Why the Home Depot Stores Are the Biggest

If I remember correctly, Big Red or affectionately known as Home Depot  has been in the construction remodeling business for between 25 and 30 years along with being the biggest home improvements and improvement remodeling retailer for a while longer.  At that time we were asking how do I get to home depot?

At first they would sell cabinets to a customer and then hire the completion, the small contractor to do the installation labor.  Were they, Home Depot, licensed to hang cabinets or do plumbing or electrical?  No, they got around this requirement by making it the subcontractors responsibility to acquire all the permits, insurance and licenses if any were needed.

I remember doing a couple of the subcontractor jobs for them.   At that time they only charged for hanging the cabinets and the cabinet trim in the kitchen.  There was plenty of profitable work left over for the talented contractor, such as drywall repair, electrical wiring, sink hook up, tile work and the list could last a while and if the customer was happy with the work, one could expect to return for the bathroom remodels that would be coming next.

This gets me into what Home Depot is currently starting to do.  I just finished reading an article about their having bought a website called Redbeacon.com.  I checked out the site, currently it is a rather basic site, they get you plumbers, painters and more, quality quotes, a home service warrantee, but knowing the powers that be with the Home Depot that is probably on purpose, an effort not to offend their potential customers.  I was reading in the press release that 3% of their customers, which are the professionals, are responsible for 35% of their business.  Wow!  Check out the site http://Redbeacon.com.

I am a little excited about what they are about to accomplish with this Redbeacon.com idea.  There is no way that it will not work.  I feel this could be instrumental in helping to prevent some of the less than up and up so called fly-by-nighters that are just having the business fall into their laps.

As a result of being associated with the construction industry for the last 45 years.  It is not possible for one not to hear about a customer from time to time that has been ripped off by a so called fly-by-night contractor.  They, the contractor, would take a sizeable down payment, remove the roof down to the ceiling joist, in the middle of winter while it was raining or snowing, then claim bankruptcy or just plain disappear, seemingly just to rip them off.  At the time while working in the Chicago land area these rumors were like an epidemic, it seemed to happen one after another.  Contraire, contraire, this goes to show, don’t give anybody too much money up front and be careful to look ahead for what can happen.  This is known as CYA cover your assets.

 To read this very interesting article ‘Click Here”

Until next time, Happy Home Improving!

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