The Home Depot is opening for distribution centers to expand its pro ecosystem to Detroit, southern Los Angeles, San Antonio, and Toronto. The home-improvement retailer said the facilities are a “key component” to The Home Depot’s strategy to better serve pro customers.
The new centers will stock large, bulky merchandise like lumber, insulation, roofing shingles, and more. Pros can order job lot quantities of the products they need to complete their projects and have them delivered directly to their job sites. The Home Depot said the facilities are expected to open in the first half of the year.
The retailer said it is working to build depth of inventory in each of its top pro markets, with job lot quantities “that are meaningfully larger” than what it has historically offered through its stores. The Home Depot said with jobsite deliveries that are fulfilled directly from a distribution center, there will likely be less congestion at local Home Depot stores and more inventory on hand to satisfy the needs of in-store pro customers.
“Pros need a partner with the right product, depth of product, fulfillment capabilities, sales support, and management tools to help them get their jobs done,” Chip Devine, senior vice president of outside sales for The Home Depot, said. “Over the last several years, we have been investing to deliver a faster, more convenient, differentiated experience for our pros. Our distribution network is one piece of the comprehensive pro ecosystem we’re building to better meet the needs of this important customer.”
The Home Depot has opened similar pru-focused hubs across the United States and expects to have 17 of its top pro markets equipped by the end of 2024. The retailer is building out its comprehensive pro offerings and capabilities through other initiatives and efforts, including:
- Localized product assortment specially tailored for each priority market;
- A dedicated sales force in each of its priority markets;
- Digital tools and personalized experiences, including new order management capabilities to better manage complex pro orders;
- Trade credit, which is being piloted with a select number of customers; and
- Tiered pro pricing
The Home Depot also recently acquired Construction Resources, a distributor of design-oriented surfaces, appliances, and architectural specialty products for pro contractors focused on renovation, remodeling, and residential home building.