A Deep Dive into Amazon’s Home Goods Performance
Amazon continues to see YoY growth in GMV
Amid an inflationary environment and furniture supply chain issues, many generalist retailers have been experiencing declining sales in the home goods category. Target, for example, announced it was discounting an abundance of current home inventory and forecasting for more limited growth in home earlier this month.
However, Amazon has avoided many of these issues and leads the pack as both the largest retailer in home GMV and the only retailer that continues to win GMV growth in the category. As late as April 2022, for example, Amazon’s GMV grew 5.8% year-over-year while retailers like Walmart and Target declined.
GMV of Leading Home Retailers
United States, Online Only | January 2020 to April 2022
As workers return to the office, demand for office furniture slows
However, Amazon’s home performance varies across subcategories. Bedroom continued to dominate as Amazon’s largest home category, accounting for over 35% of the retailer’s GMV in Q1 2022 and growing 2.4 percentage points YoY.
While home office used to be Amazon’s second-largest furniture category, the category declined 4.5 percentage points in Q1 2022, year-over-year. Instead, living room furniture became the second largest category on the retailer, growing 3.4 percentage points over the same time frame.
Amazon Furniture Subcategories Monthly Share of GMV
United States, Amazon | January 2020 to March 2022
For Living Room, Ashley Furniture wins on Amazon, though long tail is high
Low-priced Ashley Furniture was the best-selling brand in the growing living room furniture category, accounting for 4.4% of Amazon’s living room GMV in Q1 2022, up 0.9 percentage points year-over-year.
However, living room GMV is split between many brands on the retailer. The top ten brands accounted for only 20% of total GMV.
Top 10 Brands Market Share in Living Room Furniture Subcategory
United States, Amazon | January 2020 to March 2022
Source: Proprietary email receipt data, card transaction data.
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