
Love or hate Janovic, it's the biggest paint dealer in town. Which is why we were surprised when the signs over all the the doors shifted from Janovic in big letters to Benjamin Moore this past fall. "What's going on?" we thought...
Turns out that after 119 years Janovic (founded 1888) sold themselves to Benjamin Moore, which was then purchased by Warren Buffet's Berkshire Hathaway.
This actually happened in 1999 and 2000, but only now is Benjamin Moore making its push felt as it tries to dominate paint distribution in the US.
Seems a shame to us to switch the names on all the shops, and slightly confusing to boot. Why not keep the Janovic name for the local market? For emotional reasons we'd much rather buy our paint from a Janovic store than a Benjamin Moore store, and wonder what this ownership will do to the other brands sold within the store. Look out for further paint ball battles and consolidation in the next few years...
Comments (7)
There is some nostalgia to Janovic but I imagine they are trying to be a retail brand like Sherwin Williams... maybe they'll have a jingle soon too.
Eliminating regional nameplates is good branding practice in a highly mobile society. Benjamin Moore has some national recognition as a "quality" paint brand. Janovic's name recognition is localized -- and it's in a city people move to, so you grab consumers' dollars faster if they recognize their favorite brand as soon as they get there.
That said, I bear huge grudges against Macy's for eliminating regional nameplates this past year, so yeah, there's an emotional toll taken when companies remove even the illusion of local character.
Hmm - is this based on actual intel or just guessing? Benjamin Moore operates a handful (around 100) of stores itself, but recently began a big push to "cobrand" with the smaller (as in non-chain) stores that carry its products. In most cases, the owners retain full control, but get funding and marketing support from Benjamin Moore in exchange for using the name.
For small shop owners struggling to keep up with Home Depot and the like, you can imagine why this seems like a win-win - particularly since the big chains really put the muscle on suppliers to work with them exclusively. As it is, Janovic already had to stop selling Ralph Lauren paints since those are only sold through Home Depot now. See what you learn when you have to write a 100-page report on the paint industry for your day job?
From Janovic's Web site:
A wholly owned subsidiary of Benjamin Moore and Berkshire Hathaway, Janovic has developed into a category leader in the paint and home decorating industry.
Now, when you start tossing around terms like "category leader," that sounds like there could be enough local loyalty to justify making the store look like a co-brand (that is, retaining the local name). I wish more national companies would do it that way, even though the local-ness of the brand becomes kind of an illusion.
here's the intel. My Janovic is still Janovic though (4th Ave).
"A wholly owned subsidiary of Benjamin Moore and Berkshire Hathaway, Janovic has developed into a category leader in the paint and home decorating industry."
http://www.janovic.com/index.php?option=com_content&task=view&id=23&Itemid=38
I hope that the Janovic brand does linger a while. It's like... I'd rather do to Duane Reade, even though they've turned into a monster, because at least they're named after the NYC streets that their now-defunct original flagship store was near, and named after.
First, I would like to say that the Janovic's themselves made this branding happen. They sought the highest bidder for the complete chain, Pratt & Lambert offered..(Sherwin Williams). Benjamin Moore responded, so you can point fingers to Benjamin Moore and say look how they butchered a local icon like Janovic or you can see the truth. Janovic family looked for the big buck and Benjamin Moore came in to protect their market share, just like any good business owner would.
Second, private owners control their stores not the brand image. With that said, if a major brand wants you to sport a new look or head in a new direction you will or most likely look for a new brand to sell. i.e. a local car dealership says "I do not want to sell eco friendly cars" GM says "That is the only car we are going to sell!" Dealer most likely will comply or find a new car to sell and take GM off his dealership lineup.
Last I would like to offer you this thought. Ralph Lauren is made by ICI (Glidden), Pratt & Lambert is owned by (Sherwin-Williams), Purdy(Sherwin-Williams), Krylon(Sherwin-Williams) so you could say that Benjamin Moore decided to push their own brad! Or say they decided not to sell their competitions!
I hope this sheds some light on Janovic and Benjamin Moore for you.
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