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SEE COMPLETE COVERAGE OF THE HARDWARE CONFERENCE

Sept/Oct 2015 Vol. 7, No. 6

THE INDUSTRY’S DIGITAL LEADER ALSO INSIDE:

Rethinking Advertising Strategies Profiles of Beacon Award Winners Product Trends in Plumbing

Best New Stores

Honoring the Woodland Do it Best Hardware & Home

Brady & Cavany Ace Hardware

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CONTENTS

SEPT/OCT 2015 ■ Vol. 7, No. 6

Presented By

BEACON AWARD FOR BEST NEW STORE: WOODLAND DO IT BEST HARDWARE & HOME

BEACON AWARDS COVERAGE

Editor’s Note: Chris Jensen The Way I See It: Tom Chasteen Digby’s Hardware cartoon: Scott Jensen Amazing But True Hardware Stories From Tom’s Shop: Hardware Products Review The 2015 Hardware Conference Report Beacon Awards Coverage Beacon Award for Best New Store: Woodland Do it Best Hardware & Home Beacon Award for Best New Store: Brady and Cavany Ace Hardware Retail Beacon Winner: Rogers Do it Best Hardware Retail Beacon Winner: Earlʼs True Value Retail Beacon Winner: Basic American Supply Retail Beacon Winner: Islands Ace Hardware Hardlines Digest: Rethinking Advertising Strategies Category Report: Plumbing In the News Upcoming Events Behind the Numbers The Hardware Connection app is available for iPhone, iPad, Android and Amazon. Download here.

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Connection

THE HARDWARE Connection ■ Sept/Oct 2015 ■ 3

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ADVERTISER’S INDEX 3M | www.3M.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 31 Apex Tool Group | www.apextoolgroup.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9, 24, 25 Channellock Inc. | www.channellock.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Convenience Products | www.convenienceproducts.com . . . . . . . . . . . . . . . . . . . . . . . . . . 61 Do it Best Corp. | www.independentsdoitbest.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7, 39 ECi Software Solutions | www.ECiSolutions.com. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17, 54 Epicor Software Corp. | www.epicor.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11, 41, 50, 51 Ettore Products | www.ettore.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Flame Engineering | www.flameengineering.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76 Ganymede Technologies Corp./J3 Point-of-Sale | www.j3pos.biz . . . . . . . . . . . . . . . . 12 Gorilla Glue | www.gorillaglue.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 72 Hardlines Digest | www.hardlinesdigest.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98 Hillman Group | www.hillmangroup.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 Kaba Ilco | www.ilco.us . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19, 85 Krylon | www.krylon.com. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35, 88, 89 Leviton | www.leviton.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 Louisiana Grills | www.louisiana-grills.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 Mayhew Steel Products | www.mayhew.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 MetalTech Inc. | www.metaltech.co/en . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71 Pacsoft | www.pacsoft.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 Purdy | www.purdy.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48, 88, 89 Safety Works | www.safetyworks.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21, 58 Santeen Products | www.santeen.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67 Shop-Vac | www.shopvac.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 Southwire | www.southwire.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 STIHL/Independent We Stand | www.stihlusa.com; www.IndieBizAward.com. . . 37 Sunnyside Corporation | www.sunnysidecorp.com . . . . . . . . . . . . . . . . . . . . . . . . . . . 80, 81 The Vendor Center | www.thevendorcenteronline.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 WD-40 Company | www.wd40.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4, 56 Werner Company | www.wernerco.com. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 Wooster Brush Company | www.woosterbrush.com . . . . . . . . . . . . . . . . . . . . . . . . . . 13, 60 X-ACTO | www.xacto.com. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77

Connection

91900 Overseas Highway | Tavernier, FL 33070 | www.thehardwareconnection.com Publisher/Principal: Tom Chasteen tom@thehardwareconnection.com 305-852-6126 Editor/Principal: Chris Jensen chris@thehardwareconnection.com 317-514-8864 Marketing & Creative Director/Principal: Dan Akers dan@thehardwareconnection.com 317-797-6609 Associate Publisher: Craig Cope craig@thehardwareconnection.com 804-690-0666

Senior Business Advisor: John Hammond jhammond@thehardwareconnection.com Director of Vendor Programs: Diane Allen diane@thehardwareconnection.com 317-432-9177 Beacon Awards Director: Tom Delph tdelph@thehardwareconnection.com Contributing Writers: John Franklin, John Fix III, Doug Donaldson

The Hardware Connection is published eight times a year by The Hardware Connection, Inc. All editorial contents copyrighted 2015 by the publisher. No editorial may be reproduced without the prior permission of the publisher.

www.TheHardwareConnection.com

THE HARDWARE Connection ■ Sept/Oct 2015 ■ 5

editor’s note

It’s Time to Take a Bow

ost hardware retailers work long hours taking care of the needs of their customers. They don’t do it for the recognition, although it is nice to have someone thank them when they go out of their way to provide great service. Instead, they do it because that is the job description of a merchant. It is a satisfying feeling to help someone solve a problem or learn how to complete a project. In this issue of The Hardware Connection we give recognition to six deserving retailers, who are the 2015 winners of our Beacon Awards program. Now in its third year, the Beacon Awards recognize Retail Beacon Winners for each of the four participating wholesalers, as well as two Best New Stores. This year’s Beacon Award honorees all share common traits of persistence, dedication, community involvement and out-of-the-box thinking, along with the savvy to develop unique product assortments and niche categories. However, the overriding principle that drove these high-performance retailers to open, remodel or expand stores was the desire to better meet the needs of their community. That is definitely something to applaud. Turn to page 36 for coverage of the Beacon Awards banquet that took place earlier this month in Marco Island, Fla., during The Hardware Conference. Then

6 ■ The hARDWARe Connection ■ Sept/Oct 2015

By Chris Jensen

read the profiles of the six Beacon Award winners that follow and see if you can pick up some ideas to help your store grow and improve. Speaking of recognition, it’s time for the staff of The Hardware Connection to take a bow. The industry’s leading digital publication, now in its seventh year, was recently honored by the American Society of Business Press Editors with a bronze award of online excellence for Best E-Zine in the Heartland Region. Just like the Beacon Award winners who took a leap of faith when they were opening or expanding their stores, third-generation hardware retailer Tom Chasteen and I took a leap of faith when we launched The Hardware Connection back in 2009. The world was going digital, and we felt the hardware industry could benefit from an all-digital publication that addressed the needs of independent hardware retailers from the perspective of a fellow retailer. With our circulation now reaching 60,852, which is by far the largest in the hardware industry, and with this issue being the largest in our history, it is gratifying to see that the industry has embraced the unique advantages of our digital magazine. Let’s keep growing together! n www.ThehardwareConnection.com

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the way i see it

By Tom Chasteen

Do We Play It Too Safe?

hen I came to work in the family hardware business I was fresh out of college and graduate school and, as you can probably imagine, I was full of the latest business “theories” and case studies to back them up. And, like a lot of college graduates, I was full of myself and eager to make my mark in the business world. What I did not have was any substantial real-world experience, nor did I have two nickels to rub together to fund my business theories. This was the first real lesson I had to learn in my budding career where real-world reality meets theory and arrogance. I think you can guess which one won. As anyone who has ever worked in a family-owned and managed business would agree, this friction of new vs. old schools of thinking is a constant source of discussion, arguments, hurt feelings and, in some cases, a complete disruption of the business. My father never finished college. Like most young men in his era, World War II completely changed his career path. However, he was a very smart man in many ways and he taught me a lot in between our sometimes heated arguments.

8 ■ The hARDWARe Connection ■ Sept/Oct 2015

It was only later in our business lives that I matured enough and was willing to concede something I had known for some time when one day I told him: “Dad, it’s a funny thing. The older I get, the smarter you get.” From that point on we really worked as a team and it truly was the most enjoyable time I had working for my father. However, when we would disagree on how to approach an issue in our family business the one thing he used to always say was: “Tom, if we both think alike on every issue, I really don’t need you. So you can go home and I’ll take your paycheck home with me. But once the owner (right now that is me but in time it will be you) has made the decision of how to proceed, then the discussion/ argument is over. If you cannot accept that and support that decision to the best of your ability, then you need to resign and find employment somewhere else.” In short, my father encouraged different points of view and, in some cases, demanded we think out of the box. Einstein was quoted as saying, “We cannot solve our problems with the www.ThehardwareConnection.com

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the way i see it same thinking we used when we created them.” My father was no Albert Einstein, but he was smart to recognize and embrace the value of different points of view. The other thing I did not completely understand nor appreciate early in my career was the natural tendency to play it safe and not take unnecessary risks as we get older. When you are young, you don’t have a lot to lose, so why not swing for the fences? However, when you are in the bottom of the ninth inning and the bases are loaded and the score is tied and it’s the seventh game of the World Series, there is probably not a manager currently employed who would send in their home run slugger to pinch hit. The team doesn’t need a home run to win the World Series, they only need a single. Every year there are sprinters who let up at the end of the race thinking they have won and someone beats them out for the win at the very end. How many football teams have you watched with a huge lead going into the fourth quarter of the game and end up losing because they went away from the strategy that gave them the lead trying to “play it safe?” The same thing happens in golf, basketball, tennis and, yes, even business. How long did it take before you embraced the concept of PVC pipe and fittings or CPVC? Did you embrace

latex paints when they first came out? What about a computer point-of-sale system? I remember when we weren’t even sure if we should accept credit cards—pay with a plastic card, how will we get our money? Today, credit card sales make up more than 50 percent of our store sales. I am not an advocate of embracing change for the sake of change or the thrill of the challenge. I often view change with a critical eye by asking how can this help my business? All of us retailers have been subjected to some expert or executive who admonishes us to accept this new program and if we don’t it will eventually lead to our demise. I listened to a speech at a national wholesaler show by an executive vice president, who stood on the stage and said Home Depot was nothing more than a regional chain and that it would be impossible for Home Depot to become a national chain. The big difference between someone advocating change who is not the owner of the business is very simple—they are not playing with their own money. If the change fails, they just admit the program needs to be “tweaked.” However, the business owner who bought into a poor program has to figure out how to recover the money he or she lost and still stay in

10 ■ The hARDWARe Connection ■ Sept/Oct 2015

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the way i see it business. It’s a big difference and if you don’t think so, just ask a non-owner who is advocating some new program to pull out his or her wallet or at least give some financial assurance if the program fails they will help offset the financial loss. Please do not think I am suggesting people who are non-owners of businesses are not good business people or don’t have great ideas. What I am saying is what my father was trying to teach me: as a business owner, you have an obligation to evaluate the merits of any new program or change on how it will benefit your business and research what the financial risks are and try to mitigate

those risks the best you can. That’s just smart business. I do believe change is good and change is inevitable, but there is a delicate balance of accepting and embracing change and “playing it safe.” Only you as the business owner with the most at risk can determine what you should do. That, for me, is what makes owning my own business so enjoyable and challenging. Ultimately, the owner is the one with the most at risk and is held accountable, but I hope I never play it so safe I lose the game. Share your thoughts with me, retailer to retailer, at tom@thehardwareconnection.com.

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HARDWARE HUMOR

14 ■ THE HARDWARE Connection ■ Sept/Oct 2015

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HARDWARE HUMOR

Amazing but TRUE

HARDWARE

STORIES S

d his morning a man calle to see if we had ice blocks. After playing 20 it was questions with my clerk ted to buy determined that he wan ice cube trays. Karla Robson Slavens True Value Cortez, Colo.

ot a call this morning for strychnine. I didn’t even ask what he wanted it for.

Jim Ertzman South Hills True Value Home Center Pittsburgh, Pa. 16 ■ THE HARDWARE Connection ■ Sept/Oct 2015

o far this morning: a guy called me from India wanting a $2.00 base plate for his European hinge and a woman called for metric wood screws. At least that’s what the guy at Ace told her she needed. I on the other hand need therapy. Ken Walchak Clark-Devon Hardware Chicago, Ill.

e othwas asked for Jerko th arch er day. After much rese figured out he wanted ® Evercoat . Matt Abramsky Tony’s Ace Hardware Hazel Park, Mich.

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From

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he outdoor living category has been one of the fastest-growing departments in the two-step hardware channel for the past several years. This category continues to broaden its product selection and appeal to the American consumers. Hardware store customers continue to try to increase their quality of life by both upgrading their

By Tom Chasteen

homes as well as enhance their lifestyle activities in their yard and patio areas. At the very core of this category is the barbecue grilling experience, which now includes sauces and rubs as well as grilling accessories that make the backyard barbecue experience more of an event than a cooking process.

product #1: LG series peLLet GriLLs Louisiana GriLLs Louisiana Grills has developed one of the premiere lines of pellet grills in the hardware industry today. If you have not used or experienced the cooking qualities of a pellet grill, then you owe it to your customers and your business to take a look at this new grill category. Wood pellets are nothing new. They have been around for quite some time, primarily used as an efficient Louisiana Grills’ wood pellets are fuel source for home heating. It only seems natural to apply the same con- 100 percent natural and contain no artificial flavoring, glues or chemicept of using wood pellets for barbecals, making their wood pellets cue grills. 18 ■ The hARDWARe Connection ■ Sept/Oct 2015

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more environmentally friendly. In addition, they burn hotter and longer than other wood pellets on the market today. The ability to cook everything from beef, chicken, vegetables, seafood and even cookies and pizza makes the Louisiana Grills so versatile it can easily make grilling outside much more than just a weekend event. However, what distinguishes Louisiana Grills’ wood pellet grills from gas or charcoal grills is how easy it is to control the cooking temperature and still have that natural wood barbecue flavor. Louisiana Grills makes several different styles of grills, but the two that seem to be a natural for hardware stores are the LG Series of wood pellet grills and the LG Kamado ceramic charcoal grills. Both are extremely well designed and the quality of workmanship is truly second to none. The LG Series has three sizes: the 700, the 900 and the 1100 series. All three have a temperature control center and a full-function programmable meat probe that maintains the exact temperature of the cooking area that you set it to. These features are what help make even the most inexperienced cook look like a seasoned pro, because the

20 ■ The hARDWARe Connection ■ Sept/Oct 2015

consistency of the food being cooked is the same each time you light up the grill. Your customers no longer need to hover around the grill with a garden hose to control those flare-ups that can ruin a great afternoon cookout experience. The other thing I really liked is the ease of getting the grill started. It’s even easier than a gas grill, where you simply turn on the electric ignitor. You fill the wood pellet hopper, set the temperature and you are ready to go. Because you are cooking with 100 percent natural wood pellets there is no need to soak wood chips in water beforehand, nor will you need large amounts of lighter fluid (like I always seem to need) just to get a charcoal grill going. The grills will automatically add the right amount of wood pellets needed to maintain the cooking temperature you want to cook at. And you can set the meat probe so you don’t need to hover over the grill sweating while your other guests or family members are in the shade taking it easy. The other thing that is really nice about the LG Series is you can add on a hopper extension for those times you want to slow roast or smoke something that will take several hours.

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cooking grates and the heavy-duty stainless steel stand the grill sits in. The bamboo shelves on each side of the Kamado Series grills fold down so the grill will easily fit in almost any patio area. In short, everything about Louisiana Grills Kamado charcoal grills screams quality and low maintenance. To me there is nothing worse than having to face a customer who is upset that they have to clean rust stains from their tiled patio or freshly stained wood deck because their ceramic grill stand is rusting. In its Kamado Series, Louisiana Grills also offers high-quality additive free lump charcoal that truly enhances your grilling experience. In addition to natural charcoal and wood pellets, Louisiana Grills also

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has its own line of quality spices and sauces that will be sure to add to your customers’ grilling experience and your store’s sales. If you haven’t had the opportunity, check out Louisiana Grills’ booth at your next wholesaler show and ask for Dan Watson. Not only is Dan extremely knowledgeable about Louisiana Grills, he has also competed in 100 barbecue competitions around the country including several Grand and Reserve Grand Championships and two trips to the coveted Jack Daniels World

Championship Invitational. I think you will agree that Dan knows barbecue and he knows the advantages offered by Louisiana Grills’ grill products. For more information on the LG series of pellet grills or the Kamado charcoal grill click on the links below: LG Series Video 1 Kamado Grills Video 2

COMPANY PROFILE

APEX TOOL GROUP IS A PROUD SPONSOR OF THE 2015 BEACON AWARDS

In early1907, an inventive young Swedish immigrant named Karl Peterson founded the Crescent Tool Company, a small firm in Jamestown, New York. Less than a year later, Peterson would create, perfect, and patent a way to manufacture the first adjustable wrench, and the Crescent name would become synonymous with the tool containing a movable jaw with a cylindrical screw adjuster. In the following years, the Crescent® brand adjustable wrench would become an indispensable component of every toolbox in the country. It would be an essential tool for the repair of early automobiles, make the first trans-Atlantic flight with Charles Lindbergh, go into orbit with the Gemini missions in the 1960s, and become a hand tool icon, valued and trusted by generations of tool users. 24 ■ THE HARDWARE Connection ■ Sept/Oct 2015

Now, nearly 110 years later, Crescent is still one of the most recognizable brands of hand tools in the world, known for far more than its famous adjustable wrench. Crescent is continually developing innovative new tools to satisfy the ever-changing demands of today’s tool users. Building on its tradition of providing superior quality products, Crescent continually identifies opportunities for product improvement through consistent innovation, offering additional tool capabilities that cultivate an ever-growing

following of loyal customers. The Crescent brand is positioned well for the future, anticipating changing customer needs and developing products that improve productivity so both professionals and do-it-yourselfers can do their best work. Recent examples of Crescent innovation include PivotPro™ PivotAction Pliers, the Pass-Thru™ Adjustable Wrench Set, the SelfAdjusting Pipe Wrench, the Flip and Grip Wrench MultiTool, and most recently, QuickConvert Nutdrivers. Many of these products combine multiple capabilities into a single tool, saving users space, time, and money compared to single-purpose tools. Crescent PivotPro™ Pliers have a unique pivot-action design that results in 40% less effort to cut compared to conventional pliers. Made of forged steel for superior strength and durability, PivotPro pliers also have induction hardened cutting edges for clean cuts and exceptional blade life. The Crescent Pass Thru™ Adjustable Wrench Set is a versatile fastening tool that combines an adjustable wrench, pipe wrench, and pass thru ratchet all in one tool.

The Crescent Self Adjusting Pipe Wrench features an angled tooth design that grips without slipping. Its ratcheting action, compact size, and light weight help get jobs done quickly and easily.

The Crescent Flip and Grip Wrench Multi tool combines six tools in one. It has a powerful ratcheting wrench instead of pliers like standard multi tools, so it can turn nuts and bolts without slipping.

Crescent Quick-Convert Nutdrivers lock into either a straight or T handle configuration, providing speed when you want it and torque when you need it. Hollow shafts work over long threaded rod where standard nutdrivers will not fit. ■

THE HARDWARE Connection ■ Sept/Oct 2015 ■ 25

The Hardware Conference

Brings

Dealers &

Vendors Together

The Beacon Awards banquet on Friday evening honored the industry’s best retailers. Tom and Dale Chasteen are transitioning The Hardware Conference over to Craig and Shanti Cope.

ow in its 27th year, The Hardware Conference in Marco Island, Fla., stands alone as an event that brings the independent two-step channel together to keep the industry strong. This year’s event took place September 11-13 at the Marco Island Marriott, with strong attendance buoyed by an air of optimism about business conditions. Long-time organizers Tom and Dale Chasteen were on hand to help out and catch up with old industry friends, but they are passing on the torch of leadership to Craig and Shanti Cope, who bring youthful energy and enthusiasm to an event known for its personal touch. The Hardware Conference is the only industry event held exclusively for independent retailers regardless

Pat O’Reilly of Apex Tool demonstrates a product to Vincent Costello of Costello’s Ace, with 23 stores throughout Long Island, N.Y.

Greg Galen of Fluidmaster (left) with Chris Jensen, editor/principal of The Hardware Connection.

Cheryl Shroeder (left) of Schroeder’s Ace in Lombard, Ill., with Libbie Susnik of 3M.

26 ■ THE HARDWARE Connection ■ Sept/Oct 2015

Tim Gallo of Epicor, Matt Noonan III of Noonan True Value in Springfield, Ill.; Jim Holden of Epicor; and Dan Hitchcock of Miami True Value Home Centers in Miami, Fla.

Denny and Bonnie Perdue of Vet’s Ace Hardware in Lansing, Mich.

Retailers had a chance to talk one-on-one with vendors while the exhibits were open.

www.TheHardwareConnection.com

Travis Petty of Sol Hat shows off his latest wares to Jim and Teree Ertzman of South Hills True Value in Pittsburgh.

Tom Chasteen told attendees The Hardware Conference has raised more than $1 million over the past 27 years in support of the Miami Children’s Health Foundation.

Joe DeRoest of Joe’s Hardware in Fallbrook, Calif., makes a donation to the Miami Children’s Health Foundation.

Craig Cope conducts the final auction of goods to close out the Conference.

L to r: Diane Allen and John Hammond of The Hardware Connection with Lynn Best of Kaba Ilco.

of wholesaler affiliation, and once again it lived up to its motto: “Where Relationships are Formed.” “It has been an honor and a privilege for Dale and I to run The Hardware Conference the past 26 years. We have merely been stewards for an event that belongs to the industry, and we thank everyone for their support of The Hardware Conference for 26 terrific years. We couldn’t have done it without you,” said Tom. “I assure you Dale and I have no intention of going anywhere. We cannot envision not coming to and being a part of The Hardware Conference, but if we are to ensure a successful transition we needed to start now, not when we are forced to due to something like a health issue,” Tom added. Craig told attendees that he and Shanti have a tough act to follow but that they are committed to doing whatever it takes to ensure the event stays viable and grows. “We will bring the same passion and drive to host a first-class, informative, interactive, entertaining and www.TheHardwareConnection.com

Doug Laird (left) received a Lifetime Achievement Award from Tom Chasteen in recognition of his nearly 40-year career with Apex Tool Group and Cooper Tools.

family-friendly event for everyone who supports the independent two-step hardware channel,” he said. “As participants of the Conference, you have a large say in how we move forward,” Craig added. “This is your event. We are merely stewards ensuring everyone has the best possible experience. I sincerely look forward to the next 26 years of The Hardware Conference.” The highlight of this year’s Conference was the Friday evening banquet, where six of the industry’s best retailers were honored during the third annual Beacon Awards program. “We were delighted to be a part of such a first-class event,” commented Pat O’Reilly of Apex Tool Group, one of the sponsors of the Beacon Awards. An all-day Technology Forum was again held on Thursday, the day before the Conference officially opened. Epicor, ECi RockSolid and J-3 POS all held indepth training sessions with their retail customers, helping them discover ways to operate more efficiently.

THE HARDWARE Connection ■ Sept/Oct 2015 ■ 27

Tom and Dale Chasteen thanked those in attendance for supporting the Conference over the past 27 years and vowed to hang around for many years to come.

The penthouse hospitality suite offered attendees a beautiful view of the beach and water.

Breakfast took place outside on the terrace.

INDUSTRY COMING TOGETHER

says Dick Schroeder of Schroeder’s Ace Leading vendors participate with table- Hardware in Lombard, Ill. top booths displaying their latest product innovations. Since the Conference is not a OPEN DIALOGUE SESSIONS buying show dealers can learn more about The open dialogue sessions give the suppliers and their products without retailers a chance to let vendors know enduring high-pressure sales tactics. what’s on their minds while giving venDarrell Wabschall of The Vendor Center dors equal opportunity to explain why says he enjoys participating in the event some ideas are not feasible for them. because he gets a chance to have meanCraig Cope kicked off the first session ingful one-on-one dialogue with both with a presentation on how changing retailers and vendors, who are both cruU.S. population demographics will dracial targets for his business. “It’s a benefi- matically impact the hardware channel. cial event and a lovely place to visit.” He covered four main points: Saturday afternoon was left free so 1. U.S. population will continue to grow attendees could enjoy all outdoor fun. more slowly in future decades as the Wooster Brush again sponsored “A Day current U.S. birth rate of 1.8 per womat the Beach” with free beach activities en is below the rate of 2.1 needed to for Conference attendees. Minwax sponmaintain a population. sored the shelling excursion and Krylon 2. The country will become even more hosted its 28th golf outing. diverse as more than half of all “We greatly enjoyed the opportunity to Americans are projected to belong attend this unique event and are already to a minority group by 2044, with planning to come back next year. It’s a lot Hispanics accounting for 28 percent of fun and we’re learning a lot,” said Mallia of the population by 2060. Evans of Brady and Cavany Ace Hardware 3. The population continues to age and in Tunkhannock, Pa., a first-time attendee by 2030, one in five Americans will be and one of the Beacon Award honorees. over the age of 65. “Cheryl and I love coming back to the 4. The population is shifting in great Conference every year, because we get to numbers from Northeast and Midwest see the friends we’ve made in the industry to the South and West. The South over the years. It’s always a good time,” has captured 52 percent of national www.TheHardwareConnection.com

THE HARDWARE Connection ■ Sept/Oct 2015 ■ 29

COMPANY PROFILE

3M IS A PROUD SPONSOR OF THE 2015 BEACON AWARDS

nnovation is a way of life at 3M™, and ideas are constantly in motion. Every day, we work to solve problems by applying creativity and ingenuity to make life easier. Take a closer look at the world that is around you, and you’ll soon discover that 3M innovation is just about everywhere.

3M™ is a global innovation company that never stops inventing. Over the years, our innovations have improved daily life for hundreds of millions of people all over the world. We have made driving at night easier, made buildings safer, and made consumer electronics lighter, less energy-intensive and less harmful to the environment. We even helped put a man on the moon. Every day at 3M, one idea always leads to the next, igniting momentum to make progress possible around the world. The 3M Construction & Home Improvement Markets Division offers products for painting, decorating and repair, safety, and home environment for both DIYers and professionals. ScotchBlue™ Painter’s Tape Advanced Multi-Surface and Advanced Delicate Surfaces feature a 3M Proprietary treatment called Advanced Edge-Lock™

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Paint Line Protector designed to help improve paint lines. With this treatment, ScotchBlue™ Painter’s Tape delivers improved paint bleed performance and is more resistant to paint seepage than the original formulation of Edge-Lock™ Paint Line Protector. Since 1996, Command™ Brand Products have been available for damage-free decorating and organizing. New to the line are laundry room organization products. The Command™ Broom Gripper neatly stores brooms and mops when not in use. Sized for up to 3 plastic or 7 metal hangers, Command™ Clothes Hangers hold up to 7-1/2 lbs., so they can handle even heavy coats. And, the Command™ Medium Wire Hooks can be used horizontally or vertically and hold items up to 2 lbs. Wall repair products include 3M™ Patch plus primer, a spackling compound

and primer in one, which eliminates the need to prime before painting. It creates a quick-drying, strong patch. The repair will be virtually invisible under dried paint, giving you professional-looking results. The most recent addition to the product line is the 3M™ Patch plus primer 4-in-1 Applicator. It is a putty knife, a sanding pad, spackling, and primer all in one tool. The newest thing in sanding is 3M™ SandBlaster™ Ultra Flexible Sanding Sponges. They channel dust away from the sanding surface. The sanding sponges are a 2-in-1 solution. The patterned side can be used for detail/ contour sanding, such as spindles, trim, and curved surfaces, and the regular side is for flat sanding. Made from premium aluminum oxide material, the Ultra Flexible Sanding Sponges last 5X longer than 3M conventional sanding sheets, and work for interior and exterior surfaces. 3M offers a variety of safety products for the professional and the DIYer, and recently added 3M™ Worktunes™

Wireless Hearing Protector with Bluetooth® technology that seamlessly streams music from mobile phones, tablets, iPods® or any other Bluetooth® wireless technology enabled device. Safe volume control technology allows for increased volume, yet corrects to maintain safe levels over an 8-hour workday. Audio assist technology provides setup and operational guidance without having to remove the headset. The AM/FM digital radio has enhanced radio performance for clearer sound quality and it saves up to 50 stations. And, it has a vented headband design with removable padding for use with hats. 3M™ Ultra Clear Energy Saving Window Film helps save money on cooling costs. It significantly reduces the amount of solar energy that enters your home through your windows, so your home stays cooler and your cooling system works less. And, it has 4X less reflection for a brilliantly clear view, compared to leading regular heat control film. ■ THE HARDWARE Connection ■ Sept/Oct 2015 ■ 31

Upper Right: The Women in Hardware group held a luncheon meeting for interested attendees. Upper Left: Tom Chasteen leads the discussion for one of two open dialogue sessions. Bottom Right: Paul and Becky Rogers of Rogers Do it Best Hardware in Sparta, Mich. Bottom Left: Frank Carroll, vp-merchandising at Ace Hardware Corp., makes a presentation during the Ace dealer meeting.

growth, while the West has captured 32 percent. Forty percent of the population now lives along the coast. “These demographic changes are already starting to have an impact, but they will have a far greater impact down the road, so we as an industry need to be aware of and prepared for these trends,” Craig said. Dealers were asked whether the growing Hispanic population was having any effect on them. Dan Hitchcock of Miami True Value Home Centers pointed out the importance of having bilingual employees in his area. “With one of my stores if you can’t speak Spanish you can’t wait on anyone, so we need all our employees to be bilingual. There are also certain products that we need to carry for them such as spin mops and certain coffee makers,” he said. When it comes to marketing to seniors, Rick Heuser of Handyman Do it Best Home Center in St. Cloud, Fla., pointed out that many retirees have lost their driver’s licenses and don’t have the ability to easily get to the store. “We get asked a lot to recommend handyman service.” Pricing strategy was another topic 32 ■ THE HARDWARE Connection ■ Sept/Oct 2015

that was discussed. Walter Toole of Toole’s Ace in Florida says he looks at a new class every week and tries to spotcheck certain items. “The boxes pick two items in a class and try to lowball, but it doesn’t make sense why one item is lower than another. We try to price so it makes sense for our customers.” When asked what unusual niches have been successful at driving business dealers suggested retractable awnings, commercial mailboxes and having a U.S. post office station. Another topic that came up was the challenges dealers face when doing e-commerce. “In the next five years we’ll see more retailers want to be in the internet business and key word searches will be important,” said Hitchcock. “Vendors need to support us with that. We need a standard form to look up descriptions.” Evans at Brady and Cavany Ace said, “When I put in a search and get 2,000 product options I don’t have time to search through all those to help my customer.” Casey Mathews of Wooster Brush was one of several vendors who pointed out that they are forced to provide descriptions differently for each www.TheHardwareConnection.com

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Diane Lyon and Randy West of Islands Ace Hardware in Savannah, Ga.

L to r: Craig and Shanti Cope of The Hardware Conference with Bob and Denise Clemence of Hyde Tools.

Dan Watson (right) and Tom Grill of Louisiana Grills cooked the appetizers on the grill for Friday night’s cocktail reception.

wholesaler they work with and he agreed that a standard method of descriptions would be beneficial for everyone. When asked how they like to receive communications from vendors, dealers were in agreement that they prefer email to paper. “Make sure it’s important to my brand and don’t tell me about something that only applies to another co-op,” pointed out one retailer. Dealers in attendance were asked how many wholesaler shows they typically attend and quite a few said they go to three or four shows each year, from more than one wholesaler. They said they attend to learn and to see new products but not necessarily to buy. They are looking for at least 15-20 percent savings on warehouse price for a show deal to be attractive and they prefer discounts over dating. Hitchcock noted that it takes too long for independent retailers to get innovative new products in their wholesaler’s warehouses. “You see it on TV and on Amazon, but we can’t get it. We’re all looking for new items and every vendor should have a book to identify new items,” he said.

Krylon, Miami Children’s Health Foundation and The Wooster Brush Company. The wholesale community also lends important support to the Conference each year, with representatives from Ace Hardware, Orgill, True Value and Do it Best Corp. in attendance and conducting meetings with their members. True Value President and CEO John Hartmann was on hand to get direct feedback from True Value members on how the company can improve, while Ace Hardware VP-Merchandising Frank Carroll gave an overview of merchandising department initiatives at the Ace dealer meeting on Friday. Do it Best members got to hear from Rob Schmiedel, national sales manager, during their meeting and luncheon. At the end of the Conference the vendors auction off their display merchandise and the money raised is donated to the Miami Children’s Health Foundation. This year’s auction raised $26,200, bringing the total fundraising amount through the years to over $1 million. Start making plans to attend next year’s Hardware Conference, scheduled for September 9-11, 2016, at the Marco Island THANKS TO SPONSORS Marriott. For more information, call Craig Special thanks go to the marquee sponsors: Louisiana Grills, The Hardware or Shanti Cope at (305) 853-0049 or go to Connection magazine, The Hillman Group, www.thehardwareconference.com. ■ 34 ■ THE HARDWARE Connection ■ Sept/Oct 2015

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ix hardware retailers were honored with Beacon Awards during a special awards banquet held during The Hardware Conference in Marco Island, Fla., on Friday, September 11.

36 ■ The hARDWARe Connection ■ Sept/Oct 2015

John Hammond of The Hardware Connection served as master of ceremonies along with Tom Delph.

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Ben Battaglia of Ace Hardware Corp.; Randy Cole, Jack Brady and Mallia Evans of Brady and Cavany Ace; Diane Lyon and Randy West of Islands Ace; Tom Romagnoli and Dave Atkins of Ace Hardware Corp.

Upper:Mallia Evans, manager of Brady and Cavany Ace Hardware, thanked owners Bob Sherwood and Randy Cole for giving her the chance to make her vision come true for the store. Lower: Kelly Rodarmel of Woodland Do it Best Hardware & Home said he has been blessed to be business partners with his dad, Gene, for the past 35 years.

38 ■ The hARDWARe Connection ■ Sept/Oct 2015

The Beacon Awards are a premier national industry awards program developed by The Hardware Connection magazine and The Hardware Conference to recognize the “best of the best” independent hardware/home improvement retailers while encouraging a new generation of retailers to make their mark. “We believe it’s vitally important for the hardware industry to have a first-class national awards program, and there is no better place to conduct this awards program than at The Hardware Conference, which is the industry’s largest gathering of independent retailers from different wholesalers,” said Tom Delph, who directs the Beacon Awards program www.ThehardwareConnection.com

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and served as master of ceremonies with John Hammond, senior business advisor for The Hardware Connection. The 2015 Beacon Awards were sponsored by Apex Tool Group, Epicor Software Corporation, Sunnyside Corporation, 3M and Sherwin Williams’ Diversified Brands Division, with wholesaler sponsorship support from Ace Hardware Corp., Do it Best Corp., Orgill Inc. and True Value Company. The Beacon Awards, now in their third year, honored the Retail Beacon Award winners for each of the four participating wholesalers, plus the Best New Stores in two categories: under 20,000 square feet and over 20,000 square feet. The 2015 Beacon Award honorees include: • Retail Beacon Award: Rogers Do it Best Hardware, Sparta, Mich.; owned by Paul and Becky Rogers 40 ■ The hARDWARe Connection ■ Sept/Oct 2015

Left: (L to r): Gene and Kelly Rodarmel of Woodland Do it Best Hardware & Home; Rob Schmiedel of Do it Best Corp.; and Paul and Becky Rogers of Rogers Do it Best Hardware. Lower Right: (L to r): Richard Timpson, Rebecca Timpson, Chuck Bradshaw and Fawnetta Bradshaw of Basic American Supply; and Ron Kennedy of Orgill. Upper Right: (L to r): John Hammond of The Hardware Connection; Joe Miller of True Value; Wayne and Donna Broyles of Earl’s True Value; and Tom Delph.

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Upper Left: Libbie Susnik of 3M and Tom Delph. Upper Middle: Bob Lueders of Sunnyside Corporation (left) with Tom Delph. Upper Right: Tim Gallo (left) of Epicor Corp. with Tom Delph. Lower Left: Pat O’Reilly of Apex Tool (left) with Tom Delph. Lower Right: Matt Hearn of Sherwin-Williams (left) with Tom Delph.

• Retail Beacon Award: Basic American Supply, Colorado City, Ariz.; owned by Richard Timpson and Chuck Bradshaw • Retail Beacon Award: Earl’s True Value, Fredericksburg, Va.; owned by Wayne Broyles • Retail Beacon Award: Islands Ace Hardware, Savannah, Ga., owned by Randy West • Best New Store, Under 20,000 square feet: Brady and Cavany Ace, Tunkhannock, Pa.; owned by Bob Sherwood and Randy Cole

• Best New Store, Over 20,000 square feet: Woodland Do it Best Hardware & Home, Woodland Park, Colo.; owned by Kelly Rodarmel “We have an outstanding group of Beacon Award winners this year. They all share similar backgrounds of taking calculated risks and finding ways to make their stores stand out with unique product assortments and deep involvement in their communities,” stated Chris Jensen, editor/principal of The Hardware Connection. ■

42 ■ The hARDWARe Connection ■ Sept/Oct 2015

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ene Rodarmel founded Woodland Hardware & Home in 1987 to provide residents of the Pikes Peak area with a local, independent hardware store. Gene passed on the business a decade ago to his son, Kelly, but remains active. Actually, Gene started in the hardware business by opening a hardware store in Iowa in 1980 while still working for a manufacturing company. He and Kelly have been partners since the beginning, deciding to make the move to Colorado in 1987. Gene and Kelly’s efforts at bringing about a true local hardware destination were met with initial success in Woodland, but they faced challenges. The biggest problem was the store’s lack of size—11,700 square feet—and unconventional floor plan, which made it difficult to merchandise and impossible to expand. Still, the Rodarmels were able to mix interior renovations with creative merchandising to generate steady growth through their first decade. Although the business continued to grow after they joined Do it Best in 1997, there was only so much they could www.TheHardwareConnection.com

Right: They were able to expand much more into rental. Above: The 21,500-square-foot sales ﬂoor enabled them to double the size of lawn and garden, plumbing and electrical departments.

do with the original location. Big-box competition was escalating in nearby Colorado Springs, leaving the business at a crossroads. “We knew we had to make a bold move to keep our customers shopping close to home,” Kelly explains. It took six years of negotiating with local government and civic leaders, but they were able to find a new, larger building just three blocks from their original location. The construction phase was lengthy, as they had to ensure the store’s interior and exterior design and signage integrated with its downtown and mountain surroundings. THe HARDWARe Connection ■ Sept/Oct 2015 ■ 45

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Left: Kelly Rodarmel credits his staff of 24 employees with creating a shopping environment that connects with customers. Right: More space is now devoted to workwear including Carhartt and Dickies.

“We were intimately involved with the general contractor on the construction phase,” points out Kelly. “My dad built five houses when I was a little kid, doing all the electrical, plumbing and framing, so he’s a great resource to have around.” The 26,000-square-foot building with a 21,500-square-foot sales floor, which opened in February 2014, incorporates large windows so customers get incredible views of Pikes Peak. It was designed to be energy-efficient, saving money on utilities and reducing the store’s environmental footprint. The new building features 4-inch thick walls with R-40 insulation. “It’s all hot water piping with no gas lines in the main building and no holes in the wood. We have two 300,000 BTU boilers, so we don’t need holes in the roof for ventilation,” points out Gene. Kelly relied on the merchandise expertise of Do it Best’s store design team to help Woodland expand a number of categories important to its customer base, www.TheHardwareConnection.com

including farm and ranch, lawn and garden, building materials and pro-grade tools. They also expanded into several niche areas, including a rental center, bulk propane and dedicated areas for Stihl power equipment, Carhartt clothing, Dickies work wear and housewares. “We needed to make the new store as efficient as possible for customers and as efficient as possible for us getting product off the truck. And we accomplished both those goals,” Kelly says. So far sales are up 30 percent and other key metrics such as average transaction, ticket count, gross margin and net profit are up as well. “With wellorganized aisles, plenty of open spaces and great signage, the store is incredibly shopper-friendly,” Kelly explains. “Our customers are thrilled with what we’ve done.” From his dad Kelly has learned the importance of taking care of customer needs and building a store around that, THe HARDWARe Connection ■ Sept/Oct 2015 ■ 47

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Top Left: STIHL power equipment is the top-selling category in the store. Top Middle: Carrying a strong assortment of housewares and gift items helps attract female customers. Top Right: The store’s front window offers an amazing view of Pikes Peak. Lower Left: It took eight years to get to the finish line, but the new, larger store has made a dramatic improvement for Woodland Do it Best Hardware & Home.

and he also learned a lot about how to take care of people and solve problems. “The customer is always right, but we don’t take any abuse,” Gene says. “I had to kick out a customer this morning because he was being abusive.” The store has 20 full-time and four part-time employees. “We have monthly meetings so we can do more training with staff and we have them travel to vendor training meetings,” says Kelly, who looks for opportunities to pat someone on the back for a job well-done. “I’ve had customers call me up to tell me what a fantastic job one of our employees had done with them,” he adds. Kelly says they try to provide something to every organization that comes to them. “We have found consumers like us to be involved, so we’re involved in the Mayor’s 5K race, the volunteer fire departments and a bike rally,” he says. www.TheHardwareConnection.com

A bigger, more beautiful store has opened up many new opportunities for Woodland Do it Best Hardware & Home—not just to grow its sales, but to strengthen its role as a destination and resource for the people of Pikes Peak and beyond. “It really has been a dream come true with this new store. We have the greatest view of any hardware store in the U.S.,” says Gene, who is 83 years old and still comes in most days because he enjoys it. He and his wife Rose (who also comes in to help) have been married for 63 years. “We are very honored and humbled to receive the Beacon Award for Best New Store. We are especially proud that we’ve got a nice, new, bigger store that enables us to better serve our customers for many years to come,” says Kelly. n THe HARDWARe Connection ■ Sept/Oct 2015 ■ 49

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THe HARDWARe Connection ■ Sept/Oct 2015 ■ 51

Best New Store

Under sq. 20,000 ft. Click to Watch Brady & Cavany Ace’s Beacon Award Presentation Video

Brady and Cavany Ace

Tunkhannock, Pa.

Mallia Evans is manager for Brady and Cavany Ace Hardware in Tunkhannock, Pa.

Bob Sherwood and Randy Cole have

owned and operated many successful businesses through the years including stone quarries, car dealerships and hotels. A few years ago they bought a 75,000-square-foot abandoned Walmart building and before they knew it, they were in the hardware business.

52 ■ THe HARDWARe Connection ■ Sept/Oct 2015

www.TheHardwareConnection.com

Bob and Randy approached Ace Hardware about the possibility of opening an Ace store because they felt the town of Tunkhannock, Pa., was underserved by its current hardware retailers. They decided to place an 18,000-squarefoot retail store in the old Walmart building that would feature 10,000 square feet of hardware and 8,000 square feet of outdoor sporting equipment and work clothing. The sporting goods side came from purchasing Brady and Cavany Sporting Goods, which had been operated by Giles and Mallia Evans until a tragic accident in 2011 when Giles was hit by a car and unable to return to work. Bob and Randy not only wanted to adopt the Brady and Cavany name, they wanted Mallia to run the hardware store for them. Brady and Cavany Ace Hardware opened in February 2014 and was an instant success. By the end of the first year sales had reached nearly $1.9 million with average transaction size of $37.04. So far in 2015 sales are up 35 percent. “I knew this store would do well, but we ended up hitting a home run,” says Mallia, who manages the business with www.TheHardwareConnection.com

Above: A map behind the checkout counter shows where the store’s customers hail from, with nearly all of the states represented as well as a number of countries. Right: The key to success in clothing is to keep looking for new and different items so the selection does not get stale. Lower Right: Guns, ammo, archery, hunting and fishing supplies are displayed inside the log cabin.

a keen eye for detail and a knack for connecting with people. Hunting, fishing and archery products are displayed inside a log cabin that is designed to be part of a cut-off corner like a “building within a building,” with its own porch and a corrugated tin roof. THe HARDWARe Connection ■ Sept/Oct 2015 ■ 53

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Jack Brady, who co-founded the original sporting goods store, was brought in as a co-manager to help run that part of the business. Dressing rooms for the Carhartt clothing department are designed to look like outhouses, while the log cabin’s porch is space for the live bait room. They installed four large aerated tubs with various sizes and types of live bait. Glass walls were installed around them so that the kids can watch as their bait is collected. This has proven to be a favorite with the local children and their families. Blending the various niches and categories with a traditional Ace Hardware layout proved to be challenging, yet extremely rewarding. Mallia and Jack realized that they did not want to separate the two parts of the business on the retail floor, so elements of each were fused together. “We do a lot of business with Carhartt, which picks up in the fall and winter when our hardware sales start to drop,” explains Mallia. Plumbing and electrical are strong core categories and paint is big in the spring. “We’re looking to expand paint while developing more www.TheHardwareConnection.com

Left: Half of the staff are women, which gives them insights into the needs of their female customers. Right: The large Carhartt clothing section brings in customers during the slower fall and winter seasons.

categories that the community is interested in like canning and organic gardening,” she adds. The most impressive accomplishment for Brady and Cavany is the level of success they had their first year considering the amount of competition within the market. The store passed its pro forma predictions within six months of opening and exceeded by 72 percent by the end of their first year of business. It has been a great blend of both B2B as well as DIY sales. The local economy has been boosted significantly by gas fracking. Contractors working on the gas and pipe lines are required to wear fire-retardant clothing at all times and also need unusual items like 48-inch aluminum pipe wrenches, so Mallia and her staff have learned to meet those needs. “Our staff is the cream of the crop. We get comments from our customers all the time about our employees’ willingness to go above and beyond to help THe HARDWARe Connection ■ Sept/Oct 2015 ■ 55

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them. You can build the most beautiful store in the world, but to have customers who trust you and are loyal to you you’ve got to have staff that do whatever it takes to help,” says Mallia. “Half of our staff is women, so they are very qualified to pick out products women are looking for to meet their needs,” she adds. “And we’ve got five associates who used to work at Proctor & Gamble and they are inherently problem solvers.” Mallia has had lots of questions since she was new to hardware, but she says Ace always gets back to her with answers. “Ace has my back and has a good support system with lots of research and advice on things like employee scheduling,” she says. Since the store is located across the street from a new Walmart Supercenter, Mallia has worked hard to identify and develop niche categories such as grills and accessories, small engine repair and patio furniture in addition to hunting, fishing and clothing. They are proud of their involvement in The Tiger Club, which works with educationally challenged kids. The store brings these children into the business once a month and pairs them up with a store associate to learn how to interact with customers. They also support the Jakes Program, which teaches safe hunting practices to young hunters. “I do this work because I love what I’m doing, so to be recognized as the best overwhelms me,” comments www.TheHardwareConnection.com

Manager Mallia Evans likes the support she receives from Ace and in turn, she makes sure her staff takes care of the needs of their customers.

Customers still comment nearly every day on how much they love the store.

Brady and Cavany Ace opened in February 2014 in an abandoned Walmart building.

Mallia. “Randy and Bob trusted me to do this store with their money, and winning the Beacon Award is like a little gift to show them they did the right thing. I chose the right people to staff this store and they make the dream come true every day,” she adds. n THe HARDWARe Connection ■ Sept/Oct 2015 ■ 57

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Rogers Do it Best Hardware underwent an expansion and remodel in 2014 that greatly increased the store’s appeal to customers.

Retail Beacon

Award

Rogers Do it Best Hardware Sparta, Mich.

Click to Watch Rogers Do it Best Hardware’s Beacon Award Presentation Video

Rogers Do it Best Hardware has been

meeting the hardware needs of customers in downtown Sparta, Mich., since William Rogers started the business in 1928. His great-grandson, Paul Rogers, now operates the business as a fourth-generation owner with his wife, Becky.

www.TheHardwareConnection.com

Paul and Becky purchased the store in 2000 from Paul’s father, operating in the same downtown location they have been in since 1967. After successfully growing the business for five years, they found it was increasingly a struggle to keep growing with their 6,000-square-foot space. They had made minor changes to the interior and tried several different

THe HARDWARe Connection ■ Sept/Oct 2015 ■ 59

The Rogers relied on customer feedback to make the decision to stay with a downtown location.

layouts, but knew their growth options were limited if they didn’t explore ways to expand. They considered buying land outside town, but a customer survey conducted by their co-op convinced them that their customers wanted them to stay downtown and continue serving as an anchor business. The Rogers were offered the chance to purchase the vacant building next door and soon tore that building down. “We also needed the village to tear

Becky Rogers handles the day-to-day operations for the business.

down another building so we’d have increased visibility and parking,” Paul explains. With the help of Do it Best’s Signature™ Store Design program, the Rogers were able to construct a brand new store that opened May 2014 with an additional 4,000 square feet of selling space. Paul maintains a full-time job outside the store while Becky manages the dayto-day operations. This arrangement

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Do More With Less. The clothing section drives foot traffic at the Do it Best store, which was founded in 1928 by Paul Rogers’ great-grandfather, William Rogers.

made it easier for Paul to come up with a strategic vision for what the store could be, with Becky working with store designers to make it a reality. The new Rogers Hardware offers a modern yet classic hardware store look and feel. The exterior is sleek and integrated into the look of downtown Sparta, and the interior is both inviting and spacious. As Becky points out, “The store’s design allowed us to celebrate our history and our town’s history while bringing an updated look to Main Street.” “Our customer counts and transaction size have gone up significantly and we’ve seen a double-digit increase in sales since the expansion, and we expect that trend to continue,” Paul says. In addition, they have received lots of positive comments from customers about the store’s expanded assortments and improved look. www.TheHardwareConnection.com

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Paul and Becky say Do it Best has been very instrumental in their success through the years, but especially with The electrical, plumbing and fasteners the interior and exterior design of the departments were all beefed up as a new store and keeping them on track to result of the expansion. meet their grand opening date. Rogers Do it Best Hardware is actively involved in the Sparta community, providing donations and support to numerous local organizations and hosting their own annual Buck Pole hunting celebration event as well as an annual Customer Appreciation Day. Paul and Becky Rogers have positioned Paul and Becky have adopted a traintheir store for future growth by finding a way to combine the new with the old. ing program for new hires that emphasizes a quick greeting to customers when With the extra space the Rogers have they enter the store and to assist each customer with what they need right to grown their Carhartt clothing section, the register and carryout. With the new making it one of the best in the region. store’s bright LED lighting both inside They worked hard to make the clothing section feel both independent from and outside, customers discover a much more inviting shopping environment. the rest of the store while still being a As Paul points out, “We now stand part of it, maintaining a dedicated space with separate dressing rooms for added out as a store of first choice for our customers instead of their last option.” privacy and security. Adds Paul, “We are very excited and A well-designed and well-stocked honored to be chosen to represent Do paint area has revitalized sales in this it Best with the Beacon Award. This is core category. something positive that we and our The electrical, plumbing and fastenexcellent team of employees can share ers departments were all beefed up and a large grill display was added as a with our customers.” Paul and Becky have successfully done result of the extra space. what some independent retailers have In all, more than 1,000 SKUs have struggled to achieve: they have embraced been added to the mix. The Rogers the new without sacrificing the old. In the are going back through the store and tweaking displays and assortments and process they have built a new store that will better serve their community’s needs making sure everything is exactly the for many years to come. n way they want it. 62 ■ THe HARDWARe Connection ■ Sept/Oct 2015

www.TheHardwareConnection.com

Do it Best Corp. Congratulates its Two Beacon Award Winners

Woodland do it Best Hardware and Home Woodland, Colo. Best New Store Over 20,000 sq. ft. Owner: Kelly Rodarmel

rogers do it Best Hardware sparta, mich. retail Beacon Award Owners: Paul and Becky Rogers

(Left to right): Gene and Kelly Rodarmel of Woodland Do it Best Hardware & Home in Woodland, Colo.; Rob Schmiedel of Do it Best Corp.; and Becky and Paul Rogers of Rogers Do it Best Hardware in Sparta, Mich.

BeACOn AWArds: The Industry’s Awards Program Honoring the Best retailers

Retail Beacon Award Earl’s True Value | Fredericksburg. Va.

Click to Watch Earl’s True Value’s Beacon Award Presentation Video

arl’s has been on the same corner in Fredericksburg, Virginia for 70 years, first as a grocery store and then as a True Value Hardware store beginning in 1991. Earl Broyles was known for coming up with unique ideas to make his independent grocery business successful. Earl’s son, Wayne Broyles, has run the True Value store with help from his wife Donna, and he is preparing to pass

64 ■ THe HARDWARe Connection ■ Sept/Oct 2015

Wayne Broyles and his daughter Keri DeBernard have positioned Earl’s True Value to be successful for another generation.

on the business to his daughter, Keri DeBernard, who grew up bagging groceries in the family grocery store. Keri joined her dad when he opened the True Value business, helping to computerize the store. To ensure the next generation of the family had a vibrant business to run, Wayne remodeled the store to the complete Destination True Value format this www.TheHardwareConnection.com

Left: The fasteners department doubled in size as a result of the recent remodel. The U.S. Post Office station generates over $1 million in annual revenue while boosting foot traffic.

year. A grand reopening celebration was held in June. According to Wayne, not a day goes by that a customer doesn’t make a positive comment about the new look of the store, which features a 23,500-squarefoot sales floor. “It really pulls in the

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The store has established a niche in wild bird food.

independent grocer that didn’t have a lot of help against the rapid expansion of large grocery chains. “When we joined True Value, which was Cotter & Company at the time, as long as you supported them nearly 100 percent they would support you and that’s remained true,” Wayne says. “True Value has never told me ‘no’ for something I’ve asked and they have always been there for me.”

Earl the mechanical horse has been used to entertain customers’ kids since 1958, with the trip meter registering well over one million rides.

As part of the remodel project Earl’s closed a rental department and used that space to beef up assortments in other areas. They doubled the size of their fastener department and now have the largest assortment of fasteners in the area. In 1999 they added a U.S. Post Office station, which has grown to be over a

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million dollar business that generates consistent foot traffic. Small engine repairs and wild bird products are other traffic-building niches and Earl’s is one of the top Weber grill dealers in the region. From the time a customer walks in the door, it has to be a pleasant experience for them, Wayne stresses, believing that you have to use advertising and social media to tell your customer base every day what you are and what you have. “Otherwise they will forget you and not keep your store top of mind,” he says. “And my dad taught me if you have customers standing in line ready to give you money and you’re not ready to take it then you better get out of the business,” he adds.

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Wayne plans to turn over day-to-day operations to Keri this winter but will still handle the payroll and buying for a little while. Through the years Wayne has emphasized his retail principles to his daughter: Your customers are the most important part of your business. And as an independent retailer, they need to see you out on the sales floor, because that’s where you make your living. New shelves were installed as well as energy-efficient lighting that makes the store more inviting to customers. As Wayne explains, “Our employees like coming to work every day at a place

Wayne Broyles is turning over the dayto-day operations of the business by the end of the year to his daughter, Keri DeBernard.

that’s new and fresh. Customers like doing business with people and companies that they view as successful.” Earl the mechanical horse has been in use since 1958, with the trip meter registering well over a million rides as a third generation of kids is now enjoying it. Earl Broyles bought the horse at an auction and his idea was to hand out tokens to paying customers so their kids could ride for free. But he could not get the token made right—it was either too heavy or too light and would get jammed. In any event, Wayne says he knows there would be a customer revolt if he ever took out Earl the horse. With a major remodel behind it and a succession plan firmly in place, Earl’s True Value stands poised to be successful for another generation. For Wayne Broyles, winning the Retail Beacon Award is a surprising but fitting culmination to a lifetime as an independent retailer. “I can’t believe it happened, because there are so many successful hardware stores out there,” he says. “It hasn’t really sunk in yet, but we are very honored.” n www.TheHardwareConnection.com

True Value Co. Congratulates its Beacon Award Winner

Earlʼs True Value Fredericksburg, Va. Retail Beacon Award

Owners: Wayne & Donna Broyles

True Value’s Joe Miller (right) with Wayne and Donna Broyles of Earl’s True Value in Fredericksburg, Va.

BEACON AWARDS: The Industry’s Awards Program Honoring the Best Retailers

Retail Beacon

Award

Basic American Supply Colorado City, Ariz.

Click to Watch Basic American Supply’s Beacon Award Presentation Video

Basic American Supply opened in July 2014 in Colorado City, Ariz.

hen the only hardware store in Colorado City, Arizona, closed in 2012, it left a void in the small town. Chuck Bradshaw and Richard Timpson came to the rescue, relying on major assistance from Orgill to open Basic American Supply as a ground-up store in July 2014.

“There was a need for a hardware store in town and we jumped on it,” explains Chuck, who serves as manager of the store. Richard also owns a carpet/flooring store in the area. An additional business interest is a small grocery in Colorado City. Basic American Supply features a 20,000-square-foot sales floor with ample space devoted to all the core categories, with a focus on name brand products. The fasteners section is one of the top departments,

70 ■ THe HARDWARe Connection ■ Sept/Oct 2015

www.TheHardwareConnection.com

RETAIL READY SCAFFOLDING

FOR YOUR STORE Right: With the successful launch of their first store behind them, the Fichtners are finalizing plans to open a second store next year.

Chuck Bradshaw serves as manager for the Orgill store.

Left: Opening up a hardware store makes it easy for the Fichtner family to spend more time together. Shown here with David and Carolyn are their kids (from left to right) Jonathan, Ina, Anne, Ilga and Michael.

along with paint, plumbing and hand tools. They continue to tweak their assortments of household goods and hardware items based on customer feedback. Chuck notes that they have completely changed their sprinkler assortment due to customer suggestions. Chuck and Richard relied on Orgill to help them plan out the design and core assortments for the store, since they were new to the hardware industry. “The number one thing we like about Orgill is their excellent, impeccable customer service. They have top-notch people throughout the company and have been instrumental to our success,” says Chuck. He also likes Orgill’s large option of vendors to choose from, which helps them compete with the big-box stores 50 miles away. www.TheHardwareConnection.com

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The store carries household goods and gift items such as toys, school supplies, clothing, greeting cards, glasses and everyday staples such as glasses, napkins, tissues and even diapers. Serving the community like a general store not only attracts female shoppers, it means locals don’t have to

Left: The 20,000-square-foot sales ﬂoor features strong assortments in the core categories. Right: The 12,000-square-foot garden center is a drawing card for female customers.

make a long drive to a bigger city, Chuck points out. The 12,000-square-foot garden center has turned into a destination for female

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customers, who have nowhere else in town to get green goods. The store has been selling a lot of major appliances, which helps raise the average transaction size. Camping products is another strong niche, while a small food court serves as a convenience to entice customers to linger in the store. Developing a niche in farm and ranch products has led feed to become one of the top-selling categories. Rental is turning into a good profit center, so they are planning to expand the rental department as they become more familiar with what pieces of equipment are in demand. The store does a lot with Facebook and also uses email blasts, some door-to-door flyers and Orgill’s monthly circular program to raise awareness about the store. Basic American Supply’s 12 employees undergo in-house training and meet with managers on a regular basis to ensure the store delivers exceptional customer service. The next big initiative is to greatly expand the lumber area so Basic American Supply can operate as a full and complete lumber and building materials retailer. Sales have doubled in the first year since their first month and Chuck says they anticipate continued growth as more local residents discover what the store has to offer. He says, “Winning a prestigious award like the Beacon Award is quite an honor and we’re very appreciative of the recognition.” n www.TheHardwareConnection.com

Top: Rental is turning into a strong contributor to profits. Middle: A lot of space near the checkout is devoted to impulse items such as snack food, batteries and toys to boost transaction size. Bottom: Selling major appliances helps boost the average transaction size.

THe HARDWARe Connection ■ Sept/Oct 2015 ■ 73

Orgill Inc. Congratulates its Beacon Award Winner

Basic American Supply Colorado City, Ariz. Retail Beacon Award

Owners: Richard Timpson and Chuck Bradshaw

Orgill’s Ron Kennedy (right) with (left to right): Richard and Rebecca Timpson, Chuck and Fawnetta Bradshaw of Basic American Supply in Colorado City, Ariz.

BEACON AWARDS: The Industry’s Awards Program Honoring the Best Retailers

Retail Beacon Award Islands Ace Hardware

Savannah, Ga. Islands Ace features 13,000 square feet of retail selling space plus a 5,000-square-foot garden center.

Click to Watch Islands Ace Hardware’s Beacon Award Presentation Video

andy West has lived on Wilmington Island, which is located in Savannah, Ga., for most of his adult life. He has been in the retail business since 1975, working in grocery stores and owning package shops. He cares greatly about his quaint island community, so when he saw a business need in his community, he acted. There was an Ace store next door to Randy’s package shop that closed after the owner died. “I knew we needed a hardware store here on our little chain of islands, so I contacted Ace. They convinced me to seek a better location,” he explains. The new 13,000-square-foot, ground-up store he opened in March 2007, Islands Ace Hardware, is the anchor for a busy shopping plaza. The business has attained outstanding growth year after year www.TheHardwareConnection.com

The recently expanded garden center is the topselling department for Owner Randy West.

THe HARDWARe Connection ■ Sept/Oct 2015 ■ 75

Before deciding to open a hardware store, Randy visited Ace stores around the country and came away impressed with the unique ideas he saw. His store The store sells unusual items that are a now sells unusual items that make perfect fit for an island locale such as golf sense for an island locale such as golf carts, fishing tackle, bait and crab traps. carts, fishing tackle, bait and crab traps. Total sales rose 15 percent last year and are up another 13 percent this by focusing on the demands of cusyear, while average transaction size has tomers and striving to exceed their increased 17 percent since 2011. expectations. When he opened the store, Randy’s Randy handles the marketing and goal was to attract female customers long-term strategy for the business while his manager, Ron Robinson, han- with a gift shop and clothing area. Once dles the daily operations. Randy’s oldest in the store these female shoppers would get interested in paint, grills and son, Brian, also works in the store.

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Randy West uses the clothing and gift sections to attract female customers.

more, he reasoned. It’s been a successful strategy so far, with female customers accounting for roughly half of sales. The clothing department is a main attraction at Islands Ace. The store sells a line of local clothing, “Nine Line,” that supports the Wounded Warrior Project. Randy places a heavy emphasis on local products in the gift and clothing areas, utilizing local artists and crafts people to make these areas unique and inviting. Local products include everything from upscale soaps, honey, coffees, furniture, art and jewelry to special barbecue sauces. “I never knew how many local people make stuff,” he says. “I like to support entrepreneurial people. It’s a win-win for everyone,” he says. The key to success in the clothing and gift sections is to be constantly looking for a new direction with a unique offering, he adds. Randy is proud of his store’s reputation for excellent customer service. The store has completed the Helpful 101 and 201 certification through Ace. He credits Ace with being supportive of www.TheHardwareConnection.com

E-mail

Website

Islands Ace features local products in its gift and clothing sections.

The grill and barbecue accessory area has developed into a strong niche.

his business and offering the tools he needs to succeed. “My retail philosophy is to have a clean, well-lit and well-merchandised store that treats each customer the same with exceptional service whether they are buying a nut and bolt or a golf cart,” Randy says. Islands Ace averages two to three special events each month including hosting a dog adoption in the parking lot once a month on a Saturday, supported by discounts on pet products. A large section is devoted to wild bird products, and to further boost customer traffic a U.S. Post Office station was added in 2014. The recently expanded garden center is the top department for Islands Ace. Randy imports at least two containers of pottery each year in order to offer a wide assortment of styles and colors, with a 50 percent off pottery sale held each January to keep the garden center top of mind for spring. Randy strives to find the right talent to fill the right positions in the store 78 ■ THe HARDWARe Connection ■ Sept/Oct 2015

and then encourages them to use their creativity. The garden center is staffed by people with great passion for plants and plant care, while the ladies who manage the gift and clothing departments have a passion for design and develop great-looking displays. He shows his appreciation to his staff by hosting large parties in the spring and at Christmas with a band, catered food and fun activities. Randy recently broke ground on a new Ace store he is opening with friends in North Carolina and he is tentatively planning to break ground on a third Ace store in the Savannah area in about two years. “I get bored doing the same thing day after day, so I’m always looking for a new challenge,” Randy says. “With so many great stores in the industry, it’s a big honor to be recognized with the Retail Beacon Award,” says Randy. He credits his team of 40 employees for creating a successful store that customers want to keep shopping and vows to remain proactive at keeping his store relevant with the local market. n www.TheHardwareConnection.com

Ace Hardware Corp. Congratulates its Two Beacon Award Winners

Brady and Cavany Ace Tunkhannock, Pa. Best New Store Under 20,000 sq. ft. Owners: Bob Sherwood and Randy Cole

Islands Ace Hardware Savannah, Ga. Retail Beacon Award Owner: Randy West

(L to r): Ben Battaglia of Ace Hardware Corp.; Randy Cole, Jack Brady and Mallia Evans of Brady and Cavany Ace; Diane Lyon and Randy West of Islands Ace; Tom Romagnoli and Dave Atkins of Ace Hardware Corp.

BEACON AWARDS: The Industry’s Awards Program Honoring the Best Retailers

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of the 2014 Beacon Awards

2015

marks Sunnyside Corporation’s 123rd marks Sunnyside 121st year of conyearCorporation’s of continuous business operatinuous operations. From its itshumble humble beginnings tions. From beginnings in in 1893, tothe thepresent, present, Sunnyside remains family-owned and man1893, to Sunnyside remains family-owned and managed. aged. Through four generations, Sunnyside’s core values not Through four generations, Sunnyside’s core values have have not changed: changed: to offer its customers innovative, high-quality products couto offer its customers innovative, high-quality products coupled with pled with unparalleled customer service. unparalleled customer service.

2014

Henry Lueders founded H. Lueders & Company in 1893 on the north side of Chicago distributing kerosene and other oils from a horse-drawn wagon. Sunnyside served a growing customer list with “route” trucks that filled instore bulk containers with basic chemicals, including kerosene, naphtha, linseed oil, syoleum spirits and others. By 1920, the company expanded to a new location on the northwest side of Chicago, and changed the company name to Sunnyside Corporation. In 1928 Sunnyside pioneered the packaging of solvents and chemicals into consumer-oriented containers. 80 ■■ The THe hARDWARe HARDWARe Connection Connection ■■ October Sept/Oct2014 2015 48

Those early containers reflected the yellow and black graphics theme that has evolved into the highly recognized Sunnyside packaging of today. Now, under the leadership of Robert Lueders, the great-grandson of the company founder, Sunnyside continues to aggressively move into new markets, expand its customer base and introduce new products to keep up with everchanging environmental regulations. Sunnyside continues to improve and expand its manufacturing capabilities, with significant on-going capital investment in automated equipment and high-speed filling lines.

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Sunnyside Corporation’s main manufacturing facility is in Wheeling, Ill.

Sunnyside’s manufacturing and distribution facility is centrally located in Wheeling, Illinois. Sunnyside also has a distribution center in Southern California, facilitating timely shipments throughout the Western United States, Canada and Mexico. Quick turnaround, timely shipping, high levels of product quality, flexibility and urgency in addressing the needs of its customers are important to Sunnyside. Sunnyside carries a full line of retail thinners, solvents, paint removers, cleaners and mildew treatments marketed under several brands including Sunnyside, ProSolutions, Green Envy, Back to Nature, M-1 and 2-Minute Remover. Sunnyside’s product lines, which are available for sale in every state, are positioned to meet or exceed environmental regulations across the country and customer needs. “Innovative Products for Today and Tomorrow,” Sunnyside’s hallmark for over 120 years.

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The company was founded by Henry Lueders in 1893.

THe TheHARDWARe hARDWAReConnection Connection■■Sept/Oct October 2015 2013 ■ 81 49

hardlines digest

By John Fix III

Advertising Rethinking Strategies

ith consumers increasingly turning away from print media as they digest more content via mobile, online and digital media, how are retailers adapting? Hardlines Digest users posted a variety of thoughts on how they are rethinking their advertising strategies.

percent margin, without weekend-specific advertising, or a $25,000 spring Saturday at a 5 percent margin, which would you consider a greater success? Please facAlan Talman of Karp’s Hardware in East tor in the advertising cost to generate the Northport, N.Y., noted that he has followed extra sales.” Brandon Buckalew of Hardware Hank corporate guidance, vendor guidance and in East Grand Forks, Minn., responded retailer feedback on various advertising programs for years. Recently, he has seen by posting, “The idea is that you create awareness. Suppose you are doing a big comments about large advertised weekgrilling event. Not everyone needs a grill end or week-long events with multiple right now. But if you do the event enough advertising sources in which the object and they see the ad, then the hope is that was to break even or barely wind up on you are top of mind as the grilling destinathe plus side. “You are all familiar with the drill: spend tion. You might not generate that sale during that event, but that event might be the big money on ads, stock up on seasonal reason you get a sale down the road.” goods, work plenty of extra time, take He added, “Giving away hot dogs and big risks on inventory with your cash and hope for nice weather to drive extra sales. doing grilling demos is hard to generate Lately, the overall potential upside of these sales. When someone is coming to the ad campaigns is measured in single digits store for $30 worth of fertilizer, they aren’t planning on dropping a few hundred of margin,” he posted. that day, so it’s hard to close the sale. But Talman added, “In my book, that when they are in the market for a grill, they equates to losing money. I’ve seen dealremember they did get some samples at ers happy with the fact that hundreds of your place one time.” dollars was ‘made’ on tens of thousands Buckalew continued, “No one will in sales. So herein lies the question: If you could have a $10,000 spring Saturday at 42 come to you if they don’t know what 82 ■ The hARDWARe Connection ■ Sept/Oct 2015

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hardlines digest you have. Who do you suppose is top of mind for furnace filters, dryer vents, light bulbs, paper towels and batteries? These are items that just about everyone uses daily, if not weekly. Why isn’t everyone in town coming to my store to buy all of these? Well, because the grocery store advertises them and so does every bigbox store. So let people know you have them, give them a helluva price to get them in the door for their first trip, serve the heck out of them and hope that they will remember you the next time they need those items.” Matt Mazzone of Mazzone Ace Hardware in Brooklyn, N.Y., chimed in that when he looks at advertising as a whole, his goal is typically to drive new faces into his store and get them to think of his store first. “I think almost all of us would take the 10K day at 42 percent margins, but if that 25K day brought in a whole bunch of new faces along with future sales—and not just our regulars who were looking to take advantage of some deal—then there may be more long-term benefit to giving up that margin for that one day.” Mazzone added, “Our regional group is going to try a 20 percent off any purchase coupon using an EDDM (Every Door Direct Mail) piece. It’s going to be interesting to see the results. As a rule, I hate sales like that, but the one store in our group who is doing it now is seeing an 8 percent redemption rate, which is unheard of for EDDM. That’s a lot of new faces walking in the door that we can convert to potential

customers. So while margins might suck on those sales, the long-term benefit of that customer should more than make up for it.” Phil Brakefield of Unisource in Chicago said, “The traditional thought pattern of getting a customer to make a sale is totally upside down. The formula should be to have a sale to get a customer, with a true understanding of customer lifetime value. The one and done stuff, especially when you are giving it away, is crapola and will bury you. I like what both Brandon and Matt say, but would add that once you have those new faces, that’s where you spend your promotional dollars.” Brakefield continued, “You have to cultivate and water those new faces pretty often, in many different ways, to get them to consistently open their wallets at your store. Doing that doesn’t have to cost a whole lot of money, but the intent, as Brandon says, is to have your store top of mind when they do need something. Much better to spend as much as you can

84 ■ The hARDWARe Connection ■ Sept/Oct 2015

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Mazzone Ace Hardware in Brooklyn, N.Y., looks to drive new customers to the store with its advertising.

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hardlines digest to cultivate people who have already raised their hand and said, ‘I like what you do/what you have’ vs. pouring money out of a boot by papering the world, most of which has no interest in what you do and what you have and trying to create that interest.” Virgil Cox at Cox Hardware in Houston noted that they dropped print advertising five years ago in favor of web advertising. “We have the web site itself, we send out a few emails a month and we also run some ad-word and site placement ads. We also work consistently on key word association and trying to improve the information on the product pages for popular items. We recently upgraded our site to a responsive design to better serve mobile visitors. It’s interesting to see how many people are viewing through smartphones now. It’s no wonder that Google had to cater more to this crowd. We also use Search Network advertising for some ad campaigns,” he posted. Brakefield responded, “If you can offer some ‘tripwire’ incentives to get viewers to give you their contact information you should be able to dramatically increase your ROI and really drive down the cost of customer acquisition. And you are totally correct about more and more stuff being opened on phones and tablets, and even within that phenomenon the move to video content is overwhelming. Millennials are indeed changing the landscape of retail, and traditional lines of 86 ■ The hARDWARe Connection ■ Sept/Oct 2015

corporate structure need to be reassessed and realigned. Not doing so will result in being left in the dust.” Mike Kurzeka of Franklin’s Hardware in California wondered about retailers’ experiences with mobile advertising and in-app advertising. “I was approached by a company to do this. Basically I set a range on the map to target people and when they enter that range when using different apps on their phones my ad will show. Anyone have any experience or success with this?” he asked. Eric Jensen of Cleveland Ace and Holly Springs Ace in North Carolina responded that he’s been doing some mobile advertising the last year and it’s been great. “My ads show up in Google News, Yahoo News and on free games. It’s all targeted by the zip codes you select. I’ve gotten feedback from people who have seen my ads. It’s really difficult to attribute sales growth to any particular ad medium, but our margin dollars are up 15 percent this year and I can’t argue with that. And it’s relatively cheap.” Jensen continued, “With Google Ad words, you pay for what you get. www.ThehardwareConnection.com

Same for Facebook ads. Having a Facebook page is not the same as running Facebook ads. It is possible to waste some cash, in particular with old media trying to grab new media dollars. I ran a not inexpensive social media program through our local paper. As part of the deal they give me all the customer data for people who clicked my ad. I compared their click data with my customer data from the event and not a single person who clicked the ad took advantage of it.” He added, “Be wary of anyone who calls you out of the blue. There are a lot of companies out there that will charge you a lot of money for something that takes very little effort. If they set up your account using their ID and password it can be difficult to wrest back control. Some are like the people who want to charge you $100 for the Dept. of Labor posters for your breakroom. To a certain extent it’s extortion on Google’s part. I opened a second store about three years ago and could not get the store to show up in key search phrases. Once I started advertising on Google I’m all over the search results for paint, hardware, grills, etc. I only spend a few hundred bucks a month on Google, but it’s a heckuva lot cheaper than the old Yellow Pages, serves the exact same purpose and is much better targeted.” Kurzeka responded by pointing out he signed up with a local company called Rain Local that hosts in-app advertising to targeted zip codes. “I’m running a $5 off $25 promotion and so far out of about www.ThehardwareConnection.com

5,000 ads I have one who clicked for directions to my business. Not sure that it works in my area. Luckily, I got the mobile deal for half off and guaranteed money back if no results. I also hired a social media management company to manage my Facebook, Google+, Twitter, Yelp and Foursquare. They seem to be doing a great job at engaging people organically without having to boost posts or spend extra dollars advertising.” He continued, “My biggest concern that you touched on is Google search results. I have one True Value store and our website is a Trusite format—not originally created, no original content and everything links to Truevalue.com to shop. I’m debating whether or not to spend the money to have a new website created and then spend the money with Google to optimize my search results.” n John Fix started the Hardlines Digest in 1996. The list was run for many years using servers in John’s hardware store, but recently the list migrated to Google Groups. There are currently more than 1,500 subscribers reading Hardlines Digest. To read more or subscribe, go to www. hardlinesdigest.com. The hARDWARe Connection ■ Sept/Oct 2015 ■ 87

Sherwin-Williams Offers the Right Brands to Drive Sales

SHERWIN-WILLIAMS IS A PROUD SPONSOR OF THE 2015 BEACON AWARDS

ounded in 1866, The Sherwin-Williams Company® is a global leader in the manufacture, development, distribution, and sale of coatings and related products to professional, industrial, commercial, and retail customers. With global headquarters in Cleveland, Ohio, The Diversified Brands Divisions’ customers are sold through leading mass merchandisers, home centers, independent paint dealers, hardware stores, and industrial distributors.

The Sherwin-Williams® Diversified Brands Division has built a strong family of national brands such as Krylon®, Dutch Boy®, Pratt & Lambert Paint®, Minwax®, Purdy®, White Lightning Caulk® and H&C Concrete Stain®. In 1947, a Philadelphia businessman, Howard E. Kester, revolutionized the paint industry and founded Krylon, Inc., the first and still largest supplier of 88 ■ THE HARDWARE Connection ■ Sept/Oct 2015

aerosol paints in the world. Today, Krylon® is known as an industry leader in product innovation, package design, project inspiration and color. Founded in 1907, Dutch Boy® continues to be an industry leader in delivering innovative and highquality paint products and packaging solutions. Dutch Boy offers a full line of interior and exterior products

COMPANY PROFILE to help you create the perfect room, or enhance the curb appeal of the home. Minwax® dates back to 1904, when Arthur Harrison began testing his new waterproofing and dampresistant materials to see if they would keep the air’s moisture out of homes and buildings. The company’s wood-finishing formula was discovered accidentally while doing a waterproofing project. Minwax moved into the consumer market in the late 1940s and early 1950s, developing the first modern “quick-drying” product. Today, Minwax provides consumers with a complete line of products to meet every wood finishing need. Dating back to 1849, Pratt & Lambert Paint® is the uncompromising paint choice for designers, architects, professional painters and discerning consumers who insist on a flawless finish, beautiful, trend-right colors and true color accuracy. Purdy® was started by S. Desmond Purdy in a converted garage in Portland, Ore., in 1925. Purdy believed that handcrafting the finest painting tools may take

a little longer but was the only way to “build in” superior coverage and performance. It is this commitment to quality that is the foundation on which professionals rely on and is the driving force behind each Purdy brush, roller, and tool that has our name on it. Established in 1929, H&C® Decorative Concrete Products is known for its high-quality, superior adhesion characteristics in its coatings. H&C® has all of your decorative concrete needs—with a wide product offering of stains, sealers, waterproofers, resurfacers and more. Add years of life to new concrete, or revitalize old concrete for much less than the cost of replacement. The White Lightning® line of caulks and sealants has been the choice of building industry professionals and serious do-it-yourselfer for nearly a century. As one of the largest caulk and sealant manufacturers in the U.S., the White Lightning® brand is a market leader in lab-verified, premium performance. No matter what the need, Sherwin Williams’ Diverisified Brands Division can supply the right brands to ensure customer satisfaction and sales growth. THE HARDWARE Connection ■ Sept/Oct 2015 ■ 89

WOMEN IN HARDWARE

Women in Hardware Group Forming

Connections

Left: From right to left: Jessica Zavala, and! Sales Inc.; Jeanne Claire, and! Sales Inc.; Shirley Lee lerardi, Tub-O-Towels; Stephanie, Scheduling+; and Diane Allen, The Hardware Connection. Below: Steve Hildebrandt (left) and Wayne Schultz (right) represented Ettore Products, which sponsored the Women in Hardware™ cocktail reception during the Ace Hardware Fall Convention.

The Women in Hardware™ group recently held three events that gave attendees a chance to network and share ideas. Ettore Products sponsored a cocktail reception on August 20 during the Ace Hardware Convention in Chicago. It was a perfect chance to enjoy a cocktail and unwind after the show while sharing ideas and networking with fellow industry representatives. A luncheon meeting was then held on September 12 during The Hardware Conference in Marco Island, Fla., then during the True Value show in Chicago a dinner cruise on Lake Michigan was held as a social program. The Women in Hardware™ program was developed by The Hardware Connection to facilitate networking and 90 ■ THE HARDWARE Connection ■ Sept/Oct 2015

information sharing, as well as promote leadership roles for women in the hardware industry. More than 60 people attended the first WIH meeting, a luncheon program held during Do it Best’s May Market in Indianapolis. ECi Software Solutions is a marquee founding sponsor of Women in Hardware™, while Ettore Products Company has stepped up to sponsor the inaugural luncheon program at Do it Best and the cocktail reception at the Ace show. At the luncheon in Marco Island, Diane Allen, who directs the program for The Hardware Connection, encouraged those in attendance to share how they would www.TheHardwareConnection.com

Be Part of the Hardware Industry’s Exclusive and Professional Women in Hardware Program! TM

Designed for professional women and men in the two-step hardware industry to exchange ideas, educate, network and provide support and access to opportunities to further careers and help grow the independent channel.

Who’s Eligible to Join?

• Independent Hardware Store Owners and Managers • Vendors Involved in the Two Step Hardware Industry • Service Providers Involved in the Two Step Hardware Industry • Wholesalers/Distributors • Industry Professionals

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• Membership beneﬁts include up to six networking events per year held in conjunction with other industry events. • Each event will have a business focus offering direct and immediate benefits. • Vendor and Service Providers will have the ability to interact with business owners and others in management positions sharing experience, concerns and solutions. • While focus is on women and their opportunities, men are welcome and encouraged to participate to better understand and lend their perspective of the industry.

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WOMEN IN HARDWARE like Women in Hardware to evolve. “This is your group and I want your ideas on what we can do together,” she said. Mallia Evans of Brady and Cavany Ace Hardware in Tunkhannock, Pa., shared thoughts on what it has been like to run a small-town retail business that covers two male-dominated industries: hardware and hunting/fishing. “I think they were waiting for the girl to fail… and she didn’t. A little more than half of our staff is women and they are adapting very well,” she said. Christian Talmadge of Vero Beach Ace Hardware said, “I belonged to a Women in Aviation group and look forward to seeing what’s working in the hardware industry.” “It’s really great that we can make these great connections and share ideas,” said Traci Johnson of ECi. “It would be nice to start a webinar series on a quarterly basis next year. This is a grass-roots effort, so if someone has a specific expertise we’d like them to share.” Lynn Best of Kaba Ilco suggested coming up with an online forum where members could pose questions to the group. “That would work if you get participation from everyone,” she said. Annual membership in Women in Hardware™ costs $149, but until the end of the year you can sign up and receive a charter member discount of $119. Your membership includes an online profile on the Women in Hardware website, access to one professional 92 ■ THE HARDWARE Connection ■ Sept/Oct 2015

Traci Johnson of ECi Software Solutions was given a plaque of recognition by Tom Chasteen during The Hardware Conference for ECi being a marquee founding sponsor of Women in Hardware™.

Jeanne Claire of and! Sales Inc. (left) and Bonnie Perdue of Vet’s Ace Hardware in Lansing, Mich., enjoyed the Women in Hardware™ reception during the Ace show.

A networking reception that was held during Ace’s Fall Convention in Chicago attracted a nice turnout.

Mallia Evans of Brady and Cavany Ace in Tunkhannock, Pa., offered some ideas during the Women in Hardware™ luncheon held during The Hardware Conference.

networking event held in conjunction with a wholesaler market and one during The Hardware Conference, invitation to participate in education webinars and access to the Women in Hardware’s private Facebook group. For more information on the Women in Hardware™ program, contact Diane Allen at 317-432-9177 or diane@thehardwareconnection.com or go to www.thehardwareconnection.com/ women-hardware/. ■ www.TheHardwareConnection.com

Thank You to the Beacon Awards Sponsors The Beacon Awards program is an annual event honoring the best retailers in the industry. They are made possible by the generous support of sponsors who recognize the importance of honoring those retailers who represent the future of the two-step channel. This year’s Beacon Awards were sponsored by Apex Tool Group, Epicor, Sunnyside Corporation, Sherwin-Williams Diversified Brands Division, 3M, The Hardware Conference and The Hardware Connection magazine. They were also co-sponsored by Ace Hardware Corp., Do it Best Corp., Orgill Inc. and True Value Company.

CATEGORY REPORT

PLUMBING TRENDS Sales of Faucets (Independent Hardware Channel) 12 Months % Change vs. Year Ago Faucets: Units . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.6% Faucets: Dollars . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.0% Source: Vista Information Services, div. of Epicor Software Corp.

Unit Sales Breakdown for Faucets Total of 1,440 Items with Sales Total Category Top 5 Items % of Unit Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.8% Top 10 Items % of Unit Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.2% Top 20 Items % of Unit Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17.9% Top 30 Items % of Unit Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24.7% Source: Vista Information Services, div. of Epicor Software Corp.

Seasonality of Sales of Faucets (Index=100) 120 114 108 102 96 90

120

113

114

102

108 97

102 July 96 2014

Aug. Sept. Oct. 2014 2014 2014

105 105

102

Nov. Dec. Jan. Feb. March Apr. May June 2014 2014 2015 2015 2015 2015 2015 2015

Source: Vista 90Information Services, div. of Epicor Software Corp.

Faucets Share of Sales by Type (Latest 12 Months) Kitchen Faucets Lavatory Faucets 0 10 Tub & Shower Faucets Laundry Faucets Shower Faucets Tub Filler Faucets Bar Faucets Other Faucets

45.5% 20

33.4%

11.0% 3.4% 2.9% 2.7% 0.6% 0.5%

94 ■ THE HARDWARE Connection ■ Sept/Oct 2015

Source: Vista Information Services, div. of Epicor Software Corp.

Manufacturers and retailers use Vista’s retail POS and Consumer Panel data to better sell to their customers. Go to www.vistainfoservices.com.

www.TheHardwareConnection.com

Left: Jerry’s Home Center in Eugene, Ore., displays a dominant assortment of toilet seats. Right: Park Supply in Huntsville, Ala., features an 8,000-square-foot plumbing showroom.

projects as bronze, oil-rubbed bronze and polished brass faucet styles are waning in popularity, according to the NKBA. Global demand for plumbing fixtures and fittings is projected to rise 6.2 per- • The NKBA reports the top style trend in kitchen and bath designs cent annually through 2016, according for 2015 was contemporary design, to research by The Freedonia Group. with transitional design growing in Kitchen sinks are starting to trend popularity. away from stainless steel or white, • Bathrooms are increasingly being with splashes of color being used to designed with universal design break up a neutral kitchen. features such as walk-in or roll-in Bath trends include increased demand showers with grab bars and shower for hands-free faucets, curb-less showseats to accommodate an aging ers, floating vanities and large trough population. sinks with two faucets. • White remains the most popular color Undermount sinks were used by 90 for bath fixtures, with white and gray percent of designers last year as vessel being used to create spa-like bathsinks are seeing decreased popularity, rooms with contemporary features. according to the National Kitchen and Brown and bronze are out as color Bath Association (NKBA). choices for baths, according to the Polished chrome faucets are on the NKBA. upswing for both kitchen and bath

PLUMBING BUYING UPDATE •

•

www.TheHardwareConnection.com

THE HARDWARE Connection ■ Sept/Oct 2015 ■ 95

HARDWARE

Ambassador P

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The Hardware Ambassador ProgramTM was created to bring the hardware industry together to promote the independent hardware retail channel as the most efficient and profitable channel to distribute hardware and home improvement products and services.

Vendor Product Listings • View by Wholesaler to Download Product • Ability Listings by Wholesaler Directly into Retailers’ Point-of-Sale Computer Systems

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PLUMBING PRODUCTS

TWO-PIECE CONCEALED TRAPWAY TOILET • The Avalanche CT Two-Piece Concealed Trapway residential toilet is a WaterSense® certified high-efficiency toilet operating at 1.28 gallons per flush. • Concealed trapway gives the base of the toilet a smooth, sleek and almost tailored look that is easy to clean and maintain. • The Avalanche CT toilet, available in white, is offered as an ErgoHeight (ADA compliant) elongated toilet ensuring the maximum in comfort and accessibility. Also available as a onepiece alternative. • Uses the industry’s best components, including a Fluidmaster® fill valve, a quick-acting 3” flush valve and dual siphon jet. Gerber 866-538-5536 www.gerberonline.com www.TheHardwareConnection.com

BRUSHED NICKEL TWO-HANDLE BATH FAUCET • Oxby Spot Resist™ brushed nickel finish resists fingerprints and water spots for a cleaner looking bath. • Two–handle lever handles make it easy to adjust the water. • 4” center-set design allows for easy installation and clear laminar stream provides for a beautiful water presentation. • Meets EPA WaterSense® criteria to conserve water without sacrificing performance. Moen 800-289-6636 www.moen.com THE HARDWARE Connection ■ Sept/Oct 2015 ■ 97

Real-World Advice from Independent Hardware Store Owners

Join a growing community of thousands of independent hardware retailers Practical tips from fellow retailers delivered fresh daily to your email inbox Share your expertise and learn from your peers

Get in on the conversation at

www.hardlinesdigest.com

“ I created Hardlines Digest in 1996 as a way for my fellow retailers to swap tips about the nitty-gritty of running an independent hardware store. Today, it’s grown to a community of thousands of independent hardware store owners just like you. I hope you’ll join today and start sharing your own expertise.” —John Fix Owner, Cornell’s Hardware Eastchester, NY

Proudly Independent. Powered by You.

100E% E! FR

E-mail

Website

IN THE NEWS NEW STORES: • •

•

Westlake Ace Hardware held a grand opening for its new store in Beatrice, Neb., and announced plans to open a new store in Lewisville, Texas, later this fall. Hardman Supply Company opened its seventh store in Ripley, W. Va. Gina Schaefer and Marc Friedman are opening their 11th store, Adams Morgan Ace Hardware in Washington, D.C. Jason Melcher and John Niederauer opened their fifth store, Dell Rapids Ace Hardware, in Dell Rapids, S.D. Parkrose Hardware, part of Central Network Retail Group, is opening a new store in Vancouver, Wash. Nuts and Bolts True Value opened a new store in Kearney, Mo. Gordon Sterk is opening a new Johnston Ace Hardware in Ankeny, Iowa. Thompson Ace Hardware is opening in Jacksonville, Fla. The Buehler family is opening its 16th Ace Hardware store in Cleveland. Kerry and Carole Demars have opened Grafton True Value Hardware & Lumber in Grafton, N.D. Jeremy and Les Melnick have opened a new Gordon’s Ace Hardware in the McKinley Park www.TheHardwareConnection.com

•

neighborhood of Chicago. Jeff Rogers opened Wayland Ace Hardware & Home Design in Wayland, Mass. ShaRee and Travis Scott are the new owners of Parks Brothers Ace Hardware in Okemah, Okla. Decatur Farmers Co-Op True Value has opened in Decatur, Ala.

KUDOS TO: •

•

Nunda PRO Lumber & Hardware in Nunda, N.Y., was honored with the Paul L. Cosgrave Memorial and PRO Hardware Retailer of the Year awards. PRO also recognized Welches Mountain Building Supply & PRO Hardware in Welches, Ore., and Juniata PRO Lumber & Supply in New Bloomfield, Pa., as 2014 PRO Retailers of the Year. Dan Olson of Olson’s Ace Hardware in Franklin Park, Ill., was named the 2015 Ace All-Star Retailer based on his support of Children’s Miracle Network hospitals. Athens Hardware in Athens, Ga., owned by Sam Nickerson III, is celebrating its 150th anniversary this year. Toni Sharp is celebrating the 60th anniversary of Hi-Way 3 PRO Hardware, with three stores in Muncie, Ind.

THE HARDWARE Connection ■ Sept/Oct 2015 ■ 99

IN THE NEWS Johnson Do it Best Hardware and Furniture, still owned by the Johnson family in Sidney, Mont., is celebrating its 100th anniversary in 2015. • Carlsons True Value Hardware in Wheaton, Ill., operated by thirdgeneration family members Ken and Mark Carlson, is celebrating its 100th anniversary. • Owners Nick and Elizabeth McElhatten are celebrating the 60th anniversary of King Hardware and Fancy in Shreveport, La. • Alice Marks has reached her 50th year of service to The Wooster Brush Marks Company. •

ON THE MOVE

• House-Hasson Hardware has promoted Jason Monroe to vice presidentMonroe merchandising; named Ray Bradley product manager for power tools and lawn and garden; and promoted Connie Brooks to product Bradley manager for automotive, outdoor living, fans, air conditioners, candy and snack foods. Monroe, a 10-year company Brooks veteran, is taking the place of Allen Winn, who passed away in July. “Jason is experienced, effective and has readied himself well for this role,” commented President Don Hasson.

Ace Hardware Corp. has WHOLESALERS IN THE NEWS: promoted Tom Molleur to vice president-distribution. • Orgill’s Canadian subsidiary has established a partnership with TIM• Gregory Cluchowski has been BR Mart to service independent named president/CEO of The retailers in Canada after acquiring the Hillman Group. hardlines assets of Chalifour Canada, • PRO Group promoted Channing including an Ontario distribution center. Miller to associate merchandise manager and hired Jeff Styerwalt • True Value Co. reported revenue increased 0.6% to $431.9 million as merchandise manager for for the quarter ended July 4, with a housewares, lawn and garden, quarterly net margin of $9.3 million. commodities, paint and sundries. For the six-month period revenue • The Vendor Center has promoted increased 3.3% to $785.8 million. Rachelle Banker to director of • Ace Hardware Corp. reported 2nd operations. •

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quarter revenues of $1.4 billion, up 6.5% from 2014. Net income declined slightly to $57.5 million but was still the second-highest in company history.

OTHER NEWS: • ECi Software Solutions has acquired the JumpTrack™ Proof of Delivery solution from Jump Technologies Inc. • Busy Beaver Home Improvement Centers, with 16 stores in Pennsylvania, Ohio and West Virginia, has joined True Value Company as a member.

president and joining the board in 1964. Smith served as president/CEO from 1981 to his retirement in 2002, adding the chairman title in 1995. • Marcus Scruggs, longtime owner of Briggs Hardware in Raleigh, N.C., passed away September 20 at the age of 80. Scruggs married into the hardware business, helping his wife, Toni Briggs, run her family’s hardware business for the past 59 years. His wife predeceased him in 2006.

FOR THE FULL STORY:

• Lowe’s opens small-format store in Manhattan. Click here. • Brinkman True Value Hardware in Uniondale, N.Y., opens first zero net energy retail store in New York. Marvin’s Click here. • Nominations for the 2015 Independent We Stand “Indie” Awards are now open. • Central Network Retail Group has Help recognize a locally owned small acquired 28-store Marvin’s, based in business that has gone above and Leeds, Ala., which marks the largest beyond to deliver great customer service acquisition for the company, which and community support by going to operates 13 other brands in 10 states. www.independentwestand.org/indies/.

IN MEMORY:

• Richard Smith, retired chairman and CEO of Bostwick-Braun Co., died July 28 at the age of 85. Smith started working in the warehouse at Bostwick-Braun in 1949, rising through the ranks to become a vice www.TheHardwareConnection.com

TAYLOR ANNOUNCES RETIREMENT AS DO IT BEST PRESIDENT Do it Best Corp. has announced the retirement of President and CEO Bob Taylor, effective January 4, 2016. The THE HARDWARE Connection ■ Sept/Oct 2015 ■ 101

IN THE NEWS Dan Starr (left) is succeeding Bob Taylor (right) as president/CEO of Do it Best Corp.

co-op also announced that current Executive Vice President and COO Dan Starr will succeed Taylor as president and CEO. Taylor’s retirement will cap a successful 40-year career in the home improvement industry, including serving the past 13 as president and CEO of Do it Best Corp. Taylor joined the co-op in 2001 and led the launch or expansion of numerous key member-focused programs during his tenure, while also strengthening the co-op’s financial standing and overseeing a long period of industry-leading member rebates. Prior to joining Do it Best Corp., Taylor served as president of Taylor’s Do it centers in Virginia Beach, Va., and as a member of the co-op’s board of directors for six years, including two as chairman. “As a former member-owner, Bob understood the unique challenges independent entrepreneurs face, and he ensured that we have a full menu of flexible, scalable, affordable and customizable programs to help us grow our businesses,” added Jim Lehrer, chairman of the Do it Best Corp. board. Starr will become only the fifth president and CEO in the co-op’s 70-year history. He’s served as executive vice president and COO since 2012. He joined

Do it Best Corp. in 2005 as the director of human resources and general counsel and was named vice president of human resources the following year.

ture Click to learn about Ace’s fu s e’ vice plans from Dan Miller, Acio and president of retail operat ns new business

ACE HARDWARE LOOKS TO RAISE BAR OF PERFORMANCE Ace Hardware held its Fall 2015 Convention in Chicago August 20-22 and during Thursday’s General Session, Ace executives told retailers in attendance about positive trends in the coop’s performance, but they stressed that there was still much room for growth. “In three years, wholesale sales have increased $1.2 billion, bottom-line profit has increased $65 million and retail sales are up $2 billion,” stated John Surane, executive vice president of marketing, merchandising and sales. Surane said Ace plans to boost its TV and digital exposure by 25 percent to keep reinforcing Ace’s image as the Helpful Hardware Folks. President and CEO John Venhuizen told retailers that they cannot afford to rest on their past success. “You need to differentiate or die to digital,” he said. ■

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UPCOMING EVENTS OCTOBER

JANUARY 2016

The Green Industry and Equipment Expo, co-located with Hardscape North America October 21-23, Kentucky Exposition Center, Louisville, Ky.

International Builders’ Show January 19-21, Las Vegas Convention Center, Las Vegas, Nev.

Do it Best October Market October 9-12, Indiana Convention Center, Indianapolis

House-Hasson Hardware Fall Dealer Market October 8-10, Lexington Convention Center, Lexington, Ky. Northeastern Retail Lumber Association/Central New York Retail Lumber Dealers Association Annual Meeting October 16-17, Turning Stone Resort Casino, Verona, N.Y.

Do it Best Corp. Winter Conference January 15-16, Hotel Del Coronado, San Diego

Handy Hardware Market January 21-23, George R. Brown Convention Center, Houston House-Hasson Hardware Dealer Market January 21-23, Gaylord Opryland Hotel, Nashville, Tenn. United Hardware Spring & Summer Buying Market January 8-10, Minneapolis Convention Center, Minneapolis

NOVEMBER

FEBRUARY

Distribution America/PRO Group Executive Planning Conference November 17-19, Marco Island Marriott, Marco Island, Fla.

Northeastern Retail Lumber Association LBM Expo February 10-12, Rhode Island Convention Center, Providence, R.I.

North American Wholesale Lumber Association Traders Market November 4-6, Hilton Anatole, Dallas

True Value Spring Reunion February 19-20, George R. Brown Convention Center, Houston

STAFDA Convention and Trade Show November 8-10, Phoenix Convention Center, Phoenix

Wallace Hardware Fall Dealer Market November 11-13, LeConte Center, Pigeon Forge, TN

Florida Hardware Company Spring Dealer Market February 13-14, Double Tree Convention Center, Orlando, Fla.

Orgill Spring Market February 25-27, Orange County Convention Center, Orlando, Fla.

Send calendar dates to

chris@thehardwareconnection.com www.TheHardwareConnection.com

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e h t d n i h e B Numbers

54.4%

$59.04

Percentage of U.S. households that own a dog, according to the American Pet Products Association, with a total of 77.8 million dogs owned.

Average transaction reported by The Home Depot for the six months ended August 2, 2015, up from $58.05 for the prior year.

$387.04

Sales per square foot reported by The Home Depot for the six months ended August 2, 2015, up from $368.92 for the prior year.

$60.6 billion

Estimates sales of pet products in the United States in 2015, up from $58.0 billion the previous year, according to the American Pet Products Association. 104 ■ The hARDWARe Connection ■ Sept/Oct 2015

30,000 sq. ft. Size of the new Lowe’s small-format test store that recently opened in Manhattan.

120

Number of combined groceryhardware stores currently operated by Ace Hardware Corp., which expects to add 50 new ones, according to Vice President Dan Miller. www.ThehardwareConnection.com