Ace Hardware celebrated a milestone earlier this month. They opened their 100th new store of the year, bringing their total store count to almost 5,300 across the US.
Adding new stores is central to their growth strategy. They’re targeting 170 new store openings for the full year from a combination of expansion from existing operations, converting new independents, and adding new entrepreneurs.
There is a special pride that comes with owning an Ace Hardware store because a great hardware store is more than a place to buy products. It’s part of the fabric of the community it serves. For more than a century, independent Ace retailers have proven that local ownership, personal service and a genuine commitment to their neighbors can not only compete but win against some of the largest and most powerful retailers in the world. Reaching our 100thnew store yet again this year is a powerful reflection of the strength of that model and the confidence entrepreneurs continue to place in Ace.
John Surane, Executive Vice President and Chief Growth Officer at Ace Hardware
Over the past six years, Ace has added 1,100 new stores. They do have some attrition, in Q2 they added 34 new stores and cancelled 17. Year-over-year net store growth was 88 stores.
Ace has been effectively navigating the economic headwinds that have faced the overall industry. Of the stores that share daily sales data, they saw same store sales increase by 1.1% for year-over-year Q2.
Like other retailers, they’re trading ticket size for units with 3.1% increase in ticket and a 1.9% decrease in transactions. An outlier has been at stores that have invested in the new ELEVATE format, that features a large, organized grill section. They’ve seen an 11.1% increase in sales.