BUSINESS BUILDER
RETAIL RETHINK
How independent flooring dealers can compete with big-box stores By Samuel Greenberg
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ith Covid-19 changing nearly everything about the way people shop, flooring retailers have had to adapt, almost immediately, to an entirely new reality. And they’ve had to do so in the shadow of trade wars, economic uncertainty and skyrocketing lumber prices. But while local dealers have scrambled, big-box stores have continued to rake in business. Home Depot, for example, posted a 24 per cent profit increase (to a whopping $33.54 billion US) in the third quarter of 2020 alone. How? An unfair competitive advantage (because goodness knows it 6
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wasn’t thanks to their product knowledge or customer service). While flooring dealers have been forced to close during lockdowns, big-box stores have been allowed to remain open — undercutting independent stores with entry-level products. However, like their most popular products, flooring retailers are resilient. The changes brought on by the pandemic have forced them to adjust their traditional business models to stay competitive in the digital age. Here’s how. BUILD AN ONLINE PRESENCE
Nearly 97 per cent of all consumers use online tools to decide where to
