Kitchens serue up tempting profits

lF YOU'RE not thinking about Ikitchens, you should be, because homeowners are. More than 2.2 million families will remodel outdated kitchens this year for a cost of $4.5 billion.

If you sell cabinets, counter tops, appliances, windows, doors, wall and floor coverings, hardware, plumbing, lighting, lumber, paint and accessories, you are in line for a portion of these sales. Contractors will handle many of the jobs, but lots will be done by the homeowner, so it is necessary to be prepared for d-i-y service.

For contractor sales as well as the d-i-y customer, it is essential to have good displays of the materials you can provide. Very few homeowners want to select items from a catalog these days. The dealer with hands-on displays has a big advantage.

Your store can become essential to the d-i-yer by offering guidance as well as materials. Select a couple of staff members and train them as kitchen counselors. Set up an area where they can meet and work with customers. Stock a wide selection of literature from manufacturers as well as planning guides such as the one published by the National Kitchen Cabinet Association. Decorate the area with photos of attractive kitchens. Have a scrapbook of jobs you have supplied. Offer a clinic on kitchen remodeling and installation.

Vignettes can effectively display cabinet styles, appliances, counter tops, plumbing, flooring and wall coverings as well as extras such as garden windows. A well organized U or L shaped display will showcase the basics plus accessories in a limited amount of space.

It is a good idea to build vignettes in several styles such as country, European or provincial. Use display racks or carrousels to show samples of available colors, textures, hardware and such.

In addition to helping plan the remodeling and providing materials for the job, you can assist the customer in other ways, such as financing. Do you accept bank cards or arrange financing or are you strictIy cash and carry?

Large purchases and small cars

Story at a Glance

Factory-made cabinets change kitchen image . . new coun. ters, appliances, floorc add to new look dealer can be k6y to successlul remodeling.

present problems for many d-i-yers. Do you offer delivery, either complimentary or for a fee? Do you have carts which can safely carry items to the parking lot for customer carryhome? Do you provide cartop carriers or other conveniences for bulky loads?

If a homeowner needs a contractor orwants someone tohelp withpart of the job, can you provide installation service or do you have names of people to be contacted for help? Make up a list ofextra services and be sure that customers know about them.

It's important that you have cooperative suppliers. Do-it-yourselfers as well as contractors schedule jobs with completion dates. If you can't supply the materials at the proper times, you may lose the sale. If you fail to meet an agreed upon delivery date, you may lose your reputation for reliability.

So start thinking about kitchens. Get your suppliers to back you with literature, displays, clinics, co-op advertising. Train your employees. Let your customers know you are equipped to work out the solution to problems they may encounter. You'll become known as "the place to go when you're thinking about kitchens."

CAREFUL planning is needed for successlul kitchen remodeling. You as a dealer can help by providing guidance and service as well as building materials.

Paint Sales on Way Up

Annual paint sales are expected to climb 12.590 during the next five years, rising to 583 million gallons in the 1986/87 period from 518 million gallons in 1982/83, according to a study by Frost & Sullivan, Inc.

Sales of interior paints will grow 13.20/0, to 359 million gallons in 1986/87 from 317 million gallons in 1982/83, a somewhat faster rate than the ll.49o growth forecast for exterior paints. The exterior products shouldhave a1986/87 volumeof 224 million gallons, up from 201 million gallons in1982/83.

Of the four basic paint categories, the interior water-based paints are expected to grow fastest, with consumption rising 19.890 to 291 million gallons in 1986/87 from 243 million gallons in 1982/83. By contrast, interior solvent-based paints will show an 890 volume drop, with 1986/87 volume at 68 million gallons, down from 7 4 million in 1982/83.

Water-based exterior paints will grow by 1690, rising to 152 million gallons in 1986/87 from 13l million gallons in 1982/83, while solventbased exterior paints show only a 2.90/o growth rate to 72 million gallons in 1986/87 from 70 million gallons in 1982/83.

The research firm's study, Trode Sale Paints Market, attributes the drop-off in solvent-based coatings to new government air and water pollution regulations wltich "have stimulated the industryto develop and produce acceptable water-based paints." The result of these shifting patterns is that water-based paints will increase their share of market to 75.90/o by 1987, up from 69.190 in 1980.

The firm's survey of retailers indicated that interior water-thinned products continue to be the topselling product, provide the greatest profit potential for the retailer and receive the most promotional attention. Exterior water-thinned paint ranks second to interior in terms of sales.

Minimally-acceptable gross profit margins were put at 35Vo to 4090 for regular-priced paints and 2l9o to 250/o for sale-priced paints by the survey.

Looking at alternatives to paint, the study found that sales of such products as prefinished panels, flexible wallcoverings and ceiling tiles had been flat to down during the last half of the '70s, but that a recovery can be expected during the first half of the '80s.

Among alternatives to exterior paints, demand is expected to remain weak for aluminum and steel siding, while vinyl products show progress.