Ace Hardware Corporation has witnessed outstanding financial performance and robust growth in recent years, mostly due to technology. This is significant in light of the ferocious competition the company faces from big-box home improvement giants Home Depot and Lowe’s.
Ace relies on an active data warehouse from Teradata, which has provided a single repository for retail and wholesale sales, customer information, purchasing, inventory, financial data, and the performance to support large and varied workloads.
Just one year after Ace Hardware's Teradata solution entered service, an ROI review found that the system exceeded a list of 63 business goals by hundreds of percentage points and achieved an ROI of more than 2,000%. Advancements in the first year included:
- $85 million annual revenue boost
- $1.03 increase in the average retail transaction value
- Increase of 1 same-customer visit/year
- Retail price margin increases in three Ace departments
- Close to 11 million Helpful Hardware Club members
Ace also deployed Teradata CRM that same year, which provided the company with an integrated family of campaign design tools, analytics and communication management applications. This enabled Ace to plan and execute 50 national mail and e-mail promotions in 2005, in addition to providing targeted lists for catalog mailing and two seasonal issues of Homeplace magazine.
