Home Depot

Just when you thought it was safe to start accepting credit cards again…
Home Depot confirmed yesterday that it’s investigating some “unusual activity” with regards to its customer data.

While retailers are diving headfirst into mobile payments, consumers appear to be a bit more hesitant. Usage of digital wallets remains at less than one-third, even though a surprisingly high number of U.S. consumers — 80 percent — recognize the technology as an alternative to cash-based transactions, according to a survey of more than 2,000 smartphone, tablet and desktop users from local search and digital marketing research firm Thrive Analytics.

Home Depot U.S. Retail President Craig Menear will succeed Frank Blake as chief executive officer in about two months, giving the chain a new leader as it navigates a slowing housing rebound. The move will be effective Nov. 1, the Atlanta-based company said yesterday. Blake, 65, has been CEO since 2007 and will remain chairman. Menear, who's been with the chain since 1997, will join him on the board immediately. Home Depot, the largest home-improvement chain, has boosted profit for five straight years as the recovering U.S. housing market encouraged homeowners to spend more on renovations.

Target announced today that its second quarter earnings will include a $148 million charge related to losses stemming from a data breach that occurred during last year's holiday shopping season. It also warned that its profit for that period would be softer than expected. During the fourth quarter of 2013, Target experienced a data breach in which an intruder gained unauthorized access to its network and stole payment card and other guest information. More than 110 million consumers were affected.

On July 14, Home Depot and MakerBot, global leader in 3D printing industry, announced a partnership, introducing innovative, high-quality 3D printers to the DYI retail environment.  Home Depot is supplying 12 stores in California, Illinois, and New York with

Nearly 2,000 Home Depot stores in the U.S. began offering a wide range of connected home devices that run on the Wink platform on July 7. The Wink platform unites close to 60 devices, creating the broadest set of connected home products in one ecosystem, with 15 leading manufacturers of home products ranging from light bulbs and locks to window shades, irrigation systems and water heaters, according to Wink and Home Depot.

The connected home space is getting crowded with Staples Connect, the newest platform looking to simplify peoples’ lives by putting them in constant contact with their home or business. Staples plans to roll out its Staples Connect home automation platform to 500 stores and will offer lower prices on the Connect Hub and feature new wearable products and support from some big technology names. Staples Connect was introduced in the fall of 2013 in select stores and online as a home and office automation platform, competing with Google's Nest, Lowe's Iris system and Home Depot's new Wink platform.

As online evolves and e-commerce grows, Home Depot's vision of interconnected retail continues to morph. The retailer is leveraging its brick-and-mortar presence, blended with its virtual assets to better optimize the new technology and new shopping behaviors. "That really is from our company's perspective the center point of our strategy," said Kevin Hofmann, senior vice president and president of online for Home Depot, at the Goldman Sachs Dotcommerce Conference. "Interconnected retail isn't a tangential distraction; we're convinced that this is the future." 

Earlier this month, a dozen or so gun rights activists walked into San Antonio-area outlets of Sonic and Chili's with long rifles strapped across their backs. In both instances, managers of the burger joint and Tex-Mex chain acted quickly, requesting that these members of Second Amendment advocacy group Open Carry Texas leave their premises. After Mother Jones found and posted videos of these two incidents, Sonic and Chili's reacted, although both stopped short of joining Starbucks, Chipotle and Jack In The Box in asking customers to leave guns at home.

Leveraging mobility and new digital technologies is a smart move for the retail industry, especially as it seeks to engage younger consumers accustomed to using mobile devices to communicate, browse and play. But as with any new endeavor, retailers should proceed with caution and pay heed to the following: