etitive ligenGe To market, to market

By Carla Waldemar

A RNOLD Lumber. founded in lA.l9ll in West Kingston. R.1.. has grown from three employees (two of those were Sam Arnold and his wife. Betty, who returned to rejuvenate the family business in 1975) to become a three-location enterprise-the largest independent dealer in the state-with 150 on the payroll. Cheryl Picozzi is among that number, hired in July 2005 by president Bruce Charleson as Arnold's manager of marketing.

The hire merits more than just a passing mention in the "Personals" news column. It means that Arnold considers marketing to its present and potential customers so vital a facet in its continued success that. rather than outsourcing the responsibility. as in the past, the company has committed to securing a fulltime, in-house professional. whose sole job is to promote its growth.

"They put a high value on marketing services," Cheryl underscores Arnold's commitment.

It's no ivory tower task. She spends her time in the trenches, conducting "a lot of interaction with customers. vendors and employees on my part on a daily basis." That comes as no surprise to anyone who's encountered the company's mission statement. which broadcasts, for all the world to see. a mandate to "develop and sustain successful employees. customers and suppliers"-in that order.

Employees come first around here. For Cheryl, that boils down to taking a hand in the company's concern for the training and well-being of its staff. All new hires participate in a half-day orientation program in which they meet department heads. learn of the compa- ny's history and receive its P&L stats. as part of Arnold' unabashed belief in an open book. They're each assigned a mentor to guide them through the unfamiliar waters.

And to assure further smooth sailing on their career path. they're awarded opportunities for continuing education via everything from investing in the Northeastern Retail Lumber Association's program fostering young executives to its Certified Building Material Specialist (CBMS) course of advanced training.

Product training goes without saying. So do stints on safety. ergonomics and customer service. At one point. the entire staff participated in an intensive l.egendary Customer Care (LCC) program. which not only enhanced core service skills but brought people from all three locations together to build a true workplace community. The payoff: Productivity is on the rise and sales have soared 207r. Along with increased profits. damage and shrinkage have plummeted to new lows.

Enough already? Not on your GED. Employees are encouraged to enroll in adult-learning classes to bolster everything from basic reading skills to computer literacy in order to move up the ladder. One hard worker was asked why he didn't try for a forklift job. "l can't read English." he confessed. Well. now he can. and he's advancing. Customers. too. are routinely offered active support. with a strong shot of education in the mix. Fueled by Cheryl's planning efforts. Arnold sponsors three contractor appreciation events a year. geared to the clientele in its three locations. which routinely attract up to 400 contractors and 38 vendors. Her strate-ey for success: "l get it on everybody's calendar far-out. so vendors. especially, aren't taken by surprise and can schedule in advance." The door prizes don't hurt. either.

Cheryl assures Arnold's participation in the region's annual Home Show. renting four booths as a partnering gesture. At the show, Arnold takes a back seat and encourages its builders to man the booth and work the crowd. "We act as more of a resource. a go-to person. so the builders can be upfront and garner leads." she explains the strategy.

She also buys time on a local tv home-decorating program. then turns around and offers it to builder customers. "l feature a customer whose project we film. It doesn't cost them anything, and it gets them out in front of the consumers. They come away with leads."

Arnold's showrooms are in business to help their builders' business, too. Newly remodeled, complete with conference rooms and training centers equipped with multimedia capabilities for presentations, they feature "six or seven brand-new lines-up to date and something for everybody, as a resource for our customers' customers."

Arnold's Door & Millwork Shop merits its own dedicated section of these facilities, alerting consumers to the options of custom work, with its greater margins. These walk-ins-a stronger element at the Wakefield location-also are made welcome, with staff to assist in making choices and offer recommendations of installers. (Arnold prefers to retain loyalty by passing along those leads rather than jump into the installing fray.)

Remodelers are welcome in these showrooms. too. and that's no accident. Unlike many a company, Arnold actively courts this healthy branch of business. "We treat our smaller customers just like our bigger accounts," claims Cheryl, backed up by her boss.

Bruce Charleson knows the familiar story. "Many remodelers feel like they get second-class treatment, behind builders. This creates an easy inroad for dealers who are willing to provide them with excellent service. Extend them the VIP treatment they deserve," he counsels, "and they'll reward you with their loyalty in an industry that is much less cyclical than the building industry."

Go above and beyond, he exhorts. "Adopt a process for distributing consumer leads to your best remodelers and for tracking their progress. And be willing to run $50 worth of materials to a jobsite. These small acts may not be profitable individually," he knows full well, but keep on truckin' because "the cumulative impact on your reputation makes them worthwhile." Bottom line: "Don't just think 'transactional' with remodelers. think 'relational."'

Cheryl buys into that credo, too. She arranges remodeler-specific events ranging from golf outings and other social gatherings to the company's new Custom Remodeler Program (CRP), a training vehicle leading off with Andersen Windows' cooperation "that's taking off very well," she reports. She has designed a marketing kit for enrollees, enabling them to make professional presentation to homeowners. The program is structured to help these customers learn the latest about products and feel more comfortable about their installation, but also to encourage their participation in home shows that spotlight their work for consumers.

They also receive marketing support from Cheryl-another first. She provides jobsite signs, for which they make a token payment ("as a sign of commitment," she explains) and designs and sponsor print ads for them (aided by vendor co-op money). She then funnels the leads produced back to the CRP enrollees, based on prospect location and project requirements.

Call her the industry yenta: "I place the ads in the local papers and the d-iyer calls me. Then I pre-qualify remodelers in our database. This takes the frustration away from the homeowner, who's fed up with unanswered calls." Each lead is assigned a job number so she can track its outcome and assure her boss that the process is working, not simply a "feel good" scheme.

During the current economic slowdown our industry is starting to experience, many a dealer may be tempted to tighten the belt by cutting back on marketing dollars. Not Arnold. "That would be fatal," Cheryl knows. "The emphasis is definitely still there."

- A former award-winning LBM trade magafine editor, Carla Waldemar writes frequently on the industrlt. Contact her at cwaldemar@mn.rr.com.