Business Conditions from Around the Country February 2020
MIDWEST
Sales and customer counts in 2019? Compared to the previous year, weโre probably down about 1 percent. Itโs all weather related. However, customer counts are up over last year. With low interest rates, the housing market here is still strong and lots of building going on.
What are you doing to attract the next generation of customers? Weโre promoting our online presence through Ace Hardware. We promote all three of our stores on Facebook. We try to post at least once a week, and if thereโs a major event, we post more. We try to get as many likes as possible. To do that, we run contests, giving away a $25 gift certificate. Our most popular social media posts are when our garden center opens in the spring. Weโll take cool pictures of flowers and that seems to get people to the store.
Best niche categories? We do a lot of business with Milwaukee power tools. Our store is also a big Benjamin Moore dealer. We have a strong rental department with rototillers and trenchers in the spring. We have a small engine repair center that complements our big inventory of small engine parts. We also sell a lot of Weber and Traeger grills.
New initiatives for 2020? Weโre looking at improving inventory control and becoming more present online and in social media and with Google search. This year, weโre also looking to expand our battery-operated lawn and garden tools.
David Tennies
Tennies Ace Hardware
Kewaskum, Jackson and West Bend, Wis.
NORTHEAST
Sales and customer counts in 2019? Weโre about 4 percent ahead of last year. But customer counts, feet in the door, werenโt up. Whatโs happening now is a resurgence in ordering online. People donโt have time. Ordering online is easier. The local economy is fair. We see a lot of people coming up for weekend, second homes.
What are you doing to attract the next generation of customers? Having a website and online ordering is helpful. We also have a warehouse 10 minutes away, so customers can order and pick up in-store the next day. People just donโt have time to come into the store, so weโre making it as easy as possible. We think of ourselves as a brick-and-tech organization.
Best niche categories? Paint and housewares are our strongest niches. With niches, I believe itโs important to show customers that youโre an important player in the business, not dabbling. To support our paint department, we have televisions in the store showing what can be done with Benjamin Moore paints. With Ben Moore and local painters, we have seminars once a month. People want to be informed; they donโt want to be sold. I see the storeโs role as being part of that process.
New initiatives planned for 2020? We are continuing with our educational series once a month. Weโll also be expanding into services, such as knife sharpening and sharpening commercial grinding wheels.
Michael Ciavolino
Majesticโs Hardware | Gardiner, N.Y.
SOUTH
Sales and customer counts in 2019? Sales were about flat during the past year. Customer count is up 1 or 2 percent. Business is picking up. The local economy has been very good. My store is located on the side of town that was rundown, and the city is starting to do things in this area now. My business is improving a little bit every year for the past three four years. Itโs been steady and the town is growing.
What are you doing to attract the next generation of customers? We really havenโt taken any steps. Weโre trying to build up what have here now before looking at younger people.
Best niche categories? Weโre known for selling nails and bolts by the pound and selling grass seed in bulk. We donโt sell anything boxed; everything is loose.
New initiatives for 2020? We plan on expanding the lawn and garden and plumbing departments. Those look to be the highest-growth areas. Weโll be adding a wider line and deeper inventory in both of those departments.
Kenneth Malone
Beaty Hardware | Cleveland, Tenn.
SOUTHWEST
Sales and customer counts in 2019? Weโre up about 6 percent. We have a good local economy. I attribute the increase in sales to our product selection and service. Here in Emory, we rely on farming and ranching. Thereโs been a lot of construction going on with new housing builds and people building additions to their homes.
What are you doing to attract the next generation of customers? We try to keep a good website to let them shop online. We also have a Facebook page. I donโt know if weโre doing a good job reaching younger customers, but the people coming in the door have a good age range.
Best niche categories? Weโre strong with outdoor power equipment and offer a lot of Echo and Stihl. We also offer commercial mowers with the Cub Cadet line. We are big with sporting goods, guns, knives and ammo. Weโre right between two lakes, so we have a lot of sportsmen customers. We also have housewares and home decor, with a lot of vacation homes nearby.
New initiatives for 2020? For the most part, not much new. Weโre just trying to perfect what weโre doing and stay up with trends and freshen the product selection. We do want to do some employee training, and are fixing to upgrade our point-of-sale system within the next three or four months.
Kirk Reams
Hootenโs Hardware | Emory, Texas
WEST
Sales and customer counts in 2019? Weโre up maybe 3 percent. Weโre not a typical hardware company. Weโve been here 80 years and are known as a local department and hardware store. We have 150 employees in our four stores and have built a solid reputation in the community. One of our stores is a 140,000-square-foot store that has a broad selection, clothing and lots of things beyond hardware. The economy in the tri-cities area is up dramatically. Thereโs a lot of growth around here, because people are moving from the Seattle area because of the costs.
What are you doing to attract the next generation of customers? That is a real tough one. The main thing is to be in stock at all times. We want to keep the inventory balanced, so when a shopper comes in we have the right sizes.
Best niche categories? Weโre extremely strong in sporting goods and strong in menโs clothing, work boots and shoe lines. We have a complete toy department.
New initiatives planned for 2020? We are looking at two more locations. Weโre really positive about this area. We still think that even though everybody is going online and ordering, when you need a garden hose youโll go into the store to buy it. And for shoes and clothing, people want to try it on.
Charles Grigg
Griggs Ace
Pasco, Richland and Kennewick, Wash.