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Case Studies

Only $300k On Furniture Dropshipping? This Store Can Make Much More And Here’s How! [Amazon Case Study]

by Denis K. | | 10 min read
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Ecommerce has been a game-changer for entrepreneurs worldwide, and selling furniture online is no exception. It’s a thriving market, ripe with opportunities. Take this Amazon store for instance, boasting over $300K in revenue from furniture sales alone. With an average order size of $400 and 750 orders, it’s clear there’s substantial profit in this niche. But, what if we told you that you can make even more? So, how does one tap into this lucrative market, especially with no prior ecommerce experience? That’s where Sellvia comes in, offering comprehensive solutions to kickstart your online furniture business.

The online furniture market: A thriving digital frontier

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The world of online furniture sales is not just flourishing, it’s revolutionizing how we decorate our homes. The various digital marketplaces out there cater to a wide array of needs – be it furnishing new homes, undertaking home renovations, or simply giving a room a fresh new look. The beauty of online shopping lies in its convenience and the vast array of choices it offers. Customers can browse through endless options, compare styles, read detailed descriptions, and make informed decisions from the comfort of their homes.

Let’s dive into some compelling data that paints a picture of this booming market:

  • Market growth: The global online home decor market, including furniture, was valued at a staggering $98.4 billion in 2020 and is projected to reach $348.3 billion by 2027, growing at a CAGR of 20.3% from 2021 to 2027. This growth trajectory showcases the increasing popularity of purchasing furniture online.
  • Consumer preferences: A survey revealed that 60% of consumers prefer to buy furniture online, with the top reasons being the ability to shop 24/7, compare prices, and access a wider variety of products.
  • Search trends: According to Google Trends data, searches for online furniture have seen a significant increase over the past few years. This indicates a growing consumer interest in exploring and purchasing furniture via online platforms.
  • Ecommerce giants: On platforms like Amazon and eBay, furniture ranks among the top-selling categories. In 2020 alone, furniture and home furnishing sales accounted for over 12% of total ecommerce sales in the U.S.

With the right approach and insights, anyone can make a significant impact in this digital furniture frontier.

The advantages of selling high-ticket furniture items

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Selling high-ticket items like furniture in the e-commerce realm offers numerous advantages that can significantly elevate your business’s profitability and market presence. Let’s explore why focusing on furniture, a quintessential high-ticket category, can be a game-changer for your online store.

  • Higher profit margins per sale

One of the most apparent benefits of selling high-ticket furniture items is the substantial profit margins they offer. When you sell more expensive items, the absolute profit per item sold is considerably higher. This means that you can achieve the same revenue with fewer sales compared to lower-priced items. For instance, selling a luxury sofa or a designer dining table can yield profits equivalent to many smaller transactions, making each sale more impactful to your bottom line.

  • Enhanced customer value and loyalty

Customers shopping for high-ticket furniture are often more invested in their purchases. These are not impulsive buys but well-considered decisions aimed at long-term satisfaction and value. By providing high-quality furniture that meets these expectations, you can foster stronger customer relationships, leading to higher customer lifetime value and loyalty. Satisfied customers are more likely to return for future purchases and recommend your store to others.

  • Streamlined operations and inventory management

Dealing with high-ticket items like furniture often means managing a smaller inventory with fewer transactions. This streamlined approach can significantly reduce operational complexities, from storage and handling to shipping logistics. Fewer, but more valuable, transactions simplify business operations, allowing you to focus on enhancing customer experience and exploring new market opportunities.

  • Brand positioning and market differentiation

Selling high-ticket furniture naturally positions your brand in a premium segment of the market. This elevated brand positioning helps in differentiating your business from competitors. High-ticket items often come with a story – be it exceptional craftsmanship, unique design, or luxurious materials. Effectively communicating these attributes can enhance your brand’s perceived value, attracting a customer base that appreciates and seeks out quality and exclusivity.

  • Leveraging the growing trend of online furniture shopping

The trend of purchasing furniture online has been steadily growing, accelerated by technological advancements and changing consumer behaviors. Customers are increasingly comfortable buying big-ticket items like furniture online, thanks to detailed product descriptions, high-quality images, customer reviews, and augmented reality (AR) tools that help visualize products in their space. Tapping into this trend offers a lucrative opportunity, especially as more consumers turn to online shopping for their furniture needs.

Virubi analysis: A closer look at the online furniture market

In examining the success of the mentioned Amazon furniture store, we find a mix of achievements and areas ripe for enhancement.

While their revenue of $300K is certainly commendable, it highlights key areas for growth, particularly in product selection and marketing strategies.

  • The product offering

The Virubi Amazon store’s selection, while varied, shows areas where improvements could significantly enhance sales potential.

Let’s take a closer look:

51.2″ LED Coffee Table with Storage

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Priced at $96, this modern white coffee table offers functionality with its storage capacity. However, the product images and descriptions could be more compelling. Enhanced photos that showcase the table in various living settings, coupled with a more detailed description highlighting its unique features, could increase its appeal.

5-Piece Dining Set

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At $319, this dining set is a practical option for small spaces. While the price point is attractive, the presentation lacks the allure that could make it stand out. High-quality images depicting the dining set in a well-decorated room and a more engaging description would better capture the set’s value.

Pull Out Bed Sleeper Sofa

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This $275 sofa offers versatility, yet the product images don’t fully convey its multifunctionality. A focus on visual storytelling, showing the sofa in different states (sofa and bed) and environments, could significantly enhance its marketability.

4-Seater Modern Sectional Sofa

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At $350, this sofa promises minimalist style, but the product’s presentation doesn’t do justice to its potential. Incorporating lifestyle images and a more captivating product story could elevate its appeal.

In contrast, our product selection not only showcases high-ticket items but also excels in presentation:

Luxury Italian Marble Sintered Stone Round Coffee Table

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With a retail price of $2,199.99 and a profit of $1,096.50, this coffee table is a testament to high profitability potential. Its exquisite imagery and comprehensive description underscore its elegance and quality craftsmanship.

Luxury King Bed with Massage and Storage

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Priced at $2,829.99 with a profit of $1,279.99, this bed is not just a piece of furniture but an experience, as highlighted by its immersive product visuals and detailed descriptions.

Luxury Velvet King Bed with Ambient Light & Fireplace Display

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This bed, retailing at $4,499.00 with a profit of $2,427.35, epitomizes luxury. The vivid photos and enticing descriptions make it not just a product, but a lifestyle choice.

Elegant Modern Leather Sofa

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At $4,299.99 with a profit of $1,040.50, this sofa combines luxury with profitability. The high-quality images and engaging descriptions perfectly showcase its modern design and comfort, making it an attractive high-ticket item.

The comparison highlights the importance of not just product selection but also the presentation in online furniture sales. While the Amazon store demonstrates potential, focusing on high-ticket items with superior presentation, as seen in our product range, can significantly boost profitability and market appeal.

  • Assessing average order value and product selection

The store’s average order value stands at $400. While this figure is respectable, it pales in comparison to the potential earnings from high-ticket furniture sales. In the realm of furniture retail, particularly online, high-ticket items can command thousands of dollars per sale. This disparity suggests a missed opportunity in leveraging the high-ticket nature of furniture sales.

For instance, let’s compare three of their products with three high-ticket items from our curated collection. While their selection includes lower-margin products, our lineup features items that not only promise higher returns per sale but also align with the latest trends and consumer demands. This strategic product choice is crucial in maximizing revenue potential in the furniture niche.

  • The importance of effective promotion and product descriptions

Entering the Amazon marketplace is a step in the right direction, but it’s just the beginning. The store’s current product descriptions lack the depth and appeal necessary to stand out in a competitive market. On Amazon, where consumer decisions are heavily influenced by product information and presentation, compelling descriptions are essential.

A successful Amazon store isn’t just about the quantity of products offered; it’s about the quality of their presentation. This includes detailed, engaging product descriptions that highlight features, benefits, and the lifestyle appeal of each item. This is an area where our expertise can significantly contribute, ensuring that every product in your store is presented in the best possible light.

This study underscores the potential for greater success in the online furniture market. By focusing on high-ticket items, refining marketing strategies, and ensuring top-notch product presentation, any online furniture store can achieve substantial growth and profitability.

With our expertise and support, reaching these heights becomes not just a possibility, but a tangible goal.

High-ticket dropshipping with Sellvia: Your ecommerce power move

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Ready to revolutionize your ecommerce journey? High-ticket dropshipping is the pathway to success, and Sellvia is your expert guide. This unique venture combines the allure of premium products with the efficiency of a seamless online store experience.

  • Seamless store creation for beginners and experts alike

Sellvia specializes in crafting custom online stores that mirror your personal flair, loaded with high-demand products. Our team focuses on ensuring smooth operations for your store, setting you up for consistent profitability. With our range of professional templates, your store won’t just function optimally—it will also look stunning.

  • Efficient platform with reliable supplier network

Our platform epitomizes user-friendliness and efficiency. Managing orders, updating product listings, and connecting with customers globally becomes effortless. Our extensive catalog features thousands of high-quality items, each with detailed descriptions to aid your marketing efforts.

Moreover, our fulfillment center guarantees fast delivery, keeping your customers satisfied and loyal.

  • Maximizing profits with high-ticket items

Sellvia goes beyond being a mere platform — it acts as a catalyst for your profits. We conduct extensive market research to identify high-ticket items that you can source at competitive prices, translating to substantial profit margins for your business.

How Sellvia elevates your dropshipping business:

  • Product selection: Our curated inventory includes high-demand, high-ticket products tailored to your store.
  • Sales processing: Witness substantial returns with each customer transaction.
  • Cost-effective reordering: Restock high-ticket items at lower costs, enhancing your profit margins.
  • Streamlined fulfillment: We handle packaging and shipping, ensuring your products reach customers promptly and safely

Embrace your ecommerce dream with Sellvia

As we explore the intricate world of high-ticket dropshipping, the formula for success becomes increasingly evident. It lies in offering quality products, delivering exceptional customer service, and having a keen understanding of your market. Sellvia is primed to be your ally on this exhilarating journey.

Imagine running an online store that not only generates significant revenue but also maintains low return rates due to its premium product quality. This is the opportunity that partnering with Sellvia offers. You’re not just launching a business; you’re establishing a brand synonymous with trust, quality, and customer satisfaction.

Now is the time to make your mark in the world of ecommerce. With Sellvia, you embark on a journey toward a profitable and fulfilling online business. Whether you’re starting out or scaling up, Sellvia is your gateway to success. Let’s embark on this exciting journey together!

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by Denis K.
Denis is a copywriter at Sellvia. Having graduated from the Faculty of International Business as a specialist in advertising, he explores the rapidly changing and evolving digital marketing industry and feels committed to sharing his findings with a wider reader’ audience.
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