Research: Brand beats price as purchase motivator
Consumer research from the NPD Group shows brand trumps price as a purchase motivator for the hand tool category in each of the three major age groups.
As the chart below shows, the 35-to-54 age group emphasized trusted brand more than the older or younger age groups. The 18-to-34 age group was more price conscious than the other groups. And the 55-and-over segment placed a premium on products that "had the features I wanted.
|It’s a brand I trust||38.3%||46.7%||40.8%|
|Had the features||14.8||15.9||25.2|
source: The NPD Group Inc./Consumer Tracking Service
The study asked consumers to pick multiple purchase motivators, hence the percentages do not add up to 100.
The NPD Group and Home Channel News will host a free Webinar on hand tool research and trends Feb. 4, at 1 p.m. Click here for more information.
Menards fined for illegal dumping
The Wisconsin Department of Justice has ordered Menards Inc. to pay $30,000 in forfeitures, court costs and attorney fees for illegal hazardous waste disposal at its store in Onalaska, Wis.
According to a press release, the incident happened in January 2007 when a pallet of containers of herbicide were allowed to freeze and crack open. Instead of properly packing the leaking containers into leak-proof containers for safe and legal disposal, Menards staff illegally disposed of the herbicide by dumping it onto a snow-covered island in the parking lot in front of the Onalaska store, the state’s Attorney General said.
In addition to the $30,000 fine, the home improvement retailer retained a consultant to perform an investigation of the site where the herbicide was disposed. Menards has also sent a posting to all of its store managers to remind them that all staff must comply with appropriate measures for packing and disposal of any defective or damaged containers of pesticides or herbicides.
Hillman Group acquires Servalite
Cincinnati-based The Hillman Group purchased East Moline, Ill.-based Servalite, distributor of residential fasteners and related products and said it will promote the Servalite brand as Hillman’s "premium line of refillable assortments and electrical parts."
Servalite was founded in 1979 by Tom and Jennifer Rowe, who will remain in their current roles with Servalite. Annual revenues in 2009 were more than $20 million, according to the release announcing the acquisition. Terms of the deal were not disclosed.
"This acquisition joins two great brands and allows our customers to take advantage of best practices from two industry leaders," said Tom Rowe.
Hillman said the acquisition strengthens its position in specialty fasteners and electrical parts, according to the company’s release.
Hillman CEO Max "Mick" Hillman Jr. said: "Over the last 31 years, Hillman has admired Servalite’s flexible programs, excellent customer service, innovative new products and talented employees."
In May 2010, private equity firm Oak Hill Capital Partners and Hillman’s management team formed a partnership to acquire Hillman.