Another yard gets into the profitable outdoor living business

fUNE IS Bt STIN out all or-er. and J western lumber dealers can cash-in on the shift to outdoor living to boost their sales of garden and patio items.

A southern California yard is going after the outdoor living trade in a big way, evidenced by the recent unveiling of a new addition to their bustling operation in Ontario, Cali{.

Ontario Lumber Co. kicked off their new "Outdoor Center" with a grand opening that gave their yard a carnival atmosphere, with banners, colored balloons, and manufacturers reps who set up booths at the center to "pitch" their products. A two-page spread in the local paper heralded the opening.

How does a lumber dealer adapt his operation to sell such products as fertilizers and flower seeds? And why? Let's ask Bob Mohler and George David, part' ners in the management of the progressive Ontario operation.

'oThe manufacturers did most of the work," explained Mohler. "They helped us u'ith the layout of the new building, gave us tips on what type of inventory to carry and offered us help on how to display it."

The big decision in expanding their operation wasn't how to do it, according to the lumbermen. When the property adjacent to the yard became available several months ago, the partners jumped at the chance to pick up the additional space. The problem then was how to best make use of the expansion.

"We had always done a big business in garden items... rakes, shovels, hoses, etc.," lVlohler said. "We knew what the nurseries and garden shops in our trading area were stocking, so we worked up an inventory mix that would offer us a share o{ these sales," he added.

Fertilizers and flower seeds may seem stranse fare for the traditional lumber yard, but dealers Mohler and David have found that practically anything rlill sell if properly displayed. In addition to the standard building materials menu, the yard has sold hand lotion, sunglasses and even fruit cakes!

"We'd sell the front door if someone wanted to buv it." mused Mohler.

At the center of Ontario Lumber's retailing philosophy is a basic marketing principle-increase traffic and build sales. To accomplish this, the dealers have developed an extensive advertising program. The firm budgets three percent of sales to advertising, which they divide between newspaper, direct mail and the Yellow Pages. A recent experiment with radio spots on a local station drew poor response. Most successful format has been teaser ads in the local newspaper featuring price specials.

The yard recently invested in addressograph equipment which they use in expanding their direct mail program, particularly to their credit customers who constitute about 65 percent of their sales.

Their credit policy is a standard 30-day net, with an extension to 90 davs on larger purchases. On accounts past 30 days, they add a Ir/Z percent service charge. Average age of accounts is about .16 days.

Ontario Lumber offers an excellent example of how a relatively small yard (annual gross sales: approx. $750,000) can

Story dl a glonce

How one yard worked with manufacturers to get the know how needed to get into the garden and patio item market.

compete with merchandising as Wickes, which operates a same city.

Partner George David, in giants such yard in the fact, drew much of his merchandising know-how from the Wickes formula, having served as manager of the firm's Salida, Calif. yard for three years. A native of Detroit, Mich., George attended the University of Michigan where he captained the hockey team. Migrating to California in 1946, he signed on at Ontario Lumber rvhere he worked until 196l when he joined Wickes.

Bob Mohler hails from a lumber family in Canton, Ohio. After studying civil en. gineering, he took a whack at operating a photo studio before venturing to California in 1949, where he got his first job at Ontario Lumber. He's hung his hat there ever since.

The two have been partners at the yard for the past two years. They bought out the former owner, Carr. E. McCauley, who founrlr:d the yard in 1945.

PR00UCI DEM0t{SIRAIl0t{S were conducted durine opening day celebration: (11 Minwax's Bernie Kahn gjves p'o-spect tips on wood finishing (? Al pulsifer of Dau's Good paints was on hand to answer ques.tions and (3) John Best (right) manned the mobile display- of Millers Falls tools set up in the parking lot at 0ntario Lumber.

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