Dive Brief:
- Lowe’s is reaping the rewards of its efforts to improve the experience for professional contractors. Comparable sales to pro customers were up in the high-single digits, executives said on a Q3 2024 earnings call Tuesday.
- CEO and President Marvin Ellison attributed the gains to investments made in the small- and medium-sized contractor shopping experience. “Our efforts to transform the pro shopping experience continue to pay dividends,” Ellison said on the call.
- Lowe’s remains a “DIY dominant business” despite weaker sales to that demographic, according to Ellison. The retailer is positioning its loyalty program to retain DIY shoppers during the current downswing and attract their business as the personal home improvement market recovers.
Dive Insight:
Lowe’s executives credited CX-focused tech enhancements and the efforts of its store staff for recent gains in customer satisfaction.
Customers are already taking advantage of the in-store mode Lowe’s added to its app earlier this month, according to Ellison. The feature helps customers navigate the store while providing easy access to product reviews, details and in-stock information.
Lowe’s recently launched Shop the Job for its pro loyalty members, according to Joe McFarland, EVP of stores at Lowe’s. The tool helps contractors find everything they need for a specific job in a single trip, with an initial focus on kitchen, bath and flooring projects.
Paint is the most common home improvement project, and Lowe’s expanded its free same-day paint delivery program. The retailer is also taking steps to ensure it has the right items in stock for contractors.
“We have the inventory depth and the brands that are the most important to these customers, and we're making it easy for them to shop in our stores and online, and through our pro loyalty program, we're giving them reasons to keep coming back,” Ellison said.
Associates are playing a role in customer experience improvements as well. More than 9 in 10 associates responded to Lowe’s annual customer engagement survey when it was conducted several weeks ago, according to McFarland.
“We're pleased that our preliminary scores across the key measures of engagement and leadership effectiveness continued to improve, as past surveys show a correlation between more engaged associates and stronger business results driven by better customer service,” McFarland said.
