Hardware Retailing October 2023

The Blue Star Drive Concrete Screw

HEADQUARTERS

CONNECTIONS Follow Us Online

1025 East 54th St. Indianapolis, Indiana 317-275-9400

NHPA@YourNHPA.org

YourNHPA.org

OUR MISSION

The North American Hardware and Paint Association (NHPA) helps independent home improvement and paint and decorating retailers, regardless of affiliations, become better and more profitable retailers.

NHPA BOARD OF DIRECTORS

CHAIRMAN OF THE BOARD

Jared Smith, Jared’s Ace Hardware, Bishopville, South Carolina

EXECUTIVE VICE CHAIRMAN

Jackie Sacks, Round Top Mercantile Co., Round Top, Texas

DIRECTORS

Alesia Anderson, Handy Ace Hardware, Tucker, Georgia

Jay Donnelly, Flanagan Paint & Supply, Ellisville, Missouri

Ned Green, Weiders Paint & Hardware, Rochester, New York

Scott Jerousek, Farm and Home Hardware, Wellington, Ohio

Joanne Lawrie, Annapolis Home Hardware Building Centre, Annapolis Royal, Nova Scotia

Ryan Ringer, Gold Beach Lumber Yard Inc., Gold Beach, Oregon

SECRETARY-TREASURER

Bob Cutter, NHPA President and CEO

STATE & REGIONAL ASSOCIATIONS

MIDWEST HARDWARE ASSOCIATION

Jody Kohl, 201 Frontenac Ave., P.O. Box 8033 Stevens Point, WI 54481-8033 800-888-1817; Fax: 715-341-4080

NHPA CANADA

NHPA CANADA

Michael McLarney, +1 416-489-3396, mike@hardlines.ca

330 Bay Street, Suite 1400 Toronto, ON, Canada M5H 2S8

CIRCULATION, SUBSCRIPTION & LIST RENTAL INQUIRIES

CIRCULATION DIRECTOR

Richard Jarrett, 314-432-7511, Fax: 314-432-7665

Expand Your Digital Boundaries

It takes more than a web address on the internet and a few social media posts to build a digital presence and connect with customers online. Next month, Hardware Retailing begins a series on successful strategies for improving your digital presence, focusing on the importance of offering an engaging website.

Hardware Retailing (ISSN0889-2989) is published monthly by the North American Hardware and Paint Association, 1025 East 54th St., Indianapolis, IN 46220. Subscription rates: Hardware Retailing (Payable in advance): U.S. & possessions $50/year. Canada $75/year. All other countries $110/year. Single copy $7. The Annual Report issue can be purchased for $30.

Periodical postage paid at Indianapolis, Indiana, and additional mailing offices.

POSTMASTER: Send address changes to Hardware Retailing P.O. Box 16709, St. Louis, MO 63105-1209.

All editorial contents © 2023 North American Hardware and Paint Association. No editorial may be reproduced without prior permission of the publisher.

REPRINTS: For price quotations, contact the Editorial Department at editorial@YourNHPA.org. Printed in the U.S.

EXECUTIVE STAFF

PRESIDENT & CEO

Bob Cutter

CHIEF OPERATING OFFICER & PUBLISHER

Dan Tratensek

CHIEF FINANCIAL OFFICER & EXECUTIVE VICE PRESIDENT, BUSINESS SERVICES

David Gowan

EXECUTIVE DIRECTOR, ADVANCED RETAIL EDUCATION PROGRAMS

Scott Wright, swright@YourNHPA.org

EXECUTIVE DIRECTOR, INNOVATION & ENGAGEMENT

Whitney Mancuso

COMMUNICATIONS

317-275-9400, editorial@YourNHPA.org

COMMUNICATIONS & CONTENT MANAGER

Melanie Moul, mmoul@YourNHPA.org

SENIOR EDITOR

Lindsey Thompson, lthompson@YourNHPA.org

ASSOCIATE EDITOR

Carly Froderman, cfroderman@YourNHPA.org

RETAIL TRAINING EDITOR

Jess Lee, jtillman@YourNHPA.org

GRAPHIC DESIGNER

Autumn Ricketts

GRAPHIC DESIGNER

Olivia Adam

DIGITAL MEDIA SPECIALIST

Kevin Trehan

PRODUCTION MANAGER

Austin Vance

SALES & PRODUCTION ASSISTANT

Freda Creech

MARKETING MANAGER

Julie Leinwand

SALES

NORTHERN REGIONAL SALES DIRECTOR

Karen Hopkinson khopkinson@YourNHPA.org | 317-275-9430

SOUTHERN REGIONAL SALES DIRECTOR

Faith Zucker fzucker@YourNHPA.org | 317-275-9427

ASSOCIATION PROGRAMS

800-772-4424, NHPA@YourNHPA.org

DIRECTOR OF MEMBER SERVICES & EVENTS

Katie McHone-Jones, kmchone-jones@YourNHPA.org

DIRECTOR OF ORGANIZATIONAL DEVELOPMENT & CONSULTING

Kim Peffley, kpeffley@YourNHPA.org

TRAINING MANAGER & EDITOR

Jesse Carleton, jcarleton@YourNHPA.org

RETAIL ENGAGEMENT SPECIALIST

Renee Changnon, rchangnon@YourNHPA.org

Rowing the Distance

See how three retailers found ways to establish accountability, improve communication and define leadership within their operations to increase overall employee engagement.

28 OPERATIONS

Glean helpful insights from three industry experts who discuss their perspectives on merger and acquisition (M&A) activity and how the industry is seeing movement toward consolidation.

34 RESEARCH

From increased per-project spending to the rise of online retailers to emotional motivations, the Home Improvement Research Institute provides insights into the evolving market landscape and trends in lawn and garden sales.

36 CATEGORY SPOTLIGHT

Space-Savvy Strategies

Learn how to maximize a small selling space, curate your product selection, optimize merchandising and stay up to date with the latest trends in your operation’s lawn and garden department.

Cover photo by Scott Myers | Scott Myers

Photography

Stay Informed

Scan this QR code or visit hardwareretailing.com/october to read these stories and more.

Mission: Engagement

Recent studies show that half of today’s workforce is disengaged, which can cause major issues in an operation. Turn to Page 22 to learn techniques to engage employees, and check out the stories below to see how culture and training are key to employee retention.

Positive Career Results

Meet two retailers who turned their part-time jobs into full-time careers thanks to a positive company culture.

Think Outside the Box

Retailers from outside the home improvement industry share different ways to engage employees.

Mindful Managers

Train managers to be collaborative, receptive and engage with employees to increase retention and improve company culture.

Find More Online OPERATIONS Tackling Innovation

Retailers don’t need a full IT team to find success with innovation. Learn how retailers can implement end-to-end technology solutions without a vast internal team.

CATEGORY Growing Garden Trends

Give guidance to customers exploring low-maintenance lawn and garden solutions.

PODCAST Meet the Young Retailer of the Year Honorees

With a record 11 retailers, this year’s class of Young Retailer of the Year honorees proves the future of the independent channel is in good hands. In this episode, the third in the five-episode series, we’ll meet Austin Diehl and Katie Prus and hear about the ways they want to improve their operations and better serve customers.

Scan

YourNHPA.org/podcast

EDITORIALLY SPEAKING

CONNECTIONS

Send Melanie a Message

mmoul@YourNHPA.org

Melanie Moul

Don’t Be Scared

THERE’S A PHENOMENON that happens every year when the calendar turns to August.

Now, you’re probably saying, “Melanie, it’s October. August is ancient history.” That’s true, but this story starts back in August.

That’s when the air changes—or at least some people think it does. A chill falls over us. Some people bring out chunky sweaters and light pumpkin candles. Others commit early to jack o’lantern decor and ghost string lights.

I’m talking about the phenomenon known as “spooky season.”

While the retail industry has a reputation for merchandising maybe just a little too early for the next big holiday, spooky season is more than just a commercialized holiday. It’s, how the kids say, “a whole vibe.”

Depending on your market, you may have been first to embrace the change in season, creating seasonal endcaps and making room in your lawn and garden department for mums and pumpkins.

Participating in trends—especially those that tie directly into your industry—is good for business. Sure, some customers might be spooked by a pumpkin carving display before summer is officially over, but there will certainly be others who will eagerly add a few more items to their basket. But do you know what’s even spookier than wishing the weather would finally turn or putting out holiday decor a little too early?

Losing highly engaged employees due to burnout.

This month’s cover story starts on Page 22, and it features three retailers who are taking on the burnout bogeyman that is terrorizing the industry. These operators have made investments in their company culture so they protect their most valuable resource: their people.

I encourage you to read these stories and discover the value your peers have found in making these investments.

As an industry, we’re stronger together, and that means you don’t have to take on the bogeyman alone. These retailers worked with the North American Hardware and Paint Association in programs that are developed specifically for the independent home improvement channel. You can find the right option for your business at YourNHPA.org/development.

Now that you have a plan, it’s time to put up your Valentine’s Day displays.

Melanie Moul Communications & Content Manager

“These operators have made investments in their company culture so they can protect their most valuable resource: their people.”

BUILDING Successful Independents

With one of the most robust networks in the country, Hardlines Distribution Alliance is committed to building the success of independent retailers. With trusted distributor and manufacturer partners, HDA was created to help true independents thrive in an ever-changing home improvement market.

POWER IN NUMBERS

• $7 billion in purchasing power allows dealers to remain competitive

• Over 400 manufacturer partners means customers can find the products they’re looking for

• Over 60 distributor members serving all 50 states means dealers can find the right distribution partner

• Members and manufacturers serve over 14 industries from hardware and plumbing to paint and garden

• Thousands of independent retailers nationwide backed by national branding and marketing

Vendor Partners

dant@YourNHPA.org

Dan Tratensek

A Focus On Change

EVER SINCE I WAS A KID , fall has been my favorite season. I’m sure this autumnal attraction likely had to do with the fact that my birthday is in September, I’m nuts for Halloween and fall weather suits me well.

For many of us, the things we liked as kids have a way of changing as we age. I used to love to stay up late. Now, 10 p.m. is past my bedtime. I used to like bologna sandwiches. Now…just no. And don’t get me started on how much I used to love candy corn.

But my affinity for fall is one childhood love that remains to this day. Along with the birthday presents, spooky goings on and crisp weather, another aspect of fall I have come to appreciate as an adult is that it is the time to start planning for the next year. So many people associate making changes with New Year’s Day, but for me the real time to focus on change is when the first frosty morning greets you.

Honestly, New Year’s Day is just too late to make meaningful changes. In the fall, you are doing budgets, making plans and putting earnest thought into how to make improvements in your personal and business life.

So, as the seasons change and we all start putting on our thinking caps and sharpening our pencils to plan for the future, I want to pass along this little tip to make the most out of your strategizing, something I call the 3+3 principle of planning. This principle is rooted in the idea of keeping your planning simple and should allow anyone to come up with an actionable plan for making improvements.

Too many times I see people frozen in their planning because they get what’s referred to as “paralysis through analysis.” They just look at all the factors that could figure into developing a plan and are overwhelmed by the options. To break through this paralysis, I recommend the 3+3 method.

Here’s what I mean. For the sake of this column, let’s focus on business improvement planning.

The first step in the 3+3 plan is to identify what areas of your business you want to improve on. Let’s say you want to focus on driving bottom line profitability.

Now, pick three things you and your team could do that would effectively impact your bottom line. Maybe it’s increasing transaction size, getting a few extra basis points on margin and shaving a few off payroll expense.

Now, take each of these three goals and write down three things you and the team can do to impact each of them (3+3). Then work this plan. Set up checkpoints throughout the year to see how you’re doing and adjust as necessary.

While this sounds super simple to do, you might be surprised (or maybe not) at how few retailers who I talk to go into the New Year with any kind of plan like this.

The 3+3 plan is easy because it isn’t overcomplicated, it is easily explained to the rest of your team and is simple to monitor. It is also not overwhelming and can be applied to big or small projects.

Obviously, the more comfortable you become with planning the more complex you can make your processes. But for now, starting with something easy like the 3+3 plan is infinitely better than no plan at all, and keeping it simple takes at least a little bit of the scary out of the fall season.

Dan M. Tratensek Chief Operating Officer & Publisher

“The 3+3 plan is easy because it isn’t overcomplicated, it is easily explained to the rest of your team and is simple to monitor.”

RESOURCES Customize Your Training

Learn more about NHPA’s custom training program options to strengthen your team and operation at YourNHPA.org/development

TRAINING

Transform Your Selling Culture

Get started with a free consultation. Schedule an appointment with NHPA’s Kim Peffley at YourNHPA.org/development

DOES YOUR OPERATION PRIORITIZE a culture of selling? A culture of selling is one where everyone at the business is actively involved in increasing sales and working toward the same goals. The North American Hardware and Paint Association (NHPA) now offers custom team training on the topic to help retailers grow their sales.

Team culture of selling training offers the tools to build employee confidence, measure progress for accountability and celebrate wins.

5 Training Objectives:

• Establishing your goals

• Defining your numbers

• Creating a culture of selling

• Leadership lessons to implement and drive sales

• Actionable ways to improve the average ticket

To help raise his operation’s average ticket, Peter Jackson, owner of Miller Industrial in Elk Grove Village, Illinois, worked with NHPA’s Kim Peffley, director of organizational development and consulting.

“Kim changed my point of view,” he says. “I used to think that in a macro environment—when things like inflation and foot traffic trends create headwinds—there is nothing we can do. But that is a self-limiting belief. There is always something we can take ownership of and create additional action for improvement.”

RESEARCH

2023

Kim Peffley Director of Organizational Development & Consulting, NHPA

Meet the Expert

Nearly 30 years ago, Kim Peffley began her career working at her family-owned True Value, and then served as general manager for a seven-store Ace chain. As a certified Everything DiSC® Facilitator and Consultant, Peffley uses her industry-specific retail management and leadership experience to offer professional training and support to retailers.

Learn more about NHPA’s organizational development training, and how it can boost your employee engagement, on Page 22

Cost of Doing Business Study Now Available

To purchase the complete 2023 study, visit YourNHPA.org/codb

NHPA’S 2023 Cost of Doing Business Study is now available. For more than 100 years, independent home improvement retailers have trusted this annual benchmarking tool to understand how their businesses compare financially to typical and high-profit operations and strategize for the future.

The study offers a wealth of data to help retailers make informed decisions for their operations—with

operational and financial data collected from more than 1,000 independent hardware stores, home centers, lumberyards and paint and decorating outlets. The complete study is now available for purchase. Retailers who participated in the study will receive a free digital copy along with a personalized financial analysis. Visit YourNHPA.org/codb to order your copy today.

ASSOCIATION

Make the Most of Your NHPA Membership

Learn more about what the association can do for you at YourNHPA.org/membership

Explore NHPA’s Business Services

Learn more about NHPA’s business service partners at YourNHPA.org/business-services

NHPA SUPPORTS independent home improvement retailers through its partnerships with business service organizations. Learn more about the available services below.

SBA Small Business Loans

Whether you’re looking to build, buy or expand your business, Live Oak Bank offers small business loans to independent retailers.

Retail Marketplace

The NHPA Retail Marketplace connects buyers and sellers of home improvement operations and provides retailers with a cost-effective solution to advertise their locations for sale. The program also includes valuation services, SBA lending and job listings.

Health Insurance

The NHPA Health Insurance Program is designed for independent home improvement retailers and offers great benefits with low group rates and the flexibility to choose your plan design.

Workers’ Compensation and Liability Insurance

American Hardware & Lumber Insurance (AHLI) provides risk management and insurance services and education to independent home improvement retailers.

Credit Card Processing and Payment Services

Clearent provides payment solutions with low credit card processing fees and payment service technology, including mobile, wireless and e-commerce options.

TRAINING

An Easy Solution to Forklift Training

To get started with training, visit the NHPA Training Store at YourNHPA.org/training-store

FOR MANY home improvement retailers, it is important to have employees who can safely operate a forklift. Getting your key employees the proper certification should be the easiest part of putting together your training curriculum with the forklift training program available through NHPA. The program is just one of many workplace safety and HR compliance training courses NHPA makes available to retailers, including sexual harassment prevention training, workplace safety, first aid basics and back safety. The courses are available from NHPA through its partnership with JJ Keller & Associates, Inc., a trusted

Available Courses

• Back Safety

Diversity and Discrimination

Fire Extinguisher Use

FMLA for Supervisors

• Forklift Training

name in compliance training. The courses can help you stay in compliance with the Occupational Safety and Health Administration (OSHA) and other federal regulations. Retailers can purchase courses a la carte in NHPA’s Training Store, and several courses are available in both English and Spanish. While these courses will help meet regulations, retailers will still need to check with their local authorities for any additional requirements they must meet for full compliance. See the full list of courses with descriptions and prices at YourNHPA.org/training-store and get started with training today.

How to Prepare and Respond to an Active Shooter Threat

Sexual Harassment Prevention Training

• Workplace Bullying and Violence

• Workplace Safety Basics

• CDL Driver Training

Non-CDL Defensive Driving

Hot Work Safety

Lockout/Tagout Training

• Substance Abuse

OPERATIONS

Buying Habits Unveiled

Dive further into consumer spending motivations with seven more statistics at hardwareretailing.com/consumer-spend

TRENDS

State of the CUSTOMER

8 STATS ABOUT CURRENT CUSTOMER SHOPPING HABITS

AS YOU SHAPE YOUR merchandising, product procurement and operations strategies, knowing customers’ purchasing tendencies will set you up for success. Dig into eight stats from the How to Sell Direct in the Age of the Conflicted Shopper Report from logistics company Asendia that reveal the buying habits and consumer motivations driving current retail sales.

Spend Is Down

69% of respondents said they are cutting back on their spending.

TO BETTER MANAGE DISCRETIONARY SPENDING:

34% cut back on the total volume purchased.

33% shop with online retailers who offer free delivery.

31% spend more time searching for deals.

Factors That Matter

THE MAIN FACTORS CONSUMERS CONSIDER WHEN SHOPPING IN 2023:

55%

PRICE

54% VALUE FOR MONEY

50% QUALITY

43% COST OF DELIVERY

PRODUCTS Retailer Recommendations

Send a note to editorial@YourNHPA.org about products you can’t keep on the shelf. Include your name, your business name and reasons why you love it.

Long-Lasting Repairs and More

Discover the reliability of Durham’s Rock Hard Water Putty®—a favored option for carpenters, woodworkers, homeowners and DIY enthusiasts seeking long-lasting repairs. Adding water transforms the powder formula into a nonflammable, nonshrinking putty that dries Rock Hard®. Experience hassle-free application and lasting results without any unpleasant odors. Trust in Durham’s Water Putty for exceptional durability and convenience.

DURHAM’S ROCK HARD WATER PUTTY

durhamswaterputty.com

Utility Tool

The Open It! is a 4-in-1 utility tool with the ability to cut, slice, snip and unscrew, helping to open anything with speed and efficiency. Fitted with angled blades, the Open It! can cut through tough plastic, zip ties, cardboard, flower stems, thin wires and more. Safely hidden in the Open It! handle is a retractable razor blade to slice through tightly taped packages and stubborn bubble and plastic wrap, as well as a pull-out screwdriver with both flat and Phillips heads. Made for inside and outside use, the Open It! eliminates the need for multiple single-use products.

ZIBRA | enjoyzibra.com

Compact Hedge Trimmer

The Milwaukee® M12 FUEL™ 8-Inch Hedge Trimmer features an ergonomic handle and lightweight design suitable for one-handed use. The M12 FUEL rechargeable batteries provide enough power to cut up to ½-inch branches and the 8-inch blade features a ⅜-inch blade gap to allow for more cutting capacity.

MILWAUKEE TOOL

milwaukeetool.com or 800-729-3878

Tabletop Compost Bin

A little larger than a gallon of milk, Black+Decker’s Tabletop Compost Bins hold food scraps until they can be transferred to an outdoor compost area. The bins are molded from a single piece of rust-resistant stainless steel, making them easy to clean with soap and water. They include a year’s supply of activated charcoal filters to trap odors from the food scraps.

BLACK+DECKER | blackanddecker.com

Interior Stain

Old Masters Wiping Stain is a cutting edge and robust interior oil-based stain. Its thick, rich formula allows for easy application and superior color control, necessary to achieve a rich and uniform color in a single application. Wiping Stain can be used on a variety of finishes, including unfinished wood, previously finished surfaces, fiberglass, metal and composition surfaces, and is recommended for woods such as pine, birch, maple, poplar and cherry.

OLD MASTERS

myoldmasters.com

“The American Walnut color from Old Masters is our bestseller. Gel stain is highly pigmented and ideal for difficult-to-stain woods. We can’t keep this one on the shelf!”

—Josh McKenzie, Adelaide’s Paint & Decor

Charcuterie Board

Large Acacia Cheese Boards from Lynn & Liana Designs are one of a kind, hand-poured with plant-based resin and meticulously crafted individual works of art—no two items are the same. These pieces blend gorgeous Acacia hardwood and an eco-friendly epoxy to create a one-of-a-kind piece of serveware. These cheese boards are perfect for serving a group of four to six people.

LYNN & LIANA DESIGNS | lynnliana.com

Variable Temperature Heat Gun

Makita’s 18V LXT® Variable Temperature Heat Gun is a cordless solution for anyone who needs a portable heat source. It offers over 21 minutes of continuous runtime with an 18V LXT® 6.0Ah battery and has a variable temperature of up to 1,022 degrees F and an airflow of 4.2 to 7.1 CFM. It includes a lock-on or lock-off trigger switch, an LED light and a rubberized soft grip. It is ideal for applying vehicle wraps and tinting, stripping lacquer, paint and varnish, thawing frozen pipes, loosening tile and putty, re-melting adhesive, removing stickers, waxing and de-waxing, bending plastic pipes or sheets and more.

MAKITA USA

makitatools.com or 800-462-5482

Paintbrush

Purdy® Pro-Extra® Cub™ paintbrushes are ideal for high production with latex paints and primers and VOC-compliant coatings or oil paints. A special blend of three different filaments withstands abrasive surfaces, is easy to clean and leaves a smooth finish. They are handcrafted in the U.S. PURDY | purdy.com or 800-547-0780

Fast Curing Acrylic Adhesive

MasterEmaco ADH 610 is a two-component styrene-free, acrylic resin used for anchoring and dowel applications in uncracked concrete using threaded rod and rebar. It features high bond strengths, a wide surface temperature range and is moisture resistant. It will cure in 30 minutes at 77 degrees F in dry concrete and can be used for short-term tensile anchoring and shear loading conditions in accordance with allowable stress design.

MASTER® BUILDERS SOLUTIONS master-builders-solutions.com

NEW PRODUCTS

PRODUCTS See More Products

To stay informed about new innovations and trends, subscribe to the twice monthly Hot Products newsletter at hardwareretailing.com/subscribe

Leather Care

Leather Honey restores and protects all types and colors of leather. The nontoxic, water-repelling formula offers six months of protection. The easy-to-apply formula is natural, safe, made of high-quality ingredients and makes your leather last longer. The Leather Care Kit contains an 8-ounce leather conditioner, 8-ounce leather cleaner and two lint-free application cloths.

LEATHER HONEY | leatherhoney.com

TRAP BEST

Take mice down. WITH

Sure, rodents have been around for millions of years - but we’ve studied their habits.

Our Snap-E® Mousetrap is engineered to be the most effective snap trap on the market, and whether you’re dealing with one mouse or many, our Pro-Ketch® and Ketch-All® Multiple Catch Mousetraps are always set and ready to protect. There is no escape.

 Snap-E®

Ketch-All® 

 Pro-Ketch® Trap Best, with Kness Kness.com/Mousetraps

Bee House

Better Gardens Bee Houses made by Nature’s Way attract mason, leafcutter and solitary bees, which pollinate up to 20 times more than honeybees. Each house measures 8 by 6 by 3 ½ inches and includes an easy-mount hanger.

NATURE’S WAY

natureswaybirds.com or 440-554-6166

At Mi-T-M, we pride ourselves on building mighty, damn good equipment. It’s what sets us apart from our competition. When you purchase equipment with the Mi-T-M name on it, you are buying dependable equipment that is designed, built, and tested by good people. Mighty. Damn. Good.

Motion Sensing LED Downlight

The Energy Star-Certified Leviton LED Downlight With Motion Sensor automatically switches on its built-in LED light when it senses motion and switches the light off in the user’s choice of either 30 seconds or three minutes after no motion is detected. For added energy savings, the ambient light override—nighttime mode—prevents the sensor from switching the light on when there is ample natural sunlight in the space. Ideal for use in indoor and covered outdoor areas where there is no wall switch or pull-chain overhead lighting, the device creates hands-free convenience and added safety for those entering or leaving a space.

LEVITON | leviton.com

Portable Power Station

The Rallye 600 is a portable power station that provides uninterrupted power for as long as you need it. The Rallye’s innovative design allows users to swap batteries without losing power and customize their kits to power a wide variety of devices at once. It has solar charging capabilities, an LCD interface and more.

RUNHOOD POWER | runhoodpower.com

OPERATIONS Hire for Culture

Discover how to develop a culturally minded hiring process to find the best employees at hardwareretailing.com/crafting-job-descriptions

How Engaging Employees Increases Your Bottom Line All Hands On Deck

BY JESS LEE

Imagine you’re 13 years old at summer camp, eagerly waiting on the dock in front of a line of row boats. You and five other campers scramble into the first boat. You’re sitting up front, ready to lead the way to the other side of the lake. As you go along your journey, you realize

it’s becoming difficult to steer the boat in one direction. You peer over your shoulder and discover only one other camper is helping you paddle. Three campers in the middle are recording TikToks and the one in the back is actively rowing backward and complaining about how hard the work is.

Lee and Rob LeFleur (far right), the owners of Mike’s Hardware & Supply, have created a tight-knit family atmosphere and a culture of accountability.

Mike’s Hardware & Supply photos by Scott Myers

| Scott Myers Photography

“Aren't you going to help?” you ask the three in the middle. They shrug and each start rowing an oar, but in opposite directions, making no difference in your progress.

If this scenario reminds you of people in your business, you’re not alone. According to Gallup’s Annual Employee Engagement in the U.S. Report, only 34% of U.S. employees are engaged with their jobs. All other employees are either not engaged or actively disengaged.

Think back to rowing the boat at summer camp. You and another camper are rowing the boat forward across the lake to get to the other side. The two of you are engaged and working towards the goal.

The three people on their phones and not rowing in the same direction are not engaged—they are just there to say they were there. These three in the middle represent 52% of the U.S. workforce.

Finally, the person in the back rowing in the wrong direction and being more of a hindrance than a help is actively disengaged. They aren’t moving towards the goal but are instead actively moving away from it, bringing the whole team down. Actively disengaged employees make up the remaining 17% of the U.S. workforce.

Comparing today’s employee engagement to peak levels, which reached 37% in 2020, current engagement is down three points with projected engagement numbers to continue in a downward trend, according to the Gallup report.

Hardware Retailing talked to three retailers who are working to change the tide in their operations. Apply their strategies to your own operation to keep your boat from sinking and improve accountability, increase communication and promote positive employee engagement.

Building Accountability

Centrally located in metro New Orleans, Louisiana, Mike’s Hardware & Supply was built from the ground up in 1981. Current owners and brothers Lee and Rob LaFleur purchased the business from their parents in 2012.

“We grew up in the store, living in the apartment upstairs for eight years while our parents got the business up and running,” Lee says. “Rob and I began considering taking over the business after working at the store most of our adult lives and purchased it in 2012. We own and operate the business, but our parents still own the building.”

WORKING HARD

Mike’s Hardware & Supply employees are empowered to take ownership of their roles.

OPERATIONS

Retain Your Employees

Purchase the Employee Retention Toolkit to learn about engagement opportunities, stay interviews and more at YourNHPA.org/employee-retention

Lee reached out to the North American Hardware and Paint Association (NHPA) to contribute information to the annual Cost of Doing Business Study and discovered the association’s broad spectrum of organizational development programs. Rob reached out to Kim Peffley, NHPA’s director organizational development and consulting, to learn more.

“The intention wasn’t to go looking for development programs, but after talking to Kim, we decided to bring her to our store to have an outside voice that could see things from a different perspective and help us grow even more,” Rob says.

After a few phone calls with Peffley, the brothers knew they wanted to create more structure and a sense of accountability for their employees, along with improving workflow and best practices.

The brothers chose TeamBuilder, a three-month program designed to strengthen teams, define company values and create best practices to fit the company’s goals.

“We want our staff to be happy and comfortable with their positions in the store. To do that, we started by creating an org chart to show how the business operated, share who reported to whom and define the tasks and goals for each position,” Lee says. “Letting staff members know we’ve invested in resources to keep everyone accountable has made them feel more involved with the business.”

The LaFleurs also worked with Peffley to implement a web-based workplace task management tool that allowed management and staff to map out the necessary tasks and projects to be assigned to the appropriate staff on a daily, weekly and monthly basis.

“There are always those who may be reluctant to follow through with the change, and since we have partnered with NHPA and Kim, we have seen less of that reluctance and more buy-in from our staff,” Rob says. “Our crew is enjoying the changes, and we have seen improvements across the board.”

Clear Cut Communication

Another key component for encouraging higher levels of employee engagement is effective communication.

Established over a century ago, Hirshfield’s has been supplying communities in Minnesota and the surrounding states with paint, sundries, window treatments and wallcoverings. Decor division manager Shannon Scarrella says the operation’s communications strategy is well established, but it had become stale and ineffective in several crucial areas.

Hirshfield’s managers and sales directors began revamping their internal communication system by taking a communication test to explore the ways staff receive and share information among different personality types.

Scarrella, along with Corey Sellman, paint and sundries department manager, took communication and personality tests before they met Peffley at an ALLPRO event.

“We both knew we needed to hire Kim after seeing her presentation,” Sellman says.

Following conversations with Hirshfield's leadership team, Peffley customized an organizational development program with a key focus on communication.

The main goal of the refreshed communication strategy was to share with employees the “why” of the business. Explaining the why means elaborating on the reasons a change aligns with the company’s core values or contributes to the operation’s culture. Scarrella and Sellman began opening up additional lines of communication and encouraging conversations not only between department heads and managers, but also managers and employees.

“When we revamped and reintroduced our core values, we made sure to explain why the company made these changes to better align with goals and culture,” Scarrella says. “Explaining the ‘why’ of each action encourages inclusion and gives employees a sense of empowerment and responsibility. We have seen a positive impact from this approach.”

Fostering a sense of control and ownership in employees and being clear on upcoming changes encourages engagement.

“When employees are involved in decisions and have access to information, they feel important to the business,” Sellman says.

With a focus on improving communication, Hirshfield’s employees have taken personality assessments.

Develop Your Team

The North American Hardware and Paint Association (NHPA) offers a variety of organizational development programs to help grow your business, create engaged teams and increase your bottom line. Learn about each program from Kim Peffley, director of organizational development and consulting for NHPA, and why she loves to help businesses through each step of each program.

TeamBuilder

“TeamBuilder helps you discover how to get your staff working more cohesively as a team and set processes in motion to help maximize the potential of your staff and improve your company culture. In a three-phase process, we get to know your team, evaluate your structure and offer support based on the information we gain during our meetings, including an on-site two-day visit. Together we create a plan to help you grow your business and unite and focus your team.”

Everything DiSC®

“DiSC assessments provide team members with personalized insights on themselves and others to improve self-awareness and awareness of the communication styles of others. The skills I learned through my DiSC assessment are the most powerful tools in my leadership toolbox. I work directly with teams sharing this tool to help them improve communication, productivity and overall effectiveness. Leaders can also use this tool to coach their teams more efficiently and reduce conflict.”

Vision Process

“Vision Process is a yearlong journey focused on strengthening your team, defining company values and building processes and best practices that fit your company’s goals. Our goal is to help your business experience a shift in culture, productivity and profit by helping you streamline operations, open lines of communication, implement best practices and develop your entire team to offer the best possible customer experience.”

Consulting

“Consulting sessions are a helpful tool to bounce ideas off someone else, ask for feedback, get help with accountability, troubleshoot and connect with others within the industry. Topics include owner support, manager mentoring, operational support, employee engagement, hiring tips, improved retention, conflict resolution, development planning and more.”

TIME FOR CHANGE

system where everyone could check and verify tasks were completed. The program aligned with their goal to develop leadership skills in their current employees and encourage a sense of ownership within the staff.

The team at Bill’s True Value started their Vision Process journey by taking the Everything DiSC® assessments, which help define different communication types and the ways each type shares and receives information.

“DiSC was eye opening. I could see how I would explain something one way and another employee would interpret it a different way,” Sean says. “With the results from DiSC, we were able to communicate more efficiently with one another to make sure we were all on the same page when it comes to moving the business forward.”

In order to create a solid communication path, the Ploskinas worked with Peffley to introduce a web-based teamwork project management software. This system simplified the process of creating daily checklists, goal tracking and sharing sales figures, and it allowed employees to easily show progress on tasks.

Once the program was in place and all employees were trained on how to complete their tasks, the Ploskinas moved on to improving key performance metrics.

Empowering Employees

Sean and Allison Ploskina, current owners of Bill’s True Value in Arlington, Virginia, came into the business a bit unexpectedly. Sean’s father, the original owner of Bill’s True Value, died at the beginning of 2021, transitioning store ownership to Sean and his wife Allison.

“After my father passed away and we took over the store, we were a bit overwhelmed with everything,” Sean says. “It was a whole new industry for us. I come from fire and rescue and Allison comes from pharmaceutical sales. There was a huge learning curve for both of us.”

There was another major challenge the Ploskinas faced when taking ownership of Bill’s True Value—the couple lived over four hours away.

“I was having trouble figuring out the best way to manage our team remotely. I’m not in the store every day, so it was hard for us to track employee accountability on a daily basis,” Sean says. “So the questions became, ‘How do we hold employees accountable?’ and ‘How do we empower them but also make sure tasks are completed and customers’ needs are met?’”

In 2022, the Ploskinas attended an employee engagement presentation from Peffley at the Fall True Value Reunion. Following the presentation and a discussion with Peffley, the couple signed up for Vision Process.

Vision Process is a yearlong program designed to strengthen teams, define core values and create best practices to fit each business’s unique goals. Because the Ploskinas lived remotely, there was an added goal of creating a digital accountability

“We were considering alternative options for effective management of the store because we needed to drive overall growth,” Sean says. “My father had never been one to delegate, so when he passed, many day-to-day operations had to evolve to make sure the company remained profitable.”

The couple began assigning roles to various employees to make sure the store would run smoothly.

“Since then, employees are seeing our key metrics improve and the number of customers increase because they have become more involved with the business and can keep the store moving forward,” Sean says. “They are empowered.”

Encouraging empowerment also improved the overall operations of the business.

“Because we live over four hours away, we rely on the manager and shift supervisors to be in constant communication with us at all times,” Allison says. “They can delegate necessary tasks and projects, and the team is empowered to take charge in a specific section of the store and make it their own.”

Letting employees know they have the support of the leadership and the flexibility to take ownership has helped the team at Bill’s True Value create a better work environment for themselves and a better shopping experience for customers. The Ploskinas offer bonuses to all employees when they increase sales or receive five-star reviews. If a review lists specific employees, they receive an additional bonus, encouraging employees to remain engaged.

“You can see it in our bottom line, our customer feedback and increased ticket sales,” Sean says. “Employees can see it too and can be proud of the work they have done to make the store a profitable and engaging place to work.”

Allison Ploskina (left) and Sean Ploskina (middle), owners of Bill’s True Value, took part in NHPA’s Vision Process program to improve communications between employees and develop their leadership skills.

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OPERATIONS Selling to an Outside Buyer

Receive an up-close look at the process of selling a business and discover best practices for navigating an outside sale at hardwareretailing.com/outside-buyer

OPERATIONS

LANDSCAPES

3 PERSPECTIVES ON CONSOLIDATION IN THE INDEPENDENT CHANNEL

BY CARLY FRODERMAN

In recent years, independent operators have expanded their businesses by way of acquisition, due to a number of factors, leading to consolidation in the industry. To gain insight on consolidation trends, Hardware Retailing consulted an expert in home improvement business transition and two retailers who have been at the forefront of mergers and acquisitions in their own operations.

JIM MALLORY

founded Mallory Paint Store in 2006, opening its first location in Woodinville, Washington.

The operation has since grown to include 27 locations in Washington and Idaho, and Mallory’s next expansion goal is to reach 36 stores by 2026.

GARY PITTSFORD

is the partner and chief valuation officer of Creative Planning Business Services and has been guiding retailers through the succession planning process and consulting on acquisitions and sales for more than 40 years.

CHRIS MILLER

started in the home improvement industry at the age of 15. He established Nation’s Best Holdings in January 2019, which has since grown to 51 stores in 15 states.

Hardware Retailing (HR): Within the industry, we’re seeing a lot of consolidation and merger and acquisition (M&A) activity. What is your perspective on this trend?

Jim Mallory (JM): I think large operations will continue to grow, using their significant cash flow to acquire more stores and improve operations at every location, which will lead to fewer independent retailers competing against each other because there will be fewer in the market.

The majority of independent home improvement retailers are between 60 and 80 years old and have done exceptionally well over the last couple of years. Many of our acquisitions come from owners wanting to retire who don’t have another option for their business. These owners’ children are growing up, seeing how hard everybody’s working and then going to school to pursue other interests. Sometimes they return to the business after working out in the world, but not always.

Gary Pittsford (GP): Consolidation is occurring at a rate unlike any other over the last 30 years. I estimate about 50% to 60% of independent home improvement operations are acquired by industry buyers, a stat that has risen over time and drastically in the past five years.

I attribute the rise in industry acquisitions to retailers who don’t have family or staff who are prepared to take over their business. In many cases, retailers don’t create a succession plan in enough time to prepare for retirement, and selling to an independent home improvement retail buyer is a more immediate solution.

Chris Miller (CM): There are still over 12,000 independently owned hardware stores and lumberyards in America, and I only see the consolidation of our industry continuing at an even faster pace over the next few years. Through acquisitions, we find expert associates in many different fields, and we use that experience and knowledge to improve the company. I still believe our model of keeping local brands intact and focusing on the development of our newly acquired associates is the most sustainable model out there.

HR: What changes have you noticed in the M&A market in recent years?

JM: We haven’t noticed much of a change since we began acquiring in 2008 and have kept a consistent acquisition strategy. We look for a healthy company culture, a strong profit margin and a similar product mix to what we carry in our other locations.

GP: Looking back 20 or 30 years ago, there weren’t a lot of buyers, and there definitely weren’t as many as there are now. It also wasn’t as common for an owner to have multiple stores. The technology available today makes it a lot easier to run multiple locations, and having more

stores allows operators to create more efficiencies as the business functions on a larger scale.

CM: I think acquisition activity has subsided since 2021 due to buyers being more cautious in the face of economic uncertainty. Lumber deflation and the pandemic have also made it difficult to properly value businesses.

Our acquisition strategy has stayed fairly consistent since our inception in 2019. We still want to partner with best-in-class hardware stores and lumberyards that have long-standing roots in their respective communities and are already the dominant player in their geographic regions. Having the right management in place before the acquisition is important in our decision-making process. We want “business as usual” after a closing, and placing new management in stores causes disruption, or at least the perception of disruption. I would advise anyone thinking of selling to concentrate on putting the right people in the right places for at least a full year before seeking a buyer.

HR: What are some other trends you think will be prevalent in the future because of the consolidation happening now?

JM: The prevalence of consolidation in the industry will lead to multistore operations with better pricing as they take advantage of buying opportunities more readily because they can shift inventory between locations if needed. This sets up the independent retailer to become more relevant and compete with big-box stores and even grow their contractor customer base.

Continued on Page 32

Source: 2022 Business Owner Perspectives Study, MassMutual

46%

of small business owners plan to retire within the next decade

OPERATIONS The Next Chapters

Explore three business transition strategies for your operation at hardwareretailing.com/business-transition-strategies

HARNESS EFFECTIVE

OPERATIONAL TOOLS FOR BUYERS AND SELLERS

Your association has the tools, programs and experts to help you develop your business growth or to prepare your business to pass on to its next owner. Reach out to nhpa@YourNHPA.org to learn more about any of these tools and start the conversation about your future today.

TO IMPROVE COMPANY CULTURE

Organizational Development & Consulting Services

NHPA offers multiple initiatives to improve company culture including Vision Process, TeamBuilder and Everything DiSC®, in addition to consulting and mentoring services. Visit YourNPA.org/development to find the right fit for your business.

TO BUILD BETTER LEADERS Retail

Management Certification Program

This college-level course strengthens the management capabilities of owners and high-potential employees and provides actionable knowledge to make a difference in your business immediately. Visit YourNHPA.org/rmcp to learn more.

TO BENCHMARK YOUR BUSINESS Cost of Doing Business Study

This annual industry resource aggregates key operational metrics from independent home improvement operations to help retailers increase their profits and strategize for the future. Visit YourNHPA.org/codb to purchase the 2023 study.

TO BUY OR SELL A BUSINESS NHPA Retail Marketplace

This industry-specific platform provides operators with a cost-effective way to advertise their businesses for sale, their interest in buying or open job positions. With valuation and financing services also available, this comprehensive service can put you on the path to growth. Visit YourNHPA.org/marketplace for more information.

PODCAST All in the Family

Listen to Gordon’s Ace Hardware’s business transition story on Episode 85 of NHPA’s Taking Care of Business podcast at YourNHPA.org/podcast

RALLYING SUPPORT

Where to Find Business Transition Advice

Continued from Page 29

GP: To avoid competing against independent chains that may have better advertising and pricing, small business operators are acquiring stores in their markets when possible, leading to even more consolidation. Consolidation leads to shared technology, best practices, knowledge and more between an increased number of stores. It also often leads to more cash flow, which companies can reinvest in their business to further improve it. As more stores reach higher standards of operation, the industry becomes better as a whole.

CM: I think consolidation will create more financially powerful companies, and along with that, an increased focus on technology. With the big-boxes being the forerunners in the technology trend, we are forced to make significant investments in our technology platforms and offerings to compete and meet our customers’ needs.

HR: What is one thing you wish all retailers knew about the business transition or acquisition process?

JM: Acquisitions are not personal, they’re business. I think the first thing retailers have to understand is their business is usually not worth what they think it is. It’s hard when it’s your blood, sweat and tears going into an operation, but when you start looking at profit and assets, you can see what it’s really worth, and the strength of their crew.

GP: Retailers need to have a succession plan in place as early as possible, not just six months before they want to sell. Having some sort of succession plan in place early, like upon acquisition, and reevaluating every five years or so will set their business up for success if something unexpected happens.

CM: The acquisition process can be stressful and full of emotion. It is critical that you partner with the right business that truly cares about your people. From the owners to the cashiers, if we all are aligned on the philosophy of always doing the right thing, it will drastically reduce that stress and emotion knowing the business and its employees will always come first.

Financial and business planning institutes and associations

Wholesalers and co-ops

The North American Hardware and Paint Association

OPERATION Take a Closer Look

Discover more insights from the Home Improvement Research Institute and dive deep into outdoor living trends at hardwareretailing.com/outdoor-living-purchases

RESEARCH

SHOPPING PATTERNS EVOLVING

6 TRENDS IN LAWN AND GARDEN PRODUCT SALES

Lawn and garden care shows no sign of slowing down as a popular hobby, and it is also a crucial part of home maintenance. As we head into 2024, consider these six trends among retail sales and the customer base for lawn and garden products, according to data from the Home Improvement Research Institute (HIRI).

ABOUT DAVE

Dave King joined the Home Improvement Research Institute (HIRI) as executive director in 2022. King has spent the past 25 years in the strategy, research and advanced analytics space. The last 10 years he has focused solely on the home improvement industry. HIRI’s insights are hyper-focused on the contractor and homeowner trends most impactful to the home improvement industry.

Per Project Spend Is Trending Up

Based on findings from HIRI’s 2022 Retail Selector Study, the median spend for just lawn and garden products was $120 during a single-purchase occasion.

More recent data from HIRI’s Quarterly Home Improvement Project Activity Tracker shows the median spend on lawn and garden in Q2 2023 was $300 with planned spend increasing to $450 for Q3 2023. Actual spend data will be released in November 2023 in the Q3 update of this HIRI study.

Online Retailers Are Stealing Market Share

Home centers held 72% of the lawn and garden market share in 2014 compared to 63% in 2022. Exclusively online retailers account for a portion of this shift, taking 11% of the market share in 2022, compared to the 7% they held less than a decade earlier in 2014. Warehouse clubs have taken an additional 3% of the market share as well.

Customers Are Hitting More Stores

The percentage of customers who shop at two or more places for lawn and garden products has risen since 2014 from 22% to 36%. In 2022, only 64% of customers were making all of their purchases for a given project from one retailer. A desire for wider product selection is the top reason for cross-retailer shopping.

Product Variety Drives Retailer Selection

In 2014, fewer than 1 in 10 customers cared most about the product selection when choosing their retailer. Now, 25% customers make retailer selections based on product selection factors. The reslicing of the market share pie since 2018 has largely been a result of customers seeking variety in product options over previous purchase preferences such as familiarity, convenience and price.

Emotional Over Practical Motivates Buyers

According to findings in HIRI’s Product Decision Study , psychological benefits are factors when homeowners decide to do gardening and landscaping. In 2021, top motivations included the satisfaction from a job well done, enjoyment of working on the house, wanting to update the house’s look and even a bit of social pressure to “keep up with the Joneses.”

Customers Skew Older

Q2 2023 data from HIRI’s Quarterly Home Improvement Project Activity Tracker shows older homeowners completed more projects than younger homeowners, and those with a household income of $100,000 to $159,000 completed more projects than other demographics. HIRI’s Product Decision Study corroborates that 2 in 3 homeowners are 55 years and older and project doers are more likely to plan to stay in the home forever (48% vs. 40% for any project).

median spend on only lawn and garden products during a single purchase

Source: 2022 Retail Selector Study, Home Improvement Research Institute

Explore Further

For more insights on homeowner behaviors driving the future of home improvement product sales, review the research and resources available at HIRI.org, including upcoming updated reports from both the Product Decision Study and the Quarterly Home Improvement Activity Tracker, available to HIRI members in November.

Blossoming Success

Growing Your Lawn and Garden Sales With Limited Selling Space

BY CARLY FRODERMAN

When it comes to your operation’s lawn and garden department, a small space doesn’t have to equal small sales. With over 36 years of lawn and garden product purchasing experience, Mike Doyle, lawn and garden buyer for

City People’s Mercantile, has plenty of experience making use of the limited selling space available in the Seattle store. He shares his merchandising and customer service best practices and how to maximize selling space in a small store.

CATEGORY SPOTLIGHT

OPERATIONS Branching Out

Discover four unique lawn and garden products and services to add to distinguish your store from the competition at hardwareretailing.com/lawn-garden-niches

Grow a Category With Limited Space

Located in an urban area, the City People’s Mercantile store is small—10,000 square feet—with limited selling space.

Doyle says lawn and garden products are cross merchandised in a lot of different departments of the store, making it hard to say exactly how much selling space the section entails. He estimates the main area of his lawn and garden section is about 500 square feet.

The lawn and garden section includes hardline lawn and garden products like fertilizers, watering supplies, tools, gloves, wild bird supplies and lawn seed. Doyle also purchases the products for a 600-square-foot area outside that displays pallets of potting soil, soil amendments and mulch. Other buyers are in charge of purchasing for the garden center, which features pottery and live plants.

City People’s Mercantile is located in an affluent neighborhood with many older community members who enjoy gardening. These customers’ gardening needs have led to Doyle specializing in high-quality gloves and garden tool products.

“When I started working at City People’s Mercantile in 2000, the garden tool section was a 25-foot poorly organized wall display,” Doyle says. “After I reset and reordered the area, I gained about 4 feet of additional selling space.”

From there, Doyle began paying attention to what did and didn’t sell—something he now tries to do at least yearly and more frequently when he can.

“If I want to add a product to a section, I have to get rid of a product already there unless I have a good reason to expand the section,” Doyle says. “For instance, we sell a lot of rakes, so I expanded that section and decreased the amount of garden hoses due to low sales.”

This practice ensures a shrewd use of limited space and limits the presence of slow-moving merchandise.

“I was always told to buy what I like and if that sells, that’s great. If not, buy what customers like and learn to love it,” Doyle says. “Listening to customers, knowing what they want and stocking for their needs are the keys to success. If you don’t sell a highly requested product, you should have a really good reason why you don’t.”

Make the Most of Merchandising

In small spaces, hanging lawn and garden products randomly on pegs can lead to inefficient use of the space and unhappy customers.

“Human minds like order, and when merchandising is chaotic, customers have a more difficult and unpleasant shopping experience,” Doyle says. “Messes can quickly get out of hand in a small space; keeping everything organized will create a sense of ease and invite customers in.”

The lawn and garden department at City People’s Mercantile may be spread around the store but takes advantage of every usable space to promote products.

KNOWLEDGE

Green Goes Easy

As consumers look to create low-maintenance outdoor spaces, learn how native plants could be the solution at hardwareretailing.com/selling-native-plants

For example, shovels should be hanging by their blade in a row close to customers’ eye lines so they don’t have to look down and can easily compare products, Doyle says. Bags full of materials like sand and fertilizer should be neatly stacked.

When similar products are merchandised together, customers have an easier time finding and choosing what they need without getting lost or overwhelmed, Doyle says. He takes this approach to all of his displays but keeps this strategy in mind specifically when building endcaps.

“Endcaps should be simple, have a theme, change with the seasons and feature four to six SKUs,” Doyle says. “You want displays to be simple enough for customers

to understand what project you’re selling but complex enough to make them feel like they have options.”

When choosing the timing for changing endcaps or attention-grabbing displays, Doyle suggests early adjustments.

“If your customers need watering cans in July, set up the display in June so they see it, remember it and return to make the purchase when they need it,” Doyle says.

Rooted in Customer Service

When initially greeting customers, Doyle focuses on creating a positive interaction.

“Instead of asking ‘Can I help you,’ I say ‘If there is anything I can help with, let me know’ or ‘Are you finding

Cutting-Edge Care

5 Steps to Share With Customers to Breathe New Life Into Pruning Tools

Regular maintenance is an important practice for customers to learn and engage in regularly for their garden tools.

If pruning tools aren’t cleaned often enough, sap will build up, which will attract dirt, dull the blade and lead to a less-than-optimal result.

ITEMS REQUIRED

“I clean customers’ pruners for free the first time if they bring them in,” Doyle says. “I recommend they buy the products needed, and I show them how to clean and maintain the tools.”

Teach Doyle’s cleaning steps below to your customers to provide an extra layer of service.

3-in-1 tool oil, a scrub pad, a blade or flat screwdriver, plastic bag and paper towels

TIP:

Store all required items together in a plastic bag to create a ready supply for continual maintenance.

STEP 1.

Set up a paper towel as a work space to catch oil drips.

STEP 2.

Cut the scrub pad into 2-inch squares.

STEP 3.

Use a flat blade or screwdriver to scrape the buildup off the blades.

STEP 4 .

Apply liberal amounts of oil to the blade and scrub, focusing on the areas where the blades slide past each other. Continually add more oil as it floats dirt off and is absorbed into the pad, making it harder to scrub. Toss the dirty scrub pad when finished.

STEP 5.

Test the blades. The goal is for them to easily cut thick paper, like cardstock, cleanly.

MARKETING Sales Are Blooming

Learn three ways you can get your share of sales from customers looking to enhance their outdoor spaces at hardwareretailing.com/grow-lawn-sales

Crowd Favorites

7 Trendy Lawn and Garden Products

Discover

LIGHTWEIGHT FABRIC GARDEN HOSES

THUMB-CONTROL WATERING NOZZLES

everything okay?’” Doyle says. “This phrasing leads to more positive responses and customer experiences. I try to never ask a question where ‘No’ will be the answer.”

City People’s Mercantile stocks high-quality products, and customers sometimes balk at the higher prices, but Doyle has strategies to put their purchase in perspective.

ORGANIC FERTILIZERS AND PESTICIDES

RABBIT REPELLENTS AND FENCING

“Sometimes I’ll share my personal experience with the product and highlight that it’s long-lasting. For soils and composts, I’ll also tell them that if they are unhappy with it they can bring it back and I’ll buy it back from them, or I’ll compare the price to how many cups of coffee it would be,” Doyle says.

Like in many other operations, technology has impacted how customers shop and customer service at City People’s Mercantile. Customers think they can find all the right answers on the internet, but it is too easy for them to find a bad source, not understand something or miss a step when consulting the web, Doyle says.

QUICK CONNECT HOSE FITTINGS

WILD BIRD SEED AND SUPPLIES

LARGE BAGS OF POTTING SOIL, COMPOST AND BARK MULCH

“Despite this reality, I strive to never tell a customer they are doing something wrong. Instead, I share options I would choose over their current strategy,” he says. “There’s a million ways to garden and none of them are wrong, some just might work a little better.”

City People’s Mercantile caters to its clientele with high-end products and knowledgeable service.

SHARE YOUR IDEAS

Engage With Your Customers

Have an idea? Send an email to editorial@YourNHPA.org to have your story considered for publication.

CHECKOUTS

OPERATIONS

Party Like It’s 1933

KROGEN’S DO IT BEST CELEBRATES 90 YEARS IN BUSINESS

IN HONOR OF ITS 90TH ANNIVERSARY,

Krogen’s Do it Best in Boscobel, Wisconsin, hosted a weeklong celebration that included anniversary-themed activities. The first 90 shoppers received a free T-shirt, door prizes were drawn every 90 minutes and each of the 90 winners received a prize worth more than $90.

The store also paid customers 90 cents for each 1933 penny brought in, and customers enjoyed a 19.33% discount on all furniture, wall art and bedding.

On Saturday, customers could purchase a bratwurst and a drink for 90 cents, with all proceeds benefiting the Wisconsin River Trail Organization.

“It’s a joy to celebrate 90 years in Boscobel,” says Krogen’s Do it Best president Karl Krogen. “We know we wouldn’t be who we are today without the support of this loyal community, and we’re always interested in an opportunity to invest in our customers like they’ve invested in us.”

Krogen Do it Best president Karl Krogen (center) and his staff celebrated 90 years in business with a special anniversary event that included giveaways, special pricing and more.

Fundraiser Goes to the Dogs

Championing a cause near and dear to the owners’ hearts, Thompson True Value in Marshalltown, Iowa, raised money to jump-start fundraising for its local K9 unit to bring on another dog and handler. In the years they’ve been in business, owner-operators Dave, Kathy and Paul Thompson have made connections with their community, including the local police force, and wanted to show their support.

“We feel it’s extremely important to get behind our police officers who protect and serve the community,” Dave says. “We have developed friendships with members of the Marshalltown Police Department over the years, and this was a great way to help them out. And who doesn’t love dogs?”

This past spring, the store ran a sale on 10-pound boxes of dog biscuits, donating 100% of the proceeds from the sale to the Marshalltown Police Department.

Dave says they are grateful to their generous customers, who purchased the biscuits, which led to the Thompsons donating $2,000 toward the cause. They are also thankful for local partners like Todd Steinkamp, general manager of the local radio station, who got the word out about the fundraiser.

“Because of the tremendous loyalty of our customers, we strongly believe in giving back to our community,” Dave says. “With us, it’s a family way of life.”

Getting Social

Oye’s Hardware may be surrounded by an audience who doesn’t utilize technology, but its owners have still found success promoting the business and connecting with customers on social media.

The store is nestled in the heart of Amish country in Arthur, Illinois, and owner Casey Oye says they renewed their focus on social media in 2019. Casey and husband Charlie are third-generation owners and view social media as an easy way to reach more customers.

“We started pushing our social media reach after our daughter Myla was born. While we still love interacting with customers in person, social media has made us more personable and better able to engage with more customers,” Casey says. “Plus, everyone enjoys watching our cute girl grow up.”

The owners of Thompson True Value, Dave (left), Kathy (center) and Paul Thompson, hosted a sale to raise money for their local K9 unit.

Events are current as of press day.

To add your event to the industry calendar, send an email to editorial@YourNHPA.org

B

B U SI N E S S F O R S AL E

Northwest Farm & Home Supply Co.

Location: Lemmon, SD

Gross Revenue: $3 21 million

and warehouse space on 4 acres. The main bldg was constructed in 1994 with additions constructed in 2002 & 2004. Single story with 22’ clear height level doors and two dock height doors

B

Central Vermont Paint , Flooring , and Decorating

Business

Location: Vermont

Gross Revenue: $2.82 million

Price: $1 1 million

Full-service decorating store providing

kitchen/bathroom remodeling, cabinetry product o erings, design assistance, specialized service, and professional installation

B U S I N E S S F O R S AL E

Home Improvement Supply Store

Location: Missouri

Gross Revenue: $1 04 million

This historic home improvement and hardware store is a staple of its community and operates from its headquarters in Missouri. The Company is a long-standing retailer and installer of consumer and commercial improvement products

Hoosick True Value

Location: Hoosick Falls, New York

Gross Revenue: $1.26 million Price: $1.875 milli

This opportunity o ers a turnkey sale of a general hardware operation located in northeastern Rensselaer Co., New York The business serves five towns, southwestern Bennington Co , Vermont, and 25 miles east of Troy, New York

B U S I N E S S F O R S AL E

Private Business

Location: Alabama

Gross Revenue: $2.21 million

Price: $649,000

B U S I N E S S F O R S AL E

Private Business

Location: Pennsylvania

Gross Revenue: $1.6 million

SEE KI N G B U S IN E S S E S Gold Beach Lumber Yard

We are looking for:

•

•

•

• We prefer to keep all employees as part of the acquisition

• Single-store and multi-store

hardware operations

• Located in the Pacific Northwest

• Store size of 5,000 ft2-30,000 ft2

OPERATIONS Protect Your Bottom Line

Learn more how credit card swipe fees negatively affect consumers and small businesses at hardwareretailing.com/swipe-fees-bill LAST WORD

Reining in Fees

U.S. HOUSE AND SENATE TO VOTE ON CREDIT CARD COMPETITION ACT

AIMED AT ENHANCING COMPETITION and choice in the credit card network market, the Credit Card Competition Act (CCCA) was introduced in July 2023 into the U.S. House and Senate.

The CCCA strives to reduce credit card interchange fees, also known as swipe fees, and create a more competitive environment for merchants accepting credit cards as payment. Currently, American Express, MasterCard and Visa dominate the market with four banks—Chase, Citi, Wells Fargo and Bank of America—issuing nearly half of all credit cards.

The legislation would require all banks with at least $100 billion in assets to allow cards to be processed over

at least two unaffiliated networks—Visa or MasterCard—plus well-established, high-security competitors like NYCE, Star or Shazam. If passed, it is expected to save merchants and their customers $15 billion a year, according to the Merchants Payments Coalition.

Several independent retail organizations, including the North American Hardware and Paint Association, signed a letter in support of the CCCA. Small Business Rising, a coalition of small business membership associations representing more than 200,000 independent businesses, authored the letter, which was sent to co-sponsors of the bill to show support for the legislation and thank the sponsors for helping small businesses.

How to Get Involved

In 2022, merchants paid $160.7 BILLION in credit and debit card swipe fees, up from $138 BILLION in 2021.

On average, credit card swipe fees make up 2.24% of the transaction but can reach as high as 4%

REFRESH YOUR ASSORTMENTS

Backed by outstanding vendors, Orgill’s Smart Start program can improve your categories by quickly & easily switching out product lines to give your salesfloor the kick-start it needs.

• Reinvest dated & obsolete inventory

• Quickly & smoothly convert to Orgill-supported brands

• Manage inventory with warehouse-direct vendor purchases

• Freshen up merchandise & implement the industry’s most innovative POP materials

Ask your Orgill Sales Rep about Smart Start or email retailprogram@orgill.com to learn