Amazon is coming for the furniture industry
Business Insider · 2017-11-13 20:57
Amazon seems to have no limit to its ambitions. The company has launched a number of private-label clothing brands, and it has taken steps toward entering the pharmacy business.
Now, it has set its sights on a new market entirely. The online retail giant has unveiled two private-label furniture brands, Stone & Beam and Rivet.
如今，它相中了一个全新的市场。这家线上零售巨头揭露了两家它的自有家具品牌，Stone & Beam和Rivet。
Both offer free returns for 30 days as well as a three-year warranty on all furniture. Calling Stone & Beam "modern farmhouse" and Rivet "Mid-century," the two lines target different consumers. Rivet offers "small-space solutions" and seems aimed at city-dwelling millennials. Stone & Beam incorporates country and modern touches for families with a little more money to spend.
它们两家都提供30天免费退换和所有家具的3年保修期。Stone & Beam的风格是“摩登农舍”而Rivet是“中世纪”，这两条业务线注重的是不同的客户。Rivet提供“小面积解决方案”并似乎是以居住在城市住宅的千禧年一代为目标人群。Stone & Beam结合了乡村和摩登风格主要人群是富裕的家庭。
These aren't Amazon Basics-style offerings. Neither brand chases low prices or offers Ikea-style values. Instead, the online retailer looks to be entering the "good value for the money" space. Think $800 couches in the Rivet line and $1,150 sofas under the Stone & Beam brand.
这些并不是Amazon通常的基本款风格。它既不追求低价格也不追求宜家风格的品质。相反，这个线上零售商似乎是想要进入“物有所值”这个市场。设想Rivet这条线下800美金的沙发和Stone & Beam这条线下1,150美金的沙发。
Clearly, Amazon wants to own every retail market it does not currently control. It can do that partially by selling other people's brands, but having its own gives it more flexibility. It also keeps it from helping another company build a following and then decide to stop selling through Amazon.
Of course, going private label also allows Amazon to cut out the costs associated with a middleman. It can have the hundreds of lamps, chairs, sofas, tables, and other items in each of these two lines made and then sell them directly to consumers.
Amazon is not alone in pursuing a private-label strategy. Target has revamped its clothing and furniture offerings to include a number of company-owned brands. This includes Hearth & Hand with Magnolia, from Chip and Joanna Gaines of Fixer Upper fame.
Amazon并不是唯一一个追求自有品牌策略的公司。Target通过增加一些自有品牌而改进它的服装和家具销售。这包括与Fixer Upper节目里Chip and Joanna Gaines夫妇所合作的Hearth & Hand with Magnolia系列。
That line, which isn't furniture, includes "over 300 items spanning tabletop, home décor, and giftables," according to a Target press release. The company also has Project 62, a private label brand that includes everything from furniture to bath towels.
The challenge for any brand is creating demand. Target can build recognition through in-store displays, and partnering with the Gaines' gives those lines a built-in following.
Amazon has a bigger challenge on its hands, but the retailer likely uses its existing data to make product decisions. It almost certainly had enough searches on its platform for "tiny sofa" or "farmhouse chair" to justify entering the furniture space.
Not every private label will work, but Wayfair has shown that there's a stronger-than-you-would-expect market for furniture that people are buying without actually seeing it or sitting on it. Amazon should be able to follow that model leveraging the credibility of its own brand name as well as its strong reputation when it comes to making returns easy.
In many ways, this is maybe not a toe, but not more than a foot, in the water for Amazon. It's two lines targeted at Millennials and young families respectively. Those are core customer bases for the online retailer and are both groups more likely to have limited experience and loyalty when it comes to buying furniture.
Amazon has made it feel normal to buy nearly anything online. There's no reason it won't be able to do that in furniture and this could be just the start of something that grows to be huge.