Customer Satisfaction, Global Growth And Sales Increase

The Home Depot mission statement reads as follows: “The Home Depot is in the home improvement business and our goal is to provide the highest level of service, the broadest selection of products and the most competitive prices. We are a values-driven company and our eight values include the following: excellent customer service, taking care of our people, giving back, doing the “right” things, creating shareholder value, respect for all people, entrepreneurial spirit, and building strong relationships.”

This allows Home Depot to better utilize resources by targeting demographic categories that are likely to be interested in home improvement or contracting services. Home Depot advertises a low price guarantee, including beating competitors’ prices by 10% (The Home Depot, 2016). Home Depot’s current marketing slogan is “More Saving, More Doing”. Home Depot markets to both the inexperienced homeowner as well as contractors for its products and services. The company’s marketing strategy, slogan, and price match guarantee all fit the current corporate strategy of growth through increasing sales at existing retail locations and online to both contractors and homeowners. As an organization within an industry where low price is likely necessary due to lack of differentiation, Home Depot’s marketing strategy focused on low price is necessary. The low-cost without focus strategy at the business level is also aligned with this marketing focus. Since Home Depot is looking to gain customers in the broader market, focusing on both do-it-yourself customers and contractors is

Bernie Marcus and Arthur Blank founded Home Depot Corp in 1978 (The Home Depot, 2013). The business created strategic product analysis providing an assortment of items to consumers. From the beginning, workers have been able to deliver superior customer satisfaction in the business, helping consumers with jobs such as handling power tools, changing out parts on appliances, laying tile, etc. The Home Depot employees all underwent arduous training to familiarize each employee with products. In addition, the business began hosting workshops to teach consumers on how to do things themselves.

The Home Depot (NYSE: HD) is a home improvement, construction products and services retailer operating over 2,000 big-box stores in the United States and abroad. The Home Depot was founded in 1978 by Bernie Marcus and Arthur Blank with the vision of one-stop shopping for do-it-yourself (DIY) customers, installation services for do-it-for-me (DIFM) customers and competitive products for the professional market. Their DIFM installation programs include products such as carpeting, flooring, cabinets, countertops, and water heaters. In addition, the company provides installation of various professional products like generators and HVAC systems.

The Home Depot was co-founded in 1978 by Bernard Marcus, Arthur Blank, and Pat Farrah. It is considered as the world’s largest home improvement specialty retailer. As of January 2017, there are 2,278 stores including the commonwealth of Puerto Rico and the territories of the United States, Virgin Islands and Guam, Canada, and Mexico. There are more than 400,000 associates working for The Home Depot. The Home Depot sells a wide assortment of building material, home improvement products, and lawn and garden products and they also provide many services. The mission statement of the company says the following, “The Home Depot is in the home improvement business and our goal is to provide the highest level of service, the broadest selection of products and the most competitive prices.” The vision statement is slightly shorter than the mission statement, it says that The Home Depot will provide, “one-stop shopping for the do-it-yourselfer.” The values of the company match the mission statement as well as the vision statement. The values of the company are as follows: creating shareholder value, entrepreneurial spirit, taking care of our people, respect for all people, doing the right thing, building strong relationships, giving back, and excellent customer service.

Home Depot is the world's largest home improvement retailer operating in 45 states, Canada, Chili and Puerto Rico. Home Depot stores aim to serve both do-it-yourselfers and professional contractors with home improvement superstores carrying between 40,000 and 50,000 different products. Home Depot has also been listed as one of Fortune's most admired specialty retailers for the past six years. In order for companies to succeed in the competitive current marketplace they must consider not only the bottom line and their investors but also their impacts on the community, their employees, and their customers. Home Depot was founded on the idea that treating employees well is an important responsibility. Home Depot believes employees that are

Home Depot is a full service retail warehouse, which specializes in home and building improvement materials, installation, and maintenance. Additionally Home Depot owns websites that sell high-end designer decoration items and window coverings. Home Depot uses a multi-step income statement and does not have any short-term investments. Since the financial statement for 2016 became available after the class started, I focused on the fiscal year 2015 financial statement.

In 1978, Home Depot was established by Arthur Blank and Bernie Marcus. From the beginning, they were capable to render the most excellent customer service in the industry, guiding customers in the course of projects for instance laying tile, shifting a fill valve or managing a power tool. Not merely did store associates endure meticulous training of product knowledge, other than they as well begin presenting trainings so that customers might be trained how to perform it themselves. Home Depot is yet today guided by individuals values instituted by its founders, taking care of people, doing the right thing, excellent customer service, respect for all people, entrepreneurial spirit, constructing strong relationships, give

Home Depots marketing strategies prioritize the consumer first and foremost. As mentioned on their website (2016), Home Depot operates on an inverted pyramid that places the consumer first and places the CEO last (Home Depots, 2016, p.1). Therefore, every innovation marketing strategy is developed with the consumer being top of mind. For instance, Forbes (2015) has reported that Home Depot’s latest marketing mix is inclusive

Since Home Depot opened their doors in 1979, they set out to lead the market in excellent customer service. Their motto of “ whatever it takes” shows their commitment to differentiate themselves in that field (website, 2011). And it certainly seems to have helped them lead the market and continue to grow their business beyond U.S. borders and be competitive on a global scale. It is a part of what founders Bernie Marcus and Arthur Blank deem the “Three Legged Stool” of their overall business strategy (Darrow, 1994, para. 8). The first leg is to provide the best selection and quantity of home building supplies to satisfy as many do-it-yourself customers as possible. The second leg of the

Starting with their products their focus is “retail service”. Followed by independent contract services. Furthermore, home depo products focus on home improvement products from 3rd parties and home depot house brands. Next, Home Depot focuses on “Place”. Their main

Home Depot was established by Arthur Blank and Bernie Marcus in 1978 in Atlanta, Georgia as a home improvement retailer. The company was listed on the NASDAQ stock exchange when they went public in 1981. Three years later Home Depot transferred to New York Exchange. In 1986, Home Depot opened its first big store. The Company first Expo Design Center was launched in San Diego in 1991.

“The competitive strategy and the marketing functional strategy are tightly intertwined” (Parnell, 2017). Home Depot, if it remains strategically focused, will not stop improving. It has the products consumers need, providing them opportunities to do a variety of household projects, or skilled employees who provide proficient advice about products, materials and techniques necessary to perform DIY tasks. Competition that fuels Home Depot’s strategic focus are direct competitors such as Lowe’s, Lumber Liquidators, Sherwin-Williams and Tractor Supply Company, to name a few.

The best way to identify if the Home Depot’s marketing strategy is to compare the actions taken to the 4 P’s of marketing (Parnell, 2014). Price, promotion, product or service, and place or distribution. Promotion, Distribution, and distribution match the corporate strategy of a focused differentiated organization, but Price does not.

The Home Depot has enjoyed success implementing a focus low-cost strategy by playing on the wishes of consumers to turn their current home to a dream home. This combination of strategy and marketing allowed the company to taste success at a very early stage of development. The company faces and will face monumental challenges from Political-Legal, Economic, and Social forces.