confidential. Should a subscriber be involved in a Proposition 65 claim, WWPA can provide documentation that the distributor or retailer received the warning materials and acknowledged their receipt of the warning. The Wood Dust Notification Service is available for $2,500 plus $1 for each customer contact submitted. A signed agreement is necessary to begin the service. For more information on the service, contact WWPA at info@wwpa.org. LACN is offering ready-to-post signs for retailers. Order signs from LACN at www.lumberassociation.org.
January 2011 The Merchant Magazine
33
WESTERN WOODS By Bryan Schuyler
T
WO YEARS AGO ,
a Merchant Magazine article introduced readers to WoodWorks, the first largescale program with the objective of growing wood’s share of the U.S. non-residential building market. An initiative of the Wood Products Council, WoodWorks is a collaborative effort of wood associations, research organizations and govern-
Go to the Fair
Wood Solutions Fairs are North America’s premier educational forums for non-residential wood design, featuring a full day of seminars combined with a wood-exclusive trade show. They have proven highly successful during the WoodWorks pilot, attracting an average of 500 architects, engineers and others with an interest in wood’s exciting design possibilities. WoodWorks is seeking exhibitors and sponsors for the following Fairs: February 15 – Raleigh, N.C. February 17 – Atlanta, Ga. March 2 – Long Beach, Ca. March 16 – San Francisco, Ca. April 7 – Minneapolis, Mn. Visit woodworks.org for details.
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The Merchant Magazine January 2011
ment agencies. It was introduced as a pilot program in seven states and is now being evaluated to determine whether it should evolve into a national program serving the entire continental U.S. The purpose of WoodWorks is to encourage the use of wood as a structural and finish material for buildings typically designed in steel and concrete, even though wood is permitted by code—such as schools, big box retailers, recreational facilities, offices, and mid-rise/multi-family. Through the program, architects, engineers and others can request free one-on-one support to address technical or code issues. They can attend free educational events or take advantage of the many online resources available at woodworks.org. Although three years is not enough time to assess the program’s influence against its ultimate objective of market share growth, opinion data collected during the pilot phase, combined with the results of two third-party program audits provide strong indications that the program is indeed working. Based on benchmarks established in 2008 and re-measured in 2010, opinion research firm Ducker Worldwide concluded that “clear improvement in the perceptions of
Photo by Arch Wood Protection
WoodWorks demonstrates early gains in non-residential
wood for non-residential use have been made on the key attitudinal variables used to measure industry decision makers.” These variables include: awareness of WoodWorks (up 20%), interest in learning more (up 18%), overall satisfaction (up 3%) and likelihood to recommend (up .5%). The “net” attitudinal improvement for wood—as compared to specifier opinions regarding steel and concrete—was also measured across a wide range of variables. Although wood didn’t advance in every category, it did so in the vast majority, which greatly closed the historic gap or preference for steel and concrete in non-residential construction. These shifts in opinion were influenced on numerous fronts, by the combination of many activities. For example, with several months remaining in the pilot, WoodWorks has provided support for 135 building projects completed or under construction and another 270 projects at the planning stage. Field teams have made more than 32,000 direct contacts with design and building professionals through face-to-face meetings and educational events. Advertising and other communications efforts have reached more than 10 million people. Building-Products.com
ty-level engineering students, partnered with WoodWorks California Polytechnic State University. Working with universities and colleges nationwide, Cal Poly is leading the development of 30 wood design modules that can be used in undergraduate and graduate-level engineering programs and provided online for practicing engineers. One of the most promising findings of the evaluation process is that WoodWorks has already surpassed its five-year objectives and, depending on the level of funding moving forward, is expected to increase these
targets by between 25% and 50%. For lumber, this represents a total increase in consumption of 1,280 million board feet to 1,540 million board feet (respectively). If you haven’t already done so, we hope that you will leverage the achievements made to date for the benefit of your own organization—by making use of materials developed on behalf of the entire wood industry, for example, or participating in WoodWorks events. – Mr. Schuyler is California regional director for WoodWorks.
Photo courtesy Eric Owen Moss Architects; Tom Bonner Photography
WoodWorks has produced a wide range of resource materials, and design professionals can visit woodworks.org to earn AIA/CES LUs and PDH credits without leaving their desks. The program has also tackled a number of fundamental impediments to non-residential wood use in the U.S. For example: • To address a lack of wood design software being used by engineers, WoodWorks partnered with RISA Technologies. As a result, RISA developed a full range of wood design features for its popular RISAFloor and RISA-3D software programs— which users can now use to design all-wood and hybrid buildings. As part of the agreement, WoodWorks bought 200 licenses to give away free to engineers who agree to design a wood building within six months, which has already resulted in the design of more than 120 wood buildings. • To address the lack of wood design education offered to universi-
PRIZED ADDITION: The 3555 Hayden building in Culver City, Ca., featuring a 6,000-sq. ft. rooftop addition onto a 1950s-era brick and concrete warehouse, won the 2009 California Commercial Wood Design Award. Building-Products.com
January 2011 The Merchant Magazine
35
WESTERN WOODS
Portland hosts WWPA’s 2011 annual meeting
P
ORTLAND, OR., will play host to the western lumber industry for the Western Wood Products Association’s 2011 annual meeting on March 14. More than 200 of the region’s top lumber professionals will gather at the Embassy Suites Hotel in downtown Portland. The long-time meeting brings together western lumber c.e.o.s, senior executives, sales and marketing professionals, and quality control managers, as well as wholesalers, retailers, transportation representatives, and others doing business with sawmills. The meeting offers a unique opportunity for suppliers and others doing business with western lumber mills. Along with a number of social events that allow time for
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www.yakama-forest.com 36
The Merchant Magazine January 2011
Binam to Lead WWPA
Western Wood Products Association’s board of directors has selected Kevin Binam as the new president and chief executive officer of the lumber trade association. Binam took over Dec. 1, succeeding Michael O’Halloran, who was to retire after the first of the year. A 12-year association veteran, Binam has been quality services director since 2008 and oversees WWPA’s lumber grade inspection and quality control activities. He also served as economic services director for 10 years and was in charge of the association’s business information activities, including statistical reporting and forecasting. Before joining WWPA in 1998, Binam held positions at a number of western mills in lumber grading, quality control, and mill management. He holds a bachelor’s degree from Humboldt State University and an MBA from the University of Oregon.
networking, WWPA provides two ways for companies to get their products and services before western lumber professionals: The Exchange Show and event sponsorships. The WWPA Exchange Show will be held in concert with the chairman’s reception on Monday evening, March 4, and will feature tabletop displays for participating companies. A tabletop can be reserved for just $150, or $75 for WWPA Distributor and Service Associates. Sponsorship opportunities are also available to promote your company to western lumber mills. A number of the meeting events on the schedule are available for sponsorship, with fees ranging from $1,750 to $6,500. For further information on the WWPA Exchange Show and sponsorships, email your request to info@wwpa.org. Registration fees are $290 for WWPA members, $350 for WWPA distributor and service associates, and $425 for all others. For those who would like to just network with industry folks, WWPA is offering a special registration for the chairman’s reception only on Monday night for $100. Registration and hotel reservations for the meeting can now be completed online, using links on wwpa.org. The association has secured a small block of rooms at the Embassy Suites, so those needing overnight accommodations are urged to make hotel reservations early. You can call the hotel directly at (503) 279-9000. Be sure to mention you are attending the WWPA annual meeting to receive special room pricing. Building-Products.com
OVER THE Counter By Mike Dandridge
Counter intelligence Learning without limits
W
HEN I FIRST STARTED working in a building supply house, I underwent some extensive training. On my first day on the counter, the manager said, “Go ask that guy if you can help him.” That was it. Training complete. Things have changed since then. Today, most companies recognize the value of training. Almost all jobs— regardless of the industry—require more and different skills than the jobs of the past. However, trying to decide on the best program for teaching those skills, from virtual classrooms to e-training to podcasts, not to mention all of the conventional training options, can seem downright overwhelming. But, all of the different channels of learning can easily fit into any of the following three categories:
Online Learning, or E-learning. Web-based, technology enabled training requires that your company have the infrastructure to support it. The biggest advantage to e-
38
The Merchant Magazine January 2011
learning is its around-the-clock availability. Learning can be broken down into smaller modules providing greater flexibility for individual learners.
Active Learning. Typically active learning refers to the traditional student-teacher roles. However, modern trainers present content that follows a more interactive learning design. Participants are interactive. They may work in pairs or form teams. Guided discussions, role-playing, and learning tournaments are examples of active learning. Blended Learning. Blended learning combines formal learning tools with informal tools. This method of training mixes multiple media formats, such as streaming video, audio media, and Web-based tutorials, as well as hands-on experiences. The philosophy behind this method is that training should be a continuous process. In other words,
Building-Products.com
The 5 Core Customer Service Competencies
Communication – Understanding how to communicate using verbal and non-verbal techniques. Listening skills and interpreting body language. Ingenuity – Anticipating customers’ needs and exceeding their expectations. Critical Thinking – Identifying problems and developing quick solutions using creativity and logic. Issues include conflict resolution, negotiation, and troubleshooting. Planning – Preparing, organizing and managing daily tasks and projects. Teamwork – Constantly improving interpersonal skills; collaborating with co-workers. learning moves out of the classroom and into the workplace. Here’s an example of how blended learning works. A branch manager wanted her team to internalize a customer service philosophy. She gathered her staff together and they shared personal stories about poor customer service they’d received from their own experiences. They analyzed each story to identify the areas of incompetence and discussed what the service reps could’ve done differently. Next, the manager instructed each staff member to write a customer service slogan on a card. She collected all of the cards and read each one, and the group discussed them. Eventually, staff members collectively created their own customer slogan. In the process, they learned teamwork,
initiative, creativity, empowerment and communication. Customer service training needs to take place on two different disciplines. One discipline is about providing the technical information needed to sell products and services. The other focuses on the interaction with the customer. Both disciplines must be part of an ongoing learning program, so that staff members communicate a sense of competence and convey a helpful attitude to customers. As a customer, when you go to a restaurant, a store, or any other retail business, you recognize the difference between a trained service rep and one that’s been hired and told to “go help that person.” It affects your overall perception of the company. You believe that a company that spends the time and money to train its employees must care about you as a customer. So it is with your customers. Don’t fall into the old belief that customers have one set of expectations for retail and another, slightly-less-demanding set, for wholesale. In fact, along with the rise of big box building centers, your customers’ expectations continue to climb. If you want to thrive in this new decade, you’re going to need to invest in a coherent training program for your company. Your customers deserve it. Now, go see if you can help that guy at the counter. Mike Dandridge High Voltage Performance highvoltageperformance.com (254) 624-6299 mikedan@mac.com
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January 2011 The Merchant Magazine
39
Trinity River Restarts Mill One Year after Fire
A little more than a year after Trinity River Lumber Co.’s mill in Weaverville, Ca., burned to the ground, the company celebrated its new $20 million facility with an open house. “We continue to get a lot of community support,” said general manager Dee Sanders, who said that more than 200 people attended. Before the Sept. 12, 2009, fire, which was sparked by a welder’s torch, Trinity Lumber was the coun-
ty’s largest employer. Afterwards, some of the 140 employees worked on the re-construction and others worked offsite at the former Siller Brothers stud mill in Anderson, Ca. Sanders said that production should begin with a single shift early this month, and he hopes to have two full shifts going soon after. With both shifts working, about 125 people would be employed.
Historic Oregon Mill Spared
Firefighters saved the historic Hull-Oakes Lumber Co. mill in
Exclusive Northern California distributor of New
Dawson, Or., when a Dec. 7 fire started around the flue of one of the two main boilers, where sawdust or wood waste had accumulated. The two-story wooden building that contains the boilers is one of two original structures at the mill, which is the last commercially operated steam-powered sawmill in the U.S. The mill is also listed on the National Register of Historic Places. “Damage was minimal to the structure itself. It was contained to the southwest corner of the building,” said fire chief Rick Smith. “It was just charring of the structural members.” Two night watchmen discovered the fire and used water hoses to fight the blaze until firefighters arrived. An automatic sprinkler system was also activated. No injuries were reported.
Plum Creek Sells More Land
Scientifically Enhanced Performance Lumber
Plum Creek Timber Co., Seattle, Wa., completed the third and final phase of a Montana forestland sale. The Nature Conservancy and The Trust for Public Land paid $89 million for roughly 70,000 acres.
• UL Zero Flame Spread Index Class A Fire Rating • Produced from sustainable forests • Highly water resistant • Highly insect resistant • Rot resistant • Will not deteriorate • Carries 20-year warranty • FSC Chain-of-Custody certified • 5/4"x6" decking will span 24" • Colors: Sequoia (redwood) and CapeCod (gray)
Trust Bestows Tax Incentives on Forest Businesses
Also Northern California distributor of WindsorOnePlus FJ sidings & trim • 30-year warranty • Proprietary priming process • SCS air quality standards, indoors & out And carrying complete lines of Redwood • Double Primed, Clear Redwood FJ trim & siding. All sidings VG. • High-end Green & Dry solid lumber.
Ecotrust CDE, a for-profit subsidiary of the nonprofit Ecotrust, Portland, Or., has allocated more than $60 million in new-markets tax credits to four forest-related businesses in the Northwest. The new subsidiary invests in forest businesses to create jobs and work toward long-term ecological restoration. Ecotrust said that more than 300 direct jobs and 500 indirect jobs will be created or saved through the investments, which are funded by a $3.5 billion tax-credit program recently approved Congress. NewWood Corp. will use the
THUNDERBOLT WOOD TREATING COMPASS LUMBER PRODUCTS Cotati, CA • 1-800-773-9125 • www.compasslumber.com
Specialists in lumber products for Elegant Outdoor Living
…Quality Wood Treating Services Since 1977 “We Treat Wood Right”…
www.thunderboltwoodtreating.com
Treating Services Only (TSO)
Central California Location 3400 Patterson Rd., Riverbank, Ca. 95367 Sacramento, CA
ACQ • CCA • BORATES D-BLAZE® • ACZA (CHEMONITE®))
Bob Palacioz, sales/marketing mgr. • bob@thunderboltwoodtreating.com (916) 402-3248 • Fax (916) 339-2477
Heat Treating • Drying Services (KD, KDAT) Marine Piling • Staining Service • Rail Siding (BNSF) Coating Serv ice: MFI-SLO8 Marine Grade Spray Polyurea Coating
Marine & Industrial S ales Miguel Gutierrez • miguel@thunderboltwoodtreating.com (209) 747-7773 • Fax (209) 451-0425
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Building-Products.com
money to reopen a 275,000-sq. ft. plant in Elma, Wa., that will produce a plastic-wood composite usable for fencing, pallets, crates, and fruit bins. Ochoco Lumber, Prineville, Or., will refinance debt, expand sawmill operations, and build a wood-fuel mill at Malheur Lumber, John Day, Or. ZeaChem Applied Technology will build a $40 million plant in Boardman, Or., to convert wood waste from a nearby poplar mill into ethyl acetate to produce products such as ethanol. Garibaldi Forest Management will acquire forestland in the Northwest, then restore it by removing invasive species and enhancing habitat.
Council Denies Requests to Open Up LEEDs
Wood certified by the Forest Stewardship Council will continue to be the only kind qualifying for LEED points, after a motion to open it up to other certification programs failed to win a two-thirds majority from members of the U.S. Green Building Council. Of the 965 members who voted, 55% voted yes, 42% voted no, and 3% abstained.
3370 Rippey Rd., Loomis, CA 95650
1-800-626-1233
www.lausmannlumber.com
Remanufacturing & Wholesale Distribution of
SPYING SFI: iLevel by Weyerhaeuser has begun stamping the SFI Certified Fiber Sourcing logo on all lumber and engineered wood products and featuring the logo on product wrap, providing quick recogniton that all of its manufacturing facilities are certified to the fiber sourcing standard.
Although certified wood earns just one LEED point, Sustainable Forestry Initiative, American Tree Farm System, and Programme for the Endorsement of Forest Certification Systems are fighting to be included.
DOMESTIC SALES: Jerry Long, Michael Parrella, Janet Pimentel, Pete Ulloa, George Parden, Vince Galloway, Chris Hexburg, Matt Wright, Scott Crutchfield. INTERNATIONAL SALES: Nestor Pimentel.
WRC • SPF • Pine/ESLP Ipé • Redwood • WRC FJ Specialty Sidings FSC Certified Cedar (STK • A/Btr. • VG)
Superior
®
Brand siding 100% useable STK Sidings & Trim Exclusively Produced and Distributed by Lausmann Lumber
FSC Certified Western Red Cedar & Hemlock
www.crawfordcreeklumber.com
Proud supplier for Lausmann Lumber
Stocking Distributor of Quality Redwood produced by Agwood
Building-Products.com
January 2011 The Merchant Magazine
41
KAHLE On Sales By Dave Kahle
Selling is simple H
of different definitions to help you come to grips with what selling really entails. ERE ARE A NUMBER
1. Selling is the science of helping people get what they want. If your prospective customer doesn’t want or need what you are offering—if it doesn’t fill some need in the customer—then you have no business engaging in the selling process with him. Now don’t get too hung up on the definition of “need.” If we define that too narrowly, we eliminate everything except food and shelter. Our needs and wants are ever-expanding, and include things that make us feel good or fill some emotional need as well those that meet our basic needs. We may not really need a caramel cream latte, but thousands are purchased every day. It makes us feel good. While selling is what you do and you can do it better, it’s still less about you and more about your customer.
2. Selling is the process of helping people make decisions that often lead them to purchase from you. Effective selling begins with an
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understanding that it is about influencing the decisions of the customer. In other words, the ultimate location for the sales process is the mind and heart of the customer. Very few sales situations involve only one decision. One decision leads to another, which leads to another, which leads to the decision to buy. Let’s take one of the simplest selling situations with which I have ever been involved—selling water softeners to homeowners. This is a classic “one-call close.” In other words, there is only one sales call necessary to help the customer make a decision. You either sell it when you see them, or you don’t sell it at all. Sounds simple. But even that simple, one-call sales process is quite a bit more involved when examined through the perspective of the decisions that the customer must make. To initiate the process, the company must advertise and make itself appear to be a reputable solution for hard-water problems. Customers live in the land of apathy and ignorance. In other words, they don’t know the salesperson or the company, and that’s fine with them. Their lives are okay without them. So, they are igno-
Building-Products.com
rant of the company and apathetic about it. The first decision the customer must make is whether or not to call the company. The company hopes to influence that decision by the quality of its advertising, as well as its reputation in the market. Let’s say the customer decides in the affirmative and calls the company. Now, the customer has a salesperson on the phone. The customer now must decide whether or not to interact honestly with the salesperson. If the salesperson seems rude, arrogant or uninterested, the customer may decide to call someone else. Some get that impression and terminate the call. Others decide that the salesperson sounds trustworthy and competent enough to talk to, and do so. As the conversation progresses, the salesperson is going to ask the customer for an appointment to come out, view their situation, and test their water. Another decision for the customer. Some decide not to do that, for whatever reason, and they drop out of the process. Others decide to make the appointment and move one step closer in the process. Now, the customer faces yet another decision—whether or not to keep the appointment. Twenty to 30% of those who make an appointment decide, after the fact, not to keep it. So, they make sure they are gone when the salesperson shows up, or they hide in the basement and wait until he leaves. Those who do not keep the appointment drop out of the process, those who decide to keep it, move one step further along. The salesperson shows up, this time in person, in the customer’s home. The customer has another decision— whether or not to be honest and forthcoming with the salesperson. Should
she let me test the water? Should she take him down in the basement and show him the old equipment? If the salesperson appears competent and trustworthy, she will generally decide to interact honestly and the process moves along. Finally, the salesperson tests the water, recommends a new system, and asks the customer to buy. This simple, one-call close selling process consisted of a series of six decisions. Even in this simple selling process, the effective salesperson understands that it is a series of decisions and his/her job is to help the customer make each affirmatively.
3. Selling is at the same time both simple and incredibly challenging. It is simple in that almost every adult of reasonable intelligence, with just a modicum of people skills, can understand it and do it. It is incredibly
challenging in that to become exceptionally good at it takes the better part of a lifetime of effort and practice. Let’s compare selling to the game of basketball. Anyone can take a basketball, bounce it a couple of times, and throw it up at hoop. In its essence, that’s the game of basketball. However, there is a great distance between the skills and competence of the novice and those of someone like LeBron James. While the world is full of people who can play basketball, only a handful compete at a worldclass level. You can sell. But more importantly, you can also sell better. You can do each step better.
– Dave Kahle is a sales trainer, presenter and author of eight books, including How to Sell Anything to Anyone Anytime. Reach him at (800) 331-1287 or via www.davekahle.com.
VAN ARSDALE-HARRIS LUMBER CO. 595 Tunnel Ave., San Francisco, CA 94134 • 415-467-8711 • Fax 415-467-8144
www.vanarsdaleharris.com
Since 1888
Specialists in upper grades of clear, dry softwoods
Douglas Fir C & Better V/G & F/G Kiln Dried Full Sawn Rough • 1", 5/4", 2", 3", 4", 6" & 8x8 • 3x6 DF Select Dex Double T&G Decking Sugar Pine • 4/4 -16/4 C & Btr. • 5/4 & 8/4 D Select • 6/4 & 8/4 Mldg. • 5/4 #1 Shop • 5/4 x 12 #2 Common • 4x4 #2 Common Ponderosa Pine • 4/4 Clears, Moulding, #3 Clear, Commons • 2x4, 2x6, 2x12 Std. & Btr. Dimension Western Red Cedar Clear V/G & F/G Full Sawn Rough • 1", 5/4", 2" Kiln Dried • 3", 4", 6" Air Dried Timbers Alaskan Yellow Cedar C & Btr. Kiln Dried Rough • 4/4, 8/4 Poplar, FAS • 4/4, 5/4, 6/4, 8/4, 12/4 Sitka Spruce B & Btr. V/G Kiln Dried Rough • 4/4, 8/4 Honduras Mahogany, FAS Pattern Grade • 4/4, 5/4, 6/4, 8/4, 10/4, 12/4, 16/4 Building-Products.com
January 2011 The Merchant Magazine
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NEW Products
Driver for Metal Roofing
Simpson Strong-Tie’s Quik Drive BGP300 is designed for installation of metal roofing and siding. The auto-feed driver has multiple profile guides for installing collated fasteners. A locking depth control ensures proper fastener seal and prevents overdriving.
STRONGTIE.COM (800) 999-5099
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Energy-Efficient Deck Lights
Energy-efficient LED deck lights from Trex combine beauty with safety. Compact for easy installation, the lights can be used on post caps, deck rails, risers, and in recessed areas. They can be built into the deck or retrofitted into an existing outdoor area.
TREX.COM
(800) 289-8739
Building-Products.com
Dual-Sided Deck Boards
Wolf is now the exclusive distributor of CEVN dual-sided, dual-colored cellular PVC deck board produced by Inteplast Group. Six complementary colors are offered, along with single-colored fascia and single-colored deck boards for stairs and other applications. The entire line is engineered to provide traction and resist scratching.
WOLFLEADER.COM (877) 315-6669
Building-Products.com
It’s a Wrap
Versawrap from Versatex offers a quicker way to wrap columns. The one-piece PVC cladding eliminates the need for field cutting and mitering; just apply PVC glue to the joints. Lengths of 8’6” and 10’ are available for both 4x4 and 6x6 posts.
VERSATEX.COM (724) 857-1111
Color-Matched Deck Fasteners
Timbertech’s TOPLoc deck and fascia fasteners are colormatched with the company’s decking products. A tri-lobular design reduces compression within the board, while an undercut head has three annular rings to eliminate mushrooming. Fascia packs contain 100 fasteners, while face fasteners come in 100- and 500-sq. ft. packs.
TIMBERTECH.COM (800) 307-7780
January 2011 The Merchant Magazine
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Naturally Rustic Hardwood
Ozark Natural rustic planks for walls, ceilings and wainscoting have been introduced by Curtner Lumber. The 1/2” planks are made from sustainable-growth hardwoods such as red and white oak, wormy maple, knotty alder, cherry, walnut and rough-sawn canyon oak. Tongue-and-groove edging allows the planks to be fitted together like a puzzle, with glue and/or nails.
OZARKNATURALPANELING.COM (870) 523-6701
WHOLESALE ONLY • MILL DIRECT & LCL
WHERE QUALITY IS AGELESS Anfinson Lumber is the clear choice for Quality Redwood and Western Red Cedar Dimension, Boards, Patterns and Timbers
CALL SALES AT (800) 400-8383 • (951) 681-4707 Rick Anfinson • Carol O’Connor Outside Sales Darin Curran
(949) 412-1894
Classic Fiberglass Doors
Visit our website:
www.anfinson.com
Fontana, CA Office and Mill: 13041 Union Avenue, Fontana, CA 92337 Fax: (951) 681-3566 • E-mail: sales@anfinson.com
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New fiberglass doors from Therma-Tru are available in a range of architectural styles, in heights up to 8 ft. and widths up to 3 ft. The Fiber-Classic Mahogany Collection have composite top and bottom rails for rot-resistance. Options include Low-E glass, decorative glass designs, and full-lite sidelites in 12” and 14” widths.
THERMATRU.COM (800) 537-8827
Building-Products.com
Multi-Faceted Saw
The ZipSaw from RotoZip is designed to handle multiple applications, from challenging installations to tile projects. Features include a 7-amp grinder motor and drivetrain, an ergonomically designed body, and universal wheel flanges. Paired with the company’s Xwheels, it can handle straight, curved, or notched cuts in a variety of materials, including tile, wood, and metal.
ROTOZIP.COM (877) 768-6947
Fancy Faucets
New single-lever models from California Faucets can be customized for a variety of sinks. Options include extended heights, interchangeable levers, and the choice of more than 30 decorative finishes.
CALFAUCETS.COM (800) 822-8855
The Look of Stones
Glazed porcelain tiles from Eliane have the look of white, gray, beige and brown natural stone. Sardegna floor tiles measure 18”x18” and 12”x12”, while wall tiles measure 10”x13”. Quarterrounds, quarter-round beaks, and multi-colored mosaic sheets are also offered.
ELIANEUSA.COM (972) 481-7854
Building-Products.com
January 2011 The Merchant Magazine
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2ND GROWTH Photos by The Merchant Magazine
MERRY CHRISTMAS: Lumber Association of California & Nevada’s 2nd Growth group celebrated the holidays Dec. 2 at the Sheraton, Cerritos, Ca. [1] Al Reed, John Allen. [2] Jack Butler, Joe Allotta, Bill Young. [3] Mike Garrity, Larry Christensen. [4] Steve & Kristin Schroeder. [5] Bob Schmidt, Chris Garcia, Craig Larson. [6] Mike Born, Johnny Pringle. [7] Gavin Morris, Chris Johnson, Tianna Cash, Matt Satterlee. [8] Mickey Spolar, Gerry Perez, Michelle Chase. [9] Rick Ponce, Rick Deen, Terry Rasmussen. [10] Michael Parrella, Janet Pimentel, Scott Crutchfield.
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The Merchant Magazine January 2011
[11] Jean Henning, Mike Carey. [12] Scott Whitman, Rex Klopfer. [13] Mark Huff, Richard Coale. [14] Dan Croker, Chris Huntington. [15] George Kallas, Danny Sosa. [16] Ed Aguilar, Margarita & Jorge Vargas. [17] Jim Nocodemus, Frank Bader. [18] Mike & Karin Caputo, Natalie Allen, Brett Collins. [19] Betsy Bendix, Doug Willis. [20] Chris Skibba, Tim Hummel. [21] Mike Carey, Chris Freeman, Terry Rasmussen, Danny Sosa, Johnny Pringle, Jay McArthur. Building-Products.com
IN Memoriam
William S. Cowling II, 81, retired president of Dixieline Lumber & Home Centers, San Diego, Ca., died Nov. 27 in La Jolla, Ca., after a long battle with Parkinson’s disease. The Cowling family founded the company in 1913, as Dixie Lumber. It later merged with Airline Lumber and became Dixieline. Mr. Cowling joined the company in 1954, after graduating from San Diego State University and serving with the military during the Korean War. In 1970, he succeeded his father as president and c.e.o. In 1979, the Cowling family sold the business to Weyerhaeuser. They regained control in 1994, but sold it to Lanoga Corp. in 2003. Mr. Cowling stayed on as a consultant for five years, and the company eventually became part of ProBuild Holdings. Today, Dixieline has 10 home centers in Southern California; a DC in Colton, Ca.; a DC and truss yard in National City, Ca., and a dock facility in Columbia City, Or.
Bruce E. Blakely, 76, manager for 35 years of Copeland Lumber, Riverbank, Ca., died Dec. 22.
Building-Products.com
Walter “Lee” Evans, 103, founder of Evans Lumber Co., Santa Rosa, Ca., died Dec. 19 in Santa Rosa. He got his start in the lumber business in Oklahoma in 1935, reselling timbers from sawmills in Oklahoma, Texas, Louisiana and Arkansas to the oil field trade. He moved to Mitchell, Or., in 1940 to build a mill with Clarence Hudspeth, but the mill burned down a year later. To repay his debts, he worked for Hudspeth Sawmill, Bridge Creek, Or., through the war years, then in 1945 restarted Evans Lumber in Prineville, Or. In 1950, he sold the mill to John Hudspeth and moved to Santa Rosa, from where he bought and sold timberland. In 1953, he sold most of his timber holdings to focus on development. Mardean Tupper Bartleson, 69, co-owner of Browning Lumber & Hardware, Browning, Mt., died of colon cancer Dec. 20 in Kalispell, Mt. She and her husband, Rod, opened the yard in 1971.
Cleone Esplin Judd, 92, office manager for 25 years at the old Kaibab Lumber, Fredonia, Az., died Dec. 23 in Kanab, Ut.
January 2011 The Merchant Magazine
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ASSOCIATION Update Mountain States Lumber & Building Materials Dealers Association marks its 120th anniversary in 2011, with its annual building products expo March 10-11 at the Plaza at the Denver Merchandise Mart, Denver, Co. This year’s theme of “Navigating the Storm” will be highlighted by educational workshops and seminars.
Lumber Association of California & Nevada’s 2nd Growth group meets March 3 at Radisson Resort, Buena Park, Ca. The annual PAC golf tournament is on tap April 14 at Black Gold Golf Club, Yorba Linda, Ca. California Forestry Association holds its annual meeting Feb. 2-3 at the Sheraton, Sacramento, Ca. Western Building Material Association is presenting an estimating workshop March 8-9 in Bozeman, Mt.
WBMA has set a March 18 deadline to apply for the annual Educational Link scholarships.
Los Angeles Hardwood Lumberman’s Club will gather for its annual pool tournament Feb. 10 at Danny K’s, Orange, Ca. Golf follows March 10, with the annual spring golf tournament at El Prado Golf Courses, Chino Hills, Ca., then it’s off to the races April 23 at Santa Anita Racetrack, Arcadia, Ca. Western Hardwood Association holds its next board meeting March 8 in Portland, Or. The following day, the Washington Hardwoods Commission meets in Olympia, Wa.
American Fence Association will travel to Mandalay Bay Convention Center, Las Vegas, Nv., for FenceTech and DeckTech, Feb. 8-10. Actor Henry Winkler, “The Fonz” from Happy Days, and Lt. Col. Oliver
North will be the keynote speakers. Educational seminars will cover such topics as bidding for government projects, maximizing profit in a recovering economy, low-cost marketing leads, social networking, principles of deck safety, and employee monitoring. American Wood Council elected Joe Patton, Westervelt Co., Tuscaloosa, Al., as its new chairman during its recent annual meeting in Chicago, Il. He succeeds Marc Brinkmeyer, Idaho Forest Group, Coeur d’Alene, Id. Also installed were new 1st vice chairman Brian Luoma, LP Building Products, Nashville, Tn.; 2nd vice chairman Fritz Mason, GeorgiaPacific, Atlanta, Ga., and new director George Emmerson, Sierra Pacific Industries, Anderson, Ca. Southern California Hoo-Hoo Club plans a dinner meeting Feb. 16 at the Pomona Valley Mining Co., Pomona, Ca.
These business card ads in The Merchant Magazine and Building Products Digest raised $2,000 for Susan G. Komen for the Cure, which for 30 years has been leading the global movement to end breast cancer.
Happy New Year from…
Chuck Casey
Advertising Sales Manager
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The Merchant Magazine January 2011
Building-Products.com
Happy New Year from‌
BUSINESS CONSULTANT 25 Years Serving the Industry
Building-Products.com
January 2011 The Merchant Magazine
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CLASSIFIED Marketplace
Rates: $1.20 per word (25 word min.). Phone number counts as 1 word, address as 6. Centered copy or headline, $9 per line. Border, $9. Private box, $15. Column inch rate: $55 if art furnished “camera-ready” (advertiser sets the type), $65 if we set the type. Send ad to Fax 949-852-0231 or dkoenig@ building-products.com. For more info, call (949) 852-1990. Make checks payable to Cutler Publishing. Deadline: 18th of previous month.
FOR SALE
FACILITIES FOR LEASE
OFFICE & WAREHOUSE FOR LEASE: Northern California Sacramento region. Approximately 2,000-sq. ft. office attached to 30,000-sq. ft. warehouse. Warehouse clear span height 20 ft. Office & restrooms ADA accessible. Warehouse includes three-man doors with large 20-ft. roll-up door. 220V power available. Fire sprinkler system throughout. Truck shop facilities provided, including minor repair work, oil changes, steam cleaning, etc., at favorable rates. Ample truck parking space in back of facility. Office & 30,000-sq. ft. front warehouse available at .29¢ per sq. ft. If interested, please call Tom Williams, (530) 7422168, between 8 a.m. and 5 p.m.
FOR SALE
Got your own copy? The
MERCHANT Magazine
Call Heather at (949) 852-1990 HKelly@building-products.com
5 ways to increase your profile
among customers & prospects.
Select the best advertising vehicle for your company to target-market a particular region or market segment—or choose multiple publications to reach the entire industry, nationwide.
The Merchant Magazine. 88-year-old magazine reaches LBM dealers & wholesalers West of the Rockies. Circulation is primarily paid, ensuring high readership.
Building Products Digest. 28-year-old sister magazine reaches dealers & wholesalers East of the Rockies. Controlled circulation saturates the South, Midwest and Northeast.
Traderʼs Preview. Special supplement in November Merchant and BPD for NAWLA Traders Market. Circulation of over 21,000 lumber buyers. Discounted adver-
Building-Products.com. Features digitized editions of our magazines, event photos, and news updated daily to keep industry professionals constantly returning.
Deluxe Industry Calendar of Events. 12-month, wall-hanging calendar with hundreds of industry events and one sponsor per month for exclusive, extended exposure.
For rates or more information, contact Alan Oakes or Chuck Casey at (949) 852-1990
52
ajoakes@aol.com • ccasey@building-products.com
The Merchant Magazine January 2011
Building-Products.com
DATE Book
Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend.
International Builders Show – Jan. 12-15, sponsored by National Association of Home Builders, Orange County Convention Center, Orlando, Fl.; (800) 368-5242; www.buildersshow.com. Seattle Remodeling Expo – Jan. 14-16, Washington State Convention Center, Seattle, Wa.; (800) 374-6463; www.homeshowcenter.com.
Remodeling & Decorating Show – Jan. 15-16, Orange County Fairgrounds, Costa Mesa, Ca.; (818) 557-2950; www.thehomeshow.com.
Western Pallet Association – Jan. 15-18, annual meeting, Rancho Las Palmas Resort, Rancho Mirage, Ca.; (360) 355-0208; www.westernpallet.org. Black Bart Hoo-Hoo Club – Jan. 19, industry night, Broiler Steakhouse, Redwood Valley, Ca.; (707) 621-0485. Truck Loggers Association – Jan. 19-20, convention & show, Victoria, B.C.; (604) 684-4291; www.tla.ca.
Humboldt Hoo-Hoo Club – Jan. 20, crab freed, Elks Lodge, Eureka, Ca.; (707) 601-9128. Do It Best Corp. – Jan. 22-24, winter conference, Red Rock Resort, Summerland, Nv.; (260) 748-5300; www.doitbestcorp.
Surfaces – Jan. 25-27, floorcovering expo, Mandalay Bay Convention Center, Las Vegas, Nv.; (866) 860-1975; www.surfaces.com. Guardian Building Products – Jan. 28-Feb. 3, market, Caesar’s Palace, Las Vegas, Nv.; (800) 569-4262; www.guardianbp.com.
True Value Co. – Jan. 31-Feb. 2, market, O.C. Convention Center, Orlando, Fl.; (773) 695-5000; www.truevaluecompany.com.
California Forestry Association – Feb. 2-4, annual meeting, Sheraton, Sacramento, Ca.; (916) 444-6592; foresthealth.org.
Willamette Valley Hoo-Hoo Club – Feb. 4, crab feed, Shadow Hills Country Club, Junction City, Or.; (541) 688-6675.
American Fence Assn. – Feb. 8-10, FenceTech & DeckTech, Mandalay Bay Convention Center, Las Vegas, Nv.; (800) 8224342; www.americanfenceassociation.com.
Western Building Material Association – Feb. 9-11, annual convention; Feb. 10-13, Young Westerners Conference, Tulalip Resort, Tulalip, Wa.; (800) 956-7469; www.wbma.org. Los Angeles Hardwood Lumberman’s Club – Feb. 10, pool tournament, Danny K’s, Orange, Ca.; (626) 445-8556; www.lahlc.net. National Roofing Contractors Association – Feb. 14-18, annual convention & expo, Las Vegas Convention Center, Las Vegas, Nv.; (847) 299-9070; www.nrca.com.
Southern California Hoo-Hoo Club – Feb. 16, dinner & meeting, Pomona Valley Mining Co., Pomona, Ca.; (760) 324-0842.
Roof Coatings Manufacturers Association – Feb. 16-18, international expo, Las Vegas Convention Center, Las Vegas, Nv.; (201) 207-0919; www.roofcoatings.org.
American Architectural Manufacturers Association – Feb. 20-23, annual conference, Loews Coronado Bay Hotel, San Diego, Ca.; (847) 303-5664; www.aamanet.org.
Western Wood Preservers Institute – Feb. 21-22, winter meeting, Embassy Suites Downtown, Portland, Or.; (800) 729-9663; www.wwpinstitute.org.
Oregon Logging Conference – Feb. 24-26, Lane County Fairgrounds and Eugene Hilton, Eugene, Or.; (541) 686-9191; www.oregonloggingconference.com. Orgill Inc. – Feb. 24-26, dealer market, Orange County Convention Center, Orlando, Fl.; (800) 347-2860; www.orgill.com.
We turn natural resources into natural advantages. Get the right lumber for the right job.
Gemini Forest Products Industrial Lumber Specialists Los Alamitos, CA .- Redding, CA .-
Gemini Forest Products
Cal Coast Wholesale Lumber, Inc. Pressure Treated Forest Products Alkaline Copper Quat (ACQ) Custom Treating Selected Inventory Available
P.O. Box 673 • 3150 Taylor Drive • Ukiah, Ca. 95482 Phone 707-468-0141 • Fax 707-468-0660 Gene Pietila
Sales for Coast Wood Preserving
Building-Products.com
January 2011 The Merchant Magazine
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ADVERTISERS Index
IDEA File
For more information on advertisers, call them directly or visit their websites [in brackets].
Smart Cookies Market Delicious Homes
Advantage Trim & Lumber [www.advantagelumber.com] .......................49 Anfinson Lumber [www.anfinson.com] .....................................................46 Bear Forest Products [www.bearfp.com]...................................................39 Bodyguard [www.bodyguardwood.com] ...................................................29 Cabot [www.cabotfactoryfinish.com]...............................................Cover III Cal Coast Wholesale Lumber......................................................................53 California Redwood Co., The [www.californiaredwoodco.com].............7-8 California Timberline [www.caltimberline.com] ..........................................4 Capital [www.capital-lumber.com]..................................................24, 42, 49 Claymark [www.claymark.com] ....................................................................3 Columbia Vista Corp. [www.columbiavista.com]......................................30 Compass Lumber Products [www.compasslumber.com]........................40 Enduris [www.enduris.com]..........................................................................5 Fontana Wholesale Lumber [www.fontanawholesalelumber.com] .........54 Gemini Forest Products [www.geminiforest.com]....................................53 Hoover Treated Wood Products [www.frtw.com]................................20, 45 Huff Lumber. .................................................................................................21 Idaho Forest Group [www.idahoforestgroup.com]. ..................................29 Keller Lumber. ..............................................................................................47 Lausmann Lumber [www.lausmannlumber.com]. ....................................41 Malheur Lumber ...........................................................................................28 Master Mark Plastics [www.rhinodeck.com] .............................................47 Norman Distribution [www.normandist.com]............................................11 Nu Forest Products [www.nuforestproducts.com] .....................................3 Parr Lumber [www.parrlumberchino.com] ................................................41 Pennsylvania Lumbermens Mutual Insurance Co. [www.plmins.com]...13 Potlatch [www.potlatchcorp.com] ..............................................................31 Redwood Empire [www.redwoodemp.com] .....................................Cover II RISI [www.risiinfo.com/crows]....................................................................33 Roseburg Forest Products [www.rfpco.com] .................................Cover IV Screw Products [www.screw-products.com] ............................................46 Simpson Strong-Tie [www.strongtie.com] ........................................Cover I Simpson Timber [www.simpson.com] .......................................................35 Siskiyou Forest Products [www.siskiyouforestproducts.com] ...............25 Snider Industries [www.sniderindustries.com].........................................44 Stimson Lumber Co. [www.stimsonlumber.com] .....................................37 Sunbelt [www.sunbeltracks.com]...............................................................42 Swanson Group Sales [www.swansongroupinc.com] .............................27 Taiga Building Products ..............................................................................19 Thunderbolt Wood Treating [www.thunderboltwoodtreating.com].........40 Utah Wood Preserving Co. ..........................................................................43 Van Arsdale-Harris Lumber Co. [www.vanarsdaleharris.net] ..................43 Viance [www.treatedwood.com] .................................................................17 Western Red Cedar Lumber Association [www.wrcla.org]..........22, 23, 29 Yakama Forest Products [www.yakama-forest.com]................................36
Spreading holiday cheer is a cherished tradition at Ace Hardware, Lahaina, Hi., where it unites the community, brings in customers, and encourages employees to work as a team. “We invite the community to come in and take part in the fun—get involved in the holiday spirit,” said store supervisor Korleen Puou, who suggested a “Gingerbread Lane” theme for the recent event. In late November, employee Kellyn Miller built a frame in the store’s center aisle for a 7-ft.-tall gingerbread house. Then other employees decorated it with gingerbread walls, candy canes, graham cracker-framed windows, and 40 dozen cookies—and parked Santa’s sleigh alongside. Once the house was complete, customers could buy kits on sale at the store and create their own gingerbread houses. Store employees also participated, courtesy of kits paid for by manager Timmy Yamasaki. Twenty of the best entries were put on display in mid-December and prizes were awarded a week later in both the adult and kids’ divisions, for first, second, and third place. First prize for customers was a $100 Ace gift card. In the employee division, first price was a $100 gift certificate to a local restaurant. “Everyone came in and took holiday photos,” said Puou. “They enjoyed themselves and got into the holiday spirit. ” TREATERS
WITH INTEGRITY, TAKING CARE OF TOMORROW’S NEEDS TODAY
ACQ ACQPreserve • Borates D-Blaze® Interior Fire Retardant Heat Treating ISPM 15 Compliant • Custom Drying Rail Served BNSF • TPI Third Party Inspected FSC Certified SCS-COC-002513
909-350-1214 15500 Valencia Ave. (Box 1070), Fontana, CA 92335 Fax 909-350-9623 • email – sales@fontanawholesalelumber.com
www.fontanawholesalelumber.com
54
The Merchant Magazine January 2011
Building-Products.com