FEBRUARY/MARCH 2025
The Lumber Market Rollercoaster Ride
Will this year's ups and downs be exhilarating or frightening?
PLUS BizCon South Preview Boosting Productivity, Retention and Morale Drive Sales Success
MAGAZINE STAFF
Publisher Cody Nuernberg cody@BLDConnection.org
Publication Manager Melanie Hultman melanie@BLDConnection.org
Editor Tim Dressen tim@BLDConnection.org
Advertising Sales
Erica Nelson erica.nelson@ewald.com (763) 497-1778
ASSOCIATION STAFF
President Cody Nuernberg cody@BLDConnection.org
Accountant/Administrative Assistant Nicole Aanden nicole@BLDConnection.org
Regional Field Manager (Iowa, Minnesota, North Dakota, South Dakota, Wisconsin)
Tony Cook tony@BLDConnection.org
Director of Events
Jodie Fleck, CMP jodie@BLDConnection.org
Director of Communications Melanie Hultman melanie@BLDConnection.org
Director of Professional Development Connie Johnson connie@BLDConnection.org
Regional Field Manager (Arkansas, Kansas, Missouri, Nebraska)
Heather Summy heather@BLDConnection.org
BLD Connection Magazine is published bimonthly by BLD Connection, 10700 Old County Road 15, Suite 200, Plymouth, Minnesota 55441, (763) 544-6822. It is the official publication of the BLD Connection. Copyright ©2024 by BLD Connection. Materials may not be reproduced without written permission. Annual subscription fee is $30.
POSTMASTER
Send address changes to: BLD Connection
10700 Old County Road 15, Suite 200 Plymouth, MN 55441
[ EDITORIAL]
Together, We Elevate
We are approaching the end of our 2024/25 conference season. Our BizCon South in Altoona, Iowa, at the end of February will close out another solid year of conferences. I’ve been reflecting on the incredible journey we’ve experienced together as a community. Over the past few months, we’ve had the privilege of connecting with many of you at our annual BizCons and conferences. These gatherings have been filled with enlightening conversations, inspiring presentations and thought-provoking roundtable discussions. But perhaps the most impactful moments came from hearing your stories and reflecting on the energy you bring to our association.
Throughout these gatherings, one theme has resonated strongly with me: togetherness. This word has echoed through countless conversations with our members and volunteer leaders. Words like “strong,” “powerful,” “impactful,” and “thankful” have filled the air, along with requests for all of us to do even more. As I reflect on these sentiments, I’m reminded of how profound our collective impact can be – how we can elevate our industry and each other.
One of our volunteer leaders shared a story about how attending a recent legislative conference was one of the most impactful experiences of his professional career. It wasn’t because of some grand moment. It was because of the realization he was making a difference by speaking with his legislators on behalf of our industry. The sense of giving back was deeply moving for him. He had never anticipated that such an experience would leave such an impression, but the significance of his participation in that moment was profound. Hearing him speak about that experience left me with goosebumps.
These moments of connection are at the core of why we gather. Another member shared how attending our training sessions and investing in himself and his business via one of our dealer roundtables provided him with fresh perspectives and valuable new friendships. It’s not just about learning or networking; it’s about the people we meet and the lasting connections we create. It’s what drives me and why our work and your membership matter.
These conversations highlight the power of our community – the power of being part of something greater than ourselves. It’s the chance to make a difference, whether through an insightful conversation, a moment of mentorship or sharing your experience. In these moments, we realize how much we can lift each other up and make an impact. As we close out conference season, I urge you to reflect on your experiences and share them with Team BLD. The feedback and insights you provide are vital. Every conversation, every connection and every exchange helps us all grow stronger together.
So, as we prepare for the final event of our conference season, remember this: As you elevate us, we will continue to elevate our industry, each other and the BLD community. We’re not just participants; we’re a force – impactful, growing stronger and empowering one another. Together.
Cody Nuernberg BLD Connection President
BLD CONNECTION BOARD
Chairman
Scott Enter
wRight Lumber & Millwork, Buffalo, Minnesota
1st Vice Chairman
Adam Hendrix
Chic Lumber Co., O’ Fallon, Missouri
2nd Vice Chairman
Brett Hanson
Tri-State Building Center, Sisseton, South Dakota
Treasurer
Jennifer Leachman Leachman Lumber Company, Des Moines, Iowa
Immediate Past Chairman
Brian Wendt
Anita Supply Center, Anita Iowa
Secretary
Cody Nuernberg Minneapolis, Minnesota
DIRECTORS
Iowa Director
Brent Schneider
Spahn & Rose Lumber Co., Dubuque, Iowa
Minnesota Directors
Wade Fenske
Kreofsky Building Supplies, Rochester, Minnesota
Brian Klimek Hilltop Lumber Co., Alexandria, Minnesota
Mid-America Directors
Hatch McCray
McCray Lumber & Millwork,
Kansas City, Kansas
Greg Smith
Nation’s Best Holdings, Jonesboro, Arkansas
Nebraska Director
Mark Russell Millard Lumber Inc., Waverly, Nebraska
North Dakota Director
Samantha Nasset
Crane Johnson Lumber, Fargo, North Dakota
South Dakota Director
Jason Meester
Watertown Cashway Lumber Company, Watertown, South Dakota
Wisconsin Director
Nate Ehlen
Sav-Rite Building Center, Neillsville, Wisconsin
ASSOCIATE DIRECTORS
Luke Guittar, Absolute Distribution
Nate Hanson, Simpson Strong-Tie
NLBMDA REPRESENTATIVE
Chris Hegeman, Bliffert Lumber & Hardware, Milwaukee, Wisconsin
BLD CONNECTION INC. OFFICERS
President: Mike Bertrand, Lloyd Lumber Company, Mankato, Minnesota
Vice President: Lynn Trask, Retired, Reinbeck, Iowa
Treasurer: Brian Wendt, Anita Supply Center, Anita, Iowa
Hit
Target with BLD Connection Magazine Advertising
Reach 1,850 independent lumber and building material retailers throughout Arkansas, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota, Wisconsin and Upper Michigan. Advertise with BLD Connection Magazine to build brand recognition and to help generate sales leads. Contact Erica Nelson at (763) 497-1778 or erica.nelson@ewald.com.
[ ASSOCIATION CONNECTION ]
Leadership & Connection Shine in Nebraska
BLD Connection's Nebraska Connection Conference and Smash Park event delivered an unforgettable day of learning, connection and fun in early December in La Vista, Nebraska. Industry professionals gathered for an inspiring combination of leadership and sales seminars, contractor workshops and engaging networking opportunities, culminating with an exciting evening at Smash Park.
Inspiring, Empowering Seminars
Attendees delved into transformative leadership strategies with Zach Arend of Create Purpose LLC. Drawing from his unique background as a two-time saddle bronc riding champion turned leadership expert, Arend captivated the audience with two impactful sessions:
• Saddle Up! A Modern Leadership Solution: Arend tackled workplace burnout and disengagement, introducing his Saddle Your Own Horse approach to unlock untapped potential and foster collaboration.
• Leading in the Arena: Championing Yourself and Your Team: This session provided actionable coaching techniques to help managers empower their teams to excel in the real world. On the sales side, Mike McDole of Firing Line LBM Consulting shared his 40+ years of expertise through two seminars:
• Personalizing Every Interaction: Strategies to Stand Out in Sales: Mike offered actionable strategies to help sales professionals differentiate themselves and build stronger customer relationships.
• Mastering Time Management for Sales Success: Attendees learned essential skills to better organize their time, maximize productivity, and achieve a healthier work-life balance.
Contractor Mini-Workshops
This year, we introduced miniworkshops designed specifically for contractors. These workshops featured a collection of 20-minute sessions led by vendors. They showcased innovative products and services, with companies like BlueLinx, Absolute Distribution Inc., GAF and Emser Tile/Laticrete hosting engaging presentations.
Keynote Speaker Kendall Gammon: "Minding Mindset"
Kendall Gammon, former Kansas City Chiefs long snapper and Pro Bowler, delivered an inspiring message at the Membership Luncheon. Through heartfelt, personal storytelling, Gammon discussed how emotional resilience and embracing change can drive professional success. His juggling skills added a lighthearted and memorable touch to a compelling keynote.
right: Keynote speaker Kendall
Bottom left: Bowling at Smash Park.
Smash Park Networking Event
The day concluded with an energetic evening at Smash Park, where attendees enjoyed games, a delicious BBQ dinner, refreshing drinks and plenty of laughs. Friendly competitions, interactive activities and relaxed conversations made this the perfect setting to strengthen connections forged throughout the day.
Thank You, Sponsors and Supporters
Thank you to our sponsors, speakers and contributors for making the Nebraska Connection Conference an incredible success. Your dedication and support help us continue building a thriving community in the lumber and building materials industry.
For more information on upcoming events, visit www.bldconnection.org.
Top left: Mark Russell, Millard Lumber Inc. and Allan McGill, Mead Lumber Company
Top
Gammon.
Apply for Regional Scholarships by March 1
Exciting news for BLD Connection members in Missouri, Kansas, Arkansas and Nebraska: The new BLD Mid-America Regional Fund streamlines support for students in Missouri, Kansas and Arkansas, joining Nebraska’s long-standing scholarship program.
• College Scholarships: Up to $1,000 for high school seniors or college students. Applicants must have ties to a BLD Connection retail member or contractor customer. Visit www.bldconnection.org/
professional-development/scholarships for full criteria and applications.
Deadline: March 1, 2025. Don’t miss this opportunity to support the next generation.
Contact Connie Johnson at (763) 595-4045 or connie@bldconnection.org with questions.
Wisconsin and Upper Michigan members, learn about the scholarship opportunities available from the Wisconsin Lumber Dealers Education Foundation at www.wldef.com.
BLD Connection Events
FEBRUARY
Feb. 4-5
Advanced Operations Workshop Wichita, Kansas
Feb. 11-13
Estimating 1-2-3 Omaha, Nebraska
Feb. 18-19
BizCon South Altoona, Iowa
Feb. 25-27
Estimating 1-2-3
Inver Grove Heights, Minnesota
MARCH
March 18-20
Estimating 1-2-3 Appleton, Wisconsin
March 25
Introduction to Building Material Sales Lincoln, Nebraska
March 25-26
Advanced Operations Workshop TBA, Minnesota
March 27
Introduction to Building Material Sales Kansas City, Missouri
APRIL
April 8
Introduction to Building Material Sales Wisconsin Dells, Wisconsin
April 10
Introduction to Building Material Sales TBA, Minnesota
April 29 – May 1
Estimating 1-2-3
Inver Grove Heights, Minnesota
For complete details, registration and a complete list of BLD Connection events, visit www.bldconnection.org.
February 18 & 19, 2025 Altoona, Iowa
Join Us at BizCon South!
Get ready to experience an event that brings together the best of the building materials industry!
Join us for BizCon South 2025! Enjoy a Membership Meeting & Luncheon with a Contractor Panel, explore vendor booths, and discover new products at the Innovation Speed Showcase.
Network with colleagues during the hosted happy hour, Brews & Bites Evening Reception, and “Wrap Up” lunch. Plus, attend industry seminars and participate in exciting contests for a chance to win prizes!
AGENDA AT A GLANCE
Monday, February 17
5:00 pm – 7:00 pm Welcome Mixer
Tuesday, February 18
10:00 am – 11:30 am Sales Seminar “Mastering Consultative Selling in Construction” with Glen Dall
11:45 am – 1:30 pm Membership Luncheon & Contractor Panel
1:30 pm – 5:30 pm Exhibit Hall Open 5:30 pm – 7:30 pm Brews and Bites Reception
Wednesday, February 19
8:00 am – 8:50 am Seminar “Unlocking Team Excellence – 6 Steps to Cultivating Peak Engagement” with Dave Molenda
9:00 am – 9:50 am Seminar “Five Ways AI Will – or Won’t – Change Life at Your Lumberyard” with Craig Webb
9:30 am – 1:30 pm Exhibit Hall Open
12:30 pm – 1:30 pm “Wrap Up” Lunch (on exhibit floor)
Speakers & Seminars
Speaker: Glen Dall
Mastering Consultative Selling in Constructionn
Tuesday, February 18, 2025 | 10:00 a.m. – 11:30 a.m.
In a competitive market where big-box stores dominate with low prices, smaller retailers in the construction supply industry need a different strategy to succeed. This session is designed specifically for owners, managers, and sales professionals in the lumber and building supply sector. Glen Dall, founder and CEO of Apex North Business Coaching, will help you identify your ideal customers, understand their unique needs, and deliver solutions that foster trust and loyalty. By mastering these skills, you’ll position your business to command a premium, driving sustained growth even in a challenging market.
Membership Luncheon with Contractor Panel
Tuesday, February 18, 2025 | 11:45 a.m. – 1:30 p.m.
Kick off BizCon South with our Opening Membership Meeting and Luncheon, exclusively for members. Enjoy a great meal while connecting with peers, hearing association updates, and learning about event highlights. Don’t miss the contractor panel, where industry experts share perspectives on key industry trends and challenges. Advance registration required.
Brews & Bites Reception
Tuesday, February 18, 2025 | 5:30 p.m. – 7:30 p.m.
Unwind with fellow BLD Connection members at the Brews & Bites Reception. Enjoy a variety of drinks, and tasty bites in a fun, casual setting. It’s the perfect way to relax and connect! Advance registration required.
Innovation Speed Showcase
Tuesday, February 18, 2025 | 2:30 p.m. – 3:15 p.m.
Wednesday, February 19, 2025| 10:30 a.m. – 11:15 a.m.
Discover the latest innovations in the LBM industry at the all-new Innovation Speed Showcase, held on the exhibit hall stage both days of BizCon South. This fast-paced, 45-minute session features exhibitors unveiling their newest products and programs through quick, engaging presentations. Be the first to learn about groundbreaking advancements, then visit exhibitors’ booths for deeper discussions. No cost to attend!
Speakers & Seminars
Speaker: Dave Molenda
Unlocking Team Excellence – 6 Steps to Cultivating Peak Engagement
Wednesday, February 19, 2025 | 8:00 a.m. – 8:50 a.m.
So, you have a team, but are they running at peak performance? In this fastpaced executive briefing, we will explore six steps to create a thriving work environment where the team members feel valued, motivated, and aligned with the companies’ goals, ultimately leading to peak engagement and team excellence. Dave Molenda, founder of Positive Polarity and a bestselling author, brings over 30 years of business experience to this engaging leadership seminar.
Speaker: Craig Webb
Five Ways AI Will – or Won’t – Change Life at Your Lumberyard
Wednesday, February 19, 2025 | 9:00 a.m. – 9:50 a.m.
The trouble with artificial intelligence for lumberyards is that it’s hard to know which parts of this technology will matter most for dealers, and which should be ignored. Webb Analytics’ Craig Webb has been talking to companies around the world that are offering or using A.I. In this presentation, he’ll bring lofty promises about A.I. down to earth as well as give you a sense of particular opportunities that soon could come your way.
Register at www.bldconnection.org/bizcons/2025-bizcon-south.
Student Career Panel
Wednesday, February 19, 2025 | 9:00 a.m. – 9:30 a.m.
BizCon South invites local high school and college students to explore career opportunities in the lumber and building materials industry through our Student Career Panel. Industry professionals from suppliers and dealers will share insights into various career paths and what it takes to succeed in the field. After the panel, students can visit the exhibit hall, interact with vendors, and learn more about potential job opportunities. It’s a unique chance to connect with industry leaders and discover what a future in LBM could offer.
Encourage the students in your community to attend and explore what a career in LBM could offer!
Registration, Hotel, & Prizes
Invite Your Contractors to BizCon!
Encourage your contractor customers to join you at BizCon South! Invite your contractors to explore the trade show for FREE (a $35 savings). You can register them online with your employees or give them a paper invite for onsite registration. For invites or help, contact our office at (888) 544-6822 or info@bldconnection.org. Ho
Registration
Register at www.bldconnection.org/bizcons/2025-bizcon-south. Need help with registration? Contact our office at (888) 544-6822 or info@bldconnection.org for registration assistance.
Hotel
Rooms are available at the Prairie Meadows Hotel. Discounted room block expired. Prevailing rates and availability apply.
Check In: 4:00 p.m.
Check Out: 11:00 a.m.
Parking: Free parking surrounding hotel and conference center.
Booking Info (by Phone or Online)
Call: (515) 967-1000
Online: www.prairiemeadows.com/hotel
Exciting Giveaways: Win Big at BizCon!
Sponsor Scavenger Hunt Contest – Win $500!
Explore the exhibit floor, visit sponsors, and complete your scavenger hunt card for a chance to win $500! Plus, vote for the Best Featured Product among Premium Sponsors.
Last Person Standing Contest – Win $250!
Stay until the Wrap-Up Lunch on Day 2 for a chance to win $250! Collect your ticket at the designated area, and see if you can outlast the crowd. Three winners will be announced!
BizCon South Location
Prairie Meadows Casino & Hotel
1 Prairie Meadows Drive, Altoona, IA 50009
[ TEAM CONNECTION ]
By Dave Molenda
Boosting Productivity, Retention and Morale
What does research say about effective leaders and their effect on a team?
We can make numbers look good or bad, so I want to share with you some of the things I have learned over the years to help you better understand how leaders impact their teams. This is broken up into three parts: the findings, the why and the impact, which are the noteworthy numbers.
Employee Engagement and Satisfaction
• Finding: Effective leaders significantly enhance employee engagement, which correlates with increased productivity and satisfaction.
• Why: Engaged leaders inspire trust, communicate clearly and align team goals with individual motivations.
• Impact: Teams led by highly engaged managers are 59% more likely to be innovative and high-performing.
Team Cohesion and Collaboration
• Finding: Effective leaders foster a collaborative team environment, improving communication and reducing conflicts.
• Why: Leaders who model open communication, active listening and mutual respect create a culture where ideas flow freely and relationships strengthen.
• Impact: Cohesive teams are 50% more likely to meet or exceed performance goals.
Performance and Productivity
• Why: Clarity of purpose helps team members focus on priorities, while constructive feedback fosters continuous improvement.
• Finding: Leaders who set clear expectations and provide consistent feedback increase team output.
• Impact: Companies with clear leadership frameworks see a 25% increase in productivity.
Adaptability and Innovation
• Finding: Transformational leaders drive adaptability and innovation by encouraging creative thinking and embracing change.
• Why: Such leaders challenge the status quo and empower team members to propose solutions, leading to greater agility.
• Impact: Teams with transformational leaders are eight times more likely to be agile in the face of industry changes.
Employee Retention and Morale
• Finding: Positive leadership reduces turnover and improves morale.
• Why: Leaders who invest in employee development and recognize achievements build loyalty and satisfaction.
• Impact: Organizations with high-quality leadership retain 33% more employees.
Whether you are part of a team or you lead one, these are compelling statistics
to argue the importance of effective leadership in today’s business climate. These teams are highly engaged, more profitable, more productive, more agile and retain their members longer. If done correctly, it is safe to say that an effective leader will build an effective team. An effective team will provide a quality experience for the customer. Both of these will cause profits to soar. Do yourself a favor and invest in your leadership’s development. Both your customer and your team will thank you.
Dave Molenda is the founder of Positive Polarity, a business coaching firm dedicated to challenging conventional business practices with a positive, encouraging approach. He is the author of “Growing on Purpose,” an Amazon Best Seller in three categories and host of the Positive Polarity Podcast. Learn more at positivepolarity.com.
Dave will present the Unlocking Team Excellence – 6 Steps to Cultivating Peak Engagement at BizCon South. See pages 9-12 for details.
[ SALES CONNECTION ]
By Glen Dall
Drive Sales Success with Measurable Goals
Success in sales doesn't happen by accident. It comes down to having clear, measurable goals that drive action every day. You can’t just talk about growth; you have to plan for it. And that starts by setting the right goals. How do you do this? Let’s break it down.
Identify Your Ideal Core Customer
Most companies make the mistake of thinking any customer is a good customer. Wrong. The key to success is identifying your ideal core customer. I’ve seen it happen time and time again. You can waste months, even years, chasing the wrong clients, hoping to hit your revenue targets. But once you clarify who your best customers are, you’ll start to see real, sustainable growth.
Here’s a quick example: I had a client in the electrical industry. They were selling to anyone and everyone – big utilities, small ones, you name it. But when we sat down to clarify their core customer, they realized that focusing on their top 20% of clients would drive 80% of their sales. They started "firing" bad clients, and their revenue doubled in the first year. By the second year, their revenue didn’t jump much more, but their profitability doubled. That’s what matters.
Remember, revenue is vanity, profit is sanity and cash is king. So, while everyone loves to chase big revenue numbers, it’s the profit that keeps your business healthy and growing.
So, my question to you is this: Do you know who your ideal customer is? If the answer is “no,” your first goal is to establish a profile for your ideal, core client.
Understand and Address Customer Needs
Now, let’s talk about something that separates average salespeople from the true pros –understanding customer needs. It’s one thing to show up with a pitch, but it’s another to ask the right questions, dig deep and figure out what emotional pain point you’re solving for them.
Build and Maintain Trust to Drive Growth
I had a salesperson in my company, and she was one of the best. She closed one of the largest deals in our company’s history. With her commission in the bank, she walked into a BMW dealership to buy herself a new car, ready to pay cash. But the salesperson there completely misread her because she looked young. He assumed she didn’t have the money and treated her accordingly. He started quizzing her about setting up financing. Huge mistake. This happens in business all the time. Don’t assume you know what your customer needs. Ask the right questions. In Metronomics, we refer to this as “consultative selling.”
A lot of salespeople jump to the solution too soon. They’re so eager to sell that they miss out on the most critical part of consultative selling: understanding the customer’s pain points. If you take the time to uncover those deep emotional drivers – the frustrations and challenges your customers are facing – you’ll not only sell more but you’ll create and nurture trust.
Building trust with your best customers is key to real growth. Remember the client I mentioned earlier? After narrowing down their focus to their core clients, they didn’t just start making more sales – they started building real relationships. The CEO decided to reduce their customer base to the best clients, the ones they knew could generate long-term value. They cut down the products they offered, focusing only on what their best customers really needed. This gave their sales team a huge advantage because they weren’t spread thin, trying to sell everything to everyone. Instead, the sales team got to know their clients on a much deeper level. “Did you know we also carry this?” or “What other needs do you have that we can help with?” Those kinds of conversations came naturally because the team knew their clients so well. With every interaction, they weren’t only selling; they were building trust. More interactions with the same clients gave them more chances to serve, impress and deepen that relationship.
This is where setting clear, measurable goals for your sales team matters most. Are you tracking how often these conversations are happening, and with which clients?
I encourage CEOs to set two types of measurable goals: quantitative and qualitative. First, track the number of interactions your sales team has with clients – that’s your quantitative measure. Then, assess the quality: What percentage of those clients meet 80% or more of the criteria that define your core customer? This lets you measure not just volume, but also the quality of those interactions. Then, coach your sales team to improve.
Shifting from Price to Value
Here’s where the rubber meets the road. If you’re stuck competing on price, you’re in a losing game. You need to shift the conversation from price to value. What’s the difference? Price is what something costs; value is what it’s worth to the customer.
Once you’ve built trust and shown that you truly understand their needs,
customers are willing to pay more for the right solution. Position yourself as the expert who can deliver not just a product, but a solution that really alleviates the customer's pain at an emotional level.
Take, for example, one of my clients who was getting undercut by big-box stores. They were trying to compete on price, and it was killing their margins. Once we shifted their focus to delivering higher-quality products with unbeatable service, they stopped worrying about competing with the big guys. They focused on their core customer and delivered value that their competitors couldn’t match. The result? Higher profits, even though their prices were higher.
The next time you’re talking to a client, ask yourself: Are you competing on price or offering real value?
So, if you’re chasing every sale with a focus on price over value, stop. Instead, set clear, measurable goals that align your team and drive real action. If you’re focused on the right customers,
asking the right questions, and building trust through value, your sales success will take care of itself. When you do this, you’re not selling a product; you’re solving a problem. That’s where real, sustainable growth happens.
Glen Dall is the founder and CEO of Apex North Business Coaching. Drawing from his own experience as a former public company CEO with over 35 years in business, Glen has a deep understanding of the challenges and complexities CEOs face. As a sought-after CEO and leadership team coach, he has transformed the trajectories of more than 40 CEOs and their teams, propelling their businesses to new heights while nurturing their development as leaders.
Glen will present the Mastering Consultative Selling in Construction session at BizCon South. See pages 9-12 for details.
The Lumber Market Rollercoaster Ride
Will this year's ups and downs be exhilarating or frightening?
The lumber market has been a rollercoaster ride for the past five years. Beginning with a period of extreme instability during the height of the COVID-19 pandemic, lumber prices climbed to and plunged from new heights several times before settling into less bone-rattling patterns in recent years. Rates still haven’t returned to pre-pandemic levels, however, and memories of 2020’s wild ride remain strong.
With a new year underway, questions remain about where the lumber market is heading. While nobody can predict the future, recent trends provide insight into what may lie ahead, absent the influence of unanticipated disruptions.
Recent Price Trends
In the 12-month period ending in November 2024 – the most recent data available at the time of publication – softwood lumber prices increased 11.8%, according to the U.S. Bureau of Labor Statistics Producer Price Index. Hardwood lumber increased 5.7% during the same time span, while plywood decreased 4.8%.
The most noteworthy price growth in 2024 was reflected in the 2x10 2x10 market, according to the National Association of Home Builders. NAHB reports a 63.2% increase in the cost of Western spruce, pine and fir 2x10 and a
53.6% increase for the green Douglas fir 2x10. The lone exception to this trend came from southern yellow pine 2x10, which declined 3.7%.
What to Watch
Three of the biggest factors that could have a significant impact on lumber rates are interest rates, inflation and potential tariffs – unknowns that loom as a new administration assumes control in Washington, D.C.
While the U.S. Federal Reserve reduced interest rates by .25% near the end of 2024, it plans to proceed slowly with additional rate cuts, according to Fed officials. Inflation benchmarks held relatively consistent during the second half of 2024,
In January 2025 remarks at the University of Michigan Law School, Fed Governor Lisa Cook said, “The labor market has been somewhat more resilient, while inflation has been stickier than I assumed. Thus, I think we can afford to proceed more cautiously with further cuts.”
The Fed’s caution has been met with criticism from the new administration. While criticizing elevated inflation in early January, President-elect Donald Trump called for interest rates to be cut.
“Inflation is continuing to rage, and interest rates are far too high,” he said.
Meanwhile, Trump continued to threaten a hefty 25% tariff on goods imported from Canada. In August 2024, the U.S. Department of Commerce raised tariffs on Canadian softwood lumber imports from 8.05% to more than 14.54%. Additional Commerce Department increases are expected in 2025, highlighting the need for a long-term agreement between the two nations.
Supply
In September, forest products producer Canfor Corp. reduced its production in the southern United States with shift reductions and reduced operating hours at two locations. At the same time, the company announced the closure of two British Columbia sawmills, citing “the persistent challenge accessing economic fibre, ongoing financial losses, weak lumber markets and increased US tariffs.”
In October 2024, Western Forest Products in Vancouver, British Columbia, announced a fourth-quarter curtailment of approximately 30 million board feet, resulting in a full-year reduction of approximately 90 million board feet.
“We continue to face more challenging lumber markets and operating conditions and are taking proactive steps to match production
to market demand,” said Western’s President and CEO Steven Hofer. “With the potential for the combined U.S. Softwood lumber duties rate to more than double in the second half of 2025, all levels of government need to be focused on creating a policy environment that supports the forestry industry and encourages domestic investment.”
According to an estimate from crosscommodity price reporting agency Fastmarkets, North American sawmill capacity declined by 3.1 billion board feet in 2024 due to lumber production curtailments.
Demand
Amid economic, supply and pricing challenges, demand for lumber products
remains strong and shows little sign of declining. Builder sentiment held steady to end 2024, as high home prices and mortgage rates offset renewed hope about a better regulatory business climate in 2025, according to NAHB. Builders expressed increased optimism for higher sales expectations in the coming months.
“While builders are expressing concerns that high interest rates, elevated construction costs and a lack of buildable lots continue to act as headwinds, they are also anticipating future regulatory relief in the aftermath of the election,” said NAHB Chairman Carl Harris. “This is reflected in the fact that future sales expectations have increased to a nearly three-year high.”
An informal poll of HBSDealer readers at the end of 2024 also showed cause for optimism. Only 14% of respondents
expected their 2025 sales to decline, while 66% expected an increase in sales of between 1% and 10%. An additional 5% forecasted sales growth of more than 10%, while 15% expected sales to remain flat.
Alternative Products
While lumber remains dominant, demand for engineered wood and composite products continues to grow, particularly for flooring and decking. A forecast from data analytics and research firm Skyquest suggests the composite decking market is poised to grow from $4.46 billion in 2024 to $14.73 billion by 2032.
“Our research on the global composite decking market shows that the market is driven by factors such as increasing demand for low-maintenance outdoor living solutions, growth in residential construction, rising environmental awareness, product innovation and regulatory compliance,” Skyquest wrote in its Global Composite Decking Market report. “However, challenges related to cost, competition, perception, supply chain and installation must be addressed to unlock the full potential of the market with North America dominating the market.”
The Future
As 2025 unfolds, economic and market factors will surely change. How those changes affect lumber product supply and demand, and to what extent they benefit or hinder lumber producers, LBM dealers and builders, will play out in the coming months. One thing is for sure. The lumber material rollercoaster ride will continue. The big question is whether that ride will be exhilarating or frightening.
[ SAFETY CONNECTION ]
By Melissa Olheiser, OHST
Why Workplace Safety is Worth Every Dollar
When it comes to running a successful business, workplace safety is not an expense – it's an investment with measurable returns. Companies that make safety a core value see significant benefits, not only in terms of compliance and risk reduction but also in financial performance. Core values are essential, guiding principles that reflect a company’s culture and represent the organization’s beliefs and behaviors, shaping how decisions are made and how people interact. Investing in workplace safety provides a valuable return on investment and is a smart move for every business.
The True Cost of Workplace Accidents
According to the Occupational Safety and Health Administration, workplace injuries and illnesses cost businesses billions of dollars annually. These costs include direct expenses such as medical bills, workers' compensation claims and legal fees. But beyond these, indirect costs – like lost productivity, damaged reputation and increased insurance premiums, can significantly impact a company’s bottom line. Studies show that for every $1 invested in workplace safety, businesses can see a return of $4 to $6 in reduced costs. When you factor
in avoided OSHA fines, downtime and turnover costs, the return on investment becomes even more compelling.
Investing in Safety Boosts Productivity
A safe workplace leads to a more engaged workforce. When employees feel safe, they’re more productive, focused and motivated to do their best work. This leads to better performance and reduced absenteeism. Businesses that invest in customized safety training can experience fewer workplace disruptions and higher overall productivity.
Lower Insurance Premiums and Workers Compensation Costs
One of the most significant financial benefits of a robust safety program is the potential to lower your insurance premiums. Insurers view companies with proactive safety practices as less risky and may offer lower premiums as a result. Additionally, fewer workplace accidents mean fewer workers' compensation claims, leading to long-term savings.
Avoid OSHA Fines and Penalties
OSHA violations can result in hefty fines, not to mention the damage they can do to your company's reputation. By partnering with safety experts, you can minimize the risk of violations and ensure compliance with current regulations. Avoiding these penalties can save thousands, if not millions, of dollars over time.
Build a Strong Safety Culture, Improve Retention
Workplace safety doesn’t just reduce accidents – it also helps you retain top talent. Employees are more likely to stay with a company that shows it values their well-being. A high retention rate reduces the costs associated with hiring and training new employees.
An Investment, Not an Expense
When you invest in workplace safety, you’re investing in the long-term success of your business. From lowering insurance premiums and avoiding OSHA fines to increasing productivity and retaining talent, the ROI is clear.
Melissa Olheiser, OHST, is regional director for OECS, BLD Connection’s preferred OSHA safety consultant. Contact
OECS at (763) 417-9599 for more information.
[ CAREER CONNECTION ]
By Dena Cordova-Jack
The Power of Reinventing Yourself
I've recently noticed a lot more concern among LBM people – particularly late-stage Gen Xers and young Baby Boomers – about their careers. As they pass the midpoint of their working lives, I hear them ask, “Have I accomplished what I once wanted?” “Do I like my job?” and “What’s next? Will my work (or my employer) be around until I retire?”
I feel your concern. It is never too late to reinvent yourself so that you’re able to enjoy work for years to come.
Embrace the Power of Adaptability
Being willing to reinvent yourself matters for both external and internal reasons. In an era of constant change, the skills and knowledge that were once in high demand may quickly become outdated.
Job roles transform or disappear altogether. Salespeople whose chief sales tools were a spiral-bound notebook and a box of doughnuts now must be computer-savvy and have flash writing skills. Leaders of single-store independent lumberyards are called upon to manage multiple branches simultaneously when a big operation buys their company. Operations people who kept mental maps of truck routes and yard layouts now have to embrace software like dispatch-and-delivery systems and warehouse management programs.
By embracing reinvention, individuals can update their skill sets and stay ahead of the curve.
Finding Alignment
Internally, reinvention matters perhaps even more. I have often seen people enter a career because it seems practical or lucrative, only to end up
feeling unfulfilled and disconnected from their work. However, the great thing about LBM is that it supplies a myriad of avenues to pursue your career while never leaving the industry.
I encourage you to explore different jobs and career paths where you work and find alignment with your true passion and interests. Then, tell your boss you’d like to get into that field. And even if a building material dealer doesn’t have what you want, there are related jobs in two-step distribution, product manufacturing, marketing, HR and the like that could fit you perfectly.
been fortunate to have many opportunities to expand my career. Most of these experiences placed me in a position to learn something completely different and challenged me to do something I had not done before. Scary, yes, but the confidence from succeeding in a new role has been invaluable.
Perhaps you don’t know what you want to do next. No problem. Many people reach a point in their career and recognize they need or want a change but need help deciding the right path. They stand at the fork in the road, undecided on a direction. Fear of change is real, but taking calculated risks will diminish that fear. One of the best ways is to take a personality assessment like Hogan. These tools measure your motives, values, motivators, self-awareness, and leadership competencies. They can provide a clear direction to ensure your career aligns with who you are.
Don't Get Pigeonholed
By embracing reinvention, you open possibilities you may not have otherwise considered. I speak from experience. Over the decades, I have
Arnold Schwarzenegger began as a bodybuilder, transitioned into acting and then reinvented himself as the governor of California. Elon Musk began his career in software design, his first company being a city guide software named Zip2. From there, he went into banking and finance, founding the precursor to PayPal. Only after that came Tesla and SpaceX.
Reinvention doesn’t even require a job change. Consider Hancock Lumber’s longtime leader, Kevin Hancock. When a medical condition made it painful for him to speak, he was forced to alter how he interacted with his employees – and, as a result, developed a new management style that has taken Hancock Lumber to even greater heights.
Resilience
Reinvention promotes resilience in the face of adversity. Career setbacks
and obstacles are inevitable in today's constantly evolving job market. Individuals who successfully reinvent themselves are better equipped to bounce back. Their diverse skill set, adaptability and growth mindset enable them to tackle challenges head-on and find innovative solutions. This resilience benefits them in their careers and personal lives as they learn to navigate change and uncertainty with confidence and determination.
Just Do It
The power of reinventing yourself during your career cannot be overstated. Adaptability and a growth mindset are essential for success. By embracing change and learning through reinvention, you can pursue your passions, achieve personal growth and build resilience, all contributing to a fulfilling and successful career.
Dena Cordova-Jack is a 30+ year LBM industry veteran. She has held various positions in her career, from trading commodities, purchasing
and sales management, regional sales director to her current role as vice president, organizational development with the Misura Group.
Bliffert's Pink Truck Helps Raise Cancer Funds
It's not every day that you spot a pink flatbed truck cruising down the road, but “Pinky,” the Bliffert Lumber pink truck, is more than just a vehicle – it’s fulfilling a mission. For every mile it travels, 20 cents goes toward supporting local breast cancer patients and vital research.
The journey began in 2019 when Bliffert Owner Eli Bliffert and Manager Chris Hegeman decided to expand the company’s commitment to breast cancer awareness.
“Bliffert has had a partnership with Susan G. Komen for quite some time, but we wanted to help more and make a unique difference in our community,” said Hegeman. “The idea of having a truck that serves a greater purpose came up, and we reached out to Lakeside International Trucking to see if they could help.”
Lakeside International Trucking was able to help Bliffert Lumber bring that vision to life. In addition, the trucking company agreed to contribute a donation match up to $2,500.
“When we first learned about Bliffert’s commitment to the Susan G. Komen organization, we knew we had to get involved,” said Lakeside International Trucks Director Cassidy Sommer. “Over the past five years, our collaboration has not only raised awareness but has also united our community in the fight against breast cancer.”
Since hitting the road, the pink truck has helped Bliffert Lumber and Lakeside International Trucks raise $21,547. This year, they proudly presented a $6,060 check to Susan G. Komen.
"We are so humbled and appreciative of the support provided by these two generous local businesses," says Komen Wisconsin Executive Director Nikki
Panico. "Their big pink truck is absolutely a community hero!"
This year, Bliffert Lumber also developed an employee-driven donation campaign to help raise funds. A total of 33 team members signed up to participate in the More Than Pink Walk, and another 45 contributed funds toward the campaign. Unfortunately, the 2024 walk was canceled due to inclement weather. Nevertheless, Bliffert’s team was able to contribute an additional $2,770 in
employee and community donations, and Bliffert Lumber and Lakeside International Trucks continue to have Pinky travel throughout Wisconsin year-round.
Spahn & Rose Receives Top Workplace Accolades
Spahn & Rose Lumber Co., a BLD Connection member based in Dubuque, Iowa, was recently honored as a Top Workplace, a prestigious recognition that highlights organizations excelling in employee satisfaction and workplace culture.
Spahn & Rose’s inclusion in the Top Workplaces list is a testament to its commitment to creating a positive and engaging work environment. Employees have highlighted the company’s dedication to professional development, open communication and a culture that values each team member’s contributions. This recognition underscores Spahn & Rose’s efforts to prioritize employee well-being and satisfaction, leading to enhanced customer service and business success.
The Top Workplaces award is an annual accolade that celebrates companies fostering exceptional work environments. It is based entirely on employee feedback collected through a confidential survey conducted by Energage, a research firm specializing in organizational health and workplace improvement. This survey evaluates various aspects of workplace culture, including alignment, execution, and connection. The award is sponsored by prominent media partners across the United States, such as The Des Moines Register, which collaborates with Energage to recognize outstanding employers in their respective regions.
Congratulations to Spahn & Rose for this well-deserved recognition.
LBM Advantage Announces Vendor Awards
LBM Advantage, one of the nation’s leading lumber and building materials cooperatives, is proud to announce the recipients of its 2024 “Vendor of the Year” awards. These awards celebrate exceptional partnerships and acknowledge vendors whose contributions have significantly enhanced the success of LBM Advantage members over the past year. Winners included:
• Commodities: CertainTeed Gypsum
• Specialties: QUIKRETE
• Millwork: James Hardie
• Kitchen & Bath: Cabinetworks Group Vendors are selected from four main building product categories –Commodities, Specialties, Millwork, and Kitchen & Bath – and are evaluated based on key performance metrics, including sales growth, gross margin improvement, customer support and product quality.
“These companies set the gold standard for excellence in product quality, customer service and innovation,” said Tom Molloy, executive vice president of LBM Advantage. “Their commitment to excellence and their collaboration with our co-op members have driven growth and strengthened
the value we deliver to our entire network.”
The awards will be presented during the LBM Advantage 2025 Annual Buying Show, which will be held March 10–12, 2025, at the Coronado Springs Resort in Orlando, Florida.
LMC Celebrates 90 Years
Founded in 1935, LMC has grown to become the longest standing forest products and building materials buying group in the United States.
At its heart, LMC is a network of independent, family-owned businesses deeply rooted in their communities. These businesses unite under the LMC banner to collaborate, share best practices, and forge relationships that enhance their operations and contribute to the industry's advancement. For 90 years, LMC has maintained enduring partnerships with premier lumber mills and top manufacturers, solidifying its reputation for quality and excellence.
In the midst of The Great Depression, James L. Buckley, who managed the Middle Atlantic Lumbermen's Association (MALA), was intrigued by the cooperative business model used by The Associated Merchandising Corporation of New York City. Familiar with many independent lumber dealers,
Buckley pitched the concept of combined purchases to a group of dealers in the Mid-Atlantic states.
In 1935, 35 lumberyards joined forces and founded LMC with Buckley appointed as the first general manager, and two other employees. LMC held its First Annual Meeting for Stockholders in January 1936 in Philadelphia. Dividend checks were distributed to each stockholder and ranged from a few hundred dollars to well over a thousand.
Thirty-five new stockholders joined that year from New York and New England, bringing the total membership to 70. After one year of operations, purchases reached $536,000, or the equivalent of over $12 million today.
After nine decades of growth, LMC
now represents more than 430 members with over 1,800 locations across all 50 states. LMC has established itself as a cornerstone of strength and collaboration in the lumber and building materials industry.
Caterpillar Forklift: 1994
GPL40-G2 Caterpillar Forklift for sale. $13,750. Original owner. 7785 Hours. 8300#, Triplex 168/85 Mast, 78” x 48” Carriage, 48” x 8” x 1-1/2” Forks, 4.3l 6 cyl Gas. Good condition. Service and tuneup in June 2024. Contact Bob Halleland at Story City Building Products, Story City, Iowa, scbp57@gmail.com.
Do you have company news or a product announcement to share with BLD Connection members? BLD Connection would love to hear about it and share it with our readers. Email news releases to tim@bldconnection.org for possible inclusion.
2024-2025 Professional Development Schedule
Dates & locations are subject to change. The latest information can be found at association website.
Date Program
October 28-30 Estimating 1-2-3
Location
Inver Grove Heights, MN
November 5-6 Yard & Delivery Operations West Des Moines, IA
November 6 Gross Margin Series Kick-Off Online
November 12 Women in the Industry Lunch & Learn Online
November 12-14 Estimating 1-2-3 St Charles (St. Louis), MO
December 5 Sales Development Rochester, MN
December 10-12 Estimating 1-2-3 Madison, WI
December 11 Nebraska Connection Conference La Vista, NE
January 7-9 Estimating 1-2-3 Coralville, IA
January 14 Wisconsin Connection Conference Wisconsin Dells, WI
January 15 Sales Development Little Rock, AR
January 21-23 Estimating 1-2-3 Kansas City, KS
January 28-29 BizCon North St. Cloud, MN
February 4-5 Advanced Operations Workshop Wichita, KS
February 11-13 Estimating 1-2-3 Omaha, NE
February 18-19 BizCon South Altoona, IA
February 25-27 Estimating 1-2-3 Inver Grove Heights, MN
March 18-20 Estimating 1-2-3 Appleton, WI
March 25 Introduction to Building Material Sales Lincoln, NE
March 25-26 Advanced Operations Workshop Minnesota
March 27 Introduction to Building Material Sales Kansas City, MO
April 8 Introduction to Building Material Sales Wisconsin Dells, WI
April 10 Introduction to Building Material Sales Minnesota
April 29-May 1 Estimating 1-2-3 Inver Grove Heights, MN
Roundtables
Pinnacle Leadership St. Charles, MO November 18-20
Virtual Roundtable Kick-Off Meeting November 7
Classic Leadership Minneapolis, MN January 21-23
Next Gen WI/MI Wisc. Dells, WI January 13
Mid-America Rogers, AR May 4-6
Estimating 1-2-3 “I liked how he gave lots of photos for examples of what he was talking about. It makes it very easy to visualize and understand.”
Brianna
Sales Development “Tools for better management of store/ yard so things run smoother and better for the customer.”
Cameron
