The firm, which doesn’t detail its methodology, said, “By our estimation, Amazon already holds the largest market share in this space,” having tripled its sales in the category since 2015. In 2017, the e-commerce giant grew its U.S. furniture and bedding business 51% from the year before to $4 billion, the report said.
The estimate is for total sales through the Amazon.com platform, including marketplace sales, said Ojastro Todd, author of the report and marketing analyst at One Click Retail.
For some perspective, that $4 billion figure would likely make Amazon, No. 2 in the nation. Ashley HomeStore was No. 1 on Furniture Today’s Top 25 furniture and bedding retailers ranking last year with 2016 furniture and bedding sales estimated at $3.67 billion. The 2017 sales ranking won’t be released until August.
It’s not a precise apples-to-apples comparison, but this year the Ashley dedicated store network was No. 1 on Furniture Today’s Top 100 U.S. Furniture Stores ranking again (based on 2017 furniture, bedding and additional accessory sales) with a $4.16 billion estimate.
One Click said Amazon’s mattresses and box spring business jumped 82% to more than $1.1 billion last year. Bedroom furniture sales increased 45% to more than $800 million, and living room furniture sales were up 40% to more than $550 million.
In mattresses, nearly 75% of the sales were memory foam mattresses, led by the Zinus brand according to the report.
An Amazon spokesperson did not immediately respond to Furniture Today’s request for a comment on the report’s accuracy. The e-tailer has long declined to break out results by category.
One Click also has declined to elaborate on its methodology. The report notes the company uses “a combination of website indexing, machine learning and proprietary software” to develop weekly online sales estimates in order to deliver analytics and other information to its brand manufacturer clients.
The report reads in part like a marketing plug for Amazon, with a concluding paragraph stating, “It’s clear that the furniture market is a valuable investment for Amazon, and it’s equally true that Amazon is a valuable investment for furniture brands. … Furniture brands looking to compete in e-commerce, the industry’s fastest growing space, need to begin at Amazon.”
The report also said furniture sales are “now moving swiftly into the online domain” and, among other things, points to Amazon’s investments in its Amazon Home marketing site, “four new warehouses focused on delivering large furniture and appliances and the release of two private future bands, Rivet and Stone & Beam.”
While the latter two are Amazon’s first furniture-specific brands, One Click said the company’s most successful furniture products are office chairs from its Amazon Basics line.
Bruce Tucker, co-founder of home theater seating supplier Octane Seating, which sells on Amazon and other online platforms as well as to brick-and-mortar stores, told Furniture Today Amazon’s growth in the category and One Click’s estimates seem “totally believable,” going from his own experience.
“Our Amazon business is up more than 160% year over year,” Tucker said. “They seem to be pushing very hard in this category.”