May_June2013

HHardwdwareJOURNAL

THE

THE VOICE OF THE IRISH HARDWARE INDUSTRY

SSuummmmeerrttiimmee …… aanndd tthhee ggaarrddeenn lliivviinnggiiss eeaassyy

MAY/JUNE 2013

Better BusinessConsultant James Burke adviseson simple, cost-effective, ways to drive local sales.

View From AbroadAlan Hawkins, CEO, BritishIndependent Retailers Association(BIRA) explains why the three ‘Ps’are so important to hardwareretailing in the UK.

HAI Show SpectacularSpectacular HAI Hardware/DIYHome Garden Show 2013 worthyof industry’s new-found sense of confidence, and reflectsoptimism within the sector.

Paint — Push the Brush!In part two of our paint seriesSean Browne says “don’t juststock paint … sell colour … sellrooms … sell happy homes”

Outdoor LivingDavid Shortall, Chairman, Garden & Landscape DesignersAssociation, tells hardwareretailers how to exploit salespotential in outdoor living.

THJ Cover May 2013:Layout 1 26/04/2013 13:56

www.bghome.ie

FLOOD PROTECTION MADE EASY FOR ALL

40 YEARSCELEBRATING FOUR DECADES OF INNOVATION

IN THE IRISH HARDWARE INDUSTRY

n e w e x c i t i n g r a n g e s

M A K I N G L I F E B E T T E RL i v i n g P L U S

+

COMPLETE RANGE OF HOME SAFETY ACCESSORIES IN CONVENIENT

POINT OF SALE DISPLAYS

Marketing & Distribution by B&G Limited, Dublin, Ireland. Phone:+ 353(0)14569300 Fax:+353(0)14569335 [email protected]

n e w

IN THE

e x c i

E IRISH H

t i n g

ARHARDWWA

r a n g

RE INDU

g e s

YUSTRRY

FLOODD PROTFLOODEASY

D PROT

Phhone:+ 353(0)eting &Mark

www)14569300 F

but o& Dis

.bghome.x:+353(0)14a

y &Gb

.ieof4569335 in

ed, ub ,[email protected]

eland. Ir

Project2:Layout 1 26/04/2013 14:32 Page 1

May/June 2013 ❙ THE HARDWARE JOURNAL 1

Hardware/DIY Home GardenShow 2013 reviewShow of strength augers well for the future – the post-show survey of both exhibitors and visitors at the recent HAI Hardware/DIY Home Garden Show in Citywest confirmedthat it was a spectacular occasion worthy of the new-foundsense of confidence and optimism within the sector.

FEATURES

IN THIS ISSUE

2 News and products

10 HAI Clipboard A bulletin board for HAI members.

12

20 27 35REGULARS

Think ‘month behind’in seasonal sales

While there is no denying thechallenging trading environmentof the present, all is not doom and

gloom. There are two significant factorscurrently affecting sales – the weather and theimpact of the austerity programme Ireland hasundertaken (or been forced to!). Either wayboth have had a negative effect.

However, let’s take the weather first. It hascertainly affected the traditional sales curve of seasonal product groups but this is bestviewed in the context of delayed sales ratherthan lost sales. Instead, think of the seasons as being a month behind and devise a strategy to cope with that.

Some of the leading product suppliers havealready done this. Rather than run plannedadvertising and marketing campaigns whenoriginally intended, they have pushed themback a month – not pulled them. Retailers too need to quick-step to a revised approach,not concede. It will happen.

The same applies on the general economicfront. Having embraced the austerity packageso comprehensively (if not enthusiastically),the indications from the EU Central Bank andother influencing bodies is that Ireland inparticular will now be cut some slack.

Hopefully, this will allow a flow of funds backinto the marketplace, which in turn will easethe austerity outlook and generate sales. Itcould also release the pent-up sales potentialfrom the significant savings held on deposit.

Of course it is still very challenging in themarketplace but, rather than dwell on thoseaspects, let’s look to the positives and worktogether to maximise the return.

9 Book Review Feargal Quinn’s Mind your OwnBusiness is reviewed by Jim Copeland,HAI Chief Executive, who says it is abook every retailer should keep as anongoing reference guide.

16 Future trends representedby Best of Show ProductAwards New products featured in abundanceat the Hardware/DIY Home GardenShow 2013, making it very difficult forthe Product of the Show Awards judgesto make their final selections.

20 Retailers – you’ve got topush the brush!Sean Browne on why retailers need todo more than stock paint … they needto sell colour, rooms and happy homes.

27 HAI Better Business James Burke discusses simple, cost-effective ways to drive local sales inthe current economic climate.

35 View from Abroad Alan Hawkins, CEO, BritishIndependent Retailers Association(BIRA) on why the three ‘Ps’ are soimportant in the UK.

David Shortall, Chairman,Garden & LandscapeDesigners Association(GLDA) and Principal ofLandscape Discoveryexplains how knowledgableadvice and customer trustare key to sustained sales in the outdoor living market.

30

COVER STORY

OutdoorLiving

Contents:Layout 1 26/04/2013 13:10 Page 1

2 THE HARDWARE JOURNAL ❙ May/June 2013

HAI members pilot eLearning scheme A group of 19 retail professionals from HardwareAssociation Ireland member-companies are the firststudents in Ireland to complete a new retail qualificationby City & Guilds. This was a pilot course presented viaeLearning with Minister for Training and Skills, CiaránCannon, TD, presiding at the award ceremony.

This event marked the formal launch of the onlinedelivery of the City & Guilds Retail KnowledgeQualification, which was developed by the Retail Training Consultancy Ltd (RTCL) and part funded by MBE Skillnets.

The candidates were from a range of well-known Irishbusinesses such as the Dairygold Group, Heitons Steel,Chadwicks and Sheahans Hardware, Nenagh. Theyincluded store managers and sales assistants with adiverse educational background and varying age profile.

Funding for retail sector participants was provided byMBE Skillnet. Jim Copeland, CEO Hardware AssociationIreland and MBE Skillnet Steering Committee Membersaid: “MBE Skillnet was pivotal in securing the fundingfor participants on this pilot course that will now beavailable to all members in 2013. In addition to theRetail Selling module, Customer Service and VisualMerchandising will be included going forward”.

Also speaking at the award ceremony, Brid Healy, City & Guilds Regional Manager (Europe) stated; “Areduction in staff numbers on the ground in the retailsector has made releasing employees for off-site trainingvirtually impossible. One of the many benefits of thisqualification is that it allows staff to obtain a valuablequalification outside of working hours.”

Editor Pat Lehanet: 01 288 5001m: 086 255 7363e: [email protected]: thehardwarejournal.ie

Editorial BoardPaddy Kelly, President, HAI

Brendan Maher, Immediate Past President, HAI

Hugh O’Donnell, Vice President, HAI

Alex Taylor, Hon Treasurer, HAI

Jim Copeland, CEO, HAI

Advertisement ManagerrJoe Warrent: 01 288 5001m: 086 253 7115e: [email protected]

Origination and designPressline Ltd t: 01 288 5001

SubscriptionOne Year – €50

Official journal of

Published byThe Hardware Journal Ltd

ElmvilleUpper Kilmacud RoadDublin 14t: 01 298 0969e: [email protected]: www.hardwareassociation.ie

ISSN 2009-5481

© All editorial contents and alladvertisements prepared by the publishers, The Hardware Journal Ltd.

News�PRODUCTS

Paudie O`Brien, Sheahan`s, Nenagh withMinister for Training and Skills CiaránCannon, TD.

Cathriona Lonergan, Co-Op SuperStores and Fiona Moore, HR Officer, Dairygold with Minister for Training and Skills Ciarán Cannon.

Back row: Brian Doherty, Chadwicks with Paul Meade and David McAvinue, Heiton Steel. Front row: TadhgDenieffe, Heiton Steel with Lina Sturyte, Chadwicks Plumb Centre; Minister for Training and Skills CiaránCannon, TD, and Carmel O`Flaherty, Chadwicks.

News and products:Layout 1 26/04/2013 14:25 Page 1


Multi-Clean7 foaming spraycleaner from ContechMulti-Clean7 is a new universal, all-purpose fast-acting cleaner for household and professional use from Contech Building Products. The foaming spray cleaner cleans and degreaseswithout leaving traces, contains no abrasives, and comes in a500ml size.

It is safe to use on a wide range of materials – mirrors, windows,doors, furniture, imitation leather, hard synthetics, stainless steel,enamel, formica tiles, carpeting etc – and will undoubtedly prove apopular seller. It is said to be particularly effective on rubberresidues, dirt, grease, nicotine, pencil marks, etc.

Also new from Contech is Tec7 filler. Benefits include:• Adhesion to all porous materials;• Fill and finish with a single product;• Dries without shrinking or cracking;• Lightweight and snow white;• Quick

drying; • Flexible

and will not crack;

• Long shelf-life, lasts up to 24 monthseven when opened.Available in 5ltr, 750ml, 250ml containers and 300ml cartridge.Contact: Andrew Darcy, Contech Building Products.

Tel: 01 – 629 2963; email: [email protected]; ww.tec7.ie

B&G celebrates 40 years

News�PRODUCTS

Paddy Kelly, HAI President looks on as Adrian Carolan, ManagingDirector, B&G, makes a presentation to B&G founders Robert Bell andTom Glancy to mark the company’s 40th anniverary.

Modern functional and safe Roof Windows, Fakro can change any living space into a beautiful and comfortable place. Excellent products and a wide range of Accessories can make your living space bright and modern.

Visit our new Showroom and Training Centre at Tradecraft Building Products Ltd, Tougher Business Park, Newbridge, Co. Kildare

www.tradecraft.ie

Modern, functional, safe...

... Ideal windows for a perfect living space

.nredomdnathgirbmnacseirosseccAfoegnar

tnellecxE.ecalpelbatroffomocecapsgnivilynaegnahcnac

effeasdnalanoitcnufnredoM

iltceffereparoffoaedI...

odeM

ecapsgnivilruoyekamediwadnastcudorptdnalufituaebaotnieorkaF,swodniWfooRe

ecapsgnivswodniwla...e, saffetionaln, funcer

t.ie.tradecrafftwww

o, Cidge, NewbrkarBusiness PorPBuilding t afadecrrTta

oomwrShonewourisitV

eildar. Koougher TTo, dtLtsoduc

etrenCainingrTand



Ecocem Irelandappoints O’Riain Ecocem Ireland hasappointed Conor O’Riain as thecompany’s Head of New Productsand Markets. This is a new rolewhich will see Conor develop theexport markets for Ecocem’sproduct range in Europe andfurther afield, as well as salesand project management.

The announcement comes onthe back of Ecocem Ireland’s recently-announcedplan to create 61 jobs as part of a new three-year,€19 million investment programme coinciding withthe official opening of its new facility at Dublin Port.The new cement plant will be used to bag Ecocem’seco-friendly cement, which among other thingsreduces the carbon footprint of traditional cement by over 50%.

Conor will be primarily responsible for all newproduct development at Ecocem Ireland, whichincludes the new 25kg consumer-sized bag ofEcocem cement, due to be officially launched into the Irish market later this month.

Conor is based in Dublin but has also lived andworked in France, England and Spain. Conor holds aBA Honours Degree in Professional Language Studiesand is fluent in French and Spanish.

Rustins new decking coloursRustins has added Natural Pine, Natural Cedar and Natural Oak to its decking oilrange. These hard-wearing, water-resistant oils not only enhance the colour of decking,

but also leave a natural finish. They contain ultra violet lightinhibitors, plus biocide that protects the oil against mould and

algae growth. It is available in 2.5ltr and 5ltr sizes, in Clear, Natural

Pine, Natural Cedar and Natural Oak. Also new from Rustinsis Sticky-Off, a sticky adhesive remover available in a handy pump-spray bottle. It is perfect for tackling the residueleft by gum, glue, labels, tape and adhesives from surfacessuch as glass, plastic, metal, wood, worktops and clothes. It comes in 60ml and 100ml pump spray bottles.

Brush Restorer is another addition to the Rustin portfolio.It removes dried-in paint, varnish and polyurethane frombrushes and rollers.

Contact: Excellence Ltd. Tel: 01 – 832 3300;email: [email protected]; www.excellence.ie

Polyfilla spray takes top awardPolycell has been delivering high quality pre-decoration products through end-userfocused innovations since 1953, allowing DIYers to take pride in a perfect finish. Polycellhas now introduced a revolutionary new product – Polycell Quick Drying Polyfilla Spray– which won overall Best DIY/Hardware Product Award at the recentHardware/DIY Home & Garden Show (see also page 16).

This product offers a unique application method that makes repairinghairline cracks and minor surface imperfections on smooth interior wallsfast and easy. The Polyfilla Spray has been specially developed to providea less-mess formulation – simply spray it on and smooth off with noneed to sand. It can be painted over within two minutes.

The ease with which this product it applied is the perfect solution fortoday’s DIYer who often lacks the skill needed when applying traditionalfillers. Speak to your local Dulux sales rep for more information aboutthis award-winning product.

Contact: Dulux, Dublin 24. Tel: 01 – 455 6099; email: [email protected]; Website: www.dulux.ie

News�PRODUCTS

National Retail Crime ConferenceThe National Retail Crime Conference will hold its inaugural event on 20 June2013 at The Red Cow Moran Hotel.

This conference will offer retailers, loss-prevention specialists and securityprofessionals the opportunity to come together for networking and informationsharing, and to gain intelligence on crime within the retail industry.

Speakers on the day will include noted professionals with first-hand experience in retail, supply chain and E crime loss and profit protection.

Contact: Karen McNevin, Conference Director. Tel: 01 – 291 0999; email: [email protected]

McMahons uplift As part of its determination to better serve its growingcustomer base McMahons of Limerick recently took

delivery of sevennew forklift trucks. “This is acommitment in ourfuture progressionfor our branchnetwork”, saidMark McMahon,Managing Director,McMahon Group.Pictured as theforklifts arrivedwere Pat Collins,

Operation Manager, and Mark Mc Mahon, ManagingDirector, McMahon Group with Wayne Uzell, NationalSales Manager, Irish Lift Trucks.


Distributor:Contech Building Products,Unit F12, Maynooth Business Campus, Maynooth, Co. KildarePh: +353 1 629 2963, Email: [email protected]

NEW

Unique All PurposeFoaming Spray CleanerUniversal, all-purpose, fast-acting cleanerfor household and professional use

Cleans and degreases without leaving traces

Safe to use on wide range of materials suchas mirrors, windows, doors, furniture,imitation leather, hard synthetics, stainlesssteel, enamel, plastic, Formica tiles,carpeting etc.(Always test on sensitive surfaces before use)

Contains no abrasives

Visible action by foam format

Very effectice on rubber residues, dirt,grease, nicotine, pencil marks etc.

ALL NEW16 PageBrochure

ALL NEWFree Standing

Display


UK trend to be wary of … Almost a third of UK shoppers have bought gardeningequipment and DIY tools from a supermarket, according to newresearch conducted by Santander.

The report shows that 16% of shoppers (eight million) now usesupermarkets as one-stop shops to purchase all their non-fooditems, as well as food products.

Nearly three-quarters (72%) of shoppers have bought clothingand accessories from a supermarket retailer, and CDs, DVDs orvideo games are the second most common non-food purchase,bought by 67%.

The same number have bought household electrical appliances,42% have purchased toys, and 32% gardening equipment and DIY tools.


News�PRODUCTS

Fleetwood takes guessworkout of colour coordination “Popular Colours by Fleetwood takes the guesswork outof coordinating colours and gives consumers the confidenceand inspiration to show off their personal colour style,” saysSteven McQuillan, Marketing Manager for Fleetwood.

“Homeowners can focuson the look they want toachieve, and we’ll suggestthe best colour choices.

“Colours within each ofthe five Popular Colourscollections work beautifullytogether, no matter howmany or how few areselected. We suggest cues to pull the hues intowindow treatments,textiles and decorativeaccessories, or to updatethe look of furniture.”

The interior acrylic paint,manufactured byFleetwood, is available inany finish including matt,soft sheen, satin and glossfinishes. It also carries the

100% Acrylic seal that marks the company’s high-quality,environmentally-preferred coatings.

The colour collections are: Neutral Nuance, Traditional Twist,Personal Imprint, Livable Luxury, and Coastal Fusion.

Personal Imprint comprises colours that reflect an upbeatpassion for life. Vibrant brights and high-contrast neutralsshowcase artistic flair while not so bold consumers canintegrate schemes of greys and browns.

Meanwhile, Neutral Nuance ismade up of understated,authentic neutrals combinedwith the softest hints of colourto create a quiet, understatedatmosphere. For easy,harmonious arrangements, thesesubtle colours are hard to beat.

Contact: Steven McQuillan,Fleetwood Paints. Tel: 01 – 455 2411; email:[email protected];www.fleetwood.ie

Multi-colour primer solutionsfrom Lowe Right from when Curust Industries first commenced production inDublin in the early 1980s, the name Lowe became synonymous withrust prevention throughout Ireland. A unique feature at the time wasthat it could be painted straight onto rust and was lead-free.

These attributes, together with its versatility and ease of use, sawLowe quickly gain brand-leader status in rust prevention with peopleusing it on cars, gates, machinery, boats and anywhere that rust was a problem.

Growth over the next decade was such that the existing manufacturing plant could no longer meet demandand so production wasoutsourced. Product quality was ensured by the strict adherence to the original formula.

Although “tile red“ was the dominant colour at the time and Lowe Rust Primer did not require an over-coat, users of the product wanted to be able to over-coat to acolour of their choice. “Dove grey” was the solution offered and salesgrew rapidly.

In more recent times Curust Industries has invested further in the brand and introduced seven new colours of Lowe metal andmachinery paint.

Meanwhile, the original formula of Lowe Rust Primer was changedslightly to facilitate the addition of gloss resins and colour pigment. Theresult is a high-quality rust primer with an attractive smooth mid-glossfinish in black, white, red, yellow, green, blue and slate grey.

Contact: Richard Brocklesby, Curust Industries. Tel: 01 – 276 0800; email: [email protected]

Central Park from theFleetwood collection



EXCELLENCE LTD. SOLE DISTRIBUTORS OF RUSTINS PRODUCTSUnit 43, Baldoyle Industrial Estate, Dublin 13. Tel: 018323300 Fax: 018323584

email: [email protected] [email protected] www.excellence.ie

www.rustins.co.uk

Because it’s what’s inside the tin that counts

It’s not just the garden lawn that needs looking after!

Range of colour and sizes available

Hardware Sector ChampionHardware Association Ireland (HAI) is the nationalsales association representing hardware, DIY, home

décor, building supplies, electrical, homewares,garden and agricultural sectors. It is quite unique in that it includes all elements of the supply chain

– retail, wholesale and manufacturer.

It is regularly consulted by Government, regulatory bodies, consumer groups and other

industry representative associations.

Contact:Jim Copeland, HAI Chief Executive

Tel: 01 – 298 0969Email: [email protected]



News�PRODUCTS

Fakro roof windows were introduced tothe Irish market in early 2000 as Fakro andTradecraft Building Products formed apartnership to market and distribute thebrand throughout Ireland. Since then theportfolio has been considerably expandedand now includes a full range of loft ladders,

breathable roof membranes,flexible and rigid sun tunnels,and solar panels.

Latest development from thecompany is the opening of apurpose-designed showroomand technical training centre atTradecraft’s Logistics Centre in Naas, Co Kildare. This is open toprofessionals such as architects,engineers, quantity surveyors,merchants, building contractors

and roofing contractors, in addition to thegeneral public.

Fakro’s commitment to the Irish market is

further exemplified by the investment policyit has pursued to acquire the Irish AgrementBoard (IAB) and British Board of Agrement(BBA) accreditation across its variousproduct ranges. This ensures that all Fakro-branded products are in full compliance withthe latest Building Regulations throughoutthe whole of Ireland.

The partnership-driven model operated byFakro and Tradecraft Building Products hasproved extremely successful as bothcompanies merge their sales, marketing andtechnical expertise for the benefit of theFakro Brand in Ireland. That will now bebrought to bear as further new products areintroduced within the roof window, loftladder, sun tunnel, roof membrane and solarpanel sectors in the months ahead.

Contact: Dermot Foster, TradecraftBuilding Products. Tel: 01 – 045 409 050;email: [email protected];www.tradecraft.ie

Global DIY-Summit2013 for Rome The Global DIY-Summit 2013 willbe held in Rome on 6/7 June 2013 withabout 600 delegates from around theworld expected to attend. The maintheme of this year’s event is Multi-Channel.

Multi-Channel is rapidly changing theface of home improvement retailing withonline sales heading towards 10% ofsales and with huge increases expected.Some experts predict that within adecade multi-channel sales in retailingcould be as high as 30% of total sales.

Top experts on multi-channel, as wellas top retailers and leading brandsuppliers operating around the world, will give their views on multi-channel.

For details click: http://fe-kongress.cvent. com/globaldiysummit

Fakro opens showroom and training centre

Sandtex Exterior Paintshas renewed its sponsorship ofSt Patrick’s Athletic FootballClub for the 2013 season.Sandtex has been supportingthe club for many years andthis sponsorship will see itslogo on the shoulders of thePremier League team’s kit

for the ninth year in a row. On the product front

Sandtex has introduced a hostof new trim colours in glossand satin finishes. There arenew colours in 10-Year ExteriorGloss and 10-Year ExteriorSatin which protect as well astransform; shades like SmokeyGrey and Teal in a gloss finishthat give a stylish andsophisticated appearance; and Gentle Blue, Soft Creamand Black in a low-sheen satin finish that will revitalisewindows, doors and shutters.

Speaking about the newcard, Crown Paints MarketingController, Kevin Whelan said:“People start to take arenewed interest in the front of their home once the

weather picks up and Sandtexalways strives to bring thecolours from the catwalkstraight to the forefront ofconsumer’s homes. Blue andgreen, along with morestandard shades like cream and black, are always our most

popular and these newofferings will add to theexisting colour palette”.

Contact: Crown Paints. Tel: 01 – 816 4400; email: [email protected];www.crownpaints.ie; Crown Ireland Facebook page.

Sandtex First Impressions support Saints

Sandtex Hot Mustard.

Photo: Inpho Photography



Feargal has always spoken aboutthe importance of setting the tone. In thisbook setting the tone, daring to be different– and humour – come shining through. It istelling that, while he advocates allowingcolleagues the space to introduceindividual initiatives, it is also vitallyimportant that overiding procedures andprocesses are in place.

Feargal recounts what he calls the“McDonald’s Approach”. Everything at thefast food operator is systemised, rightdown to the way customers are greeted.The company has rules to cover almostevery eventuality, and all the staff have todo is carry them out.

However, Feargal goes on to expoundthat any business looking to truly excelshould always be looking further than this.If you have the right approach to basicstandards, they can be a springboard toreal and lasting success, no matter theprevailing economic conditions.

One of Feargal’s great strengthsthroughout the book is making retailconcepts easy to digest and easilyunderstood. His intriguing chapter title ofTOGs, DOGs, and HOGs is a great exampleof how procedures and processes within abusiness can be accommodated simply, buthave the potential to have a major impact.

TOGsWhen Feargal opened his Superquinn storein Dundalk in the 1960s, he describes howhe and his staff spent the first three days ofthe week getting the shop ready for a busyweekend and, on Thursday evening, theywouldn’t go home until the shop floor wasin great nick. They used a check list calledthe Thursday Order Guide (TOG). However,as the company began to grow and hiscustomers expected more, they soon foundthat having the shop in a good state once aweek was no longer good enough.

DOGsThis is where the Daily Order Guide (DOG)was introduced to ensure that certain basicstandards were being met on a daily basistoo. The beauty of this was that there wasjust six points on it and was very simple touse. As the success of these guides spreadthroughout the organisation, it wasinevitable that the next variation arrived.

HOGsAlthough the shop floor could be ready at9am through the use of a DOG, it could bein disarray by 2pm, and this was when theDOGs “younger brother”, the HOG – HourlyOrder Guide – was born. Feargal accreditsthis as having transformed the way thatSuperquinn operated.

The key to TOGs, DOGs, and HOGs werethat they were very simple to understand.Despite being quite detailed, they set outthe things that must happen, as a matter of course – no discussion, no initiative, nocreativity, the message to the staff wasclear. These checklists had to be addressed,just as a pilot does before take-off!

The other key message from Feargal’snew book is that retailers need their storesto become a “destination outlet” forcustomers. Make one or more of yourproducts/services so appealing that eventhe most reluctant shopper is won over.

Creating a sense of excitement aroundyour business, ensuring that you continueto be the best at what you do – and tellingpeople about it – is vital. There is no use inhaving the best shop in the world if no onecomes inside (see page 27 for ideas).

A simple equation sums up thedestination logic perfectly. Word of mouthrecommendation + quality and value ofgoods on sale = your shop as a destinationshop.Feargal’s book – Mind your Own Business – ispublished by O’Brien and available at all goodretail book outlets.

Feargal Quinn’sMind your Own BusinessHaving read Feargal Quinn’s earlier book Crowning the Customer,

and being an avid viewer of Retail Therapy, I knew a little of what to expect from

Feargal’s new publication Mind your Own Business. This is not just a holiday read, it is one that any

retailer should keep as an ongoing reference book, writes Jim Copeland, HAI Chief Executive.

BOOKreviewTHE HARDWARE JOURNAL

Like to tell our readers about agood book you read? Contact EditorPat Lehane at 086 – 255 7363 or [email protected] to discuss

Book Review:Layout 1 26/04/2013 07:03 Page 1

HAI CLIPBOARDHAI CLIPBOARDCE marking of construction products Hardware Association Ireland has held a series of briefings in recentweeks on the forthcoming Construction Product Regulations which willbe enacted this coming July.

From July 2013 when the CE marking of construction productscovered by harmonised European standards becomes mandatory,

manufacturers, importers and distributors(retailers) will have new obligations andresponsibilities when placing a constructionproduct on the market.

The Department of the Environment,Community and Local Government has issueda public consultation on these regulations –called Public Consultation on the DraftEuropean Union (Construction Products)Regulations 2013, the Draft BuildingRegulations (Part D Amendment)

Regulations 2013 and Draft Technical GuidanceDocument D – Materials and Workmanship (2013) – that can be

accessed via www.environ.ie or using the following link –http://www.environ.ie/en/DevelopmentHousing/BuildingStandards/PublicConsultations/

The primary purpose of the draft European Union (ConstructionProducts) Regulations 2013 is to provide for the market surveillance ofconstruction products in the EU.

Part D of the Building Regulations is also being reviewed in order toclarify that “proper materials” may include construction products whichcarry a CE mark. The deadline for receipt of comments is no later than5pm on Friday, 17 May 2013.

These changes will have a major impact on the supply of constructionproducts covered under the Construction Products Regulations andmembers need to be aware of their responsibilities in this regard.

The Department of the Environment has an information sheetavailable on CE markings which is available through Hardware

Association Ireland, or at http://www.environ.ie/en/Publications/

DevelopmentandHousing/BuildingStandards/ FileDownLoad,30649,en.pdf

Two helpful videos on CE marking –one from a business perspective, and the other from a consumer perspective – are also available from http://ec.europa.eu/ enterprise/policies/single-market-goods/cemarking/index_en.htm

Jim Copeland, Chief Executive and Director, HAI

Jim Copeland, HAI Chief Executive. Tel: 01 – 298 0969; email: [email protected]

Hardware Association Ireland has issued a guidance note fromRevenue on Solid Fuel Carbon Tax (SFCT). Solid fuel carbon tax isan excise duty that applies to solid fuel supplied in the State on orafter 1 May 2013. This note outlines broadly the main features ofSFCT and how it will be applied by Revenue.

A liability to SFCT arises on the “first supply” of a quantity ofsolid fuel in the State by a supplier and the supplier is accountablefor, and must pay, the tax to Revenue. First supply means a quantityof solid fuel supplied in the State that had not previously beensupplied in the State. Any person who is VAT-registered, or ataxable person in the State and who makes a first supply of solidfuel in the State, is an accountable person for the tax and mustregister with the Revenue Commissioners for the purpose of SFCT.

This guidance note will be followed by more detailed informationthat will be sent to members on matters such as revenueregistration forms and data returns where applicable .

Hardware Association Ireland will work with members andRevenue to ensure that members are not adversely impacted bythose operating in the shadow economy, and those not adhering to the new or existing regulations.

HAI guidance note on SolidFuel Carbon Tax (SFTC)

Solid fuel carbon tax is an excise duty thatapplies to solid fuel supplied in the Stateon or after 1 May 2013


Clipboard:Layout 1 26/04/2013 13:37 Page 1


HAI CLIPBOARDHAI CLIPBOARD

The all-island public sectorprocurement market is valued at €20 billion in goods andservices every year and representsan enormous market forbusinesses. A recently-publishedbest practice guide called AreTenders on your Radar –promoting SME participation in

public contracts – isdesigned to addressthe issues whichinhibit SMEprocurement fromthe public sector.Research hasshown that,given the rightconditions andassistance,SMEs can

become more effective inwinning and retaining supply

contracts to government andother authorities.

However, there still is asignificant opportunity forauthorities to stimulate growth in the SME sector throughproviding scaled businesscontracts, security through repeatbusiness, reliability in the businessrelationship and promptness ofpayment. A more extensive viewof tenders is also required, looking to the most economicaladvantageous tender and notsimply the price.

HAI members can, and do, offerhigh-quality service and productflexibility; provide a simple accessstructure allowing procurers a direct relationship with keydecision-makers; have all thebenefits of local knowledge andlocal impact on the business

environment; and on employmentgeneration.

We need to do more to prepare ourselves for public sectorprocurement through many of thetraining initiatives and structuresavailable. We can become moreambitious in our targeting.

Hardware Association Ireland is working with the NationalProcurement Service andInterTradeIreland to promoteopportunities in tendering forpublic sector contracts.

A series of national workshopsconducted by InterTradeIrelandand called “Go-2-Tender” areavailable during 2013. They are aimed at giving SMEs theconfidence, knowledge andpractical skills to tendersuccessfully for public sectorcontracts, particularly on a cross-border basis. These heavily-subsidised programmes costapproximately €100 and consist

of two days of workshop withhalf-day mentoring for eachparticipant. Contact:www.gototender.com

The National ProcurementService (www.procurement.ie)provides valuable informationthrough its “meet the buyer”events, where supply companiescan meet public sector buyersacross the island, north and south.There are two events scheduledfor 2013 in September andOctober. These events are alwaysextremely well attended with over85% of attendees saying that theywere satisfied, or very satisfied,with the services provided. HAImembers are encouraged toattend these workshops.

Meanwhile, HAI will also lookto coordinate members intogroups to learn from each other,and from relevant experts, so theycan better tender for public sectorprocurement contracts.

Are tenders on your radar?

The Single Euro PaymentsArea (SEPA) is an EU Regulationthat it is claimed will simplifyfinancial trancastions and makedoing business easier. Theobjective is to standardise euroelectronic payments acrossEurope – there are 32 countries

in the SEPA area – and it comes into full effect on 1 February 2014.

From that date onwardsexisting national paymentschemes will be closed down,following which euro electronicpayments will be processed

through new SEPA schemes. By that stage, all national directdebits and credit transfers mustbe SEPA-compliant. This willinclude everything from staffpayroll to paying creditors orreceiving a euro electronicpayment from customers within SEPA.

National sort codes andaccount numbers will bereplaced by an InternationalBank Account Number (IBAN)and a Bank Identifier Code (BIC).

All euro direct debits andcredit transfers within thedesignated 32-country area will be executed under the sameconditions. This will create a more efficient borderlesspayment area by standardisingeuro electronic payments. A key

benefit for businesses (accordingto the legislators) is that fastersettlement and simplifiedprocesses will improve cash-flowand potentially reduce cost.

SEPA Direct Debit will allowthe collection of payments ineuro from domestic and cross-border debtors throughout SEPA. It will bring with it anumber of significant changes,including:• New file submission time

frames;• New customer file formats;• New automated process

for rejected/returnedtransactions;

• Increased consumer protection rights;Further information is available

from www.readyforsepa.ie

Are you ready for SEPA?

Clipboard:Layout 1 26/04/2013 13:38 Page 2

Visitors numbers were up 20% on the 2011 event over the twodays, while 87% of those either placed anorder, or intend to place an order, as aconsequence of their visit. Just over 87%have already earmarked the 2015 show as a “must visit” event.

Not surprisingly, the exhibitors were alsoextremely enthusiastic and upbeat with97% rating their participation veryworthwhile/worthwhile; 98% totallysatisfied with the venue and 85% statingthat they would be returning as exhibitorsin 2015 (see Visitor and Exhibitor bar charts).

Seminars and workshopsApart from the stand exhibits, theconcurrent series of seminars andworkshops also proved extremelysuccessful. All were well supported with apreference for the more dynamic sales andmarketing topics. Art Freedman as alwayswas a great attraction, especially his“WAR” presentation …Winning at Retail.

James Burke gave several thought-provoking presentations on topics such asDriving Sales Through Loyalty; E-marketingand Local Sales Growth; and Growing Sales in the Hardware Sector. All attractedgreat levels of interest and promptedenlivened discussion.

Keith Harford`s workshops on How SmallChanges in your Business can make a BigDifference and Cash-flow is King caughtthe attention of many visitors who engaged very positively.

In addition, Amalgamated Hardware,

The post-show survey of both exhibitors andvisitors at the recent HAI Hardware/DIY HomeGarden Show in Citywest confirmed that it was aspectacular occasion worthy of the new-foundsense of confidence and optimism within the sector.


SHOW OF STRENGTHAUGURS WELL FORTHE FUTURE

Citywest Exhibition Centre Feb 17-18 2013

Major boost from home,housewares and gift sales

www.irishhardwareshow.com

Ireland’s Only National Showcase

Hardware/DIY Home Garden Trade Show

Hardware Show 2013 Review:Layout 1 26/04/2013 07:10 Page 1

Expert Hardware, Grafton Merchanting ROIand United Hardware were all very wellrepresented, supporting the show in bignumbers over the two days .

President’s BallThe President’s Ball on the Saturdayevening was the perfect launch pad for thisindustry extravaganza. With just on 300attending and Paddy Kelly at the helm forhis inaugural event as new President, theoccasion proved enormously successful.

Paddy’s address set a confident andpositive tone, not just for the ball and theshow, but also for the years ahead. Hecaptured and reflected the positive mood ofthe night and underpinned this with hisown avowed determination to reinforce theincreasing influence of HAI as the hardwaresector’s principal representative body.

Networking andsocial occasionWhile primarily a business dinner offeringexceptional networking opportunities, thePresident’s Ball is also a major socialoccasion where old friendships are renewed,current friendships cemented, and newfriendships forged. All in all it is a genuinelyunique and very successful industry occasion.

President Paddy Kelly spoke of his

avowed determination to reinforce

the increasing influence of HAI as

the hardware sector’s principal

representative body


HARDWARE/DIY HOME GARDEN SHOW 2013

Percentage total exceeds 100 due to multiple mentions



Above: Hardware Association Ireland current President Paddy Kellywith past Presidents (standing, left to right) Jimmy O’Donoghue,Granard, 1995; Jim Lenehan, Dublin, 1971; Brendan Maher, Galway,2011; Paddy Kelly, Kildare, 2013; John Murphy, Roscommon, 2009;Pat Byrne, Kildare, 1997; Eddie Kelly, Dublin, 2001; Tom O’Connor,Cork, 2005. Seated – Mona Hughes, Dublin, 1991 and CatherineShiels, Dublin, 2007.

Below: Anita Maher with Edel McSweeney and Cathy McGready,Tucks O`Brien.

Nick Einhorn, Magician with Jim and Lillian Coffey, SpiritEnterprises.

PRESIDENT’S BALL 2013

Michael Rocks, Ronseal with Alan Mullally, Walls Construction andAida Alonso, Expert Hardware.


PRESIDENT’S BALL 2013

Above: Joint President’s BallSponsor – Irish Cement. Catherineand Jack Dalton, Irish Cementwith Paddy Kelly, President,Hardware Association Ireland and Anne Kelly.

Right: Joint President’s BallSponsor – Ames True Temper.Paddy Kelly, President, HardwareAssociation Ireland with AnneKelly, Niall Nugent, Ames TrueTemper and Mary Nugent.

Left: Bob Boxwell, Tucks O`Brienwith Fiona and Philip Deering,and Tom Finn, fromAmalgamated Hardware.

Below: Elaine Byrnes and AislingMurphy, Ronseal.



Best Garden Product: Winner – Sinead Cotter, WestlandHorticulture with Paddy Kelly, President, Hardware AssociationIreland and Aisling Clancy, Westland Horticulture.

Best Garden ProductWinner Company: Westland HorticultureProduct: Even-Flow Lawn Spreader

Highly Commended Highly CommendedCompany: Watergain Company: CCEC DistributorsProduct: The Golden Gark Product: CPD Bin Strap

Commended CommendedCompany: Watergain Company: WatergainProduct: Polanter Product: Barrow Boy

Best Garden Product: Highly-Commended – Fergus Byrne,CCEC Distributors with Maureen Ledwith, Business Exhibitonsand Paddy Kelly, President, Hardware Association Ireland.

Left: BestGardenProduct: HighlyCommended –Tom Hickey,Watergain withMaureen Ledwith,BusinessExhibitions.


Hardware Show Awards:Layout 1 26/04/2013 07:15 Page 1


Review: Product of the Show Awards 2013

BestHardware/DIYWinner Company: Dulux PaintsProduct: Polycell Polyfila Spray

Highly CommendedCompany: JADDProduct: Jadd Gatekeeper

Highly CommendedCompany: B&GProduct: SOS Flood Bags

CommendedCompany: Henkel LoctiteProduct: Solvite liquid wallpaperpaste

CommendedCompany: DS SuppliesProduct: Retrogrip anti-slip decking inserts

CommendedCompany: Arc Building ProductsProduct: Mouldx Mould Remover

Future trendsrepresented by Best ofShow Product Awards

Best Hardware/DIY Product: Winner – Derek Keyes and Dolores Farrell, DuluxPaints Ireland with Maureen Ledwith, Business Exhibitions and Paddy Kelly,President, Hardware Association Ireland.

New products are the lifeblood ofany industry, but especially so hardware,where the dynamic nature of the businesshas seen quite a number of new marketsegments opened up in recent years. Thebroad spectrum of product categories nowpresented by hardware retailers includeseverything from hardware, DIY and gardenthrough to workwear, tools, clothing, petcare, etc.

This presents the sector with a seriouschallenge but, on the evidence of the

number and diversity of productsshowcased at the recent Hardware/DIYHome Garden Show in Citywest, suppliershave risen to this challenge. New productsfeatured in abundance, making it verydifficult for the Product of the ShowAwards judges to make their finalselections. After a great deal ofdeliberation they eventually presented 14 awards under three categories. Fulldetails are listed on these pages.

The broad spectrum of product categories now presented byhardware retailers includes everything from hardware, DIY andgarden through to workwear, tools, clothing, pet care, etc.

Best Hardware/DIY Product:Commended – HAI President PaddyKelly presenting Derek Doyle of DS Supplies with his award



Review: Product of the Show Awards 2013

Best Hardware/DIY Product: Commended – Tom Cleary,B&G with Maureen Ledwith, Business Exhibitions and PaddyKelly, President, Hardware Association Ireland.

Right: Best Hardware/DIYProduct: Commended –Crevan Byrne, Henkel Ireland with Maureen Ledwith, BusinessExhibitions and Paddy Kelly,President, Hardware Association Ireland.

Best Hardware/DIY Product: Commended – Paddy Kelly,President Hardware Association Ireland with Maureen Ledwith,Business Exhibitions and David Orr, Director, Arc Building Products.

BestHardware/DIY

Left: Best Hardware/DIYProduct: Highly Commended –John and Christina Bradley, Jaddwith Maureen Ledwith, BusinessExhibitions and Paddy Kelly,President, Hardware Association Ireland.



Best Home Product: Winner – Niall Byrne,Rhino Industrial with HAI President Paddy Kelly.

Best Home Product: Highly-Commended – Micheal Rogers, Ashtown Trading with Maureen Ledwith, Business Exhibitions and Paddy Kelly, President, Hardware Association Ireland.

Right: Best HomeProduct: Highly-Commended – CillianMolloy, John Murphy(Castlerea) Ltd withMaureen Ledwith,Business Exhibitions.

Best HomeProductWinner Company: Rhino DistributionProduct: Jaws

Highly CommendedCompany: Ashtown TradingProduct: LED FloodlightPowermaster

Highly CommendedCompany: John Murphy (Castlerea)Product: Ram Rod Multi-Tool


Colour mixing/tinting A paint tinting system – especially whenused in tandem with ready-mix – can be a hardware/paint store’s best friend.It’s all about customer service and colour availability. It’s also all aboutreturn on investment and workingcapital – sales ratio.

Tinting can improve customer serviceand increase sales, while at the sametime reducing stocks. Now, that’s some trick. That’s why I love tinting.

The average tinting system can do1200 colours for the main brandcollection and many many thousands of other colour collections. Add aspectrophotometer to the system and you can spend all day counting the possibilities.

Ready-mixReady-mixed paints play a veryimportant and pivotal role in anyhardware or dedicated paint store. Muchtime, money and effort is expended bythe paint companies into researchingcolour trends and presenting up-to-dateranges, backed by cutting-edge supportbrochures, visuals, etc.

The ready-mixed ranges also servethose consumers who are less colour-savvy, giving them a confidence in theirpurchase and an endorsement thatsuggests that they are right up there onthe fashion front. Also, pre-mixedproducts save time in-store. With staffinglevels under pressure that has to be amajor benefit.

In the last article we talked abouttrends, ranging and stock control andI hope you found some of the pointersuseful. In this piece we will look attinting and colour display, amongother things. Remember, if you haveany comments or queries, drop us anemail here at The Hardware Journal.


Focus on: PAINT

Sean Browne is an industrialengineer and holds an MBA. He isCEO of RefleX Plastics Technology and MD of Vista ManagementConsultants.

Sean’s experience in paint and paintretailing is unparalleled, and he hasworked on paint projects over a spanof 27 years in over 30 differentcountries for the Akzo NobelCorporation. He is also an SMEmentor for DIT and Enterprise Irelandprogrammes. He can be contacteddirectly at [email protected]

Retailers – you’ve gotto push the brush!

Paint Feature:Layout 1 26/04/2013 07:22 Page 1

* 15 minutes shower resistance test was carried out in DuluxPaints Ireland laboratories in an environment above7oCelsius – one shower of 80-90 grms of water was sprayedover an area of 1 sq.m.

** Compared to 2009 Weathershield Smooth Masonry paint

Designed to protect against Ireland’s Weather Conditions

The only paintthat’s shower-proofin 15 minutes*

Dulux Weathershield AdvancedDurability is our toughest masonry paint yet**

Dulux Advert:Layout 1 26/04/2013 08:01 Page 1


Focus on: PAINT

It’s sad to say that although most Irishpaint and hardware stores have at leastone tinting system (and some have three,which is a puzzle), many retailers do notknow how to market the benefits of theinstallation, either to customers orindeed to themselves.

In a way this is the Achilles Heel oftinting systems. It is very very difficult to show the average customer how toput all those colours into combinationsthat will work. In our last article wespoke about electronic colour

visualisation and tinting really needs thesupport of these techniques to do justiceto the colour ranges.

Years ago, Berger Paints Colorizer and General Paints Colortrend pioneeredtinting systems here in Ireland andFleetwood’s Steve Mc Quillan, who thenworked with Berger, played a huge partin commercialising colour mixing systems in Ireland. Meanwhile in the UK, tinting systems received a verylukewarm reception.

Why so? Well, tinting systems need

trained people to operate them.Untrained people are afraid of makingmistakes and ruining a can of paint. Inshort, just as a big company like Bergerneeded Steve to champion the myriadbenefits of tinting, the same applies in-store – staff need training. We willtalk about that shortly.

Also important is the money margin(forget % … it’s the old Black in fashionterms) that tinting can bring to yourpaint section. Do you see your paintsection as a part of your overall store, or do you see it as a sub-business unit in your operation?

If you macro-manage paint as being apart of a hardware/décor store business,there is a chance that margin-generatingopportunities will be overlooked. Tintinggives you colour-power. It gives you theopportunity to please your customer andpresent décor opportunities.

But machines and fan decks don’t sellpaint colours. People and colour visualsdo. This calls to mind the analogy weused in the last edition – the paintoctopus. Good tinting systems can coverthe eight-product model shown left.

Training It is vital that your paint staff are welltrained on the tinting machines. Storeswith a high turnover of staff really sufferin this area, and tend not to sell a lot oftinted paint. On the other hand, storeswith well-trained staff who have beenaround tinting machines for years, tendto promote tinting and often develop a great colour eye.

Display and choosing colourMost people can tell you their favouritecolour … blue, green, red, beige etc. Butmany will not be able to translate theircolour preference into a colour choice fortheir homes, and that’s a natural thing.The eye can discern thousands of colournuances and shades in each one of the

The “tinting octopus”

Changing attitude does notcost money. Tidying up doesnot cost money. Its not doing

these things that costs money, asfootfall and sales revenuesdecrease.

“”


colour categories. However, the mindgets a bit bamboozled by this myriad ofcolours and finds it difficult to decide oncolour combinations. It tends to knowwhat it likes when it sees it … asopposed to being able to predict theoutcome of colour compatibility or colour contrast combinations.

So, very often assistance is needed tohelp people decide on the colours thatwill, when brought home and applied to walls, provide a comforting andpersonalised environment.

Crown Paints marketing team have agood approach to the personalisation of colour. Also, I never cease to beimpressed by the marketing of colour by Colourtrend. It is class leading andgenuinely consumer focussed.

Dulux pioneered and really sawthrough the task of assimilating colourand lifestyle. They opened the door toshowing people how to use the coloursas opposed to just making themavailable. Ground breaking stuff and well ahead of its time … end resultversus utility, happiness versus drudgery,painting as a family weekend, a piece of fun and long-term enjoyment.

Equally important is conveying thatmessage to the consumer, and havingthe budget to do that. Dulux marketingideas and the great technical ability ofAkzo Nobel are now being harnessedand incorporated in the marketing mix.Retailers and consumers will benefitfrom this symbiosis.

The future of paint lies in marketing,not just by manufacturers but by retailers and their in-store staff. If you do nothing to capitalise on marketinginitiatives by Crown, Dulux, Fleetwood,General Paints, etc you are not in thefuture game. Synergise, capitalise,advertise, and above all....MAXIMISE.The choice is yours.

OK, colour display needs space, butmost consumers will respond much morefavourably to rows of colour displays and

combinations than to a boring old wall of paint cans. Don’t forget that most stores have a vast amount ofunused wall space which should be used to sell coloured product. While youare at it, don’t forget about your exteriorwalls. They make excellent real-timecolour displays.

I happen to like a BS colour called 08C 31. It’s a beige, but it goes with justabout every other colour under the sun –aubergine, black, wine red, navy blue,white … you name it.

People need to see colour in context,which is why it is important to havegood quality colour imagery in store.During my paint-marketing time in NorthAmerica, I realised that the area affordedto colour displays was way moreimportant than the area afforded to theproduct itself. I met a really switched onretailer in Salem, Massachusetts. He hadquite a few paint stores in the greaterBoston area.

Most of his paint stores had virtuallyno cans on display. They were all out theback on the most inexpensive rackingyou could imagine. Instead, he filled his

stores with colour displays and imagery.He told me that he didn’t sell paint … he sold “happy homes”. I never forgotthat, no matter how sugary and apple-pie it sounds. All his staff were trainedeither in paint applications/problemsolving or in colour scheming.

Now, somewhere between that andwhere we are today lies a happy medium for paint retailers. Sell colour via a core of readymix/fashion coloursand collections and tinting to augmentand support the needs of the moreadventurous customer. Paint retailingshould be about inspiring people toobtain a custom-made environment fortheir homes, offices etc.

Don’t just stock paint …sell colour!• Sell living environments ... not paint;

• Train your staff in colour;

• Display colour and colour schemes;

• Re-think your retailing space;

• Are you a paint stockist or a paintseller?

• Do you have all the colour


Focus on: PAINT

An example of a “decision-making table” and colour centre in the US.


communication material you need tohelp your customers feel colourconfident?

• Is your store a passive or pro-activeselling environment?

• Provide an area with a table and somechairs where colour cards and fan

decks can be examined and discussed.US retailers often refer to this spot asthe “decision-making table’”.Consider offering a colour matching/

colour measurement service. This willinvolve buying a little gadget called aspectrophotometer, which can measure

the colour of most materials or surfacesand which then feeds information to thetinting machine – hey presto … colourmatch.

Know your real customerFor the last 20 years paint companieshave been reminding retailers that thevast majority of coloured paintchoices/decisions are made by the girls.But go into your average paint store and it’s a blokes paradise.

Why? We don’t seem to capitalise onthe female-focussed colour marketinginitiatives created by our paint suppliersat great cost. Sure there are manyfantastic stores dotted around thecountry which are very focussed on theneeds and preferences of women. Butthere are very many who are not.

You know, changing attitude does not cost money. Tidying up does not cost money. Its not doing these thingsthat costs money, as footfall and salesrevenues decrease as colour customersmigrate to pastures greener (or pinker!).

Now is the time to re-assess yourcolour sales proposition. Don’t forget themasonry paint colours, as they are a veryserious part of your revenues betweenApril and September. Masonry coloursneed and deserve reasonably-largeswatches to give an idea of how theywill look on a wall, and will benefit bybeing displayed on simulated texturedboards. This is relatively inexpensive todo. Show colour combinations. Talk toyour paint suppliers’ sales person ormarketing people about driving upcolour sales.

You’ve got to “push the brush” butget a little help from your suppliers.

Selling related products Most readers will have been to an ArtFreedman seminar, or seen the onlinevideos. Everybody claps and discussesthe great relevance of Art’s commonsense approach to managing inventories


Colour scheming charge

Focus on: PAINT

It is vital that your paintstaff are well trained onthe tinting machines.Stores with a highturnover of staff reallysuffer in this area, andtend not to sell a lot oftinted paint.


and selling. However, many then gohome and do nothing about it.

The great thing about Art’s advice isthat it costs very little to implement. Isthat the problem? Do we have the needto go through the operational andfinancial pain of getting in “consultants”to energise ourselves into taking action?

Core to some of Art’s thinking is theconcept of bundling sales. Why let aperson buying a can of paint out of your store without a brush, sandpaper,solvent, dust sheet, etc.?

In my many store visits I see passiveretailing where no one reminds thecustomer of the little things that willmake the job easier. This represents lostopportunities and lost revenue, withzombie customers used to zombieselling environments.

OK, so fixing this takes staff and timesare hard. So, let’s look at cost-efficientalternatives to funding a hard–sellcampaign this coming weekend.

• Why not put up signs to remind people of the peripherals thataccompany a painting job?

• Start a “don’t-forget” programme in-store with appropriate signs indedicated areas. Start in paint,because it is an octopus, and extendout to other areas;

• Look for the octopus in all your stock,not just paint;

• Make sure you have adequate stocksfor the paint octopus such assandpaper, sanders, brushes, thinners,stripper, etc.

• Why not create promotions aroundselling the painting package;

• Talk to your supplier re a majorpromotion on say brushes, white spirit etc;

• Get your paint and brush suppliers tolock heads together. How can we sellmore stuff guys? The world loves areal bargain. Create one … createhundreds!

• Examine the Lidl/Aldi hardwareproposition. There is a logic to it thatevades most retailers. It does notevade consumers. I am not a fan ofthis, but is there something you canlearn from it? Is there some littlekernel of a retailing idea that’stransferrable?

• Exploit the seasons. People wantwarmth in their homes in winter time.Next September try an Autumn colourspromotion. Here’s one for you …burgundy feature wall and 08C 31 forthe rest of the walls.

• Paint standard MDF panels in theabove colours and feature/positionthem as people walk into the store. A little bit of imagination with

accessories and away you go.Remember this – if people walk into a blue-painted room they will feelcold or refreshed. If they walk into a deep red room, they will feel warmand comfortable. Don’t just stock paint … sell colour

… sell rooms … sell happy homes.

What do you think?

The Hardware Journal welcomescomment and feedback. If you have an opinion on this article, or what you would like to see covered in afuture issue, please email yourview(s)/question(s) [email protected]

We don’t seem to capitalise on the female-focussed colour marketing initiativescreated by our paint suppliers at great cost.

Focus on: PAINT




There are progressive storeowners/managers out there and there areothers who have lost their way. Now is thetime to re-focus your hardware/DIY businessas those who are able to move fastest overthe next 24 months will be the ones thatre-capture greater market share within theirown regions and their own businesses.

Blockages to sales growthBefore we look at how sales might begrown, let me first share with you myobservations of several hundred retailers

over the last number of years, and thecommon blockages to sales which form a pattern;

• Manager mentality: Owners/managers who are “at the top of theirgame” are usually found in shops which,by no accident, have positive salesgrowth and a high level of standards.Conversely, owners/managers who havelost their way are usually found inbusinesses where standards are poorand sales growth is absent. Most of themanagers in the under-performing stores

will blame the economy and fail to see that in fact 100% of the store’sperformance is related directly to theowner/manager’s state of mind;

• Sales targets: The second commontheme found in under-performingretailers is that there are usually no salestargets in the business, or if there are,they are not managed in an aggressiveway. You simply can’t run a businesswithout being driven by sales targets.Structured weekly manager reviewmeetings with the owner/manager, and the senior management team, areusually absent in those shops strugglingfor sales, and daily staff huddles aremore likely not to happen. Those shopsgetting sales will usually excel underboth of these headings;

• Local store marketing: Anothernugget that has become clear to us overthe last number of years is that localstore marketing is vital in developing an aggressive sales process. Many

Simple, cost-effective, ways todrive local sales I am fortunate in that I work with over 150 independent andchain group retailers every year. Each one faces their ownchallenges, but many also have created smart ways to drivesales in the current climate. I have noticed certain changeshappening in the retail environment … and for all the rightreasons. Since November, store owners and managers acrossall sectors have been reporting slight positive movement. Thatis no different in the hardware and DIY sectors, with similarfeedback being received.

BETTERbusinessTHE HARDWARE JOURNAL

Having spent over 20 years with

Superquinn and serving on the

board of the business for four

years, James Burke has amassed

considerable knowledge of the

food retail sector in both Ireland

and internationally. He is also the

leading expert in the foodservice

sector. James specialises in helping

producers achieve sales growth in

the domestic and international

markets. He is also the retail

advisor for the TV series Feargal

Quinn’s Retail Therapy.

By James Burke,James Burke & Associates

Better Business:Layout 1 26/04/2013 07:49 Page 1

managers are fortunate enough tobelong to a hardware/DIY chain andhave the benefit of marketingprogrammes developed by head office.These campaigns need to be wellexecuted, but the really good managerswill take this a step further andsupplement company activity with theirlocal store marketing campaign;

• Time management: Timemanagement is a struggle for everyone,but interestingly we have found apattern where poor time managers are usually those in stores which lagbehind the industry average in salesgrowth;

• Social media: A growing number ofowners/managers recognise theimportance of being able to communicatewith their customers directly and haveembraced social media, text databases, etc.

Developing aggressive salesgrowthHere are 10 simple tips which any owner/manager can implement immediately andwhich are guaranteed to assist the salesgrowth programme.(1) Get yourself in the right frame of mind… you can’t lead and motivate a team todrive sales if you don’t believe sales arethere yourself;(2) Sort your time management issuesbefore you tackle anything … you need to be hugely efficient with time to run ahardware/DIY business in the currentclimate;(3) Learn to delegate to the team that isaround you;(4) Develop targets for the business and a structured process for monitoring thesedaily and weekly;(5) Get your staff involved in these salestargets, display daily and weekly targets onthe wall in the staff areas;(6) Run a five minute daily huddle every

single day so that you and your staff knowexactly what the priorities are for the day;(7) Become obsessed with sales growthand margin maintenance and showeveryone that it is a priority for you;(8) Develop a calendar of activity for localstore marketing with a mandatoryminimum of one event per month;(9) Promotion execution … In today’sprice-conscious environment you reallyneed to give a strong price message on the

shop floor, as well as in your promotionalmaterial. Very often promotional executioncan be poor with small displays and smallsignage which lack impact;(10) Merchandising standards … with thehardware/DIY industry transitioning from amore trade-led business to one that nowencompasses retail aspects, you need toensure that merchandising, clean shelvingand a “ready for business” ethos is in placewithin your shop.

Hardware/DIY sales growth testBelow are some simple questions whichwill help you to identify how aggressiveyour sales process is. Simply answer yes or no to each of the questions and see the rating model at the bottom which will highlight the sales opportunity in your business.• Have you (in partnership with one of

your suppliers) trained at least 10 tradecustomers in the last three months?

• Have you sent at least one text to your

customer database (trade or consumer)in the last 30 days?

• Have your staff been trained in customerservice initiatives in the last 12 months?

• Have your staff been trained on at leastone new product introduction within thelast three months, e.g. new insulationproducts, etc?

• Have you a structured review meeting inplace to review all “open quotes” onceper week?

• Have you had at least one suppliercustomer demonstration (cash or trade)on the shop floor within the last month?

• Is your delivery driver, and all of yourstaff, reporting back to you on smallbuilding/DIY projects that they seewithin their own neighbourhood on a weekly basis? Is there a process forfollowing this up?

• Have you at least one “madnessday/gigantic sale weekend” planned for 2013?Simply add up all of the “No” scores and

then compare them with the commentsbelow.• Less than two “No”s = strong sales

process with small scope for fine tuning;• Three to five “No”s = significant scope

to improve the sales process andsuggests additional sales can be addedto the business easily;

• More than five “No”s = shop is missinga large amount of sales opportunitiesand there will be plenty of scope to grow sales quickly

Social media The face of retailing is changingconsiderably, and in many sectors, likebooks and clothing, there are significantchallenges to sales from online sources.


You need to develop your own localstore marketing plan and ensure that

consumers don’t forget who you are“ ”


At the same time, many hardware/DIYretailers are harnessing social media as atool for attracting new customers.

It can be a confusing arena, and thesimplest way to look at your social mediastrategy is to view Facebook, Twitter, blogs,LinkedIn, etc as directional signage on aroad which points all who see it back toyour website, or indeed straight into yourshop. Once you get your mind around that,the importance of these “road signs”becomes increasingly evident. Many ofthese tools, like Facebook, are free and,while I meet many retailers who don’tunderstand Facebook, the good news isthat you don’t need to.

However, you do need someone in yourbusiness or family to take responsibility forthis. Not embracing Facebook is exactly thesame as not doing any advertising orhaving no sign over the door of your shop.Facebook, or similar sites that will emergein the future, are here to stay. Anyonebetween the ages of 15 and 45 has been“trained” to communicate via this process,and for many people, interactions withsocial media sites several times daily are a normal way of communicating.

Each decade that passes by, this cohortof customers will move forward with a newgroup of 15-year-olds taking their place atthe bottom. Here are some interestingthings that you might consider as part of your social media strategy:• LinkedIn is a great business-to-business

source of contact. Set up a profile foryourself/the business on it. You will bepleasantly surprised how manyappropriate contacts you make withinyour industry, assuming that you keepyour profile active at least once a week;

• Start using your Facebook profile as a source of tips and information forcustomers. If the sun is shining, thenpost up some interesting ideas forpeople to lay out their gardens or patiosto prompt the idea in their mind;

• Use Facebook to get dialogue going withyour customers. Tell your customers thatyou will put up a €50 voucher in threeweeks time for the most interesting DIYtip you receive. Start the process off byputting up one or two yourself;

• Try setting up a Twitter account andtweet reminders of some amazing offerwhich you have that is running as part ofa regular promotion;

• Blogs are simply an easy way for you topost information on one thing oranother. Try posting a series of paintingtips and see what sort of a response youget from customers.If all of the above sounds like a foreign

language, then it is probably time you gaveyourself some education. The local enterpriseboards in most regions run excellent socialmedia training at very affordable prices. Go and educate yourself on the toplinebenefits and then find someone in yourstaff/family to keep things active.

While using many of these services isfree, the cost is in the time it takes, and youshould not attempt to get involved in thisarea unless you are willing to commit aresource for a number of hours a week.

Local marketing Whether you are an independenthardware/DIY store owner, or part of agroup chain, local store marketing is whereyou can really make a difference. I meetlots of smart retailers every year who dovery simple things to attract consumers’attention at local level.

In the good times, many retailers forgotabout the old-fashioned merchant retailingskills. None of the items I’m going tosuggest to you here are radical, yet they are

sometimes forgotten by seasoned retailers. There is a small cost to operating some,

but more are free and just require someimagination.• Run family themed days in your car park,

e.g. a BBQ weekend;• Invite a local farmers’ market to set up

in your car park one day a week;• Set up specialist clubs at your shop and

give talks to special interest groups.Have one of your staff provide them withlots of tips and ideas, and some livedemos in the store;

• Invite customers from your text databaseto preview evenings before a salecommences and allow them to shopbefore the main sale starts;

• Work well with your key suppliers tosupport local tradesmen by providingtraining and sales representatives fromthe supplier to interact in closing deals;

• If you have a spare meeting room in theshop that is not used all the time, offer itto local community groups as a meetingfacility at off-peak periods. The only thingyou should ask for in return is that oneof your team personally meets people on arrival and says a few words;

• Ask your delivery person to drop in aleaflet giving an overview of yourbusiness to two doors on either side of the house they have delivered to;

• Develop an ongoing calendar of goingout to give talks to local clubs andgroups. Choose topics that are of realinterest to people today, e.g. eneryefficiency, insulation, etc;

• Continue to sponsor small events butchoose ones that get people into yourshop. If you are sponsoring somethinglike a local football club then ask theclub for a small favour in return, e.g.could they text all of their members oncea year on your behalf to announce somebig event you are running.

• Go to your local radio station and tellthem that you will provide one of yourexpert staff to come in and give a seriesof weekly tips on DIY, etc.This list could simply go on and on. You

now need to develop your own local storemarketing plan and ensure that consumersdon’t forget who you are.

Many hardware/DIYretailers are harnessingsocial media as a tool forattracting new customers




David Shortall, Chairman,

Garden & Landscape Designers

Association (GLDA) and Principal

of Landscape Discovery

Every time I meet a new client or customer,

whether difficult or not, whether I like them or

not, even if they are window shopping or getting

quotes from a dozen others, I find myself eager

to win their business. It doesn't matter if I am too

busy or the job is really small. The buzz of gaining

someone’s trust and the satisfaction of pleasing a

customer is part of the reward,

writes David Shortall.

Outdoor Living:Layout 1 26/04/2013 13:55 Page 1

Knowledgable advice and customer trustare the key tosustained sales


COVER STORY: OUTDOOR L IVING

In the past few years with less business available andeven less money around, I find myself even more driven to makethe sale. Sometimes the customer is dipping their toe in thewater. Other times it is clear that they have ended up on mywebsite by accident and decided to call just to pass the time.However, if there is even a vague chance of a sale, or a potentialfuture sale, then I feel compelled to gain their confidence.

During the boom times I never got quite so excited by work. It was easier to get work. The customer seemed less interestedtoo. A lot of the time my work was less appreciated and

sometimes went unnoticed. For all of you in hardware retailsales it was probably a lot easier to make a sale too. All youneeded was to stock the shelves and the customer did the rest.You worked long hours and worked hard to keep up with orders. The formula worked.

Back in Jack Charleton’s era with the Irish football team the formula of kicking the long ball up into the box workedextremely well. We scored goals and even got to the final eightin the World Cup. Then the goal posts shifted but the ball keptbeing kicked up the field. We were in denial.

Similarly for hardware retailing, when the recession hit the old formulastopped working too. Most smallbusinesses tried to follow the goal posts each time they shifted but the gapbetween the posts got smaller all thetime. Now the size of the sale is smaller.

A customer who trusts you comes back often and recommends you to lots of friends. This isadvertising you cannot buy and it separates us from the supermarkets


The confidence of the customer isdashed, the margin on the goods istighter, and the expectation is bigger.

Nonetheless, some industry sectorsstill offer significant sales potential,outdoor living being one of them. Withpeople moving house less frequently, theemphasis is on retrofit and upgrading,and the garden is a key focal point in this trend.

Designing and building gardens overthe last couple of years I have found anumber of differences from the boomtimes. No longer does a person rip it allout, throw it in a skip and start again. An old tree may now be kept as a focalpoint in a garden. A timber deck may bemodified, or its timber re-used elsewhere.An old lawn will be rejuvenated withweed killer and feed rather than beripped up and discarded. Plants boughtmay be smaller and allowed to grow. A patio may be modified in shape ratherthan ripped out and more people arealso growing their own.

Re-using, recycling, up-cycling and re-purposing materials has become verypopular with regard to outdoor living butthis too generates significant sales. The

customer likes the idea but needs help in getting there. This is where we comein. In re-vamping a garden recentlywhere some features were kept andworked with I still purchased pressure-treated timber, nails, screws, latches,hinges, paint, electric cable, plumbingand light fittings. After that the customerbought new garden furniture, featurepots, a BBQ, plants, and a whole range

of plant feeds, treatments and now they needed garden tools.

So what is in fashion and what is out?

Timber deckingI have not built a timber deck fromscratch for years. The reasons are many-fold – they have a bad reputationbecause of poor planning; beingpositioned in the wrong place; the Irishclimate and how it impacts on a deck;lack of education as to its maintenance,etc. In the right place a deck can be anasset to a garden. However, I believe itspoor reputation is irreversible in theshort-term. That said, some people areconsidering composite decking. This





gives the same raised platform with thecolonial, BBQ or nautical feeling withoutthe maintenance, and it will not rot andget slippy.

PavingSoft foreign stone and slabs such asIndian sandstone, Chinese granite andterracotta have fallen out of favour. The warm and colourful tones seen whendisplayed new are short-lived in thedamp Irish climate. Their reputation hasbeen tarnished again through impulsiveCeltic Tiger uninformed installation inshaded, damp side passages, or north-facing pavements.

Soft stone such as this needs aposition which receives a lot of sun anddrying wind. Not very likely in Ireland.Stone which absorbs moisture can alsobe badly damaged by frost. Harder ormore dense stone such as limestone,quartz and slate are more suited to ourclimate. Everything open to the elementsgets dirty and fades over time. However,if a stone is hard then the dirt andmoisture stays on the surface, allowingeasier cleaning and maintenance.

Whatever the stone, there is potentialto stock patio cleaners, sealers, andpointing/jointing/re-pointing compounds.Applying the correct cleaner takes theslow tedious work out of power hosing

a patio. A good sealer applied to aproperly-laid patio will protect it fromwater absorbtion and therefore make thecleaning of moss, dirt and algae easier.

Garden lightingGarden lighting gets a mixed reaction for a few reasons. A lot of people hatedthe cold light of the LED bulb. The oldincandescant or halogen bulbs tend notto last as long outside as inside; maybethis is down to the extremes oftemperature outside. There is nothingwhich will put you off garden lightingmore than the wrong light, or half the

bulbs blown. Peopletend to long-fingerthe repair orreplacement offittings or bulbsthrough lack ofknowledge. There is a fear of the cost of repair orelectrocution.

A well-lit gardenmakes a garden

more valuable by extending the amountof time you can enjoy it. Even when theweather doesn’t permit venturing into

the garden, it becomes a picture to lookat from the kitchen or living room.

New LED bulbs and low wattage bulbsto suit outdoor fittings now give a muchwarmer and reliable light. If a customeralready has a supply or fittings in theirgarden then the hard work is done. Thereis potential to advise on upgrade andrepair with new fittings and low voltagebulbs. I have also recently removed olderPAR 38 fittings and replaced them withlower wattage bulbs in new fittings onthe basis that it will save electricity too.

Growing your ownEverything to do with growing your own has a real feel-good factor for thecustomer. Practically all design work inrecent years includes kitchen gardens,raised beds, fruit trees or bushes in thewish list. Cost of food is not the drivingfactor obviously … it is more to do withthe fun and feel-good factor of growingand picking your own. Parents are alsoanxious to show their children wherefood comes from.

There is huge potential for impulsebuying of vegetables and fruit plants,propagation or grow-your-own packs,flat-pack raised beds, organic composts,


potato grow-your-own sacks, etc. This is an area where people don’t feel guiltyspending money as there is a pay-backfor the buyer, even if the produce hascost more than shop-bought items.

The psychological feeling of well-beingin eating “homegrown” produce is avery strong driver of sales.

CompostingComposting is an increasingly-popularidea. However, people get disheartenedvery quickly if they buy the wrongproduct or the information provided is inadequate or incorrect.

Plastic compost bins provided by thelocal councils don’t really work for theuneducated. There is not enoughventilation and they quickly become asmelly mess if the compost is not turned.The customer is faced with the sticky jobof getting rid of the smelly fermentingmess and they are put off for life!

Supply of good quality more expensivecompost bins, activators, fact sheets anda member of staff with some education

in composting will ensure the customeris armed with the knowledge to succeed.This hopefully leads to further sales orbusiness.

FurnitureCheap garden furniture and pots areoften available in every shop, fromnewsagents to “catch all”, “specialoffer”, supermarkets. The quality is generally really bad and what issometimes labelled as hardwood isabout as long-lasting as chocolate in agreenhouse. Good quality hardwood orrattan furniture, frost-proof pots and aknoweledge staff member means youcompete on quality, not price. The resultwill be greater and more sustained sales.

Water in the gardenThe sound of lapping water in the garden is calming and appealing to most.However, the traditional garden pond is long out of date. Making a stream or a pond look natural in an urban gardenor a country plot is very difficult andgenerally fails abysmally. Water featuresand fountains can very easily look tacky.Working out your customers taste in this regard is the key to success.

Simple-shaped modern fountains or

units with natural stone always fit inbetter than plastic or imitationstatuesque fountains. A covered reservioris appealing to customers from a safetypoint of view. However, they have thedisadvantage of being less exposed tolight and the water is likely to becomesmelly and stagnant. A number of follow-on products are available for the careand maintenance of same, such assterilising agents, algae detergents, UV lights, replacement pumps, etc.

High-level customer careIn conclusion, I feel very strongly that a high level of customer care is vital,particularly in the outdoor, DIY andgarden sector. In all cases the averagecustomer knows very little and needsgood direction and advice. Customerswant, and need, to trust in you, and this is the key to good business.

In my experience, a customer whotrusts you comes back often andrecommends you to lots of friends. The trust is passed on too, and so it iseasier to make the sale. Occasionally, youeven recieve a thank you card or bottleof wine. This is advertising you cannotbuy and it separates us from the supermarkets.

34 THE HARDWARE JOURNAL ❙ April/May 2013




It was an honour to be asked to write a piece for the newly-branded HardwareAssociation Ireland and I am very impressed by its new-look journal. The Views from Abroad

in the last two issues, by Michael Bergdahl and ArtFreedman respectively, are spot on. So, I will nottry to replicate their sound advice, other than tocomment on how recurrent the main themes arethat they spoke of. These can best be summed upas “think customer first, second and third, and you will not go far wrong”.

Perhaps I can comment on how retail needs toreflect the massive structural changes occurring at present and why a European view is perhapscloser to home for some of our problems. Let mefirst say, however, that good retailers make money

whatever the state of the general economy. Theyhave their own plan, they are ruthless in applyingit and, while being ready to adapt to change, theydo not allow themselves to be easily diverted from their central path.

For a variety of reasons the British Hardware Federation now sits under the umbrella of the British Independent Retailers Association, which allows me to look at the more general issues affecting the marketplace. European retailers, whether in or out of the Eurozone, are going to see their customers’ spending

View fromDemography is all

about knowingyour customer,

but also preparingfor the future

Alan Hawkins CEO, British Independent Retailers Association (BIRA)

WHY THE THREE ‘Ps’ARE SO IMPORTANTIN THE UK

View from abroad:Layout 1 26/04/2013 07:56 Page 1

power substantially reduced for at least thenext decade.

The recessionary period and the bankingcrises are not going to be resolved any timesoon. Capitalist societies with virtually zerocentral bank interest rates and the Britishgovernment printing money andquantitative easing, with no real idea of its effects, are indications of a real deep-seated problem.

Structural changes are complex and will affect every business differently. Thinkabout your business and how it matches up in three key areas – namely technology,consumer preferences and demography.

In technology, see your business as acentre of a bicycle wheel with your owncustomer able to access you in 10 or moreways – the new omni-channel. Choosewhich spokes of the wheel you want toembrace – the physical shop visit, theInternet shopper, the click and collectshopper, and the social media shopper.Whichever you choose, embrace them and serve them well.

Also, beware of the potential loss byclosing down some of your options. TheUK’s Internet economy, for example, is 8% of GDP and is the highest of the G20countries, coming in at almost double thatof the USA. Internet retail spending isrunning at 14% of all retail and is stillgrowing. Ignoring on-line consumers is,therefore, a risky option.

That said, DIY is relatively low at 3%, so the train is leaving the station ratherthan has already departed. If you are inbooks, music or electricals then thesituation is dramatically different.

Looking at consumer preferences, thinkabout why customers choose to come toyour shop. In the UK about 50% of retail isstill going to the high street, but this figureis falling. Up to 30% is now out of town,but marginally rising. Local neighbourhoodshops account for 18% and are steady.Non-store, the Internet if you like, is 12% and growing

Demography is all about knowing yourcustomer, but also preparing for the future.The grey pound/Euro is a significant growtharea. I have been to many conferences

where I have been amazed by how well the“big boys” have done their market researchand know, or think they know, theircustomer so well. For example, they knowaverage spend, average time spent in theshop, average age, average distance fromshop, average repeat visit, name, address,email address, mobile number etc. Are you making similar efforts to understandyour customer?

Think about where your store is locatedand what local support you get, if any, from your fellow retailers. National groupshave their image set for them nationally.The independent has to fit into the locationwhere his/her premises are situated. Itwould be hard to play high-end, high-quality and excellent service if that doesnot match the area you are trading from. A more remote local store has much morediscretion in setting its own agenda. Thisdoes not mean you cannot have your own values and work to create your outletas a destination offering, but you have to be realistic.

Lastly, the value of groups to an outlet’sbuying power has been clear for manyyears. The same applies to broader genericindustry matters that, on your own, you will not be able to influence. So, Irecommend that retailers should join andactively support the newly-brandedHardware Association Ireland.

The British Hardware Federation, forexample, has centred on three “Ps” thatare hard for independent retailers to doanything about on their own. These are:

Parking – Parking and accessibility isprobably the one big thing that affects whyconsumers choose not to shop at local highstreet stores. Councils need to be lobbiedso they do not see parking charges asrevenue streams, but the type of supportthey need to put in place to create business centres in their towns;

Planning – There has been too muchconcentration on new out-of-town stores in the last 20/30 years. This has been to the detriment of the high street and hascreated more retail space than can be usedeconomically. The UK now has a policy of“think high street first”, but that is not

always put into plan when newapplications are put forward. A tradeassociation is needed in this respect toremind government of its obligations;

Property taxes – When it comes toproperty taxes, which include rent andrates, it is amazing how cheaply retailers inthe USA can operate, whereas in the UKretailers have the most expensive rent andrates in the world. Landlords now have tobe more realistic as they can see vacancyrates approaching 14%. Local councilshave not been so realistic, however, andever-increasing rates – 5.6% in 2012 and2.6% in 2013 – have made rent and ratesreal killers as to the future viability of our

high streets. Again independent retailersneed to stand up and be counted, togetherwith their trade associations, to get theseanomalies corrected.

In conclusion, I wish HardwareAssociation Ireland well as it celebrates its 75th anniversary, and I am sure thereare many similar issues that we should, and will, be sharing with our partners across the water (the Irish Sea that is, not the Atlantic!).


When it comes to planning in the UK,the policy is “ThinkHigh Street First”.

View from abroad:Layout 1 26/04/2013 07:56 Page 2

The Hardware Journal …

www.thehardwarejour nal . ie

… just a click does the trick

The Hardware Journal is the official publication of Hardware

Association Ireland. The printed edition is mailed directly,

and personally addressed, to all HAI members, in addition

to senior purchasing managers, and owner managers,

across the entire industry. If you are involved in the sector

and wish to receive your own personal copy, email your

full details to [email protected]

In addition to the printed edition, The Hardware

Journal is also available electronically. It can be

accessed in page-turner format for on-screen

persual, or as a pdf which can be printed out in

full, or part, depending on the particular

article(s) you are interested in.

HardwareJOURNAL

THE

THE VOICE OF THE IRISH HARDWARE INDUSTRY

A new imagefor a newbeginning

DECEMBER 2012

HAI Better BusinessMaximise your store’s potentialwith the correct layout

The Gadget GuyTV3’s Gadget Guy, Colin Baker,explains the latest in speechrecognition software for yourcomputer

Paint TrendsIf paint were a creature, it wouldbe an octopus. Sean Browneoffers advice to help you sellpaint

HAI Trade Show 2013Retail owners, managers andbuyers cannot afford to miss thisopportunity in February 2013 atCitywest

View From AbroadTen things Walmart would ratheryou did not know, by a formerWalmart Director

www.thehardwarejournal.ie

Smart Cards for FuelAllowance SchemeHardware Association Ireland(HAI) has written to theGovernment to say that theexchequer could recover anestimated €9.25 million in VAT and business taxes if theDepartment of Social Protectionmade better use of availabletechnology to pay the Winter fuelallowance to individuals andfamilies.

HAI suggests that theGovernment should introduce anofficially-endorsed fuel vouchersystem where recipients wouldhave to use dedicated fuelvouchers or smart cards topurchase fuel products fromregistered retail fuel outlets. Thiswould allow the Government torecoup some of its expenditure onWinter Fuel Allowance throughlegitimate retail outlet tax returns. “We have concerns that, as

the allowance is currently paid incash and used to purchase fuelfrom any source of supply, thereis no traceability or recovery forthe State.” says Jim Copeland,HAI Chief Executive.

There is sufficient competitionamong legitimate retail outlets toensure that recipients of theallowance have a wide choice ofsuppliers. It would also be a moreefficient way to reduce thedamage the shadow-economy orblack market traders are causingto legitimate businesses in everysector.

With the increased cost of fuelhitting householders hard, HAIhas also urged the Governmentagainst a further carbon tax onsolid fuel in the forthcomingbudget. “Not only will such a tax add undue pressure for manythousands of households, it will result in lost revenue toGovernment and as many as1200 jobs because of thegrowing unregulated market insolid fuel”, says Jim Copeland.

44 THE HARDWARE JOURNAL � December 2012/January 2013

HAI CLIPBOARDHAI CLIPBOARD

Recast Prompt Payment Directive welcomed HAI welcomes the thrust and objectives of the recast Prompt PaymentDirective 2011/7/EU of the European Parliament due to be introducedinto Irish legislation in March 2013. However, HAI insists that theproblem is not with the legislation, but with its enforcement and thefact that the number of companies that charge penalty interest totheir business partners is reportedly very low.

HAI contends that late payments are disastrous for Irish business,and have been made financially attractive to debtors in Ireland by lowor no-interest rates being charged on late payments and/or slowprocedures for redress.

In a submission to the recent consultation on the EU Directive, HAI said that there needs to be a decisive shift to a culture of promptpayment, including one in which the exclusion of the right to chargeinterest should always be considered to be a grossly unfair contractualterm or practice.

Such a shift should also include the introduction of specificprovisions on payment periods, and on the compensation of creditorsfor the costs incurred. The exclusion of the right to compensation forrecovery costs should also be presumed to be grossly unfair.

Accordingly, provision should be made for business-to-businesscontractual payment periods to be limited, as a general rule, to 60calendar days.

HAI is ready to contribute to any initiative that will substantiallyaddress the area of prompt payments. The adoption of this Directive into Irish legislation would be a positive outcome to this consultation.

HAI opposes statutory sick pay scheme HAI says that the introduction of a statutory sick pay scheme in Budget 2013 would have hugely-damaging consequences for employment and growth next year.

In a recent IBEC survey, almost half of the respondents with an occupational sick pay scheme saidsuch a move would affect their company's ability to recruit new employees. A similar number said itwould affect their ability to retain existing staff and a majority said it would affect the sustainability oftheir business in Ireland.

In addition, companies would be forced to change the existing benefits offered to their employees.HAI believes that employers would revise and reduce existing sick pay and benefit entitlement to staff.

This shifting of costs onto employers is an extra tax on employment at a time when employmentshould be the priority. This proposed measure will increase labour costs, reduce the opportunity forcompanies to create and maintain jobs, and damage our competitiveness. Government should befinding ways to reduce costs so employers can create jobs and stimulate economic growth

The OECD says that an increase in taxes on labour of 1pc reduces an economy's employment rate by about 0.4%. Based on this, any Government's proposal for an extra tax on jobs through a statutorysick pay scheme could cost at least 3,500 jobs, both directly and indirectly.

Jim Copeland, Chief Executive and Director, HAI

HAI Web Advert:Layout 1 30/11/2012 10:50 Page 1

Delivering Superior Adhesion, Ultimate Durability with Excellent Crack & Stain Resistance

Waterproof & Microporous for Ultimate Dirt, Mould &Algae Resistance

Colourfast Formula for Exceptional UV & Fade Resistance

Shower Proof in 30mins*

Fleetwood Paints LTD, Virginia, Co. Cavan, Ireland. Tel: (049) 8547209 Email: [email protected] www.fleetwood.ie

Weather Clad A4 barleycove_Layout 1 11/28/12 2:49 PM Page 1

May_June2013

Documents

Transcript of May_June2013