
4 minute read
etitive Listen Up!
By Carla Waldemar
lf.r OTTA have a niche. the industry \!gurus tell us-a specialty that sets you apart. Some yards have chosen custom cabinetry; others, power toolsor installed sales. But Connecticut's North West Lumber outdistances its competitors with a feature that doesn't have a SKU or line item on the budget: It excels in listening.
"Over 75% of our customers are pros," says president Aileen O'Hara, "and we love it. We want to be their back office. We look at what their weaknesses are-like how to build their business. where to focus-and listen to what they need."
"Listen" is key. "Lecture" or "dictate" is not. Informally, both inside and outside salespeople are there for their customers"not just to take their money, but to make their jobs easier," O'Hara states the mission.
Formally, North West has instituted several popular programs for its pros-none of which, she's most emphatic, involve pushing product. The company hosts frequent seminars on topics that "directly help contractors with their business, like legal matters, such as how to write contracts; or, we'll bring in an accountant to explain the taxes they're worried about. We get a turnout of about 60, and when we talk about building codes, that number jumps to 125. Once, when we talked about products; attendance was 15." she notes- lesson learned.
To get the word out, North West employs a mailing list that includes every contractor in the state of Connecticut. where the company is located. It's one ofjust five businesses ("the largest") in the "very, very small, rural" town of Cornwall Bridge, two hours' drive from New York City, which drives its $14 million ("and growing daily") annual revenues derived from custom vacation and second homes.
"The seminars pay off," O'Hara documents. "Even if they're not our contractors, they come every year. We respect their loyalty to their suppliers, but if ever they feel a need to change, they remember our name; they've been here, seen our yard, and keep us in mind." Yes, it's working, just as planned.
Newsletters sent to the same extensive mailing list underscore North West's urge to partner. They include articles by owner Ralph Sandmeyer, who took over his father's hardware store in 1984 and grew it into a successful lumberyard. They also recap highlights of past seminars and announcements of future meetings. "Maybe there'll be a focus on bookkeeping, helping the pros make that
Both inside and outside salespeople are there for their customers-"not just to take their money, but to make their jobs easier."
[hiring] step-a hard decision for them," Aileen notes. "Or, computer programs-how useful they can be. These guys may need a push, but when it fits their business, they'll give us a call," she says.
North West also hosts several roundtables per month, each with a membership of 16 top contractors. Again, listening is the mantra. Customers, Aileen says, "select the topics; they set the agenda, then we do the research. This way, they get the material they're looking for."
"We do not talk about North West," she insists. "It's anything and everything but products: insurance. like workers' comp; hiring subs vs. employees; awareness of their rights vs an irate homeowner's in legal contracts. These are held for three hours in an evening, so they really have to want to be there. The feedback is really great, like 'really worth my time."'
Golf outings offer another prime opportunity to build relationships with key contractors. "It's money wellspent," O'Hara is convinced. But about builders' shows. she's had second thoughts: "We were formerly involved, but now we're finding that the big pros aren't coming, just sending their employees," she notes.
North West's new goal is to concentrate on architects. Its first Architects' Day featured a free all-day seminar earning AIA credits, which drew 60 attendees from a "huge radius; some had to drive three hours. (The attendance now is up to 85.)
"We give them something, and in return they get to know North West. We display our products and they meet with our vendors. We try to partner with them, because very often, they're the decision-makers. They have a list of contractors they feed, so as we build relationships, they'll start spec-ing our products. And if one contractor goes under, the architect will find another. and he becomes our customer. so we then build that relationship," she explains her line of thinking.
That brings 'em in. What brings 'em back?
"Service," she says (no surprise). "Our employees are our strength. Other yards offer the same free delivery, the same products and the same prices. We've had very little turnover in our 20 years, so when a contractor comes in, he's at a comfort level with the knowledge level of our staff."
They'll go the extra mile-literally, making deliveries after hours on their way home, for instance. "And the owner will come in on weekends and open the gates if they need him," she says. "He's got a way of doing business that retains employees, too," she states. "They're not micro-managed. They're free to make a decision-and it's the right decision, because they know their customers. And we offer ongoing training," she underscores.
This focus makes competition almost a non-issue. Sure, boxes are located a half an hour in each direction, but "they don't have the employee knowledge. Plus, we do a lot of custom work. at which the boxes aren't effective.
"Our newsletter is our main advertising: we believe in keeping our name in front of people. But we also contribute to local efforts, like for kids or the arts, because usually a contractor is behind those, too."
Ideas for improvements come, once again, from listening. "Listening to contractors is all we do: find out exactly where their needs are, then serve them. Plus, we listen to what's out there, like networking with other dealers to learn what's worked for them. And we don't have a problem sharing our ideas, in return."
O'Hara not only has worked her way through the ranks from bookkeeping to sales and buying to the president's office, she's also recently been elected as the first female president of the Lumber Dealers Association of Connecticut.
Is it a bonus or a demerit to be a woman in this business? "A challenge, for sure, but an interesting one," she relates. "When I began, it was a man's industry." Back then, among her peers, "The lumberyards were a different generation, who hadn't worked with women. So they had to get comfortable, at meetings. At first I was the only woman; now, there are five to 10.
"With customers, it's no problem," she professes. "Over the years, I've earned their respect. In our company, there are quite a few other womentruck drivers, dispatchers, salespeople."
She won't be leaving any time soon. "I like the work because there's such a variety. The owner and I go wherever we're needed, jump in a truck. Something new always comes up, so it's never dull."
- A former award-winning LBM trade magaline editor, Carla Waldemar writes frequentll: on the lumber and building material industry. Contact her at cwaldemar@mn.rr.com.
