Home Depot's online sales soar 40%

Home Depot (NYSE: HD) continued to grow online sales, with a 39 percent increase in the first quarter of 2014 as total sales grew nearly 3 percent to $16.69 billion.

Web sales now account for 4.2 percent of the home improvement retailer's total sales, and HomeDepot.com averages three million visits per day with consistently increasing conversion rates, Chairman and CEO Frank Blake said on the retailer's recent earnings call, Internet Retailer reported.

Home Depot's online sales surge can be attributed in part to its acquisition of Blinds.com last year. In fact, the retailer realized online sales growth of 50 percent in the fourth quarter of 2013.

Nearly $100 million of the $232 million in Web sales growth was related to Buy Online Ship to Store sales. "It's a business that we continue to invest into, because it's part of our interconnected retail strategy," Home Depot's CFO and executive VP of corporate services Carol Tome, said on the earnings call.

In fact, Web sales performed much better than Home Depot executives expected. "I'd say…our dotcom business grew faster than what we planned. So we were very pleased by this," said Tome. "Remember, we are 'anniversarying' the launch of Buy Online Ship to Store. So we had expected the growth rates to slow down."

Home Depot also launched a dedicated e-commerce site for Mexico, after realizing 42consecutive quarters of positive comp-store sales there. 

For more:
-See this Internet Retailer article

Related articles:
Home Depot reports strongest same-store growth in 14 years
Home Depot acquires blinds.com
Home Depot finally bids farewell to fax machines
Home Depot hiring 6,300 employees in Canada
Home Depot to host 700 hurricane preparedness clinics

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