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MOULDING & MILLWORK SPECIAL ISSUE CERTIFYING YOUR BUILDING PRODUCTS
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AUGUST 2013
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THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922
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Special Features 8 FEATURE STORY
ADVICE TO SELL MORE MILLWORK
10 MARGIN BUILDERS
PVC TRIM FOR HISTORIC REMODELS
12 MANAGEMENT TIPS
BEHIND THE SCENES: HOW BUILDING PRODUCTS GET CERTIFIED
14 PRODUCT SPOTLIGHT
STRUCTURAL INSULATED PANELS
When it will show, sell our beautiful 3 1/8" or 5 1/8" appearance glulam. Removing a little extra material guarantees a beautiful appearance. For more information, call 800-237-4013 today.
20 PHOTO RECAP: 2ND GROWTH 32 KAHLE ON SALES CREATING NEW CUSTOMERS
38 PHOTO RECAP: INLAND PRODUCERS
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T e erc ant a a ine SS 3 23 SPS -5 0 is published monthly at Campus r., Ste. , Ne port eac Ca. by Cutler Publishing, nc. Periodicals Postage paid at ewport Beach, Ca., and additional post offices. t is an independently-owned publication for the retail, wholesale and distribution levels of the lumber and building products markets in 13 western states. Copyright 2013 by Cutler Publishing, nc. Cover and entire contents are fully protected and must not be reproduced in any manner without written permission. ll Rights Reserved. t reserves the right to accept or re ect any editorial or advertising matter, and assumes no liability for materials furnished to it.
August 2013
In Every Issue 6 TOTALLY RANDOM 16 COMPETITIVE INTELLIGENCE 18 OLSEN ON SALES 28 MOVERS & SHAKERS 29 APP WATCH 30 FAMILY BUSINESS 35 NEW PRODUCTS 43 ASSOCIATION UPDATE 44 IN MEMORIAM 44 CLASSIFIED MARKETPLACE 45 DATE BOOK 46 IDEA FILE 46 ADVERTISERS INDEX
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TOTALLY Random By Alan Oakes
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www.building-products.com publication of Cutler Publishing
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Are you fitting in?
UDGING BY OUR Movers hakers column the past few months and talking to some owners, the first signs of hiring seem to be happening in the industry—a good sign. If you are one of the unfortunate many who lost their jobs and left the industry during the last five years, welcome back You might be tempted to think that the hard part is over, but it may be just beginning. Many new hires are so anxious to accept a job offer that they skip doing their homework on the company they are about to join. If you have been unemployed for some time or out of the industry, it is very likely that you will find things have changed. In some cases, the bigger concern might be how you might fit back in again. Following the one time I had a gap in my resume, I found it tough just going to work—I soon missed the refrigerator at home, and the office politics made it difficult to enjoy my new environment. Technical skills are only one component of a job. How you behave will determine whether you enjoy your new job or cannot wait to get out of there as soon as possible. During the last few years, I have seen several contacts with long gaps in their employment move yet again six months after finally landing a job. I can readily admit that in past life much the same happened to me, although maybe with a longer timeframe. Certainly it’s easier to find a job when you have one rather than when you don’t. When you join a company, the biggest issue you run into is understanding and “buying in” to the culture. I once joined a company that did not allow personal assistants. As company president, that first month I wasted so much time doing things myself—even sending a fax was a challenge. I soon realized that this was never going to work out because that same culture spread to many other things that I could not fit into it took me a year to get out . Certainly, you need to observe how people behave. I tried to observe how people interacted with each other e.g., are they actually talking or sending emails to the person in the next cubicle? In those first meetings that seemed to drone on interminably, how did people interact? How were decisions made? . Often you are hired and told to come in and make changes. On day one, you have a preconceived notion of what is expected of you. The problem is that the theory that everything done in the past is wrong is what gets you and the company in one heck of a mess a few months down the road. Listen: You may find there are good reasons why things are done the way they are. Coming in and changing everything overnight takes eyes off the business and creates uncertainty and confusion. Rocking the boat before you can get buy-in to change will never end well. The target on your back increases exponentially. Conversely, hiding in your cubicle is not the way to endear yourself to your new colleagues and manager. Learn what they do and why, how you fit into the whole process, and how your results impact those in your own department and the company as a whole. Don’t wait for that first review; get 360 feedback early on. I have learned over years that we all make mistakes yes, me, too . The issue is whether we can admit to them or we play the blame game. As a manager, I expect and actually hope that mistakes will be made. It is the way we learn. Conversely, I have seen individuals who cannot admit blame yet will take credit for others’ work. I am sure we all have thoughts about those types of individuals. Beginning a new job is never easy. You are new to everyone and everyone is observing you. Make sure the impression you make is a good one and you are standing out for the right reasons. I targeted this column for new employees, but as a company owner or manager, some of the most expensive mistakes you make are in hiring. If you believe you hired the right person, how does your company integrate new employees and help them feel part of the team as soon as possible? From experience, generally not much
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FEATURE Story Custom Millwork
Expert advice to sell more custom millwork
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has not only boosted the home building industry, but is also providing increased demand for higher-margin products, such as custom millwork. As a two-step distributor and manufacturer of quality custom lineal mouldings and custom door jambs since 1979, Smith Millwork, Lexington, N.C., keeps close tabs on the pulse of the market. To help dealers take advantage of the latest trends in custom millwork, B D called upon the experts at Smith Millwork—president Ted Smith, vice president Mike Trantham, outside salesmen Jim Kilpatrick, Ron White, and Dennis Ramey, and inside salesmen Shane Michael, Mark Rummage, and Jeff Wiesner—who boast a combined 200 years experience in the HE ECONOMIC REBOUND
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millwork business.
BPD What trends have you noticed in custom millwork over the past five years Ted Smith Custom millwork has taken the same trend as everything else in the housing industry, which was down but not dead. Remodeling has been healthy and custom millwork is often used on such projects because people want something different with more appeal. As construction makes a comeback, the custom millwork should trend back up along with it. Ron White With the drop in housing starts, custom millwork decreased. I see it slowly coming back, but even with that, a lot of customers tell me that with the custom homes being built, the builders are using basic com-
August 2013
modity patterns. It has got a little better, though. Dennis Ramey The major trend in custom millwork over the last five years has been that beginning in 2007 and lasting until early last year we have seen a lot less of it due to the sad state of our economy. Since custom millwork is mostly used in commercial and upper-end custom homes, we began to see it start to come back last year as housing starts began to rise. This year, with housing expected to reach one million new starts, it is possible that custom houses and hence custom millwork could again reach what might represent as much as 50 of custom’s historically high totals. Mark Rummage Trends are toward maintenance-free and paintgrade products. Recently, many peoBuilding-Products.com
ple are choosing a cleaner look, not as much detail, such as a plain cove crown. Most are designing larger crowns/casings/base patterns and 8’ doors on the first floor, and then a smaller version of the same patterns and 6’8” height doors on the second and subsequent floors. im Kil atrick More homeowners are getting away from the basics. They are being more creative in their selections and doing things that are outside the norm. BPD What are the pros and cons of choosing custom trim over standard e Weisner If you use a custom trim millwork, you can get a look that no one else has, but you will be faced with a delay for production and an increase in cost. Shane Michael Custom trim most definitely gives a house a special attraction and should help keep the value up in case they need to sell. The only negative I can see is that there is a higher cost when purchasing custom trim. Kil atrick It’s also not readily available if you need more down the road. Smith Pros: You get to choose exactly what you want. Your home will be different than your neighbor’s. The products come in many different species of lumber. You can match existing profiles in older houses. You can duplicate damaged items on historical projects. You can make items that will fit existing opening for doors and windows. Cons: Lead times are longer, so you have to plan ahead. More expensive than stock millwork. Takes more time to choose what you want. You have to make sure you order enough the first time because if you order too much, you probably can’t take it back and if you don’t order enough, it extends the lead time and your cost goes up. White You can get more distinctive patterns, larger sizes, choices in wood species. Lead times are longer and cost is greater; however, most people who want a specific custom pattern don’t necessarily mind the increased cost. Ramey The pro side of using custom trim is that you can design mouldings to suit your tastes in almost an endless array of designs and wood species in order to make your project uniquely yours. The con side of the Building-Products.com
equation to me is very small, if the customer devotes sufficient time and planning to the choosing of patterns, wood species, and the scheduling of orders. With proper planning and associating one’s self with a quality provider, custom can be a snap. Using off-the-shelf trim materials can be the way to go for the majority of builders and their customers, too, because today we have so many more patterns available in stock that only a few years ago would have been considered custom and special order. If more off-the-shelf patterns are used, the builder can hold down costs. The primary drawback on using standard stock trim is the customers’ choices in wood species are more limited. BPD ave you seen an increase of customers buying custom millwork Smith Yes, with the slight increase in housing activity and with remodeling doing well, we have seen a little more custom business. Mike Trantham Yes, in the last six months. Kil atrick Yes, mainly in higherend homes. Rummage Not as much custom millwork during the recent economic downturn, but it is gradually picking up. BPD Do you have any advice for dealers for working more productively with a custom millwork plant Michael Please ask as many questions as possible when working with the homeowner and contractor. This
encourages them to consider all options that are out there, including custom trim. It is also beneficial to suggest that they consider some staingrade trim for a few of the rooms even when the main portion of the home is painted, to help make the home unique. Rummage A proper takeoff is key—ordering enough custom material for the job. Understanding the application it will be used in and how the end-user wants to finish the item is important. Allow adequate lead time for orders to be produced and delivered. Kil atrick I would make sure that I worked with a supplier I was comfortable with because if there are any problems that occur you want to make sure they are corrected in a timely fashion. These are products that are not on the shelf and take a couple of weeks or more to produce. Ramey My advice to dealers who want to expand their business by offering more custom millwork would be to educate your customers on the need to allow sufficient lead times and to use the millwork manufacturers’ sales representatives to educate the builders concerning what is available and what the manufacturers limitations are. As in anything we do, having a great partner increases everyone’s chances of success. Smith My only advice would be to always try to make the up sale to custom millwork because it usually equals more sales revenue and better profit margins.
S ITH ILLW R ’S sales team has more than two centuries of industry experience. L-r Ron White, Mark Rummage, Ted Smith, Mike Trantham, Phil Osborne, ennis Ramey. ot Pictured Jeff Weisner, Shane Michael, Jim Kilpatrick. All p otos Smit illwor August 2013
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MARGIN Builders PVC Trim
PVC millwork meets the challenges of historic renovations
P
VC TRIM AND millwork can provide a long-lasting solution to a common challenge of historic-renovation projects: recreating intricate trim and millwork patterns that must be replaced. “PVC trim can be milled to replicate historic profiles accurately, but without the time, labor or costs associated with maintenance,” says Ergun Merdin, owner of D&E
Construction, Boston, Ma., who uses cellular PVC trim from Azek Building Products, Scranton, Pa. “We’ve been able to make the transition to PVC very successfully.” Bill Sandrock, owner of Stratton Creek Wood Work, Kinsman, Oh., agrees. He’s been working with PVC products from Versatex Trimboard, Aliquippa, Pa., for the past eight years.
PVC TRI products were the key to matching a new garage/barn to an 1 3 farmhouse. (
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oto
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HIST RIC CUP LA at Baldwin Wallace niversity, Berea, Oh., was renovated with cellular PVC trim products. oto ersate Trim oard)
“We do a great deal of intricate restoration work, so we started using cellular PVC for exterior applications because it can be cut and shaped like wood. We laminate Versatex’s PVC sheet to give us the needed thickness, and then mill it to our specifications.” His latest historic project involved renovation of a cupola at Baldwin Wallace University, Berea, Oh., which dated to 1897 and had been irreparably damaged by the elements. He started by taking samples of all the original crown moulding, corbels, handrails, and turnings. “With PVC, fabrication wasn’t so much of a challenge,” he notes. “We measured the original piece, drew it in AutoCad, and then figured out how to manufacture it. We custom-ground knives to match and ran the profiles through the moulder.” According to Sandrock, it took about 1,100 man-hours over the course of five months to construct all the millwork needed for the six-sided cupola. “This was probably the most detailed project we’ve ever done,” he says. “By doing this in PVC, the paint will stick and it will last. It’s never going to rot and it’s not going to peel. The new paints expand and contract with the material. ” Although PVC trim components are designed to repliBuilding-Products.com
cate the look of wood, they aren’t affected by moisture and are highly resistant to mold. In addition, PVC trim is consistent in size and finish, immune to rot and insect infestations, and lightweight and easy to install over solid substrates. “PVC delivers the authentic, rich appearance of wood, coupled with the durability and very low maintenance homeowners want,” says Jack Delaney, national sales manager of The Tapco Group’s Kleer Lumber division. “Whether it’s a coastal mansion or modest neighborhood home, PVC is appropriate on virtually every house.” Perhaps best of all, PVC trim requires little maintenance—unlike wood trim, which must be re-painted on a regular basis. “I’ve never met a homeowner who likes maintenance,” says Joe Cracco, c.e.o. of Modern Yankee Builders, Cumberland, R.I., who also uses Versatex products. The company works on historic homes and landmarks, plus traditionally styled new homes, that must withstand the harsh elements of the New England coast. “In areas where wood trim is exposed to a lot of water and then deteriorating, we come in, remove the rotten trim, and install accurate new profiles made from PVC,” he notes. “It’s a sad fact, but wood rots. They see that we can get a historic effect with materials like PVC trim—and bring the level of maintenance a lot closer to zero.” Carter Lumber, Fairview, Pa., supplied and custommilled Azek PVC for the renovation of an 1873 farmhouse with a new barn/garage. “On both the house and barn, we were able to match the period look beautifully,” says Kevin Raines, one of Carter’s outside sales reps. “We used a CAD program to recreate the historic brackets we were able to save on the house, designed and built windows, and milled a crossbuck pattern for the barn doors.” Recreating historic trim in PVC also means that the structure will be around for future generations to appreciate. “Some people shy away from PVC in the restoration business, and I don’t understand why,” comments Sandrock. “It doesn’t rot—and we recycle all the dust and scraps when we mill it, to make more product—so it’s as green as can be.”
PVC TRI AR delivers the look of wood with the long-term durability and low maintenance customers want. oto leer um er T e Tap o roup) August 2013
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MANAGEMENT Tips By Tom Patterson, Intertek
How building products are certified
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ITH THE DESIGN of a new building product comes the question every manufacturer must ask: Should I certify it? In short, the answer is yes. Putting a product through the certification process is a matter of compliance and will save manufacturers time and money in the long run. Certification allows manufacturers to sell their products in the global marketplace. Building codes outlined by the International Code Council ICC have been unified, permitting manufacturers to demonstrate compliance to a large geographic area through one set of certification documents. Certification to applicable standards also allows products to be placed on the shelves of commercial outlets.
Those who choose not to gain certification to building codes and industry standards must prove compliance with each individual jurisdiction, an often expensive and laborious method for gaining approval. In addition, their products do not have the ability to be sold through commercial channels. The certification process is efficient and extremely beneficial for manufacturers to gain market access, and can be broken down into four steps. For starters, it is advantageous to partner with a Nationally Recognized Testing Laboratory NRTL that understands building codes and industry standards and can help ensure manufacturers test their products to the proper requirements. There are even a few testing
A TEA at ntertek’s Vancouver lab prepares for a curtain wall test to determine where and how the assembly of building products can be used.
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laboratories that can provide manufacturers with the research reports necessary to prove that a product functions properly and demonstrates building code compliance. Once a manufacturer has connected with an NRTL, the next step is to work with the laboratory to develop a test plan to achieve the necessary requirements. In order to develop this plan, manufacturers must understand their market from both an application perspective and a geographic perspective. Where the product will be used on a building and whether it will be in a residential or commercial structure will determine the intensity of the testing that must be performed. In addition, requirements vary between regions, so it is important for manufacturers to know exactly which locations they want to sell their products in, as it will dictate the types of tests conducted. After a test plan has been determined, the testing and evaluation phase begins. While physical tests are performed, engineering evaluations based on prior, commonly known data are also often used. NRTLs are familiar with how different materials perform under various types of conditions and levels of stress. It is this extrapolation conducted by engineers that enables manufacturers to extend the application of a product without having to conduct unnecessary tests. Testing and evaluation is not about testing every potential application, but about the benefits of evaluating to a wide variety of potential applications. After a product has successfully completed the testing and evaluation process it can then be certified, indiBuilding-Products.com
cating that applicable industry standards have been met. Once certified, it is important for manufacturers to demonstrate that the product remains as it was when it was first tested. This is done through ongoing surveillance by the third party NRTL, which provides a variety of required follow-up services depending on the product and its intended application. Previously, certification was seen as a purely necessary process performed solely for the purpose of selling products in desired markets. Now, accredited certification bodies are adding more value to the process through updated product certification directories. Previously basic and barebones, these directories currently contain links to manufacturers’ websites and easy navigation tools, allowing industry professionals to search for a product by standard or performance level, among other options. They have become a great resource for engineers, architects and specifiers trying to find the right product to fit their building needs. Another benefit of certification is that it preserves manufacturers’ test data, allowing them to prove compliance years down the road. In North America, as long as a manufacturer demonstrates that their product has not changed and still complies with the standards originally tested to, that product will remain certified no matter how old the test report is. However, it is important to remember that different parts of the world have different requirements. For example, a fiveyear-old test report is too old in Europe, whether it proves certification or not. For manufacturers, the testing and certification process can allow them to extend their products’ reach in the global marketplace. By partnering with an NRTL, manufacturers can ensure that all the necessary tests are performed and standards are met. In the long run, these laboratories help manufacturers save time and money and provide a competitive advantage through placement in product directories consulted by a wide variety of industry professionals. When it comes to testing and certification, the question should be when—not if. – Tom atterson is director of certification for building products for the mericas region for Intertek. e serves as a board member and treasurer for the ir Barrier ssociation of merica. Reach him via www.intertek.com. Building-Products.com
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PRODUCT Spotlight By James Hodgson, Premier SIPS by Insulfoam
Selling SIPs
What you need to know about structural insulated panels A insulated panels SIPs provide multiple efficiencies for building construction and operations, many builders still often rely on the traditional building methods they are most familiar with. As builders look for ways to differentiate themselves, LBM dealers can provide a valuable service by being LTHOUGH STRUCTURAL
ready to answer questions about SIPs. SIPs are an advanced building method, but are actually quite easy to build with. They can be used in virtually any light construction project, including single-family homes, multifamily structures, and commercial and institutional construction ranging from schools to offices to retail and restau-
rants. Following are answers to common questions dealers and builders have about SIPs: What are the key selling oints or SIPs “For one-time residential ownerbuilders, a key benefit is the quality of
STRUCTUAL INSULATE PANELS arrive at the obsite pre-cut and sized, ready to be put into place with a crane. All p otos ourtes
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the finished home—both structurally and environmentally,” notes Brian von Allworden, PE, SIP expert with Wright Engineers, Phoenix, Az. “For production builders, it is speed. The faster they can build, the quicker they can sell.” SIPs are significantly stronger than stick frame construction. Benefits include roof systems that eliminate the need for a truss system, which in turn reduces framing schedules by removing the labor and installation time for truss construction. Additionally, SIPs are exceptionally strong in racking diaphragm shear capacities, which are the primary structural properties engineers are concerned with when designing for earthquakes and hurricanes. On the environmental side, SIPs are arguably the best performing structural system available. U.S. Dept. of Energy tests show SIP construction is about 15 times more airtight than stick framing. Additionally, DOE found that SIPs have a 47 higher wholewall R-value than either standard stud walls or advanced framed walls. SIPs also help reduce jobsite construction waste up to two-thirds, and support indoor air quality by sealing out common pollutants. As von Allworden noted, SIPs help reduce building cycle time because they eliminate the need for separate framing, insulation and sheathing work. Further, the panels arrive at the jobsite pre-cut and sized for each specific part of the structure. “With the pre-built panels, you just have to piece the building together like a puzzle,” says Glen Kamerman, partner with Kamerman Construction, Manhattan, Mt. Building with SIPs can help contractors earn more money because of fewer framing hours on the job. SIPs can also simplify construction on tight urban job sites where staging space is limited. Densely packed buildings and heavy street traffic present challenges that can be solved by using SIPs, which can be installed in a matter of hours. Will my ramers be able to install them A skilled framing crew typically can learn the steps for installing SIPs in a matter of hours, and quickly become proficient in working with them. Because SIPs are made of wood OSB sheathing on both sides of an insulating foam core , they are easy to nail, saw and drill—similar to tradiBuilding-Products.com
SIPS reduce and simpify building schedules, while imparting stength and durability.
tional wood framing. What about the im act on other trades While there are some specific techniques that subcontractors will need to become familiar with, building with SIPs does not create a roadblock in construction. Traditionally, very little plumbing is included in exterior walls regardless of the building style used. With SIPs, most plumbing is located in the interior walls. Running wire is simpler and faster with SIPs, as manufacturers pre-cut electrical chases into the panels. Crews simply pull wiring through the chases after the panels have been installed, which saves the time and hassle of drilling holes through numerous wall studs, as is the case with stick framing. What are the key trends in SIP construction “I see a lot of multi-family and hospitality developers looking at SIPs as a way to to stand out from the crowd,” says von Allworden. “And, as more SIP structures are built, many builders are realizing that the bottom line is the same, or better, as with stick construction, but they are getting a better final product.” In what ty es o buildings are they most o ular
SIPs are increasingly popular in educational facilities, from K-12 schools to colleges and universities, where they can be used in dorms, gymnasiums, classroom buildings, and other structures. What are im ortant things to look or when choosing a SIP manuacturer “First you need a manufacturer who is reliable,” says von Allworden. “There were a lot of SIP firms around six years ago that are now gone. You also need a company that is big enough that they are not dependent on your money to buy their materials. And, of course, you need a company with a quality product. For LBM dealers and distributors concerned that SIPs could cut into the traditional meat of their business— lumber—it is worth remembering that there will always be a strong market for framing lumber, even in SIP structures. SIPs are typically used for outside walls and roofs, with stick-framed interiors most common. Additionally, as demand continues to grow for energy-efficient structures, being knowledgeable about SIPs can be an important way to grow business within a new market segment. – ames odgson is the general manager of remier I by Insulfoam, uyallup, Wa. For more information on I s, visit www.premiersips.com bc.
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COMPETITIVE Intelligence By Carla Waldemar
Hardware storeturned-lumberyard
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Dale Hardware, Fremont, Ca., has been through this over and over and learned to take it in stride… but this time, it’s the big one. No, not another earthquake, although the community sits smack on the valley’s famous fault line and the operation, in fact, promotes a multi-faceted earthquake survival kit to its customers. Earthquakes tumble buildings, while Dale, instead, extends them. We’re talking about expansion. HE STAFF AT
Since the company was launched in 1955, strictly as a hardware store, it’s undergone five expansion projects, all within the same block, says Garth Smith, whose father founded the enterprise. “We kept needing to accommodate new products and answer customer demand.” But, as we noted, this is the big one. Two years ago—again, prodded by “the fact that we continually get requests for new merchandise,” he says—the major upheaval materialized. Dale mushroomed from 40,000
A IN A CAVERN US new lumberyard satisfied California dealer ale ardware’s customers’ re uest for new merchandise.
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sq. ft. to 100,000 sq. ft.—what owner Garth rightly calls “a substantial increase” felt in every department, but mainly in two product lines—a garden center and a lumberyard, both brand-new arenas for Dale. And not only an all-new lumberyard, but a state-of-the-art, covered, drive-thru facility, answering demands for sticks that Dale’s commercial accounts had been lobbying for. It’s stocked with everything from specialty hardwood and the redwood so popular in California, along with decking of every persuasion, to the standard dimensional Doug fir routinely utilized by Dale’s prime customers, the town’s remodelers. Personnel count shot up from 95 to 120, including managers well-versed in the new and unfamiliar lines. And if you’re selling lumber, you’ve got to deliver it, so that meant several new vehicles, including a forklift. SKUs vaulted from 45,000 to 65,000. “Every department was expanded,” says Garth, who has eagerly followed in his father’s footsteps. “I worked here through high school and college, which convinced me it was what I really wanted to do. I got seriously involved in the mid’70s. Shortly after—the early ’80s— my dad died unexpectedly, so it landed in my lap a little quicker than we’d planned. I learned by trial and error.” For one thing, he learned early on how and whom to hire. “Our process is pretty involved. We use a team approach—four or five people sitting Building-Products.com
in on interviews. We’re continually seeking good employees, and what we’re looking for is a can-do attitude— someone who really enjoys working with people. We can train them in product knowledge, but not how to smile, to enjoy talking to people; it’s far easier to teach them how to fix a toilet.” Or, since the lumberyard debuted in January 2013, how to build a deck. But who the heck taught Garth that a grueling recession was the time to more than double your space? Pin the credit on the guy himself. “I decided that now is the time. Three reasons,” he ticks off. “One, money is as cheap as you’ll ever get it. Two, when it comes to contractors to hire, during this down stretch we’ve got the pick of the litter. And three”—most essential—“by the time we’re done, the economy most likely will be turning around, so we’ll be perfectly positioned.” He was right. “It turned out very, very well, and business is quite brisk.” Added bonus: Can you say “federal funding?” Garth explains the lucky break: “It was a coincidence. I had a regular bank loan all set up when the city came to me and said, Garth, we have a bond for Alameda County with money allocated to us in Fremont. Your business fits the requirements.’ So I sent in a one-page application.” Almost immediately he was told, “You got it ” “I didn’t stumble onto it, it came to me, and saved us money.” Since the expansion, Dale has tracked solid increases in customer counts and sales. “We’re attracting more female shoppers than before, especially in the new garden center.
And the lumberyard has opened up our contractor business,” he reports. The split between retail and pro customers hovers where it’s always been, at 50/50, with pros divided between commercial accounts, such as local utilities, the water district, and city and county departments, served by Dale’s expressly dedicated outside salesman, and Dale’s remodeler contractors. Because this community in the Silicon Valley of the Bay area is “pretty all built up, not much land left,” according to Garth, “we do only a couple of new homes a year. So our forte is serving the remodeling trade, which has been pretty constant, although kind of slim the past four, five years. People saw their home values drop, so they weren’t going to put any more money into them. But that’s started to escalate.” Sure, there’s competition—there’s always competition—but folks stay loyal to Dale because of its primo service: “That’s what we hang our hat on—friendly, knowledgeable employees. We put a lot of time and effort into training them in product knowledge and service. And that Building-Products.com
THE RIVE THRU facility has been especially popular with ale’s commercial accounts.
service,” he re-emphasizes, “is Number One: That’s where we shine. It’s a very competitive market, but you can’t buy service. That’s where we try to make a difference,” Garth declares. “Product selection also,” he’s quick to add. “We do so much better than the boxes, plus services—everything from cutting keys and glass to screens, from pipe cutting and tool repair to furnace troubleshooting and equipment rental, even bulk kerosene sales, whatever a traditional hardware store used to do, plus bigger projects like irrigation systems for their lawns. We have all the parts and pieces.” And don’t forget those earthquake kits Dale gets the word out via print ads “but print is very costly ” , a Facebook presence, and, now, Twitter: “We’re playing with it; it’s the way to go.” The company’s customer-friendly website features department managers who offer tips and guide folks through projects. Customers, both retail and pro, also can take advantage of its rewards program, which offers points for purchases—plus, “we capture their emails and can use them for promotions,” Garth confides. Folks also line up in the parking lot whenever Dale hands out free hot dogs when its barbecue grills are on sale. Never a dull moment… and that’s exactly the way Garth likes it. “I just enjoy working with people; it’s fun And I’ve got a good group of employees who work together as a family.” In fact, one of them is family: his son, 30, one of the company’s assistant managers. Plus, there’s the benefit no one can refuse, says Garth. “There’s lot of money to be made if you do it right.” Good deal: Looks like no one in Dale’s crew will be on food stamps any time soon.
Carla Waldemar cwaldemar@comcast.net August 2013
The Merchant Magazine
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OLSEN On Sales By James Olsen
Changing minds
I
defended. Someone us, for example must stand up for an idea and speak on its behalf. The idea that someone should buy from us, even if we are the beyond-obvious best choice, is an idea that must be defended with our words. DEAS MUST BE
uotrons s. dea Defenders
There are three categories of sales people that languish away in the land of underachievement and mediocrity: uotrons – They quote product all day long, but never sell it. Product Presenters – Highly versed on the market and product, but never sell it. The Nice uys – “How ya doin’, buddy?” They insult themselves you think that’s all it takes? , their competition you think you are the only charming person in the world? , and their potential client do you think all I need is likeability to buy from someone? . And never sell it. Master sellers stand for something. They have “a way they do business.” Do they accommodate their customers? Yes. Do they calibrate their personality to their customer’s personality? Yes. Do they know their markets and products? Yes, yes and yes. But what sets master sellers apart is their ability and desire to change people’s minds. Master sellers do not shy away from this crucial task—they embrace it. They believe they are the best choice and relish the opportunity to show/explain/sell their customers it is true. They defend the obvious best choice—themselves—with their words.
m Happy with My Current Supplier
How we orchestrate our first call to customers has more to do with our ultimate success than any other call. If we fumble this crucial interaction, it is difficult to build our business fast enough to overcome the inevitable leaks in our account base. Master sellers build relationships more quickly. When they lose a big account it doesn’t take them long to replace the business. Master sellers have: A better bench. They cultivate the quality and quantity of their secondary relationships. Their initial calls are impactful. They create “heat” earlier and “get cooking” with new customers sooner. Our number one objection on every new call will be: “I’m happy with my current supplier.” Some salespeople have no plan. Some are too aggressive, believing the fallacy that we are magically converting
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the entire customer’s business to us on the first call. Business-to-business sales is a relationship built over time. Our goal is to become our customer’s number one supplier, but it won’t happen on the first call. What will happen is we can earn the customer’s respect and permission or right to continue to call. One of our primary goals of the initial call is to have agreement from our customer that they will continue to take our call. If we can talk to them, we can sell them. The point is to respect the buyer’s current decision, while selling/explaining/defending his need to have us as a supplier also. Mr. ohnson, I don t want to get in the way of the relationships you already have. What I would like is to be a secondary or back-up supplier. We will get to know each other. ou will see the uality of my products and service. I respect the relationships you already have. great company like yours will have good suppliers. We are a great supplier and would like to prove it to you one step at a time. Let me offer you product for three months. If at the end of that time we haven t done any business, no hard feelings and we both move on. What s your email ou know, everyone needs a back-up plan. I am your back-up plan. I m sure you currently have great suppliers. I won t get in the way of that. What I will do is show you a piece of the market you haven t been seeing. Let me call you ne t Monday with some great deals on
Write t Out
Make your answer in your style. Make several versions for the different types of customer you will encounter. To make them our own we must write them out. We must brand our answers in our minds. We must be prepared, able and, most importantly, willing to change minds and defend the idea that we are the beyondobvious best choice. ames Olsen Reality Sales Training 503 544-3572 james@realitysalestraining.com Building-Products.com
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CALIFORNIA DEALERS Photos by WCLBMA
WEST C AST Lumber Building Material ssociation en oyed its annual 2nd rowth summer conference July 1 -1 at Rancho Las Palmas Resort, Rancho Mirage, Ca. Rawni Kevin Munsey. anny Sosa, Jay Mc rthur. Rick avis, lex niack. Mikael Cook, Larry Christensen. Chris Mc onough, Carlos arate, Jason Rutledge. Ryan Lauterborn, Tim Kennedy. Christian Cadillio, Oliver Barnes, Tiffany Mendoza. atalie llen, Jack Butler, Karen ampton. Jean enning, Karen Mike Caputo. Tom ppleton, Terry Rasmussen. ana Jason Sumpter. Jason Womack. ick Larr, Tom Karen ngel. erry Perez, Patti iaz. atalie Chris Johnson. Rex Klopfer, Jeff Clave. Walter Frederick, Charlene Valine. Vince Lauricella, Victor Fresca.
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Lumber Ta Drops Some Panel Trim Products
Effective July 1, the California State Board of Equalization has exempted a number of additional products from the California Lumber Products Assessment. No longer subject are Hardieplank lap siding, Hardiepanel vertical siding, Hardieshingle siding, Hardiesoffit panels, Hardietrim, Hardiebacker underlayment panel,
August 2013
Cemplank siding, Cempanel siding, Cemtrim, Artisan siding, Prevail panel and lap siding, and Hardie Reveal panels. The law, which first went into effect Jan. 1, requires retailers to charge a 1 assessment on the sales price of lumber and engineered wood products used in California.
Building-Products.com
Burrill Studs Make Comeback
Eugene F. Burrill Lumber, White City, Or., ceased operations 15 years ago and its founder died five years ago, but the company’s legendary 2x4 studs will once again be available. The rebirth began when Home Depot signed an exclusive licensing agreement with the Burrill family, which allows an undisclosed mill in the Northwest to manufacture white fir studs to the family’s specifications. The studs will be marked with the Burrill name and sold at Depot stores in the Northeast and in Phoenix, Or. “I still get calls from customers asking, How do I find a Burrill stud?’” said John Schwager, Home
Depot’s senior lumber merchant. “Most people considered it the finest stud available. Retailers, lumber sellers, everyone considered Burrill the Cadillac of the industry.” With a single mill producing the studs, the chain can initially supply only 80 stores. That may change once a second mill starts production in February or March. “I would like to put the studs in as many stores as makes sense,” said Schwager. According to Michael Burrill Jr., his family will get to approve any mills, “so it will be the quality standards that my grandfather always produced to,” he said.
Stop Roof Leaks Fast! New KEMPEROL® Roofpatch Seals Cracks Fast. Odor-free, fleece-reinforced ~10”x18” patch kit. Ideal for bitumen sheets, PVC sheets, concrete, wood, resin-modified screed and metal. Flat pouch kit includes gloves, step-by-step instructions. Rainproof in about 60 minutes. Samples available for qualified distributors.
P
lects
e t Leader
The APA board of trustees has elected v.p./corporate secretary Ed Elias to become the next APA president when Dennis Hardman retires later this year. A 35-year APA veteran, Elias has worked in its technical, international marketing, and financial divisions. Hardman, president since 2005, will turn over the reins at APA’s annual meeting in November.
DEALER Briefs rc ard Supply Hard are, San Jose, Ca., saw its stock listing removed from S exchange after filing for bankruptcy and agreeing to be ac uired by Lo e’s . OS ’s shares were listed for 1 months. oores Used uildin Sup ply has relocated from nderson, Ca., to Cottonwood, Ca.
armac Ace Hard are, Maui, i., added a location late last month in Wailuku, i. o
ort
albrait Lumber
has restarted its Prescott Valley, z., truss plant, mothballed since 200 .
ercer Island True Value , Mercer sland, Wa., relocated to a smaller, 5, 00-s . ft. store, after losing its 2 -year-old home to redevelopment.
1-800-541-5455 kemperol-roofpatch.com
Ralston Ace Hard are , rvada, Co., is closing at the end of the month after 3 years. Several employees will transfer to sister store La e Rid e Ace Hard are, Lakewood, Co. ou las Hard are, ouglas, z., was opened by avid e La Torre. Ace Hard are, Layton, t., suffered 50,000 in damage from a 2 a.m. fire July 25 that may have been caused by a ruptured natural gas line. Habitat for Humanity is putting the finishing touches on a new ReStore in Farmington, .M., and is moving its lbu uer ue, .M., ReStore to a larger, 2 , 10-s . ft. facility. nniversaries Emi Ace Hard are, Sacramento, Ca., 105th Nort rid e Lumber Co. , orthridge, Ca., 5th ReStore ,
Temecula, Ca., 5th
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Building-Products.com
OSH Prepares for Sale to Lowe s
Orchard Supply Hardware, San Jose, Ca., won court approval for up to 176.3 million in bankruptcy financing. The money will fund operations until at least 60 of its 91 stores can be sold to Lowe’s at an Aug. 20 auction. “I believe the aggregate facility is necessary for the company” and gives suppliers confidence the company will have adequate liquidity to continue going forward, Chris Newman, Orchard Supply’s chief financial officer, told the judge. When the chain sought bankruptcy protection on June 17, it had 91 stores in California and Oregon. It has since received court approval to close eight under-performing stores in California. Great American Group began managing liquidation of stores in Citrus Heights, Fairfield, Huntington Beach, Lone Tree, Long Beach, Midtown, Newark and Vacaville, Ca., on June 29. Lowe’s has announced a 205 million bid for OSH, which it plans to operate as a stand-alone business with the same name and management. Four of OSH’s top executives
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would be eligible for 2.2 million in bonuses under the proposed sale—50 of which would be covered by Lowe’s if it becomes the winning bidder.
BlueLin Begins Restructuring
BlueLinx Holdings, Atlanta, Ga., has launched a restructuring plan that includes “realignment of headquarters resources” and possible sale or closure of five of its 55 distribution centers. The distributor will operate all five DCs at least until the strategic review is complete in the fall, as it considers whether to close, sell or otherwise obtain “strategic partnering” for each location to best increase stockholder value. Streamlining operations headquarters is expected to save up to 10 million a year, including payroll costs, and generate up to 27 million in operating cash. Days after announcing the plan, BlueLinx increased its credit facility by 25 million to 447.5 million.
SUPPLIER Briefs Trillium Lumber, Portland, Or., suffered 20,000 in damage from a July 10 fire that started in a sawdust hopper. al eur Lumber, John ay, Or., is adding staff and capacity to expand its fuel pellet and fuel brick business. Stimson Lumber’s mill in Plummer, d., recently pureter’s Omega n-line moisture-manage-
chased Wa ner ment system.
Vandemeer orest Products, Marysville, Wa., now distributes National Nail Corp.’s C MO hidden deck fastening system and C MO exterior screws. Santa e oor, lbu uer ue, .M., is now applying PureColor eco-friendly finishes on all of its custom millwork
and door products.
C ristiansen Enterprises has relocated its operations from mboy, Wa., to a 10,500-s . ft. facility at the Port of Kalama, Wa., providing dry kilns, parts and services. smose’s MicroPro wood preservative has earned reenguard gold certification from UL En ironment.
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LEER LU ER’S new photo contest—which runs through Oct. 31—allows contractors to show off trim and decking pro ects using Kleer trim and decking products, plus the chance to ualify for prizes, free publicity, and free product samples. Building-Products.com
MOVERS & Shakers ohn Noyce, ex-Stanley Security Solutions, has been named district sales mgr. for Boise Cascade, Anchorage, Ak. eanne Olson, ex-Weyerhaeuser, has been hired as plant mgr. for J.H. Baxter’s Eugene, Or., operation. Dennis Houghton, ex-Enyeart Trading Group, has joined Sherwood Lumber, Lake Oswego, Or. Ken Munyon has been promoted to plywood sales mgr. and Matt Cam bell to stud sales mgr. at Swanson Group, Glendale, Or. Brian ohnson, ex-Enyeart, is now dimension sales mgr. Carol Kelly, ex-Fiberon, has joined Milgard Manufacturing, Tacoma, Wa., as Rocky Mountain region sales mgr. Peter Hagenberger, ex-Stock Building Supply, has been named executive director of manufacturing for HPM Building Supply, Keaau, Hi. Holly Hagenberger, ex-Stock, is now central bidding mgr. Da e Cunningham, Simpson timber, Tacoma, Wa., has retired after 39 years in the business, the last 26 with Simpson.
ohn Hedges, ex-McFarland Cascade, is a new account mgr. at Capital, Portland, Or. Thomas Collett, ex-Granite Valley Forest Products, was named v.p.sales & marketing for Tradewinds Hawaiian Woods, O’okala, Hi. Da e Bolton has retired from Buckeye Pacific, Portland, Or., after 47 years in the industry. Scott Slaughter, ex-Elk Creek Forest Products, is a new trader. Dean Linton, ex-PrimeSource Building Products, and Bill Leonard, ex-Unity Forest Products, are new inside sales reps for Weyerhaeuser, Stockton and Sacramento, Ca. Pablo on ale is now in sales at Universal Forest Products, Yakima, Wa. Dan Ducart, ex-American Building Supply, has been named purchasing department mgr. at Western Building Specialties, Sacramento, Ca. De in Stock ish has been elected corporate secretary of Weyerhaeuser Co., Federal Way, Wa. Randy Buchanan, ex-Milgard, has been named v.p. of operations at Cascade Windows, Spokane, Wa.
Pat raneto, western species purchasing mgr., Brojack Lumber, Portland, Or., has retired after 35 years in the industry, the last 20 with Brojack. Newell LaVoy has joined BlueTarp Financial in business development in the Denver, Co., area. ary Anderson, ex-Neuma Doors, is now market sales mgr.-Northern California for Masonite International. ordan Oberhaus is a new Southern California outside sales rep with LaCantina Doors, Oceanside, Ca. Ted Cebula, Arrow Lumber & Hardware, Randle, Wa., has been promoted to store mgr. Vicki Cam bell has been promoted to v.p.-people strategy & development for Gaco Western, Seattle, Wa. Donna Darden-Simmons is a new trade sales rep for Pella Windows & Doors, Santa Fe, N.M. Otto Schulte has been appointed v.p.strategic forestry initiatives for International Forest Products, Vancouver, B.C. Lee D ier anowski, ex-Formica, has been named Utah-based business development mgr.–West for DurA-Flex.
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oe Elling is now with APA–The Engineered Wood Association, Tacoma, Wa., as director-market research. Michael Downing, ex-BlueLinx, is new to ForeStar Solutions, Greensboro, N.C., as business development mgr. for the Southwest U.S. Nick Farley, Panda Windows & Doors, N. Las Vegas, Nv., was promoted to Southwest regional mgr. Carl Cothran, ex-Mohawk, has joined SCS Global Services, Emeryville, Ca., to head its certification services for the flooring industry. He is based in Rome, Ga. im Miller, president, Screw Products Inc., Gig Harbor, Wa., has been elected to the board of the North American Deck & Railing Association. Brad Corkill, owner, Whiteman Lumber Co., Cataldo, Id., has been appointed by the governor to the Idaho Fish & Game Commission. Dan Bohannon, president, Bohannon Lumber, Orange, Ca., recently teamed with Brian Cheney to win the recent U.S. Tennis Association National Hardcourt Doubles Championship (65 and over) in Irvine, Ca.
Building-Products.com
Frank and Da e Ste hens, fatherand-son owners of Manzanita Lumber, Manzanita, Or., were honored as the town’s Citizens of the Year for 2013. Machem Tweete is the now director of social media for Mungus-Fungus Forest Products, Climax, Nv., report co-owners Hugh Mungus and Freddy Fungus.
APP Watch
Pyramid Gets State Loan
The state of Montana has awarded a $650,000 loan to Pyramid Mountain Lumber in Seeley Lake, to help complete major upgrades and aid in job creation and retention. According to Governor Steve Bullock, the loan will fund three different capital improvement projects, for sawmill production and the mill’s cleanup process. In total, the project will help retain 140 current jobs and create eight new jobs. “Montana sawmills must keep pace with global competition,” said c.e.o. Loren Rose. The money will be used to buy a lug loader, unscrambler, and log yard waste separator to sort materials into different piles.
August 2013
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FAMILY Business By Wayne Rivers
A tidal wave of generational transitions?
D
appeared during the 1990s about the coming tidal wave of business transitions from Baby Boomers to their Gen X and Gen Y children. The articles theorized that as Baby Boomers got to be 55 and older, they’d be looking to sell their businesses or pass them on to their children. The question is: What has happened to the family business transition tidal wave? Here are six reasons why family businesses are staying in the hands of senior generation family business owners longer: Age is the new . People today OZENS OF ARTICLES
are in better health for longer than ever before. We eat better, exercise more, smoke less, and take care of ourselves better than previous generations. Therefore, when a family business owner reaches “normal retirement age,” he is often far from ready to retire. He is still filled with energy, ideas, and ambition. The reat Recession. This recession shocked many family businesses, some of which believed the hype that the Federal Reserve had made recessions obsolete. If their businesses have shrunk, senior generation leaders want to restore them to their former glory.
Turning Good
Leaving the business at the tail end of a historic recession simply doesn’t seem like a good idea to many. Lack o Ownershi Succession Plans. Many families still wrestle with the issues of ownership succession. How do I treat my children fairly and equitably when some work in the business and some don’t? How will my children get along when I’m no longer around? Is it fair to treat my daughter who’s c.e.o. the same as her brother who works on the loading dock, with respect to ownership succession? If I leave the company to my kids, will my spouse have enough money to be com-
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fortable after I’m gone? Lack o Management Succession Plans. It’s hard to beat experience. Even though a 65-year-old family business leader might have incredibly competent 40-something children, they are at a severe chronological disadvantage in the sense that the senior generation had a 20+ year business head-start and that gap can never be closed. While the younger generation might have all the tools necessary for future success, they simply can’t replace the hard-earned experience Dad carries between his ears. Most closely held companies also have two other management succession limitations: a lack of clear, written, transferable policies and procedures for the various jobs in the company and a lack of knowledge transfer, which is the process for formerly transferring soft information (i.e., someone’s experience about business practices and processes) to younger members of the firm. Lack o S eci ic Retirement Plans or the Senior eneration. Although 65-year-olds today have plenty of energy and ambition, most family business seniors have no specific retirement plans that are remotely capable of consuming their energy and time. The idea of moving to a retirement community, puttering around in the yard, and the occasional round of golf isn’t nearly as compelling and exciting as continuing to fight the daily battles necessary to put the family business back in its rightful place. Since murky retirement plans make for a nebulous future, and the concrete reality of rebuilding the family business is both present and exciting, staying trumps leaving hands down. Lack o Buyers or Family and Closely Held Businesses. Anyone looking to buy a business wants to see a proven methodology for creating top line sales, a management team capable of executing the strategies of ownership, loyal employees who won’t leave the business if the family sells, strong financials, and a business that isn’t dependent on one or a tiny handful of people to make all the decisions. Unfortunately, even large family businesses usually depend on one or a handful of family members to make virtually every decision in the business. If someone buys such a business, he is really buying a job that takes 60 to 80 hours a week, creates a great deal of stress, and offers no escape hatch when things get hairy. Building-Products.com
Most family businesses don’t have anything to sell because they don’t have genuine businesses. They have jobs (and pretty thankless ones at that). Will the family business succession tidal wave materialize one day? Given our steadily advancing ages, it must. Are most family and closely held businesses prepared for the ownership and
management succession that must one day challenge them? – Wayne Rivers is the president of The Family Business Institute Inc., Raleigh, N.C. Reach him at wayne.rivers@familybusinessinstitute.com or (877) 326-2493. Reprinted with permission of Key Resources LLC. No portion of this article may be reproduced without its permission.
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KAHLE On Sales By Dave Kahle
Creating new customers 8 ways to identify new suspects E process begins with identifying a group of suspects. Suspects are people and companies you suspect may one day do business with you. They aren’t yet prospects, because you don’t know if they have a legitimate need for what you sell or if they can make the decision to buy it. That determination comes later. But in order to get a group of prospects, you must start with a list of suspects. Here are eight ways to acquire such a list: VERY SALES
. Buy a list. This is the information age, and lists are available for almost every conceivable set of characteristics. For example, I could, this afternoon, contact a list broker, ask for a list of names, addresses, phone numbers, size of business in numbers of employees, and email addresses for manufacturers (or any one of a couple of hundred classifications) within a set of telephone area codes. I could have that downloaded to my computer by the end of the day. Information selling is now a major industry in this country, and there are lots of providers. Just do a Google search on “list brokers” and find a couple with which to work. . et re errals rom your customers. Probably the best way to meet a prospect for the first
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time is to be introduced by someone you both know and respect. Before that can happen, you need to get the name and details for the person you want to meet. That means you must ask your current customers for referrals. The best way to do this is to visit your customers face to face, have a conversation about your products/services and their satisfaction with them, and then ask them specific questions to generate lists of names. For example, instead of asking, “Who do you know…,” say, “Which is one of your vendors that could use our service?” Or “Which one or two people in your committee
Building-Products.com
would be possible candidates?” By asking specific questions instead of general ones, you’ll direct their thinking in more productive routes and acquire more referrals.
. Rub shoulders with grou s o them. If you have precisely defined your target markets, then spend time thinking and researching this question, “Where do groups of them go?” The answers can vary from trade fairs and association meetings to other suppliers. The most unusual answer to this was from a client who sold reference books to lawyers. He discovered that many of them would frequent a local pub on Fridays. He then made it a practice to show up and rub shoulders them, meeting them in a social situation. If you can identify where prospects go, then you can get a list of them from someone who organizes or administers that event or meeting place. Or, you can just show up and collect business cards.
thing that is suitable for them.
. Hold seminars or larger grou s o them. By holding a free or inexpensive seminar, you engage with people interested in your subject who are willing to invest time and money. This has the added benefit that you position yourself as a valuable source of information.
. se social media to unearth them. LinkedIn, Facebook, and a slew of
similar sites offer opportunities to join segmented groups and to identify members who meet your criteria. Remember that a suspect list is never finished. You are constantly assembling that list. But do a good job at identifying suspects and everything else becomes that much easier. – Dave Kahle is a sales trainer, presenter, and a free weekly ezine and author of 10 books, including his latest How to Sell Anything to Anyone Anytime. Reach him at dave@davekahle.com.
. Ad ertise in ublications and websites they iew. There is a reason why advertising has been around for so long. One way to collect lists of suspects is to advertise in the publications or websites they view, offer something free or inexpensive, and collect the names and details. Those who respond to ads move themselves a step closer to being prospects in that they, by responding, show they’re interested in what you offer and are willing to take action.
. Partner with someone else who sells something com atible to them. The key here is “compatible.” Again, if you have done a thorough job of describing what the ideal suspect looks like, you can then ask, “What else do they buy?” Or “Who else do they do business with?” That should lead you to others who may have a vested interest in sharing their lists with you, in exchange for something of value from you.
. Take a sur ey or send a newsletter to a larger list. If you want to find “sales managers of medium-sized LBM dealers,” for example, you could take a survey of all LBM dealers or send them a newsletter, with an opportunity for the sales managers to respond to someBuilding-Products.com
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2013 20 13
TR TRADERS RA AD ADERS MARKET
CRO CROSSROADS SSROADS OF L LUMBER UMBER SUPPLY DISTRIBUTION SUPPL LY & DIS TRIBUTION October 2013 October 23-25, 20 13 Mirage Mirage Resort Resort & Casino Las Vegas, Vegas, NV
WEATHERLY’S INC., Eugene, Or., celebrated its 50th anniversary with a June 30 open house attended by 300+ customers, vendors and industry friends. Pictured are (l-r) v.p. Kurt Strahm and owner/president Len Bolton announcing contest winners. Miller Lumber, Bend, Or., won a full load of building materials, while CS Forest Products, Klamath Falls, Or., and Lapine Building Supply, Lapine, Or., won half-loads.
Builders Supply Opens in O.C.
Beach Builders Supply has been launched by Emery Sivak, Mac Millworks, Capistrano Beach, Ca., in a temporary location in Capistrano Beach. The company will move to a new 7,000-sq. ft. building in San Juan Capistrano, Ca., this month. “Our primary focus is doors, windows, hardware and mouldings to start, but with plenty of space there will definitely be room to expand in the near future,” Sivak said.
Worker Killed at Oregon Mill
A 27-year-old employee was killed in a forklift accident at Fontana Wood Products, Prineville, Or. Investigators said Joshua Ketchem was working alone July 24 under a large, metal press that was supported by a forklift. The 1,500-lb. press fell, pinning him to the ground.
Wood Resources Sells Plywood Mills
Wood Resources LLC, Shelton, Wa., agreed to sell its Southeast operations to Boise Cascade, Boise, Id. Expected to close in the third quarter, the deal includes softwood plywood producer Chester Wood Products, Chester, S.C., and specialty hardwood/softwood plywood maker Moncure Plywood, Moncure, N.C. Wood Resources, which acquired Chester and Moncure from Weyerhaeuser in 2004, will continue to operate Olympic Panel Products, Shelton, and the newly restarted Omak Wood Products, Omak, Wa., which produces softwood veneer for Northwest markets, as well as Douglas fir plywood for specialty and commodity applications.
Thief Shoots Home Depot Guard
One security guard was shot and a second pistolwhipped July 28 as they tried to stop a thief at Home Depot, Hayward, Ca. The officers saw the suspect attempting to make off with a cart full of tools outside the store’s garden center. They tried to apprehend him, but he resisted. During the struggle, he pulled out a gun, shooting one guard in the arm and striking the other in the head with his pistol, before fleeing.
Lumber Huckster Gets Probation
REGISTER REGIS TER T TODAY ODAY www.nawlatradersmarket.com w ww.nawlatradersmarket.com 34
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August 2013
A 66-year-old accountant was sentenced to five years probation and ordered to pay $201,305 in restitution for bilking RBM Lumber, Columbia Heights, Mt. (see May, p. 29). In 2008, Jesse Wall convinced RBM to invest $350,000 with him. He later admitted pouring the funds into his own “struggling” business. In 2011, he repaid RBM $190,000. Building-Products.com
NEW Products
Durable Railing Kits Simpson Strong-Tie’s Anchor Designer software has an interactive 3D interface with intuitive navigation and real-time design. The software can analyze an existing design or suggest anchorage solutions based upon user-defined design elements in cracked and uncracked concrete. It is free of charge and available in English, German, French, and Danish.
STRONGTIE.COM (800) 999-5099
Picketing Cable Feeney has introduced pre-drilled intermediate pickets to provide greater spans between wood posts on CableRail railings. Intermediate pickets are required when posts are more than 3 ft. apart, to maintain cable spacing and minimize deflection. Both the stair and level pickets are pre-drilled to support cables and can be trimmed onsite to fit railings up to 42” high.
FEENEYINC.COM (800) 888-2418
Steel Balusters
Extra Layer of Insulation
Railing Dynamics’ Metal Works balusters are now available in eight galvanized powder-coated steel styles, in 2’ lengths in two colors. Boxed and sold in sets of five or 10, the balusters come in a range of styles that are compatible with Endurance and other vinyl systems and railings.
High-density polyisocyanurate cover boards from GAF can be used as a protective layer over boardstock insulation or to re-cover an existing roof system. EnergyGuard HD is a 1/2” thick high-density cover board with an R-value of 2.5. HD Plus measures 4’x8’ and weighs just 13 lbs.
RDIRAIL.COM
GAF.COM
(877) 420-7245
(877) 423-7663
Building-Products.com
August 2013
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Elegant White Mouldng
Repair Putty
Finished Elegance white interior moulding and trim from Woodgrain Millwork requires no painting, due to a smooth, antifade finish. The products and caulk are color-matched to Behr Ultra Pure White semi-gloss. They are resistant to moisture, scratching, marring, and denting.
WOODGRAINMILLWORK.COM (866) 915-9940
Go2 repair adhesive putty from Loctite can fill, reconstruct, and bond nearly any kind of material, even granite and brick. While all-purpose adhesives are great for most bonding needs, some projects require threedimensional repairs. The easy-toknead putty dries white, is water and temperature resistant, and can be sanded or painted.
DriTac Premium Green woodflooring adhesive contains no VOCs, solvents or isocyanates. The easy-to-clean formula is designed for installation of solid wood and multi-ply engineered planks, bamboo, exotic woods, plywood and parquet. It can also be used as a sound and moisture control adhesive, to meet building code requirements for multi-unit housing.
LOCTITEPRODUCTS.COM
DRITAC.COM
(800) 624-7767
Wholesale Industrial Lumber
REEL
LUMBER SERVICE
1321 N. Kraemer Blvd. (Box 879), Anaheim, Ca. 92806 Fax 714-630-3190 (714) 632-1988 • (800) 675-REEL 3518 Chicago Ave., Riverside, Ca. 92507
(951) 781-0564
www.reellumber.com 36
Green Flooring Adhesive
The Merchant Magazine
August 2013
(800) 394-9310
A
t Reel Lumber Service, we supply domestic and foreign hardwoods. Our products and services include: • Hardwood Lumber & Pine • Hardwood Plywood & Veneers • Melamine Plywood • Hardwood Moulding (alder, cherry, mahogany, MDF, maple, red oak, paint grade, pecan hickory, white oak, walnut, beech) • Milling (moulding profiles, S2S, SLR1E, SLR2E, & resawn lumber) • Woodworking Accessories (appliques, ornaments, butcher blocks, corbels, etc.) • Woodworking Supplies (deft finishes, color putty, adhesives, etc.)
O
ur products are widely used in interior finish carpentry, furniture, cabinetry and hundreds of industrial and manufacturing applications. We stock a complete line of complementary products to complete virtually any woodworking or millwork project.
Building-Products.com
Updated Modeling Software
LSL with Protection
Cadsoft’s updated Envisioneer 9 building information modeling software includes productivity enhancements, improved functionality, and new presentation tools. Key features are 3D RealView rendering, an improved PDF PlanTrak feature, and improved material list reporting.
LP Building Products has added protection against termite damage and fungal decay to SolidGuard LSL. Available in longer lengths than traditional lumber, the product is treated with zinc borate and does not need field treatment of cut ends. It can be used in above-ground protected applications such as sill plates, columns, rim boards, and studs.
CADSOFT.COM
LPCORP.COM
(888) 223-7638
(888) 820-0325
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“WE TREAT WOOD RIGHT”… Quality Wood Treating Services Since 1977 3400 Patterson Rd., Riverbank, CA 95367 • Fax: 209-869-4585
Larry Wade: (209) 996-2338 • larry@thunderboltwt.com Miguel Gutierrez: (209) 747-7773 • miguel@thunderboltwt.com
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August 2013
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WHAT YOU WANT. WHEN YOU NEED IT. Timbers Green & K.D. Export
Dimension Lumber Treated Products Domestic
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
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
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Perfect Patio Door The Harmony Perfect patio door from Skyreach L&S Extrusions has a welded sash and fully welded or mechanically joined frame system. Both single and double slider configurations are available, in a number of heights and widths, in extruded colors of white, beige or clay.
SKYREACHLS.COM (866) 903-8800
Moisture-Fighting Particleboard Collins Pine Particleboard MR50 and Collins Pine FreeForm MR50 provide moisture resistance for interior use, with no added formaldehyde. Both contain 100% post-industrial wood fiber, have excellent machinability, and are manufactured to reduce carbon emissions and eliminate human exposure to hazardous chemicals.
COLLINSWOOD.COM (800) 329-1219 Building-Products.com
Water- ased Wood Stains
New water-based wood stains from PureColor are low-VOC and free of hazardous air pollutants. Offered in nine shades, the Enchantment line can be applied to all wood surfaces and species.
PURECOLORINC.COM 505 438-4200
Humidity
onitor
DewStop from GTR Technologies monitors a room’s humidity levels to automatically switch on exhaust fans to remove condensation and prevent mold. The device turns fans on when steam in a room becomes too heavy for the air to support and moisture begins to accumulate. The fan remains on for 30 minutes, until the room is dry, or until it is manually switched off.
DEWSTOP.COM 360 876-2974
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P.O. Box 1802, Medford, OR 97501 • Fax 541-535-3288
(541) 535-3465 • www.normandist.com Building-Products.com
August 2013
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INLAND LUMBER PRODUCERS Photos by The Merchant
INLAN LU ER PR UCERS ssociation staged its 30th annual golf tournament July 1 1 at Coeur d’ lene Resort, Coeur d’ lene, d. manda urfee, Tony Pieper, Tiffany Morrett, Ryan Powell, John Branstetter, Mick Vaagen. Jason Ransom. ki Saito, Steve Plummer. owie alcomb, Jared
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enney. rene Larry olguin. Randy Wiles, Mark Mitchell. Scott Jean Knutson, Steve nn Sprenger. pril Ron Liebelt, an Mandeville. erek ryden, Jack Sue abelhausen, Randy Maxwell, Bill ocerino, Jess nzo. an Muldoon. ave Sally Schott. Kurt Batey, ick Sue
August 2013
Larrinagga, Kirk Plagge. Rick Tasler, Crystal Patton. Matt Kelly, ave utson. Pryce Campbell, Kay Kevin Lang. Keith Laugen, llia Chris Schofer. Sam Robinson, Matt Robinson. ( ore p otos on ne t two pa es) Building-Products.com
INLAND LUMBER PRODUCERS Photos by The Merchant
INLAN L ( ontinued) l elbridge, arris rant. Ryan Kelsay Kline. Ted Roberts, avid Jaffee. Chris Tritschler, Steve Bacon. Paul odge, Erol eren, Charles Wright, Ken Koenig, Jon Woods. ave Penny, Jim Vandegrift, ennis Buttice. Cary oladay, Boyd Bower. Jake Kimball, Trace Sutter. arth Williams,
C
Will Preston. Susie Jeff Webber. Terry Johnson, Vicki Bob Jahns. Peter oe Bradley. Lauren Cuvalia, Chad Bursland. eb llen Knleper. ana Jim Maloney. Mike Sandra Theberge. Paul Owen. Linda Barry Schneider. Paul Shanna Caba. ( ore p otos on ne t pa e)
L MB R COMP 1 1/2” to 12” Diameter in Stock.
SPECIAL QUOTES
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August 2013
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INLAND LUMBER PRODUCERS Photos by The Merchant
INLAN PR UCERS ( ontinued from pre ious pa es) play golf in daho an Sharon iltz, Rhonda John Berglund. erry all, Ed Langley. Todd my Pollard. Joe Jill ngelo, Chris Casey Whallon. Mark awn Rau, lan
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Jennifer McCollim. my Montague, Bob Lackey, Russ Linda obbs. Kim Smith, Susie John Malloy. Shawn Condell, Christian orman, Barb art, oug epperlen, ave McKinney. Ron Brady, Carol Roger ughes. Tom Lund, Rick Colleen
August 2013
Palmiter, Tom ackman, Vicki Ted Roberts. Monya Virgil. John rove, Lisa Melling. Sharron Muldoon, nn Sutter, Kirsten Stobie, nita enne. Brad Schneider, Karin Bates. usty Penny ammack. Building-Products.com
ASSOCIATION Update West Coast Lumber & Building Material Association has scheduled its annual convention for Oct. 17-18 at the U.S. Grant Hotel, San Diego, Ca. Presentations include an industry forecast by economist Alan Beaulieu, consultant Mark LaLiberte on the rise of the “Zero Energy Home” concept in building plans, and California Board of Equalization commissioner George Runner on taxpayer advocacy, the Lumber Products Assessment, and his insider view of the state’s tax system. Los Angeles Hardwood Lumberman’s Club hosts its 14th annual Alan Bohnhoff Memorial Golf Tournament Sept. 19 at Costa Mesa Golf & Country Club, Costa Mesa, Ca. Proceeds will benefit the educational efforts of the Hardwood Forest Foundation.
eling—A Consumer & Contractor Perspective;” John Burns, Burns Real Estate Consulting, U.S. housing analysis & forecast, and NLBMDA chief Mike O’Brien, Washington update.
Other highlights will be a yard tour of Stewart Lumber, Brentwood, Tn.; dealer panel discussion on component operations; tour of the Country Music Hall of Fame & Museum; board and committee meetings; installation of officers, as well as networking breakfasts, lunches, receptions and parties.
L S AN ELES ardwood Lumberman’s Club held its annual election meeting dinner June 13 in Orange, Ca. L-r Steve Ondich, Bill Fitzgerald, an Bohannon, Charlie Fiala, lan rbiso, Charley James, John Banks, Matt Barrass, Kevin Trussell, Tom Escherich, Kevin Tranter, Todd nderson, Mark Michie, athan Osborne, ale Bohannon.
North American Wholesale Lumber Association presents its fall wood basics course Sept. 16-19 at Oregon State University, Corvallis, Or. NAWLA’s annual Traders Market follows Oct. 23-25 at the Mirage in Las Vegas, Nv. National Lumber & Building Material Dealers Association’s annual ProDealer Conference gets underway Oct. 23-25 at the Sheraton Nashville Downtown, Nashville, Tn. Presenters include Greg Brooks, Building Supply Channel, on “Understanding Labor Shortages in the LBM Industry;” Jim Robisch Sr., Farnsworth Group, “Where Pros and D-IYers are Buying Building Supplies & Home Improvement Products… and Why;” Brad Farnsworth, Farnsworth Group, “Emerging Trends in RemodTREATERS
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August 2013
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IN Memoriam Frank W. Denny, 79, former president of Builders Square, San Antonio, Tx., died July 2 in Escondido, Ca. After graduating from Rutgers University, he moved to Southern California in 1958 and helped launched Angels Home Improvement Centers, as executive v.p. and general manager. He stayed on when the three Angels stores were bought in 1968 by Daylin and renamed after sister store Handy Dan when they went public in 1972. Denny was president of Handy Dan when it was purchased by W.R. Grace & Co. in 1979. As president, Denny oversaw expansion of Grace Home Centers to 300 locations. He left Grace in 1983 to launch Home Centers of America, San Antonio, which he grew to nine locations within a year and sold to Kmart, which renamed the chain Builders Square. He expanded it to 162 locations by the time it was sold to a leveraged buyout company in 1997. Denny then founded the Cibolo Group, a San Antonio-based consulting and store development firm. He also served as an officer of the Home Center Institute, a charter member of the National Home Center Congress & Exposition, and a founder of the Do It Yourself Research Institute, Indianapolis, In. Bruce K. Hamilton, 87, retired Bay Area lumber salesman, died July
UITAR EC in ixon Springs, l.—designed and built by homeowners Rick Street and Stephanie Brown—was remodeled with MoistureShield composite decking donated by dvanced Environmental Recycling Technologies, Springdale, r.
11 in San Bruno, Ca. A graduate of Western Michigan University, he served in the U.S. Army during World War II in Italy with the 10th Mountain Division. He worked for Champion International and Higgins Lumber. Dorothy Irene Reed, 91, former co-owner of Reed’s Fuel Co., Springfield, Or., died July 2 in Springfield.
. Private box, 15. Column inch rate 55 if art furnished cameraready advertiser sets the type , 5 if we set type. Send ad to Fax - 52-0231 or dkoenig building-products.com. For more info, call 52-1 0. Make checks payable to Cutler Publishing, 500 Campus r., Ste. 0, ewport Beach, Ca. 2 0. eadline 1 th of previous month.
CLASSIFIED Marketplace Rates 1.20 per word 25 word minimum . Phone number counts as 1 word, address as . Centered copy or headline, per line. Border,
H LP W
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H LP W
INSIDE SALES REPRESENTATIVE – Taiga Building Products (Rocklin, Ca.) Full-time, reporting to Branch Manager. Focus is to maximize sales in Northern California. Must possess college degree or experience, proven ability to exceed sales target, professional written, verbal and appearance. Travel overnight within territory required. Successful candidate should generate new business in territory, process paperwork, orders, deliver superior customer service, plan and implement promotional programs, attend meetings and trade shows. Email cover letter, resume and salary expectation to: hr@taigabuilding.com by August 21, 2013.
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WEST COAST Industrial Lumber is currently seeking two experienced lumber broker/salespeople for domestic sales. The candidate will become part of a team with responsibility for purchasing and sales. Would like qualifications to include: Existing network of business relationships and following among customers and/or sawmills. Please send resume in confidence to lana@wcilumber.com. Please reference “MERCHANT AD” in the subject line.
Building-Products.
August 2013
The company hauled lumber, plywood and particleboard from local mills, sold sawdust and hog fuel from mills for household heating, and hauled shavings and chips from sawmills to particleboard and containerboard plants. She was an integral part of the business, especially when her husband, Alvin Reed, was drafted to serve in World War II. The business was sold in 2009.
com
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DATE Book istin s are often su mitted mont s in ad an e Alwa s erif dates and lo ations wit sponsor efore ma in plans to attend t Annual ld Time Lumbermen’s Au . hosted by Redwood Empire, ealdsburg, Ca. tturner resawmill.com.
Tacoma lympia Hoo Hoo Club Sept. nn, Tacoma, Wa. 253 531-1 3 .
meeting, La uinta
Ace Hard are Corp. Sept. fall market, Orlando, Fl. 0- 2 www.acehardware.com.
30
, trap shoot, Eugene
ensen istribution Ser ices Sept. fall market, Spokane Convention Center, Spokane, Wa. 00 23 -1321 www. ensenonline.com.
r ill Au . , fall dealer market, Boston Convention Exhibition Center, Boston, Ma. www.orgill.com.
Nort American W olesale Lumber Association Sept. , wood basics course, Oregon State niversity, Corvallis, Or. 00 52 - 25 www.nawla.org.
Willamette Valley Hoo Hoo Club Au . un Club, Eugene, Or. 5 1 3 3-330 .
ountain States Lumber uildin aterial ealers Associa tion Au . Western Slope golf tournament, Rifle Creek olf Course, Rifle, Co. 00 3 5-0 1 www.mslbmda.org. National Association of Women in Construction Au . annual convention, yatt Regency, Bellevue, Wa. 00 552350 www.nawic.org. Western Red Cedar Lumber Assn. Sept. Cedar Summit, Whistler Conference Center, Whistler, B.C. 22- 3 www.wrcla.org. C Wood Sept. lobal Buyers Mission, Whistler Conference Center, Whistler, B.C. 22- 3 www.bcwood.com. San ie o Home S o San iego, Ca.
Sept. 33-3
San iego Convention Center, www.acshomeshow.com.
Hoo Hoo International Sept. annual convention, earborn nn, earborn, Mi. www.hoohoo.org. Los An eles Hard ood Lumberman’s Club Sept. meeting, Roscoe’s Restaurant, Fullerton, Ca. 2 5- 55 lahlc.net.
orest Economic Ad isors Sept. , annual forest products forum, World Forestry Center, Portland, Or. www.getfea.com. Sustainable orestry Initiati e Sept. , annual conference, San ntonio, Tx. 202 5 -3 5 www.sfiprogram.org. World orestry Center Sept. , Who Will Own the Forest conference, Portland, Or. wwotf.worldforestry.org. Pacific Nort est Association of Rail S ippers Sept. conference, oubletree irport, Seattle, Wa. 503 5 - 2 2 www.railshippers.com. True Value Co. Chicago, l.
Sept. fall market, McCormick Place West, 3 5-5000 www.truevaluecompany.com.
Construction Specifications Institute vention show, ashville, Tn. 00
Sept. annual con-2 00 www.csinet.org.
orest Products Society Sept. testing evaluation wood symposium, Forest Products Laboratory, Madison, Wi. 0 231-13 1 www.forestprod.org.
Hori on istribution Sept. market, akima Convention Center, akima, Wa. 00 5 1- 1 horizondistribution.com.
Sout ern California Hoo Hoo Club Sept. imas olf Course, San imas, Ca. www.hoohoo11 .org.
Nort ern Uta Home S o Layton, t. 33-3
Principia Composite ec in Railin Conference , Baltimore, Md. www.deckrailconference.com.
Building-Products.com
Sept. avis Convention Center, www.acshomeshow.com.
August 2013
meeting, San 0 32 -0 2
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Sept.
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ADVERTISERS Index
IDEA File
For more information on advertisers, call them directly or visit their websites [in brackets].
Going Green and Traditional
What do you get when you combine traditional hardware, a host of green products, and owners dedicated to sustainable living? The answer is Gecko Hardware, a True Value store in Dallas, Tx., where customers can find both power tools and organic chicken feed—and also attend a free class on how to build the chickens a suitable home. “I’m not going to send someone to Home Depot or Lowe’s for power tools just because we can’t find anything green,” says Andrea Ridout, who co-owns the store with partners Jennifer Stuart and Zach Montgomery. “We want to change the face of the hardware store.” Ridout says that she and her partners had long discussed opening a green-products store, but had been discouraged by how many did not thrive—then eventually closed. “I think they were too green,” she says. “If they couldn’t find a natural product, they didn’t sell it. That meant customers had to travel to several stores for household needs.” In contrast, Gecko offers not only power saws and electric drills, but also nesting boxes for backyard hens, composting supplies, hydroponic gardening equipment and native plants, plus animal feed and supplies. Gift items made by local artisans are also on display. The partners unveiled their grand scheme in April, on Earth Day, and held a grandopening celebration a month later. As the store’s new website proclaims, consumers who want to embrace a more eco-friendly lifestyle will find all they need in one place. But they’ll also find what they need for all kinds of home repair, renovation and remodeling projects. Gecko also hosts product demonstrations and do-ityourself workshops. One of the many popular classes is how to cook healthy meals on Circle J Fire Pit grills— which the store sells—with lots of tasty free samples for attendees and shoppers. Another favorite is when a local artisan demonstrates how to sew custom dog toys from reclaimed fabrics. Since the store sells many breeds of chicks for backyard enthusiasts, a class on how to build a proper coop seemed natural. Last month, store employee Keith Lowery taught a free class on how to build chicken coops and equipment that makes it easier to handle feeding and care, such as gravity feeders, cleaning trays, and stay-clean watering systems. “We all own chickens. We just love chickens,” says Ridout of herself and her colleagues, who also facilitate chicken adoptions by putting the birds on view in the store. Two handsome roosters, Felix and Oscar, who grew up together and were hoping that someone nice would adopt both of them, were recently on display— both in the store and on its Facebook page. 46
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Ad anta e Trim Arc Lon a
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