Dive Brief:
- The Home Depot’s strategy to separate merchandising and in-store customer service teams is improving the customer experience in the 1,000 stores in which it has been implemented, Ann-Marie Campbell, senior executive vice president of U.S. stores and operations, said on a Q1 2026 earnings call Tuesday.
- The changes, which started rolling out in late 2025, are already driving improved likelihood to shop again and greater customer engagement, according to Campbell. Home Depot expects to complete the transition to distinct merchandising and customer service teams at all stores by the end of the fiscal year.
- “A key part of what the Home Deep has always done is driving service and driving sales, and so creating these distinct teams gives us the ability for an aproned associate to really, really focus on driving engagement and ensuring that we're serving the customer to the fullest extent,” Campbell said during the call.
Dive Insight:
Home Depot sees specialized, well-trained associates as a way to better position the brand against its competitors in a time of economic uncertainty.
The goal for creating distinct customer service associate roles is to build bigger baskets with customers, Campbell said. Dedicated sales workers have more time to engage with shoppers, as well as a better understanding of what Home Depot can offer its customers.
“We are on an absolutely fabulous path to really, really continue to re-energize our core and the culture of our business, and we will never lose focus on that,” Campbell said.
Home Depot executives see a bright future, but reported middling earnings results in the face of customer uncertainty and housing affordability concerns. Comparable sales rose 0.6% year over year in the first quarter of 2026, according to an earnings release. Total sales grew 4.8% year over year to $41.8 billion.
In addition to separating merchandising and service roles, the retailer earlier this year announced an operations experience manager role, charged with ensuring uniform operational practices across stores and enhancing Home Depot’s interconnected shopping and fulfillment experiences, which remain a priority for the retailer.
“We believe that we will continue to grow market share as a result of our competitive advantages and ongoing investments by delivering the best customer experience in home improvement,” EVP and CFO Richard McPhail said.
