Survival in a competitive market

Sullivan Hardware, an independent retailer in Indianapolis, Indiana, has grown into a four-store operation while surrounded by and competing with dozens of giant chain stores. It is successful, in contrast to many other independents in the city that have been forced to close. Sullivan owes this success to membership of the dealer-owned cooperative Do It Best. Thanks to this its four stores are as bright, clean, attractive and well signed as any of its competitors - and sometimes markedly superior.
Sullivan Hardware has applied the newest Do It Best store format in Brownsburg.
Do It Best, headquartered in Fort Wayne, Indiana, realised some years ago that many of its member firms operated stores which did not measure up in looks or efficiency to those of the chains. The solution: hire a design firm to create a modern, attractive and versatile floor plan and colour scheme that would distinguish a Do It Best store from all competitors – both chains and locally owned.
Do It Best officials now regard their newly developed concept as a proven performer in their members’ fight for survival. There are hundreds of success stories like Sullivan’s: surviving in the midst of intense competition.
The colour green signifies garden products.
The design programme has revitalised about 1 500 stores. Approximately 225 stores have installed the newest version, introduced in 2000. It is this version that Sullivan is using in its newest store in the suburb of Brownsburg. Knowing that it pays to specialise in certain categories, Sullivan has chosen garden products and custom-mixed paints.
Signs throughout the store emphasise “good advice and customer service”.
The newest format retains many elements of the original concept, though the shade of red looks somewhat softer. Certain colours have also been allocated to product categories, e.g. green for the garden section. The new Do It Best design provides Sullivan Hardware and many hundreds of other stores with an improved market image. This applies particularly to the exterior appearance, which is made more visible with strong colours and modern graphics. Inside, the departments and products are better identified for consumers. Red floor stripes guide customers through the store, and the use of dump bins, gondola-end displays and mass displays conveys an image of product newness and price-competitiveness. Too often the typical independent retailer was viewed as a convenience store with wonderful service but lacking price-competitiveness…