The Online Furniture Market is Growing and Amazon is Here for It
Traditionally, selling online has been challenging for many furniture brands. For example, if the brand can offer returns at all, the process can be difficult to manage. Shipping and handling are also generally more expensive for heavier products. Ordering furniture online isn’t as seamless a process for either the brand or the consumer. However, more people have begun to shop online to furnish their homes and offices. As a result, brands have felt the pressure to sell online and provide a better experience to this growing customer base. Continue reading to learn more about the online furniture market and how Amazon can make an impact on this industry.
A Positive Outlook
In 2018, total U.S. e-commerce sales grew by 15% year over year. A solid portion of this growth can be attributed to the online furniture market, where, according to eMarketer, the category saw a year-over-year growth of 18%.
Specifically, brands that sell furniture on Amazon saw a major increase in sales during 2017. An eMarketer study predicts Amazon’s furniture sales to grow to more than $50 billion. Veenu Taneja, furniture general manager at Amazon, claims home furnishings is one of the fastest-growing categories on the channel.
What Does the Growth in Online Furniture Sales Mean for Brands and Manufacturers?
In addition to the challenges mentioned, last-mile delivery contributes to the obstacles furniture brands face when selling online. Last-mile delivery is the final stage in the shipment process, and it can take days for a package to reach its destination. The process is even more challenging for larger products and products that require a delivery window.
It’s up to brands, manufacturers, and large retailers like Amazon to improve the last-mile delivery process. The goal is to provide shoppers with transparent item tracking, the option to schedule delivery times and to offer a seamless return process.
How Can Amazon Leverage the Online Furniture Market?
Frustrations like last-mile shipment issues create the opportunity for Amazon to improve its delivery and return experience for customers that buy furniture on its marketplace. We have already seen Amazon take steps to resolve this issue through its Delivery Service Partner program.
We look forward to seeing how Amazon continues to adjust to the age of convenience. Besides home furnishings being one of the fastest-growing categories overall, 37% of online furniture buyers are millennials. These shoppers will be especially appreciative of improvements to the ordering and shipping process.
Brands that sell on Amazon using FBA can also benefit from Amazon’s customer service and return process. These functions alone are crucial to building customer loyalty and brand reputation.
Overall, the future of the online furniture market looks brighter than ever before. That’s not to say there won’t be challenges to overcome and adjustments to make. But, major e-commerce sites like Amazon have an opportunity to make a difference. Whether you’re a furniture brand trying to embrace Amazon or sell in another category, we’re here for you. Schedule a free consultation to learn more about your brand’s potential.