Build it by East Coast Promotions

COMPANY PROFILE

2015

Build it

www.buildit.co.za | +27 (031) 719 1759

company profile

30 years of success

Editorial: Ajuanne Payne

Message from Wayne Hook: New Business / Support Services Director - SPAR On Build its’ 30th Anniversary – “Build it is an integral part of the growth strategy for SPAR. The Build it Group has, amongst its members some of the most passionate people in the retail world. It’s this passion, commitment and drive that has created a brand like Build it. The relationships with our retailers, DC staff and suppliers are what makes this business special. As we seek new opportunities for growth, it’s these relationships which keep us together and galvanise our family in a tough market. “Together, we choose to see a bright future. This optimism, coupled with the best people in the retail sector, will ensure our growth. Let’s celebrate our past and look to the future with hope, optimism and focus on being the best.”

Build it is one of the top three independent retailers in South Africa specialising in building materials and related hardware. With a market leading growth in the hardware and building materials industry, it is a dynamic organisation and one of the most successful divisions of the SPAR Group. With over 300 stores across a growing Southern African footprint, Build it currently employs around 8250 people, serviced by six regional offices, a central head office and a distribution centre. A builders’ merchants supplying everything you may need to build or renovate a home, the company’s main focus areas are build it yourself, SME’s and contractors and embracing all activity within the building and hardware industry, the

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company aims to provide full solutions from the ‘foundations to the finishes’. Over the last 12 years the company has consistently out-grown the market and is the fastest growing hardware and building materials group in Southern Africa. Managing Director, Ray Whitmore, has been an integral part in its ongoing success story and has a long history, first with SPAR and then with Build it. “I started in SPAR over 30 years ago. I’m a chartered accountant, and was in a financial position to start with. I then moved to become Managing Director of SPAR Western Cape and thereafter I’ve headed up Build it. I’ve been in Build it for 15 years.” Build it began life in 1985, it started as part of a SPAR store in the rural areas of KZN and some of

Build It

the SPAR retailers went into hardware stores and it’s grown ever since. It used to be a department within SPAR stores but now it exists as standalone units only. After moving inland in the 1990s expansion was fast and a decision was made in 2000 to take the group national. The retail sites grew from 26 to 172 in just five years after this, covering the whole of South Africa, Swaziland, Namibia and Lesotho. “There was a need from the SPAR customers to have building materials hardware and the demand was big enough to have as a separate brand.” Apart from stocking all major brands in the industry, Build it has its own high quality house brand under the Build it name. These products offer the consumer a high quality products at the best value for money.

OUTSTANDING GROWTH Wi t h m a rk e t s be c om i n g t oug h e r a n d m ore c om pe t i t i v e , a qua l i t y a n d t a i l or-m a de s e rv i c e i s w h a t s e t s a c om pa n y a pa rt . B oa s t i n g a m a rk e t l e a di n g g row t h , B ui l d i t h a s g on e from s t re n g t h t o s t re n g t h s i n c e i t s n a t i on a l l a un c h i n 2 0 0 0 a n d h a s s pe n t t h e ye a rs s i n c e foc us i n g h e a v i l y on s t a ff de v e l opm e n t , m a rk e t i n g a n d i n v e s t m e n t s ba c k i n t o t h e bus i n e s s i n fra s t ruc t ure t h a t h a v e c e m e n t e d i t s pos i t i on a s a t rus t w ort h y bra n d s yn on ym ous w i t h h i g h qua l i t y s e rv i c e a n d produc t s . “ T h e m a rk e t ’s v e ry c om pe t i t i v e a n d t h a t ’s i n c re a s i n g be c a us e of t h e n um be r of n e w e n t ra n t s c om i n g i n t o t h e m a rk e t . B ut i t ’s a bi g i n dus t ry a n d t h e re ’s pl e n t y of opport un i t y,” s a ys Wh i t m ore .

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company profile

T h i s i s es p ecially true for Build it – the c o m pa n y has gro w n f rom a turnov e r of R2 3 0 m i l l i o n in 2001, to an incre dible R9 .4 billion i n 2014. I t is clear that its mission to dominate t h e s up p ly o f b as ic b u ilding mate rials marke t i n S ou t hern Af rica is we ll unde rway. In o r der to ens u re that it upholds its r e p u t a t i o n f o r s u p erio r se rv ice , staff training a n d de v elo p ment is a hug e focus for Build i t . I t op erates in an are a of re tail whe re pr od u c t kn o w led ge an d a fle xible approach to c u s t o m e r s ervice is key and as such, re cog nise s t h e n e e d to no t o nly inv e st in training such a s l e a d e rs h ip , s elling, f irst aid, product and s e r v i c e t rain ing b u t also to ce le brate the i n di v i d u al s u cces s es o f e v e ry staff me mbe r i n e q u a l meas u re. The c ompany holds ye arly a w a r d s an d has vario u s opportunitie s for staff m e m be r s to b e reco gnise d and re warde d for t h e i r h a rd w o rk. T h e c omp any ’s vo lu ntary trading busine ss m o d e l h a s als o kep t it ahe ad of the pack ov e r t h e y e a r s. A f lexib le mode l, e ach me mbe r h a s t h e ad van tage o f gre at indiv idual buying po w e r, a s w ell as acces s to a wide -rang ing di st r i bu tio n and d elivery ne twork, a strong

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re g i on a l a n d n a t i on a l a dv e rt i s i n g prog ra m m e and a ful l l e a de rs h i p a n d c on s ul t a n t s e rv i c e , wh i l e s t i l l be i n g a bl e t o re m a i n re l a t i v e l y inde pe n de n t . I t i s a s t ruc t ure t h a t e n a bl e s t h e re t a i l e r t o co m pe t e w i t h t h e m a jor c h a i n s a n d w i t h i n t h e syst e m e a c h re g i on h a s i t s ow n m a n a g e m e n t struc t ure t o c a t e r t o l oc a l m a rk e t c on di t i on s , ful l y s upport e d by t h e B ui l d i t h e a d offi c e . “ T h e s e pa s t 3 0 ye a rs h a v e s e e n our s t ore nu m be rs g row s i g n i fi c a n t l y. T h e foun da t i on of t h i s g row t h h a s be e n h ug e c om m i t m e n t a n d te a m w ork from our re t a i l e rs , s uppl i e rs a n d Bui l d i t s t a ff,” s a ys Wh i t m ore .

A STRONG BRAND Bui l d i t i s e s s e n t i a l l y a n a s pi ra t i on a l bra n d - it s e l l s produc t s , s e rv i c e s , a n i n t e ra c t i v e sh oppi n g e x pe ri e n c e a n d proje c t s ol ut i on s th a t t a p i n t o a c us t om e r’s pri de i n t h e i r h om e . It de a l s w i t h c us t om e rs m a k i n g s om e of t h e larg e s t a n d m os t c on s i de re d purc h a s e s t h e y can m a k e - for m os t c us t om e rs , bui l di n g or re n ov a t i n g a h om e i s c e rt a i n l y a h ug e inv e s t m e n t a n d n ot t o be t a k e n l i g h t l y. A s w e l l a s e n s uri n g t h a t i t s c us t om e rs g e t

Build it t h e right s ervice in -store , Build it has worke d t i r e l es s ly o ver th e ye ars to stre ng the n its r e pu tatio n as a b rand that can be truste d and o n e that can exactly se rv ice a custome r’s ne e ds. “A s a team, w ith our re taile rs and supplie rs, w e h ave managed to build a g re at brand,” says W h i tmo re. “Ou r p eople , our re taile rs and s up p liers , w e’ ve ma nag e d to g row and de v e lop a f a ntas tic b rand f rom v irtually nothing in the l a s t 3 0 y ears an d f or me , that’s be e n fantastic t o be p art o f . I t’s re ally a te am e ffort. The s up p o rt w e’ ve go t from our supplie rs, our r e t a ilers an d every one , it’s be e n a fantastic r i d e .” T he s trength o f the Build it brand can v e r y mu ch b e attribute d to the company’s d e d i c atio n to co llaboration and working t oge th er an d als o to its continuous inv e stme nts i n h igh q u ality marke ting and adv e rtising . I n o rd er to help t he company liv e up to its s l o gan o f ‘ makin g home building simple ’, the c om pan y ’s ad vertis ing e nde av ours are mostly f o c us ed aro u nd co nne cting with its custome r’s o n a n emo tio n al leve l and re assuring the m that

B ui l d i t i s t h e re t o h e l p e v e ry s t e p of t h e w a y. T h e e s s e n c e i s t o l e t i t s c us t om e rs t e l l t h e i r ow n s t ori e s of h ow t h e c om pa n y h a s h e l pe d ‘m a k e h om e bui l di n g s i m pl e ’ for t h e m . O n e of B ui l d i t ’s re c e n t , a n d m os t s uc c e s s ful , c a m pa i g n s w a s t h e S I N AWE c a m pa i g n , l a un c h e d l a s t ye a r. Tra n s l a t e d a s ‘w e a re w i t h you’, t h e T V c a m pa i g n s h ow c a s e s B ui l d i t c us t om e r’s s uc c e s s ful h om e bui l di n g proje c t s a n d i s t h e foun da t i on for t h e h i g h l y s uc c e s s ful S i n a w e 7 2 T V s h ow s t a rt i n g i n M a rc h l a s t ye a r, S i n a w e 7 2 i s a h om e -m a k e ov e r re a l i t y s e ri e s t h a t h e l ps four fa m i l i e s t o m a k e t h e i r h om e re n ov a t i n g dre a m s c om e t rue by g i v i n g t h e m a c h a n c e t o m a k e ov e r t h e i r h om e s . O v e r a n on s t op 7 2 -h our pe ri od t h e fa m i l i e s , a l on g w i t h a ‘B ui l d i t c h a m pi on ’ t o m e n t or e a c h t e a m , re n ov a t e t h e i r h om e s i n t h e h ope of w i n n i n g R 2 5 0 ,0 0 0 w ort h of bui l di n g m a t e ri a l s a n d produc t s from B ui l d i t . T h e T V s e ri e s ra n for 1 3 e pi s ode s a n d w a s a h ug e s uc c e s s , n ot on l y a s a n a dv e rt i s i n g c a m pa i g n for B ui l d i t , but a l s o a s a s t a n d-a l on e s h ow, bri n g i n g i n ov e r 1 0 m i l l i on v i e w e rs .

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company profile T h e sho w w as a p erf ect fit for the Build i t br a n d – an as p iratio nal show that he lpe d m a k e c us to mer’s d ream s come true and a coup fo r t h e b rand in terms of showcasing the c om pa n y ’s in-ho u s e expe rtise by way of the B ui l d i t mento rs f eatu r e d and its quality and va r i e d pro d u ct o f f ering .

30 YEARS OF SUCCESS One of the ways in which Build it promotes a culture of collaboration and togetherness throughout its organisation is through its annual convention for suppliers, retailers and Build it staff. Usually a three day event, the 2015 convention was a particularly special one for the company as it was also a celebration of its 30-year anniversary. With around 650 guests and various activities and awards, the convention is a chance for the company to celebrate its members and get feedback from every corner of the business. It is also a prime opportunity for retailers that wouldn’t otherwise interact to see what different areas of the business are achieving and potentially take new practices and ideas home with them.

Looking to the future and this dedication to re-investing in the business is well recognised at Build it as a key contributor to the company’s success and something that will not be changing any time soon – it is a business that always tries to anticipate what is needed and position itself accordingly. “We’ll continue to grow our existing business at a steady pace,” says Whitmore, “and in terms of new products it’s a continuous process - we’re always looking at potential new products. One of the key elements moving forward, in terms of our current builder’s merchant business, is going to be looking at sustainable products to build houses. Within the next couple of months we’re going to be launching a new DIY model. We’re builders’

FURTHER EXPANSION With the increasing economic growth being experienced regionally across sub-Saharan Africa and the subsequent growth of upwardly mobile middle classes, Build it is targeting Southern Africa for further expansion and is well on the way to having a comprehensive footprint across the whole region. With stores in South Africa, Namibia, Lesotho, Swaziland and Mozambique, the other Southern African countries will be targeted. In terms of future growth in South Africa, Whitmore explains: “It’s done on a regional basis – we have 300 stores so we’re well represented but there’s a few cities and towns we’re not represented in across the country target those opportunities.” On top of new sites for the company, Build it is always looking at ways to expand on its product offering and anticipate what its customers are looking for. As well as stocking all well-known industry brands in its stores, the company has a highquality house brand under the Build it name that offers great value for money to customers.

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CEO | Ray Whitmore

Build It

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company profile

merchants so we effectively do building materials and allied DIY, but now we’re launching stores under a new format; smaller format stores to cater just for DIY.”

BUILD IT UNDER 13 SOCCER Over the years, Build it has dedicated itself to social projects that benefit the community in various different forms, but one of the biggest of these endeavours is its involvement with under 13s soccer in South Africa. The company is committed to the development of soccer at grass roots level and its Under 13 Soccer Programme is one of the biggest junior development programmes in the country and a recognised brand in youth soccer. “We encourage all our retailers to host under 13 soccer tournaments. In the next year we’re probably going to do about 200 across the country. This means 200 of our retailers are going to be doing a soccer tournament and involved in the community and it’s fantastic,” says Whitmore. The soccer initiative was first launched in 2006 in partnership with SAFA’s local football associations and other National Football Associations in and out of South Africa and is aimed at uplifting young people throughout Southern Africa by giving them

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“200 of our retailers are going to be doing a soccer tournament and involved in the community and it’s fantastic”

Build It

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company profile

a chance to develop their sporting talents. Divisional Marketing Director for Build it, Rob Lister, described the programme as “the perfect opportunity for us to give back to the communities that have supported our brand and have made it into what it is today.” Build it has invested over R12 million in its under 13s soccer since inception and is one of the few companies to not just talk about community development, but to invest time and energy in a scheme that really does make a difference – a scheme that is today one of the biggest junior events in the country. Whitmore describes the initiative as one of the bigger milestones for the company in the last decade. “We almost own under 13 soccer in this country. There’s no one else that gives exposure to soccer in terms of breadth that we.”

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MAKING HOME BUILDING SIMPLE THE BUILD IT WAY. “The package that we offer our retailers is fantastic, from all aspects of business, financial management, IT, HR, the leadership - I think that’s played a huge role in our growth.” Whitmore explains that two of the most fruitful endeavours for the company in recent years has been its marketing campaigns and the growth of the Build it house brands, but that in terms of the company’s overall success, again it boils down to the spirit of collaboration entrenched across the whole organisation. “I think it’s the working together that’s been a major contributor to our success - the working together of our suppliers, retailers and ourselves in Build it. I think the teamwork that exists and the strong relationships that exist have been a huge part of our success,” concludes Whitmore

Build It

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