h a sword

He pushed for a second store in 2001 , a third operation in 2006, number four in '08, the fifth this spring, and the end's nowhere in sight. Says Rick, "We've got a model we can take anywhere: Whatever market we enter, we can do well."

"Our model is the best there is," he continues. And it's not a fancy, Harvard MBA-type scheme. It's simply this: "We don't tell our customers what they want; they tell us. We don't dictate. We listen."

55DecessroN?" DECLARES Rick Pogue, general manager I\of Anowhead Building Supply. "We chose not to participate in it."

"Everyone is looking for ways to cut costs," he observes. "But we take a different approach. Arrowhead fights with a sword, not a shield."

So April was as good a time as any to expand to a fifth St. Louis-area location, this one in Hollister, Mo.

The exterior supply company was founded in 1997 by Rick's dad, company president and owner, who brought with him years of experience in a previous yard. Rick signed on in earnest ("I've been here all my life") l0 years ago and started right in making changes.

"Oh yeah," he acknowledges that dust-up with a satisfied smile you can hear across the telephone wires. "We had 35 employees and no plans for expansion, but having built a good team, I could plan ahead and not spend my time on the day-to-day nuts and bolts of the operation."

And what Arrowhead hears, over and over again, is: Time is money. Contractors need those shingles (or whathave-you) yesterday. And right there on the rooftop, so they don't have to hoist them from the mud.

"Everything we do is built around expediency," Rick spells out what he's mandated as the company's unique niche. "For instance, we design and build our own truck equipment, including a pull-and-lift bed so workers don't need to climb on and off the truck."

Expediency also is the basis of Arrowhead's marketing mantra, touted via its 3/15 slogan. Call in your order, and Arrowhead pledges to deliver it-not same day, how old is that? Even Arrowhead's competitors now can make that happen-but within three hours, a feat others haven't got the fleet of vehicles to match. Likewise, a conracror can phone in his order for a box of nails with no need to park and cool his heels at the counter. It's waiting at Hollister's brand-new drive-in window in l5 minutes, the McDonald's of the industry.

This kind of out-of-the-box thinkine is nothine new to

Rick. In 1992_again, with his contractors' needs in mind-he came up with the idea of offering dumpster service to roofers. It works like this: Buy new shingles from Arrowhead and they'll haul off, grind up and recycle the old ones. And it's free. "It's a neat idea," its author agrees. "I developed it to steal customers from our competition, and it's working. Last year it brought in $1 million in business."

Neat idea? He's full of them. How about this one? Rick pulled an inside salesman off the floor, gave him a list and a phone, and turned him into a telemarketer. The man's job is simply to call existing customers and thank them for their orders. "It's amazing how much new work you get out of that," says Rick-the "oh, while we're on the phone" $4,000 orders.

He also reaches new customers via radio ads. Hey, wait a minute! How Old School is that? As he explains, "A friend-the biggest contractor in town-talked me into it, and it's drawn a lot of new people. It's paid off, and I'm happy.You can't be afraid to try something new"-including Facebook, where Arrowhead now boasts a page. Oh, but here's one modern device you won't encounter (thank goodness): voicemail "I won't allow it," the boss is adamant. "Everyone gets to talk to a real, live person."

And on its website, it now includes another smart-thinking feature: a link to the National Oceanic & Atmospheric Administration weather reports. As Rick instructs, "Storms bring lots of business to our contractors; they love 'em. So they watch to see when and where, and then head over."

The website also acts as a match.com service to unite homeowners looking for professional help with a vetted list of contractors. Plus, the new Hollister showroom allows these pros to bring in their homeowner customers and turn them over to Arrowhead's staff.

Anowhead also offers a bit more structured instruction through Arrowhead University-just "don't call them workshops! That has a bad namel" Here, the company presents new products and practices, such as how to install a skylight or metal roof, as well as techniques for sales in the home-"and our contractors love them. We offer 20-25 a year and 15 to 40 contractors show up." And get a swell free lunch, besides.

Another big reason to do business with Arrowhead is its Builders Club affiliation, rewarding every $10 purchase with two points to apply toward a free vacation. "It costs us |.2Vo," says Rick, "and it's well worth it."

Clearly, Rick walks the walk. He also talks it. As a member of an 1S5-company-strong buying group' he's seen both good independent businesses and others doomed to fail. To encourage the laggards to commit to change, he's written a pamphlet called "A Declaration of Independents," which warns owners that "You can't just wait around for something to happen. Home Depot will always offer lower prices, so do something different to compete.

"Independents have the advantage over the chains by being able to adapt to change-make a quick command decision-while places like ABC take years,like steering a battleship. And independents can take each customer on a case-by--ase basis, not having to look to corporate policy'"

Yet, he laughs, "Home Depot and Lowe's aren't Arrowhead's competitors; they're our customers. They can't get the roofing material onto the roof, so they buy from us and we use our equipment. Same for other lumberyards: Instead of them buying a whole carload of shingles, which sits around as it's doled out, little by little, simply

BulldingRoducts.om buy whatever amount you need from us: We'll deliver it so you never even have to touch it, while you'll still make $100 or $200 on the order." In fact, Rick has created two market networking groups to share job leads and go after new business in Missouri, and Arrowhead has gained over $2 million of that new business through these groups.

This GM's not just talkin'. When you pin him down to numbers, be prepared to be impressed. As he says, "When the recession started in 2O01 , our competition closed branches and laid off people; they walled up and protected their top customers. We do just the opposite. We went after everybody's customers to add contractors, even if their business was slow. Later, they'd remember us' So in the past 18 months, we've added 700 new accounts. In the past two years, our sales have been the best ever. We'd had our best year ever in 2002 at $22 million. By 2008, we hit $25 million, and then $27.5 million last year."

Another reason is that Rick hires astutely-"by attitude' not experience. I look for someone who's positive, magnetic, pasiionate. I don't want to babysit my employees. We havi the very best salespeople in the business, and I have my own list of what I critique them on-the six As: attitude, ambition, autonomy, assertlveness, awareness and accuracy' Their job is to get new customers to try us. Once they do, we usuallY have their business going forward because we meet and exceed their needs."

More innovative schemes ahead?

"Well, I've got dad breathing into a paper bag. His hair's turned white," Rick laughs. But, it looks like his retirement home won't be the poorhouse.

Carla Waldemar cwaldemar@ comcast.net