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lowe's 2020 sales

Lowe’s Focuses on Capturing Market Share

After announcing $22.3 billion in third-quarter sales, Lowe’s will now focus on capturing market share from home improvement rivals, reports CNBC.

The company reiterated its financial outlook, saying it expects sales to grow by about 22 percent this year. Same-store sales are expected to rise by about 23 percent.

“At Lowe’s we will be committed to offering everything a homeowner needs to provide a “total home solution” across every area in the home.  This includes products and services for everything needed to repair and improve the home, for DIY and pro customers alike, across all decor categories including paint, as well as simple and complex installations,” says Marvin Ellison, Lowe’s president and CEO.

“Our Total Home strategy will enhance customer engagement and grow market share by intensifying our focus on the Pro customer, expanding our online business, modernizing installation services, improving localization efforts and elevating our product assortment,” Ellison says.

Since Ellison took the helm of the company more than two years ago, Lowe’s has launched a loyalty program focused on increasing sales to pros. It has also streamlined its website and added new digital fulfillment options, including curbside pickup and in-store lockers.

Lowe’s is expected to expand its online-only assortment from kitchen appliances to home furnishings, CNBC reports. The company will also test new ways to lower the cost of online order fulfillment by freeing up space in the back of its stores.

Lowe’s CFO Dave Denton says the company’s efforts will lift its sales per square foot to $423 by the end of the fiscal year.

“2020 was a pivotal year for the company,” Denton says. “We are taking market share earlier than we expected and we are making the right investments for future growth.”

In November, Home Depot announced plans to acquire HD Supply and more fully penetrate the maintenance, repair and operations market.

About Todd Taber

Todd Taber
Todd is trends editor for Hardware Retailing magazine. He graduated from Indiana University where he majored in journalism and French. Throughout his career, he has aimed to highlight small businesses and their community value. He joined NRHA in 2017.

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