New Strategies Retailers Home Depot , Amazon Compete

For decades , Home Depot excels at traditional retail markets . But the company said it will start selling a number of products such as saws , particle board , and washing machines to respond to an online store that markets shift focus to online sales .

Home Depot has made ​​a new sales location size 10 times larger than the average store their possessions . The new facility is the online distribution center that used to serve a purchase over the internet .

This year , Home Depot plans to be open two distribution centers and a new store . This step is a striking signal that they will begin to focus on online sales rather than through traditional retail stores .

Like many other retailers , Home Depot spent the last thirty to expand their retail stores . However , with the development of an online transaction is increasing, making Home Depot ‘s strategy must change .

With this new strategy , Home Depot believes traditional sales will still increase , but at a limited level .

The development of do-it -yourself stores means that the home improvement retailer duking it out , on average , only 30,000 households per store during the financial crisis wrapped , down from 77,000 a decade earlier .

In 2008 , Home Depot to close 15 stores and cancel the plan to open 50 stores over the next four years . Even so , the shift in strategy is not without problems , because Home Depot still has to compete with e-commerce company that already has a strong market share such as Amazon .

Previous online sales accounted for only 3.5 percent of the total income of the Home Depot at USD 78.8 billion . But the numbers have been considerably increased.

(see also: new york auto show tickets)

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