What’s not changing is the faces that are in here.”

Eric Tautges, district manager for Frattallone’s

For longtime customers of Terry’s Hardware, the name on the building will soon change, but the new owners say they have no intention of changing what has made the Hastings store successful.
Frattallone’s Hardware recently completed its purchase of Terry’s Hardware from longtime owners Pete and Carissa Terry, adding Hastings to the company’s growing group of hardware stores. The transaction closed on a Friday, and the store reopened the following Monday under Frattallone’s ownership, although customers will see the physical transition take place gradually.
Eric Tautges, district manager for Frattallone’s, said the company learned about 100 days before the sale that Pete and Carissa Terry were interested in selling. Mike Frattallone began discussions with the owners, and Tautges said both sides quickly saw the potential for a good fit.
Frattallone’s is part of Central Network Retail Group, or CNRG, and operates a network that now includes 21 stores. Tautges has been with the company for 15 years, beginning as a store manager before moving into his current role overseeing several locations.
While a new name is coming to the Hastings store, Tautges said the most important parts of Terry’s Hardware are staying in place.
“What’s not changing is the faces that are in here,” Tautges said.
Employees who wanted to remain with the store were welcomed to stay, providing continuity for customers accustomed to seeing familiar people behind the counters and throughout the aisles. Sarah is remaining as store manager, while Todd and Dan are also continuing in management roles.
Tautges said retaining that existing team is important because the customer service culture at Terry’s closely matches the philosophy Frattallone’s brings to its stores.
“The service level is astronomical,” Tautges said. “You don’t find this type of service at other hardware stores, but it’s very similar to what we promote.”
For Frattallone’s, keeping the Terry’s staff also means customers do not have to start over with an entirely new group of employees learning the community, the store and its customer base.
“Having the face of Terry’s become the face of Frattallone’s is really what we want to have that continuity in place,” Tautges said.
The company also intends to maintain many of the vendor relationships Terry’s developed over the years. Tautges said Hastings has some suppliers and customer needs that differ from Frattallone’s stores in the Twin Cities. The company has gained experience with similar relationships at its Waconia location, particularly with farmers, contractors and other customers who rely on products that are less common in urban hardware stores.
Those local relationships, he said, are something Frattallone’s wants to preserve rather than replace.
The biggest changes customers are likely to notice will come from additions to the store rather than the removal of familiar products.
Frattallone’s larger network gives the company purchasing power that is difficult for a single independent store to match. With 21 locations, the company can make large direct purchases and divide the merchandise among stores.
That opens the door for a wider selection of products in Hastings, including Weber grills and Toro equipment.
Tautges explained that some manufacturers require retailers to purchase at volumes that are not practical for an individual hardware store. Frattallone’s, however, can purchase a truckload of merchandise and distribute it among its locations.
The same advantage applies to everyday inventory.
Frattallone’s operates a central distribution center, which allows stores to receive products more frequently. Tautges said the Hastings location is expected to receive warehouse orders twice each week, helping keep shelves stocked and reducing the amount of time customers may have to wait for products.
“We have the ability of keeping everything full almost all the time, so there’s never really any lag time with our deliveries,” he said.
The store layout will also be adjusted during the next several months. Some departments may expand, while others may shrink based on customer demand and Frattallone’s experience operating its other stores.
Customers should expect that process to happen gradually rather than through a major remodeling project.
“You’re going to see changes over the six months on things like that,” Tautges said.
Frattallone’s also brings its own maintenance staff, giving the Hastings location access to employees who can handle building repairs and other maintenance issues. That removes some of the responsibilities previously handled directly by the owners.
Tautges said some areas of the building will receive attention over time, including portions of the flooring, but the company is not planning to tear the store apart and rebuild it.
For commercial customers and contractors, Frattallone’s distribution system may provide some of the most noticeable benefits.
Tautges said the company can stock larger quantities of products such as concrete, ice melt, water softener salt and mulch. With the amount of space available at the Hastings store, he expects the location will be able to keep multiple pallets of high-demand products ready for contractors.
One contractor had already asked whether the store would continue making special bulk orders, something Terry’s had previously done.
“I said absolutely,” Tautges said. “He says because Pete would order one just for me. I said don’t worry. I probably already have it for you. We could have it the next day.”
The purchasing system also gives the Hastings store access to merchandise stored elsewhere in the company’s network. If a customer needs a special-order part, employees may be able to have it delivered quickly from the warehouse or another location.
Tautges said small-engine parts are one example, with some products potentially available within 24 hours.
Another addition under the new ownership will be small-engine repair.
Customers will be able to bring equipment to the Hastings store, which can then be sent to Frattallone’s repair shop in West St. Paul for evaluation and service. The company can handle many types of small engines, although riding lawn mowers are excluded.
Frattallone’s is also beginning to introduce Hastings customers to its marketing approach, including the company’s “Find it at Fratt’s” social media promotions.
The promotions feature Mike Frattallone visiting stores and hiding prizes for customers to find. Tautges said the campaign has grown far faster than the company originally expected, with some posts receiving hundreds of thousands of views.
The Hastings store has already participated.
During one recent promotion, prizes included a lawn mower and gift cards. Tautges said the response showed how quickly local customers were becoming familiar with the promotion. An earlier contest took several hours for customers to catch on, while the next Hastings promotion was finished within about an hour.
“There are people already coming in, and it’s Hastings people that are coming in,” Tautges said.
The promotion also includes a distinctly local element.
Rather than limiting prizes to Frattallone’s merchandise or gift cards, Mike Frattallone visited local restaurants and purchased gift cards to give away as part of the promotion.
“So the people are going to other local businesses,” Tautges said. “So he’s getting the community involved in it as well.”
The approach reflects what Frattallone’s sees as a larger challenge facing traditional hardware stores, attracting younger customers who may not have grown up relying on neighborhood hardware stores the way previous generations did.
Tautges said social media gives the company a chance to introduce those customers to the stores while maintaining the service that has traditionally drawn people to local hardware businesses.
For now, some of the most obvious signs of the ownership change are still coming.
New exterior signage has been ordered, although permits are still needed before it can be installed. Frattallone’s shirts for employees are also on the way. Behind the scenes, however, the transition has already begun.
Tautges said employees from other Frattallone’s locations have been visiting Hastings to help with the changeover and familiarize the existing team with company procedures. He stressed that the process is not about replacing the culture Terry’s established but blending it with a similar customer-first approach.
“We want to do customers first,” Tautges said. “If we don’t have something, we’ll certainly do whatever we can to get it for you.”
For customers who have known Terry’s Hardware for years, that may ultimately be the most important part of the transition.
The sign will say Frattallone’s, new products will appear on the shelves, more trucks will arrive with inventory and new services will be available, but the people who know the store and the community are staying behind the counter.