Hardware Retailing April 2019

Serving Hardware, Home Center & Building Material Retailers

DISTRIBUTOR PROFILE SERIES

Centered on Service How Do it Best Puts Retailers First 33

Take the First Step Into Decorative Concrete 50

VOLUME 216 • ISSUE 4 • APRIL 2019 • HARDWARERETAILING.COM

Does Green Still Matter?

What Your Customers Say 58

WEBSITE

JOIN MAILING LIST

FACEB

It’s Our Business Orgill Understands Our Company and Our Customers

“Our business is a relationship business. We try to do the right thing for all of our customers, suppliers and employees.

Orgill radiates these same values in everything they do.”

Larry Huot l La Valley/Middleton Building Supply l An Orgill customer since 2001

Why We Like Working With Orgill: • Strong product selection • Variety of retail programs • A solid understanding of our company

Watch the video to see how Orgill’s services have helped LaValley/Middleton continue to grow!

DISTRIBUTOR PROFILE SERIES

1-800-347-2860 ext. 5373 • information@orgill.com • www.orgill.com LaValley_Single Page.indd 2

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Centered on Servic

ALL-INDUSTRY CONFERENCE May 7-9, 2019 — Las Vegas

How Do it Best Puts Retailers First

Be Part of the Evolution The North American Retail Hardware Association (NRHA) helps independent home improvement retailers, regardless of wholesaler, grow amid transformations in the industry.

Join your peers at the NRHA All-Industry Conference at the National Hardware Show® to share competitive solutions for independents in an evolving industry.

VOLUME 216 • ISSUE 4 • APRIL 2019 • HARDWARERETAILING.COM

nrhaconference.com

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Serving Hardware, Home Center & Building Material Retailers

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AD #4 Take the First Step Into Decorative Concrete 50 Does Green Still Matter?

What Your Customers Say 58

Need a second opinion?

The brand new NRHA Forum is an online space for retailers to share ideas, ask questions and get feedback from their peers across all wholesale affiliations.

The NRHA Forum is free for independent retailers in North America and covers a wide range of topics, including marketing, merchandising, training, industry news and more. Log in and connect today!

JOIN THE CONVERSATION AT NRHA.ORG/FORUM

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APRIL SPONSOR How do you measure up to other industry retailers?

Participate in the 2019 Cost of Doing Business Study to determine if your company’s financial performance is on par with industry standards. This study provides metrics on sales, profits, operating expenses and other data from both typical and high-profit retailers.

Time to Evaluate Participation is easy.

Confidential, free and simple, there are several ways to submit your financial data to be included in this year’s study. Not only will participating give you exclusive access to the study, you’ll also get a personalized financial analysis to help you make better business decisions.

“The Cost of Doing Business Study sheds light on opportunities to better your business. We highly recommend it as one of your first steps into any improvement project.”

Lauren Mathews | Connolly’s Do it Best Hardware & Rental FOR MORE INFORMATION, GO TO NRHA.ORG/CODB

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Serving Hardware, Home Center & Building Material Retailers

DISTRIBUTOR PROFILE SERIES

Centered on Service How Do it Best Puts Retailers First 33

Take the First Step Into Decorative Concrete 50

VOLUME 216 • ISSUE 4 • APRIL 2019 • HARDWARERETAILING.COM

Does Green Still Matter?

What Your Customers Say 58

ALL-INDUSTRY CONFERENCE May 7-9, 2019 — Las Vegas

Be Part of the Evolution The North American Retail Hardware Association (NRHA) helps independent home improvement retailers, regardless of wholesaler, grow amid transformations in the industry.

Join your peers at the NRHA All-Industry Conference at the National Hardware Show® to share competitive solutions for independents in an evolving industry.

nrhaconference.com

14'

STANDOUT *

Standout Strong.

With 14 feet of standout and the ability to survive a 100-foot drop, Shockforce is a game-changer ready to dominate every jobsite. A diamond coated 360-degree end hook delivers 50% more gripping power and big, bold markings make it even better. And for superior performance in any light condition, the Shockforce Nite Eye offers a green-on-black high visibility blade. Shockforce … it’s the new standard for trade professionals. *14 foot standout based on maximum performance.

© 2019 Apex Tool Group, LLC | ATG-4721

See the entire line of Crescent brand products now at www.crescenttool.com.

Headquarters Staff

COMING IN MAY

PUBLISHING EXECUTIVE VICE PRESIDENT AND PUBLISHER Dan Tratensek

COMMUNICATIONS DIRECTOR OF MARKETING AND COMMUNICATIONS Whitney Daulton SPECIAL PROJECTS EDITOR Liz Lichtenberger

136 N. Delaware St. #200 Indianapolis, Indiana 46204 Phone: 317-275-9400 Fax: 317-275-9403 Email: nrha@nrha.org Website: nrha.org SOCIAL MEDIA LINKS

FEATURES EDITOR Melanie Moul ASSISTANT EDITORS Kate Klein Chad Husted Todd Taber SENIOR DESIGNER Lynnea Chom GRAPHIC DESIGNER Kelsey Truex WEB DEVELOPER Kevin Trehan

@NorthAmericanRetailHardwareAssociation PRODUCTION SERVICES

@nrha_official North American Retail Hardware Association @nrha_official HEADQUARTERS STAFF PRESIDENT AND CEO Bob Cutter VICE PRESIDENT OF FINANCE AND BUSINESS SERVICES David Gowan EXECUTIVE COORDINATOR Marci Taschler

PRODUCTION MANAGER Nancy A. Vondersaar SALES AND PRODUCTION ASSISTANT Freda Creech

Introducing the 2019 Top Guns Check out Hardware Retailing next month to meet the 2019 Top Guns, retailers who are innovating, growing and connecting the independent home improvement industry.

Help us celebrate these retail mavericks in May.

CIRCULATION CIRCULATION DIRECTOR Richard Jarrett

CIRCULATION/SUBSCRIPTION/ LIST RENTAL INQUIRIES PHONE 314-432-7511 FAX 314-432-7665

MEMBER SERVICES TRAINING MANAGER AND EDITOR Jesse Carleton, 317-275-9418, jcarleton@nrha.org RETAIL OUTREACH COORDINATOR Renee Changnon, 317-275-9442, rchangnon@nrha.org EVENT MANAGER AND RETAIL SUPPORT Katie McHone-Jones, 317-275-9426, kmchone-jones@nrha.org

RETAIL LEADERSHIP INSTITUTE EXECUTIVE DIRECTOR Scott Wright, 317-275-9417, swright@nrha.org

NRHA CANADA NRHA CANADA Michael McLarney, 528 Queen St. E., Toronto, Ontario, Canada M5A 1V2; +1 416-489-3396, mike@hardlines.ca

SALES/NRHA VENDOR PARTNER DIRECTOR OF SALES Lowell Huffman MIDWEST REGION MANAGER Chris Miller, 506 Citadel Circle, Westmont, IL 60559; 630-234-3272, Fax: 317-275-9403, chris@millermediainc.net WEST REGION MANAGER Jon Dawson, 136 N. Delaware St. #200, Indianapolis, IN 46204; 317-275-9420, Fax: 317-275-9403, jdawson@nrha.org NORTHEAST REGION MANAGER Lowell Huffman, 136 N. Delaware St. #200, Indianapolis, IN 46204; 317-275-9443, Fax: 317-275-9403, lhuffman@nrha.org

STATE AND REGIONAL ASSOCIATIONS

SOUTHEAST REGION MANAGER Nick O’Connor, 136 N. Delaware St. #200, Indianapolis, IN 46204; 317-275-9409, Fax: 317-275-9403, noconnor@nrha.org

MIDWEST HARDWARE ASSOCIATION John Haka, 5000 Woodward Drive, Suite A, P.O. Box 8033, Stevens Point, WI 54481-8033; 715-341-7100; 800-888-1817; Fax: 715-341-4080

BUSINESS DEVELOPMENT MANAGER Brad Lyons, 136 N. Delaware St. #200, Indianapolis, IN 46204; 317-275-9424, Fax: 317-275-9403, blyons@nrha.org

PACIFIC NORTHWEST REGION Ronald F. Moore, 3857 Wolverine NE, Suite 20, Salem, OR 97305 (UPS, FedEx); P.O. Box 17819, Salem, OR 97305 (U.S. Mail); 503-375-9024; Fax: 503-375-7980; AK, ID, OR, WA

CANADA John Magner, 500 Queens Quay W., #101 W. Toronto, Ontario M5V 3K8; 416-598-0101 x220, Fax: 416-598-9191, jmagner@yorkmedia.net

SOUTHWESTERN REGION Jeff Flora, 638 W. 39th St., Kansas City, MO 64111; P.O. Box 419264, Kansas City, MO 64141; 816-561-5323; Fax: 816-561-1249; AR, KS, LA, MO, NE, NM, TX

NRHA MISSION

The North American Retail Hardware Association’s (NRHA) mission is to help independent hardware stores, home centers and lumberyards, regardless of wholesale affiliation, become better and more profitable retailers.

NRHA BOARD OF DIRECTORS CHAIRMAN OF THE BOARD TJ Comstock, Northwest Hardware LLC, Billings, Montana EXECUTIVE VICE CHAIRMAN Greg Schlecht, Greg’s True Value, St. Francis, Wisconsin DIRECTORS Daniel Harris, Palos Ace Hardware, Palos Heights, Illinois; Lemont Ace Hardware, Lemont, Illinois Will Aubuchon, Aubuchon Hardware, Westminster, Massachusetts Jared Smith, Jared’s Ace Hardware, Bishopville, South Carolina David Dishke, Grand River Home Hardware, Caledonia, Ontario

Hardware Retailing (ISSN0889-2989) is published monthly by the North American Retail Hardware Association, 136 N. Delaware St. #200, Indianapolis, IN 46204. Subscription rates: Hardware Retailing (Payable in advance): U.S. & possessions $50.00 year. Canada $75.00 year. All other countries $100.00 year.

(Air Mail $60.00 year additional). Single copy $7.00. The Annual Report issue can be purchased for $30.00.

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.

All editorial contents copyrighted 2019 by the North American Retail Hardware Association.

No editorial may be reproduced without prior permission of the publisher.

REPRINTS: Contact the Editorial Department at 317-275-9400 for price quotations. Printed in the USA.

2

HARDWARE RETAILING | April 2019

SECRETARY-TREASURER Bob Cutter, NRHA President and CEO IMMEDIATE PAST CHAIRMAN Megan Menzer, Newton’s True Value, Cherryvale, Kansas

FIRST CHOICE. BEST CHOICE. SUCCESS LOOKS GOOD ON YOU. If you want to be the best, then you have to look your best. The Do it Best Signature™ Store Design program offers a flexible, scalable and affordable way for you to energize your store’s performance with interior and exterior retail design strategies, uniquely tailored to fit your market and store size.

Signature Store Design features branding strategies and designs that enhance the overall customer experience.

Stores that complete our Signature Store Design enjoy average sales increases of 17% in just the first year – and we think that’s beautiful!

Let our design team show you how to enhance your visibility and customer experience with Signature Store Design. After all, when you look good, we all look good.

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Call us today at 888-DO IT BEST (364-8237). independentsdoitbest.com

Contents APRIL 2019 | VOLUME 216 | ISSUE 4

64 OPERATIONS

Recycling Starts With You Creating an in-store recycling program can be a great way to attract new customers. Discover what led retailers Greg and Kari Carlson to establish their own program and get tips to begin your own recycling program today.

33

DISTRIBUTOR PROFILE

Do it Best: Service-Centered

At the core of Do it Best Corp.’s mission is serving independent retailers and helping them grow their operations. Hear president and CEO Dan Starr and other co-op executives share what service means for the company and how Do it Best commits to being retailers’ first choice. Then, the owners of Trio Hardware talk about why their customers choose them first.

68 OPERATIONS

Super Salesfloor Strategies Milton Hardware and Building Supply owner Jeff Paladino was able to establish steady growth at his business through incremental additions to his inventory and salesfloor space. Discover what he learned in the process.

Departments

45 INDUSTRY EVENTS

Evolving for the Future The 2019 NRHA All-Industry Conference kicks off May 7-9 in conjunction with the National Hardware Show®.

Learn how your association, peers and channel partners can help you manage changing tides in the industry.

50 CATEGORY

A Concrete Notion Concrete is becoming an increasingly attractive building material for property owners looking to add color and texture to their homes without breaking the bank.

See how retailers and contractors can assist customers looking to reinvent their spaces.

4

HARDWARE RETAILING | April 2019

58 RESEARCH

What Matters in Green Products New research from Hardware Retailing shows that consumers care about eco-friendly products, but the items they value most have changed. Get an update on green trends that you can apply to your operation.

06 . . . . . . . . . . . . . . . . . On the Web 08 . . . . . . . . . Independent Thinking 10 . . . . . . . .Taking Care of Business 14 . . . . . . . . . . . . . . . . NRHA News 18 . . . . . . . . . . . . . . . . . . . . . Trends 20 . . . . . . . . . . . . . . . New Products 30 . . . . . . . . . . . . . . . . . . Checkouts 70 . . . . . . . . . . . . . . . . Newsmakers 74 . . . . . . . . . . . . . . . . . . Last Word

On the Cover Todd (left) and Ritsa Kirschner, owners of Trio Hardware, worked with Do it Best to build a store that goes above and beyond.

Photo by Brenner Photo Productions

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On the Web INDUSTRY AWARDS

Don’t Miss These Retailers Get a sneak peek at this year’s Top Guns, high-performing retailers who are taking the industry to a new level. Read their bios and get insights into their expertise at TheRedT.com/2019-top-guns.

OPERATIONS

The Green Conversation PaintCare, a program that enables retail operations to collect and safely dispose of unused paint, is celebrating its 10th anniversary. Learn more about the initiative at TheRedT.com/paintcare.

DISTRIBUTOR PROFILE

The Do it Best Way Do it Best is the only full-service co-op for lumberyards, hardware stores and home centers. Read extended Q&As with co-op executives at TheRedT.com/dib-qa to learn more about how the Indiana-based wholesaler has been serving a diverse customer base since 1945.

Partners With the Best Do it Best serves retailers from coast to coast in the U.S. and around the globe. Read the stories from Bliffert Lumber & Hardware and Ambridge Do it Best Home Center to discover how each member is unique and aiming for success.

This series of quick lessons on topics such as selling skills, merchandising, product knowledge and operations is made for all employees. To download this month’s featured lesson, visit nrha.org/trainers-toolbox.

Recycling 101 Your customers may have questions about what items can and cannot be recycled. Be prepared with information on disposing glass, plastic and more.

Keep Expanding: Learn more about the successful expansion strategy for Bliffert Lumber & Hardware at TheRedT.com/bliffert-profile.

Stepped Up Social: Find out how Ambridge Do it Best Home Center grew its followers and customers at TheRedT.com/ambridge-profile.

SOCIAL MEDIA LINKS

@HardwareRetailing @hardwareretail

6

HARDWARE RETAILING | April 2019

Let

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“Since our conversion to Hillman, our Hardware Department looks much sharper and cleaner, and creates a lasting impression on the consumer.”

“Their merchandising is top-notch – making it very easy for the customer to quickly identify and locate the product they are shopping for.”

“Our sales figures have increased considerably, while simultaneously recognizing an increase in profit margins.”

“Hillman offers high-quality products that I can sell with confidence.”

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CATEGORY MANAGEMENT ✓ Analysis and SKU rationalization ✓ Maximize inventory productivity and overall profitability VISUAL PRESENTATION ✓ Enhanced POP and shelf talkers make shopping easier ✓ Customized POGs and pricing labels ✓ Exceptional display fixtures

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Independent Thinking

The Nature of Change

O

“It would seem in a

world rife with emails, texts and group chats, business owners still see value in coming together, shaking hands and sharing ideas.

”

ne of the things I find impressive about this industry is the longevity of so many of the companies within it. It is not at all uncommon to encounter home improvement retailers, wholesalers and manufacturers who trace their roots back a century or more.

Even here at the North American Retail Hardware Association (NRHA), our history spans nearly 120 years.

It’s also truly amazing to think how much our world has evolved during this time and the many changes long-running businesses have seen since they were founded.

But while I think we may have a tendency to focus on how much has changed in our world, I would offer that there are also a lot of things that have stayed pretty much the same.

Take, for instance, our mission here at NRHA. When this organization was first founded by a group of retailers at the turn of the 20th century, their desire was to establish an organization that could provide all hardware retailers with education and information to help them run their businesses profitably and efficiently.

Today, our mission is the same. No doubt, the way we go about creating educational programs, delivering information and bringing retailers together has evolved, but the basic goals remain unchanged.

Sure, the challenges retailers were facing in 1900 looked a little bit different than the challenges faced by today’s retailers, but even then, the retailers who founded NRHA knew they would all be stronger if they came together.

It’s also worth noting that over the past decade or so, despite all of the innovations in communication technology, NRHA has seen a steady increase in demand for hosting more face-to-face events.

It would seem in a world rife with emails, texts and group chats, business owners still see value in coming together, shaking hands and sharing ideas.

Speaking of these kinds of opportunities, like so many of you, the NRHA team will be heading to Las Vegas next month where we host the NRHA All-Industry Conference in conjunction with the National Hardware Show®.

This year will mark 10 years that we have been hosting this event in conjunction with the show, and it is always one of the highlights of our year.

The reason this event plays such an important role in our industry is because it is truly the one place where retailers, manufacturers and wholesalers from across the industry gather to share ideas, learn from one another and discuss in earnest how to help the industry grow.

I’d like to extend a formal invitation to all of you to join us in Las Vegas at the conference. Just stop by the NRHA Village in the main lobby of the Las Vegas Convention Center to say hello, tell us a little bit about your business and meet some of your fellow retailers.

We also have an exciting educational program scheduled for the show built around the theme, Industry in Evolution. While we will be spending a lot of the time onstage talking about how things are changing, you will quickly realize when you get to shake some of your colleagues’ hands, share some stories and learn from one another, there is still a lot about this industry that remains the same.

Bob Cutter, President and CEO

bcutter@nrha.org

8

HARDWARE RETAILING | April 2019

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Taking Care of Business

A Differential Equation

I

“A business can hang

its hat on offering great customer service, but to actually have customer service be a differentiator, it has to truly stand out beyond anything other companies are offering.

”

n the life of someone who writes for magazines, it’s a pretty proud day when the article you are working on is selected to be the cover story. This means the artwork on the cover of the publication will actually promote the story you have written.

That’s one of the reasons I remember the first story I wrote about e-commerce for Hardware Retailing (April 2000). (Read it if you dare at TheRedT.com/dan-2000.)

I was relatively new to my job here, and the cover that was produced to promote the story was one of my all-time favorites. In the article, I talked about how this revolutionary concept of selling online could be transformative for the industry.

About a decade later, we had another cover story that used similar terms to describe the green movement and how it held the potential to forever alter the way we do business. (We touch on this concept again in this issue on Page 58).

So, here we are 10 and 20 years removed from these articles, and there’s little doubt that both e-commerce and the greening consumer have created a sea change for home improvement retailers.

As I was pondering the impact of both these concepts, I began thinking about the life cycle of a trend. Both e-commerce and green products started out as kind of fringe concepts. They had been around for a bit, but it took years for them to gain greater mainstream acceptance.

In some regard, they went from being differentiators to being requirements.

And I think this is a pretty important distinction for retailers to realize these days.

There was certainly a time when a business having a website made them truly different from competitors. There was also a time when offering green products could set a retailer apart.

Today, however, as both of these concepts have evolved from being a perk to being a part of our everyday lives, they no longer serve as difference-makers.

In fact, their absence within a business can be detrimental.

It’s also important to note that the same idea applies to other elements of retailing that used to be differentiators—things like customer service or friendly employees.

These are things today’s consumers expect from a retail business, not necessarily things that are going to set a business apart. I think this is a very important distinction.

A business can hang its hat on offering great customer service, but to actually have customer service be a differentiator, it has to truly stand out beyond anything other companies are offering. The same is true for product selection, store environment and other necessary components of a retail operation.

The reason I bring all this up is that it is more important than ever for you to be able to differentiate your business, but sometimes it can be difficult to identify how you are actually being different. While having a website or selling green products might be new to you, most customers expect this from the retailers they visit, just like they don’t expect a restaurant they frequent to promote the fact that their kitchens are clean. (I would hope this is the case with most restaurants.)

Just like I have been pondering some of our past articles, I would encourage you to think about the things that once might have set your business apart from your competitors and honestly ask yourself, “Am I so different anymore?”

Dan M. Tratensek, Publisher

dant@nrha.org

10

HARDWARE RETAILING | April 2019

NEW! Nail Hole Filler and Wall Repair Kit

Better than spackle.

HYDE® Better Finish™ Nail Hole Filler promotes a better finish than spackle products, because it’s the same joint compound that’s used to tape and finish walls when they’re installed.

It has a three-year shelf-life, spreads more easily than spackle, comes with a built-in spreading tool and leaves a better finish!

Learn more at hydetools.com.

800.872.4933 09914

09915

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“With multiple store locations and diverse markets, the demands of our business take us in so many directions everyday. Whatever the needs of our business, I know I can depend on the partnership and the expertise of the Midwest Fastener team.”

- Stephanie Bland - Merchant, Central Network Retail Group

Exceeding Expectations. One Fastener Destination at a Time!

pictured left to right: Devon Targgart – Midwest Fastener Sales Representative Stephanie Bland - Merchant, Central Network Retail Group Robert Williams- Regional Vice President, Marvin’s David Positano - District Manager, Marvin’s

For your very own fastener destination, contact Glen @ 800-444-7313 x 120

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NRHA News

Free Training Creates Gold Star Teams

T

he North American Retail Hardware Association (NRHA) is always developing new tools and resources to train independent home improvement retailers. Best of all, many of the programs the association develops are completely free for retailers to use and implement in their operations.

MERCHANDISING

OPERATIONS

Whether you have a giant salesfloor or make a small space work wonders, there’s a free merchandising lesson for you.

• Plumbing Merchandising Tips Be sure your plumbing department is selling at peak capacity with this refresher.

NRHA’s free operations training can help you ensure employees are working to streamline every facet of your business.

• Team Communication Exercise This free guide empowers employees to communicate effectively to succeed.

• Merchandising Tips From a Small Store Don’t let small salesfloors snag your potential success. Use this free guide to get big results from clever merchandising tactics.

• Making Your Store Safer Remind employees they can safeguard the building, store inventory and their teammates.

• How to Build a Great Endcap Give your team the knowledge to build eye-catching endcaps to spur new sales.

• Getting Ready for a Special Event Don’t let weeks of planning go up in smoke.

Get tips to ensure your operation’s big event goes smoothly.

PRODUCT KNOWLEDGE

SELLING SKILLS

When employees can speak confidently about products, they’re more likely to engage customers and boost sales.

• Types of Grills Keep sales hot by knowing the differences of the variety of grills available today.

Download these free training guides and many more to help employees capture every sale possible with confidence.

• Closing the Sale Give employees the skills to convert customers from browsers to buyers.

• Selling a Deck Staining Project Ensure employees guide customers through every step of coating an outdoor surface.

• Retail 101: Add-On Sales You can boost sales when your team knows when to suggest add-on products for common DIY projects.

• Selling Pruning Tools Be sure your employees are giving customers great tips to keep their lawn and garden investments healthy and attractive.

14

At your next staff meeting, consider presenting any of the training resources below to ensure your entire team is acting professionally with an eye on sales and customer satisfaction. For more information on these training guides and many more, visit nrha.org/free-training.

HARDWARE RETAILING | April 2019

• Difficult Customers Get tips to help employees calm customers and direct them toward a resolution.

NRHA News

Participate in the Cost of Doing Business Study

D

o you ever wonder how your operation compares financially to other retailers across the country?

Are you curious about the deciding factors that separate an average business from a high-profit operation?

If these are questions you ask yourself as you manage your business, then get the answers by participating in NRHA’s annual Cost of Doing Business Study.

Now in its 102nd year, this study is an easy and confidential way for U.S.-based hardware stores, home centers and lumberyards to take a deeper dive into their financial standing in the industry. This year, NRHA is including independent paint and decorating operations in the data collection, too.

By participating in the study, you’ll strengthen a tool that independent operators use to compare their performance to industry averages and find new ways to grow profits.

How the Study Benefits You Each year, thousands of retailers in the U.S. use the Cost of Doing Business Study to better understand their

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financial reality and position their businesses for success. It is the independent home improvement channel’s only inclusive, industry-specific benchmarking tool.

Business owners can use it to compare their financial performance to industry averages in areas including sales, profits, operating expenses and more.

Information in Action For more than a century, independent operators have counted on the Cost of Doing Business Study for valuable financial information to propel their businesses forward.

Peter Ballhaussen, owner of Town Hardware & General Store in Black Mountain, North Carolina, says he looks forward to the study’s financial information each year.

“The Cost of Doing Business Study assists with our planning process, specifically in setting future objectives.

The data it provides shows us where we have done well and where we have room for improvement in relation to our peers. There is no other comprehensive source available that allows us to benchmark our performance,” he says.

There are many perks to participating in the study. NRHA offers the full report—valued at $499—for free to business operators who contribute to the study.

You’ll also receive a free Personalized Financial Analysis with composite financial statements, ratios and a strategic profit model. It also includes a customizable what-if scenario generator to understand how small changes can make a big impact in your business.

Knowledge in Numbers The Cost of Doing Business Study grows stronger when as many retailers as possible participate. There are five easy, completely confidential ways to contribute your financial information to the study and help retailers like you—and the entire industry—prosper.

• Complete the Cost of Doing Business Study form and upload your documents online at nrha.org/codb.

• Email your company information and 2018 year-end financial statements to dgowan@nrha.org.

• Print and complete the survey and then mail it to: NRHA, Attn: CODB Coordinator, 136 N. Delaware St. #200, Indianapolis, IN 46204.

• Fill out the survey’s company information section and attach a copy of your 2018 year-end financial statements and mail to: NRHA, Attn: CODB Coordinator, 136 N. Delaware St. #200, Indianapolis, IN 46204.

• Fax your company information and financial documents to 317-275-9403.

Make it Personal

Stamp it Yourself ImpressAr t.com

April 2019 | HARDWARE RETAILING

17

Trends Going and Going With Battery Power Many consumers are skeptical of battery-powered outdoor power equipment, though battery technology has advanced rapidly.

Applied to Retail Your customers may become more enthused about battery-powered snow blowers and hedge trimmers if they learn the benefits of going gas- or cord-free.

Homeowners tend to question the run time, power capability, price and durability of battery-powered equipment, research from The Farnsworth Group shows.

Older shoppers are more worried about how long the battery will hold a charge than younger. The data show that 61 percent of baby boomers are concerned about battery run time, compared to 47 percent of millennials.

Train your staff to discuss the most popular characteristics of the equipment—such as that it’s exhaust-free, doesn’t have oil to change, is easier to start and is more environmentally friendly—rather than only addressing the concerns shoppers mention.

Off the top of their heads, few consumers thought of many benefits of battery-powered tools, though they selected favorites when Farnsworth provided a list of positive characteristics.

If run time is a customer’s biggest hang-up, then have your staff talk them through how long they will actually use a tool at a time. A battery may hold a charge far longer than they need, if they think about it. If not, then not having to mess with cords or gas may still save them time.

Popular Benefits of Battery-Powered Equipment % of Consumers. Respondents could select more than one answer.

51% Exhaust free

Source: The Farnsworth Group, 2018

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HARDWARE RETAILING | April 2019

47%

Environmentally friendly

42%

Less messy than gas

New Products

“We love the Flame Genie

because it performs as advertised. When customers need fire pits, it’s great to have one that is clean and portable.

—Gerrod Brasseux, Brasseux’s Hardware

”

2 “Sewer Skewer is a very

1

”

—Sean Burggraf, Burggraf’s Ace Hardware

1. Wood Pellet Fire Pit

2. Sewer Vent Defroster

The Flame Genie is a portable fire pit that uses wood pellets and a gravitational afterburner system to create flames and heat with less smoke than traditional wood fire pits. The bottom ring detaches and fits inside the top ring, allowing for better portability. Wood pellets produce less ash than logs, allowing for easier cleanup. The pit comes in 16-inch and 19-inch models as well as stainless steel and matte finishes.

The Sewer Skewer is a copper defroster that fits into the top of a home’s sewer vent to keep it clear of ice and snow during cold weather. The pipe draws heat from the warm sewer gas and conducts it to the top of the vent. The copper is also warmed by the sun and keeps ice from forming a layer over the pipe.

HY-C 314-241-1214 or hy-c.com

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good seller in winter months.

It’s easy to install and prevents a big problem for homeowners if sewer gas backs up into their home.

HARDWARE RETAILING | April 2019

Sewer Skewer 701-371-2327 or sewerskewer.com

Retailer Picks These four products were selected by retailers like you! Share your favorite products by contacting Chad Husted at chusted@nrha.org.

“Customers were excited

when we added Mod Podge® products to our crafts section.

We’ve become the go-to store for craft paints and products that is a closer drive than more craft-oriented stores.

—Abbey Esquivel, Stone’s Home Center

”

4 “Rock Bottom Soap is a

3

product we really believe in. We put the bars in right before Christmas for the first time and we’ve already restocked twice.

”

—Anna Stalsby McClellan, Service Lumber

3. Spray-On Craft Glue and Sealer

4. Goat Milk Soap Bars

Mod Podge® products work as all-in-one glue, sealant and finish for crafts like decoupage. Mod Podge Ultra Gloss is a water-based sealant that dries quickly and naturally self-levels, which eliminates brush marks. The formula can be cleaned off using soap and water.

Rock Bottom Soap produces a variety of bath products using milk from its herd of Nubian goats. The addition of goat milk allows glycerin to form within the soap, helping to keep skin moisturized. The Goat Milk Soap Bars come in a variety of fragrances, including Cranberry Fig. Each bar is 5 ounces.

Plaid 800-842-4197 or plaidonline.com

Rock Bottom Soap rockbottomsoap@gmail.com or rockbottomsoap.com

April 2019 | HARDWARE RETAILING

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New Products

5

6

Professional Grade Grease Guns A Grease Gun Designed to Suit Every Application!

5. Rotary Hammer The FLEXVOLT® 60-Volt MAX® 2-Inch Brushless SDS MAX Combination Hammer is designed for efficient drilling in tough materials like hard concrete.

SHOCKS Active Vibration Control® reduces the vibration felt by the user, and an anti-rotation system is capable of detecting the motion of the tool the event of a bindup or stall and can shut down the hammer if necessary.

DEWALT 800-433-9258 or dewalt.com

6. Electric Pressure Cooker The ExpressPot Pressure Cooker offers multiple cooking modes as well as adjustable pressure settings, ranging from 1.5 PSI to 12 PSI of pressure.

A remote pressure-release button keeps the user’s hand away from the pressure release valve and hot steam, while an auto-stir function releases pressure in short bursts to “stir” the food under pressure without removing the lid.

WORLD’S BEST Quick Release Grease Couplers

Lumax.com 22

HARDWARE RETAILING | April 2019

Info@Lumax.com

844.660.6876

Gourmia 888-552-0033 or gourmia.com

At the National Hardware Show®, you'll find everything you need to move your business forward including new buying opportunities, insightful education sessions, merchandising ideas and solutions, money-saving deals, and face-to-face networking opportunities.

The future of home improvement is here.

REGISTRATION IS

OPEN

REGISTER AT

nationalhardwareshow.com

MAY 7 - MAY 9, 2019

Las Vegas Convention Center Las Vegas, NV

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New Products

7 American Made & Profitable For Over 80 Years

8 7. Slicing Assistant The RapidSlicer® corrals hard-to-control food items so users can safely cut and slice. Items like cherry tomatoes, grapes and olives can be gathered in a group and placed between the top and bottom plates so users can halve the entire group in one motion. Larger items like chicken breasts or bagels can also be halved safely.

RapidSlicer cindy@rapidslicer.com or rapidslicer.com

8. Lubrication Tools With a variety of clearly marked spring assortments, Ajax offers your customers ease of selection for their specific needs. Each assortment comes in their own unique case. Our storage cabinets and kits, provide assortments of Steel Lock, Brass Lock, Music Wire, Stainless Steel, Extension, Compression and more, each making dispensing efficient and economical.

Ask for our Product Catalog which provides product descriptions and size specifications.

Toll Free: 855-966-AJAX (2529) www.ajaxwire.com ajaxwire@aol.com 119 Bloomingdale Road, Hicksville, NY 11801

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HARDWARE RETAILING | April 2019

The Lumax Lubrication Accessory Kit contains 11 popular lube tools in an organized storage case. The accessories are compatible with all standard grease guns, grease pumps and dispensing devices. The kit includes a grease hose, several adaptors and couplers and a grease injector needle.

Lumax 704-940-6988 or lumax.com

9

10

9. Pry Bar Set The Dominator® 3 Piece Curved Pry Bar Set comes with three pry bars, including 12-inch, 17-inch and 25-inch models. These pry bars are intended for use on oil pans, bearings, axles, fuel injectors and more. The tools are made with hardened and tempered alloy steel and the capped ends allow for striking without damaging the handle.

Mayhew™ 800-872-0037 or mayhew.com

10. Drink Dispenser The Kilner® Barrel Drinks Dispenser holds 118 fluid ounces of a beverage while sitting on an accompanying wooden stand. The glass stopper on top of the barrel also doubles as a jigger measuring 1.7 fluid ounces.

The silicone seal on the stopper will keep beverages fresher for longer.

Typhoon Homewares 866-598-0309 or typhoonhomewares.com

Our magnets attract customers and profits.

You can rely on over 40 years of experience and 250 products to support your continued success.

Let us show you how the retail power of magnetic attraction can work for you.

Call 888.293.9190 or visit magnetsource.com/retailsupport Booth #7219

magnetsource.com

April 2019 | HARDWARE RETAILING

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New Products

11

12

11. Scope Video Camera The Tactacam™ FTS is a video camera and scope combo that records the view from within the hunting scope.

The camera can be paired to a smartphone to show the live feed from the scope on a remote screen.

The FTS maintains the functionality of a rifle scope and the firearm while allowing recording in high definition.

Tactacam 844-482-2822 or tactacam.com

12. Cooking Knife

Bear Tough Carts Retailers nationwide are helping their communities with solutions to the human-bear conflict with Toter Bear Tough Carts. With a bear-tight lock, double-walled lid and steelreinforced rim, Toter Bear Tough Carts are strong enough to prevent the toughest bears from getting inside. Made with Advanced Rotational Molding™, Toter Bear Tough Carts withstand clawing and chewing. So, you can tell the toughest bears to grin and bear it.

To learn more, visit try.toter.com/beartoughcarts

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HARDWARE RETAILING | April 2019

The WÜSTHOF Classic 7-inch Hollow Edge Craftsman is a hybrid design combining the features of a chef’s knife, boning knife and carving knife. A wide belly helps for rocking cuts, and its clip-point tip makes for easy maneuvering around joints for deboning and filleting game and fish.

Its hollow-edge design allows for smooth, precise carving and slicing.

WÜSTHOF-TRIDENT OF AMERICA 800-289-9878 or wusthof.com

13

14

13. Massaging Jigsaw Attachment Jigsaw Massage Heads are designed to attach to any T- or U-shank jigsaw to turn the saw into an electric massager for treating sore muscles. The heads come in three varieties for treating different muscle groups, including a deep tissue head, pinpoint therapy head and an all-purpose head. The heads attach to most industry jigsaw models, while Jigsaw Massage offers a starter kit with its own jigsaw as well.

Jigsawmassage info@jigsawmassage.com or jigsawmassage.com

14. Backpack Blower The STIHL® BR 800 C-E MAGNUM® backpack blower offers an improvement in power from previous STIHL blowers along with added features, like a starting handle on the side of the unit that allows the user to start or restart the engine while still wearing it. The C-E MAGNUM also has a telescoping tube to adjust for user preference and working conditions.

STIHL 800-467-8445 or stihlusa.com

April 2019 | HARDWARE RETAILING

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New Products

16

15 15. Device Repair Kit

16. Concrete Resurfacer

The 61-in-1 Precision Screwdriver Set contains a magnetic screwdriver and 56 different bits designed to assist in taking apart a smartphone, tablet, game console or piece of jewelry for repair. The screwdriver has a flexible shaft for hard-to-reach screw locations.

QUIKRETE® Re-Cap Concrete Resurfacer is designed to repair and renew old, spalled concrete with a permanent wear-resistant surface that can withstand foot, vehicle and other heavy traffic.

Applied with a squeegee, trowel or brush, one 40-pound bag will cover approximately 40 square feet at a thickness of 1/8 inch and up to 80 square feet as skim coat. Walk-on time is eight hours.

Meterk sales@meterk.com or meterk.com

QUIKRETE 404-634-9100 or quikrete.com

NEW LOOK.

SAME GREAT PRODUCTS. XHD DUCTape™ JOBSITE DUCTape™ FIX-IT DUCTape™ UTILITY GRADE DUCT TAPE

888-898-7834 | itape.com

18 17 17. Industrial Degreaser

18. Hand Cart

WD-40 Specialist Industrial-Strength Cleaner & Degreaser is a water-based industrial cleaner that breaks through grease and grime on auto parts, tools, floors, machinery and more. With a refill port, no funnel is needed and the bio-solvent degreasing agent does not need to be diluted.

The UpCart® Hero Dolly weighs 10.3 pounds but can carry up to 140 pounds. The handle, which extends to 45 inches, helps the cart remain under control and can lock at three positions. The cart can fold down to just over 4 inches in thickness.

WD-40 888-324-7596 or wd40.com

Trifold 800-539-3653 or upcart.com

Checkouts EMPLOYEE RELATIONS

Popping Up for Personnel

I

n January 2018, a fire destroyed Papenhausen Hardware in San Francisco. The fire was the second in 20 years for the business, and the owners had taken precautions to ensure employees and the operation were protected.

“We have continuance and lost income insurance, which is standard, but we also added a year’s continuance for ordinary payroll, which covers the salaries of everyone who isn’t an executive, manager or owner,” says store manager and partner Karl Aguilar.

The business has been operating in the same location since 1936, and the plan was always to rebuild again. The rafters and roof needed to be rebuilt up to modern codes, and they discovered it would take longer than anticipated to get back into the space. Aguilar and owner Matthew Rogers wanted to find a way to reopen to keep their well-trained staff while the rebuild was happening, but they didn’t want to take Papenhausen too far from its original location.

“In our area, if you’re not within a mile of your demographic, you might as well be 50 miles away,” Aguilar says.

Aguilar and Rogers reached out to several leasing agencies, but didn’t find one willing to rent on a short-term basis. That’s when Aguilar took the story to social media and asked the store’s followers for help.

“I said, ‘This is our situation: If we don’t find a space right away, we’ll lose our staff in January,’” he says. “It’s hard to rebuild a culture from scratch, so we didn’t want to lose everyone and rehire once we could reopen.”

The response from Papenhausen’s online community was immediate. A leasing agent for a property just four doors down from Papenhausen Hardware said he knew what the business provided the community, and he wanted to help them open a temporary storefront, and quickly, too.

“We heard from him in late November, and he wanted to get us into the space by Dec. 1 so we wouldn’t lose our staff,” Aguilar says. “We signed a five-month lease that will go month-to-month after that.”

Aguilar, Rogers and the rest of the Papenhausen staff worked quickly. Together, the Papenhausen staff organized the popup store, from design to grand opening, in seven weeks. The grand opening took place on the one-year anniversary of the fire.

Although the temporary store isn’t an exact replica of the original, Aguilar says having the space has helped the company retain its most important asset.

“Our employees are our most important resource, so we can’t lose them,” Aguilar says. “We’re careful about hiring and training, and we’re keeping our standards during this period.”

Read the extended story at TheRedT.com/papenhausen.

After a fire destroyed the old Papenhausen Hardware store (left), the staff worked quickly to design, set up and stock a popup store just four doors down so employees could keep their jobs. The original store will likely reopen later in the spring after renovations are complete.

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HARDWARE RETAILING | April 2019

The QUIKRETE® app provides product searches, how-to videos, and a handy product quantity calculator to help make you and your sales staff more knowledgeable in just a few clicks. Download it today or visit quikrete.com to learn more.

Checkouts

COMMUNITY RELATIONS

When the Past Meets the Present

L

ate last year, Melissa Brett and her husband, John, and their store manager started brainstorming ways to celebrate Welden Hardware’s 130th anniversary. The Bretts have owned the Simsbury, Connecticut, store for 15 years.

Brett was inspired by the active community the store has on Facebook, and she developed a campaign to highlight the events that happened the same year Welden Hardware opened for business. Brett started sharing events that also occurred in 1889: the invention of the first mechanical dishwasher; the World’s Fair in Paris; the inauguration of President William Henry Harrison. All of the posts entice followers to ask, “What else happened in 1889?”

Every year in the spring, Welden Hardware hosts a grilling event. This year, they are working with a local T-shirt business to have shirts and reusable shopping bags made to commemorate the anniversary. They will also ask customers to write down their memories of the store.

“Maybe, in another 130 years, someone else might have those records,” Brett says.

Read the extended story at TheRedT.com/welden.

The owners of Welden Hardware in Simsbury, Connecticut, used Facebook to lead up to the store’s 130th anniversary celebration.

EVENTS

Making a Prom(ise) to Customers

T

Staff members at Newby’s Ace Hardware organized a prom dress drive to make the event more affordable for area teens.

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HARDWARE RETAILING | April 2019

eenagers hoping to find the perfect prom dress or suit had a unique opportunity to shop for their attire at a discount, thanks to Newby’s Ace Hardware in Devils Lake, North Dakota.

Newby’s employee Jacqui Dammen says she was inspired by another Ace store that held a similar event. Dammen put out a call to community members to donate their gently used formalwear, including dresses, shoes, jewelry and suits.

“People often have dresses and shoes taking up space in their closets,” Dammen says. “We thought this was a great way to put them to use again.”

The business partnered with a local salon and a local florist to host the event in the Devils Lake City Plaza. The event, called “Dressing Up at the Plaza,” featured 90 donated dresses, three suits and a selection of shoes and jewelry for prom hopefuls to browse. Dresses and suits cost $20 to $35, shoes were $10 and jewelry was $3.

The money raised will be put toward expenses this year and advertising for next year’s event. Any profits will be donated to charity.

“Prom is often so expensive,” Dammen says. “We wanted to find a way to make it affordable so anybody can attend.”

HARDWARERETAILING.COM

SPECIAL PROFILE ON DO IT BEST CORP.

Do it Best Helping Retailers Reach New Heights

Serving Hardware, Home Center & Building Material Retailers

2019

DISTRIBUTOR PROFILE SERIES

The DNA of Service How Do it Best Provides Retailers the Building Blocks for Success

N

early 75 years ago, Arnold Gerberding went door to door to hardware retailers and lumber dealers throughout the Midwest, asking them to pledge $1,000 to help secure greater buying power for their businesses and to maintain their independence.

Fort Wayne, Indiana-based Do it Best has since grown from 96 retailers who attended the first shareholders meeting in 1945 to serving thousands of locations in more than 50 countries. The co-op’s board of directors still only comprises retailers, a choice made by the original members.

On the following pages, co-op leaders affirm Do it Best’s commitment to continuing Gerberding’s legacy of innovating to help retailers improve their operations.

This special section on Do it Best Corp. is published by Hardware Retailing magazine, which holds and reserves all copyright on the content contained herein.

This special Hardware Retailing supplement is part of a yearlong series profiling the home improvement industry’s distributors.

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HARDWARE RETAILING

Table of Contents 35 . . . . . . . . . . . . . . . . . . . . . . . . Dan Starr 36 . . . . . . . . . . . . . . . . . . . Steve Markley 37 . . . . . . . . . . . . . . . . . . . . . . . Rich Lynch 38 . . . . . . . . . . . . . . . . . . . Trio Hardware Extra, Extra! Online Exclusives For full Q&As with Ace executives, visit TheRedT.com/dib-qa.

To read additional retailer profiles, visit TheRedT.com/dib-profiles.

DISTRIBUTOR PROFILE SERIES

EXECUTIVE Q&A

Carrying the Torch Do it Best CEO Talks Co-Op’s Core Values and Strategic Goals Hardware Retailing (HR): What does the current landscape look like for Do it Best members now?

Dan Starr (DS): We have a lot of members who are pursuing growth opportunities in many markets. There’s a lot of positive activity. As the economy has grown, there has been a great deal of strain on the labor markets, and we’ve seen that a lot of our members have labor as their No. 1 concern. Finding qualified available talent in a very, very competitive pool is challenging.

HR: What’s your strategy to help encourage additional growth for your members?

DS: We tend to focus on our three key mechanisms for growth. The first focus area for us continues to be to drive more sales to our existing members. We do that through a number of particular strategies. Second is by supporting better retail execution, which is more about increasing foot traffic and overall sales. And then, of course, the third would be to add members to the fold however we can. Each of those three focuses has a number of strategies associated with it, but they’re three very different types of growth.

HR: How does Do it Best successfully provide full service to both lumberyards and retail-focused operations?

DS: One of the biggest keys is that it’s just been part of our DNA from the very beginning. We haven’t had to try to learn a different side of the business, owing to the fact that from the very start, in 1945, we were serving both hardware retailers as well as the pro or the lumber dealers. Truthfully, there’s a great deal of overlap between the two. But there is a degree of specialization required for both, and for us, that is a key differentiator. It’s kind of staked out who we are as the only co-op provider in our industry that is able to do both really well. It’s been a great competitive advantage.

HR: How can Do it Best help retailers face potential future challenges?

DS: One of the greatest challenges all retailers face is getting their business on the map and drawing people into the store once they know it’s there. Everyone talks about the impact of Amazon because it’s such a phenomenal presence, so retailers not only have a requirement to participate in an online environment, but they also have a bit of an unknown impact in large areas of our retail space. Fortunately for our industry, there’s still quite a bit about the retail experience that is unique and necessary, which makes us more competitive.

Another challenge for our members is the need to make sure they are creating what we refer to as a “first and best choice experience” for their customer segment. That would mean making sure the retailer is top of mind for their customers, making sure they are the first choice within their marketplace.

Regardless of the nature of the shopping experience, whether it’s online or in-store, it’s important that their business is the destination customers have in mind.

Then, once customers are through that door or through that shopping portal, it’s entirely about making sure that the experience customers have rates among the best they can ask for. And that’s a real challenge for anyone. This expectation isn’t new, but it has evolved. I think every retailer spends their day or wakes up in the middle of the night thinking about the best ways to make sure the retail experience they offer is one that is absolutely gratifying for the consumer.

Retailers just need to continue to do that.

HR: What does the next decade look like for Do it Best?

DS: The next 10 years are going be about continuing to build and nurture a team. That’s a key part of my job responsibility, which I look at as twofold. One part is to try to be a good coach for the team, to select and put the people on the field who are going to make a difference in the game. Another key component that I believe is absolutely critical is to continue to build and strengthen the culture of this great company.

Our philosophy is serving others as we’d like to be served, and that approach to doing business is critical to our success.

I want to make sure that our cultural ethics don’t take a step backward—that we continue to build on that great strength that we were so privileged to inherit. We didn’t create that culture; we were the beneficiaries of that culture. We all have a great sense of responsibility to those folks who spent a lifetime building this company. We want to carry that torch in the best way we can so it continues to burn brightly.

Dan Starr President and CEO Dan Starr has served as president and CEO of Do it Best since 2016. He has previously served in a variety of roles since joining the company in 2006. Starr is only the fifth CEO in the company’s history.

HARDWARE RETAILING

35

DISTRIBUTOR PROFILE SERIES

EXECUTIVE Q&A

Here to Everywhere How Do it Best Executes a Comprehensive Supply Chain Plan Hardware Retailing (HR): What role do the teams you oversee play in serving Do it Best members?

Steve Markley (SM): The role I have is really about working

HR: How is Do it Best helping retailers implement innovation in their operations?

SM: Innovation can mean many different things.

with our teams to make sure we’re providing excellent support and service to our members—day to day, week to week and month to month—on the core basics: distribution, marketing, sales, and program and product support. It’s also about working with our teams on strategic initiatives, investments and enhancements to our services and programs so we’re well-positioned to help our members succeed.

Through those efforts, we’re working to coordinate the strategies across all of our divisions so we’re really focused and delivering tangible results for our members.

Inside the store, I look at something like The Color Bar, which is a store-within-a-store paint program we launched in the spring of 2017. When it comes to a product like paint, you’re not selling just cans of paint, you’re selling color, so that program helps members update their departments to be relevant for today’s consumer. It meets them where they are, whether it’s in store or online.

Our members who have implemented The Color Bar are seeing double-digit increases in their paint department sales, so staying in that conversation with members about a core department like paint is about making sure they are relevant for today’s customers and have the right tools in place inside the store to make them as successful as they can be.

HR: How have you optimized your supply chain to meet the needs of your members?

SM: Distribution excellence is one of our strengths; it goes to the core of what we do. So continuous improvement is absolutely a key driver for us. We work to find efficiencies, cost savings and improvements for our members, but we also make those big strategic commitments and investments.

Last year, we rolled out a transportation management system, and that was certainly a strategic commitment.

Through the use of that system, we will cut about 1 million miles out of our delivery routes to our members.

This system also helped us be more agile in the formation of those routes, more flexible in how we can adapt to situations. We’ve also seen logistical improvements. Over the last six months, we achieved our highest on-time delivery rates to our members.

When we look forward, supply chain is critical. We are continuing to invest in what we do with our product content.

I’m looking at content as an asset, so it’s about more robust data on the items we have that our members buy and sell to their customers. It’s providing that data to them in a very user-friendly way, so it’s very accessible for them. They can search and find the information they need quickly for their needs or for their customers, and the front-facing piece of that is our online catalog that goes out to our members.

Another strength I would call out is inside the four walls of distribution centers—our warehouse management system.

That investment is about improving the flow of goods into and out of our warehouses more quickly and more efficiently so we can get goods to our members when, where and how they need them.

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HARDWARE RETAILING

HR: How does Do it Best approach providing a menu of services without mandates?

SM: We’re shifting toward a thought process of showing our members the options they have that they should be considering to becoming stronger in certain areas. We’re working to incorporate data into those recommendations and doing that with our planogram development and our promotional items. These are focused programs that we call out to members as opportunities—niche categories that work for certain regions or certain profiles of members.

Also, since we are the only full-service co-op for both hardware and lumber operations, our strategy is to highlight opportunities in all of those crossover departments.

We strive for continuous improvement to bring those opportunities to members to help them grow their businesses and provide the support, services and programs they need.

We’re not just sitting down and accepting the status quo.

Our member-owners are who we serve. We’re proud of them and their performance and our role in helping them.

Steve Markley Executive Vice President of Operations Steve Markley brings more than 30 years of industry experience to Do it Best. He assumed his current role in 2018 and uses his experience to lead teams in enhancing operations and continually improving supply chain excellence.

DISTRIBUTOR PROFILE SERIES

EXECUTIVE Q&A

Diving Into Marketing The Digital Dashboard Keeps Retailers Connected Hardware Retailing (HR): What’s your overall approach to marketing?

Rich Lynch (RL): Our approach for marketing is to make

HR: What are the different components of the Digital Dashboard?

RL: It includes Google Ads (online advertising),

sure we establish our member locations as the first and best choice in their communities, and I think we do that a couple of different ways.

First, we help them work on what a strong message is for their business in a single, strong story. We make sure it’s one that’s relevant to the customers they’re trying to reach.

Then, it needs to be a message they can carry out in their stores with absolute excellence.

If you think about it, we’re making a promise. We are making sure the promise we make matters to the person we’re making it to, then we make sure that we’re following through on that promise. We believe we can do that with our members in a way that it’s their promise, it’s their execution, it’s their customer. We think that’s a much more efficient and effective way to establish them as the first and best choice in their markets.

social media postings, emails and all the other things out there that we would expect someone to have as part of their digital marketing strategy. Google Ads, social and email are the big three, though.

The dashboard allows members to set a budget.

They can opt in and opt out on a month-to-month basis, depending on how their promotional calendar looks, so we give them full flexibility.

One of the challenges retailers have with marketing in general is that it’s hard to measure impressions and results. What’s nice about working in the digital space is it lets retailers see exactly who saw what when, and then they can do a better job of planning out what I would call “smart spend” going forward based on the analytics.

HR: You launched the Digital Dashboard in 2017, which is a comprehensive digital marketing manager.

What’s the strategy behind that program and how does it serve retailers?

RL: The dashboard came up as an offshoot of what’s

We’ve identified at least eight different elements of a good marketing plan. For us it’s traditional advertising, loyalty programs, digital, online, in-store, social, email and store design. We offer a resource to help members pull all of those together into a comprehensive plan.

The beauty of our approach is that it acknowledges that an individual member may need to turn up the volume on one element and turn down the volume on another. It’s about helping our members figure out what that right mix is.

We think all of these components are important, but we know the recipe is going to vary a little bit, and our approach is to help our members figure out what their right recipe is.

Customers have more and more choices, so the actions we take to help our members become the first choice and reinforce that they are the best choice will go a long way toward fending off competition.

happening in marketing in general. We have a very traditional way of marketing that many of our members have grown very, very good at and very accustomed to.

The dashboard gave us a way to help them broaden their horizons and get out there so they get found, get noticed and sell more product.

It’s not enough to just get found or noticed if that’s not translating into product sales. For a lot of people, this digital space is new, and it’s revolutionary. They’re not sure what to do with it or how to respond to it. The dashboard allows us to help our members bring order to some perceived chaos in the digital space.

The dashboard allows them to get into it by putting a toe in, or they get into it by diving all the way in. That’s the beauty of what we put together. It really meets our members where they are in their level of digital acumen, strategizing and comfort. It lets us meet them where they are and come up with something that will let anyone in any spot along those spectrums do a really good job with getting their message out.

HR: How has marketing changed for retailers?

RL: Marketing is more involved than it’s been in the past.

Rich Lynch Vice President of Marketing As vice president of marketing for Do it Best, Rich Lynch is responsible for all components of member marketing, including education, communications and more. He brings more than 25 years of experience to his role.

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Planted in Plainview Trio Hardware Grows Its Footprint, Deepens Its Roots

S

mall business owners often hear from customers how important their businesses are to the community, but it’s not quite as common that they see those comments in action. Todd and Ritsa Kirschner, owners of Trio Hardware in Plainview, New York, saw their customers literally take to the streets to show their appreciation.

In 2018, the business moved from one store location to a new building about 1 mile down the road. Todd and Ritsa put out a call on social media and in the local paper asking for help to move inventory from the 3,100-square-foot store to the new location over the course of two days.

On the first day, 110 families moved the entire operation in six hours.

“It was unreal. The amount of people who showed up was incredible,” Todd says. “After everything was moved into the new store on the first day, we asked ourselves, ‘What are we going to do with everyone who’s showing up tomorrow?’”

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Trio Hardware’s longevity in the Plainview community is part of the reason so many customers came out to lend a hand. The business has been in operation since the original owners opened it in the 1960s. It even sponsored Todd’s soccer team when he was 3 years old.

The Kirschners themselves have been involved in the company for their entire professional careers. They both worked at the store while they were in high school in the 1980s and early 1990s, and they bought the business in 2017 as part of a thoughtful succession plan.

Todd started out sweeping the floors and stocking the business when he was 15, and then he continued working at the business full time while he was in college. A fire in 1996 made Todd rethink his initial career choice.

“I was offered a job in the film industry building sets, and the night I accepted that new position, the original Trio Hardware store burned down. I thought, ‘How do I give my notice now?’”

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Instead of taking the new job, Todd changed his major to business marketing to support the company and decided he would stay to help them rebuild. The store reopened in the same location a year later, and at that time, Todd was named the store manager. Sales grew more than 35 percent in the first 18 months at the new location.

“I started talking to the owners about what my plans were. I told them I was going to stick it out, and I would be the first in line to buy the business when they were ready to retire,” Todd says.

The Kirschners and the original owners, Bruce and Francesca Carlow, developed a succession plan in 2010.

The Carlows and the Kirschners became 50-50 partners in 2012, and then Todd and Ritsa took over the business completely in 2017.

In addition to its owners having a long history in the industry, Trio Hardware has had a long relationship with Do it Best. The company joined the co-op in 2002, and Todd says it was the company’s approach to customer service that sealed the deal for him.

“We were in the market for a new co-op at that time, and I checked them all out. Do it Best was the right fit because of the family atmosphere,” he says. “You can get anyone on the phone within minutes. It’s not ‘us and them,’ it’s ‘we.’ They treat people the way they want to be treated, and they have the answers to your questions.”

“One of our biggest concerns with building a new space was that it had to look like Trio Hardware,” Todd says.

“Do it Best helped us get it done. I can’t say enough good things about how they helped us make it happen.”

Todd and Ritsa worked with Do it Best representatives to field a customer survey to find out what products and categories people would want in the new Trio Hardware location. Todd says that survey significantly helped with the planning process.

“It’s the best tool Do it Best has when you’re expanding or adding a new service,” he says. “It gathers demographics about your customers, and it really prevents you from sticking a lot of money in the wrong areas.”

In the way of products, the survey results reported that Trio Hardware customers wanted additional housewares and a larger selection of outdoor seasonal items. At their current location, the Kirschners knew they didn’t have enough space to expand those categories.

To meet their customers’ needs with the new location, Todd and Ritsa introduced their developer to the Do it Best design team.

“They’re so easy to work with. They make recommendations, but they’re open to doing things a different way,” Todd says. “It’s a partnership, and at the end of the day, their job is to help us succeed. When it came down to the layout, together we came up with a great plan.”

Top-to-Bottom Design Before Trio Hardware could rally its customers to help move the business, they needed a building to move to.

The lease on their building was coming due, and the other business in the strip mall had just left. They originally had the opportunity to expand into that space, but it wouldn’t allow for additional outside space to expand their lawn and garden category. Coincidentally, Todd had a sales meeting with a developer who was working on a new project.

“He asked if we were interested in moving, and he asked me to make a list of our must-haves in a new property,” Todd says. “We gave him our list, and he came back with a plan to meet all of our needs. We couldn’t pass up the opportunity.”

With the help of Do it Best, they designed a brand new store that didn’t lose the character of the business the community was so fond of.

“It’s a partnership, and at the end of the day, their job is to help us succeed. When it came down to the layout, together we came up with a great plan.

”

—Todd Kirschner, Trio Hardware

Customers requested a broader outdoor living category in a survey Trio Hardware sent before the new store was built.

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The collaboration resulted in a 5,600-square-foot salesfloor with an additional 1,800-square-foot garden center outside.

To fill the new space, they added 11,000 SKUs. “That’s something we would never have been able to do at our old location,” Todd says. “Every area got more product. We were able to expand more into power tools, which is something we barely sold before.”

Another requirement for the new store was a large service counter. At the old store, the service counter was 18 feet wide, and in the new space, Todd asked for a 30-foot service counter, which wouldn’t include the checkout.

“I have eight POS systems in the store,” Todd says. “It’s all about service. A customer will stand in your store all day long getting what they want, but the second they want to pay, it has to be quick. They don’t want to stand in a line.”

In addition to making it easier to check out, Todd and Ritsa also made it easier to shop by adding shopping carts.

“When your customers’ hands aren’t full, they grab more product,” he says. “We also offer free popcorn on the weekends, so they have something to snack on while they shop. It gets them to stay.”

Todd is also a primary member of the repair team at the store, which operates from the basement. He repairs nearly anything a customer brings in, from broken kitchen doors to window screens.

“They can’t check Amazon to see how much a repair is,” he says.

Going Online to Get Going Todd knows that bringing in the next generation of consumers is key to maintaining the business into the future. He launched a Facebook account for the business many years ago, back when pages were first available for businesses. He also manages a YouTube page and Instagram account for Trio Hardware.

“You have to be current and relevant,” he says. “Everybody has a phone in their hand, so you need to use social media.

In our area, the people who are my age are all on Facebook, and everyone in their 20s and 30s is on Instagram. I switch between the two platforms.”

Initially, Todd started by posting messages for the holidays and promoting sales, but then he evolved into posting videos for his accounts. To ensure consistent quality, Todd hired a local videographer to shoot the videos he posts online.

“We’re always looking to stay fresh,” he says. “You need to get the younger generations in the store, and this is how you do it. If you can get your message into their hands, that’s how you stay relevant.”

Once the social media posts get the younger generations into his store, Todd’s service philosophy doesn’t change.

“Anyone can sell a bolt, but it’s how you portray it and how you treat the customer that makes you different,” he says. “People love to shop where they are welcome, where you know their name. If you do that with selling hardware, you retain your customers.”

Store owner Todd Kirschner (right) added a 30-foot service counter to Trio Hardware’s new store location in Plainview, New York, to give more customers better access to services, including repairs on a variety of products.

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Unfolding Opportunity How to Be a Show Floor Explorer at the National Hardware Show®

N

ational Hardware Show® (NHS) attracts industry members from the across the channel to hunt for new products and niches, keep an eye out for inspirations and learn new insights on how to improve their businesses.

On the following pages, Hardware Retailing gives you a preview of how NHS will inspire, indulge and excite attendees this year. Trek through this article and then continue on to Las Vegas May 7-9 to discover new elements at the show and to see what’s returning.

Also, learn more about the North American Retail Hardware Association (NRHA) All-Industry Conference, which takes place in conjunction with NHS and is the spot for education at the show and is centered around independent retailers.

This year, retailers, channel supporters and some of the industry’s biggest names will take the stage to address the theme of this year’s conference, “Industry in Evolution.”

Visit nrhaconference.com for the latest conference news and highlights.

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See What’s New The Latest Highlights on the Show Floor

Each spring, NHS swoops into Las Vegas and sets up one of the home improvement industry’s largest product-focused showcases. The 74th annual event returns to the Las Vegas Convention Center, and this year’s show brings with it limitless new ideas and opportunities.

Getting In on the Ground Floor NHS continues to revitalize the event every year, and this year takes on a challenge that all retailers face: differentiating by being the first. Whether it’s being the first in your market to put a new product on your shelves or the first to implement a new technology to streamline your operation, there are nearly endless opportunities to find something fresh on the show floor.

“Simply stated, there are so many new and exciting things happening at NHS 2019 that buyers and retailers can’t afford to miss it,” says Rich Russo, industry vice president for NHS. “From new product categories and featured areas that address the hottest trends in the industry, to brand new interactive experiences and programs to help attendees better plan their schedule, NHS 2019 will be something the industry continues to talk about well after the show floor closes.”

New at Every Turn Across 15 major product categories and in more than 600,000 square feet of show floor in the convention center, there will be nearly 3,000 exhibitors—and almost one-third of them are new to the show. With this diversity of products, it’s nearly impossible that you won’t find something new to set your operation apart.

“Bringing a variety of new products and new exhibitors to the show has always been a focus of the event,” Russo says. “It’s our intention that NHS appeal to home improvement operators across the industry. NHS is also committed to helping independent retailers grow their businesses. We are confident independent retailers can find new products to complement their inventory in nearly every category.”

In addition to new products, NHS also wants retailers to find the tools they need to run their businesses.

This year, the Retail Service Solutions area of the show floor will feature POS vendors, unique merchandisers and other operational solutions.

See the other new highlights that will be at the show below and visit nationalhardwareshow.com for more information and to register.

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HARDWARE RETAILING | April 2019

Hitting the Show Floor Be the First to See New Products This year, attendees on the lookout for new products will not be disappointed. The show floor will feature products that have launched within the last year, along with more than 100 manufacturers and vendors that will launch their new lines at the show.

Get Smart With Your Interactions The intersection of home improvement and technology will only continue to tighten, so NHS has made it easy this year for attendees to get up close and personal with the most talked about smart home products in the Interactive Smart Home on the show floor.

Choose Your Own Adventure A new opportunity on the show floor is the Steals & Deals program. Prior to arriving at the show, attendees can sort through a variety of offers and special deals from exhibitors. Once your enter your email address, you will receive the details on how to redeem the offer.

Feel the Beat With Impulse One great way to boost add-on sales is to have a fully stocked and diverse selection of impulse products.

This section of the show floor has been newly designed to highlight tempting novelty items and to feature those items that customers need to complete their projects.

Enjoy the Favorites Everything You Love on the Show Floor

These spots on the NHS show floor have become must-visits for seasoned attendees. The surprises and comprehensive selection make them areas you can’t afford to miss.

The Core Categories Be sure to visit plumbing and electrical; hardware and tools; paint and accessories; homewares; and lawn, garden and outdoor living to find something unexpected to complete your lines.

The Showstoppers The following areas are focused on specific needs that your customers may be asking from you. Review these areas to find something to suit every niche in your business.

• Made in USA If your customers are often on the lookout for items that are made in the U.S., this is the place on the show floor to find them.

• Inventors Spotlight This area celebrates innovation and expertise that is common throughout the industry. Explore these new ideas and congratulate the featured inventors.

• New Product Launch These products haven’t even made it to market yet, so this area offers a first chance to see something you may be stocking on your shelves in the near future.

• Tailgate, Backyard & BBQ If your market is into sporting events, entertaining and outdoor cooking, then this spot will give you a leg up in the category. It’s also a great spot to grab lunch, hot off the grill.

• Emergency Preparedness & Disaster Recovery You may be known in your community as the store that’s open during a natural disaster and after the storm passes. This spot on the show floor will help you build on that reputation.

What’s Old Is New Again Products Are Key to Reimagine Retail NHS is switching up its returning Reimagine Retail program, which helps make independent retailers’ big ideas become reality. In previous years, one retailer took home funds to use for a business improvement project.

Find out how this year, NHS is supporting change and growth at the product level.

Go Small and Go Home at NHS Last year, NHS partnered with Operation Tiny Home to showcase trends in the small living sector. This year, Tiny Living @ NHS is a space curated for pros in the tiny living industry and will feature the products and highlight the trends that are part of the tiny living movement.

Take a Seat in the Backyard A new addition to Tailgate, Backyard & BBQ this year is The Backyard Marketplace. The area is the primary stop where you can find it all—shade, drinks, a hydration station, food, music, entertainment and featured brands with products that are leaders and are trending in the outdoor lifestyle category.

Satisfy Your Appetite Awards With so much innovation on the show floor, there are nearly endless opportunities to highlight standout products.

Join NHS and various sponsors in celebrating the ideas that make a difference in the market and are helping independent retailers differentiate their operations with unique, problem-solving products.

To make sure you hit all the areas you want to see, NHS has made updates to its free NHS Mobile App. In addition to booth-to-booth navigation and event details, attendees can keep track of what’s trending on the show floor with the Hot Hits feature. The new NHS Leaderboard displays where the can’t-miss products are.

April 2019 | HARDWARE RETAILING

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Industry in Evolution Grow at the NRHA All-Industry Conference

NRHA exists to help independent home improvement retailers run better, more profitable operations. A key way the association achieves its mission is by staying aware of trends and shifts in the independent home improvement industry specifically, and in retail at large.

Over the last decade, the evolutions that have occurred in retail have compounded in ways that make running an independent operation more challenging, but also more in demand. Consumers want their products as quickly as possible, and e-commerce is a necessary component to successfully fulfill that need. At the same time, consumers are drawn to small businesses in their communities, and they want to support local operations.

The 2019 NRHA All-Industry Conference addresses these changes through its theme, “Industry in Evolution.”

The conference takes place in conjunction with NHS, May 7-9, in the central lobby of the Las Vegas Convention Center.

Through guest speakers, retailer panels and discussions with other members of the channel, NRHA will take on the changes that are occurring in the industry and how independent retailers can retain— and grow—their foothold as the segment of the home improvement industry with the most buying power.

This year, the stage in the NRHA Village—the educational hub at the National Hardware Show—will feature industry experts who will share their insights about how retailers can push their operations forward to stay competitive.

Two highly anticipated presentations will touch on these changes in the industry. John Hartmann, True Value Co. president and CEO, will talk about the wholesaler’s recent shift away from the co-op model. The Farnsworth Group’s senior partner Jim Robisch will deliver the latest research on consumer communication in his presentation.

Visit nrhaconference.com for more information on speakers, panelists and other conference news.

Let’s Get Social Follow NRHA on Facebook, Instagram and Twitter to be the first to know when more speakers and presentations are added to the conference lineup. @NorthAmericanRetailHardwareAssociation @nrha_official @nrha_official

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Your Association in Action Learning From Those at the Top Each year, NRHA recognizes Top Guns, the industry’s highest performers who are improving and growing their operations. This year’s honorees are operators of lumberyards, multistore home centers and single stores who are determined to take on the evolving industry.

Meet them at TheRedT.com/2019-top-guns.

Gaining Insights Into a New Culture NRHA has partnered with Retail People Solutions Inc., a company founded by retail and culture expert Linda Small.

Learn how Small’s Vision Process can help you rethink your organizational culture from top to bottom to improve employee morale and retention and as a result, grow your business.

Connecting at the Conference A core purpose of the NRHA All-Industry Conference is to bring all members of the channel together.

The conference is a place for retailers from across the U.S. and Canada to talk about common challenges and share possible solutions that they may not be exposed to otherwise.

NRHA Beyond the Conference Keep the conversation going after the conference by staying in touch with your association. NRHA has many opportunities for you to meet other retailers and enhance your skills and knowledge, whether you’re looking for advanced training courses or want to find a peer in your market.

By Chad Husted, chusted@nrha.org

Not a Gray Day How Concrete Stains Can Solidify Coatings Sales

I

t’s the small touches that can make a house a home.

Many homeowners see their house as a sanctuary and a symbol of their tastes and priorities. Do they prize game day celebrations in a renovated basement?

Or do they prioritize outdoor living space with friends and family? Each person’s preference is important, and versatile surfaces such as concrete are key to helping these homeowners make their homes unique.

With modern technologies, there are few materials as versatile for home and commercial projects as concrete.

Modern dyes, colorants and sealants have made concrete part of the design conversation, elevating it from its previous place as just a building component. Concrete can be stained to give a basement floor the look of well-worn leather furniture, while outdoor spaces can be outfitted with concrete walls that simulate fine stone.

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HARDWARE RETAILING | April 2019

Hardware Retailing spoke to Tim Margroff, general manager of Marcon Building Supply in Markleysburg, Pennsylvania, who oversees a retail operation that manufactures its own decorative concrete pavers and retaining wall blocks. It offers materials for DIYers to apply their own stains, coatings and sealants to concrete surfaces in their homes.

For a professional trade perspective, Hardware Retailing spoke to Mike Price, CEO of Bay Area Concretes in San Francisco, and Shawn Wardall, owner of Specialized Construction Services in Waterloo, Wisconsin.

Bay Area Concretes has worked on concrete design projects for tech giants like Facebook and Google, among others. Wardall travels across the U.S. as an independent concrete designer while also teaching classes related to decorative concrete.

Photo courtesy of Specialized Construction Services

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Solid Possibilities Concrete can be seen as a utilitarian product, made for function rather than fashion. Traditional surfaces like walkways, driveways or flooring, can benefit from decorative dyes and stains, which can make any space more vibrant.

For Margroff, the first job of any retailer hoping to delve into decorative concrete is to open the eyes of customers to the possibilities offered by these kinds of products. Marcon Building Supply accomplishes this by showing displays, both on its salesfloor and on its exterior property, that exemplify how concrete can be manipulated and colored to give different effects.

Photo courtesy of Marcon Building Supply Store displays, like these at Marcon Building Supply, can show customers the versatility of concrete when used in design applications.

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HARDWARE RETAILING | April 2019

“Our displays show not only how color can be involved, but how the customer can customize their projects. A color can have a different look based on a smooth cut versus a rough face that is made to look more like stone,” Margroff says. “What we’ve found is that customers often need the idea presented to them in person to see how concrete can be made to look like a variety of materials. Just describing the finished look won’t get the idea across.”

The concrete displays at Marcon Building Supply often start a more in-depth conversation with customers about the other options Marcon Building Supply has available. These include prestained concrete pavers in a variety of colors as well as DIY sealants that can add a bit of gloss to concrete.

Marcon Building Supply’s ability to manufacture landscaping blocks means it offers convenient, ready-to-install pavers while also keeping options open for consumers looking for their own custom colors. For these customers, dyes and stains can be added to the surface of plain blocks which are then sealed to maintain the color and protect it from damage that will reveal the gray concrete underneath.

Blocks manufactured with premixed dyes will maintain that color throughout the block, but stains require maintenance over time to sustain a stain’s look. While this does add a task for homeowners, Wardall says the process of maintaining a sealant coating on concrete is a task most DIYers can do themselves.

“We like being able to offer options for concrete manufactured with color throughout as well as stains and sealants that can be applied later,” Margroff says.

“Then a customer can get the color exactly as they want it, and we can be there to make sure they know the proper steps for application.”

Some of those steps include the need to strip concrete of previously applied sealant before a new stain is applied. Wardall cautions professionals and homeowners alike that most staining and sealing projects go wrong because the surface has not been prepared in the proper manner. Retailers should be ready with tips about not just the application of stains and sealants, but what steps must be taken prior to applying these coatings.

Manufacturers are often the best sources for this knowledge, especially given the unique formulations of different stains and dyes.

While Marcon Building Supply manufactures its own concrete landscaping blocks and decorative pieces, not all retailers will have access to the equipment necessary to do that. For retailers who want to offer concrete as an option for customers looking to create outdoor spaces like garden beds or stain a bare concrete floor in their home, Margroff believes salesfloor displays are still paramount.

Look for a supplier of decorative concrete blocks and create options for a salesfloor display, Margroff says. Stain these items yourself to show what different stains and sealants can do with plain concrete and have those items available when customers ask how a display was created.

The customers might even be surprised to learn that a display was made with concrete in the first place.

Going for Depth

Photo courtesy of Specialized Construction Services There are a variety of methods to alter concrete for decorative purposes.

Stains, dyes, sealants and processes like polishing provide different effects.

For homeowners looking to take on a project themselves, there are a variety of options. The most common stains are either acid-based or water-based.

Wardall says the different color ranges that can be achieved with either type of stain means that there is a finish that will appeal to nearly any customer.

In his previous work, water-based stains are more environmentally friendly but can be more difficult to apply properly.

To counteract some of these challenges for customers who are not fully versed in the concrete staining profession, Wardall suggests retailers become confident with a few stains or dyes they have seen success with in past projects.

Retailers can combine their trusted products with water-based sealants that are more easily applied, add to the overall design based on their glossiness

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and are more easily maintained than more intensive stain applications.

“When I’m working on a project that I know will fall on the homeowner to maintain, I don’t want to set them up for failure,” Wardall says.

“I’m seeing a lot of customers who want simpler looks, sometimes even just bare concrete with a glossy sealant. These are cost-effective options that, if maintained properly, will serve customers well into the future.”

If customers want to further experiment with stains and effects, Wardall suggests the combination of colors to give a layered look. This adds a bit of labor to the process, but it allows for a more intense look without requiring a homeowner to possess strong design skills. The stains will take on different hues based on the condition of each area of concrete, often combining to form designs that resemble natural wood, leather and treated wood.

Another measure retailers can take when streamlining DIY projects is diving fully into the application instructions for individual brands and manufacturers in the market. In Wardall’s experience, the proper application of stains and sealants can vary widely across manufacturers, and methods that work for one could lead to poor results from another.

Photo courtesy of Bay Area Concretes While some customers might want a simple gloss sealant to give concrete a stylish look, decorative stains can be used to make a greater impact.

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“This is not a project type that favors mixing and matching products,” Wardall says.

“A retailer should have enough training from the vendor to give specific instructions on how their product offerings should be treated.

Informing their customers of this fact can keep a project from coming up short of a customer’s expectations.”

“The options for

homeowners to customize their concrete surfaces are only getting more diverse. We’ve seen a shift, especially in commercial projects, to more polished looks with maybe a bit of color added. It adds durability and refinement.

—Mike Price, Bay Area Concretes

”

Adding Some Polish For Bay Area Concretes, the trend in both residential and commercial work has been toward environmentally friendly options.

This includes nonreactive dyes that do not have the harsh chemical smells of some older stains and dyes and can create durable, decorative concrete floors.

“Concrete stains and sealants first started gaining popularity in the 1990s and 2000s in residential markets. They remain popular, and the options for homeowners to customize their concrete surfaces are only getting more diverse,” Price says. “We’ve seen a shift, especially in commercial projects, to more polished looks with maybe a bit of color added.

It adds durability and refinement.”

Polished concrete has been a major trend for Wardall’s projects as well. Polished concrete, which has been ground down with fine amounts of diamond grit, offers an elegant and durable finish that works in high-traffic areas like building lobbies just as easily as fashionable residential floors.

To offer these kinds of options for contractors and professionals working with concrete, retailers can offer equipment for rent. Price uses both walk-behind and riding polishing machines that refine a floor and cover an entire surface in a short amount of time.

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WARNERTOOL.COM 56

HARDWARE RETAILING | April 2019

1-800-444-0606

Other rental options include stamps, which Marcon Building Supply offers to tradespeople with access to lifting equipment. These stamps can create effects to mimic stone or other designs when used on freshly poured concrete. Margroff says his brother’s new pool is an example of how dyes and concrete stamps can be mixed to provide unique results in outdoor spaces.

“When the stamp is used around the pool, we can get the right texture for the surface. Then you come back with a sealant that gives you a bit of variety in the color. These two applications make for a standout display that many customers haven’t seen before, and they don’t require expensive materials to pull off,” Margroff says.

Price suggests another display option for concrete is a retailer’s store itself. By taking a display a step further, such as turning a section of the store into an outdoor display area complete with its own stained floor area, a retailer can show how customers can design their own homes.

Making sure the concrete at their store’s location looks its best is also a crucial selling point, Price says.

“The cost of scale for high-quality concrete displays is getting lower all the time,” Price says.

“A well-treated salesfloor shows a customer that their own concrete flooring doesn’t have to be drab.”

Photo courtesy of Marcon Building Supply By combining stains, sealants and other design tools in concrete, homeowners can customize the look of their spaces.

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April 2019 | HARDWARE RETAILING

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By Kate Klein, kklein@nrha.org

Do Consumers Still Care?

What Your Customers Want From Eco-Friendly Products in 2019

T

he array of green or eco-friendly home products available to most American consumers is vast, ranging from towels made from sustainably grown bamboo to house paint that is safe enough to eat.

But just because the number of green household goods available to the typical shopper is increasingly broad—and the internet makes even very niche products accessible—does that mean average consumers care?

The answer appears to be that it depends on the products and how they benefit the buyers. For example, healthy living has become more important than energy efficiency to many consumers, and that has changed their spending priorities.

In 2009, Hardware Retailing surveyed 250 consumers throughout the U.S. to see how much green products matter to them and which eco-friendly features they value most. In 2019, we again surveyed a group of 250 shoppers to see if how consumers shop for and feel about eco-friendly home products has changed in 10 years.

The following pages detail the new data, which show some trends that have stayed consistent and others that have shifted.

What Matters Most Hardware Retailing’s new research reveals a change in how much consumers prioritize eco-friendly items when they shop for home products, such as cleaning supplies, lightbulbs and plant fertilizers.

An economy that has recovered in most ways from the economic upheaval of 2009 can explain some shifts in priority.

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Ten years ago, consumers wanted to reduce their utility and energy costs, and for good reason.

Economic instability, lost jobs and foreclosed homes made penny-pinching imperative for many people. Not surprisingly, the green products that mattered most to the 2009 survey respondents were energy-saving items that lowered their utility bills.

A decade later, products that contribute to healthy living matter more to consumers. In fact, the No. 1 priority for consumers who participated in the Hardware Retailing survey is products that are “healthier for my family and me.”

Saving money on their utilities was the second most popular priority to respondents, but 50 percent more participants value products’ potential health benefits.

The emphasis on healthier living is a global consumer trend, according to international research firm The Nielsen Co. The firm reports that “products living in the sweet spot of ‘healthy for me and healthy for the world’ are growing in demand.”

When it comes to products many retailers sell in the home improvement sector, cleaning supplies and housewares stand out as important categories that are growing in their emphasis on healthy, eco-friendly options.

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Half of consumers worldwide are willing to pay extra for a product if it is high quality and safer for them, according to Nielsen. In the U.S. specifically, “consumers worry about the economy and their own health,” Nielsen says.

When it comes to products many retailers sell in the home improvement sector, cleaning supplies and housewares stand out as important categories that are growing in their emphasis on healthy, eco-friendly options, according to the International Housewares Association.

Influences on the Purchase More than 60 percent of shoppers responding to the 2019 Hardware Retailing survey say they didn’t buy or don’t know if they bought green home products in the past year. That doesn’t mean they don’t ever buy them—only about 18 percent say they never do.

However, shoppers reveal their priorities with how they consciously spend their money. In the 2019 survey, nearly 22 percent of respondents weren’t sure if they had purchased eco-friendly products in the past year.

The 38.5 percent of shoppers who knowingly bought green products in 2018 and early 2019 represent a change from a decade ago, when 83 percent of survey respondents had purchased a green product within the prior 12 months.

The changes reflect that many eco-friendly products have become mainstream, so shoppers likely don’t have to think about finding green options.

For example, cleaning aisles now offer a variety of natural products alongside chemical cleaners.

In addition, federal regulations have heightened efficiency standards for household lightbulbs, reducing the availability of flourescent and incandescent bulbs. In addition, many retailers have phased out harmful neonicotinoid pesticides, so the chemicals are less available for purchase.

Other impacts to consumers’ green-buying decisions in stores have also changed, though not as dramatically.

In 2019, the top influence on shoppers’ purchase choices remained the same as in 2009: “The packaging told me it was eco-friendly.”

But consumers are much more reliant now on their own research than they were 10 years ago.

During the first study, consumers’ research was less important to them than their friends’ referrals and store signage that highlighted eco-friendly products.

In 2019, consumer-initiated research influenced spending decisions more than their friends, store signs and conversations with store employees.

Have you purchased green or eco-friendly products within the past 12 months?

For example, cleaning supplies, lightbulbs, organic plant fertilizers, etc.

No . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 .8% Yes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38 .5% I don’t know . . . . . . . . . . . . . . . . . . . . . . . 21 .7%

How often do you buy eco-friendly products?

0%

Always

8.5%

Weekly

7.5%

Monthly

12.0%

Often, but less than monthly

30.0%

Once a year or less

23.7%

Never

18.3% 5%

10%

15%

20%

25%

30%

35%

Which traits do you consider extremely important for green products?

54.7%

36.3%

29.4%

25.4%

16.9%

Product is healthier for my family

Product reduces my energy costs

I feel good buying the eco-friendly item

Product fosters sustainability

Product is made from organic materials

April 2019 | HARDWARE RETAILING

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Because customers rely heavily on their own research when making choices about purchases, they can serve as resources for retailers who ask what they need.

Asking questions could pay off. About 64 percent of the 2019 survey respondents are willing to pay more for the eco-friendly versions of products that matter to them—and 45 percent are willing to spend an extra 6 percent or higher.

Whether they regularly buy green products or not, consumers care that stores where they shop carry eco-friendly items. About 70 percent of survey respondents say it’s at least somewhat important to them that retail companies offer a sizable selection of green products.

“Sustainably minded consumers still make up a significant portion of the population and sales say consumers are committed to buying specific types of sustainability.

”

—The Nielsen Co.

The Numbers and Retail Retailing best practices apply to how store owners should interpret the 2019 survey results from Hardware Retailing.

Retailers need to check regularly with their customers about which eco-friendly products matter to them and why. Point-of-sale data won’t tell a retailer why customers’ values are shifting and what their new priorities are, so it’s important to pay attention to national trends, ask questions and survey current shoppers.

Changes in customers’ values over time could be reducing the importance of some products in a store while creating opportunities to expand or add other categories.

As always, shopper needs vary by market.

In some areas, eco-friendly products are the expected norm for many home improvement store categories. In other markets, retailers may not realize they have a customer base that is interested in a spectrum of items that contribute to healthier homes and lifestyles.

“Sustainably minded consumers still make up a significant portion of the population and sales say consumers are committed to buying specific types of sustainability,” Nielsen concludes.

For over a century, we have insured the lumber and building material industries.

A long time has passed since we first started insuring the unique risks of wood-based businesses in 1895, but our core values remain the same – we are committed to bringing our policyholders the most comprehensive and current coverages along with sophisticated risk management practices to keep their businesses safe and prosperous.

Put our time in the building material industry on your side. Contact us or your broker for a competitive quote.

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800.752.1895 | www.plmins.com 62

HARDWARE RETAILING | April 2019

AMERICA’S OLDEST AND LARGEST MUTUAL INSURANCE COMPANY DEDICATED TO THE WOOD PRODUCTS AND BUILDING MATERIAL INDUSTRIES. WE INSURE HARDWARE STORES, HOME CENTERS AND BUILDING MATERIAL DEALERS.

On a scale of 1-5, how concerned are you that products for your home are eco-friendly?

1 being not concerned and 5 being highly concerned.

16.0%

5

24.0%

4

32.9%

3

9.4%

2

17.8%

Which factors have influenced you when you decided to buy eco-friendly products?

Packaging said the product is eco-friendly.

1

I researched green options before shopping.

A friend referred me to the product.

Store signs indicated the item is eco-friendly.

A store employee explained the product’s green benefits.

All story data were compiled from consumer research conducted by Hardware Retailing.

By Todd Taber, ttaber@nrha.org

Start the Cycle How In-Store Recycling Programs Can Boost Business

W

hat are you and your business doing to safeguard the planet?

One simple action could be to institute an in-store recycling program both for your employees and customers to help usher products from sale to safe disposal.

For millennials, climate change and eco initiatives are incredibly important components of how and where they shop. According to a 2017 study from market research firm The Shelton Group, 76 percent of millennials are concerned about how climate change will affect their quality of life.

More pressing for retailers, the research shows that 70 percent of millennials say a company’s environmental practices impact their purchasing decisions. Retailers should take note that when millennial customers trust a company’s social and business practices, more than 90 percent of them are likely to recommend that business to friends, family and social media followers.

The data also revealed millennial shoppers are less likely to recycle at their own homes, but are more apt

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to buy from companies that have their own in-store green initiatives. The data showed that 34 percent of millennials recycled in their homes, while 52 percent of other age groups reported recycling at home.

The data show that millennials, the youngest active demographic in retail, are seeking partners they trust to help them reduce their footprint and facilitate their eco-friendly activities. By starting a recycling program at your business, you could capture repeat business from young customers and position your operation as a reliable recycling ally for years to come.

In this article, discover how Greg and Kari Carlson of Carlson Do it Best in Nisswa, Minnesota, decided to implement a recycling program at their business. Learn how the program has developed through the years to meet the Nisswa community’s evolving needs and why the Carlsons think every retailer should consider their own in-store recycling program.

Also, get tips on ways you can start your own program and tailor it to better fit your business and your community’s needs.

For the team from Carlson Hardware in Nisswa, Minnesota, April is an important month.

Owner Greg Carlson will celebrate 25 years at the helm of the home improvement business, a position that he says enables him to stay connected with the members of his community.

April is also Earth Awareness Month, and Carlson says his team will continue offering the in-store recycling services he began shortly after buying the business in 1994 to help customers take action to recycle their used products.

“We knew some of our

customers were throwing things away that could be recycled, and we didn’t want that. We wanted to make it easy for them to recycle here at the store.

—Greg Carlson, Carlson Do it Best

”

For Carlson and his wife Kari, who works as the business’s secretary, helping customers safely dispose of their used household items and renovation products is one small action they can take to reduce pollution and connect with customers on a personal level.

The Carlsons say they’ve recycled in their home for years, so importing that philosophy to their business was a natural decision.

“We knew some of our customers were throwing things away that could be recycled, and we didn’t want that,” Greg says. “We wanted to make it easy for them to recycle here at the store.”

In 2000, the company began by first offering to recycle fluorescent lights for customers, and as the years passed, the business started to accept more items to recycle.

Greg says the business now recycles paint, power tool batteries, propane cylinders and even broken Christmas lights and extension cords. Kari says the wire within those products is collected and sold. The money that results is invested in local charities to feed members of the community.

At Carlson Hardware, the entire team is trained to help customers understand what can and cannot be recycled.

Owner Greg Carlson sees this training as a way to educate customers and promote return foot traffic to the store.

April 2019 | HARDWARE RETAILING

65

The Carlsons say the recycling service is available to both construction professionals and DIYers, but has really caught on with DIYers.

Carlson Hardware employees are trained to remind customers about the recycling program when they buy applicable items, and signage at the registers gives customers a final push to return their used items directly to the store once the customer has finished with them.

The business charges a small fee to recycle used items from customers, but Greg says it’s only what local waste disposal facilities charge for collection, and he doesn’t aim to profit from the service. Instead, Carlson Hardware’s recycling program is just one way he and his team can protect the environment and entice customers to return to the business after making an initial purchase.

“We feel we have a responsibility to help a customer all the way through a sale,” Greg says.

“If they buy a product here, it’s only right to help them when they’re finished with it.”

Kari agrees and sees the recycling initiative as a way to connect directly with customers.

“It’s well worth it, because it increases the foot traffic coming through the store,” she says.

“People always have products they know they shouldn’t throw away, and they wonder how they can get rid of them safely.”

Greg and Kari say they don’t actively market their business’s recycling program. They rely on well-trained team members and occasional social media posts to remind customers about the program.

Through the years, word-of-mouth recommendations have boosted the program’s profile.

The Carlsons recommend reaching out to local and national recycling programs, which can help independent retailers set up their own in-store recycling programs and provide associates with information to pass on to customers about the importance of recycling.

Whether retailers establish small or large recycling programs, Greg says it’s an important service to offer a community.

“We’ve got to recycle, or else we’re going to have so much more pollution in our country,” Greg says. “We’ve got to do everything we can to cut it down.”

Recycling efforts at Carlson Hardware date back nearly 20 years. The company teams with national paint recycling organization PaintCare to ensure customers’ paint is safely disposed of after a DIY project.

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6 Tips to Start Your Own In-Store Recycling Program Businesses that establish and promote their own recycling programs to customers can see that decision turn into profits and firm community connections. From installing plastic, paper and glass recycling bins in your store to working with commercial and industrial clients to recycle their materials,

there are many options for retailers who want to start their own recycling program. Check out these tips to help you and your staff start a recycling program that can position your business as a reliable partner. For a lesson in Recycling 101, visit nrha.org/trainers-toolbox.

1. Set the example.

Place recycling bins in your store for customers and staff to use to show that you and your business care about local recycling efforts. Be sure to place recycling bins alongside in-store trash receptacles to give customers options to safely discard their trash. Label what can and cannot be recycled; paper, plastic and glass are fine, but be sure customers know not to place electronics or food products in those bins.

2. Form a green team.

Whether your green team consists of one person or a handful of employees, forming a team within your company to oversee recycling initiatives is a worthwhile early step. By giving employees the power to start a new program at your business, you can encourage employees from all levels to invest in your operation. This leadership position can also help employees discover new skills to rise within your organization.

3. Specify the scope.

Recycling regulations vary from state to state, or even county to county, so be sure the green team contacts your local waste haulers to confirm what can and cannot be recycled. Then, use that information to establish an internal set of recycling guidelines. Publicize that information in break rooms and storage areas to ensure your team is recycling whenever possible. This regulatory information will also help you establish a customer-facing recycling program that follows the law.

4. Consider the customer.

Once your staff is on board with the importance of recycling, it’s time to start getting customers in on the act. Identify products you sell that can easily be recycled—lightbulbs, batteries, plastics, carpets and tiles, to name a few. When customers purchase these items, remind them they can return them to your store when they’re finished to responsibly dispose of them. This follow-through promotes your business as a reliable recycling partner and simultaneously boosts return foot traffic.

5. Partner with a program.

There are numerous national recycling programs that view independent retailers as a major asset in their recycling efforts. Search online for organizations in your area that can give you the knowledge and resources to dispose of more difficult items like home appliances, electronics and paint. These partnerships can help you handle recycling projects from contractors and potentially boost sales in the process.

6. Take it up a notch.

For materials that can bypass the recycling process and instead be upcycled (used in their current form for a different purpose), be sure your business is ready to handle those needs, too. Consider creating an outdoor area where customers can bring their unused lumber or flooring. Other customers may find the perfect material for their next project and begin to count on your business for every home renovation project they undertake.

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HOW I DID IT ...

“We made the decision to compete. We knew the challenges we were going to face given what these new businesses could offer.

The question was how to grow smart.”

—Jeff Paladino, Milton Hardware and Building Supply

By Chad Husted, chusted@nrha.org

Expanding to Meet Competition

Milton Hardware and Building Supply has grown to compete against several big-box retailers in the area.

68

I

n 1998, Jeff Paladino purchased his family’s 4,500-square-foot hardware store nestled in a shopping mall in Milton, New York.

His family had owned several businesses over the years before taking on a local hardware store.

A switch into hardware seemed a natural progression for the family, Paladino says, as the family had been involved in agricultural businesses in previous years. But by the time he took over ownership as the second generation in the business, sales had become stagnant.

Paladino decided he had to make a major decision: His store could remain at its present capacity and struggle against big boxes coming into town or grow its product selection to compete. The original footprint of the business was enough to supply DIYers and homeowners, but there was no space to increase inventory

HARDWARE RETAILING | April 2019

for professional customers or house lumber and building materials.

“We made the decision to compete. We knew the challenges we were going to face given what these new businesses could offer,” Paladino says.

“The question was how to grow smart.”

Since that decision, Milton Hardware and Building Supply has taken over the entire shopping mall through several small expansions. Paladino also added rental, lumber and building supplies. Hardware is now housed in a 10,000-square-foot salesfloor with enough inventory to keep any contractor well-supplied, Paladino says.

Through these expansions, the business has seen consistent 10 percent growth in sales each year.

The key for Milton Hardware’s growth was a slow and steady effort to take advantage of opportunities but not overreaching on an

Jeff Paladino Milton Hardware and Building Supply Milton, New York

Problem Resolved The stagnant business was unsustainable at current inventory and sales levels. Smart expansion of the salesfloor and the addition of lumber, building supplies and rental equipment made the company a contender.

Milton Hardware maintained consistent 10 percent growth in sales through expansions.

Key Takeaway

Starting in 1998, Jeff Paladino has worked to expand his business and its inventory.

expansion that could have sunk the operation. In 2000, Paladino made his first expansion with a 1,500-square-foot acquisition of the store next to his in the mall. In 2003, the business added 2,000 more square feet, and in 2005, Milton Hardware bought out the final space in the mall.

Milton Hardware also expanded its product offerings, introducing a popular line of high-end paint in 2003.

“We discovered after we brought in that new paint line that customers we already had were in need of paint, but they weren’t buying our previous line,” Paladino says.

“That was an eye-opener for more products beyond paint. We could still be doing more for our customers.”

Milton Hardware’s rental department was another expansion that helped the business grow, but Paladino believes he can better supply his customers with a shift in priorities. After first looking into rental in 2005, Paladino eventually added it to the business in 2008. In 2019, Milton Hardware plans to end its rental department and focus on adding to its lumber and building materials business.

“If you can shift resources in a new direction, that’s a smart way to grow,” Paladino says.

“We looked at three things when considering an addition: continuous growth, not big leaps and jumps; measured steps, such as having the right people on staff to handle the growth; and making sure we’re listening to our customers and not adding something they’re not asking for.”

—Jeff Paladino

Future Plans After hiring a manager for lumber and building supplies, Paladino is eager to grow Milton Hardware and Building Supply’s lumber division. He plans to end his rental business to redirect resources to the lumberyard, including bringing in a more diverse inventory of materials.

April 2019 | HARDWARE RETAILING

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Newsmakers

Navigating Changing Marijuana Laws

D

rug policy concerns for businesses are getting more complex throughout the U.S. as states begin enforcing new laws that allow licensed medical marijuana use or both medical and recreational uses.

Attorney Luke Wake from the National Federation of Independent Businesses answered questions from Hardware Retailing to help independent home improvement retailers navigate the changes.

Hardware Retailing (HR): How should retailers handle their business drug policies in states where marijuana is legal?

Luke Wake (LW): With hardware stores, we still say it’s best practice, to the extent it’s permissible by state law, to have a zero-tolerance drug policy due to safety and employee productivity issues. It’s hard to know if an employee is under the influence when coming to work. Workers’ compensation is a major concern for small employers. When an accident happens, their rates go up. Colorado, California and a lot of these jurisdictions that have legalized marijuana still allow employers to have a zero-tolerance policy. If every state did that, things would be easier. But in the last couple years, a number of states have adopted regulations saying you can’t discriminate against someone because they have a medical marijuana license. For that reason, retailers need to seek out counsel from an attorney licensed in their jurisdiction to be sure they’re on solid footing as they put together workplace policies on these issues.

HR: How should business owners prepare for job applicants and employees who have been certified for medical marijuana use?

LW: Keep abreast of any changes that are happening at the state level. Periodically touch base again with the attorney who reviewed your initial company drug policy and say, “Do we need to tweak this based on developments in case law?” Even in states that allow a zero-tolerance drug policy, laws can complicate enforcement of the policy by making it difficult to do drug testing. You really have to be attuned to what state and local laws require.

HR: How can small businesses be ready for possible discrimination accusations if employees are fired due to marijuana use?

LW: It’s important to be consistent and treat similarly situated employees the same.

If you don’t, that’s going to lead to a problem. You’ve got to think carefully. You can have good intentions, but how are people going to interpret them? You want to avoid any inference that you’re doing anything for a discriminatory reason. And it’s all the more complicated in states that have said you can’t discriminate if a person has a medical marijuana license. In those jurisdictions in particular, you’ve got to be certain you’re working with a local attorney to figure out when you can fire an employee. If you’re going to terminate someone, document the legitimate business reasons as thoroughly as possible, especially in the jurisdictions where you’re not allowed to have a zero-tolerance drug policy.

Upcoming Events April 6-9 Home Hardware Market St. Jacobs, Ontario

May 7-9 National Hardware Show® Las Vegas

7-9 NRHA All-Industry Conference Las Vegas

17-20 Do it Best Spring Market Indianapolis

June 13-15 House-Hasson Summer Dealer Market Sevierville, Tennessee

17-19 PRO Group Inc. 2019 Group Merchandising Conference Atlanta

28-30 United Hardware Fall & Winter Buying Market Minneapolis

August 16-18 Florida Hardware Fall Market Orlando, Florida

22-24 Luke Wake, senior staff attorney, works in support of small businesses for the legal advocacy arm of the National Federation of Independent Businesses (NFIB).

The NFIB Small Business Legal Center supports small businesses in state and federal courts. Wake’s focus areas include employment law and regulatory compliance.

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HARDWARE RETAILING | April 2019

Orgill Fall Dealer Market Chicago Find more events online at TheRedT.com/calendar.

To have your event added, contact Kate Klein at kklein@nrha.org.

Need a second opinion?

The brand new NRHA Forum is an online space for retailers to share ideas, ask questions and get feedback from their peers across all wholesale affiliations.

The NRHA Forum is free for independent retailers in North America and covers a wide range of topics, including marketing, merchandising, training, industry news and more. Log in and connect today!

JOIN THE CONVERSATION AT NRHA.ORG/FORUM

Newsmakers UNITED STATES

Orgill, Unilog Announce New E-Commerce Offering

Ace Hardware Corp. Sees Revenue, Same-Store Sales Growth Ace Hardware Corp. saw quarterly revenues of $1.4 billion and record yearly revenues of $5.7 billion in 2018, according to the co-op’s fourth-quarter and full-year report. Same-store sales grew 1.3 percent in the fourth quarter. “Strong new store growth, increased same-store sales and a 43 percent increase in acehardware.com revenues helped us realize a healthy 5.7 percent increase in revenues during the fourth quarter,” says John Venhuizen, president and CEO.

True Value Sees ‘No Limits’ to Growth at Spring Buying Show The True Value 2019 Spring Reunion in February had a bustling show floor, with more than 1,000 vendors and exhibitors displaying their products to retailers looking to enhance their inventories. The 2019 event was the second True Value buying show to be open to all retailers regardless of wholesale affiliation following ACON Investment’s strategic investment in the company in 2018.

Orgill Inc. customers who have yet to establish a strong e-commerce presence can now easily get in the game, thanks to a new offering with Unilog. The two companies will be collaborating on a new promotional e-commerce program, which enables Orgill customers to establish an e-commerce presence quickly and at a low monthly investment. This new offering builds on a partnership the companies announced in August, when Unilog was named Orgill’s preferred e-commerce partner. Orgill will highlight items monthly for retailers to promote online.

Beyond products, True Value University helped retailers connect to training resources and attend educational seminars to learn retail best practices.

AD INDEX

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Ajax Wire Specialty Co. .............................................. 24 www.ajaxwire.com; 855-966-2529

Impress Art................................................................. 17 www.impressart.com; 631-940-9530

Orgill Inc. ............................................................. 76-IBC www.orgill.com; 800-347-2860

Allway Tools ............................................................... 53 www.allwaytools.com; 718-792-3636

IPG.............................................................................. 28 www.itape.com; 888-898-7834

Paladin Data Corporation.......................................... 59 www.paladinpointofsale.com/nrha; 541-803-6060

Apache.......................................................................... 5 www.apache-inc.com; 800-459-8423

Iron & Oak .................................................................. 42 www.ironandoak.com/hrm; 866-281-4509

Pennsylvania Lumbermens Mutual Insurance Co. ... 62 www.plmins.com; 800-752-1895

Apex Tool Group LLC ................................................... 1 www.crescenttool.com; 800-650-8665

Ironclad Performance Wear Corp............................... 19 www.ironclad.com; 972-996-5664

Phifer .......................................................................BC www.phifer.com; 800-841-9473

Bengal......................................................................... 63 www.bengal.com; 225-753-1313

Lighthouse for the Blind............................................. 41 www.rapidfix.com; 800-542-3697

ProBarrow................................................................ 43 www.gnedi.com/hrmpb; 866-425-3442

Big Green Egg ............................................................ 15 www.biggreenegg.com; 800-793-2292

Lumax......................................................................... 22 www.lumax.com; 844-660-6876

Quikrete ................................................................... 31 www.quikrete.com; 404-634-9100

Brave .......................................................................... 42 www.braveproducts.com/hrm; 866-281-4421

Master Magnetics Inc. ............................................... 25 www.magnetsource.com; 888-293-9190

Red Lion Products ................................................... 57 www.redlionproducts.com; 844-250-4981

Do it Best Corp............................................................. 3 www.independentsdoitbest.com; 888-364-8237

Max USA Corp............................................................ 16 www.maxusacorp.com; 800-223-4293

ShurTech Brands ........................................................ 55 www.FrogTape.com; 800-321-1733

Dosko ......................................................................... 43 www.dosko.com/hrm; 866-418-0474

Maxim......................................................................... 43 www.maximmfg.com/hrm; 888-376-0849

Stillwater Designs ...................................................... 54 www.kicker.com; 405-624-8510

Fiskars PRO.................................................................. 9 www.fiskars.com; 866-348-5661

Midwest Fastener ................................................. 12-13 www.fastenerconnection.com; 800-444-7313

Superior Pump............................................................ 29 www.superiorpump.com; 800-495-9278

Flexon ......................................................................... 49 www.flexonhose.com; 800-327-4673

Mi-T-M Corporation .................................................... 44 www.mitm.com; 800-553-9053

Turfco ......................................................................... 43 www.gnedi.com/hrmtr; 866-397-8648

Franmar ...................................................................... 41 www.franmar.com; 800-538-5069

National Hardware Show............................................ 23 www.nationalhardwareshow.com

Warner........................................................................ 56 www.warnertool.com; 800-444-0606

Hardware Retailing Podcast ....................................... 44 www.TheRedT.com/pod

NRHA All-Industry Conference..................................IFC www.nrhaconference.com

Wastequip .................................................................. 26 www.toter.com; 800-424-0422

Hillman Group Inc......................................................... 7 www.hillmangroup.com; 800-800-4900

NRHA Business Services ........................................... 73 www.nrha.org/business-services.com

Woodland ................................................................... 27 www.pinecar.com; 573-346-5555

Howard Products Inc.................................................. 73 www.howardproducts.com; 800-266-9545

NRHA Cost of Doing Business Study ........................ 75 www.nrha.org/codb

*This index is provided for the convenience of our advertisers and readers. The Publisher assumes no liability for errors or omissions.

Hyde Tools Inc............................................................ 11 www.hydetools.com; 800-872-4933

NRHA Forum .............................................................. 71 www.nrha.org/forum

HARDWARE RETAILING | April 2019

CANADA Association Honors Achievements of Industry Leaders The Canadian Hardware & Housewares Manufacturers Association inducted three industry veterans into the Canadian Hardware & Housewares Industry Hall of Fame.

The association honored Terry Davis, past president and CEO of Home Hardware Stores Ltd.; Dennis Nykoliation, retired president of Black & Decker Canada, CanWel Building Materials and GSW Building Products; and Solly Feldman, founder of Accent-Fairchild Group. The Hall of Fame was established in 1984 to recognize the achievements of leaders in Canada’s hardware and housewares industries.

Princess Auto Unveils Expansion Plans for Quebec With 2 Stores Princess Auto has announced plans to enter the Quebec market and has confirmed two stores will open in fall 2019 in the province. The new stores will be located in the cities of Saint-Jerome and Laval. Under the leadership of Marc-Andre Fournier, vice president of operations in Quebec, the company is building a team to support growth in the province. Princess Auto is headquartered in Winnipeg, Manitoba, and sells tools and equipment to trade professionals, home mechanics and other DIY customers. While its roots are in western Canada, nearly half of the company’s 46 stores throughout Canada are located in Ontario.

Lumber Show Attracts Retailers in Calgary The 2019 Western Retail Lumber Association Buying Show drew attendance from retailers throughout the west at Calgary’s BMO Centre. Under association president Liz Kovach, the 2019 show had some changes, including streamlined entertainment. The result saved money for the organization and freed up time for attendees to meet on their own.

For the full story on these briefs, head over to TheRedT.com/0419-news. To read the Canadian briefs, visit hardlines.ca/hardwareretailing. For the latest independent home improvement news, interviews, trends and videos, visit hardwareretailing.com.

We Make Doing Business Easier

“Restore It Don’t Strip It!” • Restor-A-Finish is a unique finish-penetrating formula that restores wood finishes while blending out minor scratches, blemishes, and abrasions • With a simple wipe-on, wipe-off process, most finished wood surfaces that seem to need a complete refinishing job can be restored in a few minutes • Removes white heat rings and water marks, sun fade, oxidation, smoke damage, etc.

The North American Retail Hardware Association has relationships with service providers to save you money on services, including credit card processing, hiring, health insurance and more.

FOR MORE INFORMATION, GO TO NRHA.ORG/BUSINESS-SERVICES

Eliminates white heat rings, water marks, sun fade, oxidation, smoke damage, etc.

COME SEE US MARCH 7-9

Available In: Neutral Maple-Pine Golden Oak Walnut Cherry Mahogany Dark Walnut Dark Oak Ebony Brown

~ Available Through Most Co-Ops and Distributors ~ For Wholesale Pricing Call Howard Products, Inc. 800.266.9545 Or Visit Our Website www.HowardProducts.com

April 2019 | HARDWARE RETAILING

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Last Word

It All Comes Back Around

T

he benefits of recycling are not new to consumers, but your customers may come to you with questions about the recyclability of the products you sell and how certain products are reused.

Many manufacturers use the percentage of recycled materials in their products as a selling point. Be sure your

Aluminum

Paper

Aluminum is one of the most versatile materials for repurposing, given that the material can be manufactured, recycled and used again through multiple cycles. An aluminum can, after being shredded and rolled out into new aluminum sheets, can be made into another can almost indefinitely.

But it’s also used in beauty products like brushes and jewelry.

Recycled paper comes in grades, which determines how many times it has gone through the repurposing cycle and what it can be used for. This grade is determined by the length of the paper fibers, which gets shorter each time the material is processed.

High-quality printing paper might have been recycled once, while newsprint has been recycled multiple times.

Electronics

Plastic

Electronics can be recycled in a variety of ways. Some units might be out of date and just need a bit of love before they can be donated or sold at a discount. For computers that are broken down for their parts, the process includes separating materials that are harmful to the environment (e.g., batteries) from plastics, precious metals and steel.

Plastic is becoming one of the most problematic recyclable materials, with traces of plastic becoming more present in unrelated products with more regularity.

However, No. 1 plastics (like soda bottles) go into the insulation for winter fleece jackets as well as sleeping bags in your outdoor department.

Source: epa.gov

74

team members are knowledgeable about the products you sell that are made with recycled materials. Here are a few uses for recycled materials you may be less familiar with.

To learn more about how you can assist your customers with recycling, see the Recycling 101 Trainer’s Toolbox at nrha.org/trainers-toolbox.

HARDWARE RETAILING | April 2019

How do you measure up to other industry retailers?

Participate in the 2019 Cost of Doing Business Study to determine if your company’s financial performance is on par with industry standards. This study provides metrics on sales, profits, operating expenses and other data from both typical and high-profit retailers.

Time to Evaluate Participation is easy.

Confidential, free and simple, there are several ways to submit your financial data to be included in this year’s study. Not only will participating give you exclusive access to the study, you’ll also get a personalized financial analysis to help you make better business decisions.

“The Cost of Doing Business Study sheds light on opportunities to better your business. We highly recommend it as one of your first steps into any improvement project.”

Lauren Mathews | Connolly’s Do it Best Hardware & Rental FOR MORE INFORMATION, GO TO NRHA.ORG/CODB

Larry Huot La Valley/Middleton Building Supply New Hampshire

“Our business is a relationship business. We try to do the right thing for all of our customers, suppliers and employees.

Orgill radiates these same values in everything they do.”

It’s Our Business Orgill Understands Our Company and Our Customers

Why We Like Working With Orgill: • Strong product selection • Variety of retail programs • A solid understanding of our company

Watch the video to see how Orgill’s services have helped LaValley/Middleton continue to grow!

1-800-347-2860 ext. 5373 • information@orgill.com • www.orgill.com

Why Provide

Screen Repair Services?

Big Box Stores Don’t Offer It Increase Store Traffic Increase Margins Opportunity To Promote Other Store Services