How does Home Depot Make Money?

Do you want to shop for your home improvement tools and products at Home Depot? Are you interested in knowing how Home Depot makes its money? Learn how Home Depot makes its money by reading this post.

How Does Home Depot Make Money?

In the United States, Canada, and Mexico, Home Depot has dominated 99% of the home improvement stores. It is one of the largest home improvement stores and has over 2,200 stores with over 10,000 employees nationwide.

In addition, Home Depot was founded in 1978, and since then they have grown to become one of the top Home improvement stores.

Interestingly, Home Depot is a company that has a wide range of products and services for all homeowners and professionals. They offer products like appliances, building materials, hardware, tools, installation services, and many others.

In addition, Home Depot’s major sources of income include selling its products in stores and online. Those that are employed by Home Depot are professional marketers, sales representatives, and many other qualified staff.

How does Home Depot Make Money?

How Does Home Depot Make Money?

One of the major ways that Home Depot makes money is through the sale of different products in its stores and online.

Some of the products they make money from are their appliances, building materials, flooring, lighting, plumbing, and tools.

Also, Home Depot generates money from its massive online presence, statistics shows a majority of the money made by Home Depot is from its website, through online purchase.

Also, another way Home Depot makes its money is through its Pro segment. Interestingly, the Pro segment is a business-to-business division of Home Depot that specializes in serving professional contractors and builders.

Pro segment including bulk purchasing options, job site delivery, and special financing offers.

Also, Home Depot makes revenue through its credit card program. Home Depot offers two types of credit cards which are a ‘store credit card’, and a ‘co-branded credit card‘ with Mastercard. These Home Depot cards offer rewards and financing options.

Also, Home Depot earns revenue through fees charged to cardholders. In addition, they earn revenue through interest on balances carried over from month to month. 

Another way Home Depot generates revenue is through its commercial business segment.

Interestingly, Home Depot has a commercial business segment that serves large organizations such as government agencies, property management companies, and other businesses.

What they do is that they offer customized solutions to meet the unique needs of its commercial customers, including bulk purchasing options, inventory management, and job site delivery. This alone brings tons of revenue back into the company.

Similar Posts