True Value to add ship-to-consumer
Beginning in January, True Value Company’s direct-to-consumer e-commerce capabilities will be ramped up to more than 90% of the country.
The move is the result of what CEO John Hartmann calls “critical investment in our logistics and distribution systems,” and brings “Amazon-prime-level capability” to the reach of the vast majority of True Value dealers.
Improvements and upgrades at distribution centers – one nearly completed and two others scheduled for completion in January – will allow them to provide 2-day direct-ship capabilities direct to consumer from the distribution network.
The developments were announced during the co-op’s Denver Reunion in mid September. Hartmann added color during a recent post Reunion interview with HBSDealer.
“This is real, this is now, this is live,” he said. “We've got one [DC] nearly completed, and two others coming online at the end of January. In addition to our ship-to-store capability that hundreds of our stores participate in, we will add dynamic two-day ground-ship to consumer for 94% of the country. And we got huge – huge -- positive feedback for that. Because our stores know that our consumers want to have the ability to buy our products and get them shipped to their home, just like they would from Amazon or any one of the other competitors in the channel.”
At the Reunion, the announcement generated one of the loudest eruptions of audience applause, he said. And the reason for the enthusiasm is the consumer demand. The benefits of order-online-pickup-in-store are routinely promoted throughout the retail industry. But in today’s world, more options means more relevance, he said.
“We know that we have a very strong competence and our stores aren't going anywhere,” Hartmann said. “But we also recognize that we want to stay modern and relevant for the current generation of consumer. The consumer is asking for the ability to ship to the store and we have that. She's asking to have it shipped to her home when it's not convenient to go to the store, and our members are also asking for that.”