To enhance Home Depot’s offerings to professional merchants, the company acquired SRS Distribution Inc.
According to a company release, the world’s largest home improvement retailer will enter into an agreement with the “leading residential specialty distribution company across multiple verticals serving the professional roofer, landscaper and pool contractor.”
Home Depot Professional gets bigger
Home Depot moved forward with the agreement to enhance the existing list of supplies and materials available to professionals and specialists across the United States. The company is determined to expand into this corner of the market and the acquisition has been hailed as solid by CEO and President Ted Decker.
He stated that “SRS’s ability to build leadership positions in each of its business verticals, while generating significant revenue growth, is a testament to its strong vision, leadership, culture and execution. SRS has built a strong and successful platform that will accelerate our growth with the residential professional client, while presenting future opportunities with specialty trade professionals.
SRS has a network of more than 760 stores employing 2,500 people in 47 states. The company also operates a fleet of 4,000 trucks and logistics elements that will significantly extend Home Depot’s business reach across America.
Decker continues to praise the deal on LinkedIn, saying, “We believe the growth of our Pro business will fuel our next chapter of growth, and SRS is exceptional at serving specialty trade professionals with deep knowledge of their specific verticals and of the wide range of products. This acquisition will help us better sell the entire project and seize a new purchasing opportunity that we have traditionally not served. I look forward to welcoming the entire SRS team to The Home Depot and the opportunities ahead.”
Dan Tinker, CEO of SRS, says the company “looks forward to combining our differentiated resources and capabilities, including our extensive branch network, an experienced sales team, a robust trade credit offering and a order management system, geared to serve complex project purchasing occasions, with the competitive advantages of The Home Depot. We believe this will allow us to better serve professionals and continue to grow in our large and highly fragmented market.”
This news coincides with the announcement that Home Depot will unveil four new distribution centers by the end of 2024 to fill orders from professional contractors.
Home Depot said in the release that the company will offer professionals:
- Localized product assortment specifically tailored to each priority market:
- A dedicated sales force in each of its priority markets;
- Digital tools and personalized experiences, including new order management capabilities to better manage complex professional orders;
- Trade credit, currently in pilot phase with a limited number of professional clients; AND
- Professional pricing at multiple levels
Image: Home Depot.
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