SURVEY OF INDEPENDENT DEALERS REVEALS LOW USEAGE OF E-COMMERCE

The statistics don’t lie: revenue earned from retail e-commerce is estimated to exceed one trillion dollars in 2023 in the U.S. alone. According to both the U.S. Census Bureau and financial services provider Fundera, 16 percent of all American retail purchases are made on e-commerce sites. Global online sales are predicted to total US$6.3 trillion this year.

But for independent hardware stores and building centres in this country, the reality is quite different. No question, during Covid dealers figured out ways to accommodate their customers with virtual service, including curbside pickup. But that interaction was not always digitally driven. Especially in smaller communities, the telephone is often the preferred way to connect. Hardlines’ latest survey of dealers bears this out.

According to the survey, Canadian hardware and building supply dealers that sell online averaged, in both cases, 0.9 percent. But the overall industry average of online sales for independents, not including Lowe’s and Home Depot stores, is barely 0.1 percent, because the majority of dealers cite no online sales.

There are exceptions to this data. Brent Perry of Alf Curtis Home Improvements, a Castle dealer with three stores based in Peterborough, Ont., admits his online sales aren’t much higher than those of his fellow dealers. But he says it’s not about how much you’re selling online; it’s about being there, about having a presence. (You can read more about this business’s digital activities on page 108—Editor.)

And Perry’s online presence has been assisted by Orgill, the giant Memphis-based hardware distributor, which has introduced a suite of new e-commerce options for its dealer customers. Dubbed Impact eCommerce, the service was presented at the latest Orgill Spring Dealer Market, held earlier this year. The platform enables dealers to sell products online with a truly transactional site.

Dave Audette admits he has a “love/ hate relationship” with his store’s online business. He and his wife, Jessica, are the owners of Lorette Home Hardware, about 20 minutes south of Winnipeg. At seven percent of overall sales, their store’s online business far exceeds the national average for independent dealers.

Dave told Hardlines that, in the week before we spoke, the store received 31 e-commerce orders. They ranged from bone meal fertilizer and fasteners to a gazebo, one order for a barbecue and a lawn mower, and some gardening kits. Other items that sell really well online, he adds, include showers, especially by Maax and Mirolin. In fact, those items sell two times better online than in-store.

Briefly

ALBERTA, ONTARIO DEALERS JOIN SEXTON GROUP

Calgary’s Mountain View Building Materials Ltd. has joined Sexton Group. Tracy Seibert and her late husband Doug founded Mountain View in early 2006. Today, the family business is owned and operated by their sons Joel and Brad, recently joined by third partner Sheila Carr. Meanwhile, Slack Lumber of York, Ont., south of Hamilton, has also joined Sexton. The owners are Mykel Spinks, Nicholas McCollum, and Jonathan Lowenberg.

CALGARY’S STAR BUILDING MATERIALS TO EXPAND

Star Building Materials in Calgary has unveiled an ambitious expansion plan that will greatly increase its output and capacity. The $53 million investment is expected to double the dealer’s production of trusses, engineered wood products, prefabricated wall panels, and interior finishing production. It will also add more than 140 new jobs. Star has operations in Calgary, Edmonton, and Winnipeg.

Gms Acquires Blair Building Materials

GMS Canada Inc., the specialty building products distributor, has bought Blair Building Materials, which has one location in Maple, Ont., immediately north of Toronto. “We are excited to have Blair Building Materials join GMS Canada and our group of strong, in-market branded companies,” said Paul Green, president of GMS Canada. The company sees the move as a way for GMS Canada to increase its market density in the Ontario market.