Conv&carwash july/aug issue

JULY | AUGUST 2014

FIFTY YEARS OF FIBREGLASS Since 1964 Fibreglass Underground Storage tanks have been the gold standard in safety and reliability The importance of DEF Morning day part shines with foodservice sales Fraser Station Shell offers more with unique full service Strategies for better Layouts and Plan-o-Grams Social Media creates sales in Manitoba Kevin Collette talks carwash

PM41670539

Customer Service solutions

P.D. McLaren Limited has been pumping performance for 90 years.

WHY BUY BIGS? 2 July | August 2014

TO ORDER, contact National DSD info@nationaldsd.com 1-877-577-5220

BIGGER SEEDS from the outermost part of the sunflower BETTER FLAVOUR, compliments of your favourite brands BEST QUALITY when it comes to seeds, bags and service

PUBLISHER Brenda Jane Johnstone bjjohnstone@convenienceandcarwash.com

EDITOR Kelly Gray editor@convenienceandcarwash.com

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What is DEF and why is it important?

SALES Cody Johnstone 416-838-4674 codyj@convenienceandcarwash.com Brenda Johnstone 204-489-5215 bjjohnstone@convenienceandcarwash.com DESIGN AND PRODUCTION Doug Coates, Edge Advertising Keith House, Ad Production EDITORIAL ADVISORY BOARD Ian Burton, PD McLaren Scott Findlay, Core-Mark Int’l Kim Hansen, MI Petro David Hoy, Peninsula Co-Op Andrew Klukas, WCSA Dave Watson, The Chamois & Convenience Store Ltd. CONTRIBUTING WRITERS Pete Catoe Kelly Gray Lisa Gurusinghe Julien Holdenreid Mike Perry Tim Rafter Lee Wilson CIRCULATION James Gordon subscriptions@convenienceandcarwash.com

WEBSITE www.convenienceandcarwash.com PUBLICATION MAIL AGREEMENT No: 41670539 Return Undeliverable Canadian addresses to: Circulation Department 543 Borebank Street Winnipeg, MB R3N 1E8

Contents FEATURES 05 WCSA battles on several fronts with an eye to strengthening its value to Canada’s communities 07 Fifty Years of Fibreglass Since 1964 Fibreglass Underground Storage Tanks have been changing the landscape with safe, reliable installations 15 Diesel Exhaust Fluid – What is it and why is DEF important 19 Morning Foodservice puts sunshine on sales 23 P.D. McLaren Limited has been pumping performance for 90 years.

59 Washtalk Fraser Station Shell ups the ante with a unique full service offering 61 Q&A Marketing guru Mike Perry discusses the carwash industry with Sonny’s VP Kevin Collette 64 Vauxhaul ESSO finds software solutions with Scan Group 67 Service Does your C-store offer what customers want and need?

72 Social Media – We look at Steinbach, Manitoba’s TimberFalls Store and AutoSpa 76 What’s New

CONVENIENCE & CARWASH CANADA

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Publisher’s Message Welcome to our summer edition This issue we bring you a special supplement in celebration of the 90 year anniversary of one of Canada’s oldest family owned and operated companies, P.D. McLaren Limited. Take a journey through the ages of petroleum, back when the gas powered automobile was being introduced to North America and see how great business is built.

This issue also offers another celebration, the 50 year anniversary of the Fibreglass Underground Storage Tank and an update on DEF. How does your store measure up to today’s culture? Do you have what it takes to move forward, can your location sustain new offerings? Read how planograms and fresh store design can help catapult your store forward to capitalize on what your customers really want. Maybe your location should look at adding in secondary services such as laundry facilities or perhaps you might look at adding postal services.

As you read this issue keep an open mind. Perhaps you might like to create a survey for your customers using Social Media and ask your customers what they want. Develop your business to be an extension of you, brand yourself, your store and your carwash. Social Media is an inexpensive way of talking to your customers. Engage your customers, engage your employees.

Only by asking questions will you gather the information that you need to move forward and continue to grow your business.

Convenience & Carwash Canada magazine strives every issue to provide you, our reader with the tools and the inspiration to try something new, be bold, ask questions and listen to what your customers are saying, you might be surprised to hear what they have to tell you. Take time to call our advertisers, they are the reason I am able publish this magazine, without their continued support we couldn’t exist.

As always, your success is my business. My open door policy to your valuable feedback remains and my commitment to your success is stronger than ever. If you have topics that you feel are worth talking about please send me an email or call me directly.

Upcoming Events August 28, 2014 NACDA Quebec Children’s Charity Golf Classic Hillsdale Golf & Country Club Mirabel, QC www.nacda.ca October 7 – 10, 2014 NACS Show Las Vegas Convention Centre Las Vegas, NV www.nacsonline.com/nacsshow October 7 – 10, 2014 PEI Convention at the NACS Show Las Vegas Convention Centre Las Vegas, NV pei.org October 20 – 22, 2014 WCSA SoI and “The Perfect Store“ Commonwealth Centre Calgary, AB For more information call: Andrew Klukas 778-987-4440 Andrew_klukas@shaw.ca or Brenda Jane Johnstone 204-489-4215 bjjohnstone@convenienceandcarwash.com October 28 – 30, 2014 The Western Car Wash Show Rio All-Suites Hotel, Las Vegas, NV Lynn Ronsee for exhibitor information lynnr@wcwa.org convention.wcwa.org/

Brenda Jane Johnstone Publisher

Convenience & Carwash would like to introduce you to our new advertisers.

Naturo Group Investments Inc. 18 National Environmental Fibreglass, LLC 11

4 July | August 2014

Community Minded

THERE IS A LOT GOING ON IN THE WEST, SAYS WESTERN CONVENIENCE STORES ASSOCIATION (WCSA) PRESIDENT ANDREW KLUKAS. HE REPORTS THAT THE GROUP IS ACTIVE ON A NUMBER OF BRIEFS AS IT BATTLES COMPETITIVE FORCES IN THE MARKET AND SEEKS TO OBTAIN CLARITY ON THE REGULATORY FRONT.

CONVENIENCE & CARWASH CANADA

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HEALTHY LIVING For example, he points out that the WCSA will be meeting with the Richmond, BC Health Authority to discuss the Healthy Living initiative where the Association is partnering to help operators provide more healthful fare at locations and attracting new customers. “We formerly met with Saskatchewan to consult on safety issues to help them better understand the challenges with-in the industry and how their initially proposed regulations would impact operators. We were able to demonstrate best practices and show that barriers were in not in the interest of operators or customers.”

OPERATOR TRAINING When it comes to safety the WCSA is leading the way in the West with a new program to assist operators with training. The new eight module on-line course is just coming out of the box this summer and, according to Klukas, it will reinforce established learning and take new staff to levels of fresh understanding with real in-store scenarios such as lighting, security, shelving heights and sight lines. “Our goal is to raise the level of safety across the board and make it easier for operators to meet government standards,” he says.

CONTRABAND & COUNTERFEIT The WCSA is also working to discover the breadth and scope of contraband and counterfeit tobacco products that are negatively impacting C-stores across the country. “We are seeing an large number of unusual cigarettes such as Double Happiness brand from Hong Kong and others like US brands that are not licensed for sale here in Canada. We have just finished a base line study of 50 sites to determine the extent of the problem,” he says.

What they found is alarming: in BC, the average rate of illegal tobacco at tested sites was over 17%, with a high of over 50% at one site. “We are now trying to determine how much of that is coming from central Canada and how much is coming from international sources,” says Klukas.

SELLING LEGAL PRODUCTS According to Klukas the Association is concerned by moves and regulations that disallow C-stores from selling legal products into the communities they serve. He notes that quite often the C-store operator and staff is far more attuned to customers than a larger retailer like a big box grocery store. It is here that C-stores are perfectly placed to be the ones to sell age-restricted products. Consider that

6 July | August 2014

the underage youth that comes in to buy a pack of cigarettes and is stopped is also the child of the customer that comes in to buy a morning coffee or a tank of gas. “Operators work in the community and know many of their customers on a personal level.

Are these not the best people to be selling products like tobacco and even beer and wine? When you buy age restricted products at a store that deals in volume sales where is the personal connection so necessary to make these sales as responsible as possible.”

Nonetheless, the province of BC recently announced its openness to allowing beer sales in grocery stores and farmers markets but not in convenience stores. The Alberta model allows the government to continue to regulate and distribute liquor products with private industry taking up the slack with retail locations. This all spans from a move by the Ralph Klein government back in the ‘90s to deregulate. What transpired was a business model where the government made more revenue, business made more money, and workers found more jobs. Consumers have benefited as well. Just check out the prices for a premium scotch or look for a bottle of Italian Brunello – Alberta has the best prices and largest selections in Canada. In the Alberta model deregulation has been a boon to all parties. Unfortunately, Alberta did not allow liquor sales in convenience stores either.

This leaves Klukas wondering why. “It has nothing to do with pricing or product selection or public safety,” he says, noting that C-stores have already been found to have the country’s best track record for refusing service to underage customers.

Interestingly some reports such as one by Statopex Field Marketing have Ontario Liquor Stores and The Beer Store letting 20 and 25 per cent of underage customers leave with liquor products.

The same study showed C-store retailers carded patrons 87.3 per cent of the time making them the hands down winners as gatekeepers for restricted goods. In BC, Health Canada found age testing compliance rates of 93.4% in 2009, and the industry was still improving. “Again I ask you who appears better to do this job? Unfortunately, misperceptions about the industry persist, and we need to address them.”

What’s behind the WCSA’s efforts. According to Klukas the mission is to help the industry raise standards across the board through training and then take this training and use it to support better customer service and better store operators. “As more and more people and governments come to see us at our best and for what we are, they will understand that our operators have earned their place in the communities they serve and should not face the kind of discrimination we have seen.”

FOR FIVE DECADES FIBREGLASS UNDERGROUND STORAGE TANKS HAVE BEEN THE GOLD STANDARD FOR SAFETY AND RELIABILITY.

CONVENIENCE & CARWASH CANADA

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8 July | August 2014

The petroleum industry faced a challenge in the early part of the 1960’s. Gas retailers were finding their metal storage tanks were corroding and with the corrosion came spills and lost inventory. Something had to be done.

Owens Corning came to the rescue with the first models of fibreglass reinforced plastic underground storage tanks (USTs), new storage systems that defied corrosive elements in fuel products. The first attempt was Model A, a non-ribbed tank that had tapered ends for easy storage. Owens Corning discovered this model did not hold up well to the pressures from being buried and it developed buckling dimples. The second attempt was Model B, a ribbed tank that could stand up to the pressures of backfill.

Finally, in 1963 the company added footings to the ribs to enhance strength and design was largely complete The tanks showed themselves to be highly effective, but Owens Corning had to prove this to US state and city officials

that had building codes in place. The industry enlisted the help of testing organizations such as Underwriters Laboratories (UL) and Factory Mutual (FM). These groups soon found that flat end caps would not work, and hemispherical end caps were used instead. Other requirements also saw needs for surface loads, uneven support, dropping and external pressure resistance. Owens Corning Model C was the first fibreglass tank with UL and Factory Mutual approval. Remarkably, the majority of these specifications have remained unchanged, an indication of the efficacy of the early work by engineers.

Once the tanks were standardized, petroleum companies began experimentation to determine how these fibreglass storage systems would best work at their retail sites.

“Exxon and Shell had R&D capabilities to move UST forward,” says Sully Curran, Executive Director Fiberglass Tank and Pipe Institute. “By 1972 we saw that the new tanks worked well. Our question was how to properly install them,” he says commenting that they (Exxon) were still using metal tanks with cathodic protection, and were seeing would soon follow.”

According to Curran, a major stumbling block early on was the need to meet local and state building codesas well as National Fire Protection Association (NFPA) designations. By the 1960’s UL had given its blessing (UL 1316) on the Owens Corning initiatives and was working with oil companies and their designs by the 1970’s, at a time when the industry also achieved a NFPA 30 and 30A designation. Once building codes could be addressed oil companies could get under way with installation. They realized that pea gravel and properly sized crushed stone were the best backfill to work with the designs that were evolving into larger diameter tanks with rounded end caps.

Again it was Owens Corning that came forward with leading edge technology. The company patented its new, conicalhemispherical shaped end caps in 1979. Reports show that the new endcap worked to ensure backfill could easily flow beneath the curve of the cone. The company also changed the ribs to provide greater flexibility and lower in-service stress. Here, desired stiffness for stability was maintained by increasing the bending strength-to-stiffness ratio.

Today, the innovation continues with Containment Solutions, a company that was the result of a purchase of the Tank Division of Owens-Corning Fibreglass in 1995. According to David Heiman, Manager of Marketing with Containment Solutions, the purchase brought with it staff and technology. “We CONVENIENCE & CARWASH CANADA

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Diesel Exhaust Fluid (DEF) Storage Tanks

ZCL Composites Inc., North America’s leading supplier of Fibreglass Reinforced Plastic (FRP) storage solutions, has created an underground tank suitable for the safe storage of Diesel Exhaust Fluid.

Each tank is specifically designed and manufactured to be corrosion resistant and is backed by a 30-year limited warranty.

Why Store DEF Underground?

Temperature Control – no need for special equipment designed to prevent freezing or excessive temperatures, eliminating annual maintenance costs.

Facility Design – underground storage offers greater flexibility on site creating more retail space.

Compatibility – extensive materials testing has been completed which eliminates the need for special tank liners.

Flexibility – ZCL DEF tanks are ULC labeled providing an option for future fuel storage if required.

Peace of Mind – 30 year limited warranty.

CONTACT US TODAY

1.800.661.8265 www.zcl.com

FUEL TANKS | CAR WASH INTERCEPTORS | OIL/WATER SEPARATORS POTABLE WATER TANKS | SEWAGE TANKS | DEF TANKS

10 July | August 2014

continued a lot of the practices and we still use the original plants,” he says, commenting that their direction has been to push the fibreglass agenda into fresh markets. “We are involved in innovation not just for the storage of petroleum

products, but for water and applications like oil/water separators and grease interceptors as well.”

Heiman comments that they moved forward with larger and wider tanks. More, he suggests that the days of cookie cutter approaches to fluid containment is over. “There are not as many large chains these days and the industry is populated by independents that have custom individual needs. We have developed products to meet those custom needs. For example it is now more common to find fewer tanks but with internal bulkheads that allow one tank to handle all the different grades of fuel and fuel blends or even Diesel Exhaust Fluid (DEF). We have to be more flexible and responsive than before.”

Heiman reports that bigger tanks are the order of the day. Traditional 8’ diameter tanks are now 10’ diameter and 10,000-gallon capacities are traded for 30,000-gallon tanks split into 3 compartments. “In the petroleum industry, approximately 95 % of all major oil companies specify fibreglass tanks for their underground fuel storage installations,” he says, commenting that it was external corrosion that got the ball rolling on fibreglass development in the first place. “However, now we are seeing internal corrosion of steel tanks and metal components with the new green/bio fuels due to microbially influenced corrosion (MIC). Although our fibreglass tanks are not susceptible to MIC corrosion, we are addressing these concerns by offering stainless steel accessories with our tanks as alternatives to standard carbon steel components,” he says.

Heiman reports that Containment Solutions’ Research & Development department uses cutting edge technology to test their proprietary laminate matrices including accelerated exposure to fluids and blends of fluids not yet regulated or even available. However, in the final analysis he says it all

comes down to installation. “We require training prior to the installation of a tank and we can offer an approved contracting firm to make sure the job gets done right. Like any product, optimal performance is contingent on the proper installation on the frontend. We warranty the tank for 30 years; that kind of confidence can only stem from a long history of success and the knowledge that a correctly installed tank will last for decades with little to no maintenance.”

Another company that is at the leading edge of design and development of fibreglass UST is ZCL Xerxes. Established in 1987, ZCL Composites Inc. has grown to become North America’s leading designer, manufacturer and supplier of cost-effective fibreglass

9444 Cassia Road, Adelanto, CA 92301 | Phone: 760-246-0648 www.NEFProducts.com | Email: NEFProducts@aol.com

CONVENIENCE & CARWASH CANADA

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tank systems to the petroleum industry. Behind their growth is a product line that offers a fibreglass tank that simply will not corrode. This fact has made ZCL a preferred choice in many industrial and retail sectors.

Today ZCL offers Double Wall FRP ULC Underground Storage Tanks, ZCL PREZERVER System (Enhanced Warranty Program), Single Wall FRP ULC Underground Storage Tanks, and ULC listed DEF Tanks.

The company reports that their systems offer unsurpassed fibreglass double wall construction using 100% premium resins and glass, provides corrosion resistant internal and external service. For example, integral ribs are made of the same material as the tank add strength, providing for a structurally sound tank. “Fibreglass Prezerver® double wall tanks reduce expenses. Maintenance free, they require no corrosion maintenance or monitoring,” says Meagan Kissel, Design & Marketing Administrator, ZCL Composites Inc. “All Prezerver® fibreglass underground double wall tanks will provide long, trouble free service. Each tank can be removed and, after recertification, can be re-installed,” she says, adding that lightweight design allows for easy shipping, handling and installation. Further, interstitial design using Parabeam® 3D glass fabric technology allows for four monitoring options of the tank’s integrity: pressure, vacuum, dry, or hydrostatic.

Like Heiman, Kissel points to changing needs in the industry as being behind current evolution in fibreglass tank design.

For instance ZCL has come up with a new tank that is designed to handle Diesel Exhaust Fluid (DEF). Here, each tank is specifically designed and manufactured to be corrosion resistant and is backed by a 30-year limited warranty.

To help them achieve this reliability ZCL acquired CPF Dualam in 2010. Established in 1957, CPF Dualam was the first company in the thermoplastics industry to develop and use the Dualam® (Dual Laminates) Wall Fuel Storage Tanks ... fabrication procedure for a variety of corrosion resistant products. Today, the Dualam® method is used to manufacture corrosion resistant products from simple tanks to complex process scrubbers and towers. ZCL Dualam Inc. is the only North American fabricator that is certified to ASME B 31.3 for dual laminate piping and is a world leader in technology and piping design.

Behind it all is a well-known testing organization – Underwriters’ Laboratories (UL). As mentioned UL was there with certification at the early stages when manufacturers and oil companies wanted to get tanks in the ground.

“Our standards are all consensus based. We get everyone around the table and discuss all aspects before we finalize the requirements,” says UL Engineer and Consumer Safety Director John Drengenberg. He mentions that the original process behind UL 1316 was a lengthy process that started in the 1960’s and completed in 1983 with the first edition of the standard for fibreglass underground storage tanks. “We continue to upgrade the standards and continue to test. Cur-

12 July | August 2014

Tanknology Ad:Layout 1 05/12/13 3:46 PM Page 1

rently there is a need to look at the challenges caused by alcohol-based fuel additives that can impact things like gaskets and plastics.

We work together with the leading manufacturers and other stakeholders to establish safety requirements.

“We have come a long way with these fibreglass tank systems in 50 years,” he concludes. “As new products come along these tanks

will continue to evolve and we will be there to develop requirements and test tanks for safety and capability so that they may stay on top of their game as the best solutions for underground fluid storage.”

CONVENIENCE & CARWASH CANADA

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Genuine OPW Quality OPW 19DEF Series Nozzles for DEF Dispensing in Commercial Fleet Applications

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What is DEF and why it’s important?

DRIVERS OF MOST NEW DIESEL TRUCKS AND BUSES IN NORTH AMERICA ARE OPERATING VEHICLES THAT REQUIRE DIESEL EXHAUST FLUID (DEF), A CHEMICAL COMPOUND DESIGNED TO REDUCE EMISSION LEVELS TO THE REQUIRED LIMITS AS MANDATED BY THE JANUARY 2010, EPA REGULATIONS. DEF is a water-based solution comprised of approximately 1/3 high purity urea, and 2/3 de-ionized water. Urea is a nitrogen-based compound that turns to ammonia when heated. New on-road diesel medium and heavy duty vehicles using DEF are equipped with an advanced emission control technology called Selective Catalytic Reduction (SCR). SCR technology requires an operating fluid to perform a chemical reaction inside the engine during combustion and most of the leading North American manufacturers chose DEF as the operating fluid to reduce harmful nitrogen oxide (NOx) emissions from the exhaust.

DEF is contained in a separate tank and is injected into the exhaust stream prior to it entering a catalyst in the vehicle. The fluid vaporizes and decomposes into ammonia and carbon dioxide. The ammonia converts the NOx into harmless nitrogen (N2) and water (H2O) vapour to be released into the air. This process results in a lower release of the exhaust fumes that can contribute to respiratory problems and environmental issues.

Using DEF in SCR technology reduces diesel exhaust fume emissions and is the

most efficient way to achieve optimum Lisa Gurusingheand engine operation,Byfuel consumption meet regulation standards. A high level purity of DEF is important because it allows vehicle operators and owners to maintain top engine performance and protect their investment. In particular, pure DEF helps to: • Avoid damage in the catalytic converter • Prevent loss of the engine manufacturers warranty coverage • Achieve supreme engine performance and fuel efficiency • Reduce engine downtime • Lower the impact of vehicle emissions on the environment New diesel vehicles have a DEF gauge near the fuel gauge so that drivers know when the tank needs more fluid. It is pumped into the DEF tank through a nozzle, much like pumping gas and DEF consumption is approximately 3% of the vehicle’s diesel fuel consumption. Failing to fill up with DEF can cause damage to the catalytic converter and loss of engine warranty.

The blending and handling of high purity urea and de-ionized water is a delicate process for DEF manufacturers because the final product has to be produced following stringent standards and specifications (including ISO and API standards). For example, just a teaspoon of copper contaminant can completely contaminate a 20,000 litre tank truck of the operating fluid.

The assurance that DEF is filled into containers by the manufacturers, transported to the DEF distributors and truck stops/terminals, and then dispensed in its pure form is extremely important to avoid any future engine problems. There are many options for DEF pump equipment, containers, and dispensing solutions available in order to maintain the liquid’s purity and ensure zero contamination.

Manufacturers of DEF pump equipment DEF that is certified by the American Petroleum Institute (API) ensures guaranteed product quality and protection from impurities that will not harm the vehicle’s catalyst.

CONVENIENCE & CARWASH CANADA

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and accessories such as PUISI USA, Inc., and Micro Matic develop and supply innovative and high performing product solutions for this specific industry. For example, DEF purity is kept when dispensing the liquid from large containers (ie. 205 L drums, 1000+ L totes) because these containers have a ‘tamper evident’ self-closing integrated valve system that remains sealed until the end-user is ready to connect a dispensing coupler. As soon as the coupler is disconnected, the valve and coupler are sealed and closed.

DEF is available in various sizes from

3.78 L and 9.46 L jugs sold at retail stores such as Canadian Tire, to the 1000+ litre totes and bulk tankers that are delivered to DEF distributors and truck terminals.

As the key operating fluid in a technology created to meet regulation standards, DEF provides diesel vehicle owners and operators with the reliability and reassurance that they are protecting their investment, maintaining optimum engine performance and doing their part to reduce the impact of vehicle exhaust emissions on the environment.

T

The advantage of working with DEF is that it is safe to handle – it is non-toxic, non-flammable, nonexplosive, and not harmful to humans or animals. The people handling and storing DEF, however, have to keep in mind the important Do’s & Don’ts involved in maintaining its high purity solution:

Tecalemit Hornet W85 DEF pump transfer system is a leader in today’s industry. World’s first self-priming hybrid pump, the hornet boasts technology and performance.

Distributed, Installed and Serviced by Pumps & Pressure, the electric W85 is very robust and has an incredible price to performance ratio. Coupled with a 20% higher flow rate than any other DEF pump, makes the Tecalemit Hornet W85 your best choice.

Capable of handling large tank configurations as well as drum applications. Contact Pumps & Pressure branch locations for complete detail

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16 July | August 2014

DO’s Only fill DEF into the separate DEF tank.

Keep DEF equipment clean and free from contamination.

Keep DEF in a cool, dry, wellventilated area at a constant temperature.

DEF freezes at 12°F/-11°C but frozen fluid can be thawed and used without concerns of product degradation.

Only use DEF from specific, sealed DEF containers.

DON’Ts Do NOT fill DEF into the diesel tank.

If spilled, wash with water as the surface might get slippery.

Avoid getting DEF on clothes and skin. However, it can be removed with water.

Do not use DEF that may have been exposed to dust, dirt, or mixed with other substances.

Innovation >> the patented turbo-sweeping system The patented Haaga turbo-sweeping system was awarded the gold medal and the president‘s prize of honour at the 2009 Inventor Show in Strasburg. Haaga is the only producer of sweeping machines that has ever been awarded such a commendation.

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Twice the sweeping capacity with Haaga’s Turbo Sweeping System

Very Low Dust thanks to an intelligent airflow. 4 Year Guarantee on the brushes

Haaga >> only good things are copied: Even our Chinese competitors appreciate Haaga‘s high quality. For this they have been awarded the Plagiarius prize

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Good Mornings MORNING FOODSERVICE SALES ARE PUTTING SUNSHINE ON THE BOTTOM LINE Canadians are looking for something to eat. C-stores want Canadians to know they have good things cooking. In fact, C-stores sold close to $85 million in foods prepared on site last year. Not surprisingly, a big portion the of the sales slice occurred during the morning meal part where reports suggest 18 per cent of traffic comes in for breakfast and another 14 per cent of a day’s traffic drops in for a morning snack.

First comes coffee. 47 per cent of daily coffee sales occur at breakfast with another 27 per cent happening at morning snack. According to Warren Solochek, Vice-president Client Development, NPD Group, operators need to upgrade beverage programs to stay in consideration as a lower priced alternative to QSR. “There is also an opportunity with specialty coffee to attract more affluent female customers,” he says.

Joe Di Donato agrees. Di Donato is a principal with Faema Canada, a leader in espresso and cappuccino makers for the Canadian market for more than five decades.

“Specialty coffee and beverages is a high margin business that is packed with opportunity,” he says. “Thanks to Starbucks, more people now understand about specialty coffee. Operators must now pay more attention to quality of their service as a result. What does a poor coffee say about your establishment and the overall menu? A coffee or specialty hot beverage may seem like a small thing, but to an ever growing number of Canadians it’s an important part of their day.”

Simply, good coffee drives sales in breakfast sandwiches, bakery items and snack bars. Indeed, operators are now looking at breakfast as a four per cent contributor to sales and six

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Top Breakfast Fare Breakfast Sandwiches Donuts Salty Snacks Eggs Bacon Sausage Bagels Breakfast Wrap/Burrito Muffins Cinnamon Rolls CSDs Brewed Coffee Juice Bottled Water Specialty Coffee Milk Non-Carb Soft Drinks Iced Tea Frozen/Slushy Soft Drinks Hot Chocolate

Dollar Spend $3.22 breakfast $2.69 AM Snack

Items Purchased 2.2 items breakfast 1.9 items snack (info NACS and NPD Group)

20 July | August 2014

percent of profit with margins around 52 per cent. What’s making up these sales? A recent Technomic survey that asked 420 consumers 18 and older about their breakfast purchases from C-stores found that people reported buying doughnuts (60%), muffins (41%), bagels (40%) and made-to-order sandwiches (38%) for breakfast at least once every 90 days.

The opportunities have not been lost on the industry where typically chain operations drive the leading edge. Consider Couche-Tard. This company is one of the world’s largest C-store operators with locations throughout North America, Europe and Asia. Its recent acquisition of Statoil Fuel and Retail in the Nordic region has seen it move forward with an aggressive foodservice program that may well find its way to its Canadian stores such as Mac’s.

At Statoil locations, such as ones in Norway, Couche-Tard’s sites offer complete breakfast, lunch and dinner menus, prepared on site by a chef. Next to a full salad bar is a rack of fresh bread, chocolate buns and muffins. Reports indicate ample seating, free WiFi and even kids’ playrooms, showers and washers and dryers.

Here in Canada, Couche-Tard’s banners pay a lot of attention to coffee sales where they partner with leading brands such as Seattle’s Best. They also offer a slate of quick service items such as breakfast sandwiches that customers can heat in on-counter microwaves.

Grocer Sobey’s is rolling out smaller format stores in Quebec under the IGA Express and IGA Mini banners. Launched this year, Sobey’s plans 60 locations in Quebec where 4000 sq. ft. stores are teamed with gas bars. The idea is to offer quick destinations for on-the-go meal solutions and grab and go items for a variety

of day parts including breakfast. In store, customers will find culinary staff preparing dishes to order much like they would expect at QSR. The idea is to take advantage of the growing demands for out of home meal occasion.

In Steinbach, Manitoba TimberFalls Store and Auto Spa is making a difference in their community by really stepping up the foodservice offering. According to General Manager Jim Stuart they offer a waffle program than customers can access all day as well as pretzels, buns, eggs to order and fruit to name just a few items on the menu. “We slice the bacon on site and have things like sausage buns (a croissant with a sausage). We do a signature cinnamon bun that has people coming in just for these,” says Stuart, who points to two levels of seating in the store. He also provides a lot of staff dedicated to food preparation and the numbers have shown that his gamble has paid off. He reports that his business is predicated on the carwash with all the other services working like spokes in a wheel. The idea is to be a community service centre and customers suggest his business has the best breakfasts of any carwash in Manitoba or Canada for that matter.

Stuart has obviously seen the light and his customers are thanking him for it. However, says NPD’s Solochek, other operators need to get behind the trends to more foodservice in C-store. Concluding, he says, “QSR has the advantage right now in breakfast. Operators need to improve their breakfast programs to stay in the game. They also need to do a better job of capturing the morning snack segment,” he says pointing to an opportunity that is expected to keep growing as consumers seek ways to battle the time crunch and save money.

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CONVENIENCE & CARWASH CANADA

21

Got Change?

WPMA KEYNOTE SPEAKER FRANK CALIENDO Comedian/actor/impressionist Frank Caliendo has been making people laugh his whole career. The man is known for his dead-on impressions of famous actors Al Pacino, Robin Williams and Robert DeNiro; politicians George W. Bush and Bill Clinton; broadcasters John Madden and Charles Barkley; and talk show hosts Dr. Phil, Jay Leno, and David Letterman.

Don’t miss Frank as WPMA’s Keynote, February 18, 2015 at the Mirage

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Tony Elliot, Shell Canada Ron Prosnick and PD McLaren

Ross Clements

PD McLaren and Rick Wolfe

Bill Wright - Texaco Angelo Palmeieri - AC Paving

90 Years 1924-2014

Frank Bevilacqua

Congratulations on 90 years!

For almost 25 years All Peace Petroleum has been a supply partner to P.D. McLaren.

Specializing in design, construction and maintenance of bulk plants, card locks and service stations.

Enviro tank sales and rentals, including mobile cardlock systems. Your complete sales and service specialists of all petroleum equipment.

Starting out as a small maintenance company, we grew to include a construction division in 1995, tank sales and rental divisions in 2000 to a truck inspection facility in 2004.

Not to forget how we got started, on January 3rd of 2006 we became certified to perform inspections pursuant to the Weights and Measures Act through Measurement Canada. We’re proud to serve our customers and will continue to work to stay at the forefront of our industry Servicing Alberta, British Columbia, Saskatchewan, Manitoba, Northwest Territories, and the Yukon.

All Peace Petroleum 15525 – 100 Street Grande Prairie, AB T8V 7C2 Ph: (780) 539-3533 Fax: (780) 532-1139 mikebrochu@allpeace.ca

Published and produced for P.D. McLaren Limited

by Johnstone Media Inc., 543 Borebank St., Winnipeg, MB R3N 1E8 Publish date June 30, 2014 All rights reserved. No part of this work may be reproduced or used in any form by any means graphs, electronically or mechanical, including photocopying, recording, taping or any information storage and retrieval system – without written permission of P.D. McLaren Limited.

The publisher does not assume any responsibility for the historical accuracy of the information contained in this book. Photographs and artifacts are credited where possible.

Publisher:Brenda Jane Johnstone Written by: Kelly Gray Edited by: Julien Holdenried Designed by: Keith House Sales: J. Cody Johnstone, Brenda Jane Johnstone Printed in Canada

Acknowledgements Reaching 90 is only possible with committed people. We want to recognize those that made it possible, although there are many to acknowledge, space dictates that we mention only a few.

We extend special thanks to Founder Percy McLaren, whose vision started it all, his successor; son Douglas W. McLaren, who sustained growth and diversification by incorporating his father’s vision with Percy’s ideas.

PD McLaren, President and CEO .whose street –smart, hands on business acumen make P.D. McLaren Limited a diverse, relevant and dynamic organization. His ability to foresee market trends and develop a means to lead into opportunities rather than follow, is one of his strongest attributes.

John Briggs, whose engineering background and understanding of the evolving fuel management system equipment sector helped lead P.D. McLaren to becoming one of the largest OPW FMS line of suppliers in North America. His 22 years of service was instrumental in McLaren’s current position in the market. John retired December 31, 2013.

David Foley, whose financial prowess as Controller for the past 21 years has always kept the important bottom line in sight.

John Allen, Manager of Eastern Canada in Ajax, Ontario,comprised of sales, service and manufacturing for his long hours and dedication to P.D. McLaren Limited.

Tom Cuzzilla, Production Manager who makes the RDR Product line come to life.

Harry Kitzmann whose growth within P.D. McLaren Limited has helped the company expand into Aviation, Design Build Capabilities and in securing other new product lines.

Jason Quin whose expertise in Fuel Management Systems and support will allow our Calgary branch to provide customers the service they’ve been accustomed to.

All of our administrative and support staff who faciliate the day-to-day business to run smoothly.

Lastly, thanks to Publisher Brenda Jane Johnstone who, along with her team provided the expertise to move this piece to the pages you see here today. Under her direction along with Kelly Gray the team was able to capture P.D. McLaren’s spirit and soul and share it with our readers.

There are so many others that have been part of the P.D. McLaren Limited story that without them it could never have been written.

Thanks for allowing P.D. McLaren Limited to be what it is today with the aim of continuing the story for years to come.

P.D. McLaren President, P.D. McLaren Limited

Celebrating 90 years

P. D. McLaren

Forward In life success can be measured in many ways.

As P.D. McLaren Limited reaches the 90year milestone it’s clear that perseverance, reputation, innovation and integrity have all contributed to the success the company has achieved.

P.D. McLaren Limited has been built on the traditions and visions of three generations of men all of whom understood the products and services that were right for their time and place.

Each generation succeeded by demonstrating the perseverance of staying true to the course.

By striving to fill niche market needs, the phrase ‘out of necessity comes the mother of invention’ could not be more true. Innovation with products like the RDR Refuelers are firm reminders of the path the company followed to add yet another layer to the success of P.D. McLaren Limited.

The most import reason that the 90-year mark has been achieved by P.D. McLaren Limited is integrity. Integrity is the reason we continue to exist in today’s very challenging and exciting market place.

P.D. McLaren Limited was built on a foundation of personal relationships. These relationships were based on a reputation of providing the best in products and service and then weaving them into the fabric of the company blueprint.

This still serves as a leading reason for the company’s continued success today.

Integrity is behind each personal customer relationship and each business transaction.

Here’s to the next 90-years!

P.D. McLaren CEO

Celebrating 90 years

Pumping Performance

Over 90 years Vancouver based P.D. McLaren

Limited has focused its

business on a one-on-one approach that has earned them continuing respect and growing sales

in petroleum dispensing, bulk

fuels handling and vehicle wash systems.

In business it pays to be in the right place at the right time. Opportunity is everything. So it was that in the early years of the 20th century, a Vancouver entrepreneur took a gamble with a new fangled technology and P.D. McLaren & Son Ltd. was born.

The new technology Percy Douglas McLaren was the horseless Percy Douglas McLaren, the original PD, saw the opportunity to supply meters to gas stations that were setting up to fuel these new highway beasts. The market was still small with maybe 50,000 vehicles in the entire province, but PD senior saw the writing on the pump house wall.

Today the company is still run by the family with grandson Philip Douglas (PD) McLaren calling the shots from his base in Burnaby. However, the scale of the company has grown alongside Canada’s demand for petroleum products. P.D. McLaren Limited (PDM) is now national in scope with revenues close to $20 million. Products include much more than the original metering device that got them into the trade. Petroleum retailers now look to PDM for high and low speed fuel dispensers, pumps, aviation and marine refuelers, vehicle wash systems, self service wash systems, cashless payment systems along with hardware and software solutions, to name just a few products and support services that have made them one of the most recognized and respected names in the industry.

The early years were ones of rapid expansion. Like today’s communication technology gold rush, the leading edge of automotive transportation came first followed by infrastructure. With car sales expanding fast P.D. McLaren’s fueling gauges allowed service centres to start popping up as more and more drivers began hitting the road. Vancouver was the site of Canada’s first gas station, a bulk fueling centre on Smithe Street operated by Imperial Oil. By 1928 Imperial Oil had firmly taken the bit in its mouth and was in full design and development stage of its signature service stations that would become iconic in every city in North America.

the P.D. McLaren company offices on Beresford St.

Service Station Equipment • Custom Manholes

• E/Z Lift Manholes

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• Monitoring Well Boxes • Retrofit Program

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Celebrating 90 years

The young company took full advantage of the boom but kept things in perspective. For example, the current P.D. McLaren suggests that the growth of the range of products and services was conservative.

In fact, by the time the 60’s had rolled around little had changed from those early years. The company’s business was still largely based on the gas and diesel pumps and meters.

I learned how to take a meter apart and put it back together,” he says remembering another father and son team who worked out back in the meter shop.

“Jack Grognet and his son John taught me much about the meters to the point I could take them apart and put them back together almost blindfolded.”

“I was about seven years of age when my grandfather passed away and my dad took over,” says, PD. “He stayed the course that my grandfather had set. We were working with oil companies to continue to get pumps out there. Our product range had changed little from the very first days,” he says telling that his father sold the Vancouver Beatie Street location in the late 50’s where they started out selling Gurney scales Wayne petroleum pumps and Brodie meters, moving the company to a larger facility on Main Street with more warehouse and service capabilities.

PD tells that he worked alongside his father, Douglas Weekes McLaren for seven years learning the ropes of the family business. “I started in 1964. I swept floors, operated the forklift, did shipping and receiving of all pumps and meters.

on Prover truck. Old P.D. McLaren site on Beresford St.

Celebrating 90 years

New Products and Places PD remarks that he could see they were missing out on a lot of business. In 1962 the company had opened a branch office in Calgary to position themselves in Alberta’s young oil & gas sector that was crying out for technology and services. With the advent of unleaded gasoline in the late 60’s and early 70’s there was a huge push to get the new product to market. To achieve providing unleaded fuels, station operators needed to add storage tanks, compatible infrastructure and dispensing equipment. PD saw this as a key area of development for the company. He took over the operation from his father Douglas in 1970 as the need for unleaded gas continued to grow. “I went out and secured backhoes and trucks to get us more involved,” he notes adding that by 1974, P.D. McLaren Limited had 15 crews working.

“I didn’t want to be in the office. I wanted to be where the action was, with the crews in the field,” he says stating that they never wanted to build entire gas stations, rather they wanted to what they did best - installing tanks, piping, testing all underground fittings.

Congratulations P.D. McLaren on 90 years We are proud to be a media partner MAY | JUNE 2014

JANUARY | FEBRUARY 2014

MARCH | APRIL 2014

TimberFalls Store and Auto Spa

Cold Beverages

takes convenience to new heights in a small Manitoba town

Niche sectors drive gains with Energy Drinks and Flavoured Waters slaking the thirst for sales.

Back to School Healthy Snacking BLASTOFF for Profits – This Manitoba fireworks company changes the game with product and service innovation

Leak Detection Regs make positive change

EMV Compliance at the Pumps

New era for carwash with Ryko MacNeil merger Employee Engagement is more than just buzz words

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C-stores take on Canada’s obesity challenge

Carwash Water Reclamation and Regs Winks Bids Farewell to Dene Hargreaves

DISASTER PLANNING for Survival in Today’s Marketplace CELL SALES C-stores take advantage of Mobile Phone Products and Services CHALLENGES AND SOLUTIONS for Modern Fuel Gauging VIEW FROM THE WEST Alberta’s Proposed Tobacco Flavour Ban

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Celebrating 90 years

Personal contact was another key component in PDM’s developement of the company we see today Prior to PD coming on board in the 60’s, the company relied on customers calling when equipment or services was required. PD hit the streets and brought the company’s products and services to the customer “you had to make those phones ring if you wanted to drive business”. He felt that with the number of crews on the ground you had to look for work to keep busy. This effort resulted in P.D. McLaren Limited securing a large portion of the tank and operation upgrades available and establishing them as a dependable, knowledgeable partner in the discipline.

While business grew, McLaren made another move in 1971. They relocated to what was Burnaby’s old Ford Building on Silver Ave. They continued to grow and just two years later PDM purchased a property on Beresford Street in Burnaby.

“ Congratulations P.D. McLaren on your 90th Anniversary!”.

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Celebrating 90 years

(204) 772-9428 www.ja-pump.ca

Innovation was another key component to development in the 70’s. Consider the benefits operators have achieved with the company’s RDR high and low speed refuelers.

In 1978 the RDR technology was pioneered and then introduced to the industry. PD alongside Vicepresident Sales & Development, Ray Porcina and Vice-president Operations, Ron Prosnick originally conceived the RDR. Together the three first names (Ray, Doug, Ron) formed the acronym RDR and today the product line has the most reliable and fastest refuelers in the self serve bulk facilities, commercial card locks, retail outlets, aviation facilities, marinas and propane outlets or any site where volume needs to be delivered quickly and accurately.

• The RDR high speed refueler offers simplicity alongside dependability and utilizes technologies such as: • Electronic registers • Electronic calibration • RS interfaces and electronic totalizers that is all contained in a stainless steel housing • Important for Canada is the heater that keeps things working in extreme low temperature applications • Automatic Temperature Compensation P.D. McLaren is proud of the fact that RDR units are built to a very high standard using Canadian manufactured components. Originally built in Burnaby, the dispensers are now produced at PDM’s Eastern Canada facility located in Ajax, Ontario. Plans are now being finalized for a larger manufacturing facility east of Oshawa, Ontario.

“introduction of the Wayne 500 presented at the Hotel Vancouver in 1957”

The company continued on its upward growth curve as it entered the 80’s. As mentioned, PDM had purchased a new site in Burnaby and had developed it by 1984 into a 12,500 square foot warehouse, manufacturing facility, service center and administrative head office. Good timing given the company’s move to enter the carwash business, a sector that was a good fit for PDM and its fluid handling and dispensing capability.

In 1988 PDM began manufacturing its Bay Master 2000 self service carwash product from its facility in BC. Originally produced for its customers that operated chain gas stations such as Imperial Oil and Shell, the Bay Master 2000 offered a breakthrough in reliability with low voltage wiring and multi-bay packages. PDM’s name had become synonymous with products that were built to last and their Bay Master 2000 self-service wash system was yet another example innovation built to stand up to the rigours of a challenging industry. The result was a successful product launch and a continuing respect in the industry. It also gave the company a new revenue stream beyond $2 million with strong market penetration into the United States where the company was aggressively seeking out new business.

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Celebrating 90 years

P.D. MCLAREN LIMITED FOR 90 YEARS OF SERVICE FROM PECO CARWASH SYSTEMS. Look to PECO Carwash Systems & P.D. McLaren Limited to help build your future in the in the car washing industry.

Proud to be a supply partner to P.D. McLaren Limited. We wish you continued success.

www.pecocarwash.com | sales@pecocarwash.com | 248.299.5800 Burnaby 604.437.0616 Calgary 403.287.1633 Toronto 905.428.8403 Montreal 514.791.6398

Lori Shields

Partnerships According to Jim Walton, VP Environmental Systems, OPW Fueling Componenets, dealing with PDM was not your typical corporate outing. On one occasion Jim remembers meeting up with PD for a breakfast meeting at the old Constellation Hotel near Toronto’s Pearson Airport. “There was Rod Ingersoll, Norm Southcombe and myself. PD cursed me over something, so I reached over and tweaked his nose between my index and middle fingers. PD jumped up, threw back his chair, assumed a pugilist’s stance, and screamed ‘let’s go!’ between curses and snarls. Even old Hot Rod (Rod Ingersoll) was stunned,” he says, remarking he truly enjoyed his years of dealing with PD and

his company.

“PD has a wonderful sense of humor and his intimidation tactics only work on weaker minds,” he says suggesting that PD’s jocular manner is one that overlies a strong business mind that earns respect by getting the job done.

Results show OPW and P.D. McLaren have shaped a solid partnership where PDM today offers OPW Fuel Management Systems such as Petro Vend, i-Site Tank Monitoring and Gauging, and Phoenix Software; OPW Fueling Components such as dispensing equipment, containment systems, and above and below ground tank fittings; as well as OPW Engineered Products that include Loading Arms, Swivel Joints, and VisiFlow Sight / Flow Direction Indicators.

R&D MARKETING WOULD LIKE TO

CONGRATULATE PD MCLAREN FOR 90 YEARS OF CONTINUOUS OPERATION & SERVICE

THANK YOU FOR FAITHFULLY REPRESENTING OPW & PETROVEND PRODUCTS FOR OVER 30 YEARS.

Over the years a key point to PDM’s success has been its ability to partner with the best names in manufacturing as well as the leading personalities in the industry. John Allen, a man who today heads up the Eastern Canada regional office in Ajax, Ontario is such an example. Allen first came to P.D. McLaren in the early 90’s as a well-known rep for electronics and automation systems. Like Jim Walton, Allen found PD to be a bit enigmatic at first, but quickly learned he was all business beneath the gruff exterior. In 1997 Allen came on board taking charge of the Eastern Canada operation.

“It took a while to gain PD’s confidence. When you hire a sales person it’s not always easy to trust them to make the right decisions. You have to earn that trust, but PD gives you the tools to get there,” he says adding that a benefit to a family business like PDM is that the buck stops with the president and owner. “With PD you know where you stand,” he says.

Innovation Key to Growth John Allen reports that the Ajax facility has grown under his watch. Today, the Eastern region operation manufactures the complete line of RDR refuelers, distributes the OPW line, services wash systems, offers parts and chemical inventory to its vehicle wash customers and looks after niche markets like those in aviation gas, jet fuel, auto propane and DEF dispensing as well as bulk plant automation and fuel management. Here Allen points to Go Transit, the massive Ontariobased rail and bus system, where their complete package of design, service and manufacturing has recently allowed them to successfully work to build dispensers and bulk fuel management capabilities for the publicly funded conveyance company.

Celebrating 90 years

“Our biggest challenge is adapting to market change,” says Allen, remarking that niche areas have been a great source of business. A good example is the company’s recent push into DEF or Diesel Exhaust Fluid. DEF is an Aqueous Urea Solution made with 32.5% high-purity urea and 67.5% deionized water. DEF is used as a consumable in selective catalytic reduction (SCR) in order to lower NOx concentration in the diesel exhaust emissions from diesel engines. “We have done a lot with Suncor to retrofit systems for DEF, a product that is revolutionizing the diesel side of things,” he says.

Ajax also offers a 3D modeling capability “This allows us to bring more designs into the product line,” says Allen who comments that having a location in Ontario means being closer to the country’s largest collection of suppliers, and close to the country’s largest pool of skilled labour not to mention Canada’s largest consumer market.

Allen notes that innovation is something for which they have become well known. “Often it’s just the simple things that make us stand out from competitors. For example, when we design something we understand the harsh conditions in which it will be used here in Canada. We build in Canada by Canadians. With this in mind, we made a new door system that helps keep dispensing equipment heated and safeguarded from the cold. The result is our system is the one that will survive in the toughest environments and keep fuels running.”

In efforts to diversify and develop new market sectors PDM has teamed and networked with industry leaders to create innovation. As an example of this effort the company recently partnered with OPW, Architect CH2M Hill and General Contractor Ledcor to build the new Vancouver Harbour Flight Centre (VHFC) attached to the new Vancouver Trade and Convention Centre, one of the most environmentaly Green Buildings in North America, adjacent to an area of great natural beauty that is Stanley Park and the environmentally sensitive Coal Harbour.

The Float Plane base offers 18 seaplane docks with fuel storage located deep under the convention

centre in sealed vaults.

The idea is to move fuel out to the floating docks without creating an environmental hazard. The two tanks under the Convention Centre that hold close to 100,000 liters of AvGas and Jet Fuel must be refilled from trucks remotely to the tanks located 300 feet away.

For the system’s required ability to perform these operations PDM recommended Site Sentinel i-Site Automatic Tank Gauging System from OPW Fuel Management Systems. The system offers the ability to provide accurate information to endusers that can be accessed from anywhere in the world via Internet connection, with the heart of the system being the V-Smart Module, which transmits the data from the probes in the AST’s to the i-Site Console providing real-time tank level measurements and shut-down capabilities. More, at the remote fuel uploading area, PD McLaren created a control panel that interfaces with a series of motor operated valves and the iSite’s touchscreen allowing the drivers to see the actual fuel levels in the tanks when they are unloading. The system also provides automatic redundant shutdown capabilities preventing overfills.

According to Harry Kitzmann, P.D. McLaren’s Pacific Regional Sales and Marketing Manager, “90 years in the industry has provided the ability for us to move forward thanks to the relationships we have developed and continue to develop. Relationships, networking and using the strengths of our partners as well as ours is what’s required to succeed in today’s business environment,” he says..

An example of this process is a project that is in progress for Syncrude Canada. According to Kitzmann, the project was initiated by a partner who recommended to Exxon Mobil that PDM’s services could be utilized to build three fuel dispensing facilities at the Syncrude base plant in Fort McMurray. Exxon Mobil, the owners of the project met with PDM in an initial meeting where only equipment supply was discussed. “When it was determined we could provide a full package to build the three new gas bars for Syncrude the project grew in scope to provide design, equipment construction and commissioning.

Celebrating 90 years

We were able to move forward with projects like Syncrude because of our long standing relations with contractors like W.S. Nicholls who provide us a number of disciplines that help us deliver projects on time and on budget.”

A project called Old Crow incorporates much of innovation and partnership for which PDM has become well known. This project was located in the Yukon 90-miles south of the Arctic Ocean.

The project called for PDM to supply a complete modular refilling package for 5 products, including aviation fuels as well as diesel, gas and heating oil.

W.S. Nicholls performed the construction and PDM supplied the equipment. “We were able to meet a very strict delivery timeline in spite of the fact that deliveries had to be accomplished by use of trucks on ice roads,” says Kitzmann.

Smaller, less complex but specialized services are also a big part of PDM today. For example, the company offers capabilities when it comes to fuel polishing, tank and line cleaning as well. Further, aviation fuel handling solutions are becoming a large part of PDM’s offerings. And, PDM can also provide fuel filtration solutions, fuel testing components, fuel delivery equipment, all accomplished with the use of Whittaker, Facet Filters, Cla-Val, Shultz Engineered products and of course the PDM RDR Aviation Refuelers product lines.

“In summary,” says Kitzmann, “PDM provides so many diversified product and service offerings and they always have a solution right at hand. If we don’t, we partner with the best and together we can find that solution, again reinforcing the values of relationships continuing with the philosophy adopted in the 1920’s. This is the heart of our success, past and present.”

Congratulations on 90 years From your friends at Waleco Providing clients with industry pacesetting levels of customer service within the Petroleum Equipment Distribution markets throughout Ontario and Quebec Telephone: (905) 712-4915 Fax: (905) 712-2156 www.waleco.ca

Celebrating 90 years

Standing out from our Competitors Vehicle wash is another key area where PDM stands out from competitors. “We work to continually stay ahead of the curve,” says Ian Burton, Sales and Marketing Manager, Carwash Products Division a man PD sourced from the US to head up the wash segment of the business. He suggests the company’s name and reputation are behind the market gains they have made in vehicle wash systems over the last number of years.

“It’s highly competitive in the wash sector, but we have a name that has been around since the 1980’s in vehicle wash and since the 1920’s in petroleum handling. People know us. Once we get our foot in the door we can really show the value of doing business with a Canadian supplier. Over the years we have built up a lot of technical expertise and we partner with the best,” says Burton commenting that they provide after hours service and have a preventative maintenance program. “Our customers even get a free emergency call once a month. Of course we hope they never have to use this call. But, if they do, we are ready.”

Vehicle wash is all part of a diversified business model where PDM has placed its eggs in separate baskets. True, the vehicle wash segment of the business is only about 15 per cent of sales, but it is a growing area and one that fits the model.

According to PD it doesn’t matter if it’s oil, gas, propane or water. If it moves by pipe or hose, PDM has the equipment. This includes vehicle wash and even self-service pet wash systems, something PD figured would be a good idea. We have sold over 1,000 pet washes.

CONGRATULATIONS on 90 years in business!

From your friends at

This project is currently in the completion phase. It involved extension of a jet fuel supply line from the existing Vancouver Harbour Flight Center at the Trade and Convention Center located in Vancouver Harbour. This project included design, drawings, permits, approvals and incorporated welded stainless pipe fittings, aviation fuel dispensing equipment, electrical components, scheduling, line flushing/fuel quality assurances and commissioning. This was a very high profile site demonstrating P.D. McLaren Limited’s ability to provide another quality installation.

Celebrating 90 years

“We installed 12 wash systems last year. We installed our first truck wash at Tri Line Disposal in Edmonton. I have seven projects on my desk right now,” says Burton.

“People are coming to us because they know the name and they know our partners like Peco, Istobal and Oasis. They also know we make the Bay Master 2000, a self -serve vehicle wash system that is priced right and built tough.”

“Behind it all,” says Burton, “is a one-on-one approach where people get to know the folks they do business with. We work to understand a customers’ business and become part of their team. I don’t think we have moved away from this thinking in 90 years. It has made us the company people want to call.”

John Allen agrees. He points out that people trust them to build their wash systems because PDM has a full plate package. “Because we have service we have better sales. People don’t want to have one company build and another to offer support with service and maintenance. They want one company that can do it all. This is us.”

Congratulations P.D. McLaren on

90 Amazing years

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www.diamondshine.com

Celebrating 90 years

Certainly, the one key facet of PDM has made them a company to watch as they move forward. Both John Allen and PD point to their lasting partnerships with the industrys best and brightest that are impelling them forward as they look towards a full century of operations. “We will grow as we take on larger and larger projects.

As we do, we will undoubtedly expand our family to include more linkages and expertise,” says PD, who looks forward to the changes and developments as his family business takes on a fresh shape with new partners and participants.

“Over 90 years we have created a ‘can do’ culture of commitment to our customers who have looked to P.D. McLaren for leadership in fluids dispensing and management.

Our company today is a far cry from those early years when we had just a few products.

Today we really have it all and our customers get the benefit of all this experience.”

If something can be moved by a pipe or a hose PDM has the solutions for business.

From vehicle washes to bulk fuel facilities in harsh climates to environmentally sensitive fuel pumping centres to neighbourhood gas stations and vehicle wash centres, P.D. McLaren is a name that has earned a lot of respect over 90 years.

Celebrating 90 years

I am proud to be a part of the history of P.D. McLaren Limited. My 17 years with the company have been an enriching learning experience and as we look ahead to the next chapter I would like to thank P.D. McLaren for his help and his guidance in allowing me to be a part of this journey.

P.D. McLaren Limited, for 90 years has been a family business and as we move forward we would like to thank our employees both past and present for their continued commitment to the core values; honesty, integrity, dedication and respect; of the P.D. McLaren family.

As our industry evolves, becoming more complex and global, we will continue to find and develop the niche industries, products and services and the markets that have been the cornerstone of P.D. McLaren through the past 90 years.

The future of P.D. McLaren Limited will be dependent on the diversification within these new markets and the name P.D. McLaren will remain synonymous with respect, dedication and a work ethic enjoyed for more than 90 years.

We will continue to nurture and create new business partnerships with both customers and suppliers, thus assuring that P.D. McLaren Limited remains ahead of the competition.

For P.D. McLaren Limited, the first 90 years have been a continuum of change, challenges and successes and as we celebrate this milestone I look forward to being a part of the new challenges and exciting changes as we move toward the next chapter in the history of this great Canadian company.

John Allen General Manager, Eastern Canada

Celebrating 90 years

Old Crow Fuel Facility 90 miles south of the Arctic Ocean Yukon Territories

Supplied components Meters Pumps Valves Gauges Hose Reels Nozzles etc.

Self-contained skid units housed in enclosures filter vessels and relaxation chambers

Hakai Institute / Calvert Island Remote Central Coast of B.C.

Syncrude Base Plant Wood Buffalo / Fort McMurray This batch of

photos is of Sy ncrude skid ta nks that we designed, supp lied and instal led.

Two in total, 1 gas, 1 diesel , 75,000 litres totally se lf-contained w ith I-Site Tank Monitorin g, Petro Vend Management Fuel System Dispe ns er s and Related Equipm ent.

Celebrating 90 years

Good Hope Cannery, a remote location on the central coast similar to Hakai installation.

All equipment had to be barged in.

Celebrating 90 years

rio

nta Trenton, O

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Trenton, Ontar

Toronto, Ontario

Cornwall, Ontario

ntario

Cardinal, O

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Calgary Airpor

Calgary Airport

Calgary Airport

Calgary Airport

P.D.Mclaren Limited is proud to introduce the new and toughest unit on the market, the RDR DEF commercial dispenser.

Fraser Station Shell, A Custom Full Service Experience

by Julien Holdenried This Station is easy-to-access and located directly on the Fraser Highway. Their friendly, efficient full service station, offers two different types of carwashes, a convenience store, an ATM, a Starbucks Coffee and competitive gas prices.

Fraser Station Shell promises to impress the savviest of travelers, with a newly constructed 6000 Square foot storefront and two carwash bays. This is the only station in the Abbotsford area to offer customers customized options to wash their cars, on one site. While customers wait for their

THE NEXT TIME YOU DRIVE THROUGH THE BEAUTIFUL FRASER VALLEY AND ABBOTSFORD, B.C., MAKE SURE TO STOP AT THE FRASER STATION SHELL FOR A UNIQUE FULL SERVICE EXPERIENCE.

CONVENIENCE & CARWASH CANADA 

59

with softer foam brushes that don’t trap dirt and particles. This cars to sparkle, they can grab a freshly made snack inside the gives cars the great polished look people are looking for. store and enjoy their favorite Starbuck’s Coffee.

“I’m happy with the outcome of the new carwash, not only Two carwash bays are now open for customers, the origidoes it clean wonderfully, it gives our site a clean and modern nal Laser 4000 touch-free wash and a newly installed Istobal look”, says Reimer.

M’NEX 22 Friction Carwash.

Fraser station is a great place to visit Although customers were FRASER STATION IS A GREAT PLACE TO VISIT for travelers passing through the area, pleased with the existing laFOR TRAVELERS PASSING THROUGH THE and offers local residents a go-to destiser touch free carwash, some AREA, AND OFFERS LOCAL RESIDENTS A nation for a full service experience that were looking for different opGO-TO DESTINATION FOR A FULL SERVICE includes fresh food, great beverages, tions. To address their needs, EXPERIENCE THAT INCLUDES FRESH FOOD, and a polished car.

Josh Reimer, Owner of Fraser Visit Fraser Station’s Facebook Station Shell, worked with P.D. GREAT BEVERAGES, AND A POLISHED CAR. page to find out more about speMcLaren Limited’s Ian Burton to cial offers, the latest gas prices find the best carwash to fit the and upcoming events. You can also see what customers’ new customer experience they were looking for. think of the services and new upgrades on Facebook. Over P.D. McLaren Limited, based in Burnaby, British Columbia, 2000 people have given the ‘thumbs up” to Fraser Staprovides quality equipment and technical expertise to the tion’s new upgrades on this Facebook page: Visit: https:// petroleum and carwash industry. Together with Fraser Stawww.facebook.com/pages/Fraser-Station/300995143401862 tion Shell, they decided to add a friction carwash for this station, to offer area residents new ways to wash their cars.

“In the Abbotsford, there are no friction car washes today Fraser Station Shell is located at: and I really wanted Fraser station to offer something new, in27637 Fraser Hwy novative and modern to the customer experience.” Reimer Abbotsford, BC adds that many older, less popular friction carwashes, had (604) 856-5558 more abrasive bristles but have been replaced or updated

60 July | August 2014

Q&A

by: Mike Perry

Talking With Car Wash Leaders It came as little surprise to industry insiders when Kevin Collette reappeared at Sonny’s The Car Wash Factory earlier this year.

Paul Fazio, Sonny’s resourceful CEO, tapped Collette in March to take the position of VP of Sales for Sonny’s growing Compact Tunnel Organization.

A quick-witted, life-long entrepreneur, Collette moves into this new opportunity with unbridled optimism and enthusiasm. His task is not an easy one however. Sonny’s has long been known as the industry’s “Tunnel Experts.” Depending upon the skill, effort and insight of Collette and his team, it remains to be seen how quickly they will penetrate and develop the recovering in-bay and convenience store market.

Undaunted and anticipating a more promising future, Collette sees great opportunity for those operators who are able and willing to evaluate closely their current wash systems and programs, and he strongly encourages these car wash owners now to partner only with value-added suppliers who are seriously committed to helping them wash more cars.

MIKE PERRY INTERVIEWS KEVIN COLLETTE MP: Given your experience and tenure in the industry, what do you know now that you wished you had known earlier about the car wash business?

KC: How much a truly involved manufacturer and distributor can help a car wash operator be successful!

MP: What has impressed you the most about the car wash industry the past five years?

KC: How quickly the industry adjusted to the economic collapse of 2008.

MP: What has surprised or even inspired you the most about the industry the past five years?

KC: Again, how the operators, distributors and manufacturers all adjusted to the collapsing market; it crashed virtually overnight. The loss of disposable income dramatically reduced wash counts and revenues, affecting all players in our industry. Our combined creativity in developing new washing concepts including wash clubs, loyalty programs, upselling chemistry, entry systems and high-volume mini tunnels resulting in increased wash counts and revenues has inspired and surprised me.

MP: What role do you think every supplier should play in the success of any wash?

KC: Suppliers are critical. Knowing the needs of the each customer, and advising them of changes in their market, new equipment, accessories and innovative ways to capture market share and improve their customer’s washing experience are just a sampling of the attributes your supplier should possess. It’s not enough to just provide service today!

Manufacturers and distributors must be on the leading edge, creating value for their washing and servicing partners!

MP: How should a current operator or a first-time investor evaluate a potential supplier like Sonny’s?

KC: I think it’s important that every car wash operator truly evaluate his suppliers. Are they just an equipment manufacturer, or are they a real partner? I would encourage operators to seek out and partner with suppliers who would help them evaluate every aspect of their new or existing business. This would include, among other things, property review and business pro formas, architectural level drawings, installation and the essential, ongoing service and support.

Also, operators today must be sure all of their vendors are financially solid and capable of providing parts and

CONVENIENCE & CARWASH CANADA

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supply inventories as well as professionally-trained service technicians. This is just smart business sense.

MP: In your opinion, what has to happen for the in-bay market to recover?

KC: A few things are needed. First, owners and operators in the c-store industry must become committed to car washing and to understand the true potential of their sites is important. After all, they own some of the best pieces of real estate in the world. Once they’ve committed, then they should focus on creating more revenues. Operators should utilize equipment designs which maximize peak demand periods by being able to successfully process more cars per hour. This creates value- added purchasing options to increase average wash ticket prices without adding time. We need to create a better wash experience for customers.

MP: Based on your experience, would you agree with many in-bay operators that an in-bay wash is an “impulse purchase.”

KC: Yes. And this type of frequency can be also converted and sustained. Loyalty programs, free vacs and a professional level wash experience can build loyalty and ultimately, earn the higher profits that go along with an enhanced wash experience!

MP: As you look to coach and to add value to your inbay customers, would you encourage them to have one professionally trained person who is specifically tasked to increase car wash revenue?

KC: All successful businesses are based on accountability and productivity! So a professionally trained car wash manager, who “takes ownership” for car wash counts, is an absolute must!

MP: Does it seem ironic that most manufacturers are making very functional equipment, yet operators seem to be washing fewer cars now at their sites than they were ten years ago?

KC: Not at all. Keep in mind, equipment continues to improve, and so are the operators. Don’t forget, disposable income was drastically cut, but we all survived those challenging years. In 2014, with all of the exciting format and accessory changes becoming available, I think we are headed finally in the right direction!

MP: At in-bay sites, what wash quality issues are still very important for consumers and operators?

KC: Clean, shiny and dry cars are a must. Operators must pay particular attention to the wheels, as they stand out when they are not attended to! However, speed, show, value and overall experience are also very important. It takes the right combination of all of these to excel!

MP: Especially in the in-bay market, don’t you believe that sometimes, operators simply overprice their car wash menus?

KC: Yes, but further explanation is needed here. When operators charge $12 for an 8 minute, simple friction wash with basic ‘me too’ chemistry in a dirty bay, then YES their menu is overpriced! However, a wash with free vacs, lava, and a wash club program with real benefits at the same $12 price point, this is perceived as, and truly is, a real value!

MP: What will be the next “breakthrough” in the in-bay car wash market?

KC: I think we are seeing it. There’s no one big thing.

Manufacturers today are designing machines that do more in less space, that provide better cleaning and chemistry, and result in safer and faster washing and drying! This is true convenience, performance and value!!!

MP: Do you see any real or potential threat looming in an uncertain future which could negatively impact suppliers like Sonny’s?

KC: No I do not. There does not seem to be any “magic pill” product that would reduce or eliminate the need for regular washing. Thus, so long as people are washing cars, high quality manufacturers and distributors will be needed.

Their success or failure will be determined by how valuable they are to their customers!

MP: When do you think it makes sense for an in-bay operator to replace a current car wash?

KC: I think operators have to look at their equipment’s functionality but equally important, they need to look at how they are operating. Specifically, are they maximizing their wash potential? Are they being competitive within their market? When savvy operators today analyze their wash, and their business model, and gain an understanding of its true potential, this might then lead the most successful ones to an equipment change, an upgrade or even more! Today, just changing equipment may be only a part of the solution!

MP: What one thing would you like to see your customers do better in the second ha lf of this year?

KC: View their wash through their customer’s eyes! Do some real serious competitive analysis, consult with experts and view the automatic bay as a business by itself. Doing so will create new business models and concepts, which will lead to increased revenues and profits! Of course, we hope most of these hard-earned profits will stay within our own industry!

Q&A

Kevin Collette can be reached at: KCollette@sonnysdirect.com.

Mike Perry, a noted retail marketing consultant, has more than 30 years of retail marketing experience and business-to-business sales. He can be reached at: mpccws5@aol.com

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by Pete Catoe – CEO, President, & Founder of ECR Software Corporation (ECRS)

Store Level Automation – DISCOVERING HIDDEN OPPORTUNITIES FOR THE C-STORE RETAILER

Do buyers even need to walk the floor to place orders?

How can this manual task be eliminated altogether?

How much labor actually takes place within this process, and how can it be completely eliminated? Are store personnel walking the floor to place orders with a handheld device? And, if so, why? Is there a better way to reduce stock outs and actually meet customer demand? When suppliers ship orders, are store systems automatically updated with the correct quantities and costs, or is manual labor required in this transfer of data? If this is the case, then why is this happening?

Business improvement is seldom an accident.

Improvement comes when we seek opportunity and embrace change. Finding new opportunity is not often easy, but a good place to start is with the evaluation of each task performed across store

automation journey when he first fully utilized POS movement data and bidirectional EDI to pull his suppliers closer. This made all the difference in that it reduced guesswork about what consumers were actually buying and eliminated duplicate data entry

locations. Opportunity will be found in your most mundane processes. What processes are being performed and why? How are these processes being performed and why?

Information technology in the store, and how this technology can be used to automate tasks, drives one of the biggest opportunities in retail today.

Wal-Mart-founder, Sam Walton started us on this

that occurred between the retailer and the supplier.

Ironically, though these proven concepts have now been around for nearly 30 years, most convenience stores are still not yet using them. Instead, many have stayed with the tried and true – another way of saying that they continue to do what they’ve always done – that involves a lot of unneeded manual labor, guesswork, and supplier influenced purchasing.

Left: A glimpse of ECRS’ Catapult Web Office suite which provides many features designed to improve enterprise automation, such as: Customer maintenance, the patent-pending LoyaltyBot rewards program, inventory management, and ECRS Gateway supplier integration service.

Right: ECRS Gateway real-time, web-based supply chain management dashboard.

64 July | August 2014

Sam’s way of thinking was years ahead of its time.

Only now is the retail world beginning to see his seemingly simple technology vision–the elimination of tasks through IT automation. C-store operators now have access to incredibly powerful point of salebased technology and well-established interconnection standards, all of which are very affordable, a situation that Sam never enjoyed.

What seems to be missing, especially within convenience retailing, is not access to powerful technology, but the simple mindset that technology is only as good as the task it replaces. For example, before rolling out a new generation of handheld terminals that will allow buyers to be more productive when they walk the floor to place orders, consider the opportunity being missed. Do buyers even need to walk the floor to place orders? How can this manual task be eliminated altogether? If the right questions are not asked, then the right answers will never be provided, and opportunity will slip away.

The more tasks that can be eliminated will equal your readiness to compete and serve your custom-

tems automatically updated with the correct quantities and costs, or is manual labor required in this transfer of data? If this is the case, then why is this happening? Question each task and your automation answers will come. When the answers do come, you will find yourself wondering how you went so long doing tasks that were not needed. Point of sale and retail store automation fuels the opportunity for true fundamental change. By making this change, you will drive profitability and overall competitiveness.

The opportunity for store level automation can be found in nearly every aspect of your retail enterprise, starting with supplier integration, and ending with a faster checkout experience for the customer. You owe it to yourself to stop business as usual and demand technology that eliminates tasks and streamlines processes throughout your entire enterprise.

Catapult Dash, included as part of Catapult Web Office, provides up-to-date enterprise information displayed as graphical widgets with drill down comparative capability for easy viewing.

ers. A good first step is to look at how data flows between the store(s) and suppliers. How much labor actually takes place within this process, and how can it be completely eliminated? Are store personnel walking the floor to place orders with a handheld device? And, if so, why? Is there a better way to reduce stock outs and actually meet customer demand? When suppliers ship orders, are store sys-

ECR Software Corporation has provided point of sale technology to convenience and grocery retailers since 1989. It was recently named as the top point of sale technology company by RIS News Software LeaderBoard.

CONVENIENCE & CARWASH CANADA 

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CASE STUDY

Scan Group Offers Functionality toSmall Operator

cery supplier. Updated costs and new items are downloaded straight into the Scan Group Software making inventory control easier.

The Scan Group is known for having easy to use software, a quick and painless installation process and knowledgeable staff. The company is also known for providing excellent customer support.

“Start up went very smoothly and The Scan Group support staff were very good to work with and very helpful in getting everything up and running.

The Scan Group have been very good to work with and they have always responded to all issues very promptly. I would recommend Scan Group for a Back Office System, it has worked great for us,” says Kim. Vauxhall Esso is now able to keep SINCE THE INSTALLATION IN AUGUST OF 2013, THE SOFTWARE HAS control of fuel HELPED REDUCE THE CHECKING IN OF STOCK INTO THE SYSTEM USING reconciliation and ELECTRONIC INVOICES FROM THE GROCERY SUPPLIER. variances by producing daily and monthly reports.

Scan Group because the software was Sales reports of products that are not user-friendly, plus he gained store and moving are identified allowing the store to reduce or delete these items from fuel inventory functionality.

Since the installation in August of shelves. Daily Settlement reports are 2013, the software has helped reduce transferred directly into Quick Books the checking in of stock into the system that saves time and keeps accounting using electronic invoices from the gro- more current.

66 July | August 2014

Vauxhall ESSO is a Gas Bar Convenience Store in a rural Alberta location. The store offers 3000 square feet, with two car wash bays. It carries a full line of convenience items and grocery goods, as well as fresh sandwiches, coffee, pizza, chicken strips, chicken wings, potato wedges, hot soups, hot stew, hot dogs, slush, F’real milk shakes and smoothies, and more.

Owner Kim Woolf was converting from Shell to Esso in August of 2013. In the process, he was losing the pricing and sales reporting software provided

by Shell. Since Kim was adding a Passport register, he requested a list of back office software companies from Gilbarco and among dozens of vendors, he found The Scan Group. He chose The

At Your Service

WITH SOME TRADITIONAL PRODUCT CATEGORIES UNDERPERFORMING, C-STORE OPERATORS NEED TO LOOK HARDER AT NEW SERVICES THAT CAN FILL THE SALES GAP. Nobody does service like the Japanese.

Indeed, their C-store universe is one populated by a broad range of services from baggage and parcel handling to event tickets to financial and business supports to utility bill payment centres.

From Kagoshima to Hokkaido, stores, called Kombini, offer more as a way to attract new business and earn respect of established customers who look to the locations as places that makes life less complicated.

“The Kombini is everywhere in Japan,” says Jen, a visitor from Asia who is having lunch at Winnipeg’s Japanese Centre as way to connect to her homeland. She reports that there are often competing stores on separate corners in large places like Tokyo and Osaka. “They compete by offering service and food products like rice balls or onigiri (sandwiches). Kombini do not sell gas,” she says, noting that it would be impossible for the small footprint shops to have pump service.

There are about 40,000 Kombini in Japan. Yes, you can buy toothpaste or pet foods as well as beverages and tobacco not to mention alcohol and confectionery items, but the real difference is in the level of service available. For example, people that are planning to travel can drop off their bags at the store where a service delivers them to the airline. Kombini are also a place where people can find a restroom even if they don’t plan to make a purchase. According to Jen, people look to the Kombini as places that make life easier. “I would be very surprised to find

a sign in a window that said washrooms were for patrons only. In Japan everyone is a patron of the Kombini.”

The idea is to get people coming in as often as possible. Need theatre tickets or a pass for a music festival? Look no further than the kiosk at your local Kombini. Do you need cash or want to send a money order to Tibet? Operator 7/Eleven has its own bank – Seven Bank – and it works with Western Union to provide International transfers at more than 12,000 C-store locations in Japan. Many stores also offer business tools like fax machines and photocopiers as well as a location to buy bus tickets, and train tickets or pay a water bill. 7/Eleven even provides free WiFi connectivity at it locations under the ‘7Spot’ signs in store.

Kombini’s also offer patrons tobacco and liquor 24 hours a day. In Japan youth need to be 20 years of age to purchase age controlled substances. One difference operators have between age restricted sales in Canada and those in Japan is that the customer must indicate they are of age by pushing an acceptance tab on the sales screen before the purchase can go through.

Jen remarks that the speed of life in Japan can make day-to-day struggles seem more daunting. “We look to the Kombini shops for the simplicity they bring. They are our helpers in a difficult world,” she says.

Here, Ren Smith agrees. Smith is an Ontario-based business consultant who advises on retail. He sees Canada’s con-

venience landscape turning to services like ATM (financial), video rental, prepaid cards, and other sectors like propane sales and repair facilities for about 10 per cent of sales. According to Smith, operators need to be wary of declining segments like tobacco that have propped the industry for so many years. “Retailers need to look harder at new sources of sales to replace those that are falling below the horizon line. To do this they must look inward to better understand their solid customer base and then look outward to see from where new business can come. I believe that expanding the services on offer is a perfect way to attract new trade,” he says, suggesting retailers simply ask their customers what they want and then deliver. In this vein he sees more foodservice coming to help with time crunched customers as well as more locations selling government licenses (park passes, fishing licenses or trash tags) not to mention utility payments and transit tickets. “There is money to made selling tickets to local events as well as doing money transfers. When people need a service C-stores need to be the place where services are found. Simply having a bunch of shelves selling the same goods as the grocer up the street will no longer cut it, especially when the large grocer is open long hours seven days a week.

C-stores cannot compete with big food retail on price. C-stores must compete on service. This is where the battle for sales will be waged. Is your store ready?”

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68 July | August 2014

Better Layout and Plan-o-gram Translate to Better Sales

by Tim Rafter and Lee Wilson, McCowan Design & Manufacturing Ltd.

The next thing to do is to check out the competition in your immediate area and beyond. Act like a consumer not an operator when you’re in your competitor’s stores. What are they doing well? What new products or merchandising ideas are they offering? How much space has been allocated to different product categories? What are your competitors doing poorly?

Are you guilty of doing the same? Summarize the strengths and weaknesses of your competition and yourself.

Poll your customers and find out what they like and what they don’t like about your store. What new products and services would they like you to carry? Also, discuss this with your staff and find out what they have seen at a competitor’s store or if they have ideas about what changes you should make.

Analyze your operating numbers. Know your sales volume and gross margin in each product category, the importance of the product category to the overall business and whether its sales are increasing or declining. Then take a look at how

much floor space is devoted to each category. Identify the categories that are no longer providing a good return and plan to eliminate them. Take note of the best selling categories and plan to expand the offering and also consider consumer trends affecting product categories and the potential sales in terms of dollars and units.

After doing this research, the end result should be a “to do” list. You may need to hire the services of an expert who can help you prioritize and fine-tune your list, recommend any oversights and help in its implementation. If this exercise suggests you need to renovate or make corrections to a renovation that is not yielding the results you had expected, then this expert should be skilled in the preparation of store layouts, merchandising plan-o-grams and recommendations for fixtures and equipment; tools that are integral to your image and will in turn grow sales.

CONVENIENCE & CARWASH CANADA

69

A store layout is a scaled drawing of your store that takes into account the footprint, size, type and placement of fixtures, cash and service counters, lighting and equipment.

Placement of these items must optimize function and allow for the logical flow of customer traffic leading them to and through your displays to their final destination: the cash counter.

• Highlight the key products and services that you offer (such as confectionery, food & beverage, grab & go) • Make it easy for customers to quickly see what you have to offer, to find what they want to buy, and get on their way • Allow customer traffic to flow easily through the store using all the space effectively • Display impulse-oriented products in high traffic areas to increase sales • Group related products together • Ensure that the space occupied by a product category is balanced with its contribution to total sales. This is a general rule of thumb. If industry experts tell you that the growth potential is high for a particular category, then more space can allocated to that product This proposed store layout makes it easy for customers to quickly see what your store has to offer, locate what they want to buy, and get on their way. Traffic flow allows customers to move easily through the store. Related products are grouped together and impulse items are located in high traffic areas in order to boost sales.

A plan-o-gram is a detailed diagram of a shelf, fixture or section showing the location and space to be occupied by each product and is based on your market area’s demographics, shopping behaviors and wants and needs. When plan-ograms are teamed with the correct fixtures and equipment, it creates a winning scenario by optimizing available shelf space and inventory turns, therefore, increasing sales and profit per square foot. The basic goal of plan-o-grams for large retailers, besides maximizing sales, is to provide consistency across the brand. For all retailers, it is used to optimize product placement and coordinate your offer with the optimal number and placement of product facings. A facing is a row of products on a shelf. A plan-o-gram shows shelf heights, the amount of facings and product placements, which determines on which shelf and where on the shelf a product should be placed.

• Locate best selling, higher margin products in the best selling position (for example, where the product is most easily seen and shopped by your customer) • Allocate enough space to a product to create enough visual impact. Smaller packages may require more than one facing to be seen • Provide enough space for growth categories • Provide tighter control of inventory and full facing of displays • Make product replenishment more consistent and easier for staff As competition in the c-store marketplace increases, merchants are becoming more and more aware of the value in using the correct store fixtures, feature displays, cash desks and service counters, and the right assortment and placement of product in their offer.

Left photo: The cash counter in this store was messy and poorly merchandised. Right photo: After a carefully planned renovation using store layouts and plan-o-grams, the result is a well organized, well stocked cash counter that places better selling, higher margin products in the best selling location.

70 July | August 2014

Three main factors should be considered in evaluating the effectiveness of your plan-o-gram: Performance, Assets and Productivity. This exercise assumes that you have comparable statistics prior to your renovation.

• Movement – How many units did you sell? Typically expressed on a per store, per week basis. Measures demand and traffic • Sales – How many overall dollars did you generate? Retail price x movement. Measures dollar volume through the cash register.

• Gross Profit (Gross Margin Dollars) – How many dollars did you keep? (Retail Price – Unit Cost) x movement. Measures profitability

What did you invest to get the return?

• Space – How much space was required for the category?

Measured in linear, square, or cubic feet • Inventory units (capacity) – How many units fit on the shelf?

Based on the product dimensions, shelf dimensions, and how the product is merchandised with facings • Inventory dollars (capacity x unit cost) – How much money does it take to fill the shelf? Based on the item capacity within the plan-o-gram and the cost of the item

• Movement per foot – this measures movement generated per foot of space allocated and answers the question – how productive is the space in generating traffic?

• Sales per foot – this measures dollars generated per foot of space allocated and answers the question – how productive is the space in generating sales?

• Gross profit per foot – this measures gross profit generated per foot of space allocated and answers the question – how productive is the space in generating profit dollars?

• Shelf Turns – this measures how many times you will sell through the units on the plan-o-gram in a year, assuming similar movement and is a measure of stocking efficiency Ultimately, the way in which you execute your layout and plan-o-gram will determine the success or failure of your investment. Factoring in all the information just presented, you now understand that you must find the best offer for your demographic and make sure you have the most aesthetically pleasing environment, from the fixtures to the lighting, to the product mix. This will result in a successful and profitable renovation. To quote a major influence in the c-store industry, Hugh Large, aka The Convenience Guru, “Although you will find that this is not a simple exercise, it is an important one if you are to better satisfy the needs of your customers and improve the sales and productivity of your store.”

The c-store industry has changed dramatically. What may have worked in the past is no longer good enough in today’s competitive market. The bar has been raised in terms of consumer’s expectations. While a renovation sounds and looks simple, it has become a complicated and sophisticated process.

Bottom line? Find a professional to help with your store layout and plan-o-gram and then partner with reputable store fixture and equipment suppliers who can put your plan into action.

The plan-o-gram is a merchandising tool that shows the location and space on the shelf, fixture or section where each product will be displayed. Plan-o-grams help in maximizing the sales and profitability on a per square foot basis.

TESTIMONIAL

Pioneer Energy: “The key to a successful renovation is to properly layout and merchandise your c-store maximizing the available space. Using fixtures, equipment and coolers that are specifically designed for this small footprint environment will yield great results and maximize your return on investment. Pioneer Energy offers valued added store design services to its dealer partners to help them improve their businesses and to offer our mutual customer a consistent brand image across our network.”

Pearl-Ann Prieur, Merchandising Coordinator, Pioneer Energy

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by Julien Holden

TimberFalls Store and Auto Spa Gets ‘A’ for Social Media Prowess

E

Each issue, Convenience and Carwash Canada features stories about retailers that use social media to enhance their customer experience. So when Jim Stuart, General Manager at TimberFalls Store and Auto Spa sent us his social media links, we decided to take a tour and experience firsthand what their customers see. Almost immediately we saw that their social media experience stays true to their tagline, ESCAPE… EXPERIENCE….ENERGIZE. Using a tagline that genuinely reflects your organization’s personality is the first step towards good social media. And you don’t have to search hard to find TimberFalls online, just type in their name and a host of links to their videos, and other social media sites pop right up.

TimberFalls Store and Auto Spa is a unique business that includes a Cstore, mini food court, Carwash, and Petro-Canada gas bar. They are located in Steinbach, Manitoba and just celebrated their first anniversary with a big bang. They held an on-site event with prizes, great food and free carwashes to thank their customers. The event was

72 July | August 2014

advertised on their Facebook and Twitter pages and sparked a community discussion and a host of well wishes and great reviews from customers.

This link to their grand opening video quickly shows viewers why the TimberFalls Store and Auto Spa is a destination point (http://vimeo.com/68421155).

The video takes you on a walk through the site and makes you want to jump in and join the festivities. The TimberFalls team stays current and interactive with their online community by responding to posts, comments and suggestions.

Successful social media requires robust and real-time interaction with customers — online.

THE TENETS OF TIMBERFALL’S SOCIAL MEDIA

There are several tenets to TimberFall’s social media content centered around their new website, YouTube, Vimeo, Twitter and Facebook offerings. These include event announcements and coverage, education, testimonials and in-store product offerings, especially in their unique restaurant.

EDUCATION

You may wonder what kind of education grabs the attention of a carwash patron. It might surprise you that TimberFalls takes great pride in letting their customers know how environmentally friendly their wash system is. Their eco-friendly car wash uses chemicals that are kind to the environment and the wash is designed to use fewer chemicals to clean vehicles.

Many of their customers get satisfaction out knowing that their cars will come out sparking clean, but that they are also using an environmentally friendly wash.

You can find out more information about their washes at www.timberfalls.ca.

TESTIMONIALS

TimberFalls uses testimonials to solidify their position on offering superior customer service and also helping customers understand how important they are to TimberFalls. That’s their highest priority and they want every customer to have a positive shopping experience each time they visit. Testimonials also help the staff take pride in the service they offer and are educational as well. TimberFalls is

the business of satisfying the wants and needs of their customers—who come first every time.

FOOD SERVICE

Social media has been key to describing TimberFalls” unique in-store experience, that includes a restaurant, fresh pasta and baked goods, a candy store and place for friends and groups to meet. To help them achieve this, they fill their social media pages with images of tempting food offerings and also advertise specials online. Their food images are crisp and colorful to entice customers to come try the mouthwatering delicious food.

COMMUNITY FUNDRAISING

With a new website in place, TimberFalls

Store and Auto Spa wants to incite more interaction with customers and community groups that want to partner with them on fundraising efforts.

Jim Stuart, TimberFall’s General Manager says, “We want our new website to facilitate more interaction with customers so they can book appointments for interior cleaning, catering services, and sign up for other activities online. We want to help organization in their fundraising quests and provide information and links for these initiatives. This will be win-win for everyone”. Stuart wants customers to sign up for email offers. And in the future they are creating a carwash membership program so interactive capability is becoming an increasingly important role of the website.

STAYING UP ON SOCIAL MEDIA TRENDS

It’s no surprise the TimberFalls Store

and Auto Spa have a robust and healthy social media presence. They work hard to stay on top of new trends and implement them. Jim Stuart recently attended the International Car Wash Show in Chicago and had this to say, “It was very informative and the sessions we attended were up to date with the newest trends and uses of different types of media. It also blended information on how the Car Wash Industry uses different types of media to promote the business end of Car Washes”. “I recommend these types of seminars or workshops to everyone.”

Social media offerings are continually evolving and it’s important for retailers to stay on top of these trends. The next time you are at an event take the time to attend the social media sessions offered by event organizers, there is always something new to learn.

Share your unique social media story with us. Or, send us your questions so we can continue to feature the social media power users in our industry, and stay up on new trends. bjjohnstone@convenienceandcarwash.com.

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by Kelly Gray

Wilson and McCowan Design Join Forces McCowan Design and Manufacturing, Canada’s leading manufacturer and supplier of innovative, modular merchandising systems, service counters and point-of-sales display products to the gas bar, convenience store and food service industries, has announce that it is now under new management and ownership. Last December, McCowan was acquired by an affiliate company of Wilson Display Limited, one of Canada’s largest store fixture manufacturers.

McCowan’s new relationship with Wilson now gives it access to a wider variety of quality products and services, including design and engineering, inventory management, global sourcing, logistics and installation of larger roll-outs. Wilson Display is the Canadian partner of Leggett & Platt Store Fixture Group, based in the United States.

McCowan will operate as a separate business unit. Its dedicated team of professionals will focus on its commitment to its customers, old and new, from large national chains that are

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looking to enhance brand image and sales, to independents that need help with store layout and merchandising display solutions. McCowan will also continue to provide the industry with high quality, modular paypoint and service counters, specialty fixtures, shelving systems, forecourt merchandisers, security cabinets, tobacco display ban solutions, waste units and signage.

“We look forward to building a larger and stronger store fixture group through the addition of McCowan. Both companies will mutually benefit from this affiliation through expanded capabilities and resources. Over the many decades of successful business, McCowan and Wilson have demonstrated a deep commitment to serve retailers and we will continue to strengthen this tradition.

Together, we will build our strong presence in North America; we see an opportunity for many years of growth for both companies,” said Frank Ruffolo, President of Wilson Display.

Award Winning Premiere magazine published for the convenience store, petroleum and carwash industries.

Reach Diverse New Markets.

Advertise Today!

Free Subscriptions! go online to subscribe visit: www.convenienceandcarwash.com To register your company to be listed in our NEW REAL-TIME Resource Directory and the NEW REAL-TIME Carwash Buyers Guide.

For advertising information contact Cody Johnstone at 416-838-4674 or email: codyj@convenienceandcarwash.com

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WHAT’S NEW Calling All Soda Lovers!

Grace Kennedy introduces new soda flavour: Pineapple Coconut The Grace Famous Island Soda family has grown.

Grace Kennedy officially announced the launch of their newest soda, ‘Pineapple Coconut’.

Pineapple Coconut is a beloved flavour in the Caribbean and promises to be a refreshing favourite with Canadians.

“We are excited about the launch of Pineapple Coconut,” said Janice Harada, Marketing Manager for Grace Kennedy. “The initial response from Canadians has been terrific and we look forward to growing the brand from coast-to-coast.”

Pineapple Coconut joins other Grace Famous Island Sodas, including: Orange Drink, Lemon Lime, Pineapple Drink, Cream Soda, Fruit Punch Drink, Grapefruit Drink, Kola Champagne, Ginger Beer, Green Apple and Banana Drink.

Island Soda is available in an easy to carry 12 packs.

Look for Grace in the international section of your favourite grocery store or ask your store manager for Grace products.

Discovery Communications and Single Cup Coffee Launch New Cake Boss Coffee Line The new coffee line inspired by the hit TLC series is Keurig®compatible Discovery Communications and Single Cup Coffee announced today an innovative new line of Keurig®compatible single serve coffee cups inspired by the hit TLC series, Cake Boss. The line, debuting this month on TLCstore. com, starts with the smooth, medium roast Buddy’s Blend as the perfect complement to your favorite dessert.

“Whether at home, in my bakery or on the road, I don’t start my morning without a hot cup of coffee,” said Buddy.

“I’ve been working with TLC and the coffee pros at Single Cup Coffee to create a variety of coffee flavors unique to Cake Boss that can satisfy both the sweet tooth and coffee craving.”

Now you can have your cake and drink it too with eight blends including: Buddy’s Blend, Chocolate Cannoli, Chocolate Fudge Cake, Dulce de Leche,Dulce de Leche Decaf, Vanilla Buttercream, Hazelnut Biscotti,Raspberry Truffle, Italian Rum Cake, “Cake Boss coffees offer a fresh take on what we expect from our existing single serve coffee lines,” said Tim Cook, President of Single Cup Coffee. Retailers across the US and Canada will begin stocking the product in spring 2014.

For more information on Cake Boss Coffee and Single Cup Coffee, please visit SingleCC.com.

Add Biometric ID without Replacing Card Readers Eliminating the need to swap out traditional card readers for biometric readers, The contactless Zwipe biometric card reads the user’s fingerprint in less than one second and, once verified, sends a signal to the reader to unlock the door. This eliminates the risk of lost or stolen cards being used for unauthorized access as well as strengthening the audit trail of accountability.

Eliminating the problems of solely deploying PINs and standard cards, the contactless Zwipe biometric card lets convenience employees authenticate themselves directly on the card through a fingerprint.

The biometric card is safer to use than other available ID and authentication solutions on the market today. The fingerprint data is captured by the on-card fingerprint scanner and is thereafter encrypted and stored only inside the card. No exchange of data is conducted with external systems. This provides secure template management since the fingerprint never leaves the card. It also eliminates user concerns with privacy issues. The card is unique to the user and only the authorized cardholder can activate card communication with the reader. When a positive match occurs, the Zwipe biometric card activates encrypted communication with the existing lock or reader in the same way as other contactless cards.

For more information visit www.zwipe.com

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ICS deploys the 1st PCI PTS 3.X Compliant & EMV Certified (chip & pin) outdoor payment terminals in Canada Wind Gap, PA, June 20, 2014– Innovative Control Systems (ICS), a long time leader in the car wash industry, has partnered with Ingenico Group, a leading provider of payment solutions in over 125 countries, to bring outdoor payment terminals equipped with Chip & Pin technology to Canada. ICS offers payment solutions for all segments of the car wash industry and beyond. In conjunction with Ingenico Group’s rugged and secure payment hardware, ICS was able to build an outdoor payment terminal that complies with PCI PTS 3.x & EMV certification while offering the most comprehensive car wash management system on the market.

If you would like more information about this topic, please contact ICS Sales at 800.642.9396 or email sales@icsCarWashSystems.com

Guy Fieri’s Joins Keurig® in Flavourtown From the bold dark roast taste of Redwood Roast to funky flavors like Hazelnut Cinnamon Roll and Hot Fudge Brownie, Guy Fieri is bringing a full menu of fresh, new coffees with Guy Fieri’s Flavortown Roasts™. A line of eight unique coffee varieties available in Keurig®compatible single serve coffee cups, Guy Fieri’s Flavortown flavors include: • Bananas Foster • Caramel Apple Bread Pudding • Chocolate Mint • Guy’s American Diner Blend • Hazelnut Cinnamon Roll • Hot Fudge Brownie • Redwood Roast • Unleaded Decaf “Many of the coffee choices for Keurig owners have been the same for years –Guy Fieri is adding fresh new options and one-of-a-kind flavors,” says Tim Cook, President of Single Cup Coffee, the company distributing the new line.

For more information on Guy Fieri’s Flavortown Roasts and Single Cup Coffee visit SingleCC.com.

KPS LPG Pipe Approved by TÜV OPW has announced that its KPS LPG Pipe System™ is now approved by TÜV SÜD for use on LPG filling stations. The TÜV approval validates that the KPS LPG Pipe System™ is fit for its intended purpose and may be used on German LPG refuelling stations. TÜV has concluded that KPS LPG piping will have a service life of 25 years.

As no common European standard for plastic LPG piping exists, the TÜV approval is an important step towards introduction of KPS LPG piping, not only in Germany, but also in other countries as TÜV is a recognized authority.

Important advantages with plastic LPG piping is that corrosion problems can be avoided completely and installation time considerably reduced. Plastic piping systems will also not have problems with corrosion on the inside of the piping that will cause loosening particles to contaminate the fuel, something that can occur with steel piping.

OPW’s KPS LPG Pipe System™ includes the LPG pipe in 40, 60, 80, 100 or 120 meter coils and mechanical stainless steel fittings that can be installed using inexpensive standard tools. If bends are desired, the pipe is bent and fitted on site, using a simple bending tool with no welding is required.

For more information on the KPS LPS Pipe System™ visit www. opwglobal.com.

Ad Index Bulloch Technologies Inc............................................. 73 Containment Solutions Inc............................................ 8 Macneil Wash Systems Introduces Industry’s Premier Virtual Tunnel Configurator Barrie, Ontario, Canada (May 20, 2014) – Prospective car wash investors looking to visualize their dream of either an express or full-service tunnel now have a truly advanced and cutting edge technology tool in the MacNeil Carwash Configurator, a software-based virtual simulator from MacNeil Wash Systems.

Developed exclusively for MacNeil distributors and sales associates, the state-of-the-art configurator enables clients to build and customize both three-dimensional perspective and plan-view layouts of a car wash tunnel with a simple series of clicks and drag-and-drop movements where the future owner-operator can move various components of the wash into place and expand and contract the tunnel based on planned space availability. For international customers, an added bonus to the system includes the ability to align right- and/or left-hand layouts to accommodate driver-directional patterns.

For more information, please contact: Susan Chappel, Marketing Coordinator, MacNeil Wash Systems Limited sue@macneilwash.com; (800) 361-7797

Core-Mark International Inc................................. 21, 68 DirectCash ...............................................................OBC Gourmet Chips .......................................................... IBC MI Petro/McIntosh Petroleum Industries ................. 17 National DSD ..............................................................IFC Naturo Group .............................................................. 18 National Environmental Fiberglass ........................... 11 OPW Fueling Components ....................................... 14 Petroleum Equipment Institute ................................. 62 Pumps & Pressure ....................................................... 16 Scholtens ...................................................................... 20 Tanknology ................................................................... 13 The Scan Group .......................................................... 66 WPMA........................................................................... 22 ZCL Composites Inc. ................................................... 10

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78 July | August 2014 1. axe handle leaning against car, 2. pink folding chair right of table, 3. colour of chair pad foreground, 4. cutlery on plate, 5. grass in front of boat trailer, 6. colour of cups on table, 7. mustache, 8. small box on fender of boat trailer, 9. package in trunk, 10. Sasquatch in trees.

10

Differences between left and right photos. Spot all 10.

There are 10 differences between these 2 photos. See if you can spot them.

CHANGEOVER

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ATMs POS Solutions Prepaid MasterCards® Phone Cards Gift Cards

p 1.888.414.3730 e sales@directcash.net w directcash.net 80 July | August 2014