Home Depot Inc. (HD) recently signed a deal with diversified media and merchandising company Martha Stewart Living Omnimedia Inc. (MSO) to create a new line of home improvement products.
The strategic move is aimed at outsmarting rival specialty retailers like Lowe Co.s Inc. (LOW). The new product line will primarily feature outdoor living, home organization and home decor items.
The outdoor living products are scheduled to hit US markets by January next year and will be available in Canada by February. Home organization products are expected to be launched across the globe in February. Martha Stewart plans to promote the products through diverse marketing channels including its magazine, TV shows and web portals like Twitter – a free social networking and micro-blogging website.
The home improvement industry has deteriorated drastically due to the overall decline in the housing industry. Increasing unemployment and foreclosures amid the continued economic downturn have further weakened demand for home improvement products and services. Both Home Depot and Martha Stewart expect to revive their sagging sales through the recent collaboration, which augurs well for the overall industry.
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