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Editor-Publisher David Cutler

Senior Editor Juanita Lovret

Assistant Editor David Koenig

Contributing Editors Dwight Curran, Gage McKinney, Ken Thim

Art Director Marlha Emery

Staff Artist Parie Petty

Circulation Alice Nielsen

The Merchant Magazine (USPS 79656000) is published monthly at 45fi) Campus Dr., Suite 4E0, Newport Beach, Ca. 92660, phone (714) E52-1990, by The Merchant Magazine, Inc. Second-class postage rates paid at Newport Beach, Ca., and additional offices. POSTMASTER: Send address changes to The Merchant Magazine, 4500 Campus Dr., Suite 480, Newport Beach. Ca. 92660.

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From all states east ofthe Rocky Mountains: Contact Jean Waggoner, national sales manager. From Arizona, Nevada and California: Contact David Cutler. Both may be reached at (714) 852-1990 or by writing 4500Campus Dr., Suite 480, Newport Beach, Ca. 92660. From Washington State, Oregon, ldaho, Wyoming, Montana, Utah, Colorado and Canada: Contacl Carole Holm at (206) 3400680 or l0l8 Lloyd Building, Seattle, Wa. 98101.

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Dept., The Merchant Magazine, 4500 Campus Dr., Suite 480, Newport Beach, Ca. 92660. Include address label from recent issue ifpossible, new address and zip code.

Subscription Rates-U.S.: $9-one year; $l5two years; $2O-three years. Foreign: one year payable in advance in U.S. fundsCanada or Mexico: air-$351 surface-$30; South America: air-$55; surface-$30; Asia: air-$68; surface-$30; Europe: air-$98; surface-$30. Single copies-$2; back copies-$3 when available plus shipping & handling. The Merchant Magazine is an independently owned publication for the retail, wholesale and distribution levels of the lumberand home center markets in 13 western states.

DAVID CUTLER editor- publisher

How about a hammer and a tank of gas?

TO MANY people, the hardware industry

I conjures up a slightly stodgy image. This is unfortunate because a close examination of today's marketplace soon proves that there is innovation aplenty. To those of you now in hardware, these new developments may mean new rivalry in an already competitive environment.

The Coast to Coast chain, which describes itselfas the largest hardware retail franchiser and the second largest non-food franchising operation in the U.S., has been test marketing some interesting store concepts. The early reports look favorable, the $335 million company says.

In their home base area of Denver, Co., they have teamed with the American Oil Co. (Amoco) to test market selling hardware at gas stations. Their concept is a variation on the gas station/convenience food store idea. In this case the food is replaced by hardware. Utilizing about

900 square feet, they haveinstalled a l0 foot and a 16 foot gondola separated by three two-sided gondolas. The aisles are only two feet wide, the same size as the gondolas (l I inch shelves on each side). The unit, called a Hardware-XPRESS, carries 2,000 SKUs, with three-quarters being hardware items and the balance automotive.

The high foot traffic generated by the gas stationis in marked contrast to the personnel needed for the hardware side. Usually only a cashier is employed, reducing personnel costs to well below $50,000 per year against gross sales on gas approaching one million dollars.

The concept is an intriguing twist on similar merchandising ideas tried in the past. It is also a bright example of the creative thinking being done in the industry as well as an additional notice that stodgy is the wrong adjective to describe the hardware business.

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