Lowes Vs. Home Depot: Location, Location, Location – Essay Example
Lowe’s and Home Depot Both Lowe’s and Home Depot are operating in the same broad price range and in the same product range as well. Their s overlap, with many customers using both stores, and in times of recession there are fewer customers overall, and these customers are even more price conscious than usual. This makes for a double reason for competition between the stores a) for customers and b) for sales. They want more customers to visit their stores, and they want to raise the amount spent per visit.
2. Both Lowe’s and Home Depot have been conducting customer surveys, and both have identified their own particular weaknesses, and are attempting to address those. In the case of Lowe’s there is a drive to increase store efficiency while maintaining the lead they have in terms of wider product range, better customer service, and a bigger space available in their stores. They have fewer stores than Home Depot, but by focusing on the customer experience in those stores, they home to maximize the amount of sales made per visit. Home Depot, on the other hand, has a larger number of stores, with smaller space in each store. They are working on increasing their product range, and improving the shopping environment. Home Depot is presenting itself as the nearest location for everyday workers in construction and home improvement industries as well as a handy provider for homeowners. Lowe’s appeals more to women, and provides greater choice, especially for more finished products, though they may not be as local as Home Depot.
3. Home Depot has the better competitive image because it has a bigger turnover. Although prices of products are similar, the larger number of stores that Home Depot possesses means that the journey times and costs of visiting them are going to be generally lower for most customers. They have a weaker customer service reputation, but this is not such an issue for experienced trade customers who usually know pretty much what they want anyway.