A midsized US home furnishing company with over 24,000 products in five categories - rugs, bedding, pillows, throws, and window panels - diversifies into new sales channels.

Background

Founded in 2007, the company has an extensive assortment of rugs, luxury bedding ensembles, designer pillows, accent throws and wooden furniture. Their 105,000 square feet of warehouse space is located in Calhoun, Georgia and Austin. With a wide assortment of product choice and combinations, they provide their customers a one stop shop to create homes and interior spaces that are honest expressions of their true personalities. In US, the home furnishing market’s CAGR is nearly 5% and the ecommerce store’s market share is continuously growing with CAGR of about 15%. To leverage the high growth channel, the company wanted to setup an online store.

Challenges

he Company had zero experience in ecommerce or digital technology. After conducting its own initial analysis, it concluded that it needed a team of six or more members: an ecommerce web developer, an ecommerce analyst, an inventory manager, an account manager, and two responsible for digital marketing. Hiring a complete team was a risky financial decision and getting the right talent was a huge challenge.

Solutions

TransForm assembled a team to understand the client's home furnishing business, products, customers and competitors. Within two weeks, our team proposed a detailed plan for the best suited web store platform, its positioning, website structure, various categories, Keywords to be targeted and other online sales channels. TransForm also exexcuted a detailed online competitor analysis, which helped in finding their customers preferred sales channel, keywords that needed to be targeted and ad copy strategies customized for their target audiences.

The analysis helped to identify several key areas to be addressed, and TransForm provided the store design and online sales strategy solutions.

Over 24,000 products were segregated into five categories and multiple subcategories based on product segmentation and keyword research.

  • The store was built in six weeks.
  • The store was positioned with great care, with the help of constant feedback from the client's top management.
  • The brand was registered to ten popular home furnishing marketing places.
  • The competitor analysis helped in setting up AdWords and display campaigns across multiple channels.
  • All pages were SEO optimized with proper URL, tags, metatags, title, alt txt and interlinked for achieving the set target.

Results

The store was built in six weeks

In the first year, the online channel contributed a volume of 15% to the client's total sales; this increased to 20% the following year

Within three months, the weekly traffic included more than 6,000 new visitors

The social media analytics provided details on customer preferences, which assisted in designing preferred color products.

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