Global DIY Network: “Meet the CEO” with Carl Otto Løvenskiold, CEO of Løvenskiold-Vækerø AS.

On Wednesday 27th of January John W. Herbert, General Secretary of EDRA/GHIN, will kick-start the “Meet the CEO” series for 2021 with an interview with Carl Otto Løvenskiold, CEO of Løvenskiold-Vækerø AS.

Løvenskiold-Vækerø is a modern company with a long history, being established in 1649. The company is a leading player within commerce, real estate, forestry and agriculture, and constantly aims to take an active part in the further development of these industries in Norway.

The core values of Løvenskiold-Vækerø AS form the basis of their culture, shaping all of their actions. These core values are:

  1. Customer Focus
  2. Innovation
  3. Energy
  4. Long-Term View
MAXBO is the flagship of Løvenskiold Handel, Løvenskiold-Vækerø’s daughter company. The MAXBO chain originates from the traditional retail store for building material at Vækerø. The MAXBO concept consists of MAXBO, MAXBO Stormarked and MAXBO Proff.

The interview will take place through the The Global DIY-Network the global platform which brings together retailers, manufacturers, online players, consultants, journalists & professors, among other stakeholders from the home improvement industry.

Russia: Technosystems Striving Forward Despite Covid-19

“Crisis is a period which requires quick action in retaliation to rapid change” –  was the unofficial motto of Technosystem’s in 2020.

Analysts had predicted a 40% drop in sales in the DIY market in April and a 20% drop in May. However, the management of the Domingo chain, which has been a DIY player for almost 26 years with 13 shops in 8 cities throughout Siberia, quickly took all possible measures in reaction to the spread of Covid-19.

The outlets were equipped with individual sanitation posts, a  rigorous cleaning schedule was introduced, a wide range of socially important products were added to the range, and new standards for the delivery of goods from the online shop were introduced.

Denis Lizunov, General Director of Technosystem Management Company, said “In 9 months of 2020, the company’s turnover grew by 12% and profit by 15% compared to the same period last year. We haven’t stopped moving forward for a minute!”. He continued “Next year we plan to open seven more shops in several cities. Our priority is the mini format, designed to provide maximum comfort and convenience for our customers, and to become a portal to the showcase of our online shop.”

Further to this, from February 2021 customers of Pervomaster will be able to make use of its new mobile app. The app will offer customers a convenient product search using AI elements, the possibility to search for goods via barcode, add goods to cart in one click and see the unique price of goods as well as their own points balance.

Global DIY-Network: Interview with Sergio Giroldi, Group CEO of OBI and EDRA/GHIN President.

On Wednesday the 21st of October John W. Herbert interviewed Sergio Giroldi, Group CEO of OBI and EDRA/GHIN President.
The interview was the first in the “Meet the CEO” series on the Global DIY-Network.

Two topics dominated the discussion: the coronavirus crisis and digitalisation.

OBI are continuing to evolve their digital offer, responding to the digitalisation of society. However, Mr Giroldi pointed out that Brick & Mortar physical stores will continue to play a principal role in the home improvement retailing landscape. Mr Giroldi repeatedly emphasized that the customer’s want and need interaction with real people that can be best provided in the physical store.

In response to questions regarding coronavirus, Mr Giroldi spoke of the significantly increased sales of nearly all DIY retailers. Particularly, the Click & Collect offer for customers has proven to be an increasingly used channel. OBI are also considering offering collection of goods purchased online at a number of new “collection points”.

Sergio Giroldi also discussed the newest OBI concept stores and inner city touch points, creating increased awareness of the brand in city centres. Through the Global DIY-Network viewers have the opportunity to re-watch the interview in its entirety, virtually visit the newest OBI Future store in Marsdorf as well as their Create by OBI! store and learn about the concepts behind them.

A day before the interview Mr Giroldi was diagnosed with Corona-Virus and so the interview was conducted from his home. The whole EDRA/GHIN Team wish our President a speedy recovery.

NHS: Registrations Are Open For The 2020 National Hardware Virtual Show.

Registrations are now open for the National Hardware Virtual Show.

Taking place from October 12th – 15th the Virtual Show will feature 4 days of keynote presentations, educational seminars and product pitch panels, direct appointment setting and networking between buyers, leading manufacturers and top suppliers, and a robust virtual product showcase featuring newly launched and never-before-seen products.

Alongside the Virtual Show all registered attendees will be able to join the NHPA for their All-Industry Conference. This year’s line-up features content from industry experts, successful retailers, and channel partners including special keynote speeches from Dan Starr, president and CEO of Do it Best Corp., and Kevin Hancock, CEO of Hancock Lumber, all centered around the 2020 theme of Industry Disrupters: How Today’s Leaders Are Winning the Retail Game.

EDRA/GHIN Members should contact us at info@edra-ghin.org should they wish to register for the show

USA: NRHA Expands Membership To Include Paint, Decorating Retailers.

The North American Retail Hardware Association (NRHA) is officially broadening the reach of its membership to include independent paint and decorating store operators and will be changing the association’s name to reflect this evolution.

Effective immediately, the association will be known as the North American Hardware and Paint Association (NHPA) and will represent the interests of all independently operated hardware stores, home centers, lumberyards and paint and decorating outlets throughout North America.

“Independent hardware stores and home centers share so much common DNA with independent paint and decorating retailers that this expansion of our membership can only benefit the industry as a whole,” says NRHA president and CEO Bob Cutter. “We are excited to offer paint and decorating retailers an expanded breadth of resources, and we look forward to combining all of their ideas and insights with the already strong pool of retail thought leaders from the hardware side of the channel.”

This broadened member base will help independent retailers from across the home improvement spectrum as NHPA can now tap into a wider network of retailers for research, best practices, success stories and more.

https://yournhpa.org/

Japan: Japanese Home Improvement market-2019.

According to the Diamond Home Center magazine in Japan, the total sales of Japanese home improvement industry in FY2019 hit a record high for the second year in a row, reaching  JPY3.9 trillion, falling just short of the JPY 4 trillion wall.

However, the market as a whole is not on the same trend. Although some major companies, such as Cainz and Kohnan, have contributed to the increase in total sales, many companies have continued to remain flat.

In contrast, the total number of stores increased by 11 (excluding the Ken-Depot 66 stores consolidated by Kohnan) to 4,812, but the pace of growth has been declining over the past few years.

In the past, major companies were actively opening new stores, but more and more companies are now shifting their investment into the digital field and renovating existing stores. The trend of steering clear of new store openings is likely to continue in the future.

Trade Fairs: Horticultural Industry is Committed to IPM Essen.

“For the majority of the exhibitors, participation in IPM ESSEN as an indispensable communication and sales platform is a matter of course. We are currently experiencing not only in Essen that large fairs with international participation can once again be held successfully. The be-all and end-all is a functioning hygiene concept, and we have proven that”, says Oliver P. Kuhrt, Managing Director of Messe Essen.

“A fair is not a concert or a soccer match. The distances between the participants is greater, and they are also much more widely spread over time. That’s why we are expecting regional shifts due to travel restrictions, but assume that not much will change in the overall picture”, adds Sabina Großkreuz, Head of Marketing at Messe Essen.

Effective hygiene protection is not only lived practice in the event organization, but also one of the focal points of the IPM ESSEN 2021: “The IPM Discovery Center, in which we present innovative concepts for the point of sale every year, is dedicated to the topic of safe garden centers in 2021”, explains creative director Romeo Sommers. “From shop-fitting to visitor guidance and product presentation, we will be showing solutions for active infection protection, which today is a prerequisite for successfully addressing customers.”

IPM ESSEN is the world’s leading horticultural trade fair revolving around solutions and innovations in the green sector.

 

USA: Amazing 2nd Quarter Results at The Home Depot.

“I’ve never seen a quarter like this” analysts have said about the results posted by The Home Depot. Like for like sales are up by 25% compared to last year. It is thought the one of the main reasons behind this incredible growth is that customers are stuck at home during the coronavirus pandemic and are enjoying a “summer at home” tackling home improvement projects they have previously put off.

Net Earnings at The Home Depot are $4.3 Billion compared to $3.5 Billion and earnings per share have increased by 26.8 per cent.

The Home Depot has also announced that it will open three new distribution centres in Georgia over the next 18 months to support the growing demand for flexible delivery and pick-up options for professional and DIY customers.

In 2017, the company announced a USD 1.2 bn (EUR 1.02 bn) investment to expand its distribution network with approximately 150 new supply chain facilities nationwide, with the goal of expanding the company’s existing same-day and next-day delivery options to 90 per cent of the US population.

The company is also working to make online shopping easier. How successful The Home Depot has been in this regard is shown by the increase of more than a billion dollars in revenue from online sales in the last six months.

In the first quarter of 2020, online sales increased by as much as 80 per cent, due in part to the effects of the Covid-19 pandemic. Interestingly, 60 per cent of customers collect their online purchases from the store.

 

USA: Announcing the 2020 National Hardware Virtual Show.

The National Hardware Show team is excited to announce that they’re launching the 2020 National Hardware Virtual Show to take place from October 12-15, 2020.

Capitalizing on the technological opportunities of NHS Connects, they are now going to enable visitors to connect virtually for 4 full days. The 2020 National Hardware Virtual Show will be offer industry education, direct appointment setting and connections and a virtual product showcase to feature products.

Contact us at info@edra-ghin.org to not miss out on your chance to enjoy this virtual exhibit experience.

www.nationalhardwareshow.com

South Africa: Cashbuild Accquire The Building Company.

EDRA/GHIN Member, Cashbuild, is pleased to announce that it has entered into a definitive sale and purchase agreement to acquire 100% of the issued share capital of The Building Company Proprietary Limited (TBC).

TBC is a leading Southern African building materials retail and wholesale business, providing a full spectrum of services through its portfolio of 13 well-known brands across its three divisions. TBC has an established presence across the coastal regions of South Africa, comprising 160 TBC outlets and 21 franchise stores

In the prior financial year ending 30 September 2019, TBC achieved revenue of c.R8.2 billion across the retail, wholesale and specialised divisions. In the twelve month period ended 31 March 2020, TBC achieved revenue of c.R8.0 billion.

Cashbuild’s management identified geographic expansion and incremental access to additional segments of the market as key areas for potential growth. An acquisition of TBC allows Cashbuild an opportunity to drive these growth initiatives while still maintaining its commitment to its customers in the South African and neighbouring markets.