SEE FLOORING
differently
Karndean is invested in providing high-quality products that you can stake your reputation upon, including our new Knight Tile gluedown and rigid core products. With three well-stocked distribution centers strategically located across the country, our inventory support and partnership will continue to get you through this unpredictable time.
See for yourself at TISE booth 2221.
The official magazine of the World Floor Covering Association
Premier FLOORING RETAILER
2 5 Steps to Changing Your Destiny
Scott Humphrey, CEO, WFCA 6 Women of the Flooring Business: Breaking Barriers and Paving the Way
Lisbeth Calandrino, Flooring Specialist, Associate Publisher, and Director of Social Media for Fabulous Floors Magazine 8 Create a Chance to Dream!
Tom Jennings, Retail Training Expert 10 Engineered Floors: The DW Select Collection 12 Arbitration or Litigation: What’s the Difference — Which Should I Use?
On the Cover: Bruce Dogwood® densified wood flooring. Pictured here is Bassett Walnut Wire Brushed engineered hardwood. Features 8 ½" widths × ½" thickness, this low gloss wood flooring is: • Kid & Dog Proof
• Water Resistant • Mold and Mildew Resistant Made in the USA
Jeffrey W. King, Outside General Counsel for the WFCA 16 How Cleaning Products Can Be a Hidden Profit Center 18 Karndean Designflooring Celebrates 50 Years in the Flooring Business Bill Anderson, Karndean, Designflooring CEO 20 Help FCEF Fill the Map 22 Engineered Floors: Timberstep 24 Flooring Horror Stories — Don’t Let Them Happen to You Jason Spangler, Wagner Meters’ Flooring Sales Manager 26 We Have Always Done it That Way! Lewis Davis, Senior Director of Technology and Research 30 Metroflor Updates Evolving Design Trends for 2023 32 Evolving Trends Drive Design of Metroflor's New Inception Reserve SPC 34 4 New Technologies Making Flooring Dealers’ Lives Easier QFloors Co-founders Chad and Trent Ogden 46 FCEF Program Options 48 At AHF Products, We Move Heritage Forward 50 An Interview with AHF Products’ Brian Carson 52 AHF Products: Product Spotlights 54 “Dealer Spotlight: Contract Furnishings Mart & Robbins® Establish a Long-Term, Dynamic Partnership 58 Power Your Business with CHIPD 60 Navigating a Hard Insurance Market
Mark Manzi, National Brokerage Leader, Risk Strategies 62 The Staying Power of Family Businesses Freida Staten, V.P. of Marketing, Communications & Membership for WFCA
TAKING THE LEAD
5 Steps to Changing Your Destiny
Scott Humphrey CEO, WFCALet me begin by thanking our members for their support throughout 2022. It has been another strong year for the WFCA. We have seen substantial growth in both our Primary and Associate Membership. Our fcB2B membership has grown to its highest level ever. Even with its transitions in leadership, CFI ended with one of its best training years in history. Our marketing and communications continue to adapt to meet your needs. We now have a dozen G.R.O.W. groups, providing opportunities for you to learn from your peers across North America on a plethora of topics including leadership, legal issues, the commercial sector, the WFCA, retail, and many more. We continue with our flagship podcast: Leadership Live, Tom’s Tips, and Profit Matters. Our partners have also seen success in 2022. FCIF has seen continued growth in both donations and grants, and FCEF has paved the way for professionals in the field of installation to understand the exciting possibilities available. Add to that their success in graduating the first technical college class, one that is now accredited and expanding across North America. Yes, it has been a good year. But enough about our year, I want to talk about your 2023 and all the years that follow. Every year many of you set goals for what you want to achieve or how you want this year to be different. I want to give you five simple steps to achieve success in 2023 and beyond. If you follow these five steps, I can promise you a better year and a better life. To make it simple to remember, each word begins with the letter “F”:
Step 1: Forge In its simplest form, the word forge means to “make or shape by heating in fire” I want to focus in on the concept of making something new…of you. As per the definition above, this process is not easy. Change rarely is. Research shows the greatest minds of our time had one thing in common. They all overcame some challenge or hurdle to achieve their success. But I digress. I want to focus in on making something new by getting you to accept one simple fact. Writing down your goals is the first step to achieving them. Dr Gail Matthews, psychology professor at Dominican University in California conducted research showing that people with written goals are 42% more likely to achieve them. I could give you more, but if a 42% advantage is not enough for you, you likely will not read the rest of this article anyway. Lesson 1: Write down your goals!
Step 2: Forget — The greatest thing hindering your success going forward is your propensity to look back. I ask people all the time what their New Year’s Resolutions are (or as I like to call them New You Resolutions). I am amazed at the number of people who tell me they stopped making them because they failed so often. Please listen to
Research shows the greatest minds of our time had one thing in common. They all overcame some challenge or hurdle to achieve their success.
me, your past does not define you. Just because you failed before, does not mean you will again. Failure is an event, not a person. Why would anyone pass up the possibility to improve even if for only a day? Take the example of quitting smoking. Let us say you have tried before and failed. You wanted to quit for good and you only made it for two weeks. That is not a failure. That is two weeks of success. You have proven you can do it…now do it again, but longer. Same with diet, working out, relationships, etc.
Lesson 2: Forget past failures. The past is a great place to learn, but a terrible place to live!
Step 3: Focus — Simply writing down your goals and not letting the past hold you back is not enough if you truly want to achieve success. You must focus on your goal or goals. This is the reason I tell people not to attempt too many goals simultaneously. I believe having one to two specific goals for each area of your life: spiritual, physical, emotional, and psychological, is best. As my friend and author, entertainer, and juggler Dan Thurman can tell you, each ball you add to those you are juggling increases the degree of difficulty exponentially. When it comes to goals, fewer is better, and they should be important to your future success in both your personal and professional life. Henry Ford noted, “A weakness of all human beings is trying to do too many things at once. That scatters effort and destroys direction. It makes for haste, and haste makes for waste.”
Lesson 3: Focus daily on what you will accomplish. Limit your goals and make sure achieving them is vital to your success in work and in life.
Step 4: Forgive — As I noted before, our tendency is to quit if we try and do not succeed. You must be willing to forgive yourself for failing and not let the failure define you. It is important to determine ahead of time that failure is not the goal but is likely part of the process. If you quit after a setback, you could literally change your destiny. I won’t attempt to give you all the details, but here are some famous failures: Oprah Win-
frey (fired), Michael Jordan (cut), Walt Disney (fired), Steven Spielberg (rejected from film school), John Grisham (first book rejected 28 times), Henry Ford (first two auto companies failed), Jerry Seinfeld (booed off stage), Elvis Pressley (fired), Colonel Sanders KFC (rejected over 1000 times). Can you agree with me that these “failures” have impacted our lives and culture? Every one of them failed, and every one of them forgave themselves and moved on.
Lesson 4: Forgive yourself when you fail. Failure is just a speed bump on the road to your success.
Step 5: Finish — A goal without an end is simply a failed effort. You must have goals along the way to your success, and they must be focused and measurable. Many of you know that I am fanatical about doing pushups. I average over 100,000 a year and have done as many as 250,000. Each time I achieved that goal, I was determined to finish and knew the finish line when I started. Ironically, the year I did a quarter million was also the year I had a bad case of covid and missed an entire month. But that did not change the finish line, only the daily and monthly goal. I knew how many I had to do each day to reach my goal when I started on January 1. I also knew how many I needed to be successful each month. I simply did more in the months to follow in order to finish successfully. See your goal in segments. To say, “I will lose 50 pounds this year” is a finish line that likely will not be met. However, to say I will lose one pound a week and 4 to 5 pounds a month, is a finish line that can and likely will be attained. Every step along the way is a finish line leading to your ultimate win.
Lesson 5: Starting is easy, but to finish you must make the goal measurable and break it down into achievable segments.
At the WFCA, we are committed to being part of your success. Utilize our resources and reach out to let us know where we can better serve you. Follow the five steps above and make this your best year yet. I know you will! ■
Forgive yourself when you fail. Failure is just a speed bump on the road to your success.
“We look forward to partnering with Women of the Flooring Business in their purpose to educate, uplift, and empower women within the industry and to apply the same passion we have had for luxury vinyl flooring to their professional flooring careers, finding new ways of creating simply beautiful floors together.” Karndean Designflooring has been the premier luxury vinyl plank and tile flooring brand since 1973. Our sole focus is developing the most beautiful, realistic, and dependable luxury vinyl flooring that allows homeowners and end users to express their personal style and add value to their homes.” Jenne Ross, Director of Marketing, Karndean Designflooring
The official magazine of the World Floor Covering Association
Premier FLOORING RETAILER
A Special “Thank You” to all the manufacturers and their marketing departments who provided outstanding editorial to make this publication a success.
Publishing Staff
Margo Rodgers Locust, Publisher Karen George, Managing Editor Stan Michelson, Communications Director
Toelke Associates/Ron Toelke, Creative Director/Amelia Toelke, Project Designer
Editorial and Advertising Offices: Fabulous Floors Magazine, LLC Phone: 678-761-5002 Email: Margo@pfrmag.net
This Issue’s
Guest Columnists
Natalia Smith, Director of Design for Metroflor Mark Manzi, National Brokerage Leader, Risk Strategies
Contributing Writers
Chad and Trent Ogden, QFloors Jason Spangler, Wagner Meters
WFCA
Scott Humphrey, Chief Executive Officer Freida Staten, VP of Marketing Communications & Membership Steve Abernathy, Chief Financial Officer Kay Wiley, Executive Assistant to the CEO
Contributing Columnists
Lisbeth Calandrino, Lewis Davis, Scott Humphrey, Tom Jennings, Jeffrey King, Stacy Eickhoff, Freida Staten
The World Floor Covering Association (WFCA) Phone: 855-330-1183 Email: wfca@wfca.org
Premier Flooring Retailer is a joint initiative of the World Floor Covering Association and Fabulous Floors Magazine, LLC.
Copyright © FABULOUS FLOORS MAGAZINE and WFCA 2023.
All rights reserved. No portion of this publication may be reproduced in any way without written consent from Fabulous Floors Magazine, LLC or the WFCA.
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Although every effort has been made to ensure accuracy and timeliness of information, Premier Flooring Retailer Magazine cannot be held responsible for discrepancies, typographical errors, discontinuance of product nor color reproduction.
A G.R.O.W. Group Special Event
Tuesday, Jan. 31 at 10:30 am:
Come have a seat at the WFCA Booth at TISE 2023 for unique learning sessions on
Tuesday, Jan. 31 & Wednesday, Feb. 1 10:30 am & 2:30 pm
A Practical Guide to Independent Contractors
Jeff King, General Counsel for the WFCA, will share his expertise and discuss issues surrounding classification of independent contractors.
Lounge & Learn
Tuesday, Jan. 31 at 10:30 am:
Creative Ways to Increase Revenue
Michelle Winters and Lisbeth Calandrino of the Women of the Flooring Business, discuss customer behavior during times of recession as well as tactics and tools to increase confidence and creative ways to maximize revenue and sales.
Tuesday, Jan. 31 at 2:30 pm: Certificates of Insurance, Additional Insureds, and Contractual Requirements.
Stacy Eickhoff, Sr. Vice President Risk Strategies Company, discusses Certificates of Insurance, the importance of additional insured status, and why you need a contract to tie it all together.
Wednesday, Feb. 1 at 10:30 am:
Benefits of fcB2B - How to be More Productive
Lewis Davis, Sr., Director of Technology and Research for the WFCA, will show you how adding efficiencies through technology will add dollars to your bottom line.
Wednesday, Feb. 1 at 10:30 am:
Grow in Down Times with the Right Team
Michelle Winters and Lisbeth Calandrino of the Women of the Flooring Business, discuss maximizing talent, meeting the needs of your employees, and how to modernize management to offset the effects of the economic downturn.
Wednesday, Feb. 1 at 2:30 pm: Get Engaged with the WFCA and GROW with Us
Josh Young, engagement specialist with the WFCA, will lead a discussion on how to get the most out of your membership.
Your membership matters. Join us today. Visit wfca.org for more details.
US IN BOOTH
Women of the Flooring Business: Breaking Barriers and Paving the Way
Women have long been under-represented in the flooring industry, but times are changing! More and more and more women are entering the field and making their mark as successful business owners, designers, and installers. The trailblazers are breaking down barriers and paving the way for future generations of women into the industry.
According to the World Economic Forum, half the startups in 2021 were formed by women. This is a dramatic increase from 28% starting in 2019. The year 2023 marks the third year of continued growth or WoFB. The group now has over 40% more business owners! Women talk about business policies as well as their lives. In my experience collaborating with male entrepreneurs, business has been their whole life since adolescence. Women often start with marriage and family and then decide to become entrepreneurs. Like any other business group, the conversations are about business and include personal issues.
One such trailblazer is Moriah Hale, who owns Hale Flooring in Kamiah, Idaho. Despite facing challenges and obstacles as a woman in a male-dominated industry, Moriah has persevered and proved her worth repeatedly. Although the industry is new to Moriah, she continues to provide high-quality products and outstanding customer service.
“I grew up in the flooring business with my father, but instead of going into business, I went to college. When I graduated from college and returned home, things changed. My brother worked as a flooring installer at my dad’s store, and the business looked different. My dad was about to retire, so I decided to purchase the business. Right after purchasing the business, I joined the Women of the Flooring Business, Executive Group and have been involved ever since. The group has greatly helped me with business policies and conflicts; I look forward to our Thursday meetings.”
During the first two years, I continued to get questions about the seriousness and professionalism of our group. I always thought, what could be more serious than providing a forum for women to discuss their business concerns and conflicts?
It continues to provide opportunities for professional development and help women advance in their careers and succeed in business.
I always thought, what could be more serious than providing a forum for women to discuss their business concerns and conflicts? It continues to provide opportunities for professional development and help women advance in their careers and succeed in business.
Are Women Really Different Than Men?
According to McKinsey and Company, statistics tell us that more than two-thirds of women under 30 want to be senior leaders. In addition, we have more women in the workplace who intend to be leaders and business owners.
We all know that women think differently than men. If you think women’s leadership styles may differ, that doesn’t change the result. I’ve heard from male business owners that women make incredible salespeople and managers. The old stereotypes about us being more emotional, not wanting to achieve, and not having confidence is just that.
If we want women to achieve, businesses must develop a culture to support how women think and provide a career ladder for them. I remember when I went for my first job interview, they wanted to know if I planned to get pregnant! Of course, this is not a question you can ask these days, but I wonder if businesses don’t wonder whether they will lose an essential employee if she gets pregnant. Businesses need to understand how they will confront these issues and discuss them with their organization.
This is one of the things that businesses need to confront if they will retain good female employees. Cultures must support this. What can business owners do to advance these women and change their culture?
It’s essential to have regular training in diversity and inclusivity. I find that most of the training is done by larger companies, possibly they think they have more exposure. This training is important for all sizes of companies; it helps promote better teamwork, identify different groups and create a more harmonious work group.
The WoFB has experts to provide training for your company. For more information, send me an email at Lcalandrino@nycap.rr.com so we can determine your needs and plan your workshop. ■
#womenflooringindustry #womenoftheflooringbusiness #diversityandinclusivity #harmoniusworkgroups #womeninleadership
If we want women to achieve, businesses must develop a culture to support how women think and provide a career ladder for them. I remember when I went for my first job interview, they wanted to know if I planned to get pregnant!
TOM’S TIPS Create a Chance to Dream!
Itseems that without fail, every time that I have entered Surfaces on opening day,
I have found myself standing in the main display hall for a moment to let some of the beauty soak in. As I reflected, it became clear to me that this is a feeling that far too few in our business seem to understand.
Tom Jennings Retail Training Expert
Tom Jennings is a lifelong member of the flooring business. Since selling his family’s retail business in 2006, he has served the industry as an educator and speaker. He is a past board chairman of the WFCA and is currently the board chairman of WFCA Services, Inc. He may be reached at tomg.jennings@gmail.com
I always asked myself why there is such a disparity between the beauty of these presentations and those made by the typical retailer. It seemed that at nearly every turn there was another beautiful and innovative product to explore. It cannot simply be the products themselves, as aren’t these same products available to display in our stores as well? It’s surely not a requirement to have elegant surroundings. The convention center is basically a barn when empty. It can’t be because it takes too long for the average retailer to execute. The entire show is assembled in roughly four days. Why then is the typical retail showroom so much less appealing?
In my opinion, there are two prevailing reasons. The first is that as retailers, we don’t do nearly enough to excite our customers. When you walk onto the Surfaces show floor for the first time, there is a certain feeling of anticipation and excitement in the air. One cannot wait to see what’s new. Isn’t that how we want our customers to feel when they first approach our doors? They probably haven’t really focused on flooring products recently and are anxious to see what’s new and exciting. Ask yourself how much excitement is created when first entering your showroom.
The second reason that customers don’t see what’s new and interesting in our showrooms like they can at Surfaces is exactly that… they can’t see them! Why? Because there are so many wing racks of boring, indistinguishable products in the way! When you go to Surfaces, major vendors make no attempt to show every product in their lines — just the important ones. They show them in large pieces. They accessorize them well. They use proper lighting to highlight them.
When a customer enters your store, can they immediately determine which products are important? Does each display serve to impress the customer — or do they merely confuse them? If you have displays that do not build a compelling reason for the customer to desire the products shown — then get rid of them! I don’t care if the rack was free. Showroom space is valuable! There may be no greater expense to a retailer than a cheap sample display of a product that the customer wasn’t asking for in the first place, as they only serve to create confusion and to get in the way. Let the customer have enough space to be able to stand back and create a vision of how these products would enhance their surroundings.
For those who have attended the show, you know that the major vendors place emphasis on fashionable and creative displays. They plan for adequate space in both the display areas and the aisle ways. Contrast this to the feeling one gets in the show floor areas containing the smaller vendor booths. In these areas the aisles are more narrow and the lighting less dramatic. The displays are lined up side–by–side in rows. I have often got the feeling that I was lost in a maze! There may be a tremendous amount of product in these areas, but there sure isn’t much room to visualize or dream. When this happens, the emphasis invariably shifts to price alone. When making your plans for the upcoming Surfaces 2023, remember that when customers visit your stores they want to be wowed. They want to create a room in which they can express themselves and be proud of. While price is always a factor, it is seldom the prevailing issue if one gets emotionally engaged. This can only happen in our stores if we thin out our showrooms and allow it to. Are you giving your customers a chance to dream — or are they stuck in a maze? ■
Showroom space is valuable! There may be no greater expense to a retailer than a cheap sample display of a product that the customer wasn’t asking for in the first place, as they only serve to create confusion and to get in the way. Let the customer have enough space to be able to stand back and create a vision of how these products would enhance their surroundings.
...when customers visit your stores they want to be wowed. They want to create a room in which they can express themselves and be proud of.
While price is always a factor, it is seldom the prevailing issue if one gets emotionally engaged.
ENGINEERED FLOORS
The DW Select Collection
In 2022, Engineered Floors and Dream Weaver Carpet continues to expand the DW Select collection of product. DW Select, has become the leader in style, performance, and luxury. The DW Select collection delivers a flooring solution like no other. Advancements in manufacturing technology allows for DW Select to check all the boxes a consumer would want. Manufactured using our own PureColor solution dyed fiber, DW Select carpets are inherently stain and fade resistant. TwistX, a proprietary manufacturing process, delivers 3 times the traditional bundle size providing a plusher, comfortable experience underfoot with exceptional durability. For style, comfort, and performance, look no further than DW Select. ■
Top left: San Lucas Monterey; bottom left: Mojave Hillside; below: River Street Oglethorp
LEGAL MATTERS Arbitration or Litigation: What’s the Difference — Which Should I Use?
It is common for a contract to include a “Dispute Resolution” clause. The clause may require that all disputes arising under the contract be arbitrated. In another contract, the Dispute Resolution clause may require all claims be resolved in court, even specifying where a case can be filed. Still in other contracts, such as the standard AIA forms, the parties have the option of court litigation or arbitration to address disputes, while other agreements may not address the issue at all.
Jeffrey W. King Outside General Counselfor the WFCA
Jeffrey King has more than 35 years’ experience in complex litigation with a focus on contracts, employment, construction, antitrust, intellectual property and health care. He serves as legal counsel for WFCA and other trade associations, and is a LEED Accredited Professional. For more information, contact him at (561) 278-0035 or jeffw@jkingesq.com.
Should you include in contracts that disputes be arbitrated or litigated? Ask two lawyers and you may get two different answers, as many lawyers disagree on the merits of arbitration versus litigation. There are key differences between litigation and arbitration. You will need to balance the pros and cons of these differences to decide which process is best for you.
Arbitration
Arbitration is a procedure in which a dispute is submitted, by agreement of the parties, to one or more arbitrators who make a binding decision on the dispute. While the procedures vary by agreement, generally each party picks an arbitrator and the two arbitrators pick a third arbitrator. The parties can also agree on a single arbitrator or allow one of the arbitration services, such as The American Arbitration Association (“AAA”) or the Judicial Arbitration and Mediation Services (“JAM”), to select the arbitrator or arbitrators. The parties share the costs of paying the arbitrator for their time and expenses. Like litigation, both sides have a lawyer in arbitration, file a claim and response, and both make arguments and present evidence at a hearing to support their claims.
Litigation
Litigation means taking a dispute to court. Both sides file pleadings, request discovery of the other sides information, and present their case before a judge or jury, who will then render a decision. The rules of the court and evidence apply and the schedule is controlled by the court.
Mediation
To avoid confusion, it is important to understand what mediation is since a party may request that a dispute be mediated. Mediation is an alternative to litigation and arbitration. Mediation, however is merely a negotiation. There is no guarantee that the parties will come to a resolution and there is no final decision. The mediator does not issue an opinion. Rather, the mediator facilitates settlement negotiations, and can work as a go between. Mediation often takes place while the parties await a court or
Parties can always agree to mediate a dispute even if the contract requires arbitration or court litigation. The courts can also require the parties to mediate a claim, and, in construction disputes, often do mandate the parties try to mediate a resolution.
arbitration date with the goal of reaching a solution to the dispute rather than allowing a court or arbitrators to decide. Parties can always agree to mediate a dispute even if the contract requires arbitration or court litigation. The courts can also require the parties to mediate a claim, and, in construction disputes, often do mandate the parties try to mediate a resolution.
The Pros and Cons Costs: Litigation can be more expensive than arbitration. There can be extensive discovery in litigation, with multiple depositions, the production of pages and pages of documents, and disputes over discovery. The parties may also file motions to dismiss and for summary judgment. Litigants must conform to their judges’ procedures and rules, as well as their jurisdictions’ rules of civil procedure and evidence. Arbitration, on the other hand, is generally not as expensive. Discovery can be limited in arbitration, and depositions are generally limited or not allowed at all. Recently, however, the discovery process that is prevalent in litigation has become a regular part of arbitration as well, thus increasing costs of arbitration.
These savings in arbitration come at a cost. With limited discovery in arbitration, parties will not be as prepared for the hearing. They may not have depositions to use to prevent a witness from changing their testimony, may not find that “smoking gun” that can prove their case, and may not have a full picture of the matter.
Speed: Litigation typically takes longer due to the formal Rules of Procedure and the backlog of the courts. This backlog and delay have been exacerbated by COVID19. Arbitration tends to move faster. The parties may be able to schedule a hearing within months after commencing the process. Because there is typically less formalized procedure throughout an arbitration, there is
less potential to slow down the process. The price of that speed is the claims may not be fully developed.
Rules of Law and Evidence: A court’s decisions are constrained by statutory and case law and the trial is governed by established rules of evidence. For example, hearsay, which is a statement claiming what an individual not court said, is not allowed. Similarly, to introduce documents, a witness is needed who can authenticate that the documents are valid.
In contrast, arbitration often does not follow these rules and can allow hearsay and easier introduction of documents. An arbitrator has considerable flexibility to consider any evidence they deem relevant and may issue an award based upon perceptions of fairness or equity and not necessarily on the evidence or rules of law.
The cost of this flexibility, however, can be significant. While this can result in cost savings, it also limits the ability to cross exam and challenge certain facts. Allowing hearsay, for example, limits the ability to cross exam and challenge certain facts. Similarly, a clear contract provision may be ignored in an arbitration because the arbitrators find it unfair to enforce.
Fees: In arbitration, the parties agree to share the costs of the arbitrator, including any of the arbitrators’ travel costs and the facility costs where the hearing is held. While the contract can require the losing party to pay all the cost, even the prevailing parties attorney fees, these clauses are not often enforced in arbitration. It is common for the arbitrators to find that some portion of both parties’ claim are valid, and therefore rule there was no prevailing party.
In most jurisdictions, unless the contract contains a provision for attorneys’ fees, such costs are not recoverable even by the victorious party. If the contract contains a provision for attorney fees, these fee clauses are
often enforced based on the extent that a party prevailed on their claims.
Motions: Litigation often includes filing motions to dismiss, motions to compel discovery, and motions for summary judgement. Arbitration usually limits or precludes such motions. While this can save substantial costs, it can also allow a claim to go to a hearing that would have been dismissed in court on a motion.
Appeals: Most arbitration is binding and non-appealable, unless the losing party can show there was bias or fraud by one or more arbitrators. This means that the arbitration decision will be the final word on the legal dispute even if there is an error or the arbitrators ignored certain facts or specific contract language. In a litigation, there is an absolute right to appeal a court decision to correct any such errors.
Arbitrator and Judge: Litigants cannot choose their judge. Litigants also must conform to their judges’ procedures and rules, as well as their jurisdictions’ rules of civil procedure and evidence. Arbitrations, by contrast, the arbitrators can be chosen by the parties. This allows the selection of arbitrators that have a background in the field at issue, such as someone familiar with construction disputes or flooring installation defects. Such
persons should have a greater capability to comprehend project issues, and to scrutinize liability and damages claims common to the construction industry. While this will save the parties from the need to “educate” the judge or jury of the basic principles of the industry, it also comes with the arbitrator having pre-conceived ideas and opinions.
Flexibility: Court litigation is controlled by statutory and procedural rules. In arbitration, the parties can agree on rules and procedures. These can restrict pre-hearing exchange of documents or interrogation of witnesses, how an arbitration hearing will be conducted, and the level of detail to be included in an arbitration award. These limits can reduce the cost of arbitration.
Injunctions: In some situations, a party may want to stop the opposing side from undertaking certain actions or order them to take certain action. For example, if an owner or the general contractor locks out a flooring subcontractor, the subcontractor may need to seek an order allowing access to the job site. Similarly, if a subcontractor will not sign a needed final release so you can get paid, you will need an order requiring the subcontractor to issue the release or ruling that the subcontractor has no right under the contract. Arbitrators cannot issue such orders; only a court can.
Joinder of Parties: In construction disputes, an owner or general contractor may file a claim against a flooring dealer for work done by the flooring contractor’s independent installers. If the claim is submitted to arbitration, such an additional parties must either have agreements requiring them to participate in the arbitration or consent to their joinder in the proceedings. In contrast, in court proceedings, all persons and entities involved in a dispute typically can be joined as parties.
Public or Private: Most of the time, court filings in lawsuits are public. This means that members of the public, particularly reporters and bloggers, can view the substance of the filings and provide them to the public. As a result, there may be publicity or social media buzz around a lawsuit. By contrast, arbitration is almost always private. There is no public arbitration docket, so there is no public record of an arbitration taking place. As a result, the arbitration and the parties’ papers and other filings regarding the arbitration can be kept confidential.
Should I Require Arbitration in My Contracts?
It is key to note, that the parties can agree to arbitrate a dispute without it being mandated in a contract. Both parties, however, would have to agree to arbitration. If arbitration is mandated in the contract, the parties can only avoid arbitration by mutual agreement. It is possible to require arbitration, but identify exceptions. For example, a contract can provide: Any dispute arising under or related to this Agreement (except for [i] actions seeking temporary, preliminary, or permanent injunctive relief or any other form of equitable relief; and [ii] disputes related to [insert exceptions]), shall be resolved by binding arbitration in accordance with the arbitration rules as set forth in this Agreement. Before a flooring dealer includes or agrees to a mandatory arbitration clause in a contract, they should evaluate the circumstances and the likely issues that will arise. If, for example, the issue is a strict interpretation of the contract, the flooring dealer needs to consider whether they want arbitration, where the arbitrators can consider any evidence they deem relevant, may issue an award based upon perceptions of fairness or equity, and not necessarily rule on a strict reading of the contract provisions at issue.
Conclusion
Whether to include mandatory arbitration in a contract or agree to arbitrate a claim is a complex issue. Given the potential benefits and risk, every flooring retailer, contractor, and installer should review this decision with competent legal counsel BEFORE signing a contract with a mandatory arbitration clause, or agreeing to arbitrate a claim. ■
Notice: The information contained in this article is abridged from legislation, court decisions, and administrative rulings and should not be construed as legal advice or opinion and is not a substitute for the advice of counsel.
Whether to include mandatory arbitration in a contract or agree to arbitrate a claim is a complex issue. Given the potential benefits and risk, every flooring retailer, contractor, and installer should review this decision with competent legal counsel BEFORE signing a contract with a mandatory arbitration clause, or agreeing to arbitrate a claim.
How Cleaning Products Can Be a Hidden Profit Center
Today’s retail market is challenging. As small business owners, we must find unique solutions to keep our businesses afloat and, in the end, have a little leftover for ourselves.
YES — cleaning products can be a profitable way to get customers into your store regularly. After all, how often does a customer purchase new flooring or a new vacuum? The life cycle on these items could be 10 or more years. So, what can you do to keep customers coming back? Carry cleaning products.
FACT OF LIFE — No one wants a stain — everyone wants a stain removed! Stain-X makes new friends everyday because we do the job.
The Stain-X brand has been around for over 50 years — proving itself to consumers from coast to coast. Stain-X Stain Remover (The Original) Can be counted on for a quick and easy and safe way to remove all types of stains on any water washable fabrics. Carrying Stain-X products has been, for so many dealers, not only an easy profit item, it also assists in bringing satisfied customers back into your store again and again.
● Stain-X Products contain no harsh or hazardous ingredients.
● Stain-X Products are mostly water-based — instead of the more common alcohol-based, which are therefore toxic, formulations found in most other cleaning products.
● Stain-X Products can be used in confidence around children and pets.
Items like these cleaning products by StainX can all be private labeled
And Stain-X is there in so many ways –
Stain-X Stain Remover — easy — safe — odorless — non-hazardous — non-toxi — no dyes
Stain-X Grout Cleaner — here safe to use and ODORLESS are the big points. Contains no aggressive acids, solvents, oils or harsh caustic builders found in most other products for this purpose. Most people, using competitive products, realize that as great deal of competition product labels are taken up by cautions for use and the major statement to — USE WITH ADEQUATE VENTALATION — S-X Grout Cleaner is priced to provide a great profit margin and safe, odorless and easy to use.
Stain-X Multi-Surface Floor Cleaner — is a versatile and multi-use cleaner that is pH balanced to safely clean all surface types of floors — Tile — Vinyl — Wood — Laminate — and with out leaving a residue or build-up, requiring no rinsing.
Stain-X Odor Neutralizer — formulated to effectively neutralize and eliminate the most offensive odors — Safe for all washable fabrics.
The list of outstanding and out-performing products goes on — see current catalog. Stain-X Products are premium products, priced right (often way under the competition) for a very easy and profitable add-on to your Bottom Line.
Specialty, green or eco-cleaners
These offer you an opportunity to offer better product performance, sized for home use, and generally safer to use. Smaller specialty brands are not found in the big box stores, too much competition from the large retail brands. And the larger retailers do not offer any variety — everyone sells the same products.
STAIN-X can private label their products for your store, provide gift packages, POP displays, etc. For example, this customer appreciation gift package of specialized cleaning pooducts produced for Carpets Plus/ Color Tile.
Here are some great established specialty brands in the marketplace that offer the opportunity to stock a wide variety of cleaning products: Stain-X (www.stain-x. com) and TECH (www.techcleaners.com). They offer a wide variety of consumer-friendly products that will keep customers coming back.
If you do your homework, find brands that fit your customers — your business can thrive in these tough times and before long, these small $10–$20 sales for cleaners can result in another flooring job. Treating your customers right keeps them coming to your store. ■
TECH Laundry Stain Remover — No bleaches, no solvents, no optical brighteners — TECH Laundry Stain Remover safely and easily and economically keeps your laundry looking newer and brighter and cleaner longer. Just spray it directly on the stain, allow it to ‘set’ for a minute or two while you are sorting the colors and then just toss it into the washer with the rest of your load. Stains are removed quickly and easily and safely. Color-safe, biodegradable, odorless, dye-free.
FLOOR ED
Karndean Designflooring Celebrates 50 Years in the Flooring Business
AsKarndean Designflooring celebrates its 50th anniversary in 2023, we move forward with the same passion to craft beautiful, innovative flooring designs that inspired young entrepreneur and former flooring installer Mike Walker to found Karndean Designflooring in 1973.
The Early Years
Bill Anderson, Karndean Designflooring CEOIn the early days, Mike created a small business from his family home, with the home serving as the office and the garage as the warehouse. A very small team worked the phones, fax machine and lone computer to run the day-to-day business — all alongside the family’s trusty dog Smokey, the Great Dane who is still present on our logo today.
Mike traveled the world seeking inspiration for what are now the most realistic luxury vinyl flooring products on the market. He found a way to create more than just a floor, he created a flooring concept. With inspirational designs replicating wood and stone in endless combinations of planks, tiles, borders and design strips, customers were no longer getting just a floor. They were getting a designed floor that was unique, customized and personal. A Karndean Designfloor.
Seeing Luxury Vinyl Differently
Our original US facility was established in Pennsylvania in 1998 with 10 employees. In 2005, we relocated to the Pittsburgh suburb of Export, the location where our US Headquarters still stands today. We continued to grow and thrive, leading to the opening of our West Coast distribution center and showroom in Las Vegas in 2011, followed by our Dallas location in 2013. Since 2015, we’ve doubled the size of each of our distribution centers, and today we have 185 full-time employees nationwide. Our global product design team travels the world in search of expressive and intriguing forms in nature to influence our floor designs. Every design is unique to Karndean Designflooring, and our network of retailers, each with its own story. This gives dealers a competitive edge against big box stores and homeowners a personalized high-end look. While design development requires significant time, research and investment upfront, we have visuals in our portfolio that were introduced when we started in the US 25 years ago and remain top sellers today.
We possess a level of experience and expertise in luxury vinyl flooring that only comes with time. This extends to the materials used in each layer of our products, from the clarity and soft touch of the wear layer to how light reflects off the floor, to the inks used within the print films themselves.
As technology has advanced, we’ve expanded from gluedown to loose lay and rigid core, making us a “go-to” supplier for premium LVT. From the success of our Van Gogh 20mil gluedown range, which put us on the map in the US, to being among the first to introduce the loose lay format to the market in 2011, to our first rigid core range, Korlok Select (one of the few to feature a 5G™ locking mechanism) in 2017, today our portfolio spans more than 300 products, from entry-level to premium.
Looking to the Future
Our products not only offer the stunning aesthetics of natural materials and the practical benefits of luxury vinyl but also contribute to a green built environment.
Karndean is a member of the US Green Building Council, our flooring and adhesives meet the strict indoor air quality emissions standard of FloorScore® by carrying a low Volatile Organic Compounds (VOC) test certificate, and our rigid core products are Assure Certified™ by the RFCI and SCS Global Services.
We feel so proud to have inherited this legacy from the Walker family. It’s our hope that we continue to move the industry forward in a positive, innovative and exciting way that keeps our customers, colleagues and communities at the center of all we do. ■
Our products not only offer the stunning aesthetics of natural materials and the practical benefits of luxury vinyl but also contribute to a green built environment.
FLOOR ED
Help FCEF Fill the Map
Flooring has been absent in technical colleges for too many years. It’s time that we make flooring programs available alongside other trades. The Floor Covering Education Foundation has developed a Basic Flooring Installation Curriculum that has recently been accredited. The program gives students a taste of all the specialties they could explore and enough basic skills that they can comfortably work alongside an experienced installer.
After piloting the program, FCEF is launching several more and is looking to roll out more programs later this year. You can help by connecting the FCEF team to your local schools.
Finding Schools That Fit
The FCEF program works best in colleges that already have similar skilled trade programs such as construction, HVAC, and carpentry (to name a few.) The school will need to have space for training modules in addition to classroom space. ■
FLOORING CRAFTSMEN ARE HARD TO FIND BUT IT DOESN’T HAVE TO BE THAT WAY
OUR MISSION
The FCEF exists to bring awareness to the opportunities in the flooring industry, recruit new talent, aid in the funding of the student’s education, and facilitate job placement for these individuals into flooring industry careers.
RECRUITMENT
Finding the right talent for flooring careers.
PLACEMENT
Match qualified workers with job opportunities.
SCHOLARSHIP
Reward those individuals looking to improve their lives and trade up to a more fulfilling career.
YOU CAN’T SELL WHAT CAN’T BE INSTALLED. THIS IS AN INDUSTRY-WIDE PROBLEM.
OUR PROGRESS
Creation and pilot of accredited Technical School Program
June 2021
FINANCIAL SUPPORT:
Whether you commit to a set amount or are able to make a donation based on sales, we appreciate your support. For corporate donations, please contact us.
WAYS TO SUPPORT
PRODUCT DONATIONS:
As we work with our training partners to roll out more training programs across the country we’ll need tools, products, and space to make sure our recruits have the best experience possible. If you have products or facilities you are willing to donate, please let us know and we’ll reach out to you when we have specific needs. Learn more about providing tools and materials for training.
AWARENESS:
Most of your businesses have many employees and many customers – all of whom depend on the flooring industry. Follow FCEF and share our message with all your contacts.
ENGINEERED FLOORS
Timberstep
At right: Wood lux 2004 Charles Bridge; below: Wood lux 2003 The Highlands; far right: Wood tech 3001 Birch Mountain
Introducing Timberstep, inspired by nature and perfected by technology, whether it’s New Home Construction, Multi-Family/Property Management or a home renovation and remodel, Timberstep will compliment any home décor with its real wood texture, natural colorations and visuals. With its easy angle-tap locking system and attached pad, Timberstep is easy to install for those who prefer to do-it-yourself. Whether it’s your dog, cat, or kids, you can be sure that Timberstep will provide the style, design and color you want and the resilience you need. With Timberstep’s minimal maintenance, durability and scratch resistant, your family can live confidently and comfortably on their new Timberstep floor, flooring with the strength of timber. ■
Flooring Horror Stories — Don’t Let Them Happen to You WAGNER METERS
Stop me if you’ve heard this one before — a flooring crew installs a gorgeous nail-down hardwood floor and within a short amount of time… nearly every plank shows signs of cupping.
How could it all go wrong so quickly? The crew built up a plywood subfloor system on the concrete slab utilizing industry-recommended methods and then installed the hardwood flooring.
Well, the first mistake was that the crew didn’t evaluate the moisture condition of the subfloor. After they started ripping up the newly installed hardwood floor, they learned the concrete and plywood had moisture levels that were way too high!
Jason Spangler
Wagner Meters’ Flooring Sales Manager
Jason Spangler has more than 25 years’ experience in sales and sales management across a broad spectrum of industries. He has successfully launched a variety of products to the market, including the original Rapid RH® concrete moisture test.
Jason, who received an MBA from West Texas A&M University in November 2018, has extensive industry involvement, including the National Wood Flooring Association (NWFA), the International Certified Flooring Installers Association (CFI), and is Vice Chairman of Associations for The Flooring Contractors Association (FCICA). Call Wagner Meters today at (844) 533-9100 and ask for Jason or visit www.wagnermeters.com
Perhaps the crew also forgot to let the hardwood acclimate to the environment before installing it. If they did forget, they hit a double-whammy that guarantees moisture-related flooring failure!
Don’t Be That Flooring Crew
Everyone swaps jobsite stories, but you don’t want to be the one telling this kind of flooring horror story. You want to be the flooring professional who tells stories about how smoothly you handled a client pushing to install the hardwood flooring quickly when you knew the moisture condition of the concrete subfloor wasn’t conducive for a successful flooring installation.
Let’s face it — most hardwood flooring horror stories come down to moisture.
Hardwood flooring moisture issues might become apparent quickly, or they may take months. But in most cases, the underlying cause of the moisture failure was present during the installation. Typically, one of a few mistakes leads to moisture-related problems:
1. The wood didn’t get enough time to acclimate to the installation location.
2. Nobody checked the subfloor for moisture issues or addressed any moisture issues that were found.
3. The design of the installation didn’t account for the risks of water coming from external sources.
Quantifying the Costs of Each Moisture Horror Story
A hardwood floor can get deformed from both too much or too little moisture. Cupping and swelling show up when the floor absorbs too much moisture. On the other hand, the boards will crack and shrink if dry air sucks too much moisture out of them because the boards were wetter than the target moisture content for the area.
The moisture damage also affects your schedule and your bottom line. When moisture damage appears in the hardwood floor, you now have to invest time and team effort to investigate and come up with a solution. That’s unpaid time. And if you scheduled another job during that time, you’ll have a waiting, frustrated customer.
If you take the steps necessary to manage moisture at the start of the project, before installing the hardwood floor, your project plan can account for the possibility that extra drying or acclimation time might be needed. When you know that going in, you can better plan for contingencies, like using that time to start on the next job.
When you wait until moisture damage appears, you not only have to wait for extra drying time — which wasn’t on your schedule — but you might also have the additional time and costs of ripping up the hardwood floor and reinstalling it.
That’s a costly hit on your wallet, your time management, and your reputation.
Make Moisture Measurement a Part of Your Standard Worklist
One thing that’s so frustrating about moisture horror stories is how easily they could be avoided. Build time into your standard work plan to evaluate the moisture condition of the subfloor and underlayment (assuming it’s a material that holds moisture). Schedule delivery of the hardwood with enough time for it to acclimate to its service surroundings. Continued on page 28
Don’t let your beautiful hardwood flooring project become a horror story! Always pay attention to moisture.
If you take the steps necessary to manage moisture at the start of the project, before installing the hardwood floor, your project plan can account for the possibility that extra drying or acclimation time might be needed.
TAKING THE LEAD
We Have Always Done it That Way!
“We’ve always done it that way” and “If it isn’t broke, don’t fix it” are dangerous phrases that can hurt your business. Why do we assume that because something worked in the past it is still the best for the future? Are we so busy getting the job done that we cannot see there may be a more efficient way? Have you ever wondered if there was a more efficient way, but either did not want to rock the boat or weren’t sure how to proceed? Now is the time to question those processes and look at a better way. This article will review the processes associated with fcB2B and how your business can be more efficient by making a few changes.
Lewis Davis Senior Director of Technology and ResearchThe first process we will review is maintaining your product and price changes. Is this still a manual process? The fcB2B product/price catalog allows your fcB2B suppliers to send the products and prices they have linked to your account. You already receive this via a printout, email, website, or spreadsheet, but how does your system get updated? Having someone manually enter the information or via a manipulated spreadsheet, which is slowly imported. With fcB2B, the process can be automated. Existing products are updated with the latest price, new products are added with the description from the supplier and dropped products or colors are removed. This process normally takes minutes, not hours or days. Imagine the time savings during a price increase or when new products are being released.
The next process relates to the ordering of products. Most suppliers provide a website for checking stock, reserving stock, placing orders, and checking your order status. This would be nice if you only had one supplier, what happens when you have five, ten or more suppliers? For simplicity, let us assume you have ten suppliers each with a different website for entering orders. You would need to collect all products to be ordered for a supplier, find the website, login, navigate to the order entry screen, select the product, enter the quantity, verify the products and quantity, submit the order, now update your system with the reference number. Now repeat this for the ten suppliers. Sounds like a lot of steps with possible interruptions and hopefully no errors. Why not let your ERP system do this for you with the push of a button? With fcB2B, the software collects the orders for suppliers and allows you to press the button to submit the order with the products and quantities needed. It will update each order with the reference number normally within seconds. Whether all your suppliers provide fcB2B or not, think about the time savings and reduced errors you can gain when connecting with those that do use fcB2B.
Do you get notified of products or PO’s being delivered prior to the truck showing up at your door? If your suppliers are using fcB2B, they can provide you with an Advanced Ship Notice. The ASN contains PO numbers, PO line numbers, roll numbers, package numbers, products, quantities, and a bill of lading number.
Have you ever wondered if there was a more efficient way, but either did not want to rock the boat or weren’t sure how to proceed? Now is the time to question those processes and look at a better way.
Do
still wait
get
paper invoices
can begin verifying what was ordered, received, and invoiced? What if the verification was automated so that your invoice was received electronically, linked to the PO, and receiving, then marked for payment?
All the information needed to help you receive and update the PO and customer order. Most systems will show when a customer’s order is complete and ready to be installed.
The last piece is the invoice. Do you still wait for the mail to run to get your paper invoices so someone can begin verifying what was ordered, received, and invoiced? What if the verification was automated so that your invoice was received electronically, linked to the PO, and receiving, then marked for payment?
Computers are excellent for repetitive tasks and can help free up an employee to be more productive in other areas of your business. Take the time to look at your process and do not keep doing things the same way because “We’ve always done it that way.” By spending a few minutes reviewing your manual processes, you may be able to update and save many hours. Visit our website at www.fcb2b.info and click on the Resources tab to learn more about fcB2B.
The Members Connections tab has a listing of the members who support fcB2B.
Do you B2B? If not, why? Contact me to find out how to be more efficient in your business: Lewis Davis at 706-217-1183 ext. 132 or via email at ldavis@wfca.org ■
you
for the mail to run to
your
so someone
At right: Always use a pinless moisture meter to be sure your wood is fully acclimated prior to installation. Below: Remember to assess the moisture condition of the concrete subfloor.
Always have the right moisture measurement tools so you can make an accurate evaluation. For concrete subfloors, that means using an in situ relative humidity (RH) sensor. Only the RH moisture test can determine the true moisture condition within the concrete. Other tests only measure surface moisture conditions, which can’t tell you about moisture that may push to the concrete surface later on and destroy your hardwood installation.
You also want a pinless wood moisture meter to make sure the hardwood floor is fully acclimated. Use a pinless meter and not a pin meter so the moisture testing doesn’t mar the beauty of the hardwood boards by leaving pinholes all over them. A pinless moisture meter also lets you measure much more quickly and accurately.
Don’t let moisture make you the villain in a flooring horror story that might ruin your reputation. Use trusted moisture testing systems from Wagner Meters to be well prepared before your flooring installation. For more information, call the Wagner Meters team worldwide toll-free at (844) 533-9100 or visit wagnermeters.com. ■
Use a pinless meter and not a pin meter so the moisture testing doesn’t mar the beauty of the hardwood boards by leaving pinholes all over them. A pinless moisture meter also lets you measure much more quickly and accurately.
Don’t let moisture make you the villain in a flooring horror story that might ruin your reputation.
METROFLOR
Metroflor Updates Evolving Design Trends for 2023
The trends that Metroflor’s Director of Design, Natalia Smith identified in Spring 2022 have evolved, as all trends do, reflecting changes in consumer attitudes that are ultimately expressed in style and design choices. Building on Metroflor’s renewed focus on thoughtful design of our LVT offering, trend spotting takes center stage in a newly updated “Behind the Design” video series revealing the evolving interior design trends that will influence consumers as we enter 2023.
Macro Trends
Macro trends reflect the major events that have occurred in the world causing shifts within the interior style trends. One of the major macro shifts Natalia is seeing right now is in the Cozy Living trend: feeling very cocooned, safe, and content within our homes. Meaningful Living is a new concept that has moved to the forefront, a desire to be better stewards of the planet and the people around us.
Calm Comfort
The Calm Comfort trend reflects the macro trend of Cozy Living — feeling very cocooned, safe, and content within our homes. Taking inspiration from Scandi vibes or minimalistic interiors, Calm Comfort can apply to homes with less visual noise, providing a sense of comfort inside the home, without bombardment from the outside world. Things are starting to warm up within this trend. Warmer whites can be coupled with neutralized accent colors that that really pop within the monochromatic theme.
Future Roots
The Future Roots trend evokes cave-like interiors reflecting the idea of people wanting to feel close to nature and cocooned, and Art Nouveau is a huge inspiration behind it with its arched and flowing contours. You're not going to see a lot of straight, clean lines; rather, natural curvaceous ones running through woodgrain. Future Roots is definitely starting to take hold, and we're seeing it happen in other products besides flooring. When you identify a new idea such as Future Roots that's five or more years out, yet household goods and other products are beginning to reference it, then you know that it's headed toward the mainstream.
Nature Home
Nature Home is inspired by the very tactile things from Nature, expressed through the texture of natural textiles like rattan, caning and nubby wools. Metroflor is translating the Nature Home trend into flooring by applying colors found in nature that correspond with material-focused colors within our decors. You’ll also see larger windows, and bringing more of the outdoors in visually, such as living walls and even moss wall installations which have evolved from commercial interiors into residences.
View the entire behind the scenes video playlist here:
Evolving Trends Drive Design of Metroflor's New Inception Reserve SPC
Metroflor's targeted and strategic trend-spotting approach to new product development has found expression in the launch of its Inception Reserve SPC, which will be available to Metroflor’s entire distributor network through a national program rolling out in Q1 of 2023.
Metroflor's Director of Design Natalia Smith follows and identifies the macro trends' global events and attitudes that ultimately cause changes in lifestyle and interior style trends. Said Smith, “One of the major shifts that we’re seeing right now is Cozy Living: feeling very cocooned, safe, and content within our homes. We also see the idea of meaningful living becoming a new concept in interior design. We want to be better stewards of the planet and the people around us as well. Beyond seeking products that are sustainable, responsible, and safe, consumers increasingly seek manufacturers that embody those core stewardship values.”
“The trends Natalia identified in Spring 2022 have evolved, as all trends do, reflecting changes in consumer attitudes that are ultimately expressed in style and design. The fruits of this ongoing trend spotting are evident in the two designs in Metroflor's new Inception Reserve collection, Wellness Oak and Family Oak, reflecting the evolving trends of Cozy Cottage and Farmhouse Natural,” said Gary Keeble, Vice President of Marketing.
Wellness Oak
Wellness Oak was inspired by the Cozy Cottage trend, which reflects the draw to simpler times and slower living expressed in rural pastoral settings, even if only within our city walls. Often utilizing family heirloom pieces and décor that has a lived-in aesthetic, the Cozy Cottage trend has us living casually, where nothing is too precious, and everyone is invited to kick back and relax.
The 7" × 48" Wellness Oak planks feature a more relaxed, casual vibe with a milled and hewn wood design enhanced with sawmarks and rustic character.
Inception Reserve Wellness Oak Pergola OAK WE103
“One of the major shifts that we’re seeing right now is Cozy Living: feeling very cocooned, safe, and content within our homes. We also see the idea of meaningful living becoming a new concept in interior design...
Family Oak
The Farmhouse Natural trend behind Family Oak has evolved since Spring 2022. It is now less traditional with a beautiful mix of modern, clean lines paired with warm whites to neutrals, and the warmth of natural toned wood. With this warming trend, there are more opportunities for browns and terra cotta tones, while black still offers a great punctuation to the space. Light neutral walls and large windows ensure that the space is not dark, but airy and comfortable.
The sophisticated, rustic look in extra wide and long, 9" × 60" Family Oak planks reflects the prevailing Farmhouse Natural trend of cocooning, comfort, and safety with a more refined and subtle approach.
Amazingly Realistic Texture
The ART of Inception Reserve is the Amazingly Realistic Texture of the Embossed-In-Register or EIR texture that gives the floors an appearance that is nearly indistinguishable from a natural wood floor. With EIR, the embossing follows the grain in the design and penetrates deeper to provide a more authentic visual. Both designs feature a 20 Mil Wear Layer, 5.5mm gauge, an
attached, sound abating HDPE pad, and Accent Bevels on all 4 sides of the plank. Each design is available in six colors.
Merchandising Display & Collateral
The Inception Reserve Showcase Display invites and draws in customers. A center console graphic tells Metroflor’s premium EIR story and features QR codes for easy scan to view videos. The display provides the larger, oversized 20" × 27" samples sought after by consumers making purchasing decisions and feature a large room scene on the back of each sample to help the consumer visualize the floor in a larger room setting.
Metroflor will also offer portable samples in the form of builder boards and an architect folder. Internet samples will be available at metroflor.com and on Material Bank .
Inception Reserve will be on display at 2023 TISE (Surfaces) at Mandalay Bay, Las Vegas, Jan. 31–Feb. 2 in Herregan Distributors Booth 1211.
To obtain merchandising support, contact the Metroflor distributor in your region. ■
Co-founders Chad and Trent Ogden.
4 New Technologies Making Flooring Dealers’ Lives Easier
While the holidays have come and gone, here’s a list of technologies that just keep giving — cool new capabilities making a difference for flooring dealers throughout the U.S. and Canada. The particular products listed below are provided by QFloors, but other suppliers may offer other options as well.
Customer-Friendly Online Payment Options
With the “Pay Now” feature of QProPay by QFloors, there are no more excuses. Customers can securely pay (and retailers can receive) balances 24/7 from anywhere.
Nowadays, most customers are used to the convenience of paying online. They often expect it, in fact. And many retailers are finding that offering online payment dramatically reduces the time and hassle of trying to collect customer balances. Without online payment options, the customers have to either come back to the store or call in to pay. And that sometimes delays payment. For instance, customers might call with their credit card when the store isn’t open, or the sales rep isn’t available, initiating a game of phone tag. Or perhaps customers struggle stepping away from their own busy schedules to drop by the store to pay their balance. With the “Pay Now” feature of QProPay by QFloors, there are no more excuses. Customers can securely pay (and retailers can receive) balances 24/7 from anywhere. You can send the customer a payment link via email, or you can put a “Pay Now” button on your website or landing page. Customers click the button or link and are given instructions for their online payment. It’s convenient and simple for the customer and saves you time and effort trying to track customers (and payments) down. In addition, with QProPay, you’re sent a notification with each payment, and the payment can then be posted to your QFloors system. It makes everything quick and easy.
Passing Credit Card Surcharges Onto the Customer
Businesses can now legally pass credit card fees onto the customer using the card. There are specific parameters required to do this (for instance, having a sign posted near your register that indicates that those paying with a credit card will be assessed the specific % surcharge). But retailers are saving thousands of dollars per month by having the customer pay for their own credit card fees. It can have quite a significant impact on your bottom line. QFloors’ QProPay automatically does this for the dealer when it is set up to do so.
Connecting Your Product Catalog/Warehouse to Your Website
It’s frustrating to have a customer identify a product they like on your website, only to learn that it has been discontinued or you don’t have enough yardage to cover their job. Even worse is if a price on your website is outdated and no longer viable. QConnect by QFloors is a software tool that connects your business software to the outside world. Through QConnect, as you update your product catalog in QFloors, information about availability, pricing, and quantities can be automatically sent to your website provider so that they can update your website content accordingly. While QConnect allows QFloors to share data with many different sites or companies, an advanced integration with Mobile Marketing is already providing this cutting-edge connection between website and warehouse.
Through QConnect, as you update your product catalog in QFloors, information about availability, pricing, and quantities can be automatically sent to your website provider so that they can update your website content accordingly.
As leads come in through these sites or programs, contact info is shared with your QFloors business management system. This makes it easy to follow-up with the prospect (and record those efforts). It also prevents things like mistyped phone numbers or email addresses.
Following Leads & Sales from Website to Completion
QConnect also facilitates information sharing between your QFloors business software and your websites, other lead generating sites, and even CRM lead tracking software like Zoho or RLM. As leads come in through these sites or programs, contact info is shared with your QFloors business management system. This makes it easy to follow-up with the prospect (and record those efforts). It also prevents things like mistyped phone numbers or email addresses. And now, all leads and sales can be easily tracked, from inquiry to final purchase/installation, whether those leads are a walk-in, referral, or came to you through your website. Through this technology, you have access to a more complete and accurate picture of your business, leads, and sales. You have a better understanding of your Return On Investment for online and digital marketing expenditures, closing rates by product type or sales rep, and products that are trending in interest. Armed with this information, you can adjust accordingly. For instance, if you notice that people who reach out via your website are mostly looking for hard surface, you can make sure plenty of hard surface products are in your showroom and highlighted on your website.
See anything you’re interested in learning more about? Stop by the QFloors booth at any industry tradeshow. Or reach out to us at 801-5630140 or sales@qprosoftware.com ■
100% HIGH DENSITY MEMORY FOAM CARPET CUSHION
Made of 100% high density memory foam, Healthier Choice Carpet Cushion offers the luxurious comfort you want while providing the support your carpet needs.
Healthier Choice Cushion’s dense, micro-cellular structure cushions every step by acting like millions of tiny shock absorbers, all owing your carpet to look newer and last longer.
NEVERCRUSH
The appearance retention warranty for any brand of residential carpet is instantly doubled when installed over Healthier Choic e Carpet Cushion.
TM
The only carpet cushion to be awarded the UL GREENGUARD ® Gold Certification for indoor air quality as an extremely low VOC emitting product.
Healthier Choice Cushion is infused with Ultra-Fresh ® antimicrobial protection to prevent the growth of harmful mold, mildew and bacteria.
A revolutionary Breathable Moisture Barrier keeps liquid spills from penetrating down into the cushion while allowing moisture vapor to escape.
The only carpet cushion made with more than 50% soybean oil and natural minerals which reduces the use of fossil fuels while supporting sustainable alternatives.
FCEF Program Options
The FCEF program is developed to work in a variety of ways:
1. 10-week noncredit program. This 10-week program was developed for the original pilot. Many technical colleges have noncredit programs open to the general public without having to apply to the school for full admission. These programs are great to get started and can usually launch more quickly than accredited programs.
2. 15-week accredited program. This program covers all the same information as the 10-week program but is spread out over a full semester. The FCEF program at Georgia Northwestern Technical College was accredited by The Southern Association
Help Us Get Connected
of Colleges and Schools (SACKSCOC) through the Technical College System of Georgia. SACKSCOC an educational accreditor recognized by the United States Department of Education and the Council for Higher Education Accreditation.
3. Embedded program. FCEF’s program also works embedded in a current carpentry or construction program. In this model students of the construction or carpentry program can select flooring as elective as they work toward their certificate. This program includes 300 contact hours covering four disciplines — carpet, hardwood, tile, and resilient. ■
If you think your community needs a flooring program at your local technical college, you can help by getting us connected to your school. By taking the responsibility to make the initial contacts and generate interest at your local school, you’ll free up the FCEF teams’ time to get more programs launched.
Engagement and activity at the local level are critical components to solving the installer shortage. If you’re ready to stop worrying about the installer shortage and start doing something about it, FCEF is here to help. Here’s how:
BECOME A LOCAL FCEF CHAMPION DONATE
We need you to help us spread the message and coordinate programs in your area. You benefit directly from bringing training and awareness to your community.
Local Awareness:
Flooring trades are not widely thought of, even by those looking for a trade career. Help us change that by talking to groups in your area –students, teachers, parents and local leaders. Your monthly donation comes with our DIGITAL AWARENESS KIT, so you can raise awareness about the flooring industry.
Job Fairs and Career Days:
Local Job Fairs and High School Career Days are a great opportunity to share the flooring craftsman career. We have the entire JOB FAIR KIT ready for you to raise awareness with potential recruits.
Technical Schools: We’ve created a curriculum and framework for launching a program at a technical school. Now we need you to open doors in your community.
Financial support helps us continue to grow programs that recruit, scholarship and train tomorrow’s flooring craftsmen. Your donation helps fund scholarships, awareness campaigns, and general operations.
SHARE
Help us share our message and make more people aware of the opportunities as a flooring craftsman. Follow us on social media, sign up for emails, and learn more so you can spread awareness in your community.
FIND OUT MORE AT FCEF.org
At AHF Products, We Move Heritage Forward
For more than 150 years, the brands of AHF Products have stood for innovation, creative inspirational new ideas, fine craftsmanship and impeccable quality. Today, the flooring solutions we develop — and the strategies we use to deliver them — continue to meet and exceed our partners’ expectations, bringing our heritage boldly into the future.
From solid and engineered hardwood to luxury vinyl and next-generation flooring solutions, AHF Products’ diversified range of offerings and brands create real value for our partners and their customers.
Commercial, residential, small, large, or enormous — every project demands and receives the same extraordinary craftsmanship, service.
A modern company on the move, AHF Products zigs and zags, our people think fast on their feet in response to customer needs, new opportunities, and the fluctuations of the marketplace and supply chains.
And we keep improving. Through smarter technology, leaner processes, and fast, decisive decision-making, as a company, AHF Products outpaces and out-maneuvers competitors, offering the most flexible, responsive solutions in the industry.
Diversified solutions are what we offer to the marketplace, but our partners are the heart of our business. When they succeed, so do we. That’s why we walk in their shoes every day, working hard to understand just what they need and how we can best deliver — or overdeliver. We always put partners first, and we work with them to provide the best flooring solutions to their customers.
That’s how we build the most important thing of all. And it’s how we move forward with our partners to create the future of flooring — together. ■
A modern company on the move, AHF Products zigs and zags, our people think fast on their feet in response to customer needs in response to customer needs,new opportunities, and the fluctuations of the marketplace and supply chains.AHF
GROW WITH US
With our growing family of leading brands proudly serving the residential and commercial markets for over a century, AHF Products is steeped in hardwood craftsmanship, rigid core, contract sheet vinyl/LVT, and laminate flooring solutions.
We’re proud of our award-winning wood fl ooring designs, innovations, product development, manufacturing and services. We create beautiful flooring to last generations with our quality products and a deep commitment to outstanding customer service.
We’re proud to welcome to our growing family of quality brands.
AHF
An Interview with AHF Products’ Brian Carson
In the flooring business for more than 30 years, Brian Carson is President and CEO of AHF Products, the company which was born when Armstrong Flooring, Inc. sold its wood division to a private equity firm in 2019. With a portfolio of top name brands such as Bruce®, Hartco®, Robbins®, LM Flooring® and Armstrong Flooring™ and a dedication to bring the right style, value, innovation and marketing to its channel partners, Carson sees tremendous opportunity to help retail partners grow with the company.
AHF Products’ purchase in July 2022 of certain assets of Armstrong Flooring, Inc., follows its acquisition of the LM Flooring® brand in 2019 and the purchase of certain assets of Parterre Flooring Systems in 2021 and Cumberland Products Group/American OEM in 2022. These acquisitions help AHF Products deliver on its strategy of serving customers with sought-after products and providing channel segmentation.
PFR: Why did AHF Products purchase the bulk of Armstrong Flooring, Inc.’s North American assets?
It was a significant diversification move for us from manufacturing only hardwood to manufacturing vinyl sheet, vinyl tile, and vinyl plank products for both the residential and commercial markets.
Armstrong Flooring™ is our 14th brand and it’s a brand that allows us to broaden our customer base. Broadening our customer base permits us to bring more volume to our manufacturing facilities, which not only grows our plants, but ultimately grows business for our customers. The Armstrong Flooring™ brand is vital to our distributors, retailers and flooring contractors and it’s a name consumers know and trust.
PFR: Which brands does AHF Products offer?
AHF Products has 14 incredible brands. Bruce®, Robbins® and Armstrong Flooring™ all go back to the 1800s, when our country was being built, and America was literally built on many of these brands. There’s a proud 150-year legacy here, and a legacy in which we continue to invest. Nobody else in the industry has a stable of brands like this — that’s a real asset for our customers.
PFR: Where is your product produced?
We have 10 plants that manufacture wood and vinyl products, as well as distribution centers, primarily here in the U.S, and a very large facility in Cambodia. We are North American centric and strategically non-China
centric because of the unpredictability. This strategy allows us to create value for our partners; provide better service; make supply chains quicker and more agile and less volatile; and to be innovative.
Plus, our products are phenomenal. We’re constantly expanding our American-made SPC offering, our laminate, and our revolutionary waterproof and densified hardwood products.
PFR: What’s your #1 priority?
I’m a big believer that if you’re not moving forward to create more value for your customers, then you’re moving backwards. As a company, we analyze fast, we move fast, and act with clarity and certainty and continually adapt and adjust as we learn more.
Everyone in the flooring industry has been experiencing demand and product shifts over the last year. We’re bringing out new products to allow our distributors and retailers to improve their business by taking advantage of these shifts. We are providing the tools to help channel partners win in this changing market.
Despite the near-term uncertainties we’re seeing, we’re bullish on the long-term outlook. We’re all about rolling up our sleeves and getting down in the trenches to help our channel partners make money and provide solutions to their customers. That’s not only distributors, but retailers as well. We want them to feel the same level of optimism and excitement that we do and our commitment to help them reach their goals. ■
I’m a big believer that if you’re not moving forward to create more value for your customers, then you’re moving backwards. As a company, we analyze fast, we move fast, and act with clarity and certainty and continually adapt and adjust as we learn more.
AHF Products: Product Spotlights
Hartco® DogwoodPro™ Densified Wood™ technology, developed by AHF Products, has been a real gamechanger for the hardwood flooring buyer, especially for those who have pets or kids. Densified Wood™ technology delivers scratch and dent-resistant protection against everyday wear, pet nails and accidents. Made in the USA in Somerset, Kentucky, this is 100% real wood — not a laminate surface. Real wood beauty, character, colors, textures, and finishes, now better than ever.
Hearthwood Tall Timbers Collection Combined with warm hickory tones, the balance of bright white walls and trim absolutely pop for a bold style statement. Each plank features WetWorx™ Splatter and Spill Guard, which makes this floor 250% more moisture-resistant than untreated hardwood floors — perfect for easy kitchen clean-up.
Bruce® Rooted in Tradition is a sliced-face engineered hardwood from Somerset, KY — USA Made. The wire brushing is created with brass brushes to create a beautiful grain visual
on the Red & White Oak wood. Cleantivity™ antimicrobial technology inhibits the growth of bacteria on the floor surface, giving homeowners an added degree of confidence that bacteria will not survive on their hardwood floors.
Armstrong Flooring® Stratamax™ Pro — Residential Sheet Where toughness meets lasting beauty. The best combination of RTG (Rip, Tear, Gouge) & and residual indent resistance on the market. Built tough for demanding environments, the “Bounce Back” core means that heavier, yet common household objects won’t cause the product to permanently indent. (Think tables, couches, recliners, dressers, desks, beds etc.) Unlike other resilient sheet products that sacrifice one attribute for another. Stratamax™ Pro was constructed to optimize product toughness without sacrificing lasting beauty. Available in a variety of beautiful visuals to meet a wide variety of design aesthetics. ■
Dealer Spotlight: Contract Furnishings Mart & Robbins® Establish a Long-Term, Dynamic Partnership
While building a bold and agile organization, part of the challenge is finding strong partnerships that drive value for one another. These partnerships need to not only grow fast but also lay a foundation for future growth.
Contract
Furnishings Mart (CFM) saw sales and product growth point to rapid success with the Robbins® Brand product line, an iconic all-American brand that was founded in 1886 and reintroduced to the flooring industry by AHF Products in 2020.
Mindful of the customer and how best to serve them, AHF Products has created differentiation among its stellar brand portfolio for different channels. “We will reach the customer where they are,” said Brian Carson, president, and CEO. “While Robbins goes direct to retail, other brands will go through the company’s valued partner network.”
“The beauty of offering Robbins direct is that we are providing market exclusivity to participating retailers, so that the product mix is different from the store a mile down the road,” said Sales Director Steve Staikos.
“The Robbins® brand product line is one of our fastest growing partnerships to date,” says CFM Marketing Director Garrett Anderson. “It’s incredible to see such rapid growth over the past few years — from zero sales to a leader company-wide.”
“Robbins offers retailers market exclusivity and protection,” said Anderson. “Since the line is offered with exclusivity to participating retailers, it creates a unique selling
advantage that brings leads to us and allows us to specify the line with confidence knowing it cannot be shopped.”
The Robbins®/AHF Products relationship with CFM was valuable from the jump, with the product categories growing 226% from 2020 to 2021. The Robbins® brand has been positioned to sell directly to retailers, allowing the brand to work closely with retailers and understand how it can fit into their flooring needs.
This partnership has been so successful because of four key points: market exclusivity and protection, quality construction and visuals, representation, and manufacturer support. “Put those at competitive prices and it’s an easy conversation for our teams to have with customers,” said Anderson.
“CFM sent a dozen salespeople to Somerset, KY, for a plant tour, enabling both sides to walk in each other’s shoes — something we do for our partners every day,” Staikos said. “We work hard to find out just what our partners need and how we can best deliver.”
“In today’s competitive flooring market, retailers are looking for ways to increase sales while maintaining a focus on stylish, high-quality product offerings, said Staikos. “We have a terrific opportunity with Robbins to provide retailers with a unique selling proposition.” ■
Left to right: Ryan Bechtold — Owner, Richard Middaugh — AHF Products, Matt Bechtold — Owner, Garrett Anderson — Director of Marketing
CHIPD
The Program
As WFCA’s newest endorsed partner, CHIPD provides cost-effective, and timesaving, state-of-the-art online payment solutions to leverage technology to accelerate payments, increase cash flow, decrease accounts receivables (AR), and reduce office interruptions and administrative costs.
www.ChipdPay.com
With over 20 years of experience in merchant payment processing, CHIPD understands how to navigate high transaction volumes, chargebacks and other factors affecting the flooring industry.
CHIPD Payment Gateway
Giving your customers different payment options allows you to accept payments easier and faster. This solution allows for payments at the front desk, over the phone, across
office locations, the ability to set up recurring payments AND customer payments from your website, allowing them to pay anytime, at their convenience, 24/7! The CHIPD Gateway also allows multiple businesses to have credit card processing funds deposited into separate checking accounts through one system. All your reports in one spot!
Approval Process
CHIPD makes it as easy as possible to get your new account up and running quickly. Credit card processing is a banking product, therefore sponsoring banks and processors are required to meet certain federal mandates. As part of the USA Patriot Act, passed in 2001, banks are REQUIRED to get certain information, like social security numbers and financial information.
As a WFCA member, CHIPD offers you a payment processing program tailored to your business needs:
• The ability to accept credit, debit and mobile wallet payments
• Competitive processing costs
• Extremely competitive processing rates
• No long term contract
• 24/7 customer support
• Businesses can use existing equipment
• Cutting edge credit card hardware available to purchase or lease
• Variety of add-on services available including gift card and loyalty card programs
Savings
Members can save an average of $8,000 in fees per year.
Sr. Vice President, has specialized in providing insurance programs for the Floor Covering Industry for over 25 years. Risk Strategies is a top national broker providing comprehensive risk management advisory services.
Mark Manzi, National Brokerage Leader, Risk StrategiesNavigating a Hard Insurance Market
If you’ve had conversations about insurance in recent months, you’ve likely heard the terms “hard market” or “market hardening.” Many policyholders are experiencing dramatic rate increases that pinch budgets. Here’s a summary of the root causes and what you can do:
What is a hard market?
The Insurance Risk Management Institute (IRMI) defines a hard market as an “upswing in a market cycle when premiums increase, and capacity (the supply of insurance available to meet demand) for most types of insurance decreases.” That means insurance is more expensive and harder to obtain.
In contrast, during a “soft market,” buyers benefit from attractive rates, abundant capacity, and flexible policy terms and conditions. Insurance is available and affordable.
What causes a hard market?
Market hardening begins when carriers take corrective action to shore up their profitability. Economic, political, climate and other events can trigger hardening. For example:
● Falling investment returns for insurers caused by stock market declines
● Increases in frequency or severity of losses
● Regulatory intervention deemed by insurers to be against their interests
Insurance carriers may restrict capacity, strategically deploy limits on coverage, or not offer coverage at all. They may discontinue or reduce their involvement with certain industries and product lines.
Carriers retrench in order to get their books of business healthy by limiting appetite (the risk an insurance company will take on) and adhering to strict underwriting discipline.
How often do hard markets occur?
Since 1985, the insurance industry has experienced three hard markets: 1985-1987, 2001–2004, and 2019–current.
In 1985, a tort crisis (extensive liability lawsuits that almost collapsed the US insurance industry) contributed to hardening. In 2001, the events of 9/11 triggered a hard market.
Multiple factors paved the way for the current hard market, which began forming in 2019 and stubbornly persists. While the COVID-19 pandemic did not initially cause the hard market, it’s one of several factors prolonging the pain.
Why did the market begin hardening in 2019?
As 2019 progressed, insurance carriers’ books of business became increasingly unprofitable and unsustainable.
The role of investment income
Insurance companies count on generating income through investments as a key strategy to remain profitable. Higher interest rates, and thus higher investment yields, allow insurers to write to a combined ratio (losses plus expenses) closer to 100% (break-even).
Conversely, falling interest rates and low yields mean insurers cannot rely on investment income. Instead, to remain profitable, they must maintain exceptional underwriting performance, raise prices, and keep combined ratios below the 100% level.
Social inflation
The insurance term “social inflation” refers to factors beyond “economic inflation” that increase overall costs and are harder to predict. For example, there’s societal pressure to resolve issues through the legal system. A pro-plaintiff legal environment can lead to “nuclear verdicts” (extra-large jury awards). These higher loss payments drive up insurance costs and lead to price increases.
Catastrophic events
Catastrophic events worldwide have increased in frequency and severity over the past two decades. Hurricanes such as Katrina, Harvey, Irma, Maria, and most recently, Ian are occurring more often. Wildfires in the west have become an annual event. We’ve seen windstorms, hailstorms, the Texas freeze, flooding in Europe and Thailand, earthquakes in Japan, China, and New Zealand, and now droughts in the US. These tragedies severely and negatively affect a carrier’s surplus, underwriting performance, and the cost of reinsurance (“insurance” for insurance companies).
Rising inflation and supply chain issues are adding to the woes. And many insureds are learning their current policies have insufficient property values and improper limits. Rectifying these gaps will add to insureds’ costs for the foreseeable future, prolonging the hard market.
How long do hard markets last?
Typically, hard markets are shorter in duration than soft markets. For example, compare the hard market of 2001–2004 to the soft market of 2004-2019.
Unfortunately, this current hard market is likely to persist. While some types of insurance show signs of rate deceleration, the factors mentioned above will continue to affect insurance pricing and availability in 2023.
Inadequacy of carrier reserves can also prolong the length of a hard market. If carriers need to take reserve charges due to poor loss development or other reasons, they will need to raise rates to replenish those reserves.
What strategies help in a hard market?
Eventually, the hard market will subside, and things will become more stable for buyers. But until that happens, here are three strategies to soften the impact on your budget:
1. Start thinking about your insurance renewals in advance. Talk with a Risk Strategies specialist to examine the adequacy of your coverage and whether you need to meet any new requirements to get the most favorable renewal terms. Waiting until the last minute will hurt your chances for a successful renewal and limit your options.
2. Determine what additional actions you can take to improve your risk profile. For example, have you acted on engineering recommendations? Do you need to adjust your business practices to reduce cyber risk? Underwriters like to see a strong focus on continuous risk mitigation.
3. Explore how captives can help you manage costs. When capacity shrinks in the insurance marketplace, driving up costs, a captive may be an attractive alternative for financing risk. An actuary can help you run the numbers to determine if a captive could help you meet your risk management goals.
A hard market can be frustrating, but these tips can help you navigate the rough waters. To brainstorm options for your unique situation, talk with Stacy Eickhoff, Risk Strategies Floor Covering insurance specialist, today. ■
The Staying Power of Family Businesses
Family businesses are known for their strong, distinctive cultures — cultures that are often heavily influenced by the founder’s vision, style, and values and carefully maintained throughout the generations. These cultures bind employees to a common cause and foster loyal and stable workforces. A strong culture can be a significant competitive advantage for a family business seeking to attract and retain the best talent to achieve sustainable long-term goals.
A strong culture can also be a liability. Every family business must examine whether its culture will survive in an environment of digital transformation and business model disruption.
A new KPMG study, The regenerative power of family businesses , explores the factors behind the resilience and enduring performance of family businesses, and how companies manage both tradition and change successfully. How do family businesses keep their founders’ entrepreneurial spirit alive and continue to grow from decade to decade and generation to generation? What is the secret to their staying power and ability to stay ahead of competitors?
The survey found there are three characteristics that help sustain a family business’ success, including a strong entrepreneurial orientation across generations, family connection and attachment to the business, and ambitious, next-generation leadership.
The report concludes with factors to consider that influence the regenerative power and future performance of your family business:
● The strength of a firm’s entrepreneurial orientation is one of the most important keys for unlocking the ability of a family business to continuously adapt, innovate, and grow. How would you score your company’s current level of entrepreneurialism? Is your company investing in research and development? Are you looking for opportunities to create innovative products, services, and processes? Are you exploring untapped markets to develop new revenue streams?
● What impact are next-gen family members having on the direction of your business? Are they given opportunities to take risks and make judgments on their own?
● There is evidence that next-gen leaders, particularly young women, are digitally savvy. Have you recognized that capability in your company, and are you actively leveraging it to help drive technological innovations in your operations?
● A second critical component of transgenerational entrepreneurship and the regenerative power of family businesses is the family’s socioemotional wealth. Are family members well-connected with the business? Are there new ways to keep them engaged in the business, through formal or informal roles or activities such as family events?
● Are your family members growing up in a stewardship climate to impart the purpose and values of the business and help each succeeding generation keep the business revitalized?
● How strong are their identification and emotional attachment with the legacy of the business and is its value as a family asset being encouraged? Are they motivated to contribute?
● Is it time to revitalize the leadership approach in your business? New leadership capabilities are emerging among Millennials and increasing numbers of female family members. Has their potential been recognized in your business? Are you taking steps to prepare them for future leadership roles? Is the value of increased diversity a factor in the long-term outlook for your company?
Family business owners want to create a company that makes a positive impact and ensures a legacy for future generations. They have earned a reputation for prioritizing their employees and the communities they serve. However, thriving in today’s world will require a change of mindset; a rethinking of their priorities and behaviors, including heightened investment in the digital tools needed for economic resilience; and a new definition of legacy. The world is changing, and so is the formula for lasting family business success. ■
How do family businesses keep their founders’ entrepreneurial spirit alive and continue to grow from decade to decade and generation to generation? What is the secret to their staying power and ability to stay ahead of competitors?
WFCA MEMBER LOUNGE JOIN US IN BOOTH # 2413
TISE is THE industry marketplace for buyers, specifiers, and sellers from all over the world to source products, equipment, and services while developing relationships that improve their businesses. All members have access to the exclusive WFCA Lounge in booth #2413 for meetings, networking, exclusive educational opportunities, or just a much needed place to rest your feet. See you in Vegas!
THIS IS MY STORY
MEET KAY
MEET KAY
A floor covering industry veteran, Kay has worked as a lead in a manufacturing facility for 23 years. Recently, she was diagnosed with cancer for the third time and became worried about how she was going to pay her doctor, hospital, and pharmacy bills. With a financial assistance grant from FCIF, Kay was able to have a weight lifted and get the medical help she needed. Kay wants everyone to know how thankful she is and that the Floor Covering Industry Foundation can help individuals like her in a time of need.
Due to a car accident, Jeffery is quadriplegic and wheelchair bound. Paralyzed from the chest down, he and relies on his parents to care for him. Jeffery’s father has worked in the flooring industry for 28 years as a customer service manager. Luckily, FCIF was able to provide a grant to assist with caregivers helping Jeffery with daily living activities. Jeffery shared, “receiving the grant from the Foundation has changed my life as well as my parents’ lives, because it has eased the burden of them having care for me 24
“The FCIF provides grants to recipients exclusively within the floor covering industry and is funded almost entirely from donations made from within the industry. Knowing that your donation, large or small, will be used to benefit someone in your industry who is suffering as a result of a catastrophic illness or life altering event, is a differentiation unique to every few charities,” shared Charlie,the CPO at CCA Global Industries and FCIF Board Chair.