Golden Hammer Profile: ClosetMaid
As HCN editors have explored more formally in a former print edition, home storage is hot and getting hotter: a category well worth paying attention to in home improvement retailing.
Of note in this burgeoning market is ClosetMaid, winner of the 2014 Golden Hammer Award in Home Organization.
"With the recent increase in home sales, consumers are demanding value and maximizing their investment when it comes to home storage and organization, specifically with upgrades," said Craig Moeller, VP marketing and strategic planning. "The need for effective organization and storage is key."
Understanding the current market opportunity is also key, but so is knowing how to act on it.
Any company can describe itself as a leader in its given space, but there is a certain ubiquitousness to ClosetMaid’s products, and that’s not an accident. ClosetMaid diversifies its product range to suit various budgets, styles and functions, and for every room of the home.
ClosetMaid also recently distinguished itself by earning both the indoor air quality and recycled content certifications for its wire shelving products from environmental certification agency SCS Global Services. The products are now made from 90% recycled steel, bringing the company a long way from its roots as a wire shelving manufacturer for closets in new home construction in 1965.
The future for ClosetMaid sounds nebulous, but promising.
"We are excited about what’s in store for ClosetMaid," said Moeller. "Currently, we are developing new products with added features and new finishes that will give the consumer something fresh and new to use to organize their home."
The above is one of a series of profiles recognizing this year’s Golden Hammer Vendor winners, to appear on HomeChannelNews.com and in HCN Daily. Thirty-one Golden Hammer Vendor winners were honored this year at the 2014 National Hardware Show in Las Vegas.
Fypon launches National Curb Appeal Month
Fypon is deeming August its first-ever "National Curb Appeal Month" in an effort to teach homeowners new ways to add value to their homes.
The month-long event will feature daily tips desseminated on the Fypon Facebook and Twitter pages, including color advice from national color expert Kate Smith of Sensational Color.
"Realtors tell us that potential home buyers make a ‘street decision’ in less than 12 seconds on whether or not to view a home that’s for sale," said Niki Decker, senior manager of product and marketing for Fypon. "That’s a very short time to make a large impression, and it all relies on the curb appeal of the house."
Fypon is also presenting some evidence on how adding vinyl siding or an attractive patio can increase a home’s return-on-investment, as well as adding color in strategic places (like the entry door, shutters and trim).
"Different curb appeal elements, such as well-maintained shrubbery, decorative millwork and trim, colorful plants and an appealing front entryway can have a fast, positive impact on home buyers," added Decker. "Even if your home is not for sale, curb appeal is important in setting a welcoming tone for your family and visitors."
Among Fypon’s top tips for increasing curb appeal are adding trim and easy-care shutters to exterior windows, as well as adding a door surround to the entryway.
Armstrong lowers 2014 guidance on Q2 earnings
Armstrong World Industries fell short of its stated goals in the second quarter, leading in turn to a lowered full-year guidance for 2014.
"Despite soft sales, we delivered second-quarter adjusted EBITDA in the middle of our guidance range," said CEO Matt Espe. "The softer-demand environment we experienced in the quarter and first half of 2014 has tempered our outlook for the back half of the year."
Net sales did increase slightly year-over-year — by 0.5% — to $710.0 million during the three months ended June 30. This was driven by price and mix offsetting lower volumes.
However, both operating income and net income declined. Net income was down 31.4% to $21.0 million for the quarter, and operating income fell 14.5% to $57.8 million.
Full-year guidance pinpoints sales in the $2.7 to $2.8 billion range, and adjusted EBITDA was between $370 and $400 million.
The company owed approximately $8 million in severance and other charges associated with the closing of the resilient flooring plant in Thomastown, Australia, and the engineered wood flooring plant in Kunshan, China.