Home Depot looks to carpet installation to drive sales growth
Presiding over his first annual meeting of the company, Nardelli noted that Home Depot more than doubled its sales in the past four years, generating $46 billion for 12 months ended Jan. 28.
"I'm projecting that we will (double sales) again," he said, adding that Home Depot's market share is only 9% to 10%. Home Depot, he added, will keep opening new stores and improve same-store sales, or those at outlets open at least a year.
Nardelli elaborated, saying the company will focus on maximizing sales at existing stores by offering more home services, such as carpet installation. "Last year, we were the largest retail seller of carpeting," he said. "There's no reason for us not to go from being the largest retailer to the largest installer."
Nardelli said Home Depot also will expand its Pro initiative, which caters to professional contractors, by adding 335 Pro segments to existing stores this year, bringing its total to 500.
"The pro customer spends about 3-to-1 dollars compared to the do-it-yourselfer," he said.