The Merchant Magazine - October 2010

BOOST YOUR WEB TRAFFIC  HARDWOOD MILLWORK  TRADERS MARKET PREVIEW

The

MERCHANT

OCTOBER 2010

Magazine

THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922

The

MERCHANT

Special Features 8 FEATURE STORY HOUSING OUTLOOK: DON’T FLY BLIND

10 INDUSTRY TRENDS WHAT DOOR/WINDOW BUYERS WANT

12 PRODUCT SPOTLIGHT THE CASE FOR DOMESTIC HARDWOODS

13 MANAGEMENT TIPS WHAT YOUR WEBSITE MAY BE MISSING

24 TRADERS PREVIEW INTRO TO NEXT MONTH’S ANNUAL NAWLA TRADERS MARKET

54 PHOTO RECAP: BC WOOD 55 PHOTO RECAP: WRCLA WESTERN RED CEDAR PRODUCERS MEET

October 2010

Volume 89  Number 4

Magazine

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In Every Issue 6 TOTALLY RANDOM 16 OLSEN ON SALES 20 FAMILY BUSINESS 22 MOVERS & SHAKERS 23 ASSOCIATION UPDATE 47 IN MEMORIAM 48 OVER THE COUNTER 50 CLASSIFIED MARKETPLACE 51 NEW PRODUCTS 60 DATE BOOK 60 IDEA FILE

56 PHOTO RECAP: DECK EXPO

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 The Merchant Magazine  October 2010

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TOTALLY Random

By Alan Oakes

The

MERCHANT

Magazine

www.building-products.com

Which way are you leaning?

T

that everyone I speak with is fed up with the current state of our economy. Actually, that is an understatement. In my 30-plus years living in the U.S., I have never heard it so loud and clear—and vitriolic. It does not seem to matter which way you voted last time for you to be fearful about the future. Everyone just sounds unhappy, whether as individuals or as employees watching the grim struggles of their companies and our industry.

I have never before sensed such pessimism towards the future of our great country.

Some have suggested that we are in a prolonged, Japanese-style recession, maybe worse.

Whereas the 1930s saw soup lines, we now see unemployment benefits lines. Three years into the recession, home prices, GDP, available credit, personal incomes, and employment are all lower than they were at the start.

About five years ago, when things still seemed great on the surface, I found myself commenting in my daily calls that I feared for America’s future. I didn’t mean politically. I was basing it on my travels, seeing first hand what was happening around the world, and using common sense that there would be great issues ahead for our country—the likes of which made me shudder and made me wonder who could or would attempt to solve them.

The biggest issue I saw then—apart from the out-of-control housing boom—was what I perceived to be the start of a change in the world economic order. The juggernaut of China already appeared unstoppable. And for years, the U.S. had been losing its manufacturing base to them and others. Thus, we have gradually, increasingly become a low-wage service economy. In my international travels, I saw what I perceived to be the first signs of the loss of the “empire” and a decline in our standard of living. I started to shut up when in return I heard back, “Alan, we are the United States of America. We will always be the leaders.”

And I could understand that viewpoint, as that is all most people here have ever known.

Now, as many of you know, I am a Brit by birth and lived through that country losing its empire. History is littered with the ruins of amazing empires crumbled to nothing— Roman, Spanish, Mongolian, Russian, etc. I know among my readers there will be thousands of conflicting opinions, and I am not suggesting that this country will go the same way. But history shows that these empires lasted at most only a few hundred years. And remember, a change in economic order generally leads to changes in power structure. Of course, we may not see ourselves as an empire, but I think you understand the comparison.

In our lifetimes we have only been used to an amazing story of growth, power and innovation. We remain the most powerful militarily. We still invent most of the new technologies (although we are too willing to sell them off). In many ways, the U.S. remains the envy of the world. But that image and reality are changing. Our nation is at an economic crossroads. We have become too willing to accept mediocrity in everything—whether it be the goods and services we buy, our education system, or our way of life. Mediocrity leads to stagnation and decline long term.

Today, there is deep frustration, a feeling of hopelessness, and a sense that none of our politicians really get it or are doing anything about our current issues. If we look back at the last few years, we have seen our home values substantially reduced—one in six homes now are sold at a loss (although many would argue this is only setting them back to reality), our savings decimated so that many of us have no cushion for the future our let alone spending for today, a fear that our pensions will not be there when we need them, high unemployment, rising health care and medical costs, and the list goes on. While these are all personal issues, there is a similar laundry list of business issues, such as over-regulated bureaucracy and deliberate currency under-valuation, that make it difficult to compete. This country has succeeded like nowhere else through true entrepreneurism—which today is being stifled. And all the tax dollars being thrown at the problems may in fact be worsening them. No one could disagree that there is far too much government waste and spending.

But, there is still time! We have been tested before and prevailed. There’s no reason we can’t do so again. We are past the point of Band-Aids. In next month’s elections, all 435 House seats and 36 of the 100 Senate seats are up for grabs. While these may be only mid-term elections, they may be the most important ever. Let’s ensure we have a leadership who understands we are a “government of the people, by the people, for the people.”

HERE IS NO DOUBT

A publication of Cutler Publishing 4500 Campus Dr., Ste. 480, Newport Beach, CA 92660

Publisher Alan Oakes ajoakes@aol.com Publisher Emeritus David Cutler Director of Editorial & Production David Koenig dkoenig@building-products.com Editor Karen Debats kdebats@building-products.com Contributing Editors Dwight Curran, Carla Waldemar, James Olsen, Jay Tompt, Mike Dandridge Advertising Sales Manager Chuck Casey ccasey@building-products.com Administration Director/Secretary Marie Oakes mfpoakes@aol.com Circulation Manager Heather Kelly hkelly@building-products.com

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Chuck Casey Phone (949) 852-1990 Fax 949-852-0231 ccasey@building-products.com Alan Oakes www.building-products.com Phone (949) 852-1990 Fax 949-852-0231 ajoakes@aol.com CLASSIFIED David Koenig Phone (949) 852-1990 Fax 949-852-0231 dkoenig@building-products.com

How to Subscribe SUBSCRIPTIONS Heather Kelly Phone (949) 852-1990 Fax 949-852-0231 hkelly@building-products.com or send a check to 4500 Campus Dr., Ste. 480, Newport Beach, CA 92660 U.S.A.: One year (12 issues), $22 Two years, $36 Three years, $50 FOREIGN (Per year, paid in advance in US funds): Surface-Canada or Mexico, $48 Other countries, $60 Air rates also available.

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 The Merchant Magazine  October 2010

Building-Products.com

FEATURE Story

By Dr. Lynn Michaelis, RISI

Housing outlook: Don’t fly blind R

ECENTLY, AN INDUSTRY ANALYST

asked me to address a simple but very important question: Why does every forecast for housing starts have them hitting 1.5 million units again?

The logic for the rebound was just not self-evident to him, given what is happening right now. Just as it is difficult to see a housing start decline during the boom, it is even more difficult to see a rebound from an extremely deep hole. The depth of the hole is evident in the chart below, which shows the history of conventional housing starts back to 1970.

Before answering the question, it is important to understand the unique character of this particular housing cycle. First, note that there is not a predictable cycle to housing starts.

Housing cycles in the 1970s were about every three to five years, and we thought that was the rule. That rule was broken in the 1980s.

Then we entered a particularly prosperous period. Housing starts were relatively stable and trended up from 1991-2005, which led us to think

housing cycles were a thing of the past. Second, unlike every other major housing cycle, the current one was not caused by tight monetary policy or high interest rates. Historically, when the Federal Reserve reversed course and lowered rates, housing rebounded quickly and dramatically. This clearly happened in 1983-1985 after the grim downturn in 1978-1982.

Obviously it is not happening this time. All the rules were broken this time. The economic recession in 20002001 was not caused by tight money either, but rather the popping of the stock market bubble. Fed actions to stabilize the economy in 2002-2004 helped promote easy credit and the boom in new creative financing instruments. This fueled the housing bubble.

Between 2003 and 2006, the industry accrued two “hidden“ inventories.

Many of us became concerned about the two types of buyers who were merely holding an ownership position, but would eventually be forced to sell—similar to building excess inventory. First, because of

U.S. Housing Starts Since 1970

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 The Merchant Magazine  October 2010

dramatic housing price increases, investors rushed into the market.

Problem: they would liquidate their position when housing was no longer an attractive investment.

Second, there was a rush of new “owners” who were not required to put up a down payment and/or who were not going to be able to sustain the payments over time and would eventually default on that mortgage.

This would depress prices further and possibly depress housing starts for several years.

The illusion created in this period was the attractiveness of home ownership, which rose significantly and boosted single family share to a historic high. The correction is now underway as ownership rates decline.

They are likely to fall further over the next few years, both because of the foreclosure process and the realization that housing is not a great investment.

So what do I mean that we are “flying blind?” Since this cycle is unique, there is no historical period that can be used to build a reliable econometric model. In fact, we now have to develop a different kind of model using variables we have never had to consider before. The old approach to forecasting starts was to look first at the fundamental drivers for housing demand over the long term, and then use interest rate variables to forecast the cycle or deviation from that trend.

It worked in previous cycles.

But that brings us right back to the starting question. Those fundamental drivers for housing demand are what led most forecasts back to 1.5 million or higher fairly quickly. There are three fundamental drivers for longterm housing demand: Long-term demand = Net growth in households + Net removal rates + Vacant unit demand Net household growth is the major Building-Products.com

event and accounts for 70-80% of fundamental demand.

Net household formations are estimated by taking the growth in population by age group and multiplying that number by a headship rate. A headship rate is the number of households in that age group historically divided by the size of the population in that age group.

Over long periods of time, headship rates are fairly stable. Plus, headship rates increase as the population ages as well. If headship rates were stable, household formations would currently be around 1.3-1.4 million per year.

Removals average about 0.3-0.4 million per year. The need for vacant units (this includes second homes) is about 0.10.2 million units per year. This logic leads to an underlying demand for housing, in trend, of about 1.7-1.8 million per year. Since current starts are way below that level, some believe we are building pent-up demand for new units and starts will get back to 1.5 million units or more. If household growth was 1.4 million per year, then any excess inventory would be depleted quickly.

The problem is that there is currently no evidence of under-building. Vacancy rates are high despite low completion numbers. So the really important question is: When will starts get back to 1.5 million units? And, what will make that happen? Another important question: What type of units will be demanded—single vs. multifamily starts?

The first thing that needs to be addressed is what is happening to headship rates and how many households are currently being formed. The severe recession has eliminated nearly 8 million jobs, particularly for younger people.

Headship rates are not stable, but we have never had to estimate annual levels before.

A variety of recent studies are trying to estimate the impact of job losses on headship rates and therefore on current household growth. Unfortunately, the available data are not very good. The annual household surveys by the U.S. Census are the best we have and that data is a small sample-based estimate and therefore can be fairly noisy.

Also, small changes in a headship rate can have a very large impact on annual household growth rates. It is possible that current household formations are in the 200,000400,000 range vs. the long term trend of 1.4 million.

The next issue: How big is the current excess inventory of units? If you take the current vacancy rate of owner units and the vacancy rate for rentals compared to historical averages, there are 1.9 million units of excess inventory.

Some financial groups have estimated that banks are holding another 650,000 vacant units after foreclosure. In total, there could be nearly 2.5 million excess units.

But there are reasons to believe that number could be too high. If one looks at the annual estimate of stock, implied removals, and estimated completions, there is a strong case to be made that this estimate is too high. After the last U.S. Census in 2000, there was a major revision in the stock and elimination of what appeared to be vacant stock at that time.

Unfortunately, the data available for both of these critical starting points is not perfect. So this is one of the times where a decision-maker might consider using scenarios— what if the recovery is like this, then what would be the best deployment of my strategy? So consider the two following plausible scenarios:

Scenario #1: “Happy Days Are Here Again!”

If you believe economic growth will exceed 3% for the next three years, driving employment growth up by nearly Building-Products.com

2% per year, then household formations will quickly return to 1.3-1.4 million per year. If you also believe that the real vacant stock is only 1.2 million units, then the excess will be worked off quickly during the 2010-2011 period.

Finally, if you believe the Fed will remain relatively accommodative until mid-2011, even with healthy growth, then you believe the recovery trajectory shown below. In this case, starts shoot past 1.5 million units in 2013.

Happy Days Housing Forecast

Scenario #2: “The Patient Heals Slowly.”

If you believe that GDP growth will slip back to 2% or lower, this means employment will not improve much for the next few years. If so, household formations will remain below trend through 2012. If the vacant inventory is close to 2.5 million units, then the excess will be worked off very slowly. In this case, interest rates remain favorable because of slow economic growth. The primary mortgage lenders would remain government agencies, and lending standards would be another hurdle for the recovery. These assumptions would still support a recovery as shown below, but starts might not hit 1.5 million units until 2015 or later.

Slow Healing Housing Forecast

At RISI, we are working to develop two products for our clients. The first will use our experience and analysis skills to develop the best scenario for planning purposes given the extreme uncertainty of this period.

We are also developing a tracking system to inform clients as quickly as possible if the outlook shifts up toward Scenario 1 or down to Scenario 2. The outlook we propose will lie between the two scenarios.

– Dr. Lynn Michaelis, former chief economist for Weyerhaeuser, is a senior associate of RISI. Reach him via www.risi.com.

October 2010  The Merchant Magazine 

9

INDUSTRY Trends What Consumers Want in Doors & Windows

Top 2011 millwork trend:

Save vs. splurge W

to home improvement, there’s little doubt homeowners will remain picky with their pocketbooks into 2011. Consumers with limited discretionary funds are weighing their priorities, picking and choosing among home improvement projects that will make the cut.

Not all home improvements are created equal when it comes to the best investment choices—particularly when it comes to a segment like windows and doors. With hundreds of styles, options and performance combinations, the decisions can be daunting. With that in mind, Jeld-Wen offers insider tips to help your consumer customers identify where to save and where to splurge.

HEN IT COMES

Where to Save Materials make a difference. When it comes to windows and doors, experts say materials do make a difference. In general, for windows, vinyl will typically cost less compared to wood. Although if you need to replace old wood windows, replacement wood window sash kits can be installed in existing wood frames and can be very costeffective.

Good taste can come standard. Custom trim, style and hardware options will typically cost more. It’s always worth asking first whether there might be a standard design option in an alternative material so a particular look can be achieved without sacrificing style.

For example, Jeld-Wen offers more than 100 panel designs as part of its interior door line, many that mimic classic and traditional solid wood styles but cost far less.

Its standard line of hardware options also provides variety when it comes to finishes, colors and designs, without having to pay more.

Maintenance requirements can be the “X” factor.

Save by looking for pre-primed, prefinished options that can help reduce costs over the long run and protect the initial investment. Choices such as vinyl windows or fiberglass doors mean minimal maintenance requirements year after year.

Efficiency is in the bank. For long-term savings, insist on windows and doors that come standard with energy efficient, Low-E glass. Many manufacturers offer highly efficient models that don’t cost extra, and energy saving models that qualify for tax credits. According to the U.S.

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 The Merchant Magazine  October 2010

FOR A JUST FEW DOLLARS extra, consumers can upgrade their door choice, such as by selecting Jeld-Wen’s sound-deadening molded interior Quiet Door.

Department of Energy, homeowners can save an average of $125 to $450 a year on energy costs by replacing wornout windows with more efficient models.

Where to Splurge Don’t scrimp on style. Homeowners don’t have to pay big bucks to achieve a great look, but experts agree that if you don’t love the style or if it doesn’t fit with the character or architectural design of the house, it’s not worth the investment, no matter what the price.

“Windows and doors make a huge difference in terms Building-Products.com

of the overall look of a home—considering there is at least one of each in every single room of the home,” said John Downs, Jeld-Wen product marketing manager. “As a homeowner, these are product categories where you can’t afford to have something that detracts from the overall style of the home or your taste in décor. Today there are so many choices that can reflect personal style and theme.

Doors and windows give homeowners a major opportunity to get creative and make a décor impact throughout their home, often at a fraction of the cost of other home improvement projects that focus only on certain areas.”

Go for major impact. Don’t sacrifice on main focal points. Homeowners with limited budgets may want to put the majority of their dollars into areas that are going to make the biggest impact, such as the entry door, garage doors, and the rooms they spend the most time in. And don’t forget about resale value: respondents in a Jeld -Wen nationwide survey of real estate agents estimated that a typical 2,500-sq. ft. home with updated entry and garage doors is worth, on average, an additional $16,000.

Consider performance features as well. For example, spending a few extra dollars on an insulated interior door to reduce sound between the laundry room and the rest of the house may be worth the peace and quiet.

“It’s increasingly common to see homeowners splurge on a custom wood or fiberglass entry door, for example, and save by putting affordable, energy-efficient vinyl windows in the rest of the house,” said Downs. “When it comes to balancing the budget, it’s a matter of prioritizing in a way that’ll deliver the most bang for the buck. For literally a few dollars, more homeowners can impact the décor, design and their own peace of mind throughout the entire home.”

Building-Products.com

Little extras well worth it. It makes sense to invest wisely in areas that’ll provide a strong payback. Cladding, which is essentially a prefinished metal layer for the exterior of wood windows, provides great weather protection and never needs to be painted. As a result, nearly 90% of homeowners choose the clad wood option, recognizing the long-term value and payoff, even though it costs slightly more than primed wood.

Above all, do your homework. There are literally thousands of choices when it comes to windows and doors.

Compare features, benefits, warranties and style flexibility, and choose products that will stand up over time.

“It’s worth spending the effort in order to get the maximum return out of your investment,” said d-i-y expert Danny Lipford. “In today’s market especially, that’s essential no matter what your budget or your priorities.”

Quick Tips

To decide whether to spend or splurge, experts say it’s important to consider these five key factors: • Will this project/product contribute to resale value?

• Does it add to the appearance, performance and/or comfort of my home?

• Can I still meet my goals if I spend less?

• Initial dollar investment aside, will I be happy with my choice over the long run?

• What are some options that could lower the expense of this project?

October 2010  The Merchant Magazine 

11

PRODUCT Spotlight Domestic Hardwoods

By David Venables, American Hardwood Export Council

Making the global case for American hardwoods F

and contractors, the choice of materials for their projects is a far more complex process than it might have been 10 years ago. Now these choices must be made against a background of legislation and guidance designed to reduce the environmental impact of the building industry and encourage informed choice when it comes to selecting products and materials.

As a result, industry groups are investing in the research that will provide the key data specifiers need—life cycle assessments, whole life costings, and service life, creating a new competitive platform and some interesting facts and figures.

The American hardwood industry starts from a pretty strong position. American hardwoods come from rural communities that have been managing forests for generations in a way that maintains their biodioversity, productivity and regenerative capacity. Harvesting is low intensity and small scale simply because most of the hardwood

Photo by AHEC

OR ARCHITECTS, DESIGNERS

U.S HARDWOODS are making a play for greater use in Europe, such as at the new headquarters of Ireland’s Marine Institute near Galway Bay, which features solid oak flooring, ash wall paneling, and doors of beech, white oak, and other species.

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 The Merchant Magazine  October 2010

forests are owned by families and individuals rather than by large timber corporations. After harvesting, these forest owners rely on the natural regeneration brought about by the fertile soils of the United States and not on chemical fertilizers or genetically modified species.

It is this kind of responsible forest management that results in new tree growth and the continued sequestration of carbon. The conversion of the wood into products such as flooring contributes to the long-term removal of carbon dioxide from the atmosphere, helping to reduce greenhouses gases and global warming.

Our industry is under the regular scrutiny of the U.S. federal government, which carries out regular and thorough forest surveys. These show that American hardwoods are not only renewable, but are actually an expanding resource. The volume of hardwood standing in American forests has, in fact, doubled in the last 50 years as harvesting levels remain well below the level of growth. And the U.S. Forest Service forecasts indicate further increases of 15 to 20% over the next 20 years.

There have been a number of studies done in the U.S. on the environmental impacts of hardwoods. In 2008, the National Wood Flooring Association Industry Research Foundation and the Consortium for Research on Renewable Materials conducted a life-cycle analysis study of wood flooring that evaluated solid strip hardwood flooring against other flooring alternatives such as vinyl, linoleum and carpet. The CORRIM study concluded that wood flooring had the least environmental impact of all the other materials studied.

American hardwoods provide a huge choice—there over 20 species for a wide range of applications, including, of course, flooring.

Inevitably, I get asked the question about the CO2 emissions related to the transport of American hardwoods overseas. With the largest part of this transport chain done by sea, the CO2 emissions are minimal. But like many other industries, we are undertaking more detailed research to provide the facts and figures that confirm the case for American hardwoods as the natural choice in a world where sustainability has become the watchword for all our customers.

– David Venables is European director for the American Hardwood Export Council, www.americanhardwood.org.

Building-Products.com

MANAGEMENT Tips

By Calvin Froedge

What your website may be missing A

for ways to grow leaner and meaner, the Internet is finally getting the attention it deserves. It’s 2010, and there are now very few companies who still think that the Internet is not a vital part of their sales and customer relations strategy.

However, there are still many companies who have trouble producing value from their online marketing efforts. In my seven years in this industry, here is what I’ve heard the most:

Photo by The California Redwood Co.

S COMPANIES CONTINUE TO LOOK

“I can’t get traffic. Nobody comes to my website.”

The difficulty in resolving this problem lies in the nature of what you sell. If you are in a niche market with real demand, garnering traffic is not difficult. You can produce traffic immediately through running a sponsored search campaign. Google Adwords is the best place to start. Running a campaign and getting traffic based on the keywords you choose is easy—running a good campaign isn’t. But if you’re totally new to this, just getting a campaign up and running is a good place to start. Later you can understand (or pay someone who does) the specifics of tweaking your campaign for optimal performance at low cost.

If you are in a “trend-making” industry, you can follow trends and create content around these trends. An aggressive link building campaign, YouTube video creation, and periodic article submissions to publishers could produce a lot of “instant” traffic—but only if what you make is in national news headlines fairly frequently and there are real eyeballs to put yourself in front of.

Other traffic strategies that are effective—but much longer term if you want to use them effectively—are search engine optimization (you’ve been hearing about this one for years) and social media (probably not the first time you’ve heard about this either). Search engine optimization is about producing quality content over an extended period of time, building inbound links, raising your site’s page rank, and a myriad of other simple tasks that require constant dedication and work. Using social media requires dedicated attention to services like Twitter and Facebook—finding new friends and customers, supporting existing ones, and commenting on the activities of others just to show you care. Truthfully, these are full-time endeavors that will not produce quality unless they are given full time dedication.

“Why is my website not converting? I get traffic, but I’m not seeing sales—or inquiries.”

You might be surprised to hear this, but this is a good problem to have. Why? Because it can be resolved with a bit of analysis, building a strategy, and following through with execution.

Building-Products.com

The truth is, most websites don’t convert their existing traffic because: 1. Users don’t trust the website. Either you look professional or you look like you’re selling stolen TVs in a back alley. Your website appearance has a lot to do with this.

Also, including associations you belong to, your SSL certification, and other items can increase website trust.

2. Users become frustrated with the website (they can’t do something they should be able to do easily, like order a product). Your website could either be broken, it does not work well in certain scenarios, or critical processes are simply difficult to complete.

It could surprise you how often both of these items go hand in hand (i.e., users don’t trust the website because it doesn’t work well). This could be for a number of reasons you probably didn’t even know existed: 1. Your user is facing browser-specific problems (i.e., something is broken in FireFox but not Internet Explorer).

2. To function properly, your website requires certain technologies that not all users have access to (such as JavaScript, or certain plug-ins).

One of the best ways to monitor for such instances is to install analytics software. There are several free (and some paid) options that provide incredible levels of details.

Getting your website to perform isn’t rocket science.

But it does require some thought and analysis (and execution afterwards), which perhaps you’ve neglected thusfar.

Don’t worry; an effective website is closer than you think.

– Calvin Froedge is a partner at WebUsabilityCheck.com, a service owned by Creative Logic Media, which helps maximize the effectiveness of websites. He has been involved in the creation of hundreds of websites and web platforms. Reach him at (801) 754 4466 or calvin@creativelogicmedia.com.

October 2010  The Merchant Magazine 

13

OLSEN On Sales

By James Olsen

Christopher Columbus, America’s first salesman king turned him down. Undaunted, Columbus took his theories and proposals to Spain.

L

ET ’ S DISCUSS

the attributes that made Columbus a great salesman.

Columbus defined himself. To become master sellers, we must define ourselves. “You’re just a broker” or any other limiting definition made by others must be replaced with our own definition. “Excuse me, Mr. Customer, I’m not just a broker. I’m a money-making partner!”

The definition placed on Columbus was that of map maker and merchant marine. Columbus decided early that he wanted to be more than a mere sailor; he wanted to be discoverer of the New World! He made his own definition of himself and made it happen.

Persistence. Many salespeople don’t prospect at all—these are the victims. Only 50% call back after the first no. Only 20% call back after the second no, and only 10% call back after the third no.

At 25, Columbus swam six miles to shore clinging to a log to land in Portugal after his vessel was attacked by pirates. He got a job as a map maker and merchant marine sailing shipments to Iceland and similar voyages. He married into minor nobility and began his planning. It took him seven years to get an audience with the Portuguese king. The Portuguese

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 The Merchant Magazine  October 2010

Negotiator. Too many sellers feel they have no negotiation power. They assume since the customer has the P.O. book, he has all the leverage.

Leadership sellers understand ideas have power and leverage of their own.

As master sellers we must promote our idea, get our customers to say yes, and negotiate the terms of that yes.

Columbus showed himself a master negotiator on many occasions, but never more than when dealing with the king and queen of Spain.

After another six years of yes-nomaybes from the Spanish potentates, Columbus decided to take his idea still elsewhere. This “walk away” was just the spark that Ferdinand and Isabella needed to “pull the trigger.” If Columbus had continued to wait on a maybe, he would have failed in his quest.

Only after he created outside interest using prospecting and the walk away did he earn the respect and the order from his prospective customers.

Preparation. Sailors of the day had compasses and charts of star positions, but they couldn’t calculate longitude.

Because of this, they were always a little (or a lot) vague on their position in uncharted waters, which led to disastrous voyages. Columbus’ deadreckoning navigation skills were said to be magical, a valuable skill in a world unable to calculate longitude.

Columbus studied astronomy, map making, compass reading, and anything else that would make him a master navigator. He dedicated his life to his trade. Many salespeople want to be “big hitters” but they don’t want to learn their craft. Long after Columbus was considered a professional sailor he continued to study.

Any skill that seems “magical”

comes from hours spent on the basics.

Columbus worked at, worked on, and studied navigation his entire life. He didn’t just sail, he studied navigation from every possible angle.

The master of anything makes things seem impossible, but in truth the magic is based on a titanic storehouse of experience. The master pays more attention, for a longer period of time (usually a lifetime), than his counterparts. Columbus saved his life and the life of his men many times based on his preparation.

Creativity. In his last voyage, Columbus found himself shipwrecked.

The natives wished the Spaniards gone and refused food. Columbus convinced them that his God was displeased with them and proved it by “producing” a solar eclipse. Columbus had studied and timed his meeting with the natives with the appearance of the eclipse.

Tough Decisions. Columbus was judge and jury on his voyages. He ordered executions. He had to decide to turn right, left or back with many lives riding on his decisions.

Sellers who refuse to make tough decisions struggle. Deciding to prospect and using the “walk away” are but two examples of tough decisions we must make as master sellers.

Great salesmanship can be found throughout history. Let’s make our own history today!

Columbus knew that nothing happens, even the discovery of America, until the sale is made.

James Olsen Reality Sales Training (503) 544-3572 • james@realitysalestraining.com Building-Products.com

Simpson Takes over Mason Countyʼs Shelton Mills Simpson Lumber, Shelton, Wa., has finalized its purchase of Mason County Forest Products’ sawmills in Shelton,.

In anticipation of the switchover, Mason County idled the large-cutting and small-dimension mills July 31.

Simpson plans to restart them in phases over the next several months and increase production over the next two to three years as the market improves.

Simpson has also entered into a new ground/building lease with the Port of Shelton, where the mills have been located since 2004.

Simpson also operates mills in Tacoma, Shelton and Longview, Wa.; Meldrim, Ga., and Georgetown, S.C.

Associations Partner on Wood Dust Warnings Western Wood Products Association and the Lumber Association of California & Nevada have banded together to help their members comply with California’s new wood-dust requirements.

“This is an example of the wood products and lumber industry working together from the sawmills to the retail lumber and wood products dealers to meet the specific requirements in the California law,” noted Frank Stewart, product support manager for WWPA. “The fact that we came in as a unified industry on this issue made it easier to work with the state agencies.”

In December 2009, wood dust was added to the Proposition 65 list of

more than 800 chemicals and other substances that can cause cancer or birth defects. The final rule goes into effect Dec. 18, 2010.

The two organizations have been meeting with the California Office of Environmental Health Hazard Assessment and the California Attorney General’s office to clarify the recommendations and requirements for communicating the wood dust warnings. Both groups are developing signage and other materials for mills and lumber manufacturers to include with their products, plus detailed posting recommendations for retail dealers.

“We’re confident we can help both those selling into California from outside the state borders and those who sell the products in the state,” LACN executive director Ken Dunham said.

Central Californiaʼs High Sierra Lumber Consolidates High Sierra Lumber & Supply has closed its location in Woodlake, Ca., and moved inventory to its sister company, High Sierra Lumber & Truss, in Tulare, Ca. Jeff Holmes, general manager of the Woodlake facility, blamed the weak building and construction market for the move. However, the site is not up for sale or lease because the company hopes to reopen there when conditions improve.

Holmes said that the move “will allow me more time on the road to contact those in our service area to place orders, have deliveries scheduled, and provide as much support for their needs as we can.”

DEALER Briefs Mendo Mill has taken over the former Piedmont Lumber store in Lakeport, Ca. (Rick White, store manager).

After Piedmont closed July 26, Mendo Mill bought the property and reopened Sept. 13, with a paved drive-thru lumberyard.

Orchard Supply Hardware, San Jose, Ca., opened a 43,000-sq. ft. store with 14,000-sq. ft. nursery Sept. 11 in Concord, Ca. It’s OSH’s 89th store and third to open this year.

Home Depot expects a December opening for a new 667,000-sq. ft. DC in Ontario, Ca., serving its stores in Los Angeles and Orange counties, as well as the Bakersfield area.

Lowe’s received approval to build in a new home center in Carlsbad, Ca., and has submitted plans to build a 121,000-sq. ft store with 31,658-sq. ft. garden center in Poway, Ca. Habitat for Humanity has opened ReStore discount outlets in Oxnard, Ca. (Wendy Monk, store mgr.), and Belfair, Wa. (Tammey Newton, executive director).

Thieving vandals caused $3,500 in damage Sept. 13 to the Redmond, Or., ReStore.

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October 2010  The Merchant Magazine 

17

SUPPLIER Briefs Reliable Wholesale Lumber, Huntington Beach, Ca., began winding down lumber operations in Stockton, Ca., Oct. 1.

The wholesaler is currently looking for a tenant to lease the 10-acre contractor yard.

Roseburg Forest Products

has eliminated the third shift at its stud mill in Dillard, Or.

Lam-Wood Systems, Denver, Co., is now exclusive distributor for RedBuilt’s Red-I and RedLam lines in Wyoming, Colorado, New Mexico, Nebraska, Kansas and western Iowa.

To ease the transition, RedBuilt technical sales rep Bret Maynard is joining the Lam-Wood sales team.

Thunderbolt Wood Treating, Riverbank, Ca., has been added to the list of approved manufacturers in PG&E’s Greenbook and in the Overhead Standards Book.

The approval is for ACZA Chemonite-treated Douglas fir utility poles up to 40’.

Weyco Shutters LVL Plant Weyerhaeuser, Federal Way, Wa., closed its LVL plant in Albany, Or., early last month and laid off 70 workers.

The plant produced engineered wood headers, beams, and scaffolding planks. The company called the closure indefinite, but “expected to be long-term.”

Mill Suffers Second Fatality The Occupational Safety & Health Administration is investigating the death of an electrician who was killed while working on a planer at the Yakama Forest Products mill near White Swan, Wa. According to authorities, a hydraulic cylinder holding the planer’s canopy door may have failed, causing the door to collapse on James Espinosa, 62. “He was caught between the door and the frame of the planer,” said county coroner Jack Hawkins.

It was the second death at the mill this year. In January, Tyler Challinor, 20, was working on a tractor when its large bucket fell and crushed him. A hydraulic cylinder failed in that accident, and a safety bar designed to

keep the bucket from falling wasn’t used. OSHA fined the mill nearly $60,000 in safety fines related to his death.

Three New Stores Target Hardware-Deprived Town Soon, the residents of Wilsonville, Or., will no longer have to leave town for paint and hardware.

A year ago, Russ and Peg Dubels closed Wilsonville’s last remaining hardware store, Shebuski & Lloyds, due to a battle with the city over purported code violations. The couple recently opened a new store on the other side of town—Do it BestWorkshop Hardware.

Their former storefront is being remodeled into an Ace Hardware, set to open in late October or November.

And Fred Meyer is also coming to Wilsonville with a superstore that will include a large paint and hardware section.

States Industries Pushes for Speedy Bankruptcy Hardwood panel producer States Industries, Eugene, Or., which entered Chapter 11 bankruptcy on Aug. 24, has received a $18.5 million bid for

its assets.

The offer came from Renwood States Lending, an investment group that has already purchased States’ debts.

The deadline for additional bids is Oct. 13, with an auction to follow on Oct. 20.

“We believe the process needs to move quickly,” said John Davidson, States’ chief restructuring officer. The company once employed more than 400 and had a second plant in Mocksville, N.C. That facility closed in 2009, and the remaining 230 employees have taken pay and benefit cuts.

In its bankruptcy filing, the 44-year-old company listed assets of $20.6 million and liabilities of $28.5 million.

According to Davidson, the company has sufficient financing to support suppliers and customers through the sale and transition to new ownership.

Loweʼs Facing, Filing Suits over Proposed Projects in West Lowe’s Cos. is running into legal troubles over proposed home improvement centers in Silverthorne, Co., and Petaluma, Ca that the chain thought had been approved.

Residents of Silverthorne are suing the city to halt progress of a store slated to start construction in the spring for an early 2012 opening. The plaintiffs claim that in plans the town incorrectly categorized the project as a “hardware store” (a use-by-right entity), instead of a “lumberyard” or “building materials business” (light commercial).

Over in Petaluma, Lowe’s has hinted that it may file suit if the city doesn’t finish an environmental review on time.

By law, an EIR must be completed within one year, but the Petaluma city manager contends the deadline is not “solid.”

SUPPLIER Briefs BlueLinx Holdings, Atlanta, Ga., advised shareholders to accept an upgraded, $4-per-share buyout offer from majority owner Cerberus.

Weyerhaeuser Co., Federal Way, Wa., has sold its Cosmopolis, Wa., cellulose mill to investors, including private equity firm The Gores Group , Los Angeles, Ca., and packaging vet Dermot Smurfit.

The mill, shuttered for five years, will be refurbished and restarted as Cosmo Specialty Fibers.

Canfor is permanently closing its Clear Lake sawmill near Prince George, B.C., Jan. 13.

The Clear Lake fingerjoint mill shut down Aug. 12.

Western Forest Products’ sawmill in Ladysmith, B.C., restarted Sept. 7 to serve Chinese construction markets.

The facility had been idle for more than 2 years.

Norbord’s OSB products have earned the “Green Approved” seal from the NAHB Research Center .

Certified products include Pinnacle, TruFlor, Stabledge, TallWall, Windstorm, Trubord, Rimboard and Solarbord.

Anniversaries: Patrick Lumber Co. , Portland, Or., 95th … C&D Lumber , Riddle, Or., 60th … Pacific Western Lumber , Lakewood, Wa., 25th … Plateau Forest Products , Bend, Or., 25th … Pro Lumber , Florence, Or., 10th.

FAMILY Business

By Bernard Kliska

To sell or not to sell: That is the question H

AMLET,

SHAKESPEARE’S melancholy Dane, vacillated so long trying to make up his mind about whether to move forward with his plans that his indecision finally threw the entire kingdom into turmoil and brought about his own death.

In my consulting practice, I often see family business owners struggling with their own and other family members’ emotional ambivalence over taking the difficult step of selling the business. Although I haven’t yet seen this emotional ambivalence lead to death, I’ve seen it result in turmoil, protracted agony, significant loss, and a tortured legacy that ends up negatively impacting many family members and employees.

Owners who have spent considerable time and energy building their businesses are usually not emotionally prepared to sell. They and family members—even members not directly involved in the operation—have invested considerable identity in it. I’ve often heard an owner describe their businesses as their “baby.” Understandably, when the time comes to give it up, an owner wants to leave the baby in the right hands—the hands of someone who, among other things, will pay the right price, take care of employees, grow the business, and honor the seller’s legacy and connection. Of course, this ideal buyer probably doesn’t exist, and holding out for such a buyer can become an excuse for inaction.

Selling a business is like facing the empty nest, but more difficult. As parents, we know years ahead of time that our child will someday leave and we spend much of our time preparing for it. Most family-business owners, however, assume that the business will always be, if not in their hands, at least connected to them in some meaningful way. For this reason, anticipating the process of selling long in advance helps prepare for when the time finally arrives. But powerful emotional forces prevent most families from doing this.

The importance of alignment. Like the empty nest, selling the business can feel like a personal crisis, a tremendous opportunity, or both. If selling the business is the best option to pursue, all family members should align behind this as an opportunity. If they fail to align, the ambivalence, never directly addressed, plays out in acrimonious and never-ending disagreements about the details of the potential sale. When this happens, the sale will be either completely undermined or if it does go through, it will very likely result in post-transaction bitterness and resentment and a haunting sense of loss.

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 The Merchant Magazine  October 2010

Just as clear, consistent communication between family members is essential for operating the business, it is also essential in the final stages of the business. The same factors that can impede communications during any part of the business’s life cycle can interfere toward the end.

Family business leaders, used to being decisive and action oriented, are often better at making decisions than at promoting discussion and communicating the right things to the right people.

Differences in alignment can also occur between various individuals or group within the family, between generations, between active and inactive family members, or between different branches of the family. Each of these groups and members within groups will have different perspectives on the value of selling the business.

Communicating to all in the same manner may not address their concerns about a sale.

In the powerful and shifting realm of emotions, maintaining firm alignment requires an ongoing process. Once the sale process has been launched and the search for a buyer and subsequent negations unfolds, families should hold regular family update meetings. This not only reassures family members and helps craft an ongoing consensus, but sends a clear message to the family, employees, and potential buyers that an orderly process will ensure that everyone’s best interests are being addressed.

Dealing with grief and loss. If grief and loss were not inevitable parts of our existence, we probably wouldn’t

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spend so much time and energy trying to avoid them. Recognizing what the sale of the business means in terms of loss to each family member is the first step toward managing these feelings.

Some family members may fear that without the glue of the business, people will drift further apart. Others, for whom the family business provides an important part of their identity or meaning in life, may feel like they’re losing part of themselves. Others may fear for their economic future or, even more powerfully, for their children’s economic future.

I help people manage these fears by reminding them that while the sale represents the end of something, it also marks the beginning of something else. I often advise people to retire to something, not from something, to develop a vision for the future. It helps to remember that loss paves the way for something new, such as a new asset, which may require a different kind of energy, interest and attention.

Family members who fear the loss of cohesiveness may wish to form new collaborative relationships with each other—working to benefit their communities, establishing a shared philanthropic venture, jointly managing a portion of the assets from the sale, or continuing to hold regular family retreats. Re-visioning the future can be useful (or even necessary) project for one person or for the entire family.

Farewell rituals can also help family members say good-bye and free them to move forward. Whether it’s a raucous wake, a farewell cruise, a solemn retreat, or a privately published commemorative book, a ritual or project honors the importance of the past and the present, and helps prepare for the future.

When emotions and logic work together, they create an energy and

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synergy that make for successful family business. But when they clash, they are like the collision of high and low pressure systems that create tornadoes and hurricanes. When the timing or circumstances for selling the business seem right, or even imperative, but the fear and loss of grief prevent the family from following through, the result can be catastrophic. Ironically, years later, the end result is the same whether the transition goes smoothly or disastrously: The landscape will have changed and something new will have grown.

Change, loss and renewal are inevitable. The crucial difference is how families go through it. Recognizing, addressing and honoring the powerful feelings that the sale of a family business evokes helps ease the most difficult, yet natural, of transitions.

– Bernard Kliska is an associate of the Family Business Consulting Group, Marietta, Ga. He can be reached at . (800) 551-0633 or kliska@efamilybusiness.com.

Reprinted with permission from The Family Business Advisor, a copyrighted publication of Family Enterprise Publishers. No portion of this article may be reproduced without permission of Family Enterprise Publishers.

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October 2010  The Merchant Magazine 

21

MOVERS & Shakers Jim Taft, general mgr., Ganahl Lumber Co., Anaheim, Ca., will retire at the end of the year after nearly 40 years with the chain. He will be succeeded by Mark Ganahl, who will be replaced as general mgr. in Corona, Ca., by Mike Shumaker. Barrett Burt was named general mgr. of Ganahl’s new store in Pasadena, Ca. Chris Pellico, ex-Sunset Forest Products, has joined Talon Forest Group/AFA, Portland, Or. Bob Shroeder, v.p. of operations, Pacific Woodtech Corp., Burlington, Wa., has retired after 35 years, the last 12 with Pacific Woodtech.

He remains on the board of directors until the end of the year.

Shawn Mills, branch mgr., ABC Supply, Colorado Springs, Co., was promoted to a managing partner, along with Ron Ferguson, Fort Collins, Co., and Josh Freeman, Longmont, Co. Ray Smith has been promoted to c.e.o. of ECO2 Forests, Boulder, Co.

22

 The Merchant Magazine  October 2010

Van Kelly is a new marketing specialist at Capital, Salt Lake City, Ut. Ron Davis has joined Gaco Western’s WallFoam division as regional mgr. for Colorado, Utah, New Mexico, and Wyoming. Chris Mayer is now regional mgr. in the Pacific Northwest, and Aaron Kralovic, regional mgr. overseeing California, Arizona and Nevada.

William R. “Bill” Corbin, exWeyerhaeuser, has been appointed chairman of the board for Atlas Holdings’ Wood Resources LLC, Olympia, Wa. Bill Nocerino, ex-Follen Wood Preserving, has been named mgr. of Forest2Market’s lumber division.

Michele LaMori has joined Barrette Outdoor Living as director of sales, to help launch the Xpanse line through two-step distribution.

Memphis, Tn.-based Quinton Stine, ex-PrimeSource, is handling national account business.

James Metcalf, president and c.o.o., USG Corp., will succeed William C. Foote as c.e.o. Jan. 1. Foote will remain executive chairman.

Scott Lindsay is new to cedar sales at Skana, Richmond, B.C. Luis Fernandez-Moreno, ex-Dow Coating Materials, has joined Arch Chemicals as executive v.p., responsible for global operations of its wood protection and HTH water products divisions.

Ken Riches, president, Beacon Metals, Salt Lake City, Ut., was presented the Builders Hardware Manufacturers Association’s Award of Excellence.

Jim Sweeney, owner of Alki Lumber & Hardware, Seattle, Wa., received the local Kiwanis Club’s Everyday Hero Award for his years of service to the club and to the community.

Dan Bohannon, president, Bohannon Lumber, Orange, Ca., and Brian Cheney won the U.S. National Indoor Doubles Tennis Championship, for the 60-and-over division, in Seattle, Wa. Mark and Melinda Ganahl, Ganahl Lumber Co., Corona, Ca., welcomed the birth of Emma Elaine on July 17.

Knight N. Day is implementing a 24/7 customer-care program at Mungus-Fungus Forest Products, Climax, Nv., report owners Hugh Mungus and Freddy Fungus.

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ASSOCIATION Update Lumber Association of California & Nevada’s 40-and-under group, 2nd Growth, has scheduled its annual holiday meeting Dec. 2 at the Sheraton, Cerritos, Ca. Mountain States Lumber & Building Material Dealers Association will celebrate the holidays Dec. 9 at the Mile High Stadium Club at Invesco Field, Denver, Co. Los Angeles Hardwood Lumberman’s Club will hold regular monthly meetings Oct. 14 at Belmont Brewing Company, Long Beach, Ca., and Nov. 11 at the Rib Trader, Orange, Ca. LAHLC’s annual tennis tournament is set for Nov. 7 at Anaheim Tennis Center, Anaheim, Ca. The group’s annual Christmas party is Dec. 11 at Orange Hill Restaurant, Orange, Ca. North American Building Material Distribution Association and the North American Association

of Floor Covering Distributors have lined up several speakers for their joint distributor marketplace, Nov. 16-18 at the Broadmoor Hotel, Colorado Springs, Co. J. Michael Marks, principal with the Indian River Consulting Group, will discuss “Where Is the New Money?”

Brent Grover, managing partner of Evergreen Consulting, will present a talk on “Smart Pricing Strategies for Distributors.”

Brian Beaulieu, c.e.o. of the Institute for Trend Research, will discuss “Recovery: How Long and How Strong?”

Two workshops presented by the Hardwood Plywood & Veneer Association will focus on how to sell and market hardwood plywood and hardwood engineered flooring.

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October 2010  The Merchant Magazine 

23

Historic Downturn in Lumber Markets Shows in Final Totals for 2009 The western lumber industry in 2009 posted its worst year for production in modern history, according to final statistics compiled by Western Wood Products Association.

Sawmills in 12 western states produced 10.39 billion bd. ft. of lumber in 2009, the lowest annual volume since WWPA began compiling industry statistics in the late 1940s. Since 2005, output from western lumber mills has fallen by some 46%. The previous modern-day low was in 1982, when western mills produced 13.7 billion bd. ft.

The lack of home building in the U.S. contributed to the historic decline. Just 554,000 houses were built in 2009, a 39% decline from the previous year. It was the lowest annual total since 1945, when just 326,000 houses were built.

Low demand translated into even lower prices for western lumber products. The estimated wholesale value of the 2009 production was $2.69 billion, down 26% from 2008. Five years ago, western mills produced 19.3 billion ft. of lumber valued at

$7.7 billion.

All western states posted doubledigit declines in production. Despite a 19% drop from 2008, Oregon sawmills produced 3.83 billion bd. ft. to lead the nation.

Washington was the second highest producing state in the region and the nation with 3.24 billion bd. ft. in 2009. Mills in California produced 1.44 billion ft., down nearly 25% from the previous year.

Lumber production in Idaho totaled 1.1 billion bd. ft., and mills in Montana produced 418 million ft.

Totals for other western states were combined to protect the confidentiality of individual mill data.

Mills in South Dakota and Wyoming produced 192 million bd. ft. last year, while the four corner states of Arizona, Colorado, New Mexico, and Utah posted annual lumber production of 167 million ft.

Overall demand for lumber totaled 31.3 billion bd. ft. in 2009, less than half of what was used five years previously. Just 7.3 billion bd. ft. was used for residential construction,

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 The Merchant Magazine  October 2010

compared to 27.6 billion ft. used in 2005.

Lumber production in the southern U.S. followed the same downward trend, declining 19.5% to 11.79 billion bd. ft.

Imports, mostly from Canada, lost more market share in 2009, dropping 30% to 8.9 billion bd. ft.

Break-In Suspect Nabbed A 21-year-old man who was allegedly caught burglarizing Pro Build, Great Falls, Mt., has been charged with one count of felony burglary and one count each of misdemeanor possession of burglary tools, criminal mischief, and obstructing a peace officer.

Police responding to a silent alarm at the store on Sept. 4 reported seeing Billy Lee Henderson inside, prying open the cash register. After Henderson did not comply with requests to get on the ground, he received injuries from a police dog and was treated at a local hospital before being booked.

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Countdown to the big show NAWLA shows off a few new tricks

HE ROAR of the crowd at a football game. The slight chill in the morning air. Hardwood trees bursting into shades of orange, red and yellow. The anticipation of NAWLA Traders Market. All signs that fall has arrived, and the time has come to make your final plans for the 2010 Traders Market in Chicago.

For 15 years, Traders Market has provided the lumber industry with outstanding value and a business focus. This year promises to again deliver the goods—with a few fresh twists.

There are dozens of tradeshows that involve lumber products, but one thing makes NAWLA’s unique: it focuses on the supply and distribution of lumber and related products.

Period. Other shows consist primarily of service and machinery providers, but not Traders Market. If you are looking to sell a lumber product, looking for new suppliers, or wanting to expand to new networks, this is the place to be.

Among the new features are revised show times, a revamped international program, a Wood Basics Course alumni reunion, a meeting of

T

What: 2010 NAWLA Traders Market Where: Hyatt Regency, Chicago, Il. When: November 3-5, 2010 the Western Red Cedar Lumber Association, and sustainability training for architects.

Instead of the familiar two fourhour days on a Friday and a Saturday, this year the NAWLA Traders Market will open on Thursday afternoon, then conclude with a longer, five-hour schedule on Friday, Nov. 5.

The newly revamped Magellan Network event will include an outlook on emerging markets and products by a select group of recognized experts. Both exports and imports will be covered by some new faces and some longtime friends.

The Wood Basics Course has long been recognized for setting the standard for training the future leaders of the industry. In the 30 years since it

began, nearly 1,500 students have graduated. The friendships that start there stay with alumni the rest of their careers. This year, there will be a special reception for alumni of the Wood Basics Course.

In addition, WRCLA will stage an invitation-only program on the green benefits of western red cedar.

NAWLA also has partnered with WoodWorks to present two continuing education classes for architects and engineers during Traders Market.

Both classes will focus on the use of wood for sustainable design and building, and attendees will have the opportunity to visit the show floor on Friday afternoon. Traders Market attendees can attend the classes for free.

Favorite events will also return—a sidetrip to CME Group’s mercantile exchange floor, a two-day sales workshop (this time delivered by Dave Kahle), and a motivational kick-off presentation (this year by baseball’s Jim “The Rookie” Morris).

Join the 200-plus exhibiting manufacturers and well over 1,000 attendees at a show to remember—and profit from.

Listen up!

Traders Market folls out wider range of programs HIS YEAR’S Traders Market features the most diverse selection yet of business and educational sessions:

T

• Sales Training Course: “How to Survive & Thrive

by Selling Smart in a Difficult Economy” Wednesday Nov. 5, 1 - 5 p.m., and Thursday Nov. 6, 8 a.m. - 12 p.m.

Dave Kahle, president of The DaCo Corp., presents a special two-day program for mid-level sales professionals, teaching how to target and prioritize your market, systematically create new customers, and compellingly present the case for the customer to buy everything from you.

The fee is $295 per person.

• Magellan Network Breakfast & Program on Global Trade Thursday Nov. 5, 10 a.m. - 12:30 p.m.

A signature event of the NAWLA Traders Market, the event includes expert speakers and networking on both import and export issues, softwood and hardwood prod-

ucts. This year, moderator Russ Taylor, International WOOD Markets Group, will be joined by panelists Brent McClendon, International Wood Products Association, and Michael Snow, American Hardwood Export Council.

The fee is $99 for members, $125 for non-members.

• General Session: “Standing at the Crossroads” Thursday Nov. 4, 12:30 - 2:30 p.m.

Jim Morris, inspiration for the movie The Rookie, did the impossible and landed a pro baseball contract at the age of 35. He’s a prime example of an underdog who had the courage to stand at the crossroads and then take the road less travelled, while others moved along the beaten path. A schoolteacher by trade, Morris is a lovable storyteller whose miracle story captivates and inspires audiences to never give up on a dream.

• Western Red Cedar Lumber Association Meeting: “Go Green with Western Red Cedar” Friday Nov. 5, 8 - 10 a.m.

Green expert John D. Wagner discusses how wood— and specifically western red cedar—should position itself in the green-building environment. Topics include: • Taking advantage of the dramatic rise in green regulation • Understanding the changing landscape of wood certification, including FSC, SFI and National Green Building Standard • Overcoming common misunderstandings about LEED certification and wood fiber • Parlaying cedar’s favorable life-cycle analysis results into greater sales • Countering the rise in alternative materials To attend this invitation-only event, please contact WRCLA’s Beth Hird at hird@wrcla.org.

• Educational Offerings for Architects Friday Nov. 5, 8 - 9:30 a.m. and 10 - 11:30 a.m.

Two sessions will be offered for licensed architects to earn up to three continuing education credits. Instructor Archie Landreman, technical director for WoodWorks North-Central, will first speak on “Wood & Green

Building,” focusing on sustainability and Life Cycle Assessment. Later in the day, Landreman will discuss “Practical Use of Engineered Wood Products,” providing assistance in determining which EWP are best suited for various non-residential applications.

The fee is $100 per session.

Schedule of Events Wednesday, November 3 12-7 p.m. Registration open 1-5 p.m. 10 Group meetings 1-5 p.m. Sales training course on “I Can” selling system, part one*, featuring Dave Kahle 4:30-5:30 p.m. Alumni reception for Wood Basics Course graduates 5:30-7 p.m. Early Bird cocktail reception

Thursday, November 4 6:30 a.m.-7:30 p.m. Registration open 7-9 a.m. 10 Group meetings 7 a.m.-12 p.m. Exhibitor set-up 8 a.m.-12 p.m. CME Group excursion 8 a.m.-12 p.m. Sales training course on “I Can” selling system, part two* 9-10 a.m. Council of committee chairs & vice chairs meeting 10:15 a.m.-12 p.m. Committee meetings 12:30-2:30 p.m. Grand opening lunch: Chairmanʼs welcome, presidentʼs address, awards presentation, keynote address by Jim Morris 2:45-6 p.m. Traders Market open 6-7:30 p.m. Ice Breaker reception

Friday, November 5 7:30-11:30 a.m. Registration open 8-9:30 a.m. Educational session for architects, on “Wood & Green Building”* 8-10 a.m. Magellan Club breakfast & program* 8-10 a.m. Western Red Cedar Lumber Association meeting: “Go Green with Western Red Cedar,” presented by John D. Wagner 10-11:30 a.m. Educational session for architects, on “Practical Use of Engineered Wood”* 10 a.m.-3 p.m. Traders Market open 12-1:30 p.m. Lunch on show floor 3-8 p.m. Exhibitor dismantle * Require separate registration/reservation

Add value to every sales call

By Dave Kahle

RE YOU WASTING your customers’ time? In this pressurized, multi-tasking world, where your customers are expected to produce more in less time, they may be growing less eager to meet with you than they were just a year ago. Time is more precious today than ever before, and your customers are feeling the pressure.

In order for your customers to reliably make time to see you, they need to expect that they will gain some value for the time spent with you.

That means that, if you are going to be successful in the world of B2B sales, you’ll need to create a reputation that time spent with you is worth the investment.

If, over time, you can create that idea in the minds of your customers, you’ll find them generally willing to meet with you when you call. And in an economy where “too much to do and not enough time to do it” is the prevalent mind set, that reputation is a valuable asset.

As is always the case, it starts with thoughtfulness and preparation. As we prepare for a sales call, we so often think about what we want to accomplish and what we want to gain out of the sales call. Very few salespeople ever give any thought to what the cus-

A

tomer gets out of it. That’s the starting point.

Here’s a little mental trick to help you. Before every sales call, when you are thinking about what you want to do, and what tools and materials you’ll need, take a moment and ask, “What is the customer going to gain out of this time he spends with me?”

Here’s a list of some possible answers: 1. Some good ideas to help him in his business or his job.

2. Some ways to help him gain more business.

3. Some ways to distinguish himself from others.

4. Some ideas about how to reduce his costs.

5. Some good things to think about.

6. You helped him resolve some conflict.

7. You helped him simplify things.

8. You helped him solve some problem.

9. You helped him move closer to some objective.

10. You made him feel better about himself or his business.

11. He got to spend time with your charming, entertaining personality.

The answer probably lies somewhere within the top ten items on that list. If you can’t name anything that the customer will gain, then you can safely assume that the time the cus-

SPECIALTY SAWMILL SUPPLY “Service to Wholesale Distribution, Not Down Channel”

Booth 400 • www.LBRtimber.com • 866-811-7318 TROPICAL HARDWOODS ................Decking, Flooring, Lumber WESTERN RED CEDAR........Lumber, Timber, Shingles/Shakes CYPRESS....................Boards, Patterns, Timbers, Fencing, Shingles DOUGLAS FIR ................Big Specialty Timbers, Structural Grades SYP TIMBERS ............................Brite & Treated, Structural Grades RECYCLED PLASTIC ..............Decking, Lumber, Timber, Piling

tomer spends with you in that sales call will be a waste of his time. Your relationship may be able to withstand one or two of those, but in the long term, wasted time will destroy a business relationship.

If you are going to bring value to every customer, every time, then you’ll need to spend more time preparing to do so. That brings us to two simple rules to add value to every sales call: 1. Present something, every time.

2. Ask something, every time.

Present something, every time, means exactly that. You should, in every sales call with every customer and prospect, have something to talk about, to educate him on, which may be of value to him.

You can, for example, have an idea that you share. Maybe an idea that will help him… cut costs, … increase revenues, … save time, … do something better or easier, … make him more valuable, … make his job easier.

You may have a story you can tell that provides an example of how someone gained a benefit or solved a problem. You could present a new service, new product, new product line, or new application for an existing product.

And, finally, you could present a proposal to buy something from you.

The important thing here is that you prepare to present something to every customer and every prospect on every sales call. And not just anything, but rather something that this particular customer may find of value to him.

Don’t forget rule number two: Ask something, on every sales call, with every customer and every prospect.

And I don’t mean a question like, “What do you think of the weather today?” Ask a question that causes the prospect/customer to… think about his job or his business in some different way, … consider something that he has probably not thought of before, … clarify some values, goals, objectives or strategies.

The ultimate power of a good question is that it causes the other person to think. The thinking process that results is the value that a customer may receive from the time spent with you. The purpose of the question is not for you to gain information; rather, it is to direct the customer to think about some things in different ways, so that the customer receives some

value. If you take the time to individually prepare something to present and something to ask for each sales call, you will, more times than not, be perceived as bringing value to customers.

– Dave Kahle, “The Growth Coach,” is a sales consultant, trainer and author of a free monthly “Thinking About Sales” ezine and six books. Reach him at (800) 3311287; www.davekahle.com.

Managing Today’s Forest for Tomorrow www.sunmtnlumber.com Deer Lodge, MT 59722 Contact: Linda Sabrowski Fax 406-846-1672

(406) 846-1721

Quality, no-prior select kiln-dried studs.

ESLP and DF in both stud and #2 grades, 2x4 & 2x6, 8’ & 9’ trims.

Ships via Truck & Rail ~ UP & BNSF

2010 NAWLA Traders Market

Exhibitor List

Adivan Woods 210 Brazilian hardwood decking manufacturer.

Ainsworth Group of Cos. 700 Commodity and specialty OSB products.

Anderson Pacific Forest Products 307 Specialty sawmill since 1993.

Anglo American Cedar Products 733 Supplier of WRC shakes and shingles.

Ante-Holz GmbH 829 European softwood sawmills.

Anthony Forest Products Co. 615 Box 1877, El Dorado, Ar. 71731; (870) 862-3414; Fax 870-863-4296; www.anthonyforest.com. Booth contact: Chris Webb.

Operates SP mills in Urbana, Ar., and Atlanta, Tx.; wood chip mills in Plain Dealing, La., and Troup, Tx.; engineered wood laminating plants in El Dorado and Washington, Ga., and I-joist facility in Sault Ste. Marie, Canada.

Arauco Wood Products 206 Trupan and AraucoPly panels.

Arch Wood Protection 302 5660 New Northside Dr., Ste. 1100, Atlanta, Ga. 30328; (678) 627-2000; Fax 678627-2095; www.wolmanizedwood. com. Booth contact: Kris Owen.

Manufacturer of chemicals that enhance the properties of wood and licensor of the best known brands of pressure treated wood, including Wolmanized wood and Dricon fire retardant treated wood. Also produces FrameGuard anti-mold coating and AntiBlu sapstain control products.

Arrow Reload Systems, Inc. 734 Reloads throughout Canada and the U.S. Asia Building Materials Ltd. 213 Chinese millwork supplier.

Babb Lumber Co. 313 SYP sawmill and treating plants.

Benjamin Obdyke 612 Residential building products.

Bennett Lumber Products 618 Mills in Idaho and Washington.

BLG Cargo Logistics 613 Specialized logistics solutions.

Blue Book Services 321 Online credit data tracker.

BNSF Railway 824 Railway across 28 states and two provinces.

Boise Cascade Wood Products 602 Lumber, panels and engineered wood.

Boozer Laminated Beam Co. 620 Manufacturer of southern pine glulams.

Cabot 610 Machine stains and wood care products.

Calculated Structural Designs 230 Caliper 611 Management consulting firm.

Calvert Co. 330 Manufacturer of glulams, arches and truss.

Canadian Forest Products Ltd. 831 SPF lumber and panel producer.

Canadian National Railway 303 C&D Lumber Co. 432 Western lumber manufacturer.

Carrier Lumber Ltd. 724 Century Aluminum Railings 104 Aluminum railings and patio covers.

Cersosimo Lumber Co. 626 Producer of eastern white pine lumber.

China Hengda Wood 222 Chinese manufacturer.

CMPC 823 Plywood, lumber.

C.M. Tucker Lumber Cos. 604 Southern pine sawmill and pressure treater.

Coastal Plywood Co. 426 Box 1128, Havana, Fl. 32333; (800) 3596432; (850) 539-6432; Fax 850-539-6799; Email dforbes@coastalplywood. com; www.coastalplywood.com. Coastal Plywood is committed to providing the best value in south-

Quality Manufactured Forest Products at Competitive Prices, including FSC-certified Western Red Cedar and Hemlock.

Surrey, BC • fax 604-531-7581 • crawfordcreek@shaw.ca

604-531-7588 • www.crawfordcreeklumber.com

ern pine plywood. It has recently completed the installation of new manufacturing equipment to improve the quality and appearance of its plywood products. Its sales staff is responsive to customer needs throughout the purchasing process, from inquiry through delivery. Coastal offers an extensive product line that includes Performance Rated Sheathing, AC, BC, BB O&ES Plyform, Sturd-I-Floor underlayment, classic beaded interior siding, and SolarPly radiant barrier roof sheathing.

Collins Cos., The 719 Hardwoods, softwoods, pine particleboard, engineered wood siding and trim.

Columbia Cedar 501 WRC decking, siding, fencing, paneling.

Conifex Inc. 429 Cowichan Lumber Ltd. 422 WRC, DF and Alaskan yellow cedar.

CraftMaster Manufacturing 406 Interior door manufacturer.

Creatus Wood Products Inc. 331 Redwood trim, siding and moulding.

Diacon Technologies Ltd. 224 Preservatives, sealants, lumber waxes.

DiPrizio Pine Sales 709 K.D. eastern white pine and red pine.

DMSi 704 DMSi’s flagship software product, Agility.

Duckback Products 423 Superdeck stains, sealers and prep products.

Dunkley Lumber Ltd. 403 SPF producer.

Durgin & Crowell Lumber Co. 419 K.D. eastern white pine manufacturer.

Eacom Timber Corp.

939 Softwood producer.

Eagle Plywood Specialties 312 APA-certified panels and plywood.

Elof Hansson 401 U.S. sales arm of Swedish timber giant.

Empire Lumber Co. 628 Western softwood mill.

Fiberon 721 Producer of Fiberon composite decking, railing and fencing.

Filler King Co. 629 Laminated roof decking and wood beams.

Finnforest USA 537 Distributes Master Plank LVL. Florida East Coast Railway 114 Railroad from Jacksonville to Miami.

Forest Products Distributors, Inc. 624 Pine dimension, boards and timbers.

Forest2Market 306 14045 Ballantyne Corporate Pl., Ste. 150, Charlotte, N.C. 28277; (704) 540-1440; Fax 704-540-6301; www.forest2-market.com. Proof that transaction-based lumber pricing and benchmarking service was needed in the industry, Forest2Market’s Mill2Market weekly lumber pricing service is quickly becoming the industry standard in the South. In year one, Mill2Market has grown significantly, both in terms of the number of lumber mills and wholesalers it serves, but also in the number of features it provides to these customers. Offers credible and transparent weekly price reports and benchmarks for lumber products, helping

Respecting the forest, honoring the past, building the future.

A nation’s pride you can build on.

Manufacturers of 10 million bd. ft. monthly of • 5/4 & 6/4 Ponderosa Pine Shop • 4/4 Premium Pine Board Programs • and 5/4 Radius Edge Decking Programs State-of-the-Art Hewmill & Headrig Mill Contact Sheldon Howell

Bob Bretz

(509) 874-1163

(805) 995-0700

Yakama Forest Products 3191 Wesley Rd., White Swan, WA 98952 Fax 509-874-1162

www.yakama-forest.com

participants make better informed decisions, assess their performance against industry peers, and improve their net sales rationalization.

ForesTel/NAWLA TeleLink 304 Fraser Specialty Products 425 MDF, wood products, panels and plywood.

Fraserview Cedar Products 801 Lumber and panel maker.

Fritch Mill 539 DF, hemlock and WRC sawmill.

GAF Decking Systems LLC 204 Composite decking, railing, accessories.

Gilbert Smith Forest Products 625 Manufacturer of WRC lumber.

Gorman Bros. Lumber Ltd. 117 Whitewood and appearance boards.

Gossen Corp.

322 Cellular PVC products.

Great Southern Wood Preserving 710 Eleven full-service treating plants.

GRK Fasteners 729 Construction fasteners.

Haida Forest Products Ltd. 325 8818 Greenall Ave., Burnaby, B.C. V5J 3M7; (866) 553-9663; (604) 437-3434; Fax 604-437-7222; info@haidaforest.com; haidaforest.com.

Specialist in western red cedar, with over 59 years manufacturing and distributing premium cedar sidings, paneling and lumber products for North American, European and Asian markets. Haida specializes in wavy edge bevel siding, straight edge bevel siding, tongue & groove paneling, channel siding, log cabin siding, clear S4S and S1S2E finish, as well as decking, posts and timbers in Architectural Knotty and Clear grades. All of its premium grade products are sold under our Haida brand, including Haida Skirl wavy edge siding.

Hampton Lumber Sales 407 DF, hem-fir, SPF, dimension.

Hancock Lumber Co. 819 Largest producer of eastern white pine.

Hardel Mutual Plywood Corp.

727 Full line of sanded panels.

Hoover Treated Wood Products 212 Pyro-Guard and Exterior Fire-X FRTW.

Huber Engineered Wood 310 AdvanTech OSB. Hy Mark Wood Mfg. 833 WRC boards, siding and specialties.

Idaho Forest Group 533 4447 E. Chilco Rd., Athol, Id. 83801; (877) 434-6455; (208) 762-6630; Fax 208-762-6631; www.idahoforestgroup.com. Largest producer of lumber from the Inland Northwest. Operates four sawmills in northern Idaho with capacity of 1 billion bd. ft.—and growing. Species: white fir, hem-fir, DF, larch, SPF, ponderosa pine, white pine, Englemann spruce, lodgepole pine, WRC. Wide range of products and grades in sizes from 1x4 thru 1x12 boards to 2x3 thru 2x12 8’-20’ dimension and 2x3-2x6 8’-9’ studs.

Custom services: private labeling, end branding, half packs, bar coding, specified tallies, custom sizes, FSC and custom grades. IFG’s Idaho Forest Gold specialty products are KD inland fiber.

Idaho Timber Corp.

619 Imperial Shake Co. 435 Cedar shake and shingle sawmill.

Independent Dispatch, Inc. 807 Intermodal and trucking services.

InterFor 415 Sawmills and timberlands.

International Beams 334 Solid-sawn I-joists from black spruce.

InterWrap 825 Coated woven wood packaging.

Irving Forest Products 231 Eastern white pine sawmill.

ISIS Wood Product Solutions 209 Inventory, sales and production software.

Jensen Inc., Norman G. 532 Consulting services to importers, exporters.

Kalesnikoff Lumber Co. 420 Kleer Lumber 421 Cellular PVC trimboard.

Klenk Holz AG 205 Europe’s biggest pine sawmill.

KP Software Systems 411 Krauter Solutions 712 3601 N. Arlington Ave., Indianapolis, In. 46218; (800) 992-2824; Fax 317-542-8961; www.krautersolutions.com. Booth contact: Rick Hogue. • Bulk storage buildings • Stack racking • Cantilever racking • T-sheds. Offers a full line of buildings, warehouse storage fixtures, racking systems, and fully integrated rack-supported structures. Uses an architectural approach when designing storage solutions. Inhouse CAD department and consulting engineers registered in all 50 states.

Lazy S Lumber/Columbia Cedar 500 WRC siding, paneling and decking.

Les Bois Indifor 233 Three Quebec sawmills.

Leslie Forest Products Ltd. 418 WRC, hemlock, DF, SPF manufacturer.

Lignum Forest Products 804 MSR and other lumber products.

Limington Lumber 332 Bandsawn eastern white pine boards.

LP Building Products 621 OSB, plus other building products.

LTG Inc. 400 8501 Astronaut Blvd., Ste. 5-188, Cape Canaveral, Fl. 32920; (863) 229-8456; Fax 863-229-8359; Email jim@lbrtimber.com; www.lbrtimber.com. Booth contact: Jim Van Pelt. Sales agency for specialty sawmills, direct to wholesale distribution, for tropical hardwoods, western red cedar, cypress, southern pine timber, Douglas fir timber, and recycled plastic lumber & timber.

Lumbermen’s Underwriting Alliance 530 Coverage for the forest products industry.

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Traders’ Preview

•

October 2010

Building-Products.com

LWO Corp.

431 Woodway lattice, post caps, EZ Rails.

MacKenzie Sawmill Ltd. 739 Progressive sawmill.

Magnolia Forest Products 311 Industrial grade plywood, hardwood.

Maibec Industries 529 SPF dimension, MSR, white cedar shingles.

Maine Wood Treaters 118 MicroPro treated SYP, FRTW, borates.

Maiweave, LLC 622 Woven polyethylene covers, tarps, liners.

Mallory Alexander Logistics 333 Manning Diversified Forest Products 105 SPF sawmill, planer mill, and reman.

Mary’s River Lumber Co. 414 4515 NE Elliot Circle, Corvallis, Or. 97330; (800) 523-2052; www.marysriver-lumber.com.

Booth contacts: Don Dye, Raymond Luther, Rick Ingram. Mary’s River has grown to be nation’s leader in the manufacture of WRC random length specialty lumber products. Since 1974, Mary’s River has emphasized consistent

high quality products and service to customers throughout the world. With sawmills, kilns and finishing plants in Oregon and Washington, Mary’s River is reliable source of second growth, tight-knotted, WRC—from fencing to bevel siding, fascia boards to T-&-G paneling.

Mason Forest Products 728 Dimension, flooring, veneer, plywood.

Master Mark Plastics 636 Rhino Deck composite decking.

Maze Nails 705 100 Church St., Peru, Il. 61354; (800) 4355949; Fax 815-223-7585. www.mazenails.com. Booth contacts: Kim Pohl, Lisa Martin. Manufacturer of 100% Made in the U.S.A. specialty nails, Stormguard double hotdipped galvanized nails, and a complete line of stainless steel nails.

McFarland Cascade 809 1640 E. Marc Ave., Tacoma, Wa. 98421; (800) 426-8430; Fax: 253-597-3337; www.mcfarlandcascade.com. Booth contacts: Phil Schumock, Bill Jones. Terratec Post Cap

line offers top quality for a great price.

McFarland Cascade is also introducing ecofriendly solar LED caps in classic new designs, in black, copper and stainless steel, plus wood and wood with metal top caps in the most popular styles.

McShan Lumber Co. 718 Producer of quality SYP products.

Mid Valley Lumber Specialties 702 Remanufacturer of WRC fascia.

Middle Tennessee Lumber Co. 813 Hardwood lumber, plywood, millwork.

Mill & Timber Products 329 WRC harvester, sawmill and reman.

Neiman Enterprises 202 Ponderosa pine lumber and millwork.

Nordic Engineered Wood 730 Windsor Station, Ste. 504, 1100 De La Gauchetierre St. W., Montreal, P.Q. H3B 2S2; (514) 633-9661; Fax 514-633-0833; Email info@nordicewp.com; www.nordic-ewp.com.

Booth contacts: Albert Renaud. Andrew Dingman, Jean-Marc Dubois. Nordic manufac-

tures building products for home and commercial applications. Its production facility comprises state-of-the-art equipment designed to optimize fiber yield with strict quality control.

Under a meticulous ISO 14001 program, it manages over 2 million acres of timberlands and maintains capacities of 140 million linear ft. of I-joist and 50 million bd. ft. of glulam production. FSC certified. High density black spruce forms the base for Nordic products.

Nordic’s beams, headers, columns and tall wall studs feature an exclusive EnviroLam technology—a process that minimizes waste and optimizes fiber use.

North Enderby Timber 228 Western red cedar products since 1984.

Northeastern Lumber Manufacturers Association 900 North American Wholesale Lumber Association 201 Nova USA Wood Products 726 Hardwood importer.

Oregon-Canadian Forest Products 820 Manufacturer of specialty wood products.

Pacific Coast Cedar Products 437 Specializing in cedar shingles.

Pacific Western Wood Works 706 Value-added WRC outdoor products.

Pacific Wood Laminates 608 Veneer, plywood, specialties, and LVL. Pacific Woodtech Corp.

703 Private label LVL and wood I-beams made from Douglas fir.

Palliser Lumber Sales Ltd. 208 SPF studs, dimension, fencing, pallet stock, and specialties.

Partners Dimensional Services LLC 822 Patriot Timber Products 605 Imported hardwood and panel products.

Peninsula Plywood Group 803 Former KPly plywood mill.

Pennsylvania Lumbermens Mutual Insurance Co. 723 1 Commerce Sq., 2005 Market St., Ste. 1200, Philadelphia, Pa. 19103; (800) 752-1895; Fax 215-625-9097; plmins.com. Specializes in property and casualty insurance for the LBM industries. Established in 1895, PLM provides protection for 6,000+ businesses in 47 states.

Primary lines include Property, General Liability, Inland Marine, Business Automobile, Commercial Excess Liability, and Equipment Breakdown coverages. PLM offers competitive rates, loss control programs, and prompt claims response and handling. It is financially strong and carries an AM Best rating of A. NAWLA’s Approved & Recommended Property/Casualty Underwriter for members, PLM has provided a safety group dividend plan since 2000.

Pine Tech 837 Red pine timbers, squares, dimension.

Plum Creek 433 Timberlands and Northwest mills.

Plycem USA 832 Fiber cement exterior trim.

Porcupine Wood Products Ltd. 409 Clears, decking, dimension, fascia, fencing.

Potlatch Corp.

715 Lumber, plywood, OSB, studs.

Power Wood Corp.

219 Quality WRC products.

PPG Machine Applied Coatings 318 1 PPG Pl., Pittsburgh, Pa. 15272; (877) 622-4277; www.ppg.com. Booth contacts: David Jeffers, Craig Combs, John Westmaas, Dave Siteman, Patrick Hanulak. Originator and leader in machine coating technology provides value-added wood and composite performance solutions. This includes research and development, production support, and factory finish

marketing programs with a nationally known product.

Probyn Group 812 Cedar fencing and board reman.

Progressive Rail Inc. 814 Transportation, warehouse and logistics.

Progressive Solutions, Inc. 214 13777 Commerce Pkwy. #200, Richmond, B.C. V6V 2X3; (604) 214-8750; (877) 7464774; Fax 604-214-8751; www.progressivesolutions.com. Every day, their straightforward, easy-to-use business software solutions like bisTrack and lumberTrack solve business problems for thousands of users across North America, Europe and Australia. Using real-time inventory control as its foundation, lumberTrack can integrate all aspects of a company’s business information, internal communication, and customer service. Business critical information is so easily and quickly accessed that it changes the way companies do business,

making it the system of choice for the hardwood, softwood, treaters, distributors, panel producers, engineered woods, machined products, and value-add remanufacturers industries.

BisTrack Windows-based software was developed specifically for building industry suppliers, and helps building materials distributors and dealers manage complex sales, inventory control and other business transactions, with outstanding support for softwood and hardwood products.

QuattroTimber by Synergy 732 Laminated wood products.

Random Lengths 106 Resource Communications 808 Video education, sales and training.

Re-Transportation Co. 839 Rex Lumber 410 SYP lumber producer for over 8 decades.

Rielly Industrial Lumber 720 WRC decking and specialties.

WHAT YOU WANT. WHEN YOU NEED IT. Dimension Lumber Treated Products Domestic

Timbers Green & K.D. Export

Manke Lumber Company is familyowned and has been serving the needs of the lumber industry since 1953. We take pride in milling and stocking quality lumber in a full range of commodity sizes and larger dimension timbers. We also answer your market needs for a wide variety of treated lumber products.

Our forest products are milled from carefully harvested Northwest trees ready for distribution to you—on time and at the right price.

Located in the Port of Tacoma, we have ready access to deep water shipping, rail heads or trucking terminals for longer haul loads. Manke operates its own fleet of trucks and is at your service for straight or mixed loads by truck, rail or sea.

We manufacture primarily Douglas fir and western hemlock, including • 2x4 thru 2x12, Lengths 8-20’ • 3x4 thru 3x12, Lengths 8-26’ • 4x4 and wider, Lengths 8-26’ • 6x6 and wider, Lengths 8-26’ • 8x8 and wider, Lengths 8-26’ • Timber sizes up to 12x12

RISI 632 4 Alfred Circle, Bedford, Ma. 01730; (866) 271-8525; Fax 781-2710337; Email wt@risi.com; www.risiinfo.com/crows. Booth contacts: Ray Barbee, Dan Blenk, Ken Tennefoss, Gary Zauner, Trish Roche RISI publishes Crow’s Market & Price Service, the most comprehensive market and price service covering the North American lumber and panel market.

Robbins Lumber, Inc. 315 Eastern white pine manufacturer.

Rosboro 528 Box 20, 2509 Main St., Springfield, Or. 97477; (888) 393-2304; (541) 746-8411; Fax 541-726-0972; www.rosboro.com. Rosboro has been manufacturing wood products and managing forestlands for 70 years. Today, the company operates a stud and dimension mill, plywood and veneer plant, and three glulam plants. Stud products include 8’, 9’ and 10’ lengths in KD and green fir. The dimension mill cuts lam stock, dimension, 4” timbers, and Rosboro Select Joist. Rosboro has developed the reputation as a quality sheathing producer, and in 2009 equipment was added to expand its offerings to MDO, thick panels, T&G and sanded items. Rosboro has grown into North America’s largest glulam producer, with an extensive product offering that includes Big Beam, Rosboro Treated Glulam, and X-Beam, the industry’s first full-framing-width glulam in architectural appearance. An advance in convenience for both builders and distributors, the 3-1/2” and 5-1/2” wide X-Beam means builders no longer have to fill the 3/8” gaps between beam and sheetrock that result from traditional 3-1/8” and 5-1/8” widths.

Roseburg Forest Products Co. 810, 811 Lumber, plywood, specialty panels, and EWP. RoyOMartin 828 Box 1110, Alexandria, La. 71309; (800) 299-5174; www.royo-martin.com. Booth contacts: Bobby Byrd, Lori Bailey Byrd, Joel Arnold, Bert Campbell. Manufacturer of FSC-certified southern pine plywood and OSB, softwood lumber, and treated utility poles and piling. RoyOMartin is the brand name of Martin Companies, LLC, a group of family-owned, professionally managed forest products and forestland management companies based in Alexandria, La. Currently operates three manufacturing facilities in central Louisiana, one in Alabama, and a pole yard in Arkansas. Also owns 570,000 acres of timberland in Louisiana, making it one of the largest private landowners in the state. All of its lands have been certified as well-managed according to FSC principles and criteria.

Manke Lumber Company Call 1-800-426-8488 1717 Marine View Dr., Tacoma, WA 98422

Phone 253- 572-6252

Fax 253-383-2489

www.mankelumber.com

VISIT US IN BOOTH 232 AT THE TRADERS MARKET.

Samuel Strapping Systems 404 Innovative packaging/unitizing solutions.

SaverSystems 336 Water repellents for wood, masonry.

Sawarne Lumber Co. Ltd. 601 WRC siding, paneling, boards, dimension.

Selkirk Specialty Wood, Ltd. 207 Box 880, Revelstoke, B.C. V0E 2S0; (250) 837-7444; Fax 250-837-7412; Email rob@ selkirkcedar.com; www.selkirkcedar.com.

Booth contact: Rob Marusic. Selkirk Cedar specializes in the manufacturing of a wide range of kiln dried and green western red cedar products in Clear and Knotty grades, including 7/8� boards, K.D. decking, patterns and fingerjoint.

Seneca Sawmill Co. 631 Dimension, lumber and studs.

Shasta Green Inc. 627 Studs, structural light framing, moulding.

Sierra Pacific Industries 633 Sawmills, millwork plants, reman, window/door plant, timberlands.

Simpson Lumber Co. 638 DF, hemlock and SYP dimension.

Simpson Strong-Tie 802 Structural connectors.

Sinclar Enterprises Ltd. 428 Remanufacturer and sales agent for studs.

Skana Forest Products Ltd. 614 Manufacturer of dimension lumber.

Snavely International Forest Products 623 Manufacturer and importer of softwoods.

Snider Industries 634 1" SYP lumber, S4S & patterns, SPIB grades of D&Btr., #2 and #3.

Softwood Forest Products Buyer 800 Spruceland Millworks 737 SPF F/J studs, dimension, fencing.

Starborn Industries 430 HeadCote stainless steel screws.

Stimson Lumber Co. 714 DF and hem-fir studs, lumber.

Stoltze Land & Lumber Co., F.H. 324 Columbia Falls, Mt. Stone, F.C. 335 Softwood lumber/OSB futures specialist.

Sunbelt 305 2255 Justin Trail, Alpharetta, Ga. 30004; (800) 353-0892; (770) 569-2244; Email parrish@sunbeltracks.com; sunbeltracks.com.

LBM industry leader in rack storage systems, rack-supported buildings, and pre-engineered steel buildings, Sunbelt designs, engineers and installs cantilever, pallet, mezzanine, and millwork storage systems, as well as drive-thru buildings, sheds, store buildings, and warehouse buildings. Wide variety of specialty racks includes Power Bin automated lumber storage system and door/window stack racks.

Sun Mountain Lumber 323 181 Greenhouse Rd., Deer Lodge, Mt. 59722; (406) 846-1721; Fax 406-846-1672; sunmtnlumber.com. Sun Mountain was formed in the spring of 2004 when Sherm and Bonnie Anderson acquired the stud mill and fingerjoint facilities formerly owned by LP. In addition to the stud mills, the Andersons have owned and operated Sun Mountain Logging since 1976.

Primary lumber products include: • No-prior select kiln-dried solid studs (2x4, 2x6, 8' & 9', stud and #2 grades, DF & ESLP, HT stamp).

Sunset Moulding Co. 423 Moulding and millwork in wood and MDF. Swanson Group Sales 320 2695 Glendale Valley Rd., Glendale, Or. 97442; (541) 832-1121; (800) 331-0831; swansongroupinc.com. Hhandles sales for Swanson Group, which owns 5 mills.

Teal-Jones Group, The 815 WRC shingles, lumber, paneling and siding.

TECO 221 Third-party certification.

Terminal Forest Products Ltd. 531 Northwest timberlands and lumber mills.

Teton West Lumber 319 Five sawmill, reman, and reloads.

Timber Holdings International 424 Hardwood distributor.

TimberTech 805 TMO Global Logistics 427 Tolko Marketing & Sales Ltd. 821 Studs, MSR, dimension, plywood and OSB. TradeTec Computer Systems Ltd. 827 TrimJoist Corp.

327 Open web trusses with trimmable I-joists.

Tri-State Lumber Co. 725 SYP poles, timbers and treated stock.

Trout River Lumber 108 SYP flooring and SPIB pattern work.

Union Pacific Railroad 223

Largest railroad in North America.

U.S. Rail 722 Operates shortline railroad in Ohio.

Versatex Trimboards 405 Cellular PVC trimboards.

Waldun Group 402 Cedar roofing, siding, lumber, deck and garden components.

Watco Transload & Intermodal Services 711 Rail-centered transload, warehousing and intermodal company.

Watkins Sawmills Ltd. 713 Producer of WRC shakes and shingles.

Weaber, Inc. 408 Oak and poplar S4S boards, moulding, stair parts, and flooring.

West Bay Forest Products & Mfg. 600 Sawmills, reman and specialty plants.

West Fraser Mills Ltd. 708 Lumber, LVL, MDF and plywood.

Western Forest Products Inc. 806 Coastal B.C.’s largest woodland operator and lumber producer.

Westervelt Lumber 232 Box 4899, Tuscaloosa, Al. 35404; (205) 562-5896; Fax 205-5625814; www.westerveltlumber.com; Booth contacts: Joe Patton, Mark Richardson. Westervelt is a SYP sawmill located in Moundville, Al., producing 1" boards, dimension lumber, 5/4x6 RED, and timbers. Annual production capacity is 215 million bd. ft. Also runs 1" and 2" patterns.

Weston Forest Corp.

218 Remanufacturer of forms and industrials.

Westshore Specialties 818 WRC and Alaskan yellow cedar remanufactured products.

WoodPro Software Inc. 540 Fully integrated inventory and financial management software system.

Woodtone Building Products 309 Producer of coated exterior wood products.

Wynndel Lumber Sales 326 Box 40, Wynndel, B.C. V0B 2N0; (250) 866-5266; (877) 898-5266; Fax 250-866-5352; www.wynndellumber.com. Offers the most advanced finish line for ESLP boards in North America. The flagship of the line is a LMC 2009 Super Thundermac planer/ moulder—the largest board moulder ever delivered to North America. Its 7,200-rpm, 20-knife heads impart 14 knife cuts per inch on 1x4 through 1x12 ESLP eased-edge boards.

Zip-O-Log Mills 413 DF posts, beams, timbers, joists, stringers, ties, and domestic clears.

See us at Booth 207

ON Sales

By Don Hutson

The price of negotiaphobia D

of negotiating make you tense? Do you find yourself avoiding negotiations whenever you can? You may have “negotiaphobia.”

Research and experience combine to show there is a good chance the “negotiaphobes” in America have left enough money on the table to pay off our national debt!

Why is it that today so many people are reluctant to engage in negotiations? The symptoms of this infliction are due to three things: a desire to avoid confrontation, a lack of skill in the negotiation process, and a victim-like willingness to simply live with the status quo.

Negotiaphobia is a disease that can be treated.

Treatment is simple and involves learning the various negotiation strategies and the skills to deploy them. There is an E-A-S-Y three-step process, which will get you on the road to being prepared and mentally ready to engage and succeed in negotiating for your desired outcomes in your professional and personal lives.

The “E” in E-A-S-Y stands for engage. Ask yourself, “Is this an encounter where a negotiation is possible?”

Many people miss these opportunities, as those they deal with mask them by saying things like, “Of course, there is OES THE PROSPECT

a $50 dollar set up fee.”

Once there appears to be the opportunity to negotiate, the second aspect of this step is to quickly review the four viable negotiation strategies: avoidance (reactive and low cooperation), accommodation (reactive and high cooperation), competition (proactive and low cooperation), and

collaboration, sometimes-called win-win (proactive and high cooperation). Each of these four strategies have their place in the various negotiations we face.

The proactive strategies on the top of the matrix tend to help us reap the greatest results, but we need to possess the capability and adaptability to go to whichever quadrant serves us best in any negotiation situation.

The second step, represented by the “A” in E-A-S-Y, prompts negotiators to assess their natural tendencies to use each of the four strategies, as well as the probable tendencies of the party they are negotiating with to follow one of the paths. Remember that the best predictor of future behavior is past behavior, and that goes for you and the person(s) you are negotiating with. Most people are onetrick ponies, as they use the same approach every time.

For people with whom we have not negotiated before, one of the best reads on negotiation tendencies is their behavioral style.

“Drivers” tend to come out in a competitive stance, but do not overlook the possibility of winning them over to a collaborative approach.

“Amiable” style people will predictably be accommodators, or, on occasion, avoiders, as they attempt to ascertain how everybody in the loop feels about the issues on the table.

The “Expressive” styles prefer collaboration, and the “Analyticals” tend to initially avoid, seemingly in response to their need to study the facts and data before full engagement.

Strategize is the third-step in the E-A-S-Y treatment process. Based on the significance of the situation, one’s own tendencies, and the expected strategy to be deployed

Building-Products.com

by the other side or sides, a person carefully selects his or her opening and fall-back strategies. The fallback strategy is a lot like having an umbrella with you. If you have it with you, it seems it rarely rains. But if you leave it in your car, you will often get drenched.

On the issue of significance, people should not just look at this one encounter, but look for long-term potential.

Some negotiations, like buying a car, are usually one-offs that push you to competition. There are other instances where a small opportunity today, if handled collaboratively, could lead to a much larger, recurring relationship in the future. The important thing is to become a skilled strategist, using the approaches that will net you the best result.

Engage, Assess, and Strategize combine to form the “Y” in their acronym: your one-minute drill. This is where you regularly and automatically cycle through the first three steps as you face any negotiation. This one-minute action should become a powerful, reflexive tool to make you a more effective negotiator.

We all know that negotiations customarily take longer than a minute. Some take hours, months, years or even decades. The EASY process, however, will be your guide to get your head in the game for each negotiation encounter. Most negotiations are won or lost before the first words of communication between parties even take place.

– Don Hutson is a speaker, co-author of The One Minute Negotiator: Simple Steps to Reach Better Agreements,” and c.e.o. of U. S. Learning, Memphis, Tn. Reach him at (901) 767-0000 or via www.donhutson.com.

October 2010  The Merchant Magazine 

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Research Flowers for Green Composites Forest products companies are teaming with university researchers to develop environmentally friendlier wood adhesives and wood-based composites at a new facility in Oregon.

The National Science Foundation has chosen Oregon State University, Corvallis, Or., and Virginia Tech, Blacksburg, Va., to lead a new Industry/University Cooperative Research Center focused on renewable products.

“Composite products allow for more efficient, sophisticated and competitive uses of wood, and they’re the

future of the wood products industry,” said Fred Kamke, professor of wood science and engineering in OSU’s College of Forestry and site director of the new center.

The $2.2 million, five-year research initiative will facilitate the work of six faculty members and three graduate students per year at OSU, similar research initiatives at Virginia Tech, and collaborative work with eight private companies: Weyerhaeuser, JeldWen, Willamette Valley Co., Georgia Pacific Chemicals, Hexion Specialty

Chemical, Ashland, Arclin and Henkel.

“These companies want to work with us, in part, to speed fundamental research related to their business,” said Kamke. “But they also see the value in supporting the research and education of graduate students and young scientists who will be their future employees.”

Each of the eight companies will contribute $30,000 per year to support the program. NSF will contribute $130,000 per year in a five-year, renewable grant, and Oregon BEST (Built Environment & Sustainable Technologies) will provide $75,000 in matching funds.

Most of the research will be completed at OSU or Virginia Tech, but some projects will be subcontracted to other partner universities, including the University of British Columbia and the University of Maine.

“Wood products are now a global, intensely competitive industry, and we believe that advanced research will help keep the U.S. at the forefront of that industry,” said Kamke, who holds the Jeld-Wen chair of wood-based composites science at OSU. “This will help both existing and new companies stay competitive while they create innovative new products and jobs.”

Wilsonart Dumps Floor Line

SAMUEL AUTOMATIC BAR CODING OF GREEN, KD OR TREATED PRODUCTS WITH STAPLES OR ADHESIVE

Samuel pioneered automatic application of bar codes to individual boards in 1990.

Further developments: • Installations of countless systems across North America • Hot melt, non-contact application for KD and some green products • Staple-on application for treated and very green products • Systems to apply bar codes to each board in a completed package.

SAMUEL BAR CODING SYSTEM PROVIDES SUBSTANTIAL SAVINGS Manual label application is a very expensive process. Stapling a label to every board in a load of 200 to 300 boards is a big job. In addition, the label must be of substantial strength to be held in place with a staple. Samuel Automatic Bar Coding Systems eliminate labor costs and, in many cases, label costs.

800-667-1264 Coding & Labeling Group

www.samuelsystems.com

– VISIT SAMUEL AT NAWLA TRADER’S MARKET BOOTH # 404 –

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 The Merchant Magazine  October 2010

Wilsonart International is getting out of the high pressure laminate flooring business.

The manufacturer is discontinuing its Wilsonart Flooring product line, as of Oct. 29, and shutting down the plant in Temple, Tx., that manufactures flooring, as well as cast sinks, Dec. 3.

Wilsonart Flooring is the only flooring of its type still made in the U.S.—and one of the most expensive.

The company is reportedly attempting to sell the laminate flooring business and factory.

Loweʼs Makes Recycling Easy Lowe’s has installed permanent recycling bins in its stores for customers to dispose of plastic shopping bags, rechargeable batteries up to 11 lbs., old cell phones, and unbroken compact fluorescent lamps. The chain will then haul the items to recycling centers to reclaim usable materials.

“The recycling centers make it easier for customers to make a difference,” said Michael Chenard, Lowe’s director of environmental affairs.

“Recycling is a simple way to help Building-Products.com

City Planing Mill. In 1948, he cofounded and was president of Sunset Moulding. He became sole owner of the business in 1974 and founded Morrison Building Materials in 1980.

From 1964-1966, Mr. Morrison was president of the Western Wood Moulding & Millwork Producers Association.

LOWE'S store entrances are adding new recycling bins for customers to drop off rechargeable batteries, CFLs, cell phones, and plastic shopping bags in one centralized location.

Mark Lambert, 79, advertising executive who created Shorty and Cheap Chicken, the famed cartoon mascots of Southern California’s defunct National Lumber & Supply,

died Aug. 20 after a lengthy battle with colon cancer.

In the 1970s, he designed the characters for the Fountain Valley, Ca.based chain, which operated 21 stores when it filed for bankruptcy and liquidated its assets—including the mascots—in 1990.

Larry Frank Buelna, 78, former owner of Ridgewood Forest Products and Mill Direct Sales, Wilsonville, Or., died Aug. 12 in Wilsonville.

He worked in the wholesale plywood industry for 40 years.

reduce unnecessary waste in our communities.”

Since 2004, the chain has provided in-store battery recycling stations that have diverted more than 1 million lbs. of rechargeable batteries from local landfills. This spring, an appliancerecycling program that includes free haul-away was expanded to all stores.

Lowe’s began recycling of shipping and packaging materials five years ago. In 2009, the chain recycled more than 166,000 tons of wood pallets, 147,000 tons of cardboard, and nearly 400 tons of shrinkwrap. Last fall, Lowe’s installed smart controllers on its own landscape-irrigation systems to reduce water consumption by as much as 50%. To reduce energy consumption, more than 3 million new high-efficiency fluorescent lamps have been installed in 812 stores.

IN Memoriam Kenneth “Gordon” Marson Sr., 79, co-founder of Marson & Marson Lumber, Leavenworth, Wa., died Aug. 22 in Leavenworth.

He started the business with his parents in 1955. In 1969, he bought his parents’ interest in the business.

His son, Ken Jr., joined the business in the mid-1970s and runs it today.

Mr. Marson also served with the Western Building Materials Association, on the board of directors and as a member of the pension and insurance trust committee.

Gayle V. Morrison, 89, founder and former president of Sunset Moulding, Live Oak, Ca., died Aug. 21 in Yuba City.

After graduating from Placer Community College, he served as a B24 pilot during World War II. After the war, he and his wife started Yuba Building-Products.com

October 2010  The Merchant Magazine 

47

OVER THE Counter

By Mike Dandridge

Busting the myths of counter sales C

USTOMER EXPECTATIONS CONTINUE

to escalate and the traditional perceptions of good customer service are becoming obsolete, as are the dealers and wholesalers that cling to outdated business models. Some of the beliefs of the past need to be held up to scrutiny. We may find that what once passed for truth is nothing more than a myth.

Myth #1: The customer knows best.

This isn’t the same thing as “the customer is always right.” This is about letting the customer know when there may be a better alternative than the conventional wisdom.

The latest technology isn’t always the best fit in every situation. When it comes to something as fast paced and layered as construction industry, most customers don’t have access to or the awareness of resources available to the building material supplier. The customer is dependent upon the expertise of the wholesaler to offer suggestions and to provide the most effective way of achieving the desired results.

Truth: Customers rely on distributors to provide them with the knowledge to enable them to make informed decisions.

M yth # 2 :

We don’t need no

stinkin’ marketing plan.

From my days as a salesman, I remember unopened boxes full of expensive marketing promotional brochures getting tossed into the trash because they were out of date. Why were they unopened? Because the salesmen wouldn’t use them.

I’m not sure where the marketing and sales rivalry began, but a dialogue needs to open up between the marketing department and the sales team. If the marketing department isn’t providing relevant and useful materials, then the sales team needs to communicate that. By combining their efforts, the marketing department can arm the sales team with some powerful tools of persuasion.

Truth: Marketing is essential to growth.

Myth #3: All customers buy on price.

It only seems that way because “price customers” are the most vocal.

There are two types of buyers: transactional and relational. The transactional buyer, as implied by the name, is focused only on the transaction.

What’s the cheapest, the best, the fastest for the money? If a dealer wins one transaction, he earns no loyalty from the transactional customer, only an opportunity to compete again in the

next transaction.

A relational customer, on the other hand, is focused on finding a distributor he can trust and depend upon.

Money is a factor, but the relational customer believes that if he builds a relationship with a trustworthy supplier, he’ll be treated fairly on the price.

Smart suppliers seek out and focus on the relational customer.

Truth: Some customers value a trustworthy supplier more than a cheap price.

THUNDERBOLT WOOD TREATING “We Treat Wood Right”…Quality Wood Treating Services Since 1977

www.thunderboltwoodtreating.com

Treating Services Only (TSO)

Central California Location 3400 Patterson Rd., Riverbank, Ca. 95367 Sacramento, CA

ACQ • CCA • BORATES D-BLAZE® • ACZA (CHEMONITE®)

Bob Palacioz, sales/marketing mgr. • bob@thunderboltwoodtreating.com (916) 402-3248 • Fax (916) 339-2477

Marine & Industrial Sales Miguel Gutierrez • miguel@thunderboltwoodtreating.com (209) 747-7773 • Fax (209) 451-0425

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 The Merchant Magazine  October 2010

Heat Treating • Drying Services (KD, KDAT) Marine Piling • Staining Service • Rail Siding (BNSF) Coating Service: MFI-SLO8 Marine Grade Spray Polyurea Coating

Building-Products.com

M yth # 4 : If you just keep selling, growth is inevitable.

Many dealers and distributors seem to believe that they deserve an increase in revenues with each passing year.

That’s like saying you deserve a raise because it’s your birthday.

Growth requires strategy. Retaining customers, prospecting for new clients, and gaining market share are a few of the elements in the growth strategy. Start by having a clear awareness of your daily cost of operation. Growth comes from knowing that number and exceeding it on a regular basis. Research the market potential for the communities in which you work. Uncover the fastest growing markets in these communities and determine if you can leverage the strengths of your firm to take advantage of these new developments. Growth doesn’t just happen.

Truth: Growth is a choice and it requires deliberate planning.

Myth #5: A satisfied customer is a loyal customer.

Think of it this way: A customer can be “satisfied” with your company and your competitor at the same time.

“Customer satisfaction” means you met the bare minimum of the customer’s expectations and is no guarantee of customer loyalty.

Loyalty is earned by actions. Are your deliveries to customers accurate and on time? Can your customer get a live voice when calling your branch? Are your projects on schedule and problem-free?

Truth: Customer loyalty is earned by the actions you take.

Myth #6: Wholesale is different from retail.

Admit it. Part of you still wants to believe the customers in wholesale are somehow different from the ones that shop in the mall. You still believe that the wholesale industry exists in a separate realm from retail.

Maybe so, but the contractor at your counter buys from retail businesses, too. He takes his five-year-old son for ice cream where the server turns a double-dip cone into performance art. He takes his truck for an oil change and is served cookies and coffee while he waits. He eats donuts at

Building-Products.com

a bakery that offers free WiFi. These vendors and others like them have raised the standards for service—everywhere.

Truth: There are no borders in business anymore.

Myth #7: If it ain’t broke, don’t fix it.

Wholesale distribution will continue to thrive, but only by moving into new territory. There are wholesalers who are doing business today the same way they did in 1970.

Success can be an obstacle to continued success. Past glories and achievements can lull a business into a sense of complacency.

Unfortunately, the old business model is failing fast and successful growth means leaving something behind. D-i-y centers and big box merchants will continue to be a threat.

Fortunately, for the wholesale supplier, these behemoths belong to mega corporations that are unwieldy and slow to respond to changes in the business landscape.

Truth: If it ain’t broke, break it. It’s probably out of date anyway.

Myth Busting No wholesaler can afford to maintain a casual businessas-usual attitude. With new competitors coming in, multiple channels vying for a share of your customers’ minds, and roller-coaster-like market swings, it’s quite the challenge to stay ahead.

Knowledge of the construction industry, awareness of competitors’ competencies, and a critical assessment of the company’s strengths and flaws are essential elements in meeting customers’ expectations. Companies that achieve this will find a more rewarding, less competitive marketplace.

Mike Dandridge High Voltage Performance highvoltageperformance.com (254) 624-6299 mikedan@mac.com

October 2010  The Merchant Magazine 

49

CLASSIFIED Marketplace Rates: $1.20 per word (25 word min.). Phone number counts as 1 word, address as 6. Centered copy or headline, $9 per line. Border, $9. Private box, $15. Column inch rate: $55 if art furnished “camera-ready” (advertiser sets the type), $65 if we set the type.

FACILITIES FOR LEASE

BUSINESS OPPORTUNITIES

TURNKEY CONTRACTOR lumberyard for lease in Stockton, California. 10+ acres.

18,000-sq. ft. covered storage and fully operational mill. 3,000-sq. ft. fully furnished office space, wireless Internet enabled. BNSF rail served. Rolling stock (i.e., forklifts, semis & flatbed trailers) included if needed. Contact Randall Richards, (714) 231-4705; rrichards@rwli.net.

L.A.-BASED custom mill/reman have secured warehouse space available for custom reload of hardwood lumber & panel products. Full logistics services offered. Containter and flatbed unloading, custom delivery services available, full custom mill services. Excellent location in Ontario, Ca., in high-end industrial park, close access to four major freeways. For information, please contact Carl Henoch/ Winnie at (909) 974-0180, or send inquiries to creatuswood@aol.com.

OFFICE & WAREHOUSE FOR LEASE: Northern California Sacramento region.

Approximately 2,000-sq. ft. office attached to 30,000-sq. ft. warehouse. Warehouse clear span height 20 ft. Office & restrooms ADA accessible. Warehouse includes three-man doors with large 20-ft. roll-up door. 220V power available.

Fire sprinkler system throughout. Truck shop facilities provided, including minor repair work, oil changes, steam cleaning, etc., at favorable rates. Ample truck parking space in back of facility. If additional space is needed, an option on additional 30,000-sq. ft. warehouse will be available soon. Office & 30,000sq. ft. front warehouse available at .29¢ per sq. ft. Option for rear warehouse .25 per sq. ft. If interested, please call Tom Williams, (530) 742-2168, between 8 a.m. and 5 p.m.

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 The Merchant Magazine  October 2010

HELP WANTED SNAVELY FOREST PRODUCTS SFP is a 100+ year old, multi-location wholesale distributor of specialty building products.

Our Phoenix DC has an opening for an outside sales representative. The successful candidate will have a demonstrated track record of building material sales to retail lumber dealers and industrial accounts. If you are accomplished at product differentiation, value selling, and customer relations, we would like to hear from you. Please apply by emailed resume only to bbuchanan@sfpusa.com. All correspondence will be held strictly confidential.

HELP WANTED LUMBER TRADER We are a wholesale lumber company looking for an experienced trader. Any species. No restrictions on mills or customers. No relocation. 60% split for trader. Call John at Lakeside Lumber at (623) 566-7100 or email lakesidelumber@cox.net.

FOR SALE Let us quote

CUSTOM LUMBER COVERS

ROLLS • SEALED BAGS Available for Delivery Rolls 10 x 300ʼ Bags 4 x 4 x 8ʼ & 4 x 4 x 12ʼ L. I. INDUSTRIES 800-526-6465 FAX 718-793-4316 apronaz@aol.com www.lumbercoversprotect.com

Building-Products.com

NEW Products See in the Dark

Perfect Angle Cuts The ProSite 505P protractor from Starrett is designed for carpenters and builders who need to measure and transfer angles.

The durable plastic tool can be used for mitering or making single-butt joint cuts. Just adjust its 7” legs to the work surface, read the angle on the dial face, and set a miter saw to the reading for an accurate cut.

The touch-activated Beamii light solves the problem of finding the right key and door lock in the dark.

Each water-resistant unit has a replaceable 3.4-volt lithium battery and a LED bulb good for 10,000 hours of use.

Colors include white, black, brown, gold, and silver.

A 12-piece counter display or 48piece floor display are also available.

 BEAMII.COM (800) 605-7081

 STARRETT.COM (800) 541-8887

Safe Work Sight Lightweight StarLite FOAM safety glasses keep out dirt and debris and absorb perspiration.

Scratch-resistant polycarbonate lenses resist fogging, fight glare, and block most UV light.

The glasses meet or exceed the ANSI Z87.1 standard.

 GATEWAYSAFETY.COM (800) 822-5347

T&G Flooring Adhesive DriTac 8100 adhesive is formulated for all types of tongue-&-groove flooring.

Offered in 16-oz. containers, it is nontoxic, non-flammable, water resistant, and VOC-compliant.

 DRITAC.COM (800) 394-9310

Building-Products.com

October 2010  The Merchant Magazine 

51

Loaders Make Tracks Kubota’s new compact track loaders are designed for maximum lifting and dumping capability.

The 75-hp SVL75 has a 6,204-lb. bucket-breakout force and a 4,881-lb. lifting capacity. The 90-hp SVL90 has a bucket-breakout force of 7,961 lbs. and a lifting capacity of 5,869 lbs.

Both are powered by a four-cylinder, direct injection, turbo-charged diesel engine, and offer a variety of bucket and fork options.

A fuel-powered cordless roofing nailer from DuoFast Construction is compact and lightweight.

It can drive two nails per second and holds 120 nails per coil. Other features are an adjustable depth of drive, a single-door magazine for easy loading of coil nails, skid guards, and a belt hook.

 KUBOTA.COM

 DUO-FASTCONSTRUCTION.COM

(888) 458-2682

Nail That Roof

(888) 631-2020

Engineered Brazilians Cikel America has a new collection of engineered Brazilian hardwood flooring.

Cabo comes in five FSC-certified exotic species that are protected with eight layers of oxide finish and can be floated or glued down directly, on or below grade. Face width is 7”, with lengths ranging from 1’ to 6.6’.

Simpson StrongTie’s AHEP connector is designed for wood and cold-formed steel truss applications.

Designed for step-down hip trusses, the connector can be used as a lateral restraint to safely space and support the flat section of the top chord.

 CIKEL.COM

 STRONGTIE.COM

(800) 971-7896

Really Hip Connector

(800) 999-5099

B.C. GLOBAL BUYERS MISSION Photos by The Merchant

B.C. WOOD’S Global Buyers Mission drew more than 650 buyers, dealers, and manufacturers to Whistler, B.C., Sept. 9-11. [1] Lennie Watkins, Steve Horvath, Gerry & Joan Feaver. [2] Natalie & Jake VanSchothorst, Ingrid Boys. [3] Sam Bath. [4] Craig Combs, Mike Pidlisecky, Mike Booth, David Jeffers. [5] Steve Power, Jake Power, Dustin Elliott, Michael Ren. [6] Stewart Clark, Loni & Curtis Walker. [7] Archie Rafter, Chris Beveridge. [8] Ron Sagara, Rob Bengough. [9] Kirk Nagy, John

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 The Merchant Magazine  October 2010

Brissette. [10] Ben Meachen, Jeff Derby, Ted Dergousoff. [11] Dave Chueng. [12] Scott Lindsay, Alan Lazauskas, Kent Beveridge, Chris Beveridge. [13] Griffin Augustin, Corey Scott. [14] Chris Pistilli, Doug Carl. [15] Perry Lee, Sang Lee, Brian Go, Sean Choi. [16] Gary Gill, Jason Zimmerman, Don Slack. [17] Denn Wight, Ian Wight. [18] Wayne Gamborski, Hans Plechinger. [19] Tony Bonura. [20] Peter Grant.

Building-Products.com

WESTERN CEDAR PRODUCERS Photos by The Merchant

WESTERN RED Cedar Lumber Association held its annual meeting in conjunction with BC Wood’s Global Buyers Mission.

[1] Chris Lynch, Janet Wheeler, Steve Power. [2] Danny & Kim Bachman. [3] Jack Heavenor, Dick Jones, Rob Marusic, Harold Mischke. [4] John Harris, Ben Meachen, Doug Nelson, Steve Mynick. [5] Harry Erskine, Shane Hartsch, Mark Woofinden, David Hughes. [6] Alan Lazauskas, Chris Beveridge, Scott Lindsay. [7] Darren Duchi, Jeff Robinson. [8] Morris Douglas, Jack Alley.

[9] Robert Sandve, Paul Mackie. [10] Joe Petree, Craig Fleischalker. [11]

Cal Dyck, Patt & Michael Woods. [12] Jack Draper, Mark Rutledge. [13] Dammy Evertse, Al Fortune. [14] Jim Gillis, Brian Hawrysh. [15] John Brissette, Steve Boyd, Brian Boyd. [16] Shane Robinson, Carlos Furtado.

VAN ARSDALE-HARRIS LUMBER CO.

Since 1888

595 Tunnel Ave., San Francisco, CA 94134 • 415-467-8711 • Fax 415-467-8144

www.vanarsdaleharris.com

Specialists in upper grades of clear, dry softwoods Douglas Fir C & Better V/G & F/G Kiln Dried Full Sawn Rough • 1", 5/4", 2", 3", 4", 6" & 8x8 • 3x6 DF Select Dex Double T&G Decking Sugar Pine • 4/4 -16/4 C & Btr. • 5/4 & 8/4 D Select • 6/4 & 8/4 Mldg. • 5/4 #1 Shop • 5/4 x 12 #2 Common • 4x4 #2 Common Ponderosa Pine • 4/4 Clears, Moulding, #3 Clear, Commons • 2x4, 2x6, 2x12 Std. & Btr. Dimension Western Red Cedar Clear V/G & F/G Full Sawn Rough • 1", 5/4", 2" Kiln Dried • 3", 4", 6" Air Dried Timbers Alaskan Yellow Cedar C & Btr. Kiln Dried Rough • 4/4, 8/4 Poplar, FAS • 4/4, 5/4, 6/4, 8/4, 12/4 Sitka Spruce B & Btr. V/G Kiln Dried Rough • 4/4, 8/4 Honduras Mahogany, FAS Pattern Grade • 4/4, 5/4, 6/4, 8/4, 10/4, 12/4, 16/4 Building-Products.com

October 2010  The Merchant Magazine 

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SPI OPEN HOUSE Photos by Sierra Pacific Industries

GO BLUE: Sierra Pacific Industries, Redding, Ca., hosted its annual open house Sept. 16. [1] Red Emmerson, Dave Meurer. [2] George Emmerson, Hal Fay. [3] Darren Duchi, Charlie Moss, Neil Rasmussen, Joe Allotta. [4] Hans Ward, Kip Burns, Kathy Spoon. [5] Kevin Paldino, Jay Francis, Dan McIntire. [6] Robin & Mark Medearis. [7] Christina Roggenkamp, John Ospital. [8] Brad Rix, Daniel George. [9] Chip Brittain, Dan Mandeville, Jim Frank. [10] Jason Faulkner, Harvey

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ď Ž The Merchant Magazine ď Ž October 2010

Hetfeld. [11] Bill Carroll, Danny Osborn, Robert West, Greg Thom. [12] Mike Mackin, Matt Carlton. [13] Mark Miller, Jon Hagen. [14] Josh Dean, Thom Wright. [15] John Diederich, Rafael Sandoval, Charlie Schweitzer.

[16] Bob Burger, Rocky & Jeanne Mullen, Mark Young. [17] Eric Shelby, Rob Crummett. [18] Jack Chase, Margaret & Bob Bretz. [19] Harold Dodero, Jim Talley, Kevin Binam, Terry Johnson.

(More photos on next page) Building-Products.com

SPI OPEN HOUSE Photos by Sierra Pacific Industries

EYE ON SPI (continued from previous page): [1] Ken Laughlin, Ralph Morris, Robert West, Dick Jackson. [2] Marty Fox, Scott Mackechnie. [3] Rick Vaughn, Greg Sinclair. [4] Tom & Dianne Franklin, Dee Sanders. [5] Mike Thompson, Lori Collins. [6] John Tumino. [7] Millard Meeks, Dan Wolter. [8] Edward Halsey, Stephen Smith, Heather Hampton, Anne Erickson. [9] Greg Sinclair, Jim Miller, Steve Passe, Brian Kelly. [10] Keith

Blackburn, Jerry Mosier, Andrew Cross.

[11] Gregory Hexberg, James Danielson.

[12] Tim Livingston, Dan Fisher. [13] Barry Schneider, Lorena Marodi. [14] Tom Liberator, Bob Shepherd. [15] Greg Kruse, Mike Thelen. [16] Paul Cheatham, Aaron Sulzer. [17] Dave Durst, Padam Malepati, John Reader. [18] Eric Ford, Mark Emmerson. [19] Terry Kuehl, Bob Long.

For free downloadable photos from this and other industry events, visit

www.building-products.com

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October 2010 ď Ž The Merchant Magazine ď Ž

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DECK EXPO Photos by The Merchant

DECK EXPO & Remodeling Show took over Baltimore Convention Center, Baltimore, Md., Sept. 15-17. [1] Steve Klotz, Gary Maulin. [2] Jim Miller, Dave Martel. [3] John Junod, Marilyn Greene, Joe Junod. [4] Erica Biser, John Leisenheimer. [5] Kim Drew, Tom Diem, Chris Webb.

[6] Richard Kleiner, Russell Richardson. [7] Matt Cullen, Rich Kapres, Brian May. [8] Glenn Eberle, George Eberle. [9] Dick Benson, Jon Bailey. [10] Chuck Casey, Brian Orchard, Phil Lail, Eric Sigmon. [11]

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 The Merchant Magazine  October 2010

Ralph Leyh, Kristin Zommer, Rick Wearne. [12] Brian LaFave, Scott Schmidt. [13] Penny Harris, David Palmer, Caylon Huckabay. [14] Arden Fuller, Peter Krihak, Frank Butterfield. [15] Jay Flom, Michael Grant, Daniel Gaxiola. [16] Arne Zenneck, Michael Sloop. [17] Scot Jeffus, Brent Gwatney. [18] Carey Garst, Erin Canosa. [19] Kevin Friday, Deby Jones, David Finkenbinder. [20] Peter Staal, Joe Holt.

(More photos on next two pages) Building-Products.com

DECK EXPO

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W.C. Litzinger, Jim Boyd. [6] Tom Faber, Jackson Chen. [7] Ed Burke. [8] Kevin Gothard, Cindy & Patrick Doyle. [9] Ted Davis, Vickie Brawley.

(More photos on next page)

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Photos by The Merchant

DECKS, DECKS, DECKS (continued from previous page): [1] Frank Peterson, Kim Pohl.

[2] Laurie Coleman. [3] Stephanie DePalma, Daniel Franklin, Mark Lipsius, Shawn Holland, Ed Reed. [4] Blake Austin, Buddy Gault. [5]

DECK EXPO Photos by The Merchant

MORE DECK EXPO (continued from previous two pages) attendees: [1] Leda Johnson, Richard Lane. [2] Ron Long, Scott Rutley. [3] Steve Lewis, Jom Grinestuff. [4] Jacquie Maranville, Henry Croteau. [5] Carol Kelly, Phillip Hutt. [6] Bronwyn Matthis, Alan Oakes, Jade Fridell. [7] Steve Shyda, Alex Hines, Mark Kalady. [8] Chris Duncan, Chris McGroarty, Tim Thornton. [9] Tom Horvat. [10] Terry Brady, James Thompson, Chuck Hotze. [11] Joe Heltsley. [12] Darby Darbyshire,

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Crystal Wicker, Bob Edwards. [13] Otto Kinzel, Scott Cathcart, Kaylynn Poplawski. [14] Kyle Loveland, Jamie Kreiser. [15] Mark Bverke, Phillip Cooke, David Ellenbaum, Bruce Schneider, Rick Pocock, Art Thomm.

[16] Kevin Brennan, Bill Georgelis. [17] Geoffrey McKeon, Chris Johnson. [18] Ken Panitt, Edward Cusck, Huck DeVenzio. [19] Christian Lepage, Keith Bishop.

Building-Products.com

LA HARDWOOD GOLF Photos by Walter Ralston

BIG PRIZE: Over 100 golfers participated in the Los Angeles Hardwood Lumberman’s Club’s annual Alan Bohnhoff Memorial Golf Tournament Sept. 23 at the Costa Mesa Country Club, Costa Mesa, Ca., where [1] Michael Bohnhoff was awarded the perpetual prize— Gerry, a carved wooden giraffe. [2] Dan Bohannon, Jim Gaither, Charley James, Charley Fiala. [3] Alan Arbiso, Bob Goin. [4] Jason Brettigan, Craig Jordon, Roger Reyes, Marty Fox. [5] Charley Bohnhoff, Walter Ralston, Pete Peterman. [6] Danny Clark, Don Reel, Don Clark.

Celebrating 43 years of fine hardwood manufacture and distribution For the finest service in the industry, call on Swaner for a steady, reliable source of quality hardwood products at competitive prices.

• Hardwood Lumber / S4S • Hardwood Plywood • Custom Hardwood Moulding • Custom Hardwood Flooring

5 West Magnolia Blvd., Burbank, Ca. 91502 Fax 818-846-3662

(800) 368-1108 Building-Products.com

October 2010  The Merchant Magazine 

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DATE Book

IDEA File

Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend.

APA-The Engineered Wood Association – Oct. 17-19, annual meeting, Westin La Paloma, Tucson, Az.; (253) 565-6600; www. apawood.org.

Western Wood Preservers Institute – Oct. 17-20, annual meeting, Westin La Paloma Resort, Tucson, Az.; (800) 729-9663; www. wwpinstitute.org.

Alaska Forest Assn. – Oct. 20-21, annual convention, Captain Cook Hotel, Anchorage, Ak.; (907) 225-6114; www. akforest.org.

Lumber Association of California & Nevada – Oct. 21-22, annual convention, Fisherman’s Wharf Marriott, San Francisco, Ca.; (800) 266-4344; www.lumberassociation.org.

Remodeling & Decorating Show – Oct. 23-24, Orange County Fairgrounds, Costa Mesa, Ca.; www.thehomeshow.com.

Green Industry & Equipment Expo – Oct. 28-30, Kentucky Fair & Expo Center, Louisville, Ky.; (800) 558-8767; www.gie-expo.com.

Ace Hardware – Oct. 28-31, fall market, Orange County Convention Center, Orlando, Fl.; (630) 990-7662; www.acehardware.com.

Willamette Valley Hoo-Hoo – Oct. 30, member appreciation night, Shadow Hills Country Club, Junction City, Or.; (541) 485-5979.

Pacific Logging Congress – Nov. 2-4, annual convention, La Quinta Resort, La Quinta, Ca.; (425) 413-2808; www.pacificloggingcongress.org.

North American Wholesale Lumber Assn. – Nov. 4-6, Traders Market, Hyatt Regency, Chicago, Il.; (800) 527-8258; nawla.org.

Los Angeles Hardwood Lumberman’s Club – Nov. 7, tennis tournament, Anaheim Tennis Center, Anaheim, Ca.; (626) 445-8556.

Bring in the Moms A 106-year-old lumber dealer has discovered a new way to attract female shoppers and boost paint sales: free family-focused seminars. For the past two years, Ring’s End Lumber’s yard in Wilton, Ct., has hosted a monthly “Morning for Moms.”

This year’s series kicked off last month, just after kids started the new school year. Michelle Sperry, director of a local private school, discussed how to teach children good manners and etiquette. Color consultant Rita T—who works at the paint center—then shared table setting ideas and decorating tips for family-friendly dining rooms.

Attendees also received a coupon for a free gallon of Benjamin Moore’s new zero-VOC paint.

Earlier this month, environmentalist Jeff Cordulack spoke about safely exploring the outdoors with children and reducing exposure to toxins. Rita T followed up with how to use paint to bring nature’s colors and patterns indoors.

Next month, the former owner of a local children’s bookstore will share how to read to and with children, highlighting the best in children’s literature and discussing how to work with kids who have learning disabilities. Rita will talk about creating an inviting reading area for kids.

In December, a kids’ products reviewer for Con-sumer Reports will discuss holiday safety, tips for safe decorating, and which toys are safe to purchase. Then Rita will share holiday decorating ideas for families.

Cal Coast Wholesale Lumber, Inc. Pressure Treated Forest Products Alkaline Copper Quat (ACQ) Custom Treating Selected Inventory Available

P.O. Box 673 • 3150 Taylor Drive • Ukiah, Ca. 95482 Phone 707-468-0141 • Fax 707-468-0660 Gene Pietila

Sales for Coast Wood Preserving

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