I was looking at the January 2011 issue of Metal Center News recently and noticed a story, "Distributors Dabble in Retail." It discussed five steel service centers that had opened up retail fronts to move metal.

The motivations for opening retail locations, either at the actual warehouse sites, or at remote locations, ran the gamut. Pemco Inc., Hamilton, Ont., Canada, looked at the storefront as an excellent way to sell metal remnants that would otherwise head for the scrap bin. Triple-S Steel Supply, Houston, viewed its retail locations as a great way to identify salespeople who love customer service and try out new marketing ideas.

Of course, selling metal through a storefront is a lot easier than trying to sell metal fabricating services over the counter. Having said that, I know of several metal fabricators that have tried to launch their own product lines, but they rely on online sales channels rather than investing in a brick-and-mortar retail establishment. (more...)