Category search volume on Amazon has fallen for three consecutive months? Sellers: My order volume is still increasing

On Amazon, " which categories sell best and which categories are most likely to have explosive sales ?" In response to this question, many sellers told En.com, "Home Furnishings."

Today, the competition for home furnishings on Amazon is very serious, with the battle between new and old sellers intensifying, but this also means that the market potential of this category is highly recognized.

Sellers: The number of orders in the home furnishing category has increased 10 times, while other categories have only increased 3 times

As Prime Day came to an end, many sellers began to report their first sales peak of the year. Amazon also said that the first day of Prime Day this year was the day with the highest single-day sales in its history.

In this PD, some sellers saw a surge in orders, with sales on the first day of the event alone increasing nearly 18 times compared to normal days .

On a certain social platform, a seller initiated a voting campaign for "this year's PD order performance". Nearly 40% of sellers saw their order volume increase by 2-3 times compared to usual days, 28% saw their order volume increase by 5-10 times, and some sellers even saw their order volume increase by far more than 10 times.

According to Yien.com's observation, most of the sellers participating in the vote sell household items.

Obviously, as the most popular category on Amazon, home furnishings continue to achieve brilliant results in previous activities, and these sellers are still firmly grasping market demand.

"——If home products don't sell on Amazon, then other products will be even harder to sell.

——Home furnishings is a major category on Amazon. Although the competition is fierce, the market is also large.

——Amazon is going to sell home furnishings. As long as the products do not have any infringement issues, it can still earn a living.

——This time, PD’s home furnishing category received 2,000 orders, which is the normal monthly volume.

——The order volume of home furnishing category increased 10 times, and that of others increased 3 times.

..."

Several home furnishing sellers told En.com that the order volume in this category fluctuates little, and "the market is not as bad as everyone says."

Google search trends show that in the United States, the keyword "home" has maintained a relatively stable and high search status over the past year. However, in the past year, the search volume of this keyword has indeed declined , but the decline is not large. The consumer demand in the US home market is relatively stable.

As the wave of home furnishing closures continues, Amazon may take up more market share

Obviously, market demand remains at a high level.

However, since last year, many well-known American home furnishing brands have gone bankrupt, such as Bed Bath & Beyond and Fully under MillerKnoll ; many home furnishing e-commerce platforms have also announced the cessation of operations, such as Made.com and Brosa .

These brands and platforms have exited the market in a panic, burdened with huge debts, and the remaining brands and platforms have either cut off their limbs to survive or sought new paths.

Wayfair, the American home furnishing e-commerce giant whose revenue and number of buyers have dropped sharply since last year, also recently announced that its first physical store in the United States will open in the spring of next year.

Trying to enter the physical retail market with its flagship brand , Wayfair is using its omni-channel model to compete more fiercely with its competitors for market share .

Market demand has not decreased, but competitors have left the market one after another. This is good news for the still very active home furnishing category, especially Amazon, which has benefited greatly.

The latest data from retail analytics firm Molator shows that more than two-thirds of Bed Bath & Beyond consumers will transfer their home furnishing spending to Amazon; in another survey, 68 % of American consumers believe that Amazon is the platform most likely to replace home furnishing brands such as Bed Bath & Beyond .

As many competitors have left the market, Amazon's financial reports disclosed last year and this year show that its revenue has continued to increase, and home furnishings, as a major category on the platform, must have made a significant contribution .

In YipitData's 2022 Home Furnishings Market Report , Amazon 's market share increased significantly to 86.13% from January to October 2022. From Q1 2020 to Q1 2022, the GMV of home furnishings on Amazon increased by 84% .

In the second quarter of 2022, Amazon's share of the U.S. home furnishing market grew by 4.7% year-on-year. During last year's Prime Day event, household items also jumped to the top of Amazon's sales list.

During this year's Prime Day, home furnishings continued to maintain good sales performance, with online sales driven by categories such as home appliances (up 52% ​​compared to the average daily sales in June 2023) and household supplies (27%).

Amazon US home category search volume has declined for three consecutive months?

As mentioned above, the US home furnishing market remains optimistic.

However, recently, multiple media outlets reported that data showed that U.S. retail sales of furniture and home furnishings fell 6.4% year-on-year to $11.2 billion in May, marking the fourth consecutive month of decline this year .

Specifically, from January to May, U.S. furniture and home furnishings sales were $55.63 billion, down 2.9% year-on-year.

Among them, the search volume for "office furniture", "bedroom furniture" and "living room furniture" on Amazon's US site has shown a downward trend in the past three months, with a decrease of 21.28%, 27.24% and 12.57% respectively. Except for seasonal garden furniture, the performance of other furniture products is not optimistic.

Although Een.com has searched through multiple channels but failed to find the original source of this data, its authenticity has not been verified. However, as far as other data are concerned, the US furniture market is indeed not as good as before this year.

According to the Furniture Insights by Smith Leonard , a statistical consulting firm , the downward trend in new residential furniture orders in the United States continues , with new orders in April this year down 16% month-on-month and 19% year-on-year. 84% of American respondents also said that they have indeed reduced furniture purchases this year.

In terms of shipment volume, furniture shipments in the US market in April fell 28% year-on-year from April last year , and fell 14% year-on-year in the first four months. The survey showed that 88% of the surveyed US sellers said that shipments fell .

Currently, home sales in the four major regions of the United States have all declined year-on-year , with existing home sales in the United States falling 20.4% year-on-year in May alone .

The negative performance of the US housing market has had a significant negative impact on furniture and home furnishing categories. In addition, as consumers return to outdoor life, their requirements for home environments are also declining.

However, Dana Peterson, chief economist of the Conference Board, said: " U.S. consumer confidence rose to its highest level since January 2022 in June, reflecting the improvement in the current U.S. economic conditions and rising expectations. "

Ken Smith, partner at Smith Leonard , said that increased consumer confidence will drive a recovery in new residential furniture and home furnishings .

Although these data show that there is a negative side to the US home furnishing market, a search using the keyword "home furnishing" shows that in the past week, the search volume for "home furnishing" on Amazon's US site has remained basically stable, with multiple segmented keywords ranking at a relatively high position.

In the past few years , consumers have increased their interest in home products due to the pandemic, and home decoration and DIY home furnishings have also set off a period of consumption boom. Home furnishings giant Levo and newly listed Zhiou have both taken advantage of this favorable trend to bring in good revenue news.

Although the home furnishing market has stabilized compared to the past few years, the dividend has not disappeared . However, sellers should note that the consumer demand in the market is constantly changing, and the demand for environmentally friendly, innovative, high-performance and intelligent home furnishings is constantly increasing .

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