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How Does Your Business Compare to a High-Profit Store?

How Does Your Business Compare to a High-Profit Store?

The differences between a high-profit home improvement store and a typical operation can be significant, according to facts from the North American Retail Hardware Association’s (NRHA) 2016 Cost of Doing Business Study.

  • A high-profit home improvement store nets 9.2 percent profit before taxes, while a typical home improvement store nets 3.8 percent profit before taxes.
  • The average transaction size is $23 at a high-profit store and $21 at a typical store.
  • At a high-profit store, the annual customer count is 20 percent higher than a typical store.

Do you know how your business compares? NRHA can help you find out.

The association is still accepting survey responses for the 2017 Cost of Doing Business Study. When you participate, you’ll gain complimentary access to the invaluable, industry-specific benchmarking tool you can use to evaluate your operation and make more informed business decisions. The 2017 study, to be released in September, will include updated numbers for the metrics above and many more industry averages.

There are five easy ways to participate this year. To fill out the survey online, click here. The deadline to submit your data and receive a free copy of the complete study along with a personalized financial analysis is June 30.

About Hilary Welter

Hilary Welter
As the member services and communications coordinator, Hilary contributes to all member-focused communications efforts. She assists with communication aspects of member recruitment and retention and contributes to the marketing of member programs and benefits. Additionally, she is the voice behind NRHA and Hardware Retailing social media accounts. Hilary is currently working remotely while traveling abroad, tapping into the international hardware markets along the way. To follow her adventures, visit www.hardwareretailing.com/NRHA-Abroad starting August 1, 2016.