Small-business survival rates are rather grim. According to the U.S. Bureau of Labor Statistics, about 20% of small businesses nationwide fail within the first year, while nearly 50% have failed by their fifth year and only one-third of these endeavors are able to survive by their 10th year.
Wallauer Paint & Design is something of an anomaly. In 2021, the family owned and operated business will celebrate its 100th anniversary. According to company President Edward Klein, the secret to this longevity is no secret at all.
“It really comes down to having a knowledgeable group of people that know their craft, as well as providing great customer service and relying on the word of mouth that this has to be the go-to place for home improvement locally,” he said.
The company was started by paint salesman Clarence Wallauer as a single-store operation in White Plains. Klein noted that Wallauer not only survived the Great Depression, but managed to open a second location in 1935. Wallauer passed the ownership reins to his son-in-law Robert Duncan, who later passed it on to his son, Robert Duncan Jr., who brought it into the fourth generation with his daughters Debbie and Donna co-owning the business.
Today, Wallauer maintains a flagship store in White Plains and has 14 retail operations across Westchester and the Hudson Valley region. Its newest location opened in October in Nanuet when the company acquired the locally owned retailer Paley Paints. Unlike many independent operations that have been forced out of business due to competition from the big box retailers, Wallauer has met the challenge of the XL-sized competition by teaming with a major name in the painting industry.
“A big part of our foundation comes off of our relationship with Benjamin Moore,” Klein said. “We”™ve been selling Benjamin Moore for the 100 years that we”™ve been in business. It”™s the most sought-after brand. They”™re a fantastic partner. I worked there for 17 years and the CEO and myself are very, very close.”
Klein added that Wallauer was the “seventh largest Benjamin Moore dealer in North America” and the availability of the brand has given the company a local advantage.
“The painting contractors, first and foremost, come to us versus going to Home Depot or Lowe”™s,” he said.
Klein also noted that the Wallauer customers have longstanding relationships with the retail store teams, who are more than familiar with the inventory.
“We have the true experts,” he stated. “I”™d say the average tenure of our employees was probably close to 20 years. You”™re not dealing with somebody at minimum wage who maybe doesn”™t really know about the colors they”™re selling ”” you”™re talking to professionals who could match colors with an eye.”
As the company prepares for its 100th year, it is still reeling from an unexpectedly hectic 99th year due to the Covid-19 pandemic. Klein noted that with many people moored at home during the pandemic, a new wave of do-it-yourself home improvement projects helped keep Wallauer”™s very busy.
“Our consumer side of the business has boomed this year,” he said. “We added Ace Hardware to many of our stores and they have significantly benefited. A lot of Benjamin Moore and other different dealers did either curbside pickup or delivered, but they weren”™t open for weeks or for a couple of months, but we kept the doors opened in all stores. A lot of people chose to come to us that possibly were going to Home Depot or Lowe”™s because they didn”™t want to wait on those lines, and so we”™ve added a lot of new customers, coupled with our core base.”
Klein also noted that contractors whose work went on hold when the pandemic took root returned to the store in June when businesses began to reopen and stalled projects were suddenly back in motion.
“Our painting contractors are a big part of our business,” he said. “We had a very, very strong year, I would say we had a record year, and that”™s coming off of a record year last year.”
However, Klein admitted that the company”™s centennial celebrations will not be an immediate priority due to the ongoing public health crisis.
“When I look back a year ago, we had all of these great ideas with events and everything else,” he said about the 100th anniversary.
“It”™s hard right now to say what we have scheduled as it pertains to events because we”™ve got to get clearly through Covid. When we can, we are going to want to have an event ”” it”™s just a matter of how we”™re going to be able to turn it on.”
