Store profile: Ace Hardware Longmont
Kirsten Pellicer began working in her parents’ hardware store when she was a 14-year-old middle school student.
When it opened in 1990, Ace Hardware Longmont (Colo.) measured 8,000 sq. ft. It has since more than tripled in size to 26,000 sq. ft., while developing a significant lawn and garden business. It has also built a reputation as grilling headquarters, and embraced a housewares department that has effectively expanded its customer base to include more women.
“At the beginning of the day, we’re a hardware store,” said Pellicer, who describes herself as owner and operating partner. “We have Ace sign above the door, and we have all the core categories for home maintenance and repair. But when customers come in, I hope to sell them one more item. And that’s kind of how we run our business.”
The housewares and cooking focus allows for creative exercises in customer loyalty, such as cooking events. Ace Hardware Longmont, through the Rocky Mountain Ace Group, shares the services of an instructional chef
Embracing the “general store” mindset has worked well, she said. And at conventions and meetings with other retailers, she believes that many are similarly embracing ways to improve the customer experience by offering categories above and beyond the traditional core.
And it’s working, according to Pellicer. She described sales growth as consistent and steady. The exception was 2006 - -a year of explosive retail development in Longmont that included a new Walmart, a Bed Bath & Beyond and a Dick’s Sporting Goods.
The store has grown despite competition from both a Home Depot and Lowe’s.
“We prepared when they came to town,” she said. “We pride ourselves on differentiation, and just trying to be different enough on a number of levels.”
One of those is service. Pellicer’s parents Dan and Karen Gust founded the store on the guiding principle of “Our Business is Customer Service.” That vision hasn’t changed, she said.
Another competitor that wasn’t around for Pellicer’s parents is Amazon.com. There are no easy answers on how to react to the $200 billion online giant.
“I think it is incumbent on us to try to answer that call,” she said. Oak Brook, Illinois-based Ace Hardware Corp. had done a good job to make in-store pick up a priority. If the customer wants to shop online in their pajamas, we have to let them, otherwise they are going to show somewhere else.”
The store is looking into the concept of delivering directly to the homes of customers.
Online is one area of potential growth. Pellicer also looks for areas within the store’s four walls.
“We continue to grow, and we are always looking for different ways to make that happen. We’ve always been able to achieve growth by expanding our size. Now we’re going to have to get creative.”