The Home Depot Invests $1.2 Billion to Improve Customer Experience

The home center is looking to cater to professionals with simple and efficient systems for purchasing and delivery. Learn more here.

Home Depot SignRob Wilson/Shutterstock

The Home Depot announced last week the opening of three new distribution centers in Georgia as part of an ongoing $1.2 billion investment in their supply chain systems. The company’s goal is to create a quick and robust shopping experience for their customers whether that experience is online, in-store or through curb-side pickup.

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“Retail has changed more in the past four years than in our company’s 40-year history,” said Stephanie Smith, The Home Depot’s senior vice president of supply chain development and delivery.

“Customers expect to shop whenever, wherever and however they want whether they’re buying a hammer or a pallet of pavers,” she said. “We’re investing to meet the changing delivery needs of our DIY and Pro customers, whether they’re at home, at their job sites or picking up in the store.”

One of the new distribution centers, which The Home Depot refers to as a “flatbed delivery center,” will be designed to cater particularly to pros by “delivering large, oversized orders and materials directly to a Pro’s job site, when and where they need it.”

This will be the second flatbed delivery center The Home Depot has opened, following one in the Dallas, Tex. area earlier this year.

Recent reports show construction professionals make up just four percent of The Home Depot’s customers but account for nearly 40 percent of their revenue. The company hopes to continue catering to contractors and other professionals by providing simple and efficient systems for purchasing that align with their busy schedules.

Its a very strategic, important customer where we see a lot of growth coming from, Smith said to CNBC. And generally, in our history as a company, if we develop something for our contractor or pro customers and get it right, then it works really well for our DIY customer as well.