Amazon starts selling furniture, it is the hot spot of the U.S E-commerce
2018-03-08 22:00:12
American furniture retailers may feel a bit of crisis, because Amazon is increasing its investment in the furniture field.
According to the Wall Street journal, Amazon is building at least four large warehouses, which are different from the previous warehouses, which are designed to deal with large commodities. In addition, Amazon is increasing the number of furniture products, increasing the service of customized furniture, and in some cities to shorten the delivery time within one to two days.
"Furniture is one of the fastest growing categories of Amazon retail," says Veenu Taneja, general manager of Amazon's furniture division."
In fact, furniture is one of the fastest growing categories of online retailing in the United states. According to Barclays data, online furniture sales rose 18% year on year in 2015, second only to groceries.
According to IBISWorld data, 15% of the furniture market with a market value of $70 billion now comes from the E-commerce. Wayfair, one of the biggest furniture E-commerce companies in the United States, is one of the beneficiaries, and their revenues rose from $916 million in 2013 to $3 billion 380 million last year.
In fact, Wayfair CEO Niraj Shah once said that Amazon is not suitable for furniture, because the distribution network is not Amazon around large goods or served by the interior design of the consumer, but also sell furniture need help installing furniture.
In addition to installing furniture, in fact, many of the consumers who buy furniture also need to clean up the old furniture and make room for the installation of services.
This means that Amazon, which is accustomed to selling relatively small items, needs to adjust everything to suit the furniture business they want to expand. Amazon related business personnel said that in the near future, Amazon will rely on XPO and other three party logistics companies to manage furniture delivery and delivery.
At present, if the Amazon direct sales of furniture, Amazon Prime member orders and more than $25 orders are free of charge, and their competitors are mostly around $50 to avoid shipping. However, Amazon can sell furniture, or to look at them in terms of distribution change.