With Lowe’s Q422 sales up 5% and Home Depot’s a whopping 11%, both major retailers are poised for continuing strong momentum this year. And that’s great news for marketers selling building products and tools.
A few 2023 trends we see for marketers in this space:
Climate conscious: Sustainability themes and energy-efficient products will continue to gain mainstream acceptance. Solar in particular is hitting its stride - forecasted to triple in five years.
Retail ad networks: Both Lowes (One Roof) and Home Depot (Retail Media+) are further monetizing their customer base through direct ad sales to its suppliers. Expect this only to continue, until it’s an essential part of the media mix for vendors.
Pro & Home Targets: beating its overall growth, Lowe’s said sales among home professionals grew 23% in the fourth quarter. Is now the time for a product assortment and/or audience evaluation to ensure you’re maximizing both potential customer groups?
AI-driven tools: Machine learning engines driving interactive content (think quizzes), chatbots and customer assistance will continue to get smarter and more engaging for customers, potentially saving companies
UCG & Influencers: No longer novel but still relevant, curation of reviews and micro-communities are the latest focus, with networks emerging to manage relationships.
Marketing in a boom year can be just as challenging as during weak market, with increased competition and a fragmented media market. But a strong brand, value proposition and breakthrough creative will never go out of style.