Profit Lines Issue 8, 2019

Issue 8


























































REDEFINING




RETAIL








Growing your relevance in a
DIGITAL WORLD



Do more with
Benjamin Moore
details inside

6 Trends Check out these ecommerce trends to



to Know learn how you can stay on top of the
ever-changing online marketplace.






1 Right now 82% of sales are still made in-store. But in less than
a decade, it’s projected that online sales will double—again.
Ecommerce is You simply can’t afford to be on the fence when it comes to
here to stay. ecommerce. It’s important to establish yourself now to ensure
your store’s relevance and online sales continue to grow.




Whether it’s asking Facebook friends for a 2
recommendation, reading online product
reviews, or doing a Google search—most people The path to purchase
start online when making a purchase. starts online.




3 You can no longer “Businesses that are going to
succeed in the digital era will
reach all your
Customers consumers using get good at creating positive
expect you broadcast radio and experiences for their customers
TV or the newspaper
to meet because many people both in-store and online.”
them where don’t access those Corbin Prows, Consumer Marketing
they are. channels at Development Manager
all. Instead,
they’re streaming shows, listening
to online radio, and getting their
news from social media feeds. You
need to make yourself available
across as many of these new
Ecommerce continues consumer channels as possible.

to revolutionize retail,

and independent
business owners who “Continuing to add high-
quality content to your
embrace ecommerce website will enable your One of the larger trends 4
in ecommerce is an
and omni-channel search engine ranking increase in businesses Customers are

marketing will not to improve as well as offering “BOPIS,” which looking for a
branding, generating
only see success greater sales, and stands for Buy Online convenient
and Pick up In-Store. You
but will continue to improved customer also need to offer your experience.
loyalty.”
grow their market customers a website
experience with an intuitive design. The more
relevance. John Henry, CEO of JH Specialty beneficial a visitor’s time is on your site, the more
and the leader behind MOCE, our
new ecommerce program. likely they will be to convert to a recurring customer.

5 BEST CHOICE



Approximately 90
percent of all website
2019
traffic comes from a FALL MARKET
search engine. GUIDE


A search engine’s single goal is to
return the most useful information.
Search algorithms look at many
factors, including the words in GUIDE
your search, their relevance, the “Google has made a push to return 2019 FALL MARKET
usability of pages, the expertise results that are much more localized,
of sources, and your location and which can benefit small businesses
settings to provide you with the that have a good online presence.”
most relevant information for your Ron Daniel, Do it Best Ecommerce Manager
particular search.

6 The latest report says that 46% of all Google Coming soon
Our Best Choice fall market magazine
People are searches are looking for local info. And 72% of people is coming to your store. Check it out to
who search local visit a store within 5 miles. And
doing more consumers aren’t only looking for products, they’re discover all the ways the fall market BEST CHOICE
local searches. also looking for your services. can help you grow your business and
Powered by: Powered by: why you need to be in Indianapolis
October 18-21.


What you can do
More choices with










Benjamin Moore is now a no-adder
drop ship vendor offering you a full
line premium program that includes
Aura®, Regal® Select, ben®, as well as
The world of ecommerce is here to stay, and you have a team of specialty paints
experts dedicated to developing strategies that maximize algorithms, and primers.
understand how to derive value from Search Engine Optimization,
and help you compete and win with an online presence that’s better
than ever.

We’re in the process of transitioning all Do it Best member websites to
the new, robust MOCE platform. We’ve designed the new program to be
flexible, ensuring that you are relevant in your markets, able to grow
your presence online and drive traffic into your stores. We’re excited
about what this new program can do for you.

To learn more, schedule an in-person appointment at the fall market or
contact the MOCE team at 260.247.2167 or [email protected].

PART II OF 2-PART SERIES ON HARDWARE/LBM COMPANIES OVER 100 YEARS OLD
July/Aug 2019
Vol. 11, No. 5
MEMBERS Check out stories published in industry trade publications
THE INDUSTRY’S DIGITAL LEADER
IN THE NEWS highlighting the growth, innovation, success, and giving
spirit of fellow member-owned stores.




B & B Do it Center ® Bliffert Lumber & Hardware Boehs Building Supply
The team at this Carmarillo, California, Read about the remarkable history This Oklahoma-based dealer is
store inspires their garden center of this Milwaukee-based lumber and capitalizing on an untapped niche by
customers. hardware dealer. selling hearths.

















CENTURY CLUB:


Damariscotta Hardware and Do it Best Corp. Farm & Home Hardware
The INNOVATORS and SURVIVORS
Johnsons Home & Garden Indianapolis Business Journal ranked Farm & Home Hardware plays
From Maine to Washington, these stores Do it Best as the largest privately-held an important role in Wellington,
Who Helped Build America
understand the kinds of plants and lawn company in Indiana again in 2019. Ohio, the winning community in
equipment their customers want. Independent We Stand’s America’s
Main Streets contest.


















Hardman’s Hardware Marcus Lumber Melaco Sisters Hardware
Explore the deep roots of this West This Marcus, Iowa, lumberyard is With an entrepreneurial spirit in
Virginia hardware supply dealer. taking an active role in furthering the their blood, two sisters in the
growth of area tradespeople. offshore drilling business in Cut Off,
Louisiana, bought a hardware store.





By Chad Husted, [email protected]@[email protected]
By Chad Husted, c
By Chad Husted, c
Wanted: Skilled anted:anted: Skilled
W
W
Tradespeople
Tradespeople
How Retailers Are Supporting the Next Generationetailers Are Supporting the Next Generation
How R

magine stepping down into your basement and other trades, retailers are helping to preserve a
finding an inch of water. Your new house doesn’t customer base while also bringing in a new generation
have grounded outlets. And that ancient tree in your of tradespeople. These tradespeople are crucial for the
Ibackyard is one storm away from knocking out a wall. industry given how difficult finding new hires has been
These are all issues that make a tradesperson for employers in the U.S. and around the globe.
necessary. Tradespeople, from electricians and Advocating for the trades, and the continuation
plumbers to general contractors and welders, make up a of apprenticeships, can take on different forms.
sizeable portion of the customer base for any hardware For Marcus Lumber, a hardware and lumber operation
retailer. They keep the rest of the world running, in Marcus, Iowa, promoting the trades has become
and the survival of these professions is important for a central part of doing business. Supporting local
more than just their buying power. tradespeople as customers has long been a part of
Retailers play a large role in promoting trades work Marcus Lumber’s business model, but the business
and the people who do it. By being an advocate for has also brought in skilled tradespeople to take on
training in electrical work, contracting, plumbing and projects for commercial and residential jobs.
54 HARDWARE RETAILING | July 2019
54-59_FEATURE_Preparing the Trades_0719.indd 54 7/2/19 9:54 AM

Our new trade ad for August
Norfolk Hardware & Home Varns & Hoover Hardware features Petersburg Do it Best
®
Center Learn how this Middlebury, Indiana, Hardware in Hardware Retailing.
Always looking for ways to help hardware store has remained
their Boston community, Norfolk relevant for more than 133 years. All of these publications provide
donated cabinetry and supplies to a free subscriptions to their print
local homeless shelter. editions and access to their
digital issues. If you’re not
currently a subscriber, use these
helpful links:

• Building Products Digest/
Merchant Magazine
• Hardware + Building
Supply Dealer

• Hardware Retailing
• Independent We Stand
• LBM Journal
Woodstock Hardware YBC • ProSales
Read how the Christofora family Your Building Centers has great • The Hardware Connection
honors their community’s musical resources and services for the • Contractor Supply
history for the next generation. contractor customers they serve in
Pennsylvania. • Industrial Distribution
• Industrial Supply

We’re posting content daily
that highlights our company’s
achievements and members’
successes. Be sure to Find,
Friend & Follow us on
Facebook, LinkedIn, and
Twitter.





Young Retailers Focusing on
of the Year the Future
Meet the NRHA’s Meet the 7 Young Retailers Who Are
Ready to Take on New Challenges
2019 Young Retailers hether it’s reducing employee turnover, harnessing the power of social
media or reversing declining sales, the 2019 Young Retailer of the Year
honorees offer shining examples of how progressive ideas and hard
of the Year. W work make a business stronger and inspire an industry.
In May, the North American Retail Hardware Association (NRHA) recognized
this year’s honorees in Las Vegas at the NRHA All-Industry Conference, held in
conjunction with the National Hardware Show ® .
To be selected for this prestigious award, honorees must demonstrate ways
they have improved their businesses, how they’ve advanced their home
improvement education and how they’ve contributed to the betterment of
their communities. Winners were selected in three categories: stores with
Category: Over $2 Million less than $2 million in annual sales, stores with more than $2 million in
annual sales and multiple store operations.
This year’s seven retailers have dedicated their time and talents not
only to winning in their own individual business ventures, but also
in advancing the entire industry. From the day they stepped into
leadership roles, each of these retailers has tackled obstacles with
enthusiasm and confidence.
Even when working through major changes in their businesses,
Trey Hamilton they give equal passion to serving their communities and helping
make them better places to live. What also stands out about this
year’s group is the focus the retailers have taken to advance their
education and better train their staff.
“The stories of this year’s seven young retailers show the future
Owner-Operator is bright for the independent home improvement industry,” says
Arab Lumber & Supply Scott Wright, executive director of the Retail Leadership Institute at
Arab, Alabama NRHA. “They exemplify the true drive of the independent retailer,
combining an entrepreneurial spirit and a sense of responsibility
lthough Trey Hamilton grew up around Arab Lumber & Supply, toward their communities.”
his grandfather’s business, making a career as a retailer wasn’t
Aalways in his plans. In college, he pursued a degree in engineering.
But one semester into school, he realized a desk job wasn’t for him. He called his Category: Multiple Store Operations
grandfather to say he would be interested in one day buying the business.
To prepare himself, Hamilton began studying business administration. After
earning his degree in 2014, he returned home to help manage Arab Lumber. By the
end of the first year, he was handling day-to-day operations. As Hamilton learned
more about the lumberyard, he began buying it incrementally from his grandfather. 36 HARDWARE RETAILING | July 2019 July 2019 | HARDWARE RETAILING 37 SAVE THE DATE
Energized and ready to lead Arab Lumber & Supply to new heights, Hamilton
started aggressively courting contractors and construction crews, introducing himself
and the business he represented to win new customers. In his first year overseeing 36-52_FEATURE_YROTY_0719.indd 36-37 7/2/19 9:48 AM
the company, he boosted sales by 10 percent. In 2015, sales rose an additional
44 percent, while the number of transactions at the store grew by 27 percent. Samantha Post
Hamilton never lost sight of his DIY customers, either. Even as he pursued
contractors, he kept a sharp focus on the product mix within the store and aimed
for a balance that would appeal to everyone. He also remerchandised, with a Marketing and Human Resources Manager
special focus on plumbing and electrical products. His plan was to increase his SM
inventory so customers wouldn’t need to visit big-box competitors. T & M Hardware & Rental Samantha Post, 2019 Do it Best Fall Market
One of the most important parts of Hamilton’s plan to remerchandise
the store was the introduction of a robust sporting goods department. Locations in Pennsylvania and Ohio
With the addition of 9,000 square feet of retail space, the renovation
more than doubled the size of his store and allowed him to strategically hen Samantha Post returned to work full time in the family business in 2013,
place products for greater visibility. the company was in the midst of a rapid expansion. Her parents had just marketing & HR manager
After its February 2016 launch, Hamilton says the sporting goods Wpurchased a fifth store, with a sixth location to follow a year later. But while Indianapolis • October 18-21
department directly boosted foot traffic and sales. The new department was much of the efforts at T & M Hardware were focused on external growth, Post saw a
need to focus on the company’s internal operations.
an instant success, garnering more than $200,000 in sales in 10 months. Trey Hamilton, owner
He is especially proud of the gains in the gun and ammunition market Marketing was one of the first tasks Post decided to tackle. To help the company
his business has made, even as it faces steep local competition. At the improve its online presence, she created a digital advertising strategy that for T & M Hardware & Rental
end of 2016, the business had reached $3.1 million in total sales. included a Google Ads campaign to promote the party rental side of the business. If you’re going to be
Since taking over, he has grown sales by 398 percent in just five years. The ads began generating requests for information about rental items and brought
in business, you can’t
more sales into that department.
When he’s not working at the lumberyard or spending time with his of Arab Lumber & Supply
wife and daughter, Hamilton is also an active part in his community. She also oversaw a redesign of the company’s website, adding an e-commerce be complacent. Get to
He belongs to the Marshall County Home Builders Association and the platform. To complete the marketing strategy, she created a cohesive branding in Pennsylvania. SM
Huntsville Madison County Home Builders Association. He regularly program to tie all six of the company’s locations together. That rebranding one level, then go for the 2020 Do it Best Spring Market
donates supplies to his local church to help with various ministries. included creating her own customized sales circulars and in-store sales signage. next one. I don’t want to NEW
Believing employees are critical to the business, Post used her background in
The business also supports Future Farmers of America, youth sports in Arab, Alabama.
programs and local school bands. behavioral science to introduce new hiring tools that improved the company’s ever be on a plateau.
hiring process and reduced turnover. In addition, she updated the employee
handbook, creating extensive job descriptions for all positions in the company.
That change allowed employees to better understand their responsibilities and Indianapolis • February 7-10 MONTH!
42 HARDWARE RETAILING | July 2019 give them a path for growth. By focusing on the human resources component July 2019 | HARDWARE RETAILING 43
of the job, Post created a team that is more productive and able to contribute
to the overall success of the business.
In addition to her work in marketing and human resources, she has also
36-52_FEATURE_YROTY_0719.indd 42-43 been managing the day-to-day operations at the Bellevue, Pennsylvania, 7/2/19 9:49 AM
location. When T & M Hardware acquired the store, sales were in a decline.
Determined to bring the sales numbers back up, Samantha began resetting
departments and training the staff on company policies and procedures.
Most recently, she was able to expand the downstairs sales area by
25 percent. At the end of 2018, store sales were up 14 percent, with more
growth expected in 2019. Success in retailing
Post also promotes community development. She planned activities
for Small Business Saturday and established a business owner breakfast includes strengthening the
for local operators to work with the mayor to resolve community issues. company’s infrastructure,
Her “Why Not Wednesdays?” campaign encouraged residents to attend
the local farmers market and shop local businesses on Wednesdays. and that will be critical
Because of her exceptional efforts to promote local shopping,
Post received the first Spirit of Independents Award from NRHA and for the success of
national small business promoter Independent We Stand in 2018. the next generation.
46 HARDWARE RETAILING | July 2019 July 2019 | HARDWARE RETAILING 47
36-52_FEATURE_YROTY_0719.indd 46-47 7/2/19 9:49 AM