MCNAUGHTON HONORED AS YOUNG RETAILER OF THE YEAR

Indianapolis, Indiana … Monte McNaughton, store manager of McNaughton Family Shopping Centre in Newbury, Ontario, was recently named Young Retailer of the Year in the over $2 million sales category. He was the only Canadian to win the award. The 2005 Young Retailer of the Year program, which is coordinated by the North American Retail Hardware Association, recognizes outstanding achievement by six hardware retailers age 35 and younger.

McNaughton, 28, his siblings Mike and Nicole, grew up in the hardware business founded by his grandfather Jack McNaughton in 1948. When he was eight years old, Monte was already involved in the family business, sweeping floors. In 1988 Gary, Monte’s father, bought the business. 

“We were advised by the accountant not to purchase the business since it was in a town of only 400 people.  We knew there was a potential here to serve the area.  The location of the village makes it central to a larger market,” says Gary, recalling his decision to buy the store from his brother.

Monte’s brother Mike, 36, who handles sales to large builders in the area and cities, has been with the store since his teenage years.  He thinks back to the days when it was just himself, his father, and mother Susan, who worked in the office.  Like every business in the early days, the family and staff had to multi task.  Everyone did a bit of everything until an organizational structure was put in place as the business grew and more staff was hired. 

“We have come a long way.  In the beginning there was only 3 of us working.  Now we have grown to almost 60 employees.  There were a lot of years of fast growth and it was hard to handle.  We invested many hours especially before computers came,” Mike remembers.

Monte and Mike have kept to the same business philosophy their father had when he bought the store —to be a destination store with depth of inventory so customers don’t have to leave town to find what they need. Since becoming the store’s manager in 2000, Monte has been adding new departments and expanding existing ones.  He immediately took over marketing and advertising, staff hiring and helping create a solid management structure to allow advancement for his employees. 

While Newbury is a town of just 402 residents, McNaughton’s has drawn traffic from larger cities, all of which have large home centers. To help bring in more customers, McNaughton obtained an M&M Meat Shops franchise that sells frozen meats as well as vegetables, desserts and prepared meals. In 2004, he opened a Beer Store and a Liquor Control Board of Ontario Agency store. Having these two additional businesses has given people in his town, as well as neighboring towns, more reasons to shop in his store.

In the past year, McNaughton has helped create tremendous growth in some of the basic categories the store offers such as kitchen cabinet sales.  In addition, he has significantly expanded his flooring department to include all of the major flooring types and installation. Sales in that department have grown dramatically.  Other strong departments for McNaughton include appliances, paint and automotive. 

While McNaughton’s business building has been successful, he continues to seek the advice and wisdom of others. The store has conducted focus groups with customers and industry professionals to see what new products they should be stocking in their store.

In the community, Monte is involved in his third term on the Municipal Council and has recently announced he is entering provincial politics. He and his staff support many charities and local organizations by regularly hosting barbeques and other fundraising activities.  In 2004, the McNaughton family and staff committed $25 000 to the Children’s Health Foundation in support of the Children’s Hospital of Western Ontario.

“We are committed to our rural community.  There are real business opportunities in rural Ontario.  The marketplace is bigger than most entrepreneurs realize and we are proof of that,” says McNaughton proudly of his rural roots.  “I am extremely proud of my dad for his risk.  This award should have been given to him and my brother for their efforts in the start-up years.” 

For more information, contact Monte McNaughton at (519) 693-4484