Introduction
The Home Depot of Canada is one of Canada’s largest home improvement retailers with over 27,000 employees (MarketLine Company Profile, 2016) and recorded revenues of over 66 billion dollars in 2010 (MarketLine Industry, 2013). The Home Depot is a titan of industry in the retail market and continues to grow today. HD Canada offers many lines of products and services to meet the budget and the needs of customers all across Canada. HD Canada is also a large presence in the communities that the stores are located. With The Home Depot Canada Foundation’s initiatives, The Home Depot is working to fight youth homelessness with their Orange Door Project. Over 3 years, The Home Depot has pledged to donate $10 million (Canada Helps, 2016) …show more content…
With that being said, HD Canada still caters to contractors and other professionals through brand segmentation. An example of this segmentation would be their brands of power tools. HD Canada stocks 5 main brands of power tools; Ryobi, Ridgid, Makita, Dewalt, and Milwaukee. Of these 5 brands, Milwaukee, Ridgid, and Ryobi are owned and produced by TTI. These 3 brands of tools fit a wide range of consumer’s needs. With small differences in the types and function of tools, customers are able to choose the quality and price of the same tool based on brand. Ryobi, being the cheapest brand, is recommended for small jobs around the house and once-in-a-while large projects that will not put excess stress on the tool such as building a small deck. Ridgid is mid-priced with a large jump in quality over Ryobi. With a price tag of $149 for the basic combo kit of 2 drills, Ryobi is an excellent choice for the price-conscious customer. Ridgid offers durable tools that are better suited towards professionals who will be using the tools more often but will not be using the tools in harsh circumstances. Ridgid is usually recommended to be used by electricians and other workers who don’t require small power tools day to day but rely on them. With a starting price of $200 for the basic kit, Ridgid is geared towards the customer that seeks out high quality for a low price. Milwaukee is the top of the …show more content…
While taking heavy advantage of seasonal products, they still manage to maintain a very specialized marketing strategy for each area they occupy instead of blanket marketing the entire country. With products and services for a large range of buyers, HD Canada seems to only miss one key group. My recommendation for The Home Depot Canada would be to try and bring new products for home improvement on the very high luxury end of the scale. By looking through HD Canada 's website, it becomes apparent that there are little to no products on the upper classed, high earning shoppers. The introduction of specialized, upper-class designers could help to fill this void. Also, through research, it becomes clear that there is little advertising done about their online services. Home Depot should try and send a clearer message about what can be done online and how to go about it. In most cases, it is much easier to choose and order supplies and tools from the website than it would be to go into the store where there are fewer products and less information
The Home Depot of Canada is one of Canada’s largest home improvement retailers with over 27,000 employees (MarketLine Company Profile, 2016) and recorded revenues of over 66 billion dollars in 2010 (MarketLine Industry, 2013). The Home Depot is a titan of industry in the retail market and continues to grow today. HD Canada offers many lines of products and services to meet the budget and the needs of customers all across Canada. HD Canada is also a large presence in the communities that the stores are located. With The Home Depot Canada Foundation’s initiatives, The Home Depot is working to fight youth homelessness with their Orange Door Project. Over 3 years, The Home Depot has pledged to donate $10 million (Canada Helps, 2016) …show more content…
With that being said, HD Canada still caters to contractors and other professionals through brand segmentation. An example of this segmentation would be their brands of power tools. HD Canada stocks 5 main brands of power tools; Ryobi, Ridgid, Makita, Dewalt, and Milwaukee. Of these 5 brands, Milwaukee, Ridgid, and Ryobi are owned and produced by TTI. These 3 brands of tools fit a wide range of consumer’s needs. With small differences in the types and function of tools, customers are able to choose the quality and price of the same tool based on brand. Ryobi, being the cheapest brand, is recommended for small jobs around the house and once-in-a-while large projects that will not put excess stress on the tool such as building a small deck. Ridgid is mid-priced with a large jump in quality over Ryobi. With a price tag of $149 for the basic combo kit of 2 drills, Ryobi is an excellent choice for the price-conscious customer. Ridgid offers durable tools that are better suited towards professionals who will be using the tools more often but will not be using the tools in harsh circumstances. Ridgid is usually recommended to be used by electricians and other workers who don’t require small power tools day to day but rely on them. With a starting price of $200 for the basic kit, Ridgid is geared towards the customer that seeks out high quality for a low price. Milwaukee is the top of the …show more content…
While taking heavy advantage of seasonal products, they still manage to maintain a very specialized marketing strategy for each area they occupy instead of blanket marketing the entire country. With products and services for a large range of buyers, HD Canada seems to only miss one key group. My recommendation for The Home Depot Canada would be to try and bring new products for home improvement on the very high luxury end of the scale. By looking through HD Canada 's website, it becomes apparent that there are little to no products on the upper classed, high earning shoppers. The introduction of specialized, upper-class designers could help to fill this void. Also, through research, it becomes clear that there is little advertising done about their online services. Home Depot should try and send a clearer message about what can be done online and how to go about it. In most cases, it is much easier to choose and order supplies and tools from the website than it would be to go into the store where there are fewer products and less information