Lowe’s began expanding internationally in 2007 and they have only continued to expand their reach. Lowe’s entered Canda in December of 2007, Mexico is February of 2010, and Australia in August of 2011.
Lowe’s understands the importance of strategic alliances, and has entered in to a number of them.
http://www.roofingcontractor.com/articles/lowe-s-certainteed-enter-strategic-alliance
Lowe’s Board of Directors is very diverse.
http://phx.corporate-ir.net/phoenix.zhtml?c=95223&p=irol-govboard
Lowe’s understands the importance of core competancies and even has an article on it’s “Commerical Services” page discussing how vital it is.
http://www.lowesforpros.com/a-core-focus-sticking-to-your-core-competency
The following article tells a lot about Lowe’s and their understanding of how important flexability truely is.
The article details the fact that Lowe’s now follows a “flexible fulfillment plan”. With this plan, ordered items ship “from the warehouse, from the closest Lowe’s store with the available inventory or directly from a supplier’s regional distribution center”.
If we are talking about the things that Lowes sells (aside from their exclusive brands) there is little product differentiation. I can buy a toilet seat at Lowes or Home Depot or Wal-Mart, and no matter which store I choose, the toilet seat I end up with will be pretty much the same. But, if we are talking about Lowes as a whole or as a concept, then the product differentiation story is different. Lowes itself stands out in the world of “hardware stores” as they have worked hard to differentiate themselves with low prices, excellent customer service, workshops for kids, and community enhancement programs.
In my eyes, Lowes is the best bang for your buck. They have a price match guarantee, and I have found through personal experiences, that their prices tend to be lower than their competitors. I would imagine that this has a lot to do with the way Lowes sources their products. Lowes large variety offering is due to the fact that they have a network of more than 7,000 vendors spread all over the world. Not only does this keep the newest items on the shelves, it enable Lowes to purchase inventory directly from the manufacturer (foreign and domestic).
Patents are one of those things that have always sort of scared me. I realize that they are intended to protect inventors, companies, et al. from having their ideas stolen, but I have trouble trusting that the owners or patents are the people who actually came up with the item.
On a slightly different note, Lowe’s holds MANY patents, and even exclusively sells many brands (brands which Lowe’s may or may not own). One that immediately comes to mind is Kobalt. My husband owns more Kobalt tools (Blue and gray in color….I like this as I am a die-hard tiger fan) than any other brand. Why? Because it is my go to gift for him. I trust Lowe’s as a company, and so I trust their brand. Even if I don’t know what a tool does, I’m pretty sure my husband will use it at some point, and will appreciate the fact that if it breaks, or he already has 3, he can take it back to Lowe’s without any hassell (since it’s their brand, returns are easy, they know it was purchased from Lowes).
If you take a look at the link above, you will see that Lowe’s is not a afraid of process innovation, in fact, it’s pretty much their motto. Lowe’s has just recently launched an Online Rebate Center aimed to help consumers check the status of, and even submit rebates on purchases. Not only that, but the new rebate center notifies associates when I customer is purchasing something that has an active rebate, so that they can relay the message to the consumer. Lowe’s is all about improving customer experiences, and I for one, and grateful.
I think you can probably tell from my last post that I am pretty much pro-Lowe’s. This has not always been the case. I used to be very “shop local” (ok, I still try to shop local when I can, but sometime I have to shop in the places that are kinder on my wallet) but Lowe’s has won me over from the smaller, independent hardware stores that Memphis has to offer (not that there are many).
Lowe’s has competitive prices (even offer a low price guarantee), helpful associates, locations that are centralized around neighborhoods, more products than I ever imagined existed in the “home improvement world”, and perhaps what is most important to me, they have the things I need, when I need them and in logical places. Plungers near toilets you say? What a novel idea!
Christmas tree stand? Lowe’s has got it covered from October to early January. Potting Soil? Yep, more kinds than I can count, any time of the year. Any shrub, flower or tree I might decide is a must have for my yard? They’ve got it, they will tell me how to plant it, sell me everything I need to get the job done, and even offer to come plant it for me (at an extra cost of course).
Could I go to Wal~Mart and get the things I just described above? Yep, sure could. But then I would have to walk through the grocery department, past the teeny boppers shopping for makeup, around the mom with 3 screaming snot-nosed children to the very back of the store and search for someone who may or may not be able to help me find what I am looking for. No. Thank. You.
What about Home Depot? I guess I could, but Lowe’s, to me any way, is a place for homeowners such as myself, whereas in my mind, Home Depot is a place for builders and contractors and people who love the color orange, none of which is me.
So does Lowe’s have rivals? Of course they do, this day in age, it’s hard to think of any industry or company that doesn’t. But Lowe’s concentrates on taking care of the home owner, and they do it exceptionally well.
aileenoliver 