VS
Kerry Whalen
Senior Management Seminar
November 19, 2014
In the United States of America the US home improvement retail industry is approximately
$129.2B by revenues, with Home Depot leading the market with a 58.9% share; together Home
Depot and Lowe’s account for 97% of the market share by revenues. Brand recognition brings in
potential customers and leads to brand loyalty. There is clearly brand recognition and brand
loyalty with Home Depot compared to Lowes. Home Depot has strategically placed more stores
nationwide to secure a larger percentage of them market share. Home Depot has 2,263 stores in
North America versus roughly 1,832 for Lowe’s. The larger volume of stores makes Home Depot
closer in proximity to many consumers creating brand loyalty. Home Depot is able to negotiate
less cost per unit because they are purchasing a larger volume of product, which keeps more
money invested back in the business and allows for higher profit margins.
Bernie Marcus and Author Blank founded Home Depot in Atlanta, Georgia in 1978 with the help
