Podcast Summary: The CPG Guys

Episode: Local Brand Building at Scale with Ace Hardware's Kim Lefko

Date: April 4, 2026
Host: Peter V.S. Bond (Sri Rajagopalan absent)
Guest: Kim Lefko, SVP & Chief Marketing Officer, Ace Hardware

Main Theme

This episode centers on how Ace Hardware, a 100-year-old retailer-owned cooperative, is building local brand relevance at national scale through omnichannel marketing, digital transformation, experiential retail, and loyalty strategies. Kim Lefko shares her personal journey from major CPG brands to retail, Ace’s unique co-op model, digital advances, and the role of Redvest Media in retail media.

Key Discussion Points & Insights

1. Kim Lefko’s Career Journey & Mindset

Timestamp: [03:16]

• Kim’s background: From iconic brands (Weber, Graco) to marketing at Ace.
  • Quote: “If you’re going to be in marketing, work on brands that have strong affinity groups.” — Kim ([03:38])
• The move from brand to retail:
  • On the brand side: Desire for all products on every shelf.
  • On the retail side: Realization of space and consumer needs, focus on differentiation (“differentiate or die”).
  • Quote: “Differentiate or die. And it’s so true.” — Kim ([04:44])
• Ace’s cooperative structure: All 5,200+ U.S. stores are independently owned and have autonomy over assortment, giving rise to national presence with local relevance.

2. The Ace Hardware Difference

Timestamp: [08:00]

• Ace’s scale: Over 5,200 stores, more locations than big-box rivals combined.
• Proximity advantage: 80% of U.S. households live within 15 minutes of an Ace.
• Unique local experience:
  • “When you walk into an Ace in Boston and a store in California... you’re going to have a different shopping experience.” — Kim ([08:41])
  • Stores tailor offerings to their communities (e.g., fishing gear in Florida, disc golf in California)
• Customer-centric culture: Personal anecdotes reinforce Ace’s integral role in daily life.
  • Memorable Moment: Host Peter recalls his local store’s “hidden hammerhead shark” for kids, a unique local touch. ([09:33])

3. Local vs. National Marketing Approach

Timestamp: [10:41]

• Ace’s marketing focus: Consistency is their superpower; they double down on key categories (paint, power tools, barbecue/outdoor, etc.).
  • Quote: “We’re never going to outspend our well-funded competitors, but our consistency is our superpower.” — Kim ([10:41])
• National-local balance:
  • TV, digital, and loyalty campaigns are handled nationally.
  • Local stores get autonomy for in-market experiential events and targeted social media, supported by simple digital tools from HQ.
• Marketing challenge: Prioritize both reach and local resonance despite budget constraints.

4. Digital Transformation & Customer Convenience

Timestamp: [12:33], [16:13]

• Digital evolution driven by “productive paranoia”: Annual leadership exercise to predict market/consumer shifts.
  • Quote: “Being productively paranoid is a really good exercise for any marketer.” — Kim ([13:24])
• Transition from print/radio to search and digital platforms.
  • Ace.com sales up 20%; app usage up 40%.
• Redefining convenience:
  • Not just proximity; now free assembly/delivery of grills, faster order pickup (“15 minutes or less”), and leveraging knowledgeable staff.
  • Quote: “Holistically, it’s a balance of what does convenient mean to our customer. It could be speed, it could be delivery, it could be fast pickup in store. But balance that with what makes Ace so special and that’s knowledge and being helpful.” — Kim ([17:34])
• The Ace Rewards app empowers shoppers; app users shop 50% more and spend 2x more.

5. Experiential Retail: The Elevate Ace Format

Timestamp: [19:20]

• $1B investment to remodel hundreds of stores for immersive, category-focused layouts.
  • Prioritizes leading brands (no private label grill knockoffs, for example).
  • “If you want to build your brand in the heart and mind of consumers, partner with Ace because your brand is our priority.” — Kim ([20:00])
• Focus on experience, not just assortment: Stores become showcases for top brands.

6. Loyalty as a Strategic Pillar

Timestamp: [21:03]

• Loyalty = fundamental to Ace’s marketing vision:
  • Capture/demand → Convert → Lock-in (loyalty).
• 46 million Ace Rewards members, accounting for a lion’s share of sales.
• 90%+ annual re-qualification rate.
  • Quote: “Loyalty is everything...Job to be done in marketing is three key things: capture and drive demand, convert to purchase, lock them in so they love us and never leave us.” — Kim ([21:37])
• Focus on personalized, data-driven value instead of mass discounting: “Happiness over hassle”

7. Retail Media: Redvest Media’s Vision & Differentiation

Timestamp: [25:04], [27:49]

• Ace was a late entrant into retail media: Gained the advantage of better technology & partner selection.
• Clear value-proposition for:
  • Customers (privacy and value)
  • Brands (scale, data, differentiated audiences)
  • Ace itself (growth, omni-channel impact)
• Unique differentiators:
  • Local scale (5,200 stores, deeply embedded in communities)
  • Human sales force (“red vested heroes”) with product training
  • 46M-member loyalty database fueling targeting
  • Immediate, transparent campaign results and data access for brands
  • Quote: “We wanted transparency. And you know what? If a campaign doesn’t work, we hit the pause button and say: what happened? How do we do this better next time?” — Kim ([30:12])

8. Overcoming Perceptions & Purpose-Driven Culture

Timestamp: [31:09], [34:41]

• Misconceptions: Ace is less digital or modern—Kim challenges listeners to visit a store or app and see firsthand.
• Deep community embed: Locally owned, national expertise.
• Core purpose: “We exist to serve and help others.”
  • Guiding principle in daily operations and strategic decisions: “If being helpful is just natural in your DNA—it’s a desire, something you want to do—you feel it inside the stores, inside the meetings rooms…” — Kim ([34:41])
  • Human connection remains the bedrock of Ace’s customer experience, even as technology enables more.

Notable Quotes & Memorable Moments

• “Differentiate or die.” — Kim Lefko ([04:44])
• “Consistency is our superpower.” — Kim Lefko ([10:41])
• “Being productively paranoid is a good exercise for every marketer.” — Kim Lefko ([13:24])
• “If a campaign doesn’t work, we hit the pause button and say: what happened? How do we do this better next time?” — Kim Lefko ([30:12])
• “We exist to serve and help others...The level of help and care is off the charts and will be the reason 100 years later people say Ace is still around.” — Kim Lefko ([36:04])
• Memorable Moment: Peter’s story of Page Hardware’s hidden shark for kids, highlighting the store’s unique, community-oriented atmosphere ([09:33]).

Key Timestamps

• [03:16] Kim’s career path and POV on brand vs. retail
• [08:00] What makes Ace unique as a retailer
• [10:41] National vs. local strategy in Ace’s marketing
• [12:33]/[16:13] Ace’s digital journey and redefining convenience
• [19:20] Elevate Ace format and physical store innovation
• [21:03] Loyalty, data, and their strategic role
• [25:04]/[27:49] Launching and differentiating Redvest Media
• [31:09]/[34:41] Overcoming misconceptions; purpose-led culture

Flow & Takeaways

Kim Lefko’s candid style and Peter’s friendly engagement keep the discussion lively and relatable, blending strategic insights with real-world anecdotes. The episode underlines Ace’s success in harmonizing modern digital practice with century-old community values—a case study in how legacy retail can adapt and flourish in the digital era without losing its soul.

Final Takeaway:
Ace’s secret isn’t just proximity or products—it’s the unrelenting focus on helping customers, empowering local owners, leveraging digital tools, and making both brands and communities feel at home. Redvest Media and the Elevate format prove Ace’s readiness to be a next-generation, omni-experiential retailer—without sacrificing its signature personal touch.