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Lowe’s,

Canac

Former

Tony Cioffi is appointed president of Lowe’s Canada

Women leaders at Home Hardware honoured

Canadian Tire celebrates 100th with marketing and messaging

CHRISTINA MANOCCHIO, EDITOR

PARTING WORDS

Imade the tough decision a few months ago to leave Hardlines and pursue other opportunities. It’s been a privilege to edit HHIQ. It’s been a great ride and I want to thank everyone in the industry for their support of what we do here.

I hope my final issue of HHIQ is a great one and that I’ve left on a high note. This edition is packed with advice and infor mation from industry experts.

Marketing can be a tricky area for a home improvement store at the best of times. Add in the pandemic and rampant inflation and the marketing puzzle becomes even more complex. Our marketing article (page 40) highlights some innovative new tactics from BMR, Home Hardware, and Lee Valley Tools, among others.

Our cover story this month (“City Limits,” page 18) focuses on urban retailing. Hardware stores in downtown areas have been disappearing due to high rent and demand for housing. But that hasn’t stopped some big city home improvement retailers from hitting it

out of the park. Our article starts with the success of Hillhurst Hardware, Calgary, and then we move on to look at Southridge Hardware in Delta, B.C. and Cook Street Castle in Victoria, B.C. Bill Morrison, retail consultant, adds his own perspective to our story.

On the building supply side, John Caulfield has penned an article (page 32) about how to get better feedback from your contractor customers. As we emerge from the pandemic, there’s no better time to ask your pro customers how they are doing and how they feel that you are doing. Read this article and get some tips to possibly upgrade your own customer feedback mechanisms.

It’s been a pleasure to write about this industry and, once again, thank you for reading.

It’s been a privilege to edit HHIQ

I want to thank everyone in the industry for their support.

“ ”

ROUNDUP

TONY CIOFFI APPOINTED PRESIDENT OF LOWE’S CANADA

Canada’s number-two home improvement retailer has a new boss. Tony Cio was appointed president of Lowe’s Canada at the beginning of the year, replacing Tony Hurst, an American who had been sent up at the beginning of 2020 to steer the Canadian division.

Hurst has returned to Lowe’s U.S. as senior vice president of pro services and international. Cio reports to Hurst in his new role.

Cio actually had the top job in Canada once before. He served as Lowe’s Canada president on an interim basis following the departure of former Lowe’s Canada president Sylvain Prud’homme in October 2019. During that time, Cio kept the company on track while a new CEO of the parent company, Marvin Ellison, got a handle on the Canadian operations.

Cio was most recently Lowe’s Canada’s senior vice president, stores. He joined the company in 2016 as senior vice president,

nance,

Tony

Canada,

WOMEN LEADERS AT HOME HARDWARE HONOURED

Two senior employees at Home Hardware Stores have been recognized as outstanding leaders in the 12th annual Top Women in Retail report published by the Women in Retail Leadership Circle.

Marianne Thompson, senior vice-president, merchandise, was named as a 2022 Top Women in Retail honouree. Jessica Kuepfer, director of communications, was recognized as one of this year’s Women on the Rise.

Top Women in Retail honourees are selected based on criteria such as position within their retail organizations, scope of responsibility, career achievements, and involvement within the retail industry.

Women in Retail Leadership Circle is a community of women executives at leading retailers throughout North America. It has a mission to foster leadership development for members through events, content, and connections.

as well as group nancial o cer. Before joining Lowe’s Canada, Cio held leadership roles at ADT Canada and Bell

Helicopter Textron Canada. He also served as president and CEO of the Reader’s Digest Association (Canada).

OF THE HOME IMPROVEMENT INDUSTRY Visit Hardlines.ca for breaking news in the Home Improvement Industry

Cioffi was appointed president of Lowe’s

replacing Tony Hurst, an American who had been sent up at the beginning of 2020 to steer the Canadian division.

Marianne Thompson Jessica Kuepfer

CANADIAN TIRE CELEBRATES 100TH WITH MARKETING AND MESSAGING

With a 100-year history behind it, Canadian Tire has gone to market this year with messaging that draws from that history.

At the beginning of the year, the company rolled out a TV ad that featured segments from ads over the years. In addition, the company recruited a number of Canadian celebrities to share their memories of their experiences at Canadian Tire—including a funny bit by Ryan Reynolds on Instagram.

Canadian Tire has even added a scented candle to its line. Called Canada’s Scent, it smells just like a Canadian Tire store.

Canadian Tire got its start in 1922, when two brothers, John William Billes and

Alfred Jackson Billes, bought a tire reseller in Toronto called Hamilton Tire and Garage Ltd. e company’s rst Canadian Tire store, still in operation, was on Yonge Street and Davenport Avenue in midtown Toronto.

With more than $18 billion in consolidated retail sales through more than 500 stores, Canadian Tire is one of Canada’s largest retailers. It is located in every province and territory except Nunavut. Stores are independently operated and co-owned by Canadian Tire’s associate (franchise) dealers. e dealers own the xtures, equipment and inventory, while the head o ce owns the real estate.

BRIEFLY

PEAVEY TO ENTER MARITIMES WITH NOVA SCOTIA STORE

Peavey Mart will enter the Atlantic Canada market in September when it opens its fi rst store east of Ontario. The 39,000-square-foot Bedford, N.S., location will be the farm and ranch retailer’s 90th overall.

GIANT TIGER TEAMS UP WITH DEBBIE TRAVIS

Giant Tiger Stores Ltd. has forged a partnership with TV interior designer Debbie Travis to promote a new home décor collection. The Debbie Travis Collection is now available in stores and includes decorative pillows and throws, quilts and bedding sets, bath linens, shower curtains, and window curtains.

BMR DRIVES PERFORMANCE AT SOLLIO GROUP

Sollio Cooperative Group closed the fi scal year with sales of $8.3 billion—up 10 percent from the previous year, despite a downturn in profitability. However, Sollio’s retail division fared well, thanks to a banner year for its BMR Group division. Demand for construction and renovation materials remained high, offsetting the impact of challenges ranging from supply chain pressures to rising container prices.

FEDERATED CO-OP REPORTS STRONG YEAR

Federated Co-operatives reported more than $9 billion in revenue and $495 million in earnings for fiscal 2021. That was up from $7.9 billion in revenue and $177 million in earnings in 2020. Its Home and Building Solution business, which serves Co-op home centres, generated $451 million in wholesale sales, representing a 24 percent increase over 2020 and a record year in topline sales for the division.

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Hardlines Home Improvement Quarterly

ROUNDUP

TORBSA FOCUSES ON GROWTH WITH NEW MEMBERS—AND A KEY NEW HIRE

TORBSA, the Ontario-based buy ing group, has experienced a lot of growth over the past year. Once content to hold a role as a small, boutiquetype group with a couple of dozen members, mainly in Ontario, it has since set its sights higher.

“We’re trying to grow the business,” says TORBSA president Paul Williams. He refers to the trend of ongoing consolidation within this industry, where “there’s a real emphasis on growing at the buying groups—not just with us, but our competitors as well.”

Just before press time, TORBSA signed Pro-Depot, a contractor-specialist supplier in the Montreal borough of Lasalle. Before that, the group added PSC (Produits & Services de la Construction) and Apex Construction Specialties. With four locations in Quebec, PSC has distributed specialized construc tion materials since 1957. In 2017 it entered the Atlantic market with the acquisition of Newfoundland-based Apex.

Just two months earlier, ADSS Building Supplies, with locations in Edmonton and

Calgary, joined the group as well. It joined another new member from the west, JDS Building Supply in Saskatoon. Under com pany founder Justin Scheuer, JDS services the commercial and residential stucco and exteriors markets across Saskatoon and sur rounding areas.

Earlier in 2021, TORBSA signed two more dealers in the Greater Toronto Area. In June, it added Peridot Supply in Brampton, Ont., which has a focus on the commercial and residential roofing mar kets across the GTA. And in April 2021, TORBSA announced the addition of RB Building Supply in Brampton, Ont.

Finding the right fit to help it grow in Quebec took some searching, but just before Christmas, TORBSA announced the appointment of John Longo as business development manager for eastern Canada. Longo brings more than 20 years of experi ence to the role, having recruited for RONA, Lowe’s Canada, and BMR. “His phone is ringing off the hook thanks to his wealth of connections,” says Williams.

Growth is coming from existing mem bers as well. Pro Con Building Supplies, based in Brampton, Ont., has opened a third location—with a fourth on its way. A brand new location is to open in May in Oshawa.

LOWE’S, HOME DEPOT POST BIG JUMPS IN EARNINGS, COMPS

The industry’s two largest players reported strong fourth-quarter and year-end results, both offering an indication of the continued buoyancy of home improvement retailing in North America.

Home Depot reported Q4 sales of $35.72 billion, up 10.7 percent, while comp sales grew by 8.1 percent. Earnings for the quar ter came to $3.21 per share. Home Depot’s divisions in the U.S. posted positive comps of 7.6 percent in the fourth quarter while the Canadian division actually achieved doubledigit comps.

For the fiscal year 2021, Home Depot earned $16.4 billion on sales of $151.2 bil lion, which were up 14.4 percent. Comps for the year were up 11.4 percent.

A day later, Lowe’s released its numbers, announcing fourth-quarter earnings of $1.21 billion, or $1.78 per share, up from $978 mil lion ($1.32 per share) a year earlier. Sales rose to $21.34 billion from $20.31 billion. U.S. same-store sales grew by 5.1 percent.

For fiscal 2021, Lowe’s reported earnings of $8.4 billion on sales of $96.3 billion, up from $5.8 billion and $89.6 billion respectively. For

the year, comp sales increased by 6.9 percent.

Looking ahead, both companies are dis playing caution. Forecasting its performance for 2022, Lowe’s expects total sales of $97 billion to $99 billion, with the occurrence of a 53rd week expected to increase total sales by between $1 billion and $1.5 billion. Comparable sales are expected to range from a decline of one percent to an increase of one percent.

Similarly, Home Depot expects sales growth and comparable sales growth to be slightly positive in 2022, while its operating margin is forecast to be flat compared to 2021.

CANAC GROWS WITH NEW STORES AND EXPANDED DC

QUEBEC DEALER JOINS CASTLE

Matériaux de Construction Létourneau has joined Castle Building Centres, building on the buying group’s growth in Quebec. Based in Waterville, it also has a location in Bromptonville, a borough of Sherbrooke.

CANADIAN ACQUISITIONS HELP DRIVE SALES FOR GMS

Gypsum Management & Supply Inc. saw Q3 sales rise by 53.6 percent to $1.15 bil lion. Earnings of $61.4 million were up from $16.1 million in the comparable period of the company’s fiscal 2021. Strong residential markets boosted sales, as did GMS’s acqui sitions of D.L. Building Materials, Westside Building Material, and AMES.

PRINCESS AUTO MAKES FORBES LIST OF TOP COMPANIES

Quebec home improvement chain Canac is expanding at a rapid rate. That includes new stores and the construction of a store and ful filment centre in Lévis, on the south shore of Quebec City.

The distribution centre is the prior ity for the privately-owned company, says Canac’s marketing director, Patrick Delisle. He expects that DC to be opera tional by the end of 2022 or early 2023. “As for the store that is planned to go with it, it will probably take a few years. We already have Contrecœur near Montreal planned out for the end of 2022.”

The new facility will enable Canac to take the pressure off its already overbur dened delivery centre on the north shore, where Canac’s head offices are located.

“For many years now the old delivery centre hasn’t been able to keep up with our growth,” Delisle said. The new loca tion responds to a need to shorten deliv ery distances and overcome the increased

volume of traffic over the two bridges that span the river at Quebec City. “Now with DCs on both sides of the St. Lawrence River, we can serve more clients and go a little farther.”

The latest expansion efforts tied in with the completion of a second building at Canac’s Drummondville, Que., distribu tion centre. The 432,000-square-foot struc ture is geared toward seasonal products and building materials. It sits on a millionsquare-foot lot that Canac purchased in 2019, situated in an industrial park opposite a DC Canac already has there.

The planned opening of the Contrecœur store, which began construction last sum mer, follows the opening in the spring of 2021 of Canac’s 31st store, in La Prairie, Que. And despite delays, Canac remains on track to open a new store in Rivièredu-Loup, Que., sometime in 2023. The chain acquired the site in 2017, but envi ronmental regulations, among other fac tors, held up construction.

Princess Auto made Forbes ’s 2022 list of Best Employers in Canada, coming in at number 43. Forbes partnered with mar ket research firm Statista to compile the annual list by surveying more than 10,000 Canadians working for businesses with at least 500 employees.

LOWE’S CANADA TO ELIMINATE PLASTIC BAGS

Lowe’s Canada is the latest retailer to ramp up efforts to eliminate plastic bags in its stores. It will gradually stop offering single-use plastic shopping bags in corpo rate stores and participating RONA affili ate stores by June. The company, which started charging for these bags in the summer of 2018, is continuing its efforts to minimize the environmental impact of its operations. So far, the initiative has resulted in 24 million bags being elimi nated at the store level.

BRIEFLY

Canac’s latest expansion on the south shore of Quebec City ties in with the completion of a second building at Canac’s Drummondville, Que., distribution centre.

FORMER DEPOT EXEC PENS BOOK, RECALLS CANADIAN ENTRY

Jim Inglis can count himself as one of the pioneers in the retail success story that is e Home Depot. A er spending 13 years in a series of executive positions in the early days of Orange Crush, he went on to consult for some of the top home improvement retailers in the world. ey include Sodimac in South America and Hornbach in Europe. Now, he’s the author of a new book, Breakthrough Retailing: How a Bleeding Orange Culture Can Change Everything

Inglis fondly recalls his decision to join Home Depot. In the early 1980s, the big box was considered an outlier, and not a very viable one at that. “I asked around the industry about this new thing called Home Depot, and was told, ‘Boy, stay away from those guys. ey’re crazy!’ It was a big leap of faith to nally join the Depot. But certainly it was a very good decision and was a great ride.”

Inglis speaks of one of the founding fathers of Home Depot, Pat Farrah, with fondness. “Every new concept in retail requires a merchant prince. For Home Depot, Pat was the merchant prince. He was that spark of creativity and ingenuity.”

If Farrah was “the creative genius,” the two other founders, who built the business over the longer term, likewise had their roles. Arthur Blank was “the financial genius,” while Bernie Marcus was “the ombudsman,” he says. “Bernie was the guy that would always be listening to the customers. He’d be listening to the vendors. He’d be listening to the financial community. He’d be listening to the employees. As a result, he created an environment where we were responsive to our customers, responsive to our stores. That was his contribution. Each of

Jim Inglis, who became one

executives at Home Depot, writes that the retailer was disrespected in its infancy. “l was told, ‘Boy, stay away from those guys. They’re crazy.’ ”

those gentlemen had a very specific role in creating that culture.”

Inglis recalls Home Depot’s entry into Canada. e Canadian industry had been closely watching the rise of Home Depot and several companies were developing big boxes of their own. One, in particular, was best poised for success. Aikenhead’s had been developed by a former Home Depot exec. “We determined that we could enter Canada faster and more pro tably if we purchased Aikenhead’s,” Inglis said.

of the key

BY CHRISTINA MANOCCHIO AND STEVE PAYNE

CITY LIMITS

Urban retail environments are rapidly changing, driven by condo towers that are springing up in Canada’s major cities. What does this mean for the once-commonplace city hardware store? Unless they are specialty stores, dominant in a particular niche like HILLHURST HARDWARE, Calgary, the writing might be on the wall.

Hillhurst Hardware

Photography: Colin Way

Hardlines Home Improvement Quarterly

Some of the team members from Hillhurst Hardware, Calgary. From left: Randy Laroche, Stacy Pawlowich, Phil Larkam, Jackie Larkam, Abdellatif Eldood, Mike Perry.

The downtown areas of many Canadian cities are undergoing rapid densi cation—driven mostly by condo towers. Urban Canada is undergoing its biggest transformation since the rise of the skyscraper in the 1930s. is article looks at how these changes are a ecting urban hardware stores.

Running a successful hardware store in the city has always been a challenge because of higher real estate costs and limited space. Home improvement stores which are still thriving in downtown environments have become rare. Hillhurst Hardware in downtown Calgary is one such business.

e 5,500-square-foot Hillhurst store was founded in 1945 by Abraham Singler, a Montreal native who moved to Calgary a er serving in World War 2. He opened

his store on a loan and a handshake. Money was tight, so Singler slept in the basement of the store rather than buying a house. Back then, Calgary had less than 100,000 residents. e working-class neighbourhood of Kensington, just north of the Bow

River, where Hillhurst is located, looked far di erent from the hip “urban village” that it has become today.

Today, Hillhurst Hardware is being operated by the third generation of the family. Husband and wife owners Phil and Jackie

Husband and wife team Jackie and Phil Larkam are the third generation of the family to operate Hillhurst Hardware.

Why ?

Why ?

• Are you a successful hardware retailer looking to retire?

• Are you a successful hardware retailer looking to retire?

• Do you want to avoid the hassle of trying to sell your business to an unqualified buyer and instead work with a company that has a proven track record with acquisitions and due-diligence processes in place to execute a deal quickly?

• Do you want to avoid the hassle of trying to sell your business to an unqualified buyer and instead work with a company that has a proven track record with acquisitions and due-diligence processes in place to execute a deal quickly?

• Are you independent and thinking you should introduce a brand to your business that will provide the kind of great business, product, marketing and distribution support ACE Canada dealers enjoy?

• Are you independent and thinking you should introduce a brand to your business that will provide the kind of great business, product, marketing and distribution support ACE Canada dealers enjoy?

These questions are all answers to ‘Why ACE Canada?’ –and there are many more unique situations, questions and answers. Peavey Industries LP and ACE Canada invite you to further explore ‘why ACE’ may be the perfect fit for you, your business and your team. Please reach out to us at joinACE@peaveyindustries.com to find out more about the benefits and solutions ACE Canada can offer for your unique situation.

These questions are all answers to ‘Why ACE Canada?’ –and there are many more unique situations, questions and answers. Peavey Industries LP and ACE Canada invite you to further explore ‘why ACE’ may be the perfect fit for you, your business and your team. Please reach out to us at joinACE@peaveyindustries.com to find out more about the benefits and solutions ACE Canada can offer for your unique situation.

Not Available to Rona Dealers.

Not Available to Rona Dealers.

Are you a dealer considering converting to the Ace banner? We want to hear from you too – and can provide you with the information you need while highlighting the many benefits of joining the ACE Canada family.

Are you a dealer considering converting to the Ace banner? We want to hear from you too – and can provide you with the information you need while highlighting the many benefits of joining the ACE Canada family.

Larkam

Hillhurst is an unusual store in many respects, starting with its proudly independent status: It is not a member of a co-op or banner group. Above all, Hillhurst is a contractor specialist store. Pros come to its downtown location from all over Calgary and beyond. “We carry almost anything a framer, cribber or nisher will need when it comes to tools and fasteners,” says the store’s website.

Manager Mike Perry said that the store is such a big player in contractor tools that it can buy direct. “We buy direct from manufacturers,” said Perry. “We have arrangements with di erent guys [suppliers] locally

but most things are direct. We punch above our weight, that’s for sure.”

In an era, especially since the pandemic, when online shopping has gone supernova, Perry says that Hillhurst Hardware is happy doing business the old-fashioned way, face to face. “We barely sell anything online,” said Perry. “Contractors want to come in and hold the tool, feel the balance of it. ey want to put on a tool apron and feel the weight of it.”

a mayor who kept pushing higher density. We’re seeing more townhouses and condo towers with main level retail stores. We are by far the oldest store on our block.”

Hillhurst has adapted well to the nearby developments because it is a store that caters to the pros. “All the construction going on is, in some aspects, pretty good—because it’s right on our doorstep,” Perry said. “With the congestion and everything, it’s getting busier down here. Sometimes it’s hard to get product in but we work around that.”

But things are rapidly changing with the increasing densi cation of downtown Calgary. e city is already one of the most condo-populated cities in Canada with 22 per cent of its citizens living in condos at the time of the 2015 census. Perry says that trend is just accelerating. “We’ve had

Perry feels that the family wouldn’t be able to open a hardware store in their current location today. “Realistically, if we were trying to open this store now, let’s say starting fresh and doing what we do, we wouldn’t be able to be in this area. We would be in a commercial area, convenient for the whole community,” said Perry. e rents downtown are ferocious. Fortunately, Hillhurst owns its own building. “If we didn’t, the lease would be astronomical,” Perry said.

Hillhurst operates in a prosperous local area nowadays. Average household income was reported as $92,236 in the 2015

(Jackie is Abe’s granddaughter) have teamed up with Jackie’s brother Mike Perry, who is the manager.

Hillhurst Hardware manager Mike Perry is happy doing business the old-fashioned way, face to face.

All the construction going on is, in some aspects, pretty good—because it’s right on our doorstep.

”

census. But, again, Hillhurst Hardware is more focused on contractors from all over Calgary than it is as a neighbourhood hardware store, as important as that role remains.

WRITING ON THE WALL?

While Hillhurst Hardware in Calgary has been able to thrive with the towers popping up around its store, urban densi cation is relentlessly taking over spaces that once hosted home improvement retailers.

Take Southridge Hardware in Delta, B.C., for example. e condo towers keep proliferating in the Greater Vancouver Area in which it operates. Today, more than 30 per cent of all households in the GVA are located in condo buildings.

Southridge Hardware is currently located in an older 42,294-square-feet shopping mall, Nordel Centre, which was bought by a developer for a reported $21.35 million in mid-2021. “ e writing is on the wall,” said Tony Deane, operations manager at the store. “We think he’s going to tear it down. Council wants a ordable housing. We think they are going to go that route.” e store’s lease is up in July 2022. Finding a new space that could accommodate Southridge Hardware’s requirements will be nearly impossible, Deane explained. “It just wouldn’t make sense for

us [to relocate] since there are certain things we would need,” Deane said. “It would just make it very, very di cult.”

Southridge Hardware was established some seven years ago by Tony Deane’s father, Terry Deane. “It was a pet project for my Dad,” Deane said. “He wanted to give it a go. It was next to a pub that my Mom and Dad would go to.”

e Deane family are veteran Vancouverarea building supply dealers (ex-Hollyburn Lumber) who also operate Southridge Building Supplies in Langley, B.C.

“We always thought of the hardware store as a standalone operation,” not as just another way to promote the building supply side of the business, Tony Deane said. “It did OK. We thought it would do better.”

e unit that now houses Southridge Hardware had once been a Home Hardware, Deane recalls. It was vacant for a few years before the Deane family opened their hardware store. e former hardware store was doing well but the owner wanted out when

“the

started to

Tire, Home Depot, RONA. I think he saw the writing on the wall.”

URBAN HARDWARE AS A CONCEPT

So, as urban areas densify, hardware stores are being pushed out. “ ere’s no lack of opportunity (for hardware stores),” says Bill Morrison, retail consultant. “Downtown Toronto, Vancouver, Montreal, Calgary, and Ottawa are vital areas with a lot happening. Obviously, lots of people that potentially could shop a hardware store,” said Morrison.

But urban areas are problematic for hardware stores because a home improvement retail business require three things, Morrison explained.

“One, it requires a relatively large space because customers want a complete

boxes

ourish—Canadian

Southridge Hardware founder Terry Deane, now retired, with his son Tony Deane, who manages both of the family’s outlets: the hardware store in Delta and a building supply in Langley, B.C.

It just wouldn’t make sense for us [to relocate] since there are certain things we would need. It would just make it very, very difficult.

“ ”

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solution, lots of parts. A hardware store requires many items to get it right, many sizes of hooks, nails, screws, tools, and many other things that come with servicing a community’s needs,” Morrison said.

Another requirement is access to potential employees who can understand the complexities of hardware and home improvement. ese types of employees are not always easy to acquire in downtown areas.

URBAN RETAIL

And the third necessary component of a hardware business is reasonably-priced real estate, which is extinct in most downtowns.

“ ere are examples of Home Hardware stores that do very well in urban environments,” said Morrison. “ ey’re able to manage their real estate costs and that allows them to have relatively large spaces to present the products to customers the way they’d like to.” And Canadian Tire has, in particular, shaped the downtown hardware store in Canada, Morrison said.

“Hardware is a lean-margin business that is heavily comparable,” Morrison said. e type of “home improvement store” that does well in urban environments are the trendy, home decor and fashion businesses that cater to new condo dwellers.

“Condo dwellers don’t need hardware,” said Morrison. Most condos being built are new, so they don’t require building or hardware supplies. “In addition to the other big boxes, Home Depot has done an incredible job penetrating urban markets and has a great availability of stores.” e typical downtown dweller is very digitally literate, and they do a lot of their

shopping for hardware online through stores like Canadian Tire, Costco, Amazon, and IKEA. “It’s a very di erent experience. So the convenience now is having it delivered to the concierge downstairs,” Morrison said.

Big box stores like Home Depot can contain up to 50,000 skus per location versus perhaps 5,000 skus in a mom and pop hardware store. Home Depot has up to 1,000,000 skus available online. e One Home Depot plan launched in 2018, in which Home Depot aims to become the leading “interconnected” (brick and mortar integrated with online) home improvement retailer has only been accelerated by the pandemic.

COOK STREET CASTLE

en there are unique home improvement stores that defy all categorization. One such store in Victoria, B.C., Cook Street Castle, has a unique urban feature; it is located on the rst oor of an apartment building. It even has a drive-through lumberyard. When it was built in the 1970s, the building was designed to have a window and sash store on the rst oor. e current Castle

Vicki Hagel, owner and operator of Cook Street Castle in Victoria, B.C. The store is located on the ground fl oor of an apartment building.

Bill Morrison, retail consultant, says the typical downtown dweller is very digitally literate, and they do a lot of their shopping for hardware online.

COVER FEATURE

It has now been 18 years since Home Depot opened its very first Manhattan store on West 23rd Street.

outlet moved into the location in 1985.

ere are some challenges with being on the rst oor of a residential building; one is limited space. e store needs to be selective on what products they carry, explained Vicki Hagel, owner and operator of Cook Street Castle.

Hagel also is the owner and operator of Bay Street Castle in Victoria. When they don’t have space to carry a product, they can stock it at the other larger location. “Having a second location does help a lot with that,” said Hagel. “Door to door, on a good day, the stores are only six minutes apart.”

According to Hagel, at Cook Street they don’t have any big box stores in the area to compete with. ey also have a unique feature that not many stores have.

“ e location of the Cook Street store is so convenient that it services four major municipalities. It’s a quick stop for a lot of people and it’s also covered, which is important,” Hagel said. “People can just drive in and always load. It doesn’t matter what the weather is.”

THE FUTURE

e jury is still out on what retail home improvement will morph into when some Canadian cities become majority-owned by condo residents in high rises. at future may be arriving faster than previously believed. In a 2020 national housing report entitled Units Under Construction, StatCan reported that there were 280,437 housing units under construction across Canada. A staggering 77 percent of them (215,679) were apartments/condos, the vast majority of them high rises. Only 12.5 percent of the units being constructed were single family homes.

It has now been 18 years since Home Depot opened its very rst Manhattan

URBAN RETAIL

store on West 23rd Street. e two-storey, decor-oriented Home Depot got a great deal of attention at that time from home improvement analysts. at new Home Depot in the Flatiron District was supposed to usher in a new age of urban home improvement retailing but it is also noteworthy that online shopping was almost non-existent back then. e 1.6 million residents of Manhattan are now served by only two Home Depot locations, presumably because that’s all that the brick and mortar home improvement marketplace in Manhattan will support.

It’s possible that the legacy of the pandemic will change the housing industry radically. Will we see o ce towers struggling to renew leases of companies who have learned that they can operate quite

e ectively with some (or the majority) of their workers based remotely? In which case, will those empty o ce towers be converted to residential spaces? What will that potentially huge new in ux of residential customers downtown mean for the home improvement industry?

One thing’s for sure. e retail landscape in downtown areas is going to look quite di erent than it does today. An old-fashioned, conventional hardware store in the city might become as rare as a barbershop o ering daily shaves.

For this Independent, It’s all About Trust.

Hewson Brothers Building Supply has been a proud member of TORBSA for over 15 years. TORBSA provides us dedicated leadership, competitive marketing programs, and strong communication—with full transparency. Having previously belonged to another buying group, we understand the importance of keeping our independent business identity and the value of having full disclosure. On top of that, TORBSA is a group that’s truly member owned.

With TORBSA, we are confident that we’ve aligned ourselves with a trusted partner. “ ”

As we navigate the ever-changing market and rely on real time information to make decisions, TORBSA facilitates invaluable relationships with both the vendor and independent member community. When asked to summarize the partnership with TORBSA in one word, it would be “Trust”. Aligning our organization with a trusted partner ensures we have been given all the necessary tools to be successful.

For more information about TORBSA, call Paul Williams at 1-866-865-1689

www.torbsa.com

Len Hewson OWNER HEWSON BROTHERS BUILDING SUPPLY

Lumber & Building Materials SPOTLIGHT

Durability, colour, and efficiency in an all-in-one siding

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Stone siding is easy to install

Novik’s NovikStone Dry Stack Stone line of stone siding offers the intricate detail of precision-laid dry stack stone. Dry Stack is the ideal solution for achieving the look of traditional masonry to any structure. It is impervious to moisture, and resistant to warping, expansion, contraction, and cracking. The panels can be installed in any climate using traditional tools, even in contact with the ground, without any mortar or adhesives. www.novik.com

Insulation made for a new generation

Introducing the Next Generation of PINK FIBERGLAS. Owens Corning PINK Next Gen FIBERGLAS insulation is made for a new generation. For people who insist on safe, proven materials, demand clean, precise results and work to create comfortable indoor environments while respecting the natural environment we all share. It’s not just the next generation of PINK insulation — it’s the new standard. www.owenscorning.ca/PinkNextGen

Natural Elements Project Panels

Natural Elements Project Panels are perfect for shelving, furniture projects, crafts and woodworking. These solid spruce panels are kiln-dried and factory-sanded to 120-grit making them easy to work with and suitable for all projects. At 3/4" thick they come in widths of 8", 10", 12", 16", 20", 24" and lengths of 36", 48", 60", 72", 96". www.canwel.com

BY GEOFF M c LARNEY

LUMBER & BUILDING MATERIALS

FastPlank withstands tough conditions

FastPlank Systems give the warmth of wood without the maintenance. Used as siding or on the soffit, the 4" or 6" V-Notch extruded aluminum planks look flawless when complete. The innovative rainscreen attachment has been tested against wind and fire to work on the most complex projects or any home. Available in several standard woodgrains and custom solid finishes, FastPlank boasts the ability to resist UV exposure, smoke, rot, and a variety of weather conditions. www.fastplank.com

Laminate flooring is easy to clean

Egger Aqua+ water-resistant laminate flooring is suitable for kitchens, bathrooms, hallways, and commercial areas. It’s sustainably produced, quick to install, and easy to clean, especially with a steam cleaner. Aqua+ offers up to 72 hour water resistance. The high-density fibreboard core features a specially selected wood mix, increased glue emulsion recipe, and increased raw density. www.egger.com

Aluminum trim doesn’t fade

EasyTrim Reveals is a complete aluminum trim system for fibre cement, engineered wood, and vinyl siding. EasyTrim is compatible with almost every panel or lap product of all sizes and thicknesses. It’s a full trim system with aesthetic appeal that won’t fade or deteriorate and is easily suited for all styles from traditional to contemporary. With UV protection and no sharp edges, it is available in standard and custom colors with a 15-year warranty and patented water management features. www.easytrimreveals.com

Sophisticated and Modern Siding

Sophisticated and Modern, Cape Cod Siding’s Bespoke Series offers almost an unlimited set of options to suit any contemporary design. Never before have so many choices been available to homeowners, designers/architects and builders. Our Brushed Face and Hidden Fasteners help to define our Bespoke collection. Our new interior cladding offers a distinctive look that can only be achieved using real wood and our new colour system. www.capecodsiding.com

BY JOHN CAULFIELD

Every couple of years, Payzant Home Hardware Building Centres in Nova Scotia surveys its contractor cus tomers to gauge their satisfaction with the services and products available at this deal er’s eight locations, which generate about 60 percent of their annual revenue from pros.

“I probably should do this every year,” admits CEO Andrew Payzant. Still, his stores get immediate feedback from inter actions between pros and Payzant’s sales team that, he says, is trained to ask ques tions like “How are we doing?”, “Do we have the products you need?” and “What are your pain points?”

“Nothing will ever replace face-to-face with customers,” says Payzant.

As home-improvement spending has soared during the last few years, dealers are hungry for information that will help them keep contractors loyal to their stores. But some dealers are more aggressive about soliciting positive or negative comments

from pro customers than others. And while none of the dealers we interviewed are taking their customers for granted, some take comfort as long as they aren’t hearing complaints from pros about the status quo.

“Many of our customers are third and fourth generation with us, so we don’t do any thing special to probe them,” says Tom Evans, co-owner of C.F. Evans Lumber in Picton, Ont. Evans’ store gets 40 per cent of its sales from pro cus tomers, 200 of whom have accounts with this dealer. “We talk with them, we take their advice.”

TimberTown Building Centre in Edmonton doesn’t “go fish ing for information,” either, from the 15 to 30 pro customers who come to its location each day, says manager Pat Gynane. “But we do try to act on any feedback we get.”

Without question, a store’s sales staff continues to be its direct—and sometimes exclu sive—communications portal for its customers. “They are our relationship managers,” says Andrew Doidge, vice president at Doidge Building Centres, about the dozen con tractor salespeople who work at its 10 locations that serve southwestern Ontario. Those stores have about 4,000 con tractor accounts and generate between 55 and 70 percent of their sales from pros.

Recently, Doidge Building Centres promoted Brad Bartlett to the newly created

position of sales manager. Bartlett’s focus is to expand successful programs to all of Doidge’s stores and to improve customer service. “We created this job to do better, and to be proactive instead of reactive,” explains Doidge.

Lowe’s Canada gets its “best intel” on pros from its 85 outside salespeople who are in the field every day. “We’re leveraging that personal relationship,” says Jeff Oben, senior director pro sales in-store. “And our customers aren’t shy about giving us real feedback.”

COVID-19 CHANGED THE CONVERSATION

While the coronavirus pandemic sparked home improvement activity, it also contrib uted to supply-chain delays and building material price hikes. Those impacts, say dealers, have altered their communications with pro customers.

Pro Con Building Supplies in Brampton, Ont., has more than 800 pro accounts. Pro

Andrew Payzant , CEO of Payzant Home Hardware Building Centres in Nova Scotia.

Andrew Doidge, vice president at Doidge Building Centres in Ontario.

Con is having more frequent and candid discussions with customers about product shortages and price changes, “so they don’t get caught by surprise in the middle of a job,” says Gus Guglietti, Pro Con’s president, whose company has seven inside salespeople and ve in the eld.

For Westrum Lumber’s four locations in Saskatchewan, which get 75 percent of their sales from pros, “now, it’s all about instant messaging and texting,” says Mark

Because of the supply chain mess, “the number of customers who are calling, texting, and emailing has gone up, so we need to pay more attention to what we’re hearing to make sure that the communication is

owing smoothly both ways,” says Andrew Payzant in Nova Scotia. To give its pro customers more clarity about deliveries, his company has added a shipment status feature to its customer alert app.

Westrum, a partner at Westrum. “ at’s good and bad, but it’s 24/7 nonetheless.” To be on the safe side, Westrum says his sales team follows up digital communications with phone calls “so there’s no confusion with interpretation.”

Mark Westrum , partner at Westrum Lumber’s four locations in Saskatchewan

Pro Con Building Supplies in Brampton, Ont., is having more frequent and candid discussions with customers about product shortages and price changes so they don’t get caught by surprise in the middle of a job.

Now, it’s all about instant messaging and texting. That’s good and bad, but it’s 24/7 nonetheless.”

“

Working for our members every day.

Sexton gives us access to a range of products, including the latest innovative solutions in the marketplace that help us meet the demand of our customers. We stay competitive on price while providing that extra level of quality and service; Sexton helps us do that.”

Kerry Connelly and Jamie Emin, Glenora Lumber

“ Our Promise to You.

Our strength as a buying group is built on four major advantages: We’re a dedicated team of industry professionals focused on your success. We negotiate competitive programs and leverage our strong relationships with vendors to resolve any issues quickly for you. We have a first-class accounting team that promptly delivers accurate rebate payments as promised.

Hear about our story at 1. 800.665.9209

Learn about our story at sextongroup.com

Well connected.

So you can focus on what matters most — your business.

PRO CORNER FLE

In response to feedback from pros, Home Hardware Stores is now allocating more space in its distribution centres to battery-powered tools. The buying group sends out monthly digital fl yers featuring pro-grade products.

SATISFYING PRODUCT REQUESTS, WITH LIMITS

Pro customers, far more so than consumers, favour certain products and brands, o en adamantly so. e last thing a dealer wants is for one of its valued customers to be shopping around because his brand preferences weren’t being met. So, in their outreach to pro customers, dealers must constantly be on top of shi s in brand loyalties.

Brand preferences are tricky for Doidge Building Centres because its stores concentrate on di erent customer segments—for example, one store caters primarily to custom home builders. But when a pro asks for a speci c product or brand that isn’t being stocked “we usually oblige,” says Doidge.

“ e customer is the boss, and we do what we must to make them happy.”

However, dealers’ malleability has its limits. Pro Con Building Supplies’ website lists 271 brand names for 18 building product categories. And when the occasional request for something di erent comes through the transom “we look to see if it’s available,” says Guglietti. Depending on the customer, Pro Con might require a minimum order quantity, he adds.

Westrum and Evans also say their companies look at the bigger picture when considering one-o or permanent line or brand extensions. “We take into account the value of the customer, and how much they buy from us,” says Evans. When asked about

pros’ loyalty to certain brands, Evans cites drywall, “not so much the gypsum board, but the mud, the tape, the screws. It gets pretty brand-speci c.”

Based on its customers’ feedback, Payzant recently expanded its line of cordless power tools, particularly the Milwaukee Tool brand. About a year ago, it added a new roof shingle line. Payzant acknowledges that pro customers are unlikely to commit in writing to buying a speci c amount of product over a year. “So you need to make a judgement call” about whether bringing on new lines will translate into more business. In the case of the shingles, “it worked out well,” he recalls.

CASTING WITH A WIDER NET

Dealers have been bene ciaries of pro-oriented programs o ered by their buying groups or corporate parents that help them stay connected with contractor customers.

Experience the Great Indoors

PRO CORNER FLE

“TORBSA has been a big part of our success,” says Pro Con’s Guglietti about the store’s buying group. “ ey’re always searching for new products and programs to add.” As a Castle-a liated dealer, C.F. Evans Lumber gets to provide a mailing list of their pro customers it the store wants them receive the buying group’s Contractor Advantage magazine.

“In a competitive market, pro customers do business with Home Hardware stores because of the level of service they provide,” stated Home Hardware Stores, which provides assistance to its dealer-members in a variety of ways. In response to feedback from pros, Home Hardware is now allocating more space in its distribution centers to battery-powered tools. e buying group sends out monthly digital yers featuring pro-grade products. Weekly emails supplement those yers. A quarterly Pro News brochure features timely articles and advertorials about products and trends. And Home’s online Pro Hub curates content for contractors.

Home Hardware Stores’ in-store pro program recently underwent a rebranding to present its dealers as a single source for pro-oriented building supplies and services. Payzant, a Home Hardware a liate, says his buying group lends “a national perspective” on pro trends and product preferences.

Since Lowe’s Canada launched its VIPpro program in September 2020, and last year standardized the program across all its banners, “hundreds of thousands” of Canadian contractors have become members, with several thousand new signups per week, estimates Oben.

Lowe’s Canada generates between 35 and 40 percent of its annual revenue from pro customers, a number that rises to 90

percent for some RONA-bannered outlets. Oben says that pros who are VIPpro members buy, on average, three times more with Lowe’s than nonmembers. “ ey are the biggest growth part of our business,” he adds.

When pros sign up for VIPpro, Lowe’s uses their email addresses for marketing communication purposes. e company also deploys an internal polling tool to gauge pros’ satisfaction with Lowe’s services.

During the pandemic, when provincial mandates shut stores down, pros still needed a way to get merchandise. Within three days of the pandemic starting, Lowe’s Canada set up a phone order system that could stage orders for curbside pickup in

two hours. at system is still in place.

Oben also points to Lowe’s corporate-wide Pro Appreciation Month that includes breakfasts with contractors, and its Win Like a Pro sweepstakes whose recent giveaways included three $10,000 gi cards.

e main purpose of VIPpro, says Oben, is “to help pros build their businesses.” Right now, that means trying to alleviate supply-chain hiccups. “Pros are busier than ever, but can’t get enough product,” says Oben. e retailer is focused on having in-stock job-lot quantities of what pros buy most. Lowe’s is also notifying pro customers about when hard-to-get building products are nally available for purchase and pickup.

Since Lowe’s Canada launched its VIPpro program in September 2020, “hundreds of thousands” of Canadian contractors have become members, with several thousand new signups per week.

BY HEATHER BEAUMONT

DOUBLING DOWN ON MARKETING

With pandemic restlessness still dominating consumers’ everyday lives, marketers and retailers are working hard to engage and inspire customers with multichannel strategies.

Last fall, Quebec-based home improvement retailer BMR entered a sponsorship agreement with the Ottawa Senators hockey team. BMR’s distinctive green logo now adorns the ice surface at the Senators’ home arena, the Canadian Tire Centre in Kanata on the west side of Ottawa. Said Jonathan Gendreau, BMR’s vice president, business development, marketing and customer experience, “It’s a good investment for the outreach that BMR gets.” Gendreau cited a good match-up with BMR’s target customers and the Senators’ large television audience.

MARKETING FLE

e BMR logo has prominently appeared on viewers’ screens for an average of 18 minutes so far during the 2021/2022 hockey season. BMR’s logo has been exposed to 250,000 viewers per game in a time period when television ratings have increased by 20 percent. Gendreau added, “Finally, we can show a sense of pride among our BMR dealers in Ontario. We are serious about our expansion into eastern Canada and we want our dealers to feel it.” BMR is now up to 285 stores, having recently completed 20 major store renovations and added 10 new stores, with ve outside Quebec.

Sponsorships of major league teams are one way that a retail brand can gain traction. But the fundamental principles of retail merchandising, while seemingly less glamorous, are another. At Osoyoos Home Hardware in B.C., owner Frances Sologuk and her team are constantly remerchandising their 17,000-square-foot space to enhance their customers’ experience.

“We keep striving to make it better,” explained Sologuk. She promotes the family

doing ve di erent areas. at’s a good 4,000 square feet.”

Sta at Orillia Home Hardware Building Centre remerchandise their 26,000-squarefoot space each year, too. “We’ll move shelv-

We’ll pick one project a year.”

Over the years, the Orillia, Ontario store has organized di erent events to appeal to its customer base. A decade ago, their women’s-only event initially attracted 50 women. But the event now draws up to 800. ere are plans to bring the event back (due to the pandemic it’s been on pause) for fall and Christmas. “It makes sense. Women o en make most of the buying decisions in most households,” explained Locke. “We have hardware and building supplies and clothing and gi ware. We built and laid the store out with women in mind.”

business with its antique gas pump and tools as a unique, old-fashioned shopping experience. “We just repainted the cement oors in the outdoor living area. We’re

ing. We’ll add, we’ll subtract,” explained store co-owner Chris Locke. “We’ve done a major upgrade of our housewares department, di erent ooring, di erent racking.

Although emphasis is placed on product-speci c marketing at Orillia Home Hardware Building Centre, how-to events are also popular. e store has a very

BMR’s distinctive green logo adorns the ice surface at the Senators’ home arena, the Canadian Tire Centre in Kanata on the west side of Ottawa.

Finally, we can show a sense of pride among our BMR dealers in Ontario. We are serious about our expansion into eastern Canada and we want our dealers to feel it.

“ ”

MARKETING FLE

successful gardening event every spring. “It’s about new products, new techniques. We’ve always brought in a plant or garden or lawn expert,” Locke said. “We’ve focused on outdoor grilling, growing your own produce. ere’s always a speaker or a learning element. It’s a nice way to kick o the spring season where people are coming out of hibernation and want to see what’s new and exciting.”

KEEP FRESH TO KEEP CUSTOMERS COMING BACK

Back in Osoyoos, Sologuk’s customers stop by o en to see what’s new. ey might discover a beach scene with palm trees or a Christmas movie theme with a fullsized, popcorn maker, movie posters and a Hollywood walk of fame with sta names. “People drive two and a half hours to see the

seasonal displays,” explained Sologuk. “I want people to come because they’re afraid they’re going to miss something.”

e Osoyoos team has expanded its stock of learning and educational toys since so many children were at home because of

pandemic restrictions. When they noted that some customers were physically distancing by moving into recreational vehicles, the store stocked up on RV supplies like hoses, connections, and toilet paper. ey also added more art supplies as people were “rediscovering their inner talents,” according to Sologuk.

Among other outreach initiatives, Sologuk’s store has donated paint for

Hardlines Home Improvement Quarterly

Osoyoos Home Hardware owner Frances Sologuk (pictured at right with her grandson) says people drive two and a half hours to see the seasonal displays.

Orillia Home Hardware Building Centre brings in a garden expert speaker to kick off the spring season.

exterior murals and greenery with the assistance of Tree Canada grants, spon sored a recent building renovation with a fundraiser, and donated drills for repairs after a break-in at the Osoyoos & District Museum and Archives. Sologuk was hon oured with a lifetime museum membership for her ongoing support. She explained her commitment to the museum as “saving our downtown and honouring our forefathers.”

BUILDING AN IN-STORE EXPERIENCE

With 18 stores from Halifax to Victoria, Lee Valley Tools has a slogan, “Let’s Do Something,” which celebrates a commit ment to learning new skills and taking pride in a finished masterpiece. “We want to improve on market relevance as the retail

landscape changes,” said Jason Tasse, Lee Valley’s president and COO. “So we’re focusing on expanding how we service our customers.”

Lee Valley Tools offers workshops for beginners to experts. The 1,700 national, in-store workshops about tools, hardware, kitchen and home-related projects will return when it’s safe for staff and custom ers. Topics include an introduction to carv ing, knife-sharpening, selecting a pruner, understanding your power tools, and drip irrigation.

Five months before the pandemic lock down, the retailer launched a new website to deliver more quality content to its customer base. At that time, 60 percent of the stores’ sales volume came through the stores. That has since balanced to 50-50.

Both global and local customers access live streaming workshops on the store’s website or Facebook page. “We’re using technology to make experts more access ible, whether in-store or online,” explained Tasse.

The retailer’s target audience includes customers over 50 years and retirees and a younger, digital generation of consumers, 35 years and up, who aspire to learn new skills.

Lee Valley Tools is marketing Make It Yourself (MIY) project kits to aspirational customers 35 years and older. Each month, a new project kit teaches a different gateway skill with video instruction included.

Although two Ontario locations recently closed, the retailer is searching for new space. “A physical store is very important

Hardlines Home Improvement Quarterly

to Lee Valley,” Tasse explained. “We believe in the in-store experience because we sell tools. It’s tactile. It can’t just be all online.”

EDUCATED CUSTOMERS EQUAL MOTIVATED DIYERS

Home Hardware’s marketing program has also pivoted to feature more inspirational content. Interested in building a home office, a backyard studio or a cottage? Home Hardware provides detailed plans and price lists in one package. “If you can dream it, we can help you accomplish it,” said Laura Baker, vice president of marketing.

There are over 1,100 dealer-owned and operated stores in the Home Hardware network and last year the retailer opened 15 new stores. “Lots of work on the e-com merce site has been done to bring customer needs to the forefront,” said Baker. “It’s a great way for customers to start exploring all the options.”

Home Hardware sends weather-trig gered emails to different regions across the country. If a cold snap is expected in an area, a snow removal email is likely to be sent out.

An online resource features inspirational videos, articles, influencer blogs, and buy ing and how-to guides. Featured product images align with current sale information that links to shopping carts.

Last fall, Home Hardware launched a Virtual Design Centre providing website visitors with a 360-degree view of popu lar designs from its Beaver Homes and Cottages collection. “Visitors can cus tomize the interior and exterior, try out different flooring or kitchen cabinets, and really get a sense of what it will look like,” explained Baker.

Custom builds are available but project packages take the guesswork out of build ing. Home Hardware helps customers decide whether the project is something the customer wants to do on their own or call a pro to get it done.

“LITTLE THINGS THAT BUILD GOODWILL”

At Orillia Home Hardware Building Centre, Locke said these days the business

relies more on social media and less on traditional print advertising to attract customers. “We’ve established a business that’s a known entity. We focus on getting people to come in to get to know who we are and on product-specific marketing.”

Both in-store signage and good foot traffic help to boost sales. “We take advan tage of that traffic that’s coming through. We’ll do what we call backdrops. We use handouts at the front saying, ‘Thank you for shopping with us. Next time you’re in, take this for 10 percent off on your next purchase,’” explained Locke. “We do little things like that to build goodwill.

He added, “We’ve done a lot to help out The Lighthouse, the local homeless shel ter.” The store donated $50,000 and then helped with products the shelter couldn’t source. The store also has a long-term part nership with the food bank. “We focused on our philanthropy through COVID. That sets a good tone for the community and our position within it. It just made sense for us to help out.”

Jason Tasse, president and COO of Lee Valley Tools, believes in the in-store experience because tools are “tactile.” The customer has to feel them.

HARDLINES WEEKLY NEWSLETTER

“ We all get caught up in our day-to-day routines, which can blind us to everything else going on around us. As a part of my routine, I make sure each Monday morning to read Hardlines and get the “big picture.” I’ve advised our dealers to do the same, which has really helped them get a grasp on how rapidly their business can change, allowing them to make better decisions.”

– Paul Williams, Group President, TORBSA Limited

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ACE Canada 21 www.ace-canada.ca

Auto-Stak Insert www.autostak.com

Belanger Laminates 4 www.belanger-laminates.com

BMR Group 51 www.bmr.ca/becomeadealer

Diablo Tools 8 www.DiabloTools.com

Hardlines Outstanding Retailer Awards 43 www.oras.ca

Hardlines Weekly Newsletter 47 www.hardlines.ca

Home Hardware Stores Ltd. 6 www.Home-Owner.ca

JELD-WEN 37 www.jeld-wen.ca

JRTech Solutions 23 www.jrtechsolutions.com

King Marketing Ltd. 5 www.kingmkt.com

Kohltech 25 www.Kohltech.com

Leviton 45 www.leviton.com

National Hardware Show 15 www.nationalhardwareshow.com

NHPA Canada 39 www.YourNHPA.org/marketplace

Orgill 2, 3 www.orgill.com

Owens Corning 13 www.owenscorning.ca/PinkNextGen Richelieu 27 www.richelieu.com RONA 17 www.rona.ca/becomeRONA

Sexton Group 35 www.sextongroup.com

Taiga Building Products 52 www.taigabuilding.com

TORBSA 29 www.torbsa.com Vicwest 15 www.vicwest.com/dealers

BY GEOFF M c LARNEY

FROM ‘COMPANY SERVANT FAMILY’

TO THRIVING ENTREPRENEURS

Rob Faries is the heir to a tradition of innovation. His late father, Donald, bucked convention just by going into business in the 1970s, opening what started out as a convenience store, GG’s Corner and Gi , in Moose Factory, Ontario.

“It was a big deal. You don’t compete against the Hudson’s Bay Company,” Rob Faries recalled in his address to the 2021 Hardlines Conference.

did, and it was noted,” said Faries.

Donald oversaw his GG’s store through its earliest years of growth, joining TruServ

In the summer, inventory can be brought in by canoe or barge; in the winter the frozen river can be crossed by sled. In the spring and fall, however, supplies can only reach the store by way of costly helicopter shipments. Trying to anticipate when the transitions must be made is a perennially unpredictable process.

e Faries family is a “company servant family,” Cree descendants of the children of the Hudson’s Bay fur traders and local Mushkegowuk Cree in the James Bay area of northern Ontario

Donald was expected to remain loyal to HBC, not to open his own business. “But he

Canada in 1993. He added a second location in Moose Factory, GG’s Ace Hardware & Building Centre, in 2006.

Faries faces unique challenges in getting products to his shelves in Moose Factory, which is separated from year-round transportation routes by the Moose River.

“ at’s an issue we have every year,” Faries said. “You don’t know when the river is going to freeze, so you have to really plan your logistics. It really eats into your cash ow.”

Financing is another challenge. Given the lack of freehold title on reserve, banks don’t accept real estate as collateral. An arrangement with the local band council

The Faries family has overcome colonialism and the forces of geography to build their own three-store business. Last fall’s Hardlines Conference heard from the multitalented Rob Faries as a guest speaker.

GG’s Ace Hardware and Building Centre in Moose Factory counts on a team of passionate and dedicated employees.

” You don’t know when the river is going to freeze, so you have to really plan your logistics. It really eats into your cash flow.

ENDCAP FLE

allows the business to borrow against its inventory instead.

Recently, Faries has expanded with a venture that both re ects his success and could ease some of his supply challenges.

“We’ve just purchased a large property in Moosonee [on the railway side of the river] and we’re getting ready to build a store,” he says. “We’re currently renting

at versatility gave Faries’ stores an advantage when the pandemic broke out— at rst. As an essential business o ering items like groceries, it was exempted from government-ordered retail closures. But Faries ended up voluntarily shuttering the Moosonee operation anyway for two weeks a er two team members there tested positive for COVID-19.

In addition to his business accomplishments, Faries has returned to his love of music. As a young man, he had toured Ontario in a band, but the lifestyle got to him and the partying that came with it became more prominent than the music.

During the 2010s he embraced sobriety and fatherhood and reignited his music career. His band Relic Kings took the Rock Album of the Year award at the 2018 Indigenous Music Awards. Today, his veyear-old daughter, Mya, helps him with orders. e whole family is involved in the business, continuing the tradition Donald started.

a small space and operating there. We’ve been using that to test the market and see how Moosonee responds to us and they’ve responded very well.”

e rst phase of the new location, o ering hardware and building materials, will be built this year. Next year, Faries plans to add another department for housewares and groceries. “ at’s our store: we sell every category.”

Having a presence in Moosonee also eases some of the supply line di culties. “We’re very excited to be in the town because it’s more a logistical hub. e train goes through, which makes things easier for us: we don’t have to get all our freight [across the river] to Moose Factory.” Faries adds that a new hospital under construction in Moosonee will provide “lots of opportunities for bidding material.”

Donald Faries died of pancreatic cancer a few weeks before the 2021 Hardlines Conference, almost nine months a er doctors told him he had two months to live.

ough he didn’t get to see Rob’s address, it was a source of tremendous pride for him and a comfort to Rob in his grief.

“I see my father in every one of you,” he told the emotional crowd. “And I really appreciate it.”

”

We’re very excited to be in the town because it’s more a logistical hub. “

Rob Faries, the owner of three stores in Moose Factory and Moosonee, Ont., is also a very talented lead singer with his band Relic Kings. Here they are performing at Toronto’s legendary Horseshoe Tavern, on Queen Street West.

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