We believe enterprise sales and marketing executives should be Relevant and Resonate when selling complex enterprise solutions and implementing an Account-Based Marketing ABM program for Home Depot. Here are some ideas from the LeadBridge Account-Based Intelligence research team that might help.
TOP 4 ABM TAKEAWAYS – HOME DEPOT:
- Successful vendors will focus on three main areas of opportunity: helping Home Depot improve Customer Experience (providing a seamless and friction-less experience no matter where customers shop), Product Authority (help them leverage data to better understand customers’ preferences), and Productivity/Efficiency (helping them to lower costs, while improving processes).
- It’s also critical to emphasize how you can help Home Depot capitalize on the digital disruption that continues in retail, enabling a secure multichannel shopping experience – mobile, in-store, at home or even on the job site.
- Align your message to support the successful implementation of multi-year internal initiatives like “ProjectSync” (major supply chain project), “COM” (Home Depot’s order management platform) and FIRST phones (inventory and analytics for associates and customers).
- CEO Craig Menear has some ambitious revenue goals for FY2018; in fact, his target is $101 Billion in sales, with a 14.5 percent operating margin and a 35 percent return on invested capital. How can your solutions help Home Depot meet and exceed these targets?
TOP BUSINESS IMPERATIVES: If you are trying to get the attention of C-level or VP-level influencers at Home Depot, you might consider aligning your solutions with one of the following four major internal imperatives:
- “Project Sync” – Home Depot’s Supply Chain Synchronization multi-year program will reduce average lead time from supplier to shelf, a distribution strategy to provide the optimal flow path for a given product. Rapid Deployment Centers (“RDCs”) allow for aggregation of product needs for multiple stores to a single purchase order, and then rapid allocation and deployment of inventory to individual stores. Benefits include simplified ordering processes, improved transportation and inventory management.
- Enabling In-store Mobile – In response to a growing number of customers who access product information via smartphones while inside Home Depot’s stores, the company is equipping associates with 40,000+ web-enabled FIRST Phones of their own so they are better able to respond to customer needs. It serves as a phone, walkie-talkie, inventory management, product look-up, and business analytics and even offers line-busting features to speed up checkout.
- “COM” Home Depot’s New Customer Order Management Platform – Designed to provide greater visibility into and improved execution of special orders for a more seamless and friction-less experience for customers. To be rolled out to all U.S. stores by the end of fiscal 2016, store associates, suppliers and customers will be able to access relevant special order information online, regardless of where the order was placed. There will also be three online contact centers to service online customers’ needs.
- Acquisition of Interline Brands – Help Home Depot recognize the benefits of this acquisition, a distributor of maintenance, repair and operations (“MRO”) products. This opens up a new $50 billion market opportunity for Home Depot in the multi-family, hospitality and institutional spaces.
WHAT THE CEO at HOME DEPOT CARES ABOUT: The three major components to their growth strategy in 2016 are:
- Customer Experience. Provide a seamless and friction-less experience no matter where customers shop. Digitally, in stores, at home or on the job site. Over 40 percent of all online orders are now picked up inside of a Home Depot store.
- Product Authority. In today’s digital world, the store size advantage of Home Depot has gone away. By leveraging data, Home Depot can better understand customers’ preferences so that they can put the right product on the right shelf, in the right store and online.
- Productivity and Efficiency Driven by Effective Capital Allocation. Continued investment in stores and interconnected assets to drive growth as well as productivity and efficiency; remain relevant to customers.
WHAT THE CIO at HOME DEPOT CARES ABOUT:
- Building Customer Experience from the Outside In. Chief Information Officer Matt Carey wants to leverage physical and digital assets across Home Depot’s 2,200-plus stores and distribution centers to create an interconnected customer experience across all Home Depot’s channels, whether it’s in stores, in a person’s home, online or on a customer’s mobile device.
- One of Carey’s initiatives has been to switch from a project-centric to a product-centric approach. Instead of four different checkout projects, (in-store, online, mobile and in-home), they focus on the customer experience of “checkout” and standardize it across all situations.
TOP RISKS / CHALLENGES for HOME DEPOT:
- Costly data breach – In Q3 2014, Home Depot’s payment data systems were breached, involving theft of card information and customer email addresses. Since the breach, they have recorded $161 million of pretax expenses while still determining the full impact of government investigations and civil litigation.
- Protect against disruptions of web and customer-facing technology systems – Interconnected retail is a major part of Home Depot’s growth strategy. Enabling a multichannel experience that empowers customers to shop and interact from computers, tablets, smartphones and other mobile devices. The web acts as both a sales channel for their products while also providing information to drive both in-store and online sales.
HOME DEPOT at a GLANCE:
- Home Depot is a large home improvement retailer with over 2,200 retail stores throughout the U.S., Canada and Mexico. Over 370,000 employees serve a mix of customers ranging from professional contractors to do-it-yourselfers. They generated $88.5 Billion in revenue during FY2015.
TOP RETAIL INDUSTRY TRENDS:
- Omnichannel Paying Off for Retailers – Retailers are focusing on developing omnichannel strategies to fuel both online and in-store growth. Today’s consumers expect a seamless shopping experience across all channels – online, mobile, and in-store – and the ability to move effortlessly between them along the path to a single purchase. Successful retailers will continue to invest in digital technologies with the clear goal of enhancing the in-store experience.
- Big Data Fuels Personalized Shopper Experiences – Retailers are increasingly harnessing customer data to provide more customized shopping experiences, both online and in stores. Information tracked across sales channels, supply chain, and customer preferences and demographics is used for everything from targeted real-time marketing, tailored promotions, effective pricing and product design. Retailers are investing in big data, predictive analytics, data storage, and data security technologies to help them track, store, and protect this wealth of data more effectively.
LeadBridge ABMView can help if you are planning to launch an Account-Based Marketing program in 2016, or have select enterprise accounts where you are lacking the right data or insight to accelerate your complex sales cycle. Our mission is to help you be better prepared to have a meaningful conversation with your prospect. We are the fuel behind Account-Based Marketing.
Contact LeadBridge today to learn more!