Canada’s TOP RETAILERS - HIR MagazineNienke Hinton ART & PRODUCTION Keith Boa VICE-PRESIDENT...

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1 Go to page 3 CONTENTS www.hirmagazine.com PM NO. 40008000 A Powershift Publication l Volume 20, Number 2 l April 2014 A Powershift Publication l Volume 20, Number 2 l April 2014 42 Contractor Business Business Of Windows And Doors 36 Paint & Design Paint Refreshes Home 21 Female Shopper Mid-aged Marketing Opportunity Canada’s TOP RETAILERS

Transcript of Canada’s TOP RETAILERS - HIR MagazineNienke Hinton ART & PRODUCTION Keith Boa VICE-PRESIDENT...

1 Go to page 3 CONTENTS

www.hirmagazine.comPM NO. 40008000

A Powershift Publication l Volume 20, Number 2 l April 2014A Powershift Publication l Volume 20, Number 2 l April 2014

42Contractor Business Business Of Windows And Doors

36Paint & Design Paint Refreshes Home

21Female Shopper Mid-aged Marketing Opportunity

Canada’sTOP RETAILERS

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For more information, contact Jean Falardeau, executive vice-presidentTelephone : 1 800 361-0885

It’s a way of being, thinking and

behaving.

Much More than 3 letters

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For all subscription inquiries, fax to Cathy McKerchar at 416-494-2536

e-mail: [email protected] IMPROVEMENT RETAILING • April 2014

Visit Our Website:www.hirmagazine.com

CONTENTSA POWERSHIFT PUBLICATION

VOLUME 20, NUMBER 2 April 2014

EDITORIAL DIRECTOR & PUBLISHER Dante Piccinin

EXECUTIVE EDITOR Joe Hornyak

MANAGING EDITOR Nienke Hinton

ART & PRODUCTION Keith Boa

VICE-PRESIDENT ADMINISTRATION & CIRCULATION

Catherine J. McKercharADVERTISING SALES

Dante PiccininJohn Simmons

(416) 494-1066 Fax: (416) 494-2536HOME IMPROVEMENT RETAILING is published 6 times yearly by Powershift Communications Inc., 245 Fairview Mall Drive, 5th Floor, North York, ON M2J 4T1, Canada. Telephone: (416)494-1066, Fax: (416)494-2536, e-mail: [email protected]. Advertising, and Editorial inquiries should be made to the above address. Issue dates are: Jan/Feb; March/April; May/June; September; October; Nov/Dec. Yearly subscription rates: Canada: $76 plus GST*; U.S. and other: $110/yr. Single Copy prices: Canada: $15 plus GST* prepaid; U.S. and other: $30 prepaid. HOME IMPROVEMENT RETAILING assumes no responsibility for the validity of the claims in items reported or for the opinions expressed by our writers. All rights reserved. Contents may not be reprinted or duplicated without written permission. Publisher assumes no responsibility for unsolicited manuscripts and art. Published by Powershift Communications Inc. PRESIDENT, D. Brian McKerchar; VICE-PRESIDENTS, Dante Piccinin, Catherine J. McKerchar, John L. McLaine.CANADIAN PUBLICATIONS MAIL PRODUCT SALES AGREEMENT NO. 40008000 *Goods and Services Tax Registration Number R131006876. ISSN: 1204-3044

Home Improvement Retailing is printed on paper that contains 10% PCW and FSC® Chain of Custody Certification. 100% of the electricity used to manufacture this paper is Green-e® certified renewable energy. Printed with vegetable-based inks that have a minimum 65% bio-based renewable content.

5 Editor’s ViEw Secrets For Success

7 in storE

9 industry updatE

10 it’s your MonEy

11 priVatE wEalth

13 GoinG GrEEn

15 ManaGEr’s Mind

17 Front linEs

18 MakE MorE salEs

19 Focus on custoMErs

20 coach your tEaM

21 FEMalE shoppEr

46 publishEr’s pErspEctiVE Change Redefining Retail

Departments

Features

42

22 canada’s top rEtailErs Retailers Optimistic For 2014

30 rEtail by dEsiGn Completely Transforming A Facility

33 social MEdia Increasing Profit With A Tweet

36 paint and dEsiGn trEnds 2014 Coat Of Paint Can Refresh Home

42 contractor businEss The Business Of Windows And Doors

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eDitor’s View

Joe HornyakExecutive Editor

[email protected]

When John Locke and Bill Ecklund, the dealer/own-ers of the Orillia Home Hardware Building Centre

in Orillia, ON, started construction on their new facility which would combine an exist-ing Home Hardware and Beaver Lumber into one building, right from the start they wanted their customers in the loop. To do that, they started posting pictures of the construction as it moved through the vari-ous phases which meant customers could follow it right to the official opening in April of 2008.

Their focus on customers is not unique. The ‘Top Retailers’ profiled in this year’s report, starting on Page 22, all put a focus on customers as a key reason for their suc-cess.

Skills And KnowledgeIt all comes down to “excellent cus-

tomer service,” says Brent Calvert, of TRU Hardware Beaverlodge in Beaverlodge, AB. “Our success lies in using our skills and knowledge to serve our customers. We

work hard to be well-stocked, competitively priced, and to serve our customers well,” he says.

It may also mean going to the customer, as is the case with Alberta’s Double R Building Products Ltd. Wayne Copeland, its sales and marketing manager, says its “sales guys are going to the home builders and discussing new products and pricing and having a presence on the sites.”

But a focus on customers is not lim-ited to what happens in the store or on the job. It also involves the commitment to the community. At Beaverlodge TRU Hardware, all three owners are members of the Elks Service Club, an organization that works with businesses to raise funds for charities. The store also donates mer-chandise to sports organizations and was involved in fundraising efforts for a swim-ming pool complex.

Change is another key component. Ecklund says “once you have them com-ing through the door, you have to keep them coming. You have to change things, show them something new and different all the time. Women, in particular, want to see something different every time they walk into the store.” This change means that they have “gone from being lumber guys to retailers” and their store is not just a building centre, it is a small department store where female customers can purchase their cleaning supplies and pet food as well as “buy their house and furnish it from the ground up.”

At Double R, change came as a result of high intensity residential fire issues in

the province. “The Alberta fire code has changed and we were an industry leader in helping home builders solve that problem so they can stay up to code,” says Copeland.

The other important component is staff. These retailers do not under-appreciate the importance of staff. Jamie Adams, owner of Allen Building Centre in Oxford Country, ON, thinks they have “some of the best staff in the

industry at our store.” They strive to be consistent and to do that they try to attract and retain the best people as consistency and great staff “definitely leads to our growth.”

Locke says they have been able to attract and retain their staff because everyone is treated fairly and from day one the staff bought into the system. They followed the standards set and now they love the results – “the compliments from customers and fel-low dealers.”

Succession PlansAnd these retailers are already working

on succession plans. At TRU Hardware Beaverlodge, Brent Calvert runs the store with his father Bryon and a partner, Mick Walker. The store has been operated by a Calvert since 1959.

Adams bought the store from his step-grandfather, Bill Allen, who originally acquired it in 1963, making it another busi-ness in a family for 50 years.

At the Orillia Home Hardware, while partners Locke and Ecklund do not have that track record in the city, they are laying a foundation as their sons and Ecklund’s son-in-law are working at the store and learning the ropes. And for Double R, Ron Tillapaugh owns the operation with his son Scott.

Year after year, there are recurring themes when it comes to retailers across Canada who have some of the best practices. All share a focus on customers, a willingness to change, and involvement in the community. ❖

Secrets For Success

5HOME IMPROVEMENT RETAILING • April 2014

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For FREE Daily News Alerts, visitwww.hirmagazine.com/home_improvement_news.php

HOME IMPROVEMENT RETAILING • September 2013 7HOME IMPROVEMENT RETAILING • April 2014

in store

Dollarama Has Expansion Plans

Dollarama Inc. plans to open another 400 stores in Canada, including more than 150 in the next two years. Michael Ross, its chief financial officer, told a CIBC investor conference “there is continued runway for growth” as the brand has become a ‘junior anchor’ or ‘second-tier’ anchor in many Canadian malls. Dollarama is planning 85 net new stores in 2014, between 70 and 80 in 2015, and sees opportunities for growth especially in Ontario and Western Canada. It opened 86 new stores in 2013.

Home Depot Opens Second RDC

Home Depot Canada is building its second Canadian rapid deployment centre (RDC). Located in southeast Calgary, AB, it is scheduled to open in late 2015. Together with the centre in Vaughan, ON, the RDCs will help deliver the right amount of stock to stores across the country. The Calgary RDC will service approximately 57 stores, span-ning from Vancouver, BC, to Winnipeg, MB. The Ontario RDC services approximately 123 stores, spanning from Winnipeg, MB, to St. John’s, NL.

Castle Adds MembersThe Castle Building Centres Group has added several new store locations across Canada. Wolf Creek Building Supplies Ltd., a lumber and building materials retailer and manufacturer, has two locations in Alberta. A full service lumber, building material, and hardware retail space is located in Lacombe, AB, while a window and door showroom is located in Red Deer. M.P.M. Building Materials Ltd. also has two retail locations – Minto and Chipman, NB. It has been serving the central New Brunswick region as a full service lumber and building material retailer for more than 40 years.

Moulding Warehouse Ltd., of Hammonds Plains, N.S., owned by Brian Comeau and Tammy MacKay, has served the Halifax region for over 10 years as a manufacturer and retailer of mouldings, interior panel, pre-hung doors, and complimentary inte-rior and exterior decor products. Yorkton Building Supplies, in Yorkton, SK, is the second location for the Onion Lake First Nation which also operates All Nations Building Supplies in Onion Lake, SK.

Kowalchuk Named ‘Young Retailer’

Trevor Kowalchuk, dealer/owner of Brandon Home Hardware Building Centre in Brandon, MB, has earned a ‘Young Retailer of the Year’ award for 2013 by the North American Retail Hardware Association (NRHA). He earned his award in the ‘Over $2 Million in Annual Sales’ category. The program identifies and promotes the next generation of aspiring independent home improvement retailers and recognizes indi-vidual achievement in the industry by retail-ers 35 years of age and younger throughout the U.S. and Canada.

CTC Recognized For Management

Canadian Tire Corporation, Limited has been deemed one of ‘Canada’s Best Managed Companies’ for 2013. This hon-our was given in recognition of the com-pany’s high-performing culture and inno-vative business strategy and is part of a program sponsored by Deloitte, CIBC, National Post, Queen’s School of Business, and Mackay CEO Forums. Established in 1993, ‘Canada’s Best Managed Companies’ is a business awards program recogniz-ing Canadian companies that have imple-mented world-class business practices and created value in innovative ways.

RONA Continues Réno-Dépôt Revamp

RONA inc. is capitalizing on the new con-cept for its Réno-Dépôt banner with the unveiling of five revamped stores in Quebec – Anjou, Marché Central, Notre-Dame-de-

Grâce, LaSalle, and Pointe-Claire. The new concept is focused on enhanced customer service. What differentiates the new con-cept, says the retailer, is its comprehensive line of quality brand-name products, a new procurement policy to make sure the right amount of products is always in stock, and an in-store shopping experience that has been entirely redesigned so that it’s easier for customers to find the products they want, in an environment that makes it a pleasure to shop, with better signage, more staff on the floor, and faster service. It plans to revamp 10 more stores in Quebec by the summer.

Orgill Doubles Canadian Store Footprint

A 14,000 square foot completely Canadian compliant store was a feature at this year’s Orgill Market in Orlando, FL. It was almost double the size of the Windsor Falls model featured in 2013 and displays the most com-prehensive assortment of Canadian compli-ant skus ever displayed at the Orgill market. “The number of Canada flags featured on our product displays has become so impres-sive in the last three years that soon there will be no need for differentiation. Vendors are motivated and willing to do what it takes to become Canadian compliant,” says Ron Beal, president of Orgill. The distributor also launched its North American eCommerce platform – ‘Boost,’ a complete eCatalogue of its products and eCommerce software – that enables independents to add, price, and manage hardware and other LBM products in a fully-functional online store within their own websites. Many Castle locations have already taken advantage of this solution. ❖

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9HOME IMPROVEMENT RETAILING • April 2014

inDustry upDate

Global Launches XCharge Payment Solution

Global Payments Inc., a provider of payment solutions, has launched XCharge in Canada. It is an integrated payment processing solu-tion for merchants that facilitates seamless connectivity with point-of-sale solutions, provides full EMV credit and debit transac-tion processing through the secure PIN pad, and offers comprehensive real-time transac-tion reporting.

Chalifour Expands Product Offering

Chalifour Canada has expanded the prod-uct offering of its new distribution centre in Surrey, BC. The centre will be relocated by the end of May giving British Columbia dealers a local hardware and building materials ware-house and access to a much larger and more complete selection of hardware products from the recently launched Chalifour Canada’s elec-tronic catalogue. “Following further analysis and ongoing discussions with our customers, we revaluated our product selection and are pleased to be able to offer our customers a similar selection of product as they have at the current location,” says Bret Walters, general manager of Chalifour Canada.

All WeatherEarns ENERGY STAR

For the second year in a row, All Weather Windows has received the ENERGY STAR most efficient designation on almost 400 window products. The designation recogniz-es the most efficient products among those that qualify for ENERGY STAR in the cur-rent calendar year. These products represent the leading edge in energy-efficient models.

PPG Exclusive To Coatings Alliance

PPG will become the exclusive paint manu-facturer for the Coatings Alliance (TCA), producing the TCA-owned C2 paint brand. Under the agreement, PPG will also act as an independent sales representative for C2 paint to independent paint and decorating retailers

throughout North America. “TCA’s C2 paint is an exclusive, dealer-owned brand that will provide our existing network of indepen-

dent retailers with another premium product option,” says Scott Sinetar, PPG vice-presi-dent, architectural coatings, North America. ❖

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it’s your money

RONARONA inc.’s consolidated revenues from continuing operations for fiscal 2013 stood at $4,192.2 million, down 5.7 per cent from $4,444.2 million in fiscal 2012. The decrease reflects the closure of underper-forming stores and the difficult market conditions throughout the industry, primar-ily due to lower housing starts across the country, it says. Same-store sales declined by 1.9 per cent in fiscal 2013. Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) from con-tinuing operations totalled $185.1 million, or 4.4 per cent of revenues, compared to $217.5 million, or 4.9 per cent of revenues in 2012. Fourth quarter results show consol-idated revenues from continuing operations amounted to $941.1 million, compared to revenues of $1,071.5 million in the year-ago period. Same-store sales were down 3.5 per cent. Adjusted EBITDA from continuing operations amounted to $36.1 million, or 3.8 per cent of revenues, compared to $39.4 million, or 3.7 per cent of revenues a year earlier.

ValsparThe Valspar Corporation had first quarter net sales of $956 million, an increase of nine per cent over the prior year. Adjusted net income was $61 million versus $55 million a year ago. Net sales in the ‘paints’ segment increased 10 per cent to $361 million, pri-marily driven by strong volume growth in the U.S. and China, and improving volume in Australia. Net sales in the ‘coatings’ seg-ment increased 10 per cent to $549 million, primarily driven by acquisitions and the continued growth of the wood product line.

GoodfellowGoodfellow Inc. had a second quarter net loss of $300,000 compared to a net loss of $900,000 a year ago. Consolidated sales for the second quarter were $95.4 million, the same as last year. Sales in the U.S. and export activities continued to be strong throughout the second quarter while sales in Canada declined, impacted by the slower economy in Quebec and decreasing housing starts in Eastern Canada.

Sears CanadaSears Canada Inc. had quarterly total rev-enues of $1,182.3 million versus $1,307.2 million year-over-year, a decrease of 9.6

per cent. Same store sales for the quarter, including an adjustment for the extra week last year, decreased 6.4 per cent. Total rev-enues for 2014 were $3,991.8 million versus $4,346.5 million the prior year, a decrease of 8.2 per cent. Same store sales decreased 2.7 per cent. Net earnings for the year were $446.5 million versus $101.2 million.

Lowe’sLowe’s Companies, Inc. had quarterly net earnings of $306 million, a 6.3 per cent increase over the same period a year ago. For the fiscal year, net earnings increased 16.7 per cent to $2.3 billion. Sales for the fourth quarter increased 5.6 per cent to $11.7 billion from $11 billion in the fourth quarter of 2012 and comparable sales increased 3.9 per cent. For the fiscal year, sales were $53.4 billion, a 5.7 per cent increase over fiscal year 2012 and compa-rable sales increased 4.8 per cent.

Wal-MartWal-Mart Stores had fourth-quarter net sales of $128.8 billion, an increase of 1.4 per

cent over last year. The quarter included the negative impact of approximately $1.8 billion from currency exchange rate fluctua-tions. Total revenue was $129.7 billion, an increase of $1.9 billion, or 1.5 per cent, over last year. Fiscal year net sales were $473.1 billion, an increase of 1.6 per cent over fis-cal year 2013.

CanWelCanWel Building Materials Group Ltd. had year-end revenues of $726 million com-pared to $711 million in 2012. Sales in the year included 56 per cent in construction materials, unchanged when compared to the same period in 2012, with the balance of sales resulting from specialty and allied products. Gross margin dollars increased to $80.2 million in the year compared to $76.6 million in 2012, outpacing the growth in sales. Gross margin percentage was 11.1 per cent in the year, representing a mod-est increase compared to the 10.8 per cent achieved in 2012. Net earnings for the year increased by 20 per cent to $9.1 million versus $7.6 million during 2012. ❖

HOME IMPROVEMENT RETAILING • April 201410

COMPANY SYMBOL OPEN HIGH/LOW 52-WEEK INDEX

Allegion ALLE 51 55.78 – 40.24 NYSECanadian Tire Corp. CTC.a 138 164.07 – 86.92 TSXCanWel CWX 2.63 3.22 – 2.35 TSXDow Chemical Co. DOW 48.94 50.96 – 31 NYSEFastenal Co. FAST 50.53 53.12 – 42.48 NASDAQGeneral Electric GE 26.58 28.09 – 21.36 NYSEHome Depot HD 79.67 83.2 – 72.21 NYSELouisiana-Pacific LPX 15.89 20.35 – 14.51 NYSELowes Cos LOW 47.54 52.08– 37.42 NYSEMasco Corp. MAS 22.28 23.73 – 18.27 NYSENewell Rubbermaid NWL 30.12 32.54 – 24.32 NYSEOwens Corning OC 43.87 46.64 – 34.41 NYSERichelieu RCH 48 51.3 – 37.26 TSXRONA RON 11.22 13.54 – 9.69 TSXSears Canada SCC 15.44 19.89 – 8.84 TSXSherwin-Williams Co. SHW 202.73 208.63 – 163.63 NYSEStanley Black & Decker SWK 81.73 92.76 – 73.77 NYSETrex TREX 78.84 86.85 – 41.25 NYSEUSG Corp. USG 32.63 36.22 – 21.35 NYSEWal-Mart WMT 75.4 81.37 – 68.13 NYSEWest Fraser WFT 47.76 52.94 – 18.76 TSXWD 40 WDFC 77.56 81.37 – 71.51 NASDAQ

As of April 23, 2014

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11HOME IMPROVEMENT RETAILING • April 2014

priVate wealth

started is to encourage your adviser or broker to adopt the ‘Statement of Investor Rights.’ The statement outlines what you should expect from them at minimum – such as transparency, effective reporting, clear com-munication, independence, and objectivity. The statement is a great way to uncover any potential issues that may be lurking beneath the surface of your relationship.

Ask your adviser about his or her stan-dards of care or professional codes of con-duct to which they are bound by virtue of their employer or affiliation with the profes-sional association. If your adviser is unable to speak fluently or concretely about such codes of conduct, investigate further.

Then, engage in a discussion about how your adviser will be rewarded. If your advis-er’s and your incentives and motivations will periodically be misaligned, how will he or she prioritize decisions and alleviate this tension? How will you be involved? If talk-ing candidly about this makes your adviser uncomfortable or defensive, it’s a red flag.

Demand a thorough and clear explanation of any security or product the adviser recom-mends. If he or she can’t explain the prod-uct’s characteristics and why it’s a strong fit for your long-term investment goals, chances are your adviser doesn’t understand either the product or you well enough.

Look for and encourage proper general-ist finance training and education. Different credentials may be required depending on what sort of services you expect from your advisor.

We Can Fix This TogetherThe finance industry can be an extraordi-

nary force for good, helping to solve prob-lems through innovation and entrepreneurial spirit, ensuring the well-being of communi-ties, and achieving the broader goals of a stable and healthy society.

But we all must play our part. George Bailey understood that integrity and long-term relationships make for better citizens and better clients. We need more fiduciaries of Main Street and fewer wolves of Wall Street. ❖

John Bowman is managing director and co-lead, education, at the CFA Institute.

An Industry That’s Lost Its Way

The Wolf of Wall Street’ is one of the most talked about films and was nominated ftor this year’s Academy Awards. Both the movie and its anti-

hero, Jordan Belfort, are polar opposite to George Bailey, the protagonist of the 1947 Oscar nominated movie, ‘It’s a Wonderful Life.’ That film depicted a humble savings and loan manager whose overriding instinct is to help his clients, often at his own expense.

‘The Wolf of Wall Street,’ on the other hand, arguably glorifies a brash, young stock broker responsible for carrying out massive securities fraud and corruption at Stratton Oakmont in the 1990s. The movie reflects lingering frustration based on the funda-mental flaws that still exist in the finance industry, even five years after the beginning of the financial crisis.

When the industry is viewed – rightly or wrongly – as rigged, benefiting only the inner-circle of the wealthy few, investors will look elsewhere. Belfort is just the latest poster child for an industry that has lost its way over the last few decades, leading to withering levels of trust among investors.

Time For Fiduciary CultureLeaders in the industry urgently need

to construct a culture that is built on a sys-

tem of trust. Clients and their investment professionals must work as partners with aligned objectives, which means that a fidu-ciary culture is embodied by:◆ Long-term compensation schemes built

on client success◆ Paramount concern for the caretaking of

underlying beneficiaries◆ Deeper investment in compliance and

risk management◆ A fresh and honest look at leadership

span to ensure strong internal controlOf course the public and the individual

investor have an obligation as well. It’s not enough to wait for the industry to change itself. If investors around the world take it upon themselves to ensure that their finan-cial services professionals are ethically-grounded and deeply competent, the shift to a fiduciary culture will only accelerate.

It all starts by talking with your financial adviser. As always, make sure to keep your adviser apprised of any changes to your risk tolerance, return expectations, or financial situation, but, more importantly, be sure to address the nature of your relationship. Can it be strengthened? Do you feel you trust your adviser and his or her firm?

The best way to get the conversation

George Bailey, It’s a Wonderful Life

Jordan Belfort,Wolf of Wall Street

By: John Bowman

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Choices Abound For Green HomeAnd along with those undermount sinks, Wilson says it is important to choose fix-tures that have water saver options and that are ‘WaterSense’ labeled. “These fix-tures provide excellent water savings while minimally impacting flow performance.” WaterSense is a voluntary, market-based partnership program sponsored by the United States Environmental Protection Agency (EPA). It promotes water efficiency through water-efficient products, programs, and practices by helping consumers identify products and programs that meet certain water efficiency and performance crite-ria. In January 2011, Environment Canada signed an agreement with the EPA outlin-ing the roles and responsibilities of each party with respect to WaterSense delivery in Canada. It will work with members of the Canadian WaterSense Consortium to promote WaterSense labelled products and fixtures within Canada.

Energy Smart ChoicesJust as fixtures should carry WaterSense

certification, appliances should carry EnergyStar certification. “Professional rang-es that have at least one burner with a higher BTU are becoming very popular. With a higher BTU burner water can be boiled in less time and frying goes more quickly as well. This provides savings in gas or electric-ity,” says Wilson. While having a good over range air vent is always important in order to vent cooking gases out of your home, this is even more important with professional stoves. “Charcoal filter vents that recirculate the air don’t adequately do the job.”

Wilson is very excited about LED light-ing and its use in homes. Not only do they use less electricity, she says, but they are also dimmable, thereby offering additional energy savings. LED lighting is available in rope styles, high hats, and cans/recessed as well as under-cabinet lights that illuminate the countertop. “Rope lights are great when you use them to illuminate your counter-top,” says Wilson, “but they can also be used to provide lighting for a kitchen space that is rounded or curved in a unique way.”

Recycling centres within the kitchen are also becoming more prevalent as a green design feature. These centres allow for

two bins – one for the trash, the other for recyclables – making it easier to recycle consciously.

Flooring ChoicesWhen considering flooring within the

home, Wilson says there are two types of flooring that are quickly gaining popularity – porcelain tiles and cork flooring. Porcelain tiles can add a lot visually as they can give a variety of looks ranging from wood to slate. Cork is also a good choice as it is sustain-able and it is self-repairing. One other floor-ing choice that Wilson recommends is lino-leum. “I am talking real linoleum like what your grandmother had. It does not off-gas as it is made out of linseed oil. It does have an odd smell at first, but that is the linseed oil settling in. Real linoleum is very heavy and durable and lasts for many years.”

Another consideration that affects interior air quality is the use of low VOC paints and stains. Again, using the analogy of when you have a room with temperature fluctuations, you need a paint that self-seals and has no odour one hour after you paint. While noth-ing is completely without VOCs, it is well worth ensuring the paint is within the param-eters deemed low/no VOC, says Wilson.

While there are many choices and many considerations involved in green home design, Wilson says that consumers should always be aware of eco-friendly. She defines eco-friendly as recognizing that one’s eco-system should be friendly to the family and to the environment. “It is a wellness mindset for your lifestyle. It is being conscious of what you are putting into your home, ensur-ing that it is not toxic to your family and that it brings no harm to the environment.” ❖

From the ground up, there are many considerations when designing a green home. While many choices surround the various materials used

in the actual structure, there are also many decisions regarding the interior elements of a green home, whether it’s a new build or a renovation.

Robin Wilson, an eco-friendly interior designer, says that among the first and most important considerations are decisions about the cabinetry within the home. Air qual-ity depends on minimal off-gassing and it is important to ensure that kitchen and bath-room cabinets, as well as other cabinetry in the home, are made with non-formaldehyde glues. Some adhesives are quite susceptible to off-gassing as a result of temperature changes and the kitchen and bathroom areas are cer-tainly prone to temperature fluctuations.

Environmental BonusBut off-gassing is not the only concern

around cabinetry. Ease of cleaning and disinfecting without toxic chemicals influ-ences choices in countertop and backsplash materials. Wilson recommends selecting countertop materials that have anti-bacterial properties – quartz, granite, glass, and other solid surface materials. For backsplashes, glass tiles are very popular in environ-mentally-conscious home design. Glass is easily cleaned and disinfected and as an environmentally conscious bonus, it is also typically made from recycled glass.

Wilson also recommends finishing coun-ter areas with undermount sinks. They are the better choice because of their ease of cleaning. “Overmount sinks catch bacte-ria at the lip which is difficult to clean and disinfect without harsher chemicals.

GoinG Green

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manaGer’s minD

wanted them done. They may have temper tan-trums and like to throw people off balance. When under pressure, the Spoiled Brat man-ager overreacts and

lashes out until some-one offers a pacifier. Jordheim points out that this type of manager has the advantage that peo-

ple do react quickly and try to make this type of execu-

tive happy in order to avoid those tantrums. The downside of

the Spoiled Brat is just that – he is a spoiled brat.

There are many management styles and the key to being an effective and successful manager is to know your

management style and understand its strengths and weakness. Gaining under-standing of your style, whatever that style might be, opens you to being able to adopt a different persona when conditions or cir-cumstances require. Incorporating differ-ent styles depending on the situation will increase your ability to lead your team to achieving the goals, fulfilling the mandates, and meeting the objectives. ❖

An important element to success-ful management is a leadership style that translates down to the ability to get things done. And

depending on what needs to be done and who needs to take action, a manager’s leadership style could be quite different from one situation to another, says Tron Jordheim, CMO of StorageMart, a private-ly held self-storage company with loca-tions across the U.S. and Canada.

Jordheim identifies vari-ous management styles – the General, the Tribal Chief, the Sports Coach,

and the Spoiled Brat. Each carries strengths and weaknesses and each is effective for some situations.

The GeneralThis type of man-

ager takes a rigid and sensible approach to management that includes defining goals and achieving objec-tives. The General likes to strategize, study his com-petitors, and look to the sur-rounding busi-ness environ-

ment for signs of weakness or opportu-nity. Business

is war, competitors are enemies, employees are the troops. A manager who understands organizational discipline, cohesive, and consistent training process-es, supply-line management, contingency planning, and the collection of intelligence is going to be successful, says Jordheim. The downfall to this type of management style is that there is no room for discus-sion and change or initiative can only come from the top down.

Understanding YourManagement Style

15HOME IMPROVEMENT RETAILING • April 2014

The Tribal ChiefThe tribal chief

style manager is both the political or military leader and a leader in cul-ture, lifestyle, and belief systems. For example, Steve Jobs was the tribal leader of Apple prod-uct devotees. The diffi-culty with this type of management style, says Jordheim, is that chiefs fall out of fashion and tribal members often leave to follow other interests. Tribes some-times break up as easily as they formed.

The Sports CoachSport coach managers know

their business is all about the fun and the thrill of victory, but

they also understand clearly how that all relates to cash

flow and asset apprecia-tion. The drawback to this management style, says Jordheim, is that this type of manager can fall short when people in the organi-zation do not relate to sports analogies or are not driven by team

competition.

The Spoiled BratSometimes bosses want to

get their own way. They are not are interested in the talent their people bring, but only in production. They usually bark orders and berate people who don’t complete tasks exactly the way the executive

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Frontlines

HOME IMPROVEMENT RETAILING • April 2014 17

Historically large companies had an advantage over the small ones, particularly with respect to the ability to collect actionable data

and information about competitors, mar-kets, and customers. No war can be won without intelligence, says Corrine Sandler, founder and CEO of Fresh Intelligence Research Corp, a global market research agency.

However, that is changing. As a result of the internet, small business has access to all kinds of free tools for gathering intelligence. They’re also much more agile than the big corporations, says Sandler, and they can make a decision and act immediately. That’s essential in a marketplace where conditions change quickly.

“By gathering actionable data and act-ing on it immediately, by using it to predict next moves and spot opportunities, small businesses can and are taking down the big ones without a drop of blood being shed,” she says.

Gathering DataSandler outlines some ways that smaller

business owners can acquire and use intel-ligence.

If a business lacks resources, they can make use of free or inexpensive intelli-gence-gathering tools. She suggests visiting competitors’ websites and collecting data about them. Many businesses put a great deal of revealing information on their sites, she says. Business owners can also look for any changes on competitor sites and use tools such as Google Alerts or Google Hot Trends to gather information.

Sandler advises making intelligence-gathering part of the company culture. She says that every employee is a potential intelligence resource and they should be encouraged to pay attention when they interact with people outside of the com-pany.

Appointing a chief intelligence officer (CIO) to co-ordinate and analyze informa-tion from a variety of sources is another suggestion. Sometimes actionable data

Actionable Data GivesBusiness Advantage

Businesses Develop Weather Related Contingency Plans

Twenty-five per cent of Canadian businesses and 34 per cent of U.S. businesses say the winter weather negatively impacted

their business, says a survey of small busi-nesses by Sage North America.

In the U.S., the most common response has been to reduce employee hours and allow employees to work remotely from home. In Canada, the most common response was to reduce head count and employee hours.

The survey also found that only 25 per cent of Canadian companies and 32 per cent of U.S. companies have a plan for dealing with bad weather. However, with brutal winter conditions plaguing much of the country this year and an overall rise

in the number of extreme weather events, businesses are starting to develop weather related policies and procedures to help ensure employees are productive regard-less of the weather conditions. ❖

can be rendered inactionable through a lack of understanding on how to use it. A CIO can oversee and co-ordinate the col-lection and analysis of data and ensure it is actionable.

Acting Quickly

“What enables you to make smart, timely decisions is access to precise intelligence,” Sandler says. “Your advantage, as a smaller business, is that you don’t have the corpo-rate processes and protocols that inhibit fast action.”

The internet has changed the way information is available and the big companies no longer have an auto-matic advantage. By being savvy and using the tools available, small businesses can capitalize on their agility to gather data and respond quickly, thus potentially getting a competitive edge over their bigger competitors. ❖

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HOME IMPROVEMENT RETAILING • April 201418

Non-verbal communication can account for 90 per cent of every-thing we say and you can work to improve your sales results by

paying attention to your body language and non-verbal communication. Because some habits are ingrained and may take time to modify, here are some techniques to try dur-ing your next sales opportunity.

Control Your HandsMark Bowden, author of ‘Winning

Body Language for Sales Professionals’ and international body language expert, says effective body language involves being aware of what he calls the ‘truth plane.’ He suggests that when talking to others, people keep their hands at belly-height with palms open, elbows bent, and arms slightly outstretched. By exposing your stomach, which is the most vulnerable part of your body, he says you will send a subconscious message to the other person that you aren’t hiding anything and can be trusted.

Demonstrate You Are Listening

Successful salespeople know they need to listen a lot more than they talk. During a sales appointment, the goal is to listen 80 per cent of the time and talk 20 per cent of the time. However, engaged listening is a bit of an art form, says Bowden. You must send a clear signal to the person talking that you are engaged and you are listening which can be demonstrated by tilting your head slightly to one side to show your ear; smiling genuinely with your mouth and your eyes; maintaining good eye contact; and nodding your head occasionally.

By asking questions and actively listen-ing, you are allowing the prospect to tell you what they need and want. This, in turn,

gives you the necessary insight into the buying criteria that will help to close the deal.

Use Your Physical Power

When you are meeting with someone whose trust you want to earn, Bowden suggests avoiding pulling your chair in close to the desk or table when sitting down. Give yourself extra room because it will signal you’re in a position of power.

He also says to curb nervous habits such as looking at your smartphone, fidgeting, and touch-ing your face or hair and practicing economy of movement with slow, purposeful movements. These dem-onstrate control and allow you to maintain eye contact with others in the room. Have all of your sales or presentation materials ready so you can move smoothly from item to item; avoid clasping your hands in front of your groin while you are standing as it implies you are unimportant; communicate confi-dence when giving a presentation by standing with your back straight, chin up, and feet shoulder-width

apart; and pause and take a breath. We tend to talk faster than normal when we are

nervous. Communicate calm by purposely slowing down your talking speed. You can do that by taking long and deep breaths and inserting a brief pause between key points.

Tactical AdvantageBeing aware of body language and how

you physically behave during sales appoint-ments can make a big difference. The simple steps of controlling your hands, showing that you are actively listening, and present-ing from a position of power will help to build trust and confidence and will go a long way to helping to close sales. And certainly learning more about how body language influences outcomes will potentially provide you with some tactical advantage. ❖

Reading Body Language To Make Sales

make more sales

Mark Bowden, author of ‘Winning Body Language for Sales Professionals.’

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19HOME IMPROVEMENT RETAILING • April 2014

Focus on customers

Customer Service Key To Success

will be judged by what you do, not what you say.”

This means providing good customer service is achieved by ensuring your busi-ness does a few things consistently.

Answering the phone is crucial. Every call must be answered. And it is better to have a live person answer the phone, not a pre-recorded system. If you can’t afford to have someone on staff to answer calls, get call forwarding or voice mail to ensure someone is answering the phone.

Only make promises that can be kept. Reliability is one of the keys to any good relationship and good customer service is no exception. If delivery is promised for a certain day, deliver on that day. The same rule applies to appointments, deadlines, etc. Only promise on what you can deliver for certain.

Listening to the customer matters. Let the customer talk and show that you are listening by making the appropriate respons-es, such as suggesting how to solve the problem. Ensure you understand what they are saying and that your response indicates you have been listening.

Customer-pleasing DecisionsBe helpful, even if there’s no profit in it

right away. Even though a person may not be a customer on a particular day, being helpful may lead to gaining a future cus-tomer.

Train your staff to be helpful, courte-ous, and knowledgeable. Either train them yourself or hire someone to do the training. Staff also need to understand what good customer service is. And give every mem-ber of your staff enough information and power to make small customer-pleasing decisions, so they never have to say things like ‘I don’t know, but so-and-so will be back in a little while.’

Take the extra step and show the cus-tomer where to find what they are looking for instead of pointing. People notice when someone makes the effort to be helpful and they are apt to tell others about their experi-ence.

Throw in something extra – a coupon for a future discount, information on how to use the product, or a smile. People love to get more than they thought they were get-ting. Small value-adds can go a long way to making people happy and turning them into repeat customers.

Business owners that apply these simple rules consistently will have a business that becomes known for its good customer ser-vice. And without a doubt, over time, good customer service will result in loyal repeat customers which, in turn, will bring in more new customers than any promotions or price slashes ever will. ❖

At the core of any successful busi-ness is good customer service. So while promotions and slashed prices may bring in new custom-

ers, building a customer base with loyal customers is essential to being a long-term profitable business.

Good customer service is about having happy customers who keep coming back. As well, when you send them away happy, they are apt to pass positive feedback about the business to others, who, in turn, are more likely to try the product or service.

Anyone OnceGood salespeople may be able to sell

anything to anyone once, but it is their approach to customer service that deter-mines whether they will have the opportu-nity to ever sell to that person again. Thus, forming a relationship with customers is the essence of good customer service and of a successful business.

How do you go about forming such a relationship? Start by remembering you

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The best way to build rapport with people is to simply listen to them. When people feel listened to, they are more likely to trust you and are more eager to engage with you.

To make listening a priority in your role, start doing monthly listening tours. These do not have to be long sessions – 15 minutes is enough. The point is to actually schedule time where you meet with people informally and just let them talk and listen to their ideas, concerns, or anything else they’d like to share. After the person is done talking, paraphrase what you heard.

Taking only 15 minutes out of your day to listen will help you forge a greater con-nection and make a difference in employee engagement.

Disagreeing With GraceDisagreements at work are inevitable.

The key is how you handle them. When you disagree with someone, start by acknowl-edging and validating their perspective. This requires that you listen and then legitimize

Leadership is a tough job. Not only do you have to be adept at manag-ing multiple priorities, but you also have to possess expert people

skills. After all, a leader is only as good as his or her team. Without the buy-in and respect of your employees, you’ll have a difficult time accomplishing the organiza-tion’s goals. The challenge, then, is figur-ing out how to create the conditions by which people can’t resist your message and vision and, therefore, want to align with you. This requires that you attract and con-nect with people, which naturally results in trust and loyalty.

Build Engagement

The top three ways to build engagement with your staff include building rapport, dis-agreeing with grace, and offering acknowl-edgement and praise.

the other person’s point of view. It is most effective when you can provide at least three points of validation because that’s when the person is more likely to feel that you actu-ally heard what they said. You can ask some open-ended questions to get a better idea of the employee’s thinking, or you can agree to disagree.

But it’s the validation that enables you to disagree with grace. Rather than shutting the conversation down, you’re engaging the employee. This is what creates irresist-ibility, because when the employee walks away from that meeting, they may not have gotten what they wanted, but they weren’t defeated.

Acknowledgment And PraiseToo often leaders are so busy, stressed,

and overwhelmed that they forget to acknowledge people. But offering acknowl-edgment and praise goes a long way to building engagement. It doesn’t mean gush-ing over them and touting superlatives that aren’t warranted. It’s also not about empty phrases like ‘Good job.’ Be factual and point out specifics to make an impact. The more specific you can be with your praise, the more meaningful it is for the employee.

In addition to making the person feel important, your words are giving them clear feedback on what success looks like so they can duplicate it in the future.

Attracting The BestIf you want to be one of those leaders that

people can’t seem to resist then you need to focus on these three employee engagement practices. Not only will your current employ-ees find you irresistible, but you’ll also have a steady stream of eager potential employees who want to work with you.

Ultimately, the more engagement and partnership you have with your team, the more rewarding the work experience will be for everyone. That’s when the organization will experience true and lasting success. ❖

Alesia Latson is a speaker, trainer, coach, and founder of Latson Leadership Group, a consulting firm specializing in manage-ment and leadership development ([email protected]).

Keys To Being An Irresistible Leader

coach your team

By: Alesia Latson

HOME IMPROVEMENT RETAILING • April 201420

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Female shopper

By: Nienke Hinton

A Middle-Aged Marketing Opportunity

Retailers know that women are a prime market, but do they know that middle-aged women are more educated, active, and wealthy than

any preceding generation? We know women are responsible for 80 per cent of household spending, but women between the ages of 50 and 70 influence as much as 95 per cent. And, this demographic continues to grow at an astounding rate. Women ages 44 to 65 are the largest demo-graphic and this dominance will continue for the next few decades.

This means middle-aged women are the primary consumers in North America, not just a niche market.

New Consumer Majority

Women are part of the new con-sumer majority and the only adult market with prospects for signifi-cant sales growth, say David Wolfe and Robert Snyder, authors of ‘Ageless Marketing: Strategies for Reaching the Hearts and Minds of the New Customer Majority.’ They call boomer women “the sweetest of sweet spots for marketers.”

Yet, despite being the sweetest spot, 91 per cent of middle-aged women say advertisers don’t under-stand them and 58 per cent say they are annoyed by advertisements.

Empowered Generation

While younger women are busy with the multiple dimensions of their lives, older women are the healthiest, wealthiest, and most active generation of women in history. Her kids have grown up and moved out, her career is on track, and financially she’s doing very well. Her suc-cessful career, investments made during the boom years, and inheritances from parents or husbands have made this generation more financially empowered than any previous generation of women.

U.S.) with family incomes of $75,000 or more are growing in number and 94.3 per cent access the internet during an aver-age month. About half are now considered heavy users of the internet, while heavy use of radio, television, newspapers, and direct mail has declined within this group.

Overall, women represent the majority of the online market. A survey by Mindshare/Ogilvy & Mather says 22 per cent of women shop online at least once a day. Another boon for marketers is that 92 per cent of women say they pass along information about deals or finds to others.

Digital communications fulfill unique needs for women including the seeking and sharing of informa-tion, building and maintaining per-sonal and professional networks, and online shopping. The ‘Women in Their Digital Domain’ study says these activities offer mar-keters engaging ways to connect female buyers with their brands.

The study shows more than half of women (58 per cent) never unplug and actively use an average of 12 digital devices in their daily lives. It says for early boomers (aged 45 to 54), technology is a life enhancer.

Do It For MeAlthough women are making the

majority of home renovation deci-sions, fewer of them are looking to do it themselves. This is especially true of the 50-plus segment.

Home improvement retailers can reap the benefits of this trend

by continuing to offer the Do It For Me (DIFM) model by co-marketing products and services. The middle-aged female shop-per still likes a deal, so she’ll continue to shop for DIY products at her local home improvement store, but she’ll be happy to use her wealth and her digital device to find someone else to do the job for her. ❖

Nienke Hinton is Home Improvement Retail-ing’s managing editor ([email protected]).

The 55- to 75-year-old female has seen her role change from homemaker to pur-chaser of security, convenience, and luxury items.

Over the next decade, women will con-trol two-thirds of consumer wealth and be the beneficiaries of the largest transference of wealth in history. Many women will

experience a double inheritance windfall, from both parents and husband. Already, 50-plus women spend 2.5 times what the average person spends. This will only grow as the boomer generation ages.

Technically SavvyFortunately for marketers, this ideal

demographic is easy to reach because she is technically savvy. A report by Entrepreneur.com says affluent working women (in the

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HOME IMPROVEMENT RETAILING • April 201422

FEATURED ARTICLE

With retail sales and consumer confidence on the rise, home improvement retailers are optimistic as 2014 unfolds. Common themes this year include great staff, customer service, technology, the ability to change, and

community involvement.One of the fundamentals of success is having good staff and

home improvement retailers strive to attract and retain the best tal-ent. This, in turn, helps them to achieve superior customer service.

Technology, as it continues to evolve, comes into play to enhance the customer experience and improve all aspects of the business including inventory, tracking costs, human resources, marketing, and more.

This year, home improvement retailers are hyper-aware of the value of constant change to keep up with the ever-changing needs of the marketplace. At Orillia Home Hardware Building Centre,

for example, Bill Ecklund says “you have to change things, show them something new and different all the time.”

Pro Con Building Supplies has also expanded its product offer-ing to complement existing products to “encourage one-stop shop-ping,” says owner Steve Guglietti.

More and more retailers have realized the connection between community involvement and success as well. TRU Hardware Beaverlodge helps its community raise funds for charities and donates merchandise to local sports organizations.

And today’s successful retailers have more open lines of com-munication with their customers and are involved at many levels from local to national. ❖

Editor’s Note: Please note that inclusion in this feature does not signify a qualitative standing within the banner group. Retailers featured were chosen because they represent the many successful retailers within each group.

Retailers Optimistic For 2014

Canada’sTOP RETAILERS

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23HOME IMPROVEMENT RETAILING • April 2014

FEATURED ARTICLE

Double R Building Products Ltd.

Ron & Scott Tillapaugh, Owners

Location: Calgary & Aldersyde, AB

In Business: Since 2001

Size: 80,000 sq. ft and 16 acres

Staff: 70

Double R Building Products Ltd. has two locations in Alberta. The truss and floor division is in Aldersyde and the building materials division is in Calgary. The company was Nu-Fab Building Products for 25 years. In 2001, it became Double

R when the Calgary operations were purchased. Owners Ron Tillapaugh and his son Scott have been in the building materials business for many years and cater to a 98 per cent contractor and two per cent retail market.

Utilizing Networking OpportunitiesHaving great staff, being adaptable, and keeping customers

happy are important to Double R, says Wayne Copeland, its sales and marketing manager. Copeland, who has been with the company for 23 years, says Double R has a lot of long-term employees who develop relationships with the customer base. “The secret to success is just keeping customers informed and up-to-date and utilizing as many networking opportunities as you can.”

For Double R, this means going to the customer as well as having the customers come to the facilities. “Our sales guys are going to the homebuilders and discussing new products and pricing and having a presence on the sites,” says Copeland. “We also have a presence at networking opportunities through the Homebuilding Association. That is my advertising.”

Copeland also understands the value of technology. He is cur-rently working on re-vamping the company website to make it

more user-friendly. Currently, the most popular way that Double R communicates with its contractors is through eMail, although some contractors still like to fax or phone in orders. Double R already has in place an inter-linked POS and inventory system to do its contract-specific pricing.

Adaptable

Copeland says it’s important to “be able to adapt to an ever-changing environment.” Double R did this in response to some high intensity residential fire issues Alberta has had over the past few years.

“The Alberta fire code has changed and we were an industry leader in helping home builders solve that problem so they can stay up to code,” he says. “There has always been a product out there you could use but the builders had trouble and issues with that prod-uct based on the current codes. We approached a company called PinkWood Ltd. to come up with a solution. They put a painted coat-ing on the OSB that meets the code.”

Community involvement is also important to Copeland. His pas-sion is hockey so Double R is involved with many local sports teams and events. “However, my second passion is this industry,” he says. “I have served on the Canadian Regional Homebuilders Association, Calgary region board of directors for six years.” He is currently the vice-president. ❖

Double R Building Products Ltd. has a truss and floor division in Aldersyde, AB, and a building materials divisionin Calgary, AB.

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FEATURED ARTICLE

HOME IMPROVEMENT RETAILING • April 201426

Pro Con Building Supplies

Steve Guglietti, Owner& member of TORBSA Board of Directors

Location: Brampton, ON

In Business: Since 1982

Size: 20,000 square feet

Staff: 13

Pro Con Building Supplies is family owned and operated. It opened for business in 1982 and now employs 13 people. The business provides gypsum board and sup-plies, steel framing, insulation, acoustical

wall and ceiling systems, tools/trim/accessories, and do-it-yourself retail products. The business is split 90 per cent commercial and 10 per cent residential.

For the past seven years, the focus has been on expanding the breadth of its product offering to complement existing products. It has increased from 250 skus to over 7,500. As well, the compa-ny has enhanced its efforts to grow walk-in trade.

The keys to success, says Guglietti, are its service relationships, product knowledge, and expanded product offering which is intended to fulfill customers’ needs and encourage one-stop shopping.

As a shareholder member of TORBSA for 10 years, Guglietti says TORBSA provides the benefit of a network of like-minded indepen-dent dealers that share best practices – which is very helpful for his business development. He particularly enjoys the strong relationships amongst the shareholders and the open and honest discussions. He certainly sees the benefit of the group practicing full disclosure and this,

Despite the future appearing com-petitive within the industry, Steve Guglietti feels Pro Con is well-positioned to achieve and enjoy ongoing success.

together with the low costs, provide key ben-efits for shareholders.

Guglietti sees the future as being very com-petitive. However, he feels being a TORBSA shareholder, together with the company’s efforts and steps toward diversifying their product skus and being a one-stop shop for their customers, ultimately enhances its ability to achieve and enjoy ongoing success. ❖

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27HOME IMPROVEMENT RETAILING • April 2014

FEATURED ARTICLE

Allen Building Centre

Jamie Adams,Owner

Location: Woodstock, ON

In Business: Since 1963

Size: 3,600 sq. ft./1.5 acre property

Staff: 17

Originally known as Dorland Lumber in the late 1950s and early 1960s, the store became Allen Lumber in 1963 when purchased by Bill Allen. In the ensuing years, the retail business developed and grew and carried a reputation for

its customer service, knowledgeable staff, quality products, and good prices. Over several decades, Allen Lumber was well known in Oxford County and during that time, it became a member of the Castle Building Centres Group.

Resized, ReorganizedIn 2002, Bill Allen sold the store to Jamie Adams, his step-

grandchild. Since then, the store has tripled in size from its 1,200 square feet beginning, a resizing that allowed for more breadth in its line of hardware and building materials. The yard was reorganized and warehouse racking was added to increase operational efficiency. Along with the upgrades, the name was changed to Allen Building Centre.

Evolving Is KeyNevertheless, with the changes that have occurred in the retail

space over the last several years, owner Jamie Adams says the busi-ness needs to continue to evolve. Technology is becoming ever more important – as is efficiency. Pricing is definitely under pressure as a result of the amount of competition, he says, and being very efficient

and using technology to track costs is important. “Castle gives us the tools that allow us to keep doing that and improve on how we do things via technology, racking systems, and renovations to make our space more presentable to female shoppers, for example. It’s impor-tant that you continue to evolve and change as the market changes or else you’ll find yourself going backwards very quickly.”

In 2006, the business was recognized by the Woodstock District Chamber of Commerce as ‘Outstanding Retailer of the Year.’ In 2012, Allen Building Centre was fortunate enough to be recognized again by its chamber of commerce, this time being the recipient of the ‘Outstanding Achievement – Commercial’ award.

Re-investing For SuccessAdams says that the tremendous growth the store has achieved

over the past 11 years is the result of two decisions: one, to become a member of Castle, and two, to re-invest all the profits generated back into the business. “Without Castle, I’m not sure we would have had the same success. It gave us the financial freedom to make decisions that allowed us to re-invest in Allen Building Centre.

And one of the biggest factors adding to the success of Allen Building Centre is its staff. “We’re very proud to say that we think we have some of the best staff in the industry at our store. We gener-ally like to operate on the principle that we pay a little bit more to try and attract and retain the best people. Definitely, it says a lot to our success to have consistent and great staff, and that definitely leads to our growth,” he says.

In March of 2014, Jamie Adams was elected the chairperson for Castle Building Centres. It speaks highly of his commitment to the industry, his community, and his peers. ❖

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FEATURED ARTICLE

HOME IMPROVEMENT RETAILING • April 201428

TRU Hardware Beaverlodge is located in Beaverlodge, AB. The town is in northern Alberta west of Grande Prairie, and not far from the B.C. border. With a population of just over 2,300, the local economy is based in farming, oil, gas, and

logging. It enjoys a healthy economy. Bryon Calvert and his family moved to Beaverlodge to open the

hardware store in 1959. It was originally known as Macleods. He start-ed working with his parents shortly after he finished high school. In 1966, the store moved to a larger location in the downtown area. They expanded the store in 1978 and continued business until December 2002, when a fire destroyed the entire block where the store was located. The store remained closed until September 2003, but reopened in the same location with an additional 4,000 square feet of retail space.

Today, Calvert continues to run the store along with his partners – Brent Calvert, his son, and Mick Walker. This year marks 55 years in business.

Pride And RecognitionThe owners are very proud of their store. In 2009, they were

awarded the 50-year ‘Golden Hammer Award,’ in recog-nition of their long service to the community and their dedication to the retail business. In 2010, they received the ‘Business of the Year’ award by the local Chamber of Commerce which described the store as an outstanding example of a great hometown retail business.

“Our success lies in using our skills and knowledge to serve our customers. We work hard to be well-stocked, competitively priced, and to serve our customers well,” says Brent Calvert. “We are a small store but we know our products and can answer almost any question. It all comes down to excellent customer service.”

In early 2011, the store converted to the new TRU Hardware when buying group TruServ Canada launched the new banner across Canada.

Community InvolvementThe management team at the Beaverlodge TRU

Hardware know that their success is because of customer commitment to their store. All three owners are members of the Elks Service Club in Beaverlodge, an organization that works with businesses to raise funds for charities. As well, the store donates merchandise to sports organiza-tions, like the local curling club, to include in their silent auctions. Not too long ago they were involved in fund, raising efforts for a swimming pool complex. For more

than 2.5 years they donated items to 15 different events resulting in the town building an $11 million dollar complex.

A pride and joy for Brent Calvert is the two murals on the outside of their store. After the fire in 2002, they added a wonderful touch of history to the rebuilt store with a mural depicting Main Street as it used to be. In 2009, to honour their 50 years in business, a second mural was added to the store. The Edison Trail Mural is a replica of the original painting done by Euphemia McNaught that was pur-chased through a silent auction.

The FutureWhile the recession in 2008 and beyond affected the store, it

endured it well. Each year for the past four years, business has increased, says Bryon Calvert. And the future is looking good too, he says. While there are always small changes being made in the store, by and large things are left as is because it all works. “As long as we stick to the basics and put customer service first and foremost, we will have a great future,” he says. ❖

TRU Hardware Beaverlodge

Bryon and Brent Calvert, & Mick Walker, Owners

Location: Beaverlodge, AB

In Business: Since 1959

Size: 7,500 square feet

Staff: 9

Bryon Calvert with his son Brent and partner Mick Walker operate the TRU Hardware Store in Beaverlodge, AB. It converted to the TRU brand in early 2011 when buying group TruServ launched it.

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29HOME IMPROVEMENT RETAILING • April 2014

FEATURED ARTICLE

Orillia Home Hardware Building Centre

John Locke & Bill Ecklund,

Dealer/owners

Location: Orillia, ON

In Business: 2001

Staff: 65

For John Locke and Bill Ecklund, the dealer/owners of the Orillia Home Hardware Building Centre in Orillia, ON, it has never been their store. No, right from the beginning they have worked to make it their community’s store, their customers’

store, and their staff ’s store.That approach was evident right from the beginning of the reno-

vation project which resulted in their new facility in 2008. During the construction phase, they kept everyone aware of what was hap-pening by posting pictures of the store under construction.

The foundation of the new facility started in 1999 when Locke was given the opportunity to buy the Beaver Lumber store in Lindsay, ON. He and his brother-in-law Ecklund had, by that time, more than 25 years in the lumber industry – Locke as a retailer and Ecklund on the wholesale lumber side. While they had talked over the years about doing something together, when Locke bought the Lindsay Beaver Lumber, Ecklund came along to run it.

Beaver LumberHowever, right about the same time, Home Hardware was acquir-

ing Beaver Lumber. When it did, it decided to rebrand the Beaver

Lumber stores as Home Hardware and those owners were given the right to acquire their stores.

For Locke and Ecklund, it meant looking elsewhere and they set-tled on Orillia which had both a Home Hardware and Beaver Lumber. Early after they took over, they started to see that the cost of operating two stores was more than it would cost to operate one and plans were launched, culminating in 2008 with the opening of their new store.

Ecklund says they should have done it sooner because by 2010, the first year they were eligible, they were given the ‘Walter J. Hachborn Store of the Year Award,’ which was followed up this year with their second – putting them in select company as only two other Home Hardware stores have earned the award twice.

Awards like this, they say, validate their decision to operate as they do.

That responsibility to the community is as strong as ever and with it comes “amazing support. We ask them to come to us with sugges-tions. If there is something they think we should be doing, come and talk to us and we’ll try to accommodate it,” says Ecklund.

In addition to creating a sense of community ownership, they recognize the value of constant change.

Locke says they are not a standard store. They sell dresses, women’s hats, shoes, and bedding. For Ecklund, it means they have “gone from being lumber guys to retailers.” But, “once you have them coming through the door, you have to keep them coming. You have to change

things, show them something new and different all time. Women, in particular, want to see something different every time they walk into the store.” These female cus-tomers, says Locke, pick up a shopping cart and spend at least 20 minutes in the store filling it. “We are like a small department store,” says Ecklund. However, they can also buy their house and furnish it here from the ground up.

Another key to success is the staff.They have been able to attract and retain their staff

and Locke thinks is because everyone is treated fairly and from day one the staff bought into the system. They followed the standards set and now they love the results – “the compliments from customers and fellow dealers.”

Flagship StoreLocke and Ecklund are also both proud of the fact

that their store is considered by head office as a flag-ship store. “They send people here from right across Canada,” says Locke, saying “if you are going to build a store, go see what this store has done.”

They also have a succession plan in place. Their sons and Ecklund’s son-in-law are now training at the store after spending 15 to 20 years working elsewhere, leaving both Locke and Ecklund confident about the next generation that will run the Orillia Home Hardware Building Centre. ❖

Orillia Home Hardware Building Centre dealer-owners John Locke and Bill Ecklund and store manager John Green are presented with the 2013 Walter J. Hachborn Store of the Year Award during Home Hardware’s biannual Market in St. Jacobs, ON. Presenting the award on behalf of Home Hardware Stores Limited are Walter Hachborn, president emeritus, Paul Straus, president and CEO and Terry Davis, executive vice-president and COO.

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HOME IMPROVEMENT RETAILING • April 201430

LeGresley Home Building Centre in Miramichi, NB, grew its business from an 1,800 square-foot store to a facility with 20,000 square feet.

The new facility is a pre-engineered structure with an automated power vent system.

Completely Transforming A Facility

LeGresley Home Building Centre in Miramichi, NB, is a family owned and operated business. It has been that way for the past three genera-

tions of the LeGresley family.Last fall, due to tremendous growth in the

business, Guy Philippe LeGresley and Marc Joseph LeGresley, the current generation of dealer/ owners, opened the doors on a state-of-the-art building, growing its business from an 1,800 square foot store to a facility with 20,000 square feet. This enabled it to expand its product selection and it also now features a drive-thru lumberyard.

Full ServiceThe work was carried out by CT Darnell

Construction, formerly known as Sunbelt Rack. Founded in 1987, it originally served lumberyards and the then-new big box retailers. Since then, it has evolved into a full-service, licensed general contractor operating across the United States, Canada,

and the Caribbean. The company was pur-chased in 2008 by Travis and Clint Darnell, sons of the founders. Each brought more than 20 years of hands-on experience in all phases of company operations.

It rebranded under the CT Darnell Construction name in 2013 to emphasize that it’s a full-service planner and constructor of all LBM facilities – from simple storage options to full-scale, multi-unit lumberyards and retail facilities. Like its rack systems, building design and construction go back to the company’s founding 25 years ago. Nine years ago, it was incorporated in Canada, expanding its reach from its U.S. base.

“What we specialize in is helping people design their facilities and then construct the buildings and storage systems for those facilities,” says Clint Darnell, the compa-ny’s vice-president. These facilities are con-structed with a pre-engineered element from a metal building standpoint. This approach is used on both the retail spaces and storage

buildings, as was the case with LeGresley Home Building Centre.

In this project, the facility was com-pletely transformed. “If you look at what it used to look like and what it looks like now, there’s not a single building standing on the property now from six years ago,” he says.

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31HOME IMPROVEMENT RETAILING • April 2014

Two PhasesIt was built in two phases with about a

two-year gap in between. The first thing built was the storage building which is basi-cally a pre-engineered structure with auto-mated power vent systems on the inside and some overhangs and a cantilever (L-shed) on the exterior of that building. This houses the lumberyard drive-thru and houses all of the building materials. “Basically, all his dimensional lumber, treated lumber, mez-zanines for all his insulation – everything is under cover in the facility.”

The second phase of the project was the new retail store. To start, it was attached onto the side of the drive-thru building and then expanded to include the existing retail store. “So, everything now flows together,” says Darnell.

The work was completed in such a way that LeGresley Home Building Centre was able to transfer and set everything up in a couple of days with minimum down time.

While CT Darnell does everything from the design to the construction, the store owner does have a lot of say in the process. “We have constant contact as we’re work-ing through that process. We have our ideas, they have their ideas, and then you bring the two together. So, it’s always a give and take and a meshing of thoughts and methodolo-gies,” says Darnell.

Similar ProjectsFor other store owners thinking of car-

rying out similar projects, Darnell suggests they look at a number of areas to determine the need. “I would take a hard look at the type of damage and loss of materials that are exposed to the elements; look at the man-hours that are spent daily uncovering materials and getting them ready to sell.”

Once the decision is made to start a proj-ect, they need to look at and understand their

inventory such as the frequency of turns. They need to know the products that move fastest in their marketplace so they can be in the most accessible points from a storage perspective.

Another consideration with product is storage. “If you keep your material clean, dry, and under cover, it extends your sell-ing season,” he says. And since people in that market “know that your materials are kept properly, they are more apt to continue during the season, regardless of the weather, with their projects.”

This was the case with LeGresley. “With our climate, usually construction slows down in the winter time,” says Guy LaGresley. “Being a closed building gives us an edge on our competitors because we

have enclosed pressure treated and kiln-dried lumber, which people can use year round. A lot of the projects go later now. [Customers] keep us top of mind knowing that our lumber products are all enclosed and dry.”

Looking at the long term, store owners need to determine if there is the ability for future expansion. Darnell says the objective is not to get them “into a design that they’re maxed out from the first day. They have to have the ability to continue to expand for new products that come into the market-place or for just increased volume with their business.”

And, expansion aside, Darnell says own-ers are not cheating themselves on square footage if “you always go a little bit bigger.”

Traffic Flow

Other areas they must consider are traf-fic flow and the type of customer coming through the facility. “What type of turning radiuses do you have to have for a guy in a truck versus a guy in a truck with a trailer? These things make a huge difference in the usability of the facility,” he says.

So far, in Canada, the client list includes Home Hardware, Castle Building Centres, RONA, and Federated Co-op, to name a few, but “honestly, anyone who is selling building materials in Canada is a potential customer.” ❖

The new warehouse at LaGresley Home Building Centre has cantilever racking (L-shed) on the exterior of the building.

The drive-thru warehouse provides cover for all materials including dimensional lumber, treated lumber, and insulation.

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Fold to meet Fold to meet

We stand behind our products and our people. By empowering them to make decisions we prove our commitment to our valued customers every day.

taigabuilding.com

Whatever it takes.

When We empoWerto make decisions it gets you the & solution

our people

ansWerfaster.

Composite deCking • engineered wood

flooring • insulation • lumber • mouldings • panels

preserved wood • roofing • siding & trim

2012-20722 Buck Stops Here 8.125x10.875 v2.indd 1 2014-01-14 11:36 AM

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33HOME IMPROVEMENT RETAILING • April 2014

Social Media:

Increasing Profit With A Tweet

viewed online. We also offer contests from time to time to our followers which have generated a lot of interest – people sure like to win stuff!”

How Best To Use ItSimilarly, Paul Straus, CEO and presi-

dent of Home Hardware Stores Limited, says that social media became a part of Home’s business strategy a number of years ago. The decision was never if it should use social media, but rather, how to best use it. “At Home, we have built our reputation on providing superior customer service and we wanted to ensure that our online customer experience would match our ‘in-store’ standards.” To enhance its social media presence and efforts at a cor-porate level, Home Hardware has social media accounts with Facebook, YouTube, Pinterest, and Twitter. As well, says Straus, Home is made up of close to 1,100 indepen-dently owned and operated stores across Canada. At a local level, its dealer-owners have the freedom to use whichever social media platforms they feel will help them reach their customers.”

For Jonathan Ouellette, of Ouellette Brothers Building Supplies Ltd. (Castle) in Fort St. James, BC, social media is impor-tant for getting out there and being known. He incorporates social media into his busi-ness along with a store website, but says he also uses road signs, local newspapers, mail-out flyers, and sponsors local events as part of a complete package to capture the attention of customers. He feels there is an increase in profit from a combination of instore and online efforts.

A Range Of BenefitsAside from realizing increased profits,

social media has enabled UJ Robichaud to remain a business in a rural community while selling its items around the world. The retailer has been able to specialize in certain tools, appliances, and products. These may not be items that are sold in the local area, says Wotherspoon, but because she has cus-tomers elsewhere who want the items, they are brought in. This, in turn, has also led to carrying the items for local customers, thus bringing new trends to the area.

“Our area has experienced a large

By: Karen E. Treml

Social media reaches customers around the world says Kimberley Wotherspoon, manager of online sales for UJ Robichaud TIMBR MART.

Wherever you go today, you are likely to hear some-one mention social media. From Facebook to Twitter,

Pinterest, and Instagram, social media includes avenues for the written word as well as for images. Social media is a grow-ing approach for advertising a business and its products and retailers are taking note and adding it to business strategy.

Kimberley Wotherspoon, manager of online sales at UJ Robichaud TIMBR MART in Meteghan Centre and Church Point, NS, says “social media plays a large role in my position as our clients are from around the world. They could be in the same community, a few hours down the road, or across the ocean.” Some of the social media platforms she incorporates into the retail business include Facebook, Twitter, YouTube, an EBay store, an Amazon store, and an online blog – along with a store website. “Facebook has become an impor-tant part in our social media plan. We use it to promote sales, new products, featured items, and exclusive deals that are only

Paul Straus, CEO and President, says social media became a part of Home Hardware’s business strategy a few years ago.

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HOME IMPROVEMENT RETAILING • April 201434

the U.S. who have summer homes in the community. A lot of these people follow us online and let us know when they are coming and what products they need for the summer. Some of these products may be items they have seen in their community that we aren’t aware of. By letting us know in advance, we are able to bring those items in” she says.

migration of people who are moving back to the community after being away for work or who are moving here from other parts of Canada and the U.S. In the sum-mer, there are a lot of people coming from “Our Facebook and Twitter accounts

are linked together so if we post on one site, the other site is automatically updated so our followers on either platform can view the discussion. We also use website analytics to see where our customers are coming from and how they are finding our website, which allows us to promote certain products to certain areas. This allows us to target posts on our twitter account to fol-lowers in that province.”

Home Hardware has seen many ben-efits to incorporating social media into its customer service experience, says Straus. First and foremost, it helps meet the needs of customers by providing them with the information they are looking for on Home’s products and services, in a timely manner, thus enhancing their experience. “Social media is also a great way for our stores, dealers-owners, and staff to continue the ‘in-store’ experience that Home’s customers have come to expect. It allows the customer to connect with the store at a local level in the manner they are most comfortable with, whether it be online, instore, or both. Since Home’s inception in 1964, our dealer-owners have always been very involved in their communities; social media acts as a natural extension. We receive a lot of posi-tive comments from customers about their local stores and the great service provided. We find that happy customers love to give referrals through social media.”

The team at Ouellette Brother Building Supply uses social media along with other media such as road signs, local newspapers, and flyers.

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35HOME IMPROVEMENT RETAILING • April 2014

Jonathan Ouellette of Ouellette Brothers Building Supplies Ltd. (Castle) uses social media as part of a multi-media approach, saying it’s important to getting out there and being known.

Twitters, and Pinterests of the world have not only stood the test of time, but have demonstrated the necessity of adding them as tools to capture and retain a retail audi-ence. Adding social media to the overall strategy is an effective way of engaging

A Growing StrategyIs social media a strategy that is bound

to continue? It seems that way. Wotherspoon believes that the number of people using social media is only going to continue to grow. Young people are on social media con-tinuously. “How many people have you seen with their phone ‘attached’ to their hand,” she says, “so you have to keep up with them.

“Our website continues to grow and our online sales reflect this. I enjoy talking with people around the world and helping them locate what they are looking for. Of course, online customer service is as important as it is in the store and good customer service will in turn lead to repeat online sales.”

Straus agrees and says that just like the needs of customers, social media will continue to evolve over time. He adds that Home will continue to evolve with it to bet-ter meet its customers’ needs. “We will also continue to encourage more dealer-owners to take advantage of social media and we will continue working on ways to make it as easy as possible for them to do so.”

What once existed as a plethora of plat-forms that at the outset many did not truly understand the purpose for, the Facebooks,

consumers which, when added to the arsenal of retail tools, can have a profound impact on the bottom line. ❖

Karen E. Treml is Home Improvement Retailing’s staff writer ([email protected]).

From Tweets To Blogs

Facebook is an online social networking site that allows registered users to create profiles, upload photos and video, send messages, and keep in touch with others. Business can use the site to keep interact with customers.

Twitter is an online social networking and microblogging service that enables users to send and read ‘tweets limited to 140 characters. Businesses can tweet various announcements to their customers such as upcoming sales, promotions, etc.

Pinterest is a virtual inspiration board – a website that allows people to ‘pin’ things online, just as they would pin things on a real life bulletin board. Businesses can use Pinterest to create brand awareness.

Instagram is an online photo-sharing, video-sharing, and social networking service that enables its users to take pictures and videos, apply digital filters to them, and share them on a variety of social networking services. Businesses can develop brand awareness as well as share photos of products, locations, or anything else they wish.

YouTube is an online video-sharing service. Business can provide video messages, demonstrations of their products or ‘how-to’ videos for customers.

Ebay and Amazon provide an avenue for retailers to have ‘storefronts’ on their sites and benefit from the increased traffic to those sites.

On-line Blogs provide a way for businesses to provide updates and information to their customers. Regular blogs can keep customers informed and interested. ❖

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Coat Of Paint Can Refresh Home

As winter gives way to spring, consumers turn their attention to their interior and exterior liv-ing spaces with a view to either

refreshing one or two areas of their homes or, in some cases, revamping the look and feel of their entire homes or outdoor living areas. And, each year designers and manu-facturers provide an array of colours, tech-niques, and technologies to help consumers achieve that perfect look and feel.

Colour Program Fulfills Visions

Home Hardware’s ‘Colour Comes Home’ program offers consumers a design system that helps them fulfill their creative vision. “Colour should be fun, invigorating, invit-ing, and, most importantly, it should help create a home that is as beautiful and indi-vidual as the people who live it in,” says Bev Bell, creative director, Beauti-Tone Paint and Home Products Division, Home Hardware Stores Limited.

Colour Comes Home contains four key components: a new full-spectrum Colour System, an Essential Whites collection, eight design-inspired whole home collections, and loads of DIY décor project ideas.

PAINT AND DESIgN TRENDS 2014

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37HOME IMPROVEMENT RETAILING • April 2014

world of fashion and cars, and this is trans-lating into lavish colours and designs for walls, furniture, floors, and accessories,” says Mylène Gévry, marketing manager for SICO. In unveiling the company’s newest paint colour theme, a collection of opulent hues called ‘Design Splendour,’ she says the look is contemporary, mixed with vin-tage touches such as tapestries, brocades, damasks, embossing, toile de Jouy, and gilding, reminiscent of a more regal era in history.

Included in the Design Splendour paint palette is a mix of both warm and cool paint tones. The warm hues – such as Royal Jelly golden yellow, Bloody Mary red, and Champagne Glass pink – are a balance of exotic, intense colour and subtle, softened neutrals. The cool tones of the palette – Polynesian Blue, Jazz Night Slate, and Galapagos Green – are rich and saturated, contrasting well with the warm shades. The colours are so versatile, says Gévry, that they aren’t limited to walls; they are also being applied to furniture, floors, trim, doors, and ceilings.

The program has four components – a full-spectrum colour system, an ‘Essential Whites’ collection; eight design-inspired whole home collections; and a variety of DIY décor project ideas. The 1,228 Haute Hues were selected to reflect contemporary colour directions. Each seven-stripe card offers a trim and an accent colour sugges-tion to inspire customers and help them effortlessly create a designer look in a room. Included in the program are eight ‘of-the-moment’ collections – Comfort Zone; Fresh Outlook; Urban Perspective; Vintage Finds; It’s Just Natural; Refined Instincts; Simply Stated; and Lush Life. Each has 16 colours that can be mixed and matched to create a fresh, upscale look that is affordable, doable, and desirable.

Lavish ColoursOpulence is one of the hottest looks for

the home in 2014, says SICO paint, a brand of PPG Architectural Coatings. It presents itself with dramatic colours, rich metallic shades, and plush velvet and suede – think shimmery antique golds highlighted by sophisticated darks and extravagant gem tones such as emerald, ruby, and sapphire. “Home décor is taking its cue from the

Design Splendour is a lavish, extravagant, and opulent theme. Plush and sensual materials such as velvet and suede add to the decadence of this look. Colours are both warm and cool.

Lush Life has 16 colours for the bathroom or kitchen that can be mixed and matched to create a fresh, upscale look that is affordable, doable, and desirable.

PAINT AND DESIgN TRENDS 2014

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HOME IMPROVEMENT RETAILING • April 201438

ways next year – in the form of grey wash on wood furniture, for example, and in fab-ric used for everything from seating to floor coverings. “We will even see grey’s flashier cousin, silver, used as an important accent colour,” says Zimmer. However, white and off-white are back in vogue too. “As with grey, the ease of co-ordinating furnishings with a neutral hue like white is appealing to almost everyone,” she says.

When looking at accent colours, Zimmer says a hot colour for 2014 is mustard yellow. “Its influence is growing in both fashion and home furnishing fabrics. We also expect to see more use of it on walls – if not for entire rooms, then at least on accent walls.”

From the Beauti-Tone Colour Comes Home Lush Life palette, Bell says you can add brightness by splashing your kitchen with rays of Sunny Disposition or by bath-ing yourself in citrus splendor in an Orange You Special bathroom. Design profession-als and do-it-yourselfers in the mood for more colourful options will also have good choices – blues and greens in more tints and shades than ever before which will again be crowd-pleasers this year.

From Para Paints comes some colour themes that promise to be popular this year. Beach House, guided by Plantain Chips,

Floors, which are often ignored in the dec-orating process, can add significant panache to a room when painted in deep, rich colours such as black or dark grey. Stairs and banis-ters painted in glossy dark finishes complete the sophisticated look – while adding high-lights through glossy white columns or wall appliqués – heightens the sense of drama, she says. “You don’t need to live in a palace to create a majestic space. With the right mix of paint colours and accessories, along with a little imagination and confidence, anyone can achieve this year’s hottest look in the home.”

Trending In ColourThis year’s colour choices tend toward

a combination of neutrals, highlighted with light and bright. In her annual colour fore-cast for 2014, Debbie Zimmer, paint and colour expert for the Paint Quality Institute, is supporting grey in a big way, saying it’s the hot new neutral, a sleek and sophisti-cated colour option that adds refinement to almost any room.

“Walls that are painted grey are great backdrops for almost any style of décor, and grey is such a dignified colour that it can elevate the appearance of even the most modest furnishings,” she says. Beyond wall colour, grey will embellish interiors in other

can be used to create a seaside inspired room. The palette suggests pairing it with the calming sand tone neutral of Carrara, the sky blue Cobalt Ice, and the bright and complementary green of Avocado Shake as well as the muted blue-grey of Blue Pearl.

For those who prefer cozy and rustic rooms, Northern Retreat is led by Copper N Spice. This burnt clay copper pairs naturally with the rich chocolate of Zebrawood and dramatic dark grey of Humberstone. The palette also contains a mellow green, Olive Grove, evocative of earthy nature, and fin-ishes with a neutral taupe shade, Summer Savory for a warm and organic room.

Island Escape is a palette built around Para’s dark vivid teal, Tahitian Pearl. It can be matched with bright berry shades such as Gooseberry, a vibrant orange in Roar, the tropical mango hue of Bird of Paradise, and the serene neutral of High Tea.

When considering a new look, Zimmer says colours and colour themes can provide some valuable direction. But in the end, colour choice is a very personal decision, she says. So whether you are thinking about doing some painting, changing the décor, or both, consumers should stick with colours they love. When it comes to their home, their opinion is the one that matters most.

PAINT AND DESIgN TRENDS 2014

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39HOME IMPROVEMENT RETAILING • April 2014

in fact, the most environmentally friendly paint product you can buy, he says.

While the trend over the last sever-al years has been toward all-in-one paint and primers, recent technology has lead to EVOpaint, a true one-coat paint. EVOpaint is not a paint plus primer. It is a paint that covers in one coat. Whether painting over another colour or over new drywall with joint compound, this one-coat paint saves

Evolving TechnologiesStyle and colour are not the only changes

that have occurred. Evolving technologies have led the paint industry to zero VOC colourants and recycled paints.

Beauti-Tone’s Natura is a truly no VOC paint, says Bell. It uses Home Hardware’s no VOC colourants to offer more than 1,200 tint choices. And, an industry-wide move to using zero VOC colourants is one of the biggest topics in the wood stain indus-try in 2014, says Jennifer Haney, market-ing director, Duckback Products/Superdeck Wood Stains. Superdeck recently launched Semi-Transparent Waterborne Stain – a water based, clear base wood stain that is tintable

using zero VOC colourants. It has the high performance and water

repellency of oil based stain. With 100

colour options available in zero VOC colourant, this wood stain

will add refresh-ment, vibrancy, and a

personal touch to any outdoor living space.

When it comes to eco-friendly paints, Shayne

Burcher, of Ecocoat Paints, says there is a trend toward

increasing awareness and use of recycled latex paints. People are using recycled paints both for the interior and exterior of their homes. Recycled paint has proven to be an excellent product that is well-received by both the environmentally conscious consumer as well as the buyer look-ing for a great value in paint as it typically retails for $20 per gallon compared to a $40 gallon of vir-gin latex paint. It is,

PAINT AND DESIgN TRENDS 2014

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HOME IMPROVEMENT RETAILING • April 201440

shortens the roller pile height. Half a work day later, the 15 millimeter sleeve is only a 10 millimeter sleeve because that’s all the roller can pick up or put down. FTP sleeves feature HydroFlo technology and offer con-trolled, complete paint release for better production with fast-drying coatings.

Satisfying ResultsWith an overall uptick in renovations,

remodels, and redecorating, painting remains a popular renovation choice. With the availability of colour systems, choosing colours is simplified. As well, with décor trends such as ‘opulence,’ choosing inte-grated looks that add flow to living spaces is easier. Coupled with new technologies that offer low VOC paints and quicker and more efficient painting techniques are tools that support the properties inherent in the evolving technologies. Therefore, complet-ing paint projects is a quicker, more efficient process that offers excellent results with guaranteed satisfaction. ❖

significant time by providing full coverage with one coat. As well, it carries the com-pany’s ‘Green Quantified’ commitment to being an environmentally friendly product.

Also evolving from advances in paint technology is paint that has faster drying times – which in turn has created a need for painters to find ways of painting more quickly without compromising the results. Tim Franck, Wooster’s national accounts manager for Canada, says products such as the Wooster Pro/Doo-Z FTP and Super/Fab FTP roller sleeves are two product lines that achieve higher efficiency. “Today’s quick drying paints can build up in the cover. If paint dries down in the fibre, it effectively

Beauti-Tone’s Colour Comes Home collect-ion comes complete with a tool that helps the customer isolate colour combinations.

PAINT AND DESIgN TRENDS 2014

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Homeowners are very often unaware of the most basic things such as what style they want, says Brent Perry, of Alf Curtis Home

Improvements.

One of the biggest challenges is that a lot of people do not realize the price of windows in their project, says Conrad Bakelaar, of Merrett Building Supply.

HOME IMPROVEMENT RETAILING • April 201442

All windows are special orders, he says. There are no standard sizes. So when it comes to buying windows for the whole house, the customer is going to come in and “we are going to go over things like their budget. Do they want a replacement type window or do they want a new construction type window? You can offer different coat-ings in between the glass. So if it is a south facing window, you can offer shaded glass or glass that will not give you the UV light to

The Business Of Windows And Doors

Having product on display can help homeowners in choosing, but most windows and doors are custom orders.

A big category of home improvement retailing is windows and doors and while building cen-

tres often deal with contractors for much of their new build or renovation supplies, when it comes to windows and doors, generally the stores ultimately deal with the homeowners. As such, there are a number of considerations when dealing with both the contractor and the homeowner.

Working With PlansWhile a number of specific

choices regarding windows and doors largely come down to the homeowners’ preferences, there are many factors involved that still require the input of the contractor. For example, it’s always helpful to have a copy of the contractor’s blue-prints, says Brent Perry, president of Alf Curtis Home Improvements, in Peterborough, ON. That gives some clarification and from there the dis-cussion can begin and decisions can be made by the homeowner with input from the contractor as necessary. For example, do they want a brick mould? Do they want colour? Do they need to build on the inside? What type of construc-tion is it going in?

Similarly, Conrad Bakelaar, of Merrett Home Hardware Building Centre in Peterborough, ON, also likes to start with a set of plans. “Either the contrac-tor or the customer comes in to see me but, ultimately, it is the customer who is going to choose what they want in their house.”

stain your carpets and flooring and such. We go over that and also the style of window, along with other nuances like colour, grills, finishes.”

Understanding The Products

Perry says that when homeown-ers come into the showroom, very often they are unaware of the most basic things such as what style they want. For example, are they looking for a slider or a casement, says Perry. “It’s a matter of giving them the information on what is available. Once you get that initial information taken care of, you can then go over the plans and begin to help them choose.

“At our store, we have the ability to actually print out a CAD draw-ing, which is exactly dimensioned. This helps the customer visualize what the windows or doors are really going to look like,” he says. This is helpful because there are situations where a customer will have a size of a window in mind, but they will want a type of window or an operat-ing style of a window that does not really suit the size they need. People do not necessarily think about that. Typically, he finds that they have seen a particular style somewhere and that is what they like, but they are not thinking of what it will look like in the size they need. “Those are

things you work through. You can print out a separate picture of the actual window that is in proper ratio of size with the height and then the person actually gets a look at it and can see if it going to look too squatty or too narrow.”

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have had a falling out. The homeowner wants to come in and pick up the windows that his contractor ordered, but, legally, the order is in the contractor’s name, not the homeowner’s name. There is nothing we can do. There is a difference if the home-owner came in and made the deposit on their own credit card, not cash, but on their own credit card. Then the homeowner has paid. Even though the contractor’s name is on the order, we have the homeowner’s

From a building supply window dealer standpoint, “you want to make sure that your sales staff is well versed in what they are selling when it comes to windows and doors,” says Perry. “There are so many dif-ferent options that suit different scenarios that you want to make sure you are recom-mending the right product. If you tell them something wrong, and they remember only one thing, it will be that.”

Bakelaar finds one of the biggest chal-lenges with windows and doors is that a lot of people do not realize the price of windows in their project. They do not real-ize how big of an impact it makes on the overall price of the house. And the price of installation can be a surprise to homeowners as well.

Defining DepositsAnd as far as surprises go, one very

important point when selling windows and doors is to ensure everyone knows who actually has the right to an order that has been placed on deposit, says Perry. “We have had it happen on windows where a contractor has come in and ordered win-dows for his customer. The customer has given the contractor the money to put down on the windows, but the contractor has placed the order. In the meantime, they

credit card as the deposit on it and we can, therefore, give the order to the homeowner or the contractor.”

Perry says this is important for retailers, contractors, and homeowners to understand because the retailer doesn’t want to end up with custom windows he can’t sell and the homeowner does not want to have to re-order, deal with the lead time, and have their project further delayed. So it’s very important to discuss the terms of ordering and placing a deposit.

For the most part, much of the decision processes that are involved in ordering win-dows and doors surround the homeowner and retailers feel that working with plans or blueprints is a good starting point. Ensuring the homeowners understand the various choices that are available and ensuring that the various questions are answered by the homeowners and the contractors goes a long way to making certain the right products are selected.

And discussing the method by which the deposit will be paid can avoid a lot of issues for everyone involved if a relation-ship breaks down.

Retailers have an important role in edu-cating, ensuring accuracy, and defining terms when dealing with contractors and homeowners for window and door needs. ❖

Discussing the method by which the deposit will be paid can avoid a lot of issues for everyone if a relationship breaks down.

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proDuct spotliGht

Roof Panels Withstand Extreme Weather

WESTMAN Steel’s Snap-Lok Roofing Panel is a strong and durable panel intended to withstand Canadian weather. The panel is available in both 26 and 24 gauge and is cus-tom produced at the factory. Panels are avail-able in 10 colours and in 12” and 16” sizes.

Insulation Greenguard Certified

Knauf Insulation’s EcoBatt Insulation is made from highly resilient, inorganic glass fibres bonded with ECOSE Technology – a binder featuring rapidly renewable bio-based materials rather than non-renewable petroleum-based chemicals. The product is designed for cost-effective thermal and acous-tical barriers for energy-efficient construc-tion. Its acoustical properties reduce sound transmission in the home when installed in partition walls and ceiling and floor systems. The insulation is certified for indoor air qual-ity and is verified to be formaldehyde free.

Shingles Give Look Of Slate

IKO Royal Estate Premium Designer Shingles offer ease of installation versus traditional slate installations. The granule technology fends off harmful UV rays and stops discoloration from algae. Available in subtle slate colours or bold colour blends,

the range of subtle color variations give the look of true slate.

Painter’s Tool Has 17 Functions

The HYDE 17-in-1 Painter’s Tool is a dura-ble, lightweight tool that can scrape paint, spread compound, open cracks, pull nails, set nails, open cans, open bottles, clean regular rollers, and clean mini rollers. It also features ¾” and 11⁄16” wrenches to con-nect whip hoses to spray guns and airless hoses. It has four screw-driver bits that are stored in a pull-out drawer in the handle. The tool can also be used as either a scribe or a nail set.

Bucket-tray Has One Gallon Capacity

The Wooster Sherlock Bucket-Tray has a roll-off grid for use with 9”, 12”, or 14” roller frames. It has a one-gallon capacity – four times that of standard trays – saving time on refills. Built-in handles on both sides make transporting the bucket-tray easy and provide a way to hang it for storage when not in use. An included frame rest prevents unwanted messes. It is moulded from sturdy polypropylene that provides durability. Bucket-tray liners are available.

Sealer ProvidesQuality Protection

Resisto’s Professional Grade EXPERTSEAL Asphalt Driveway Sealer – Rubberized

Professional provides commercial quality protection against cracks and deterioration due to water, frost, oil, gas spills, salt, sun, and rain. Formulated for residential or com-mercial use, this protection is fortified with rubber aggregates and latex.

Fixture Lines Offers Recurring Motifs

The GROHE Grandera line of faucets and fit-tings offers dis-tinctive design and state-of-the-art functional-ity. All products in this line are part of an overall design concept with recurring motifs. The range includes single-lever mixers, classic faucets, tub mixers with laterally attached hand sprays, ceramic trays to five-hole deck-mounted bathtub combinations, free-standing tub fillers, head and hand showers, and thermostats. Finishes include chrome and brushed nickel.

Window Sashes OpenAll Weather Windows’ 4600 Series WeatherGard double hung windows have a traditional look, but offer an operating style in which both sashes open. The top sash slides down and the bottom sash slides up. Operation is smooth with handles on both the top and bottom sash for easy lift-ing. The tilt-in function allows for easy cleaning.

Release Plugs Eliminate Lifting

Atlas Graham’s dual action bucket is a simple, hygienic mopping system that uti-lizes two separate buckets to keep the water cleaner while using less solution. Emptying the water from the bucket is easy and ergonomic. By releasing the locking plugs to drain the water, there is no need to lift the bucket when it is full. ❖

HOME IMPROVEMENT RETAILING • April 201444

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Home HardwareTerry Davis, execu-tive vice-president and chief operating officer of Home Hardware Stores Limited, will become its chief executive offi-cer, effective May 1. He succeeds current presi-dent and chief executive officer, Paul Straus, who remains the company’s president, a member of the board of directors, and an advisor to both the board and senior management team. In his new role, Davis will report to the board and be accountable for the control of the business and of the gen-eral conduct and affairs of Home Hardware

and its wholly-owned subsidiaries. He joined Home Hardware more than four decades ago in a junior warehouse position in the distribu-tion centre in St. Jacobs, ON. He has held his current role since 2010.

Hall Of FameThe inductees for the ‘2014 Industry Hall of

PeopleFame’ include Leonard Lee, founder and chairman of Lee Valley Tools of Ottawa, ON; and Richard Paulin, president of H. Paulin & Company, of Toronto, ON. The Hall of Fame was established in 1984 to recognize the achievements of industry’s leaders and pioneers. Since that time, 56 industry icons, inventors, business found-ers, and builders from the retail and manu-facturing sectors have received the honour. The Canadian Hardware & Housewares Manufacturers Association (CHHMA) serves as the custodian of the hall. ❖

TERRYDAVIS

45HOME IMPROVEMENT RETAILING • April 2014

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HOME IMPROVEMENT RETAILING • April 201446

publisher’s perspectiVe

Retailers are smack in the middle of three to five years of major chang-es that will redefine the industry, says Alison Paul, vice-chairman

and U.S. retail and distribution leader at consultancy Deloitte. And this could be the biggest change since Wal-Mart and other big boxes started to spread throughout North America some 50 years ago.

This time, however, it is not price dis-counts and just-in-time shipping which are changing the face of the industry. In fact, much of the nature of our hardware and building materials industry today is grounded in lower prices. Groups of inde-pendent retailers realized 50 years ago there was strength in numbers as more members meant better prices could be negotiated. The arrival of Wal-Mart and Home Depot just made the competition to lower prices more aggressive.

Today, we are seeing new shifts.

While we laud technology and the elec-tronic communication which have broad-ened the shopping experience, huge data breaches have created panic and concern in the marketplace. Ensuring your customers can shop safely from a smartphone, tablet, laptop, or computer has to be front of mind for every retailer. Yet, ensuring the safety of the shopping experience comes with a price – not only putting the security in place, but also ensuring the ease of the transaction.

Credit Under ControlAnother factor in this is the growing

number of people who, in part due to secu-rity concerns but more likely because they are trying to get their credit under control, want to shop online, but pay cash. No matter how you cut it, cash is still the safest way to pay. And for retailers who are up in arms over excessive credit card fees, perhaps it is the least expensive method of being paid.

The rising costs of ensuring secure web-sites and the cost of credit card transactions may also be a reason retailers want to get away from so much discounting.

Really, is everyone along the retail sup-ply chain getting fair value for their prod-ucts? From retailers to distributors to manu-facturers, everyone is expected to shave pennies off their prices to bring the products to market at their lowest level.

We all marvel at how central banks and their monetary policy are misguidedly given credit for low prices. In fact, it is aggres-sive pricing for everything that has inflation sitting at low levels month after month and year after year.

Comes At A PriceBut, this comes at a price. Sure inflation

is low, but it still keeps going up. Yet, retail-ers are trapped in a situation where they can’t raise prices, they can’t increase pay rates, they can’t afford benefits and pension plans for their employers, and they must take a long-term view on any investments in their business. And that’s not viewing

the business in the long term, it is realizing that to recoup the investment will take a long time.

Consider as well, consumption can account for close to 70 per cent of gross

domestic product (GDP). It means a lot of economic growth depends on people who are likely undercompensated. In turn, it makes it harder for retailers to sustain good customer service as the best employees inevitably leave for greener pastures and better pay, leaving the weakest behind and the potential of damaging repercussions to a business.

So what can retailers do to overcome these challenges? While eCommerce was one of the most buzzed about trends in 2013, recent evidence shows customers still prefer the instore experience. Sharon Armstrong, senior vice-president, marketing and com-munications, with the Retail Council of Canada (RCC), says “consumers are still overwhelmingly shopping in physical stores and we’re still heavily influenced by what happens when we’re in the store – the dis-plays we look at and our conversations with sales associates.” This was the finding of a study in partnership with the NPD Group and MasterCard Canada. And while online reviews, websites, and social media are increasingly influential in helping consum-ers consider brands they may not have origi-nally thought about, consumers purchase products instore versus online because they want to see and touch the products.

Diluted To TransactionsLately, however, that in-store experience

has been diluted to transactions. Consumers visit a store to buy products they found online or, even more dangerous, just pick up products they ordered and paid for online. This results in little engagement between brands and shoppers. Experts at the National Retail Federation in the U.S. say shopping needs to be an experience and retailers should take advantage of their physical assets to build a connection between con-sumers and their brand. ❖

Change Redefining Retail

Dante PiccininPublisher and Editorial Director

[email protected]

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ORGILL CUSTOMER INSIGHTS

Now, Orgill Gives All Dealers A Choice.

There’s No Catch

Worldwide Distribution & Retail Services

You Don’t Pick up the TabAs a privately owned company, we constantly make investments in our product lines, distribution enhancements and our infrastructure to better serve our customers, because we know that our customers ultimately make the decision about who they choose to do business with. Unlike other distributors, however, when we want to improve our services and efficiencies, we don’t ask our customers to pay the price for it.

A Unique System for Unique RetailersWith thousands of SKUs in stock, Orgill can deliver unique assortments to customers of all shapes and

sizes throughout Canada. With more than 160 years of distribution experience, you know you can count on Orgill to deliver when you need it.

A Simple MissionAs Orgill has emerged as the world’s largest independent hardlines distributor, our mission hasn’t changed. Like our way of doing business, our mission is simple and to the point… “help our customers be successful.” Everything we do at Orgill focuses on fulfilling that mission and ensuring our customers’ success.

1-800-347-2860 ext. 6780 • www.orgill.comOrgill, Inc. P.O. Box 140, Memphis TN 38101-0140

To find out how Orgill can help you be more successful, call Phillip Walker

THERE ARE NO ADVERTISING FEES, NO PROGRAM MANDATES, NO CO-OP CHARGES OR MEMBERSHIP DUES—EVER.

Now, Retailers Throughout Canada Have A Choice!

Retailers who do business with Orgill have access to thousands of products, industry-leading retail programs and a world-class team of distribution professionals. But the best part is, there is no catch. Retailers only pay for the products, programs and services that they feel are right for their business.

NoCatch_ABS.indd 1 4/3/12 11:44 AM

“I know – to the penny – what each product costs me. I know with 100% certainty what my rebates will be, and when I will receive them. Castle’s competitive buying programs allow me to take market share from my competitors. Last year our growth was in excess of 20%. And, not only are sales up, we’re profitable!”

Jamie AdamsAllen Building Centre Woodstock, ON

To hear more from Castle members, scan the QR code or go to castle.ca/freedom

castle.ca/freedom

Get the facts. Contact the Business Development Manager in your area:Western Canada Alan Schoemperlen (204) 771-1509 [email protected] Columbia Les Gillespie (250) 469-4744 [email protected] Bruce Holman (647) 228-1414 [email protected] & NB Robert Legault (514) 208-4158 [email protected] Canada Sandy Welsh (902) 471-7113 [email protected] & Labrador Bob Delaney (709) 649-7173 [email protected]

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