NflONTANA NtrWS

By R.V. PETERSEN executrve secretary

T HE home repair and modernization

I market has been estimated at a national level of $20 billion annually. Current shortages of mortgage money and current high interest rates may lead to significant upward re-evaluation of that potential for the building material industry.

Certainlv in Montana the slack occasioned by the decline in housing starts has been an important factor in changing the attitude and emphasis of the typical retailers' sales philosophy. There is no question that many families who have entertained ideas about building new homes have adopted alternate perspectives and, rather than try to cope with material shortages, inflation and tight money, have embarked upon a program for improving their present homes. will be encouraged to serve on WBMA committees and get more directly involved in association activities.

Adapting to such realignment or priorities has been no problem for dealers in this area. The new home market has rather generally contributed the plus or bonus sales for many dealers who basically depend upon sales to the do-it-yourself buyer and to the repair and remodeling contractor. This is the business which has helped maintain sales volumes this year at about last year's high level. And, to judge by present indications, even without specific relief in the form of readily available construction monev or more attractive interest rates, the irrospects for the balance of the vear look favorable.

President Bud LaMarr opened the first business session consisting of small round table groups discussing various industry problems. This type of open discussion proved very beneficial and the participants would have liked more time. Saturday's luncheon program opened with a report by u.p. Jack Olson on YWC's participation in the WBMA All-lndustry Marketing Conference in Olympia on May 19-20.

That afternoon Ross Kincaid conducted the excellent Desert Survival Problem involving both YWC members and their wives. Participants evaluated this program as one of the greatest exercises in individual and team decision making of any they had participated in.

Next day, six panelists from the retail, wholesale and manufacturing segments of the industry presented ideas on what could be done to streamline the channels of distribution. The discussion proved exciting and controversial and brought about a better understanding of each segment's strong and weak points.

Many factors combine to make home improvement the.essential ingredient in the sales mix. The aggressive dealer has learned to cater to the needs and desires of his customers for more satisfactory living in existing homes. He considers the opportunities presented by that segment of the population constantly on the move and hence prime customers for materials to improve their new quarters. A convenient location is definitely to the dealer's advantage, but a good reputa- tion is highly important and fosters favorable recommendations from friends and neighbors. Good stocks, good quality, good service, cleanliness and friendliness - all are attributes helping to attract customers. And godd advertising. Newspaper, radio and TV, Yellow pages, "welcome" or "getacquainted" services are generally available. Each dealer must determine the most effective medium for his area, his operation, his clientele. He must plan his sales increases. not sit and sweat them out.

Regardless of the nature of the package, selling is the name of the game, And even in the most confused market a good sales program will yield results.

More Particleboard in Gabinets

Kitchen cabinet and vanity manufacturers' thirst for particleboard continues with the industry expecting to use 20Vo more next yeal, says a recent survey by the National Particleboard Assn.

In kitchen cabinets, drawer sides and backs showed the greatest percentage increase from two years ago when a similar study was conducted, more than doubling in each case. Shelves became the number one application with 92% of the respondents indicating usage; up from 64% two years ago.

In vanities, doors are the leading application using particleboard with 78% of the manufacturers; shelves and sides are close runners-up, with 73Vo and 70% respectively.

The Total Marketplace

The National Building Material Distributors Assn's 23rd annual Fall convention in Los Angeles, Nov. 913, will emphasize "The Total Marketplace" aspect of this annual gathering of manufacturers and distributors of building material products.

The theme 'The Total Marketplace' was selected because it reflects the fact that this convention attracts the broadest range of distributors and manufacturers in the industry. It will be a 'one-stop shopping tour' for all the ideas and products in the building material field.

The appointment of a full time representative in San DiegoNorm Nickel. He will be contacting our good friends and prospects throughout San Diego County, where the So-Cal Commercial telephone number is (714) 427-5300.