Having a successful online furniture business depends on how well you know the market, run the business and employ technological advancements.
Who doesn’t love to relax browsing through a furniture and interior design catalog? Who doesn’t love to turn page after page and gasp at the sight of a beautiful room? Who doesn’t long for a piece of furniture that would fit just right in your room and bring it together like never before?
It comes as no surprise that we enjoy the televised therapy that is the home makeover show segment. They arouse our interest, they make us wait and hope. Then they release our tension into the pleasure of a beautiful décor. And they make us hold on to the belief that nice decors can help us live nicer lives; because the environments in which we live and work affect the way we feel and function.
Furniture is a practical everyday commodity. But it is also much more than that. It is emotion. It is a statement. It is style. And the single constant of style is that it constantly changes. All these features then, tightly intertwined, make the furniture business profitable. They make it a segment where demand is consistent and business opportunities are appealing.
So if you have a neck for beautiful furniture, style, and business, setting up an online furniture store might be just the thing for you. Here are some steps you should consider when figuring out how to start your own online furniture business.
Step 1 – Understand the market
A recent report by Mordor Intelligence on the evolution of the furniture industry for the period 2017-2026 showed steady growth from 2017 through 2021 and an expectation of a 5% compound annual growth rate through 2026.
Aside from the business opportunities generated by a constantly growing sector, you should also be aware of some recent trends within the market, which could impact the demand in the furniture sector:
- The Covid-19 pandemic has led more than half of employees to work from home and they invested in furniture to improve the multi-functionality of their homes.
- The pandemic disrupted logistics and caused delays in shipments and shortages of supplies, which also led to increases in the cost of materials and final products.
- As global warming gains more attention among businesses and consumers, more efforts are made toward sustainability.
Depending on the specific niche you will operate and the customer market to whom you will address your online furniture store, you should understand how these trends impact your business and how to mitigate or take advantage of them.
Step 2 – Get to know your audience
Identifying and understanding your target audience is crucial to ensure that your products reach their buyers and that your furniture store is successful. Depending on the products you will sell and the areas of shipment – nationally and/or internationally – consider segmenting your audience based on:
- Demographics
- Location
- The specific needs of the target market and
- The specific problems they face when buying furniture.
Once you have identified your audience, tailor your marketing strategy to appeal to their characteristics and provide solutions for the problems they face.
Within the online furniture business, people do a lot of browsing before buying. You can attract people to your store website by posting engaging materials and Ecotimize can help you create this engaging content. And to take things one step further, through Conversion Rate Optimization, we can help you turn visitors to your website into actual buyers. Here is a list of services we provide and ways we can help your business grow.
Step 3 – Select your products
The next crucial step is to identify the products you will be selling through your online furniture business. Ideally, be a user of those products so that you understand their features and benefits, and you can identify promotional opportunities and potential shortages.
Also, think about whether you would select a furniture niche on which to operate or you would rather start with more generic products, test them within your selected market and then develop into a niche.
Remember it is important to do your research, prepare thoroughly, and also remain flexible.
Step 4 – Build a mission statement
Aside from the scope of business, the mission statement of your online furniture business should evoke in your customers the feeling that you want them to feel. Your mission statement should be a testament of hope, dreams, and beauty.
Step 5 – Solve the legal aspects
You will not be able to properly run a business until you meet the legal requirements. So, keeping in mind the nature of your business (local or international) and the laws and regulations in your country, make sure to address:
- How do you register your company, such as LLC or sole proprietor?
- What permits and licenses do you need to get from your government officials?
- What taxes do you have to pay upon establishing your business, while running it and for the income you generate?
- The legal aspects of shipping to other countries.
Step 6 – Plan the business processes
This part of the process is the most complex one, so make sure you spend enough time thoroughly preparing for it. Some important elements to consider include:
- The sources of your furniture products – will you buy them or will you manufacture them?
- What budget do you need to get your online furniture business started?
- Do you need to hire more people or will it be just you starting?
- How will you promote your products, and on what media channels?
- Who will write the product descriptions?
- How will you handle storage, inventory, and shipping?
- What will your pricing strategy be and how will you offer discounts and promotional sales?
- What methods of payment will you use?
- Will you ship nationally or internationally?
This step might seem overwhelming, but remember that good planning is key to success. And also remember you don’t have to get everything perfect the first time around. Do your research and remain flexible.
Step 7 – Build the website
Once you answer most of the questions on how to start a furniture business, you should move on to creating your website.
This step also requires hard work and attention to details – for instance, make sure your product descriptions are detailed and accurate, accompanied by quality photographs. But the good news here is that you can make things easier for yourself if you use the technological advancements that have been made in the field of eCommerce.
That said, you can opt to create your independent website, but you can also choose to create your website on an already existing platform like Magento, Shopify or WooCommerce. At Ecomitize we use all these platforms and some more to create the best website your business requires.
eCommerce platforms have the benefit that they are already set up and require little effort to use; they are more cost-effective and they already have a large customer base which allows the seller to quickly reach many potential clients.
If this appeals to you, check out what we can do in terms of website development.
Conclusion
Opening an online furniture business might seem challenging, but it is not an impossible mission. If you have a passion for furniture, then just get to know your audience and offer them quality products that serve their specific needs. And make sure you run your online furniture store in a manner that is sustainable from a business perspective.
Remain flexible in your operations and business model. You already know where to find Ecomitize and what we can do to help you thrive!
