The furniture and decor industry has changed over the years. It no longer restricts itself to a production of a table, chair or bed, but today it includes the manufacturing of a wider range of home furnishings and décor which are designed to bring class and elegance to any home. There is a boom time for furniture industry! This is an industry which is in a constant growth mode with consumers expenditures in this area on the rise within the ecommerce market. With changing lifestyle, disposable incomes, economy growth, plus increasing migration to urban areas – they have all contributed to the demand for furniture and in turn the growth of the furniture industry as whole. According to IBIS World, “business has been good for online furniture sales. Although the recession slowed revenue growth, online retailers were less affected than traditional brick-and-mortar retailers. Now that real estate is returning to normal this is driving consumers to purchase products to enhance their homes.
The furniture industry is an excellent avenue to pursue especially when orders in this industry are much larger than other internet business industries and there are also great profit margins! Here are five compelling reasons why you should become the owner of a furniture industry business:
The industry has moderate barriers to entry. The market is highly fragmented and the industry is characterized by its many small players. In addition, the skill level to compete successfully in the industry is comparatively low and requires no licensing or certification process for this particular industry.
The prevalence of online shopping continues to grow, and more consumers are looking for furniture bargains online, so there continues to be plenty of room for new entrants to establish strong brands and capture significant market share.
3. Products a Plenty:
The furniture and decor industry opens the door to many possibilities! You can own an internet business offering a wide variety of products for the entire home or you can decide to concentrate on one specific area. An important part of being in the online marketplace is finding your niche. Whether you want to only offer stylish furniture and bedding for the bedroom, focus on fun furniture for the kids’ rooms or have everything, but the kitchen sink – it is up to you! Where’s your passion? Which market do you want to target? Once you have the answers to those questions, you can start your online business.
4. Sizable Orders and Great Margins
When someone is shopping for new furniture and decor to fill a space, they will want to find the right collection at one time. Sure they may add on more accessories later, but during the initial purchase most consumers will want to have the entire collection coordinate. This means the sales at an online furniture can be quit sizable. Furthermore, the average profit margin in the furniture industry is between 30-50% and even higher. This means on an order of $5000 you can make upwards of $2500 – on one sale!
Great margins paired with a good product selections mean that owning an online furniture business is a win-win for everyone!
5. Work from Anywhere with a Drop Ship Furniture Website Business
Owning an online furniture and decor online store may be the perfect fit for you if you are passionate about style, design and helping others decorate their homes. Owning a drop ship internet business can give you the freedom and flexibility to work from any location and your own schedule. By deciding to work with drop ship product vendors you will not be required to hold any bulky or expense product inventory. There will not be any need to rent a warehouse as the drop ship vendors will ship the products ordered directly to your customers. This gives you the ability to focus more on running and marketing your business versus managing products.