NHPA Celebrates 125 Years Serving the Independent Channel Page 20
Mister Oswald
NHPA Celebrates 125 Years Serving the Independent Channel Page 20
Mister Oswald
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HEADQUARTERS
1025 East 54th St. Indianapolis, Indiana 317-275-9400 NHPA@YourNHPA.org YourNHPA.org
OUR MISSION
The North American Hardware and Paint Association (NHPA) helps independent home improvement, paint and decorating retailers, regardless of affiliations, become better and more profitable retailers.
NHPA BOARD OF DIRECTORS
CHAIRMAN OF THE BOARD
Ned Green, Weider’s Paint & Hardware, Rochester, New York
EXECUTIVE VICE CHAIRMAN
Joanne Lawrie, Annapolis Home Hardware Building Centre, Annapolis Royal, Nova Scotia
Jay Donnelly, Flanagan Paint & Supply, Ellisville, Missouri
Ash Ebbo, Clement’s Paint, Austin, Texas
Scott Jerousek, Farm and Home Hardware, Wellington, Ohio
Michelle Meny, Meny’s True Value, Jasper, Indiana
Michael Sacks, FLC Holdings, LaGrange, Texas
SECRETARY-TREASURER
Bob Cutter, NHPA President and CEO
STATE & REGIONAL ASSOCIATIONS
MIDWEST HARDWARE ASSOCIATION
Jody Kohl, 201 Frontenac Ave., P.O. Box 8033 Stevens Point, WI 54481-8033
800-888-1817; Fax: 715-341-4080
NHPA CANADA
NHPA CANADA
Michael McLarney, +1 416-489-3396, mike@hardlines.ca
330 Bay Street, Suite 1400 Toronto, ON, Canada M5H 2S8
CIRCULATION, SUBSCRIPTION & LIST RENTAL INQUIRIES
CIRCULATION DIRECTOR
Richard Jarrett, 314-432-7511, Fax: 314-432-7665
COMING IN MARCH
Open the Lines of Communication
When it comes to employee engagement, a key component is communication. Next month in Hardware Retailing, discover what retailers are successfully utilizing for employee-to-employee communication, in store and across locations, and how they are keeping all staff members up-to-date on company news and information.
Hardware Retailing (ISSN0889-2989) is published monthly by the North American Hardware and Paint Association, 1025 East 54th St., Indianapolis, IN 46220. Subscription rates: Hardware Retailing (Payable in advance): U.S. & possessions $50/year. Canada $75/year. All other countries $110/year. Single copy $7. The Annual Report issue can be purchased for $30.
Periodical postage paid at Indianapolis, Indiana, and additional mailing offices.
POSTMASTER: Send address changes to Hardware Retailing, P.O. Box 16709, St. Louis, MO 63105-1209.
REPRINTS: For price quotations, contact the Editorial Department at editorial@YourNHPA.org. Printed in the U.S.
EXECUTIVE STAFF
PRESIDENT & CEO
Bob Cutter
CHIEF OPERATING OFFICER
Dan Tratensek
CHIEF FINANCIAL OFFICER & EXECUTIVE VICE PRESIDENT, BUSINESS SERVICES
David Gowan
VICE PRESIDENT OF CONTENT DEVELOPMENT & PUBLISHER
Scott Wright, swright@YourNHPA.org
CONTENT AND PRODUCTION
317-275-9400, editorial@YourNHPA.org
MANAGING EDITOR
Lindsey Thompson, lthompson@YourNHPA.org
MANAGER OF MARKETING & PARTNER RELATIONS
Austin Vance, avance@YourNHPA.org
NEWS & DIGITAL EDITOR
Jacob Musselman, jmusselman@YourNHPA.org
CONTENT DEVELOPMENT COORDINATOR
Annie Palmer, apalmer@YourNHPA.org
LEAD GRAPHIC DESIGNER
Autumn Ricketts
MARKETING & DESIGN SPECIALIST
Olivia Shroyer
PRODUCTION & DESIGN ASSISTANT
Samantha Mitchell
SALES & PRODUCTION ASSISTANT
Freda Creech
SALES
NATIONAL SALES MANAGER
Greg Cole gcole@YourNHPA.org | 317-775-2206
REGIONAL SALES DIRECTOR
Jordan Rice jrice@YourNHPA.org | 217-808-1641
ASSOCIATION PROGRAMS
800-772-4424, NHPA@YourNHPA.org
EXECUTIVE DIRECTOR OF RETAIL ENGAGEMENT & EVENTS
Katie McHone-Jones, kmchone-jones@YourNHPA.org
TRAINING MANAGER & EDITOR
Jesse Carleton, jcarleton@YourNHPA.org
RETAIL ENGAGEMENT SPECIALIST
Renee Changnon, rchangnon@YourNHPA.org
OPERATIONS COORDINATOR—ADVANCED EDUCATION & TRAINING
Amy Hayes, ahayes@YourNHPA.org
Happy Birthday NHPA!
Travel the timeline through the North American Hardware and Paint Association’s 125-year history as the trade association for the independent channel and see how the association has shaped the industry.
When it comes to finding and keeping quality employees, three retailers share the unconventional methods they utilize to hire and retain staff in an uncertain and sometimes unstable labor market.
Service Runs Deep
Meet this month’s Helmets to Home Improvement honoree, Alex Porter, a third-generation independent retailer whose passion for service bled from the military into his family’s operations.
Cyberattackers are constantly shifting tactics, and with growing supply chains and AI advancements, retailers of all sizes should be on the lookout for new threats in 2025.
Having a robust rental department can boost your business—discover best practices from a retailer who adapted and expanded his operation’s rental department to meet customer needs.
TAKING
CARE
OF BUSINESS
CONNECTIONS
Send Dan a Message dant@YourNHPA.org
Dan Tratensek
“NHPA exists to support, educate and advocate for independent retailers…there is no other organization in this industry that fulfills this mission.”
FROM THE ASSOCIATION
A Legacy of Service
IT WAS NEARLY 30 YEARS AGO when a young California transplant with a head of thick, russet brown hair first learned of what was known at the time as the National Retail Hardware Association (NRHA) and is now the North American Hardware and Paint Association (NHPA).
I had been working as a newspaper reporter when a friend of mine told me about an opening on the association’s magazine staff. After building a career in journalism, I never would have thought that 30 years later I would be working as an executive with this association. Even harder to imagine is that long before I darkened NRHA’s doorstep, the association had been serving retailers for nearly 100 years.
This year, NHPA celebrates its 125th anniversary, and I am proud to have been here for more than one-fifth of its lifespan. I’m sure I might have continued a fulfilling career focusing on journalistic pursuits, but a reason I feel lucky to have made this unlikely switch is because of the nature of what makes NHPA’s history and role in the industry so important.
Since it was founded in 1900 by a small group of Midwestern retailers, NHPA’s sole purpose has been to provide support to small business owners who sell home improvement products.
Most of you aren’t the Wall Street types who trade options behind a desk all day; you are helping to build your communities, you are paying fair wages and you are creating legacies for your families.
The ability to work for an organization that supports these pursuits and not be fettered by concerns for shareholder equity or stock prices is truly a blessing.
While 125 years in existence is a great reason to throw a party and spend time reflecting on the past, it’s also a great time to reflect on the value of this industry having a strong association.
NHPA exists to support, educate and advocate for independent retailers. That’s all we do. This mission applies to all retailers regardless of what brand products you stock, how big your operation is or where you are located.
There is NO other organization in this industry that fulfills this mission.
We do this by performing research on your behalf, by bringing together groups of retailers to share insights and encouragement with one another, by producing content and training programs to help you be more competitive and by speaking throughout the channel to make sure your needs are being met and your concerns are being heard.
NHPA has been doing this as a nonprofit for 125 years, and while I have only been here for a small part of that, I am proud of the time I have spent here and the work this organization has contributed to the industry.
As we light a very candle-heavy cake to celebrate NHPA’s birthday, we’d like to invite you to lean into YOUR association. Take advantage of the tools we have to offer. Participate in our programs and functions to ensure YOU will have an independent association still advocating for YOUR businesses for the next 125 years.
Dan M. Tratensek Chief Operating Officer
As the NHPA marks 125 years of supporting hardware retailers, Top Notch Distributors proudly celebrates 50 years as the nation’s most trusted distributor of residential and commercial door hardware.
Founded in 1975 by Chuck and Wanda Jurgensen, Top Notch has remained a family-owned and employee-owned business, partnering with retailers and businesses across the country, building a legacy of trust, innovation, and a commitment to excellence.
Join us as we honor our history and look toward the future — together.
EDITORIALLY SPEAKING
CONNECTIONS
Send Scott a Message swright@YourNHPA.org
Scott Wright
“Like everything your association has provided for the past 125 years, this program is rooted in our timeless, rich history of serving NHPA’s mission.”
Scan the QR Code for more information about NHPA’s FOMM Live! course.
FROM THE PUBLISHER
A Merchandising Milestone
YOU PROBABLY KNOW by now that your association is celebrating a milestone birthday this year…125 years serving this great industry. This year also marks another milestone, celebrating the 50th anniversary of teaming up with the National Hardware Show (NHS) to provide advanced education to show attendees. In 1975, NHPA became one of the original association participants in Hardware Industry Week, the educational component launched at NHS that year.
But decades before NHPA—then the National Retail Hardware Association (NRHA)—brought industry retailers college-level educational curriculum through our first retail merchandising course with the City College of New York. A decade later the association worked with Indiana University to produce the Turnover Handbook, helping industry retailers identify key products to include in their assortments and offering guidance on proper stocking quantities and variable pricing strategies with price sensitivity and velocity codes. After its publication, industry wholesalers sent their sales teams to association headquarters to learn how to implement the findings of this comprehensive program. Industry manufacturers also used it to develop displays and merchandising arrangements. It was truly an industrywide resource.
During this time, the association advocated for effective salesfloor presentation of merchandising to head off the spread of discount stores and supermarkets that were teaching customers to “shop for themselves.” This brought about departmentalization best practices to help retailers provide a better shopping experience through enhanced salesfloor organization, which would improve inventory management.
In the early 1960s, NRHA launched a full-blown store merchandising program under the name Master Merchant. Using data from the Turnover Handbook, Master Merchant planners created basic stock lists tied to salesfloor designs, which included optimal departmental location on the salesfloor and best practices. By the early 1970s, NRHA offered a Merchandising Consultant Training Program for state and regional field personnel to consult with retailers on merchandising management.
While providing merchandising management resources goes back nearly 80 years for the association, much has changed through the advent of technology and the science of retail anthropology. That’s why there’s never been a better time to “level up” your merchandising management by attending NHPA’s Foundations of Merchandising Management Live! course March 18 and 19 at NHS in Las Vegas.
FOMM Live! teaches the time-tested and proven best practices of merchandising management—from visual merchandising and assortment planning for your specific market to category management and vendor relations—for both salesfloor associates and buyers. Students learn the philosophy of merchandising and why it works, as well as strategic and scientific aspects of merchandising using data from our upcoming Merchandising for Profit study that will be released this year at the show.
Like everything your association has provided for the past 125 years, this program is rooted in our timeless, rich history of serving NHPA’s mission, which is helping home improvement retailers, regardless of affiliation, become better and more profitable merchants. We’ll see you in Vegas!
Scott Wright Vice President of Content Development and Publisher
BUILDERS
& CONTRACTORS TRUST TITEBOND
TRAINING
A Firm Foundation
Set your employees on the right path with NHPA Foundations of Retail courses. Learn more at YourNHPA.org/foundations INDUSTRY VIEWPOINT
Meet Gary
Gary Pittsford has helped hundreds of family business owners with valuations, exit planning, estate documents, retirement income security and net worth protection. Gary served as president and CEO of Castle Wealth Advisors, which was acquired in 2021 by Creative Planning to form a new division providing services for corporations, LLCs, family limited partnerships and others across a range of industries. Creative Planning Business Services offers expanded services for business owners. Gary retired from Creative Planning in December 2023 and now functions as a consultant, continuing to work with business owners nationwide.
Email gary@castleconsultingco.com
LinkedIn Gary Pittsford
Expect Better Financial, Legal and Tax Advice
In my 50 years in the industry, I have always seen that most owners are well-educated on the products and services they provide to all their customers. However, owners need to work with their accountants, attorneys and financial advisors to make sure they are getting up-to-date information to make financial decisions every year.
You should meet with your corporate attorney every one or two years and make sure you update your corporate minutes and the corporate buy-sell agreement if you have two or more stockholders. If you have a buy-sell agreement, make sure the document covers all the important trigger points, which would be death, divorce, disability, personal bankruptcy, termination and retirement.
You should talk with your accountant at least two or three times per year about any new tax ideas that can help the business and stockholders. Talk with them about payroll compliance, tax withholding, employee benefits and new labor laws. Also, check to see if there are any new tax credits or deductions that could be used.
If your industry has benchmarking reports that could be helpful to your company, ask your accountant to review those reports and use that information when they prepare your profit and loss statements and balance sheets. These benchmarking reports will help you be more profitable and increase the value of your company.
Your business financial advisor is usually the quarterback of your business advisory team. This person should be a Certified Financial Planner and fee-only. Meet with your financial advisor at least two or three times per year and discuss your thoughts about future retirement, financial goals and protecting your net worth.
All three of your team members should be fiduciaries working on your behalf and providing you with excellent up-to-date information.
It is common for you to meet once a year with your accountant and financial advisor to review all year-end statements for the business and discuss the ups and downs of gross margins, total payroll, total occupancy cost and other important changes that occurred.
Most of you have spent at least 40 or 60 hours per week over the last 30 years growing your company. You should spend one or two hours per year with these advisors to make sure your business and personal affairs are well organized.
Every year I tell lots of people this type of specialized business planning is like open heart surgery. I have a family doctor, but he is not a heart surgeon. If I need open heart surgery, I am going to use a doctor that specializes in these types of operations. When I get done with the operation, then I will go back to working with my local family doctor.
This is an analogy that explains why it may be necessary for you to use a law or accounting firm different from the local providers you have now. Selling or transitioning your company after a lifetime of work is a highly specialized operation. For this type of complicated transaction, you should use the best qualified experts on your business advisory team.
Gary Pittsford Partner & Chief Valuation Officer (ret.) and Consultant Creative Planning Business Services
RESOURCES
The Industry’s Marketplace
If you are interested in buying or selling an independent home improvement business, check out the NHPA Marketplace at YourNHPA.org/marketplace
Meet Deborah
Deborah and her husband are former second-generation retail store owners who know what it’s like to have to compete with big-box stores and online retail. During their time as store owners, they saw sales declining and were determined to do something about it. After remodeling the store and reengaging with customers through social media and community events, they began to see an increase in customer counts and sales. They use their experiences to help other retail business owners add value to their business now so they can harvest that value when they’re ready to sell. They are CEPA (Certified Exit Planning Advisor) certified through the Exit Planning Institute.
BUSINESS
STRATEGY
Are You Undervaluing or Overvaluing Your Business?
When we were preparing to sell our family-owned hardware store, one of our biggest challenges was understanding its true worth. Opinions within the family varied widely. Some believed the business was worth very little and thought we should simply liquidate everything. Others viewed the store as invaluable, something no amount of money could truly compensate for.
To determine the value of our business, we started with the fundamentals.
Inventory audit. We meticulously updated our inventory records, ensuring we knew exactly what was on the shelves and the value of each item. Pricing was also reviewed and adjusted to reflect current market conditions.
Fixture assessment. From shelving to office furniture, computers to equipment, we took stock of everything. Thankfully, we were provided a detailed checklist to help us capture all relevant items.
Financial review. We worked closely with our accountant to review current financials and create projections for future performance.
Armed with this information, we consulted a valuation professional who took our data and provided an accurate estimate of our business’s value. Don’t skip this step! Having a formal valuation made all the difference when negotiating with our buyer. It gave us the confidence to justify our asking price and ultimately secure it.
In our valuation process, we encountered something called goodwill, a concept we were initially unfamiliar with. Goodwill represents the intangible value of your business, the future earnings potential buyers are willing to pay for.
For us, goodwill was influenced by a number of factors. We were the only hardware store in town. A newly constructed frontage road made our store more accessible, enhancing its desirability. We were in a growing community. The number of years in business and a good reputation in our community also played a role.
These factors added value beyond the physical assets and inventory, increasing the overall worth of the business.
Real estate plays a significant role in business valuation, so it’s important to consider these questions: Do you rent or own the property? If you own, will you sell the property along with the business or retain it and lease it to the buyer?
In our case, owning the building gave us flexibility. We could sell the property with the business, boosting the overall value, or keep it and generate long-term rental income. We were able to lease the property to our buyers. For buyers who may not have the resources to purchase both the business and the property or simply just want to purchase the business, leasing the property can be an attractive option.
Whether you think your business is worth nothing or think it’s worth millions, it is critical to do your due diligence. By understanding your numbers, recognizing goodwill and considering real estate, you can arrive at a realistic valuation that positions you for a more successful exit.
The Industry’s Annual Report Learn from retailers and channel partners and gain an overview of the state of the industry at hardwareretailing.com/market-measure
Offering Options
BECAUSE PROFESSIONALS make up at least a part of the audience of most independent home improvement operations, gaining their attention is key to boosting sales. The Pro Attitudes Toward Good-Better-Best Product Offerings report from the
Home Improvement Research Institute (HIRI) looked at how brand loyalty plays an important role in where professionals spend their money. As you look to garner sales from professionals in your market, check out the some of the report’s findings below.
Primary Driver When Purchasing Building Products
3 Major Segments of Professionals
Source: Pro Attitudes Toward Good-Better-Best Product Offerings, Home Improvement Research Institute
Benefits of Partnering
with House-Hasson
Huge selection (over 55,000) of name-brand products, along with a 96% fill rate. House-Hasson has been increasing product offerings for 119 years.
Fast and dependable delivery, so you don’t lose sales to those “other guys”.
Customer service team takes great care in answering your questions through every part of the process.
Sales team makes frequent visits to ensure your store stays competitive and fresh through every season.
Truck drivers treat your packages as if their own.
America’s Largest Independent Regional Hardware Distributor
NEW PRODUCTS PRODUCTS
Retailer Recommendations
Send a note to editorial@YourNHPA.org about products you can’t keep on the shelf. Include your name, your business name and why you love it.
Garden Care Kit
The 3-Pack Kit from Urban Gardener includes its Super Growth Elixir, Say No To Bugs spray and Leaf Radiance spray. The kit includes everything new and experienced gardeners need to help their plants grow and stay healthy and safe from bugs.
URBAN GARDENER | geturbangardener.com
Washable Rug
Caulk Tube Cap
The StrapCap is a convenient way to stop messes while using any caulking or sealant products. The cap attaches to the back of the caulking gun and with its elastic strap, covers the tip of the caulk and can be pulled off when using. The StrapCap comes in single and two packs and is made in the U.S. with marine-grade bungees.
STRAPCAP | getstrapcap.com
The Washable Rug from My Magic Carpet is a versatile rug made for high-traffic areas in the home. This rug can be machine-washed and comes in multiple colors, design options and sizes. This rug is made with nonallergenic, stain-resistant microfiber polyester and includes a waterproof inner liner.
MY MAGIC CARPET | buymymagiccarpet.com
Strawberry Plant Cradle
The Strawberry Support Cradle from Rooted Promise supports strawberry plants, elevating them to prevent rotting and soil diseases. The cradle is made from UV-stabilized, BPA-free outdoor grade plastic and is 12 inches in diameter.
ROOTED PROMISE | rootedpromise.com
Wood Flooring
Inspired by the ancient Greek concept of the realm above the clouds, the Aether shade of flooring from Duchateau’s Atelier Series is a subtle beige flooring. The matte finish of the flooring allows the wood to breathe.
DUCHATEAU | duchateau.com
Paint Storage Bag
The Steward from StopLossBags is a reusable stand-up pouch that stores paint, keeping it fresher, reducing waste and saving money. Mix, dispense and store paint conveniently from touch-ups to project leftovers. The bags are designed for latex and oil paints and are formulated with a three-ply construction that prevents solvent loss with a gas barrier. Each bag holds 1 quart of paint.
STOPLOSSBAGS | stoplossbags.com
Multitool Belt Clip
The Easy-Slide from 1791 Everyday Carry is a multitool, knife and accessory sheath designed for convenience. Crafted from premium full-grain American leather, this belt accessory features a multitool pocket, accessory sleeve, a large flex loop and easy-slide belt loops. 1791 OUTDOOR LIFESTYLE GROUP | 1791edc.com
Tool Chest Mount
The ModRig from Holstery is a chest-mounted tool holder designed to improve movement while working with its six slots to hold tools. The mount can be customized to hold wrenches, tool pouches, tape measures and more. The ModRig helps workers reach their tools quickly and is suitable for various professions.
HOLSTERY | holstery.com
Composite Decking
The Transcend Lineage Composite Decking from Trex is made of 95% reclaimed wood and plastic film and is engineered to cool off in the sun. Trex composite decking is low-maintenance and backed by a 50-year limited residential and fade and stain warranties.
TREX | trex.com
Vacuum Lifter
The Pro-Lifter 20 from GRABO is a robust vacuum pump with a foam rubber seal to provide strong vacuum pressure. The vacuum lifter has up to 375 pounds of vacuum pressure and can lift any solid, flat material with the press of a button. The lifter was designed with professionals in mind and is ergonomic for ease of use on the job site.
GRABO | grabo.com
Topcoat
The Polycrylic Max Protective Finish from Minwax is easy to apply and dries in one hour. The topcoat can be used on all wood species, has non-yellowing properties and protects wood against scratches, spills, dirt and more. One quart can cover up to 100 square feet.
MINWAX CO. | minwax.com
Meat Resting Bag
The Rest EZ BBQ Blanket from Drip EZ is an insulated bag made to control heat loss and help retain moisture after smoking. The blanket has a durable exterior with a heat-reflective interior and a durable zipper with a wide opening to allow for larger cuts of meat. The blanket can be washed with soap and water and reversed to dry.
REST EZ | bbqdripez.com
CELEBRATING 125 YEARS OF POSITIVELY IMPACTING THE INDEPENDENT CHANNEL
COMPILED BY NHPA STAFF
For a century and a quarter, the North American Hardware and Paint Association (NHPA) has been serving the needs of independent home improvement retailers and providing resources to help them be better and more profitable. This year, NHPA is excited to celebrate 125 years as the
trade association for the independent channel, and this is your invitation to celebrate.
Follow a timeline of NHPA’s storied history and evolution, learn how the association has shaped the industry and celebrate the retailers, wholesalers, vendors and others who have made NHPA and the industry successful.
Paint Meets Hardware
Walk back through the history of the Paint and Decorating Retailers Association, which aligned with NHPA in 2017, at hardwareretailing.com/paint-association
Stronger Together From the Start
During the latter half of the 1890s, hardware retailers in several states formed hardware associations and by 1900, there were 14 state organizations. Their main purpose was to convince wholesalers and manufacturers to support the traditional channel of distribution.
One retailer, Zachariah Miller, who was also president of the Illinois association, contacted his counterparts in other state associations. On March 12, 1900, nine of these associations met in Chicago and formed the Inter-State Retail Hardware Dealers’ Association, which included the state associations from Michigan, Indiana, Illinois, Iowa, Missouri, Kansas and North Dakota. Minnesota and Wisconsin would join two years later, and the association would undergo several name changes.
No matter what it was called, the association continually grew and evolved to serve and support independents with education programs, advocacy initiatives and networking events.
to take on challenges, create solutions, share ideas and discuss best practices.
NHPA has always pushed independent retailers to take the next step with their businesses and to rely on each other for solution sharing. It has championed the buying power of the independent channel with vendors and manufacturers and continues to deliver resources to help retailers grow their businesses.
The association is the only industry organization providing an exclusive opportunity for the independent channel to share ideas and learn from each other in the interest of continued growth.
From its inception, NHPA’s focus has been on helping independents across three main pillars.
• Educate. NHPA provides business owners with resources, online courses and college-level programs to educate themselves and their employees with education for staff at all levels.
• Advocate. NHPA serves as a collective voice for independent retailers across the industry, advocating on behalf of retailers by maintaining close ties with industry distributors and manufacturers.
• Associate. NHPA gives retailers across North America multiple opportunities to come together to meet one another, discuss challenges, create solutions and share ideas and best practices, learning together and from each other.
Shaping an Industry
NHPA’s mission has always been to help home improvement retailers, regardless of affiliation, become better and more profitable.
The association has supported retailers by providing business services, advocating on their behalf, offering educational opportunities and creating a nondenominational space for retailers to come together
Educate: Sharing Best Practices So We All Succeed
From the beginning, retailer education was a top priority for the association’s leaders, many of whom were retailers themselves.
In 1917, in an effort to get to know the association’s members so he could better service their needs, Herbert Sheets, who ran the association’s Member Advertising Services, collected information from 2,400 members. The information he gathered became the forerunner for the Cost of Doing Business Study and identified operational areas where retailers needed assistance.
In response, the association developed accounting forms to help retailers institute standardized accounting systems to better control credit.
NHPA also provided retailers with prospect cards and community survey forms to collect demographic information that allowed them to respond to local market needs.
Building on these offerings, in 1920, the association made a shift to focus even more on education. It developed store planning and merchandising services, including a monthly merchandising section in Hardware Retailer magazine that included lists of products to display and promote each month and suggestions for window displays, interior fixtures, signs and display trimming.
The How-to-Sell Manual and Hardware Retailers’ Sales Manual were early attempts at product knowledge training and led to the association working with City College of New York’s Midtown Business Center in the late 1940s to develop a retail hardware merchandising course, the first of its kind in the U.S.
The middle of the 21st century brought the DIY revolution to the industry and explosive growth for the association. The association responded by identifying eight industry needs that would become the blueprint for future programs and services: store traffic, increased sales, increased profits, trained personnel, modern merchandising, promotion, improved competitive position and better communications.
In 1952, the association built a small model hardware store, a merchandising laboratory of sorts, at its headquarters for retailers, merchandisers and manufacturers to test out new ideas. Throughout the middle of the century, the association produced management bulletins, an accounting and bookkeeping system and an annual Selling Guide Training programs for employees took center stage as retailers grew and expanded, and the first edition of the textbook for the Advanced Course in Hardware Retailing came out in 1957.
The association’s first training film, “Don’t Call Me a Clerk!” came out in 1963, and in the 1970s, Hardware Retailer became a major vehicle for communications for the association, sharing best practices and trends retailers relied on to be successful.
During the 1990s, the association added the Building Materials Product Knowledge course, developed the College of Hardware and Home Center Knowledge and Retail Management Institute and branched into consumer education with the Show-How brochure program. During this time, association education
would evolve along with technology and computing, and the association set up an internet website in 1996.
Since the early 2000s, education from the association has seen major updates and evolutions to match the needs of retailers. Currently, NHPA’s Academy for Retail Development
1900 On March 12, 7 state hardware associations meet in Chicago to organize the Inter-State Retail Hardware Dealers’ Association
1900 Fire destroys all association records and official papers
1901 Delegates change name to National Retail Hardware Dealers Association; first permanent offices established at Corner Hardware in Argos, Indiana
1901*
Publish Volume 1, No. 1 of the National Hardware Bulletin in March as a 16-page pocket-size folder
1902
Publish first of three annual yearbooks, called The National Manual, which reports on the association’s achievements for the year
*1901: The first National Hardware Bulletin
offers resources for training and enriching individual employees, whether they are brand new to the home improvement industry or have decades of experience. The association also provides education through compliance training, roundtables, webinars and research like the Cost of Doing Business Study, Market Measure, Merchandising for Profit, Independent Retailer Index and case studies.
“The more things change, the more they stay the same,” says Scott Wright, NHPA vice president of content development and publisher. “When you look back through NHPA’s history, the content retailers needed from us a century ago like product knowledge training, selling skills and merchandising best practices are areas independent retailers still look to us to keep them competitive and viable today. Content delivery methods are very different today with the internet, but the subject matter that was important to retailers then is still very relevant today.”
Through the 1910s, the association supported the principle of price maintenance, urged passage of laws promoting truth in advertising, worked to pass laws against giving trading stamps and helped defeat a bill to allow banks to charge for processing checks.
After World War I, the association fought accusations of profiteering and reviewed hundreds of textbooks, which were teaching that the difference between retail price and factory cost was profit, leaving out the business costs retailers have to pay. These textbooks were revised to properly educate the public on the real story of retail profits.
In response to competitors’ business practices, the association adopted a Hardware Merchant’s Ethical Code in 1923, which encouraged the retailer “to be a man of character, truthful in his relationships, just in his decisions and fair in his conduct.”
In 1924, the association’s board of directors approved a resolution to form the Hardware Council, which would include wholesalers, manufacturers and retailers. The council’s purpose was to identify trade practices that could be changed to reduce costs to retailers.
Turning to consumer promotions to help move the channel forward, the association launched National Hardware Week in 1938. This national advertising promotion emphasized hardware stores’ broad assortment of merchandise, the local store’s importance in its community and the value of shopping in an independent hardware store.
Advocate: We’re More Powerful With 1 Voice
According to the association’s founding constitution, the object of the organization was “to promote the welfare of the retail hardware dealers of the U.S.”
The association wasted no time working on behalf of its retailers. In that first year as an association, officers addressed trade practices with the National Hardware Jobbers Association and manufacturers.
Retailers wanted manufacturers to stop selling to catalog houses or at least control the prices at which catalog houses sold their products to protect the margins of retail store owners. By 1905, over 300 manufacturers assured the association they would not sell to mail-order houses and if they did, the retailer would be given a fair margin of profit.
“Content delivery methods are very different today with the internet, but the subject matter that was important to retailers then is still very relevant today.”
—Scott Wright, Vice President of Content Development and Publisher
1904
The first advertising appears in the National Hardware Bulletin and National Manual is discontinued
1905 National Hardware Bulletin increases from quarterly to monthly
1908 Offices move to second floor of the Grossman Building in Argos
1912 The headquarters moves into its newlybuilt building in Argos
1917 Publishes Cost of Doing Business Study for the first time
1918 Membership reaches 38 states
Real-Word Learning
In 1952, NHPA built a small model hardware store at its headquarters. Learn more about this “merchandising lab of sorts” and how it supported the industry at hardwareretailing.com/model-store
The Lore of Hardware
When it comes to pop culture icons, he may not be mainstream, but Mister Oswald has garnered celebrity status and a loyal following in the hardware industry. He first appeared in the comic strip bearing his same name in October 1927 and would delight readers of Hardware Retailer magazine for over eight decades.
Mister Oswald was born from the creative mind of Russell Johnson, an artist and independent retailer himself. Johnson’s father owned a hardware store in Gibson City, Illinois, and Johnson took over the business after his father passed away, along with running a local shoe store owned by his brother-in-law.
In the early 1920s, Johnson began cartooning for one of the local newspapers, and his cartoons were seen by an editor at Hardware Retailer. In 1925, that editor invited Johnson to contribute cartoons to the magazine, which led to the creation of the Mister Oswald comic strip in 1927.
Johnson retired from retailing in 1963, but continued Mister Oswald for many years, handing over the reins to illustrator Larry Day in 1989. Day continued the strip in Hardware Retailer until 2008.
During his tenure as Mister Oswald’s creator, Johnson worked on the strip continuously for 62 years, a record for a comic strip done by its original creator.
A comic strip history buff, artist Rob Stolzer created a website in 2021 dedicated to Mister Oswald to keep his legacy alive.
Learn about Mister Oswald’s storied history, the life of Russell Johnson, how Larry Day kept a legend alive and where Rob Stolzer’s deep appreciation for Mister Oswald began at hardwareretailing.com/mister-oswald
1924* National Hardware Bulletin becomes Hardware Retailer; headquarters move to Indianapolis
1927 Hardware Council publishes Trade Betterment report outlining ways the channel can reduce costs of distribution
1927* Russell Johnson creates Mister Oswald comic strip
In 1949, the association launched a nationwide public relations campaign, which expanded in 1954 with the creation of the Handy Helpful Hardwareman symbol.
In 1955, it affiliated with the Canadian Retail Hardware Association, expanding advocacy across the border.
Through the rest of the century, the association would stay involved in advocacy work, including addressing trade relations, pricing, wages and more.
Today, NHPA backs various organizations that support independents, keeps members abreast of the laws and regulations impacting the industry and promotes careers in the channel.
The association maintains close relationships with industry distributors and manufacturers on behalf of all its retailers.
“It’s easy to forget what a powerful force independent home improvement retailers are when they combine their voices,” says Dan Tratensek, NHPA chief operating officer. “Combined, independent retailers in this industry account for roughly $250 billion in annual sales—that is huge.”
Tratensek says NHPA represents all of those independent voices, and the association works closely with other organizations inside and outside the channel to make sure every voice is heard.
“It’s easy to forget what a powerful force independent home improvement retailers are when they combine their voices.”
—Dan Tratensek, Chief Operating Officer
*1924: Moved to new headquarters in Indianapolis
*1968: Forty Years of Mister Oswald book, See Page 26
*1927: Mister Oswald
*1955: NRHA join forces with Canadian Retail Hardware Association
1951 Moves into own building on Pennsylvania Street in Indianapolis
1952 Russell Mueller named Managing Director
1954 Develops Handy Helpful Handwareman symbol to designate independent home improvement retailers
1955* Affiliates with Canadian Retail Hardware Association
1961 Publishes Managing a Retail Hardware Store textbook
comic strip from 1978
“One of the biggest things we can do to advocate for independent retailers is to make sure the rest of the channel understands their challenges and concerns,” Tratensek says. “That’s why we focus time and effort advocating for independents within our channel, talking to distributors, manufacturers and others to make sure they understand what our members need to continue to be a vibrant and growing force in the industry.”
Associate: Supporting Each Other When We Come Together
From its inception, the association made industry events and coming together as an organization a priority through its annual national convention. In the 1920s, the focus for the annual association conventions became more educational.
Over its history, the association has supported major industry events, including the launch of National Hardware Week. This campaign included an Independent Retail Hardware Association (irha) shield-shaped decal retailers could use to show they were part of the association.
Mid-century, the association created advisory committees of retailers, wholesalers and manufacturers, uniting the industry for the betterment of everyone involved. The association was the original association participant in Hardware Industry Week, which accompanied the National Hardware Show.
Other ways the association brought the industry together was through the State of Independents Conference, the All-Industry Conference and annual conventions.
The association still strongly believes that “we are stronger together” and hosts events each year to encourage solidarity in the channel like the Independent Home Improvement Conference.
1963 Releases first training film
1966 Launches Retailers’ Choice Awards
1967 William Mashaw Named Managing Director
1968* Publishes Forty Years with Mister Oswald
NHPA Retrospective With John Hammond
During 38 years with the North American Hardware and Paint Association (NHPA) that included 13 years as managing director, John Hammond saw dramatic changes in the home improvement industry. He offers this snapshot of some industry milestones during his career and how the association responded.
Hardware Retailing (HR): When did you serve NHPA (then NRHA) and what were some of the highlights of your career here?
John Hammond (JH): I began my career at the association as assistant editor for Hardware Retailing magazine from 1970 to 1973. After that I actually went to work for a competing magazine, the Hardware Merchandiser. After a couple of years, I returned to NRHA in 1975, missing the satisfaction that came from working with an organization totally involved in every aspect of the industry. I moved up through the organization from editor to associate publisher to vice president and publisher until I was named managing director in 1995, a position I held until retiring in 2008.
HR: What was the biggest change in the home improvement industry during your time at NRHA?
JH: Consolidation. In the 1970s, the independent hardware industry was totally fragmented with about 475 full-line hardware wholesalers, nearly all of them regional. Manufacturers were the “channel captains” and controlled the way goods and services moved through the channel. There were hundreds of local distributor shows. At that time, NRHA had 36 state and regional affiliates. We developed and coordinated services on a national level and the affiliated associations delivered those services to individual store members. Services we provided included store
1970 Announces computerized accounting service for retailers
1973 Begins publication of consumer magazine
How To: the make it, fix it, grow it magazine
planning and design, in-store merchandising, employee training, insurance, legislative activities and managing retailer’s co-op ad funds.
By the early 1980s, national co-ops grew to dominate the industry: Ace, True Value, HWI (later Do it Best) and Servistar (later merged with True Value). In Canada, Home Hardware was the dominant player. The regional distributors began going out of business and those that survived banded into Merchandising Groups, such as Liberty, Sentry (later merging into Distribution America), PRO, ValTest and Allied. The national co-ops and wholesale groups created their own brands, store designs and training programs. They became the new “channel captains,” controlling the flow of goods and services to retailers.
By the mid-80’s, Home Depot had arrived and the big-box race was on. By the early 90’s, Home Depot, Lowe’s and Menards emerged as the dominant players.
HR: How did the association respond to those changes?
JH: We had to adapt to the rising dominance of the national co-ops and distributors. With the exception of our publishing operation, the wholesalers took over the traditional association role by offering most of the services we were offering. Local associations became obsolete and by the mid-90’s, only 19 of the 36 were left. By the time I retired, only three were left. We offered association group membership programs to the national co-ops and wholesaler groups where their retailer customers could access our programs, including our training, in return for a fee. Some of them took us up on it. We also expanded our custom publishing group by creating customized magazines for these organizations. We basically private labeled our services for these companies and then private labeled communication devices to market them. We also became a supplier for wholesaler catalog data management and created a department to manage a wholesaler’s catalog data.
By the time I retired in 2008, the industry was changing once again. On-line shopping had disrupted the channel. Amazon changed everything.
Forward-thinking retailers and wholesalers launched e-commerce sites. The consumer became the new “channel captain.”
HR: What was the biggest contribution the association made to the home improvement industry during your leadership
JH: The move from a fragmented to a consolidated industry meant more control over the flow of best practices and ideas. Distributors provided programs at a national level. As an association intended to include all retailers, regardless of affiliation, we provided a forum where retailers could discuss ideas and best practices with others outside of their wholesaler. We provided that forum through our magazine, at our convention and at distributor shows. Encouraging and facilitating this open flow of information has probably been the biggest contribution to the industry the association made during my time, and it continues to do so today.
“As an association intended to include all retailers, regardless of affiliation, we provided a forum where retailers could discuss ideas and best practices with others outside of their wholesaler.”
—John Hammond, Former NHPA
1976
Puts training and sales aids on microfiche
1979 Begins publishing Hardware Show News at the National Hardware Show
Business Services: Creating Solutions for Your Biggest Headaches
Early on, the association worked to create a national mutual fire insurance company. While the idea failed, it set the tone for the association to provide services that would help members be more profitable.
During the 1910s, the association ran a Price and Service Bureau, which gave members price and other purchasing
The Evolution of a Magazine
One of the key ways NHPA has connected with retailers is through its monthly print publication. And while it has gone through several names changes, whatever was on the cover's masthead, retailers could count on reading applicable best practices, practical takeaways and helpful resources within its pages.
information to buy products in the most efficient and cost-effective ways possible. Those member services and educational opportunities expanded exponentially in the following decades to include all aspects of store operations: research, information, accounting, inventory management, business planning, store design and employee training.
The first individual retirement account program for members came in 1975. Today, business services are still a key benefit to association members, who have access to the Retail Marketplace, small business loan programs, insurance programs and credit card processing.
125 and Counting
While the industry is dramatically different today than it was when NHPA was first formed in 1900, there is so much that remains the same, including the association’s focus, role and mission, which has basically remained the same for the entire existence of the organization. NHPA’s mission is: To help hardware stores, home centers, LBM outlets and paint and decorating stores, regardless of affiliation, become better and more profitable retailers.
“It’s always been the guiding principle to how we serve our retailer constituents,” says Bob Cutter, NHPA president and CEO. “It’s something all employees who work at the association understand and can recite because for the past 125 years it’s been our mantra, and it will continue to guide us forward into the future.”
Introduces “open university” continuing education program
Coordinates Young Retailer of the
The History of the Paint & Decorating Retailers Association
On May 18, 1947, the Retail Paint and Wallpaper Distributors of America (RPWDA) was announced in Chicago, Illinois, to represent retail paint and wallpaper distributors throughout the country. The following year, the first RPWDA trade show was held in Chicago.
While the mission to support the independents was continuous, the association name changed throughout the years before finally becoming the Paint & Decorating Retailers Association in 1996. Decorating Retailer Magazine printed its first copies in September 1964, and in 1965, the association launched its first correspondence training program, a 15-manual course endorsed by Indiana University.
The association began offering key benefits to members, established the Marketing Institute and partnered with Better Homes & Garden to promote paint and wallpaper stores to consumers in the 1960s. In 1962 the name changed to the Paint &
2005 Name changes to North American Retail Hardware Association
Wallpaper Association of America (PWAA) and then again in 1972 to the National Decorating Products Association (NDPA).
In 1993, the association founded the NDPA Educational Foundation. In 1996, the National Decorating Products Association changed its name to Paint & Decorating Retailers Association (PDRA) and Decorating Retailer Magazine became Paint & Decorating Retailer.
During the early 2000s, the association combined its trade show with the National Hardware Show, celebrated the 50th anniversary of the magazine and published a consumer paint and decor special interest publication.
In 2017, PDRA announced an alliance with NRHA to increase support to independents. During this time, NRHA changed its name to the North American Hardware and Paint Association (NHPA) to reflect the new era for both organizations.
2008
William
Lee
Named President and CEO
2011 NRHA All-Industry Conference held at the National Hardware Show
The Life and Legacy of Mister Oswald
When it comes to pop culture icons, he may not be mainstream, but Mister Oswald has garnered celebrity status and a loyal following in the hardware industry. He first appeared in the comic strip bearing his same name in October 1927 and would delight readers of Hardware Retail magazine for over eight decades.
Mister Oswald was born from the creative mind of Russell Johnson, an artist and independent retailer. At the start of World War I in 1917, Johnson enlisted with the U.S. Navy and throughout his time kept his love of cartooning alive by drawing cartoons for Afloat and Ashore, a Naval paper published in Charleston.
After the war, Johnson returned to his job at Montgomery Ward in Chicago and took night classes at the Chicago Academy of Fine Arts, which had a cartoon arts program. In 1921, Johnson moved back to his hometown of Gibson City, Illinois, where he worked in his father’s hardware store. He drew advertising cartoons for the store’s window displays and created cartoons for one of the local newspapers. An editor for Hardware Retailer saw Johnson’s work in the newspaper and reached out to Johnson. In 1925, Johnson began a six-decade stint with the magazine and brought Mister Oswald to life. After retiring from retail in 1963, Johnson continued working on the Mister Oswald comic for two more decades. At the age of 95, he officially retired, passing the reins to illustrator Larry Day, who had been assisting Johnson with the comic since the early 1980s. Mister Oswald last appeared in the magazine in 2008. Johnson worked on his strip continuously for 62 years, a record for a comic strip done by its original creator.
Illustrator Larry Day reflects on his time penning the Mister Oswald comic strip after taking over from Russell Johnson in the 1980s.
Hardware Retailing (HR): How did you get connected with Russel Johnson and start creating Mister Oswald?
Larry Day (LD): I was an instant fan after seeing a copy of “Forty Years with Mr. Oswald.” My father brought home a signed copy from the local hardware store where Russell was signing copies. He wanted me to meet Russell, but I was a very shy 18-year-old. My younger brother tagged along with my father and had Russell sign me a copy anyway. When I opened the book, I was mesmerized. I devoured it. That someone with that level of skill who lived in our small rural farm town with that kind of drawing and draftsmanship floored me. Mr. Oswald was on par with the best cartoonists in the world where the ideas, pacing and characters were rich, funny, delightful and engaging, not to mention the history lessons and the familiarity of our small town.
I dropped my shyness and decided to meet him. Russell lived on Ninth Street, right across from the elementary school where I attended from kindergarten through fourth grade. He lived in a cute red brick two-story bungalow with a large porch and a dormer out the front. I never thought anything about it or who lived there the years going to school. It was just another house on the block. Little did I know a genius was hard at work inside.
The year was 1974, a year before heading to college where I would be studying commercial art. I decided to overpower my shyness and finally meet this local cartoonist. Russell was 81 and a bit hard of hearing. It took a while to answer my increasingly loud knocking. I was ready to leave when the door opened. I introduced myself and he said, “Come in, make yourself homely.” I instantly felt welcome.
That’s how I met Russell Johnson, the genius.
I don’t remember the actual year I started drawing Mr. Oswald. I think it was a few years after Russell sold the copyright to Hardware Retailing. After having the longest running comic strip ever, he decided to call it quits. A nationwide search was put out for his replacement. Russell shared a few of the submissions when he turned to me and said, “Why don’t you send a sample?”
By then I had been over to his house many times and had gotten to know him well. I saw how he worked out his
Robert Cutter Named President & CEO
ideas and the pacing of each character with thumbnail sketches and final drawings and how he inked and lettered each strip. I admired that these were all his own creations, characters from his own Johnson’s Hardware store on Sangamon Avenue.
HR: What did it mean to you to be a part of such a storied comic strip?
LD: It meant the world to be a part of Russell’s creation. Each of his characters were engaging and full of their own unique psychological makeup and drama. The cast was large and all local folk. It was a rarity, and I knew it. I was a part of that and also a part of an instant audience, a large community of loyal hardware dealers across the country. Russell’s shoes were not easy to fill. I felt I came close to Russell’s level on a couple of occasions, but it was always Russell’s inspiration in the back of my mind that kept me going. When anyone asked how he came up with his ideas he would always reply “cocaine.” He never did cocaine, and neither have I, but his work had an intoxicating magic to it. Russell was a natural. He was sharply in tune with the world around him.
HR: Did you have a favorite Mister Oswald character or comic strip you worked on?
LD: My favorite characters were Mister Oswald and Herman Hammers, his feisty and determined employee. Some of the side characters were endearing to me like Hotair, the hardware wholesaler who made periodic visits. I loved creating dialogue between the two
A fan of Mister Oswald for over 30 years, comic book fan Rob Stolzer created a website dedicated to the comic strip icon after finding a copy of “Forty Years with Mister Oswald” in a book store. Stolzer shared with Hardware Retailing his appreciation for Russell Johnson and Mister Oswald.
Hardware Retailing (HR): When did you first become interested in
Russell Johnson and Mister Oswald?
Rob Stolzer (RS): I was antiquing in Galena, Illinois, in 1993 when I ran across a used bookstore. Coming from a family that loved books, I always visited used bookstores when traveling, especially during those pre-and-newish internet days. Being a collector of comic strip art and books, I made sure to visit the humor section of bookstores. You never know what you might discover. On this day in this small Illinois town, I ran across a slightly worn hardcover book with gray boards: Forty Years with Mister Oswald. I had been studying old comic strips for well over a decade at the time, but never heard of either the comic strip or the cartoonist, Russ Johnson.
Leafing through the book, I was smitten with the style. Great cartooning from days gone by. I’m also a sucker for cartoons that reflect social history, and I loved that the strip revolved around a hardware store. But I was not smitten by the price, which is still marked in pencil on the upper right corner of the front-end page: $20. I looked through the book again, considered the price, and grudgingly put it back on the shelf. I left the store and made it nearly one block before I turned around, went back to the bookstore and purchased the book. That was my introduction to Russ’s work.
HR: When did you launch the Mister Oswald website? What was the motivation for starting that?
RS: Not long after I purchased the book back in 1993, I began searching for information about Russ and his comic strip. There had been a couple of published interviews done years earlier, but nothing recent. I decided to try and contact Russ. Luckily, a friend of mine had his address, so I wrote him an old-fashioned letter. In July 1995, I was able to conduct Russ’s final interview, as he passed away two months later. That interview ran in the pages of Hogan’s Alley magazine, a publication devoted to the cartoon and narrative arts.
I had already been collecting original comic and comic strip art for over a decade at this point, and Russ kindly gifted me two original Mister Oswald pages. I began to gather other material about the feature, including old tearsheets. As the internet grew and I learned more about building websites, I decided that I would like to do something devoted to Russ and his creation. So I secured the domain name and contacted the folks at Hardware Retailing magazine to seek permission. This took a few
2020 Paint and Decorating Retailers Association (PDRA) joins NRHA
2020 Name changes to North American Hardware and Paint Association
2020
NHPA rallies channel executives to urge Congress to designate home improvement retailers as “essential” during the COVID-19 pandemic so they can remain open and serve their communities
2023 First NHPA Independents Conference in Dallas, Texas
2024
NHPA partners with The Hardware Conference to form the first Independent Home Improvement Conference in Marco Island, Florida
years of touching back every so often, but in 2021 I was given the go-ahead to create the site. I was later a guest on Dan Tratensek’s “Taking Care of Business” podcast to talk about Russ and Mister Oswald.
HR: Why do you think Mister Oswald has achieved such a loyal following?
RS: There are a few reasons. First and foremost, Russ was a terrific cartoonist! He studied with professional cartoonists like Billy DeBeck (creator of Barney Google) in Chicago in the 1920s, and he really honed his craft as time went on. Russ drew wonderful figures and the details he put into the store are amazing! How many nuts and bolts did he draw over the decades?
Russ created wonderfully believable and flawed characters that readers could relate to, whether they were or are in the hardware business or not. Part of that character extends to the spaces he created. I love the family-owned hardware stores that are sadly disappearing, and Mister Oswald’s store is a perfect example of one of stores where you could go in and ask specific questions about a job or purchase a single bolt.
Mister Oswald is a mirror of the time it was created in, and I believe that readers respond to that reflection of time and place. During World War II, Mister Oswald struggled with not only keeping staff in the store, but materials as well. During the post-war boom, Mister Oswald faced different issues, the same as other store owners. Russ’s strip is a time capsule. And because he drew and wrote the strip so well, that time capsule is brought to life over and over again.
Association Model Store Puts Merchandising Into Practice
During its 125-year history, the North American Hardware and Paint Association (NHPA) has always focused on its members and helping independent retailers be better and more profitable. One of those ways was the association’s model store that was housed in the headquarters in Indianapolis starting in 1952.
The completely equipped model hardware store had nothing for sale except ideas and was open to retailers, wholesalers and manufactures to glean merchandising and display ideas, test customer service procedures and experiment with new merchandising concepts.
According to a 1950s brochure from the association, the model store offered day-to-day exposure for retailers from across the country to view new merchandise and new merchandising ideas. For vendors who participated in the model store program, the association offered them a complimentary mailing to all hardware stores and other retail outlets sharing about their products.
Those vendors were also included in a monthly bulletin, the Hoosier Hardware News, and the association kept an up-to-date list of sales representatives to share with retailers. Participating retailers received a management report each year of their store operating costs and sales and received the monthly Hoosier Hardware News and Hoosier Hardware Guide at the end of the year.
“Serving the needs of hundreds of stores is a responsibility and a challenge—you never really find a stopping place. It is gratifying to see the programs and services of the association continually helping the hardware retailers to more efficient management and better customer service.”
—William Sheely, Managing Director
JULY 30-31 |
Elevate Your Operations
Join us for two days of education, networking and growth opportunities at the 2025 Independent Home Improvement Conference in Orlando
Why Attend?
• Gain actionable insights from engaging keynote speakers and industry innovators
• Learn new strategies with 30+ targeted breakout sessions designed for independent retailers
• Expand your network with 800+ home improvement industry peers
• Enjoy a world-class, family-friendly venue in vibrant Orlando, FL
and
Who Should Attend?
The 2025 IHI Conference is designed for independent hardware and home improvement retailers looking to strengthen their operations, explore new business opportunities, and grow their networks.
Scan the QR code to join the waitlist for the 2025 Home Improvement Conference
OPERATIONS
OPERATIONS
Passing the Reins
Learn how the employees at A Few Cool Hardware Stores became owners at hardwareretailing.com/passes-reins
CLOSING THE LABOR GAP
Looking Beyond Your Current Employee Pool to Navigate Labor Dilemmas
BY LINDSEY THOMPSON
In an era where labor costs are on the rise and the search for the right talent becomes increasingly challenging, retail businesses are compelled to rethink their approach to workforce management. The U.S. Chamber of Commerce America Works Data Center reports that the labor shortage gap is decreasing, but there are still more jobs available than people to fill them. At the end of 2024, there were 8 million job openings in the U.S. but only 6.8 million unemployed workers.
At the 2024 Independent Home Improvement Conference, hosted by the North American Hardware and Paint Association (NHPA) and The Hardware Conference, three retailers—Yilda Marte, Leonardo Osorio and Gina Schaefer—shared the unconventional methods they have employed to effectively source and manage talent to put—and keep—the right people in the right positions in their operations. Tap into their best practices as you fill open roles in your own operation.
An Opportunity to Work
With 16 locations and over 525 employees, the biggest challenge facing Sunpro is the limited labor pool in manufacturing seen since the COVID-19 pandemic, says Osorio, who is the director of human resources for Sunpro.
Osorio heads up an innovative initiative that has brought much-needed labor to Sunpro. Sunpro is part of the U.S. Citizenship and Immigration Services’ H-2B Visa Program, which allows U.S. employers who meet specific regulatory requirements to bring foreign nationals to the U.S. to fill temporary nonagricultural jobs. As part of the H-2B Visa Program, Sunpro brought 45 people from El Salvador to work in 2022, 42 people in 2023 and 39 in 2024.
To qualify as an H-2B Visa petitioner, an employer must demonstrate there are not enough U.S. workers who are able, willing, qualified or available; show that employing H-2B workers will not adversely affect the wages and working conditions of similarly employed U.S. workers; and show the work is temporary, from a one-time occurrence to seasonal work for 10 months out of the year or less.
“If you’re interested in the program, two things you must consider: be sure to apply on time and be sure to show it’s a temporary need,” Osorio says. “It’s also crucial to be specific in what type of employee you need. For example, if you need somebody who speaks English, it needs to be in the job description submitted to the government by the deadline each year.”
Osorio says other key pieces for success are hiring a knowledgeable attorney to stay on top of the many compliance components that come along with the program and offering onboarding that sets the H-2B employees up for success. The employer covers the cost of the airfare to come to the U.S. and the visa, and the applicant is responsible for housing, transportation and other costs. To help the new employees get acclimated, a Sunpro representative greets each one at the airport when they arrive.
Qualifying for the H-2B Visa Program
1
Demonstrate there are not enough U.S. workers who are able, willing, qualified or available
2
Show that employing H-2B workers will not adversely affect the wages and working conditions of similarly employed U.S. workers
3
Show the work is temporary, from a one-time occurrence to seasonal work for 10 months out of the year or less
Learn more at uscis.gov
It’s crucial to be specific in what type of employee you need. If you need somebody who speaks English, it needs to be in the job description submitted to the government by the deadline each year.
—Leonardo
Osorio, Sunpro
Leonardo Osorio
OPERATIONS
Wellness Focus
Discover how the management team at Cole Hardware implemented a successful and comprehensive wellness program for its employees at hardwareretailing.com/culture-of-wellness
“Even if they arrive at 3 a.m., we have a Sunpro representative at the airport greeting them and sharing information about what they’re going to need during their time with us,” Osorio says. “We provide a number of community resources, including 75% tuition reimbursement for them to go to a local school or community college to take classes to learn English, lists of their religious organizations that are in town, a directory of the grocery stores and a list of any type of activities that they want to do.”
While bringing in employees from El Salvador has benefited Sunpro, being able to help those employees and their families has been the biggest positive, Osorio says.
“This is helping them, it’s helping their families,” he says. “We have had people who this is the third year they have come, so it can be very successful.”
Becoming Professionals
Schaefer, founder of A Few Cool Hardware Stores, a 13-store chain in Washington D.C., Baltimore, Maryland, and their surrounding areas, says the rhetoric of the unemployment problem points to the record low employment rates the U.S. has been experiencing as a success, but many employers are still saying they can’t find good employees.
“We need to look differently at different folks, because the people who can get a job generally are finding a job,” Schaefer says. “We’re all looking in the same place for the same people, and we need to be looking beyond the same labor pools.”
Since opening her first store in 2003, Schaefer has focused on providing chances and offering opportunities to those who need them most. Her book, “Recovery Hardware,” shares Schaefer’s path to building an innovative business that revitalized her urban community and provided opportunities for everyone to thrive, no matter their past.
“I think we’ve gotten away from thinking of retail as a profession. We say things like, ‘I’m just a retailer, I just sell hardware,’” Schaefer says. “I am a big believer in hiring from nontraditional backgrounds. I hire lots of folks coming home from prison and those in recovery. Those populations have helped build
A Few Cool Hardware Stores employees each have a stake in the company thanks to the employee stock ownership plan (ESOP) owner Gina Schaefer put in place. Skin in the Game
Reframe Your Hiring
Advice From the Unconventional Recruitment and Hiring
Corner
BY GINA SCHAEFER
Years ago, I hired a new teammate with really impressive skills.
They were great with money, as in good old-fashioned cold hard cash. They were a pro at counting it, collecting it and using it to buy new inventory. Sounds perfect for someone in a retail role, doesn’t it?
Second, they were used to working odd and unusual hours—happy to have a place to go and willing to work as many hours as possible.
And third, they were fantastic with people. In fact, sometimes the more difficult the customer, the more my teammate shined. They taught me more about customer service and about how to deal with excessively demanding shoppers or employees than any business book I’ve read.
Gina Schaefer
They started as a sales associate at Logan Hardware and eventually moved into a management role.
I shared this story from the stage once and asked the audience who they thought I had hired, and a voice in the back of the room yelled “a mom!” She was thinking of someone who is resourceful, responsible and up all night dealing with crying babies.
Not a bad guess, but I had hired a former drug dealer. Yep.
I have gotten a lot of mileage talking about this teammate over the years. Who in their right mind hires a former drug dealer to “mind the store”? Everyone loves the idea of his skillset and wants to steal him from me—until they hear his resume.
But that’s when I explain that the skills that made him so successful in his prior career also made him great in retail.
I realized early on that if we could reframe how we judge skill sets and think about our employee base in a much broader way, we can grow our team in ways we never thought possible.
He worked with us for 11 years and made our business a lot of money.
You don’t have to be a professional to work in our business, but you have to BE professional. Over the years when I’ve wished for “an adult in the room” to
help me noodle through a leadership challenge we’ve hired a business coach. One such event occurred in 2008 when we decided we needed to define and document our core values because we were growing at a pretty fast rate. This engagement ultimately became an exercise in asking our team what we wanted to be when we grew up.
The coach explained to us that documentation was one thing, but living and breathing the values was a completely different story. We wanted them to come to life! We didn’t want to put them in our handbook and on our website and never look at them again. And frankly, I didn’t care if our customers knew what our values were, I wanted us to embody them in everything we do. So, we peppered them into places like our interview questions, our counseling sessions and our awards programs.
The value of doing this came to life almost immediately when I hired a young man named Eddy.
Eddy had grown up in public housing and had never had a job before. He didn’t know what it meant to have a boss, and seemed terrified of me! He arrived for his interview with a mentor from a local nonprofit who ended up doing all the talking because Eddy was too shy to speak.
Eventually, I trotted out the core values. I asked Eddy (er, the mentor) to tell me about a time he was a good neighbor and out of the corner of my eye, I saw Eddy light up! He may have never had a boss before, but he had a neighbor named Mrs. Wilson whose cat he fed and groceries he carried. His candidacy was inked at that moment.
Eddy worked with us for ten years, finding his voice and growing his skills before leaving us to go to college.
Create policies that serve everyone. Over the years we’ve hired dozens of folks who have been overlooked for one reason or another in their lives—perhaps like the two described above. I’ve come to call these teammates my nontraditional teachers because their experiences, often very different from mine, have taught me how to be a better leader. Actually, they’ve taught me how to be a better human being.
Our policies and procedures were written for everyone on the team and have served us well over the years. Beyond the core values we created non-negotiables, rules for tardiness, service level expectations and learning goals.
Every community has an underemployed population. In some places it’s returning citizens, in some it’s immigrants, veterans or moms reentering the workforce. All of our businesses need new teammates every now and then and by broadening our pool of candidates, we can end up with a stronger team to help fuel future success!
Successful Start
Employees at Sunshine Ace Hardware go through specialized and personalized training that sets them up for success in their roles.
my business into an amazing company, and I think it’s because we treat everybody who comes to the door like they have the ability to be a professional.”
When it comes to employee retention, Schaefer found that creating an employee stock ownership plan (ESOP) was the perfect succession plan for a company built on a culture of engagement. Schaefer and her team have been emphasizing that the ESOP may not change an employee’s twice-a-month paycheck, but it is impacting the trajectory of their retirement. When employees buy into the success of the company, they are directly impacting their own financial success.
“Adding the ESOP was one extra lever of sharing in the wealth and building of the company,” Schaefer says. “We are constantly educating a new owner on what it means to be a new owner, and then hoping they stay because now they feel that ownership piece.”
That culture of engagement also includes taking care of the employee.
“We still have to make sure we’re handling all of the wellness along the way,” Schaefer says. “If somebody does choose to work with us their whole career, particularly as a sales associate, we want to make sure they can afford to live where our stores are and get to that retirement piece where they really are seeing the benefits.”
A Solid Start
At Sunshine Ace Hardware, which has 14 locations in Florida, the focus has been on labor optimization and bringing in those tools that provide productivity and efficiency. Marte, director of human resources, says employees are trying to do more with less, and so Sunshine Ace is committed to providing robust onboarding and training to set up employees for success.
“When we looked at our turnover, we saw we needed to focus on those first six months, specifically those first 90 days,” Marte says.
Success in employee retention starts with welcoming the new hire, and so Sunshine Ace Hardware has implemented an employee engagement team, which champions each new hire, starting with their first day on the job by providing a
personalized gift. The leadership team also shares with the entire staff when a new person is hired so each employee can welcome that new employee as well.
Marte and her team ensure each new employee is partnered with the right subject matter expert (SME) for each department and that training from each SME is consistent from store to store so employees feel comfortable if they work at multiple locations.
New employee orientation takes place within the first two weeks of a new employee starting and consists of a full day that covers core values, culture and company history, as well as expectations and communication training through DiSC. Marte has implemented 30-day, 60-day and 90-day training plans, which assures the employee is receiving the information and training they need to be successful beyond orientation. After the first 90 days, the new employee works one-on-one with their manager who creates a development program tailored to that employee.
Beyond taking care of the employees during training, Marte says the company focuses on overall wellness—physical, mental and financial. Sunshine Ace Hardware offers an employee assistance program (EAP) and partners with several community organizations to offer perks to employees.
One example is the company’s partnership with a local bank to offer financial literacy covering wealth, investing, creating a budget, credit scores, owning a home and more so that employees can stretch their wages. Sunshine Ace Hardware also works with the National Mental Health Association to put all managers through mental health first aid training, offers an employee loan program and after Hurricane Irma, the owners put together a grant program employees can apply for to cover various financial emergencies.
“Our approach is to look at the employee as a whole,” Marte says. “We want to be a sanctuary for our employees.”
Yilda Marte
The Next Generation
Buck's Ace Hardware's staff includes a number of younger employees, who enjoy a strong company culture that sets them up for future success wherever they work.
Attracting Younger Employees to Your Operation
As independent retailers work to find quality employees, one audience that can be tapped into is teenagers and college students. While many in the independent home improvement channel already utilize a younger workforce, for those who don’t, Hardware Retailing shares two ways to attract these employees.
Thomas Rose, vice president of sales and operations for Weaver’s Ace Hardware in Pennsylvania, turned to technology to attract younger job applicants.
In 2021, Rose added a Careers Page to the operation’s website, including the ability for job applicants to submit a video application, an idea he got from a lecture he attended. Along with the video, applicants can apply via an online form or bring a paper application into any of the stores.
The Careers Page outlines what Rose is looking for in the video application, which he recommends is 60 seconds or less. In the video, applicants share their name, where they live, phone number, store they are applying for, areas of interest, whether they are currently employed and any special qualifications.
Video applicants also share why they want to work for Weaver’s Ace Hardware and a personal goal they hope to achieve during their time working for the operation.
Rose says that while he hasn’t gotten as much traction from the page and the video application as he had hoped, with only a handful of video applications submitted. But, he believes it will be beneficial in the future to attract young employees. The Careers Page has also allowed Rose to more easily share the company’s culture.
“Culture is brought into the conversation from the very beginning and is a big part of what we do and how we do it,” Rose says. “For us, behaviors supersede KPIs, because KPIs will come with the right behaviors.”
For Buck Hurst, owner of Buck’s Ace Hardware with four locations in Utah, attracting younger generations starts by providing an excellent work culture and building into them as employees.
Hurst relies on younger workers to fill spots at his stores and strives to provide the best environment possible for these employees, who for many of them, this is their first job ever.
“I believe in the youth and believe we have a responsibility to them by providing a safe, secure and upward learning place that advances their personal skills in multiple ways and gives them a strong foundation for their future life’s goals,” Hurst says. “That’s the best training ever.”
Don’t Reinvent the Wheel
Take advantage of NHPA’s library of 43 training courses and over 273 individual modules . Licensing gives you the ability to easily add any of our courses to your LMS, and we’ll help get it set up.
FULL LIBRARY TRAINING BUNDLE
$4,500
$5,000 per year to license 43 NHPA training courses
per store fee includes $99 per training course if you pick and choose $250
*Must be a premier member of NHPA and a new licensing customer. Discount applies to year one of a two year contract.
Self-Paced
All courses are online and designed for you to learn at your own pace, fitting seamlessly into your busy schedule.
Expertly Created
Courses are developed by industry leaders with decades of retail experience and success.
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Customer support to address any questions or concerns related to the training courses.
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Access to digital training materials, resources, and modules for each store, ensuring consistent training across all locations.
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Updates to the training materials to ensure the content remains current and relevant.
Multi-User Licenses
Includes the ability for stores to register multiple users from each store under the same license, promoting widespread adoption of the training program.
Access to New Course Releases
Early access to any new training courses that NHPA releases. 10% OFF
Alex Porter Lives Out a Passion for Helping Others SERVICE COMES FIRST
BY LINDSEY THOMPSON
Growing up in the family hardware business, Porters Building Centers Ace Hardware, Alex Porter was raised with a desire to help others. He took his passion for serving to the military and was commissioned as an officer in the U.S. Air Force in 2013 after graduating from college.
“The slogan for our family business has always been, ‘We’re here to help,’ and I found that serving in the military would be the best way I could help others at that time,” Alex says. “The military also allowed me to diversify my leadership knowledge and expertise in some of the harshest environments or situations.”
Alex was part of the Kansas Air National Guard from 2013 to 2019, and during that time served a
seven-month deployment in Kuwait as a targeting officer for Operation Inherent Resolve with the 18th Airborne Corps. During his time with the Air National Guard, Alex worked in the family business as much as possible, but was serving in a more time-intensive job than most National Guard roles, so the military took priority. The times he was able to help out in the stores showed him the impact he could make there.
“I realized that by working full time back in the hardware stores, I could provide a different level of help to others,” Alex says. “I decided it was probably more impactful and the right time to come home and work in service to my community.”
Independent retailer Alex Porter was a targeting officer for Operation Inherent Resolve with the 18th Airborne Corps. Service Abroad
A New Way to Serve
New NHPA Program Honors Military Veterans Who Have Served Our Country, Channel
While there is no way to repay the sacrifices made by veterans of the armed forces, the North American Hardware and Paint Association (NHPA) recognizes that not only have these individuals made a lasting impact on their country, but they are also a prominent and positive influence within the home improvement industry.
To honor the ongoing impact military veterans make throughout the home improvement industry, NHPA is launching the Helmets to Home Improvement recognition program, with the National Hardware Show as the program’s official founding sponsor and venue partner. The program will officially kick off at the 2025 National Hardware Show in Las Vegas and culminate with a gala event to honor the industry’s military veterans in person at the 2026 National Hardware Show.
The idea for the program came from NHPA national sales manager Greg Cole, a veteran of the U.S. Marine Corps, whose story is just one of many shared by veterans working in the home improvement industry.
“I believe it is time for veterans to be recognized for the contributions they are making in the home improvement industry and in our communities. Veterans fought for us and have played, and continue to play, a significant role in shaping our nation’s history and future,” Cole says. “We must never forget their sacrifice, dedication and commitment to our country. The Helmets to Home Improvement program will be one way we can honor those who served.”
Above, Alex Porter is pictured with his wife Emily. Below, Alex (middle) celebrates his promotion to Captain with his grandfather Mack Porter (left) and father Kent Porter. Surrounded by Support
ASSOCIATION
Nominate a Veteran
Help us honor those who have served our country and our channel. Visit YourNHPA.org/veterans to nominate a veteran from your business to be recognized.
Small-Town Service Runs Deep
The transition from military to retail has allowed Alex to continue helping others, and he currently serves as chief operating officer of Porters Building Centers Ace Hardware in Missouri.
The operation was started in 1952 as Kearney Lumber Company by Alex’s grandparents, Mary Helen and Mack Porter, who is also a military veteran, having served in World War II in the U.S. Army.
On their first day open, Mary Helen gave birth to their first son Craig, and from the beginning, the Porters established a reputation for excellent customer service, going out of their way to help customers. A few years later, the Porters opened a second location and had their second son Kent, Alex’s father, that same week, further establishing themselves as a true family small-town business. When they had daughter Kristy in 1961, the business had grown to four stores, and in 1976, Kearney Lumber Company became Porters Building Centers.
Mack passed away in early 2024, but Alex says he came to work every day up until his 95th birthday when he suffered a stroke and was unable to recover. Kent serves as president of the company and Craig runs a sister company, Porter Wholesale Lumber. Alex and his sister Natalie make up the third generation of Porters to run the operation.
Not long after Alex transitioned to the family business full-time in 2019, he opened a brand new store in the middle of the COVID-19 pandemic. His passion for serving others paid off, with that store beating sales expectations by 70%. The Porter family opened a 20,000-square-foot store in July 2024 in an old Bed, Bath and Beyond store in Lake of the Ozarks and bought a building in late 2024 to open a fifth location this year.
“It was interesting, to say the least, to get that store up and running during lockdowns,” Alex says.
Lessons Learned, Lessons Applied
Along with serving others, Alex says his favorite part of working in the independent channel is the flexibility to do what’s best for the communities where Porters Ace has stores. He also appreciates the benefits that come with being part of a co-op.
“We have a nice mix, exactly what a co-op is supposed to be,” Alex says. “We have the buying power and can utilize the processes and procedures that have been heavily vetted to our advantage, but we are still able to be our own stores, providing that local feel and running our operation based on what best serves our communities.”
“Gaining an outside perspective of leadership, organization and more helped me see a bigger picture and have a better vision of what our company could be.”
—Alex Porter, Porters Building Centers Ace Hardware
As he transitioned into full-time work in the family business, Alex says he realized that the military prepared him well in different areas. In the Air National Guard, Alex was exposed to a wide range of people from diverse backgrounds, which he says has helped him grow a strong culture at the stores to serve a variety of customers.
“Getting out and interacting with different people from around the country and the world taught me to look for what different people can bring to the table,” Alex says. “Gaining an outside perspective of leadership, organization and more helped me see a bigger picture and have a better vision of what our company could be.”
The structure he experienced in the military also led to Alex developing direction in the stores.
“I had seen so many org charts in the military that when I came back to the office and started running the day-to-day operations, I realized our employees didn’t have road maps for their roles to see how their careers could unfold with us,” Alex says. “When employees can see how they fit into the company, what their role is and what their opportunities are, there is more buy-in and commitment.”
Military veterans are an excellent fit in the independent channel thanks to their resilience and discipline, Alex says.
“Most veterans have had discipline ingrained in their being,” he says. “Having been tested physically and mentally while serving, the veteran can excel in diverse environments and stay on task.”
THANK YOU TO OUR PROGRAM SPONSORS
THE FLEXIBILITY OF INDEPENDENCE
To a small or midsize independent retailer focused on growing their business, the benefits of working with an independent distributor are high. HDA Member Distributors are able to serve markets of all sizes while offering the brand recognition of products consumers are searching for. In addition to competitive pricing and quality, retailers are also likely to receive personalized services and the benefits of strong manufacturer relationships that drive business growth on multiple levels.
To support independent distribution and the local businesses they serve, HDA offers several programs including merchandising, marketing and advertising resources as well as a network with $7 billion in purchasing power. Nimbly adjusting to an ever fluctuating marketplace, HDA’s mission to support all channels of the independent hardlines channel means it is uniquely poised to drive growth and success for small, local businesses across the country.
RESOURCES
Centralizing Security
Read more insights from RH-ISAC on how you can make cybersecurity a core part of your business strategy at hardwareretailing.com/cybersecurity-strategy OPERATIONS
FORTIFY YOUR DEFENSES
Top 4 Cybersecurity Risks Small Retailers Face in 2025
BY LUKE VANDER LINDEN, VP OF MEMBERSHIP & MARKETING, RETAIL & HOSPITALITY ISAC
W HILE CYBERATTACKERS are constantly shifting tactics, and with growing supply chains and AI advancements, retailers of all sizes should be on the lookout for new threats in 2025. Here’s what to watch for in the new year—and how to strengthen security.
Business Email Compromise (BEC) Attacks
A business email compromise (BEC) is a cyberattack where scammers leverage social engineering techniques to compromise a legitimate work email account to execute more believable scams or steal money or sensitive information, such as intellectual property or personally identifiable information. Once they’ve gained trust, they trick employees into making critical cybersecurity mistakes, like authorizing fraudulent payments, handing over sensitive data or installing malware.
Large companies aren’t the only ones at risk of BEC attacks. Companies with fewer than 1,000 employees have a 70% chance of facing at least one BEC attack per week.
Retailers are particularly vulnerable; in 2023, they were the second most-targeted industry for vendor email compromised attacks, a BEC-attack subtype where cybercriminals pose as vendors.
Voice Phishing Attacks
Voice phishing attacks are another type of phishing attack retailers should be wary of in 2025.
Like BEC attacks, voice phishing attacks use social engineering to dupe employees into divulging financial or sensitive data. Again, bad actors pose as trusted vendors, HR personnel, C-suite executives, IT teams and others. Worse, deepfake technology makes modern voice phishing attacks more sophisticated and harder to detect, as advanced machine learning can mimic people’s voices with hyper-realism. In the last year, AI-driven phishing attacks increased by 60%—a trend that’s likely to continue.
SMS Phishing Attacks
Phishing attacks continue beyond emails or phone calls. Cybercriminals can also infiltrate your employees’ cell phones via text message in an SMS phishing attack.
Once again, scammers pose as known sources, such as a boss or colleague, to trick employees into clicking on suspicious links, sharing log-in credentials or otherwise compromising security. As with deepfakes, AI makes SMS phishing attacks more realistic and harder to thwart, enabling scammers to mimic personal writing styles with startling accuracy.
Supply Chain Attacks
As part of a broad supply chain, retailers often have multiple integrations with third-party vendors, like logistics providers, suppliers and payment processors. Some may even share login credentials.
While these integrations optimize communication and data transfers, they also expose retailers to new threats. The supply chain is only as strong as its weakest link. Should a retailer’s vendor become compromised, attackers can take advantage of the retailer-vendor integration to gain entry to the retailer’s network. Once they’ve gained access, they can steal sensitive data, deploy ransomware and disrupt operation, or more.
For example, in the Solar Winds attack, hackers inserted a backdoor into the company’s Orion software, allowing them to infiltrate the networks of hundreds of organizations nationwide.
1
Strengthening Cybersecurity:
Tips for Small Retailers
HERE ARE 3 PRACTICAL, ACTIONABLE TIPS FOR RETAILERS TO STRENGTHEN THEIR CYBERSECURITY:
IMPLEMENT ADVANCED AUTHENTICATION
To help protect against phishing and supply chain attacks, retailers can implement critical authentication measures, such as multifactor authentication (MFA) and biometrics.
MFA adds a layer of protection by requiring users to input at least two verification factors to access their accounts. Beyond passwords, this can include submitting a code via SMS, an authenticator app or answering common security questions. By making it more difficult for hackers to compromise accounts, MFA can help stave off diverse cyberattacks.
Meanwhile, biometrics can be used independently or alongside MFA to further bolster retailers’ defenses.
Biometrics are an individual’s unique physical characteristics, such as their fingerprints, voice or eyes. They can serve as another method of identity verification to help block unauthorized access. With MFA, even if hackers successfully steal login credentials through a phishing or supply chain attack, they face another barrier to system access.
INCREASE CYBERSECURITY AWARENESS
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MFA and biometrics are important safeguards, but they can be disruptive to implement, which makes cybersecurity awareness more important.
Over 30% of employees have made errors that risk impacting their employer’s cybersecurity. Particularly for phishing attacks, where employees are the target of social engineering, they’re often a retailer’s first line of defense against cyberattackers.
Even more worrisome, they’re also what some cybersecurity experts call “the weakest link.” The problem lies in cybersecurity awareness—30% of employees “don’t think they personally play a role in maintaining their company’s cybersecurity posture.”
In 2025, cybersecurity education should be retailers’ top priority. For example, organize training about phishing tactics, password best practices and how to handle cyber incidents. With regular training, employees will be better equipped to detect, identify and deflect cyberattacks.
JOIN A TRUSTED COMMUNITY
When it comes to cybersecurity, there is strength in numbers. Start by vetting third-party vendors to ensure they uphold cybersecurity standards. Then, educate staff with cybersecurity awareness training. Finally, join industry groups like the Retail & Hospitality ISAC (RH-ISAC), where you can connect with other retail organizations on cybersecurity issues. RH-ISAC has a program called LinkSECURE to assist retailers with ensuring their third-party vendors have robust cybersecurity practices. RH-ISAC also offers working groups to provide guidance and insights on security awareness training as well as other topics to help retailers best prepare for 2025.
CATEGORY SPOTLIGHT
OPERATIONS
Powering Sales
Discover how to turn the core category of hand and power tools into a destination for your market at hardwareretailing.com/tools-destination
Rentals Reimagined
EVOLVING YOUR RENTAL DEPARTMENT TO ADAPT TO CUSTOMER NEEDS
BY JACOB MUSSELMAN
Whether catering to weekend DIYers tackling small projects or contractors managing tight budgets, having a robust rental program allows stores to provide their customers access to high-quality hand and power tools without the upfront investment. Having a robust rental department helps meet customer needs, drive loyalty, increase revenue and build relationships.
For Gillman Home Center, which has 18 locations in southern Indiana and Ohio, a full-service rental department with hand and power tools has evolved from a convenient add-on service to a cornerstone of the business’s success.
Always Evolving
Robert Bond, operations manager at Gillman Home Center, says the landscape for hand and power tool rentals has changed dramatically and the role of rentals in driving sales has shifted.
“With the shift toward battery-operated power tools, many of these products have become inexpensive for the consumer,” Bond says. “A lot of the time, it makes more sense for the consumer to purchase their tools. We still offer power tool rentals, but they have declined.”
The challenge of attracting customers to hand and power tool rentals lies in how the program is marketed. Rather than highlighting specific tools, Bond says promoting the rental program as a whole is more effective.
Rev Up Your Rentals
Creating or reviving your store’s rental department can be daunting. Gillman Home Center operations manager Robert Bond shares three tips for store owners on how to succeed in rentals.
ASK QUESTIONS
There are many resources to prepare a feasibility study on rentals for your area. Check with your wholesaler or the American Rental Association before developing your rental program. Bond suggests speaking with your store’s legal counsel and choosing an appropriate insurance company when developing this department.
FIND A CHAMPION
Like any other department in your store, it is critical to tap a team member who is passionate about that category and will be able to evolve their role to suit your new department’s needs. To be successful, Bond says stores need a champion of rental to help adapt your business and coach your team.
BUY IN
If you’re not in, you’re out. Rental can be intimidating if you don’t have experience, Bond says. Instill confidence in your staff for rentals to succeed.
“If we’re marketing a deal on a drill, that’s not going to inspire someone to rent a drill who doesn’t necessarily need one,” Bond says. “But if we market the whole rental department, they can see we offer more than just drills.”
Gillman Home Center makes the rental process straightforward for customers. Tools can be reserved in-store or over the phone, and staff members are trained to provide customers with a thorough understanding of how to use the equipment safely.
“In most cases, walking the customer through the product’s safety information takes about five to eight minutes, covers our liability and helps the customer know how to properly use the tool,” Bond says.
The Power of Rent-to-Buy
The decline in hand and power tool rentals doesn’t mark the end of opportunities in the rental market, however. While customers are increasingly opting to purchase affordable power tools, Bond says there’s still a strong demand for renting those tools that cost more to purchase.
“Across the board, our power tool sales in every brand we carry has grown,” he says. “One example is angle grinders. Just 15 years ago, we would have customers renting those every week, but now they will purchase that tool because the barrier for entry is much lower.”
Building It Right
Robert Bond, operations manager at Gillman Home Center, hosted a rental seminar where he taught managers from every location how to succeed in rentals.
“We’ve tailor-made our store to have what our customers want, so we order from a lot of di erent suppliers. Paladin’s system works really well for us. It shows us what’s selling and what isn’t and helps us place our orders.”
Renee Zaman, owner of Mazo Hardware in Mazomanie, Wisconsin
Paladin Point of Sale Transforms Mazo Hardware’s Inventory Management
When Renee Zaman’s old system failed, she turned to Paladin Point of Sale for its ease of use and comprehensive support. Paladin solved Renee’s problems and improved her diverse supplier management.
• Market Driven Inventory Management: This feature keeps Mazo Hardware at an optimal stock balance year-round.
• Managed Services: Paladin experts monitor Renee’s business network, ensuring it runs smoothly and securely.
• Exceptional Support: Renee praises Paladin’s support for being responsive and understanding her needs.
With 45 years of experience supporting independent hardware stores, Paladin is an employee-owned company dedicated to making stores succeed. Call 800.725.2346 or visit paladinpointofsale.com
But for high-end equipment like stump grinders, air-powered tools and seasonal lawn care tools such as dethatchers and brush cutters, rentals remain a vital service.
“Those pieces of equipment are high movers for us,” Bond says. “We see customers rent air-powered tools, as well as an assortment of lawn tools like dethatchers, cable installers and brush cutters.”
One of the key advantages of maintaining a rental program is its potential to drive sales. Offering customers the ability to rent premium tools before making a purchase helps remove barriers to ownership, especially for more expensive items.
“Maintaining brand recognition in your rental inventory goes hand in hand with equipment sales for that brand,” Bond says. “If a customer comes in to rent a chainsaw, being able to rent that item they see on our shelves is a great tool to make that sale.”
This rent-to-buy model provides an effective way for customers to test a product without committing to a full purchase upfront.
“It’s a less-expensive way for them to see if they would like the tool,” Bond says. “After the rental, customers can either purchase that rental tool or purchase a different one. It’s a nice introduction for our more premier brands.”
Robert Bond revised his company's rental category as part of his business improvement project during the NHPA Retail Management Certification Program.
Master Merchandising to Maximize Success
You Can’t Afford to Miss Foundations of Merchandising Management Live!
In today’s competitive retail environment, effective merchandising isn’t optional—it’s essential. At the 2025 National Hardware Show, on March 18-19 Foundations of Merchandising Management Live! will give you the skills and strategies to drive ROI, optimize your inventory and selling space performance, increase your customer experience and build better vendor relationships.
COURSE DETAILS:
Expert-Led Course Sessions: Gain insights into critical merchandising strategies.
Hands-On Learning on the NHS Show Floor: Apply your new knowledge in real time.
Breakout Workshops and Roundtable Discussions: Collaborate with peers and industry experts.
ROI-Driven Assignments: Take actionable steps back to your store for immediate impact.
Networking Opportunities: Connect with top retailers, vendors and industry leaders.
LEARN HOW TO:
Build inclusive vendor relationships
Develop the right product mix
Utilize productive promotional spaces
Create profitable displays and product presentations
Design an efficient store layout
Conduct organized resets and remodels
Build a consistent merchandising culture
Include merchandising in marketing
Make trade shows productive
Can’t Make it to Vegas? Take Our Online Course! Learn more at YourNPHA.org/foundations.
RESOURCES
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Do it Best Plans Its Largest Market Ever
PLANNING FOR its largest spring market ever , Do it Best will bring together Do it Best and True Value on March 21-23 in Orlando, Florida, under the theme “Bigger. Stronger. Faster.”
The event will build on the recent acquisition of True Value and be the most expansive buying event in company history.
With more vendors than ever, the event provides opportunities for Do it Best member-owners and True Value retailers to network, share business practices and gear up for growth in 2025.
“We’re proud to host this incredible event in a way that celebrates the combined strength of Do it Best and True Value,” says CEO Dan Starr. “This market represents everything that makes us bigger, stronger and faster together. I can’t wait to welcome our members and retailers to Orlando.”
The Do it Best and True Value Spring Market will also focus on bringing more vendors and new products to True Value retailers, says Justin Hanford, vice president of merchandising for True Value.
“But none of it can happen if you don’t make plans to be there,” Hanford says. “We encourage every member and retailer to join us for this once-in-a-lifetime event.”
All attendees will be invited to a special evening celebration at Universal Studios, offering a fun and memorable experience for the whole family as they connect with fellow dealers in an unforgettable setting.
The Do it Best and True Value Spring Market will also include a special welcome reception for True Value retailers on the evening of March 20, designed to familiarize them with the market experience and provide all the tools they need to maximize their participation.
NHPA is proud to honor the next generation of leaders in the independent home improvement industry. The Young Retailer of the Year Awards program recognizes outstanding retailers under the age of 35 who are making a difference in their businesses, communities and our industry.
Do you know a young retailer who deserves to be celebrated? Maybe it’s someone you work with—or maybe it’s you!
Recognize leadership and innovation in the industry
Showcase achievements and contributions to your community
Inspire others to excel in their roles
Nominating is simple, and there’s no better way to celebrate the hard work and dedication of young professionals in our industry. Nominations are open now and close on March 15, 2025. Don’t miss this opportunity to shine a light on an outstanding young retailer or to showcase your own achievements.
Submit a nomination today at
Elevate Your Operation’s Merchandising Effectiveness at FOMM Live!
JOIN US AT Foundations of Merchandising Management Live! on March 18-19 at the National Hardware Show for hands-on training and expert insights from the North American Hardware and Pant Association (NHPA).
Designed for both new and experienced retail personnel, this unique program combines expert-led sessions, practical workshops and networking opportunities to help you:
Improve your store’s appearance and customer experience Optimize inventory and selling space for maximum ROI Strengthen vendor relationships and category planning 1 2 3
Register today at YourNHPA.org/foundationslive
in Leadership Skills
DESIGNED SPECIFICALLY for independent home improvement retailers, NHPA’s Retail Management Certification Program equips students with the knowledge and skills to drive sales growth and increase profitability. With a new, streamlined format and pricing for 2025, it’s easier than ever to attend the industry’s premier retail management program. On average, graduates see more than a five time return on their tuition investment by applying insights and strategies gained from the overall learning experience. Whether you’re an owner, manager or key team member in your retail business, take the next step in advancing the potential of your business by enrolling in the 2025 class today.
Visit YourNHPA.org/rmcp for more information.
Orgill
NAHB International Builders’ Show
February 25-27 | LAS VEGAS, NV
February 20-22 | NEW ORLEANS, LA Kitchen
February 25-27 | LAS VEGAS, NV
The Inspired Home Show
March 2-4 | CHICAGO, IL
Ace Hardware Spring Convention
March 4-6 | SAN ANTONIO, TX
LMC Annual
March 6-8 | PHOENIX, AZ
PACOA Spring Dealer Market
March 15-16 | FLUSHINGS, NY
National Hardware Show
March 18-20 | LAS VEGAS, NV
Blish-Mize Spring Market
March 20-22 | OVERLAND PARK, KS
Do it Best & True Value Spring Market
March 21-23 | ORLANDO, FL
To add your event to the industry calendar, send an email to editorial@YourNHPA.org *Events are current as of press
Do you know a young retailer who is shaping the future of the independent home improvement industry? Maybe it’s someone you work with—or maybe it’s you!
Nominate a Retailer That Showcases:
Passion and dedication to advancing the home improvement industry
Innovative contributions to the independent retail channel
Submit your nomination by March 15, 2025
. Outstanding leadership in their business or community
Learn more at Your NHPA.org/yroty.
INDUSTRY EVENTS
A Look Back
See the educational, product discovery and networking highlights from the 2024 National Hardware Show at hardwareretailing.com/2024-nhs LAST WORD
NHPA Brings Exciting Programs to NHS 2025
For over half a century, the North American Hardware and Paint Association (NHPA) has participated in the industry’s pinnacle hardware and home improvement event, the National Hardware Show (NHS).
And, once again, NHPA is excited to bring engaging educational and networking programming to the 2025 event, held in Las Vegas from March 18-20.
NHS connects the entire home improvement industry across more than 14 product categories, including tools, lawn and garden, plumbing, lighting, electric and more. Take a look at the programs NHPA will bring to this year’s event below. Discover additional exciting opportunities NHS has for 2025 and register at nationalhardwareshow.com
NHPA’s Foundations of Merchandising Management Live!
Designed to help both new and experienced retailers responsible for managing store merchandising functions, NHPA’s Foundations of Merchandising Management Live! trains retail team members in merchandising, advanced product sourcing and acquisition strategies. The event includes course sessions, breakout workshops, networking opportunities and ROI-driven assignments for participants to take back to their stores.
NHPA Helmets to Home Improvement
Through the new Helmets to Home Improvement program, NHPA will honor the contributions military veterans in the independent home improvement channel have made to our country and to the hardware industry. NHPA will host a kick-off event at NHS this year to promote the program.
NHPA Retailers’ Choice Awards
This well-known program is back, highlighting innovative, creative and potentially best-selling products on the NHS show fl oor. The Retailers’ Choice Awards Program, an attendee favorite, will be celebrating its 59th year at the 2025 show.
Independent Retail Center
NHPA and NHS are partnering to offer the Independent Retail Center (IRC), a space for independent retailers to meet to discuss relevant industry topics, meet new friends and enjoy a break between time on the NHS show fl oor.
Buy a Store | Sell Your Business | Post a Job, Get a Business Valuation | Find a Lender and More
BUSINESS FOR SALE
Northwest Farm & Home Supply Co.
Location: Lemmon, SD
Gross Revenue: $3.21 million
The main building is a total 27,213 sq. ft. of retail and warehouse space on 4 acres. The main bldg. was constructed in 1994 with additions constructed in 2002 and 2004.
Single story with 22’ clear height in 11,459 sq. ft. of lumber warehouse, three grade level doors and two dock height doors.
BUSINESS FOR SALE
Hoosick True Value
Location: Hoosick Falls, NY
Gross Revenue: $1.26 million
Price: $1.875 million
This opportunity offers a turnkey sale of a general hardware business located in northeastern Rensselaer Co., New York. The business serves five towns and southwestern Bennington Co., Vermont, and 25 miles east of Troy, New York.
SEEKING BUSINESSES
The Aubuchon Company
For our next acquisition, we are looking for:
• Single-store and multi-store hardware operations
• Located in northeast and southeast United States
• Store size of 5,000-30,000 ft 2
• At least $3 million in average store sales
SEEKING BUSINESSES
BUSINESS FOR SALE
Home Improvement Supply Store
Location: Missouri
Gross Revenue: $1.04 million
This historic home improvement and hardware store is a staple of its community and operates from its headquarters in the Kansas City Metropolitan Area of Missouri. The Company is a long-standing retailer and installer of consumer and commercial improvement products.
BUSINESS FOR SALE
Albrights Hardware & Garden Center
Location: Allentown, PA
Gross Revenue: $1.9 million Price: $800,000
Albrights Hardware is an established hardware store with strong neighborhood ties and has been a Lehigh Valley staple for over 50 years. The current owners have owned the store since 1992. Albrights serves its loyal customer base by providing quality products and exceptional customer service.
SEEKING BUSINESSES
Bolster Hardware We are looking for:
• Geography agnostic
• With or without real estate
• Store revenues of $1.5M+
• We prefer to honor the family name and heritage in the local community by not changing the name
• We prefer to keep all employees as part of the acquisition
JOB LISTING
The Helpful Hardware Company
We are looking for:
• Single-store units in the southeast and multi-store groups with 3+ units nationwide
• Store size of 5,000 ft2-35,000 ft2
• Supplier agnostic
• Store revenue: $1.75M+
BUSINESS FOR SALE
Central Vermont Paint, Flooring and Decorating Business
Location: Vermont
Gross Revenue: $2.82 million
Price: $1.1 million
Full-service decorating store providing flooring, paint, window treatments, kitchen/bathroom remodeling, cabinetry product offerings, design assistance, specialized service, and professional installation.
BUSINESS FOR SALE
Private Business
Location: Alabama
Gross Revenue: $2.21 million
Price: $649,000
BUSINESS FOR SALE
Private Business
Location: Pennsylvania
Gross Revenue: $1.6 million
SEEKING BUSINESSES
Gold Beach Lumber Yard We are looking for:
• Single-store and multi-store hardware operations
• Located in the Pacific Northwest
• Store size of 5,000 ft2-30,000 ft2
Randall Lumber & Hardware, Inc.
Position: Hardware, Ranch and Feed Department Manager
• Annual Salary: $48,000-$55,000
• Bachelor’s Degree or 5 years of experience in similar role preferred
• Strong leadership skills and creative thinking are a bonus
