Carol Roth, a business strategist and CNBC contributor, said business strategies that focus on experience like TreeHouse are crucial to success nowadays.
“Customers need to have a reason to go to a store. What I like about TreeHouse is that not only have they embraced that concept, but they are also focused around mission and community,” Roth said. “Building a community and tying that in with experiences, like the classes and demonstrations that they offer, is a solid strategy to create customer loyalty.”
The industry is being shaken by the relentless transition to online sales. However, TreeHouse has raised $25 million in funding to date, cites explosive growth of 300 percent in the past 4 years, and is on track to expand its footprint.
With the home-building sector engaged in what the Home Improvement Research Institute recently noted was a broad inventory drawdown, Ballard told CNBC that the industry is in the midst of big changes that TreeHouse is moving to build on.
“The days of retail as a warehouse full of products are quickly coming to an end,” the CEO said. “Retail has to become a place for products plus experience, education, consultation, installation. We re-imagined our store not just as a warehouse full of products, but as a ground zero for the journey of home improvement.”
Source : CNBC