Case Study - Home Depot

Service Area:

New Product Development / Sourcing

Challenge:

Increase business footprint with Home Depot

Key Attributes:

Listening to buyer, communication with factory, merchandising skills

Result:

$800K in Q2 sales on one SKU – opened up additional opportunities

My first step was to attend a line review with our sales associate for the Home Depot account. The goal was to listen, representing our factory base, to gain insight into the buyer’s needs and identify potential opportunities to increase our sales and presence in their stores.

During the meeting, the buyer, familiar with our line, suggested that we present items to be merchandised under their private label program, "HDX," and mentioned they would be looking at quarterly programs.

Hearing this and knowing our factory capabilities, I proposed several items for display in aisle locations and "fenceline" areas near the store entrances. The buyer agreed and suggested we test our microfiber towels. I immediately set to work.

Added Value:

I adjusted the spec size of our standard microfiber towels—originally marketed for auto cleaning—from 14"x14" to 18"x18", as Home Depot’s customers would prefer larger sizes for home cleaning. Additionally, I changed the pack to a value 20-pack and increased the GSM towel weight for better absorbency. I also made the towels in Home Depot’s signature orange color.

I communicated all these requirements to one of my top textile factories and provided detailed instructions on Home Depot's specs. Since we were importing a private label program, the factory had to pass Home Depot’s inspection process through their audit company, "Intertek," which my factory had already passed.

The end result was a product that the customer loved, developed for easy assembly by store personnel in just 60 seconds. It shipped fully self-contained at half its total size, reducing cubic feet and saving on freight costs.

This concept expanded to include many other items using the same merchandising display, which was then used to market diverse product lines to other retailers and companies.