A merchandising makeover for Ace

Oak Brook, Illinois-based Ace Hardware Corp. announced a restructuring and realignment of its merchandising team – increasing the number of its merchants with direct category responsibility from 26 to more than 40.

At the same time, the company is moving to unify the wholesale merchandising responsibilities for Emery, Jensen and Emery Jensen Distribution – all part of Ace’s Wholesale Holdings division – to the merchandising team in Oak Brook.

A little history: In 2014, Ace Hardware acquired Emery-Waterhouse in the Northeast, marking the first step in creating the co-op’s Ace Wholesale Holdings Division. In 2015, Ace Hardware acquired Jensen Distribution Services based in Spokane, Washington.

Emery Jensen Distribution, the third Ace Wholesale Holdings entity, was created to service independent retailers throughout the Midwest, South and Southeast, as well as large national retailers within the grocery channel.

In a letter to vendors, Ace VP of Merchandising Frank Carroll explained the integration and restructuring will be good for Ace, good for dealers and good for vendors. “With the significant growth we’ve been fortunate to achieve, coupled with the intense competition attacking from all sides, it’s imperative that we adapt out organization to be best positioned for continued growth and long-term success,” he wrote.

The expansion from 26 to 40 merchants will provide better communication between the Ace team and the vendors, he said. More merchants will allow for deeper dives into the details of their respective categories.

The new arrangement officially begins Jan. 1.

Ace is also establishing a channel merchandising team at the current Jensen and Emery headquarters in Washington and Maine, respectively. This group of merchants will focus on four channels: pro lumber and paint, hardware (including lawn and garden specialists), grocery and e-commerce.

During a video presentation Friday with vendors, Ace’s John Surane, executive VP of merchandising, marketing and sales, described the moves as designed to promote growth for the dealer and the vendor.  “It’s time,” he said. “It’s been 25 years since we have made any meaningful changes to the structure of the merchandising department.”