How to be successful in furniture business?

09 Mar.,2024

 

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From the blog

How to Run a Successful Furniture Store

Running a successful furniture store can be a very lucrative venture – after all, almost everyone needs furniture. Despite the potential, it is a venture fraught with competition from other brick-and-mortar stores as well as online retailers. Online retailers have a much bigger advantage over the high-street stores because they’ll be able to lower their prices and sell cheap furniture. We cannot stress enough how important it is to do your research before setting up any E-commerce store and see what average prices are like and how some companies are doing so well. People are even building their own furniture thanks to all the guides online, like the tool reviews at https://toolhelpful.com/.
There are plenty of companies out there like Marchant Home Furnishings, but you want to make it your own – a business that stands out from others. Assets like a knowledgeable and customer-service oriented staff and eye-catching merchandise on an attractive salesfloor cannot be replicated online and will set you apart from other stores. With proper research and a thoughtful business plan you’ll be able to thrive in the competitive furniture retail industry.

Understand How to Market and Advertise in Your Market

The first step to running a successful furniture is developing a sensible and focused advertising campaign targeting prospective customers of your business’s existence. The furniture industry is famous for marketing and advertising gimmicks, but the most successful stores avoid them. The reason is that these strategies may increase foot traffic but don’t result in higher sales levels. Never exaggerate or over-promise. As with gimmicky advertising, these dishonest tactics get customers to pay attention but don’t improve profitability. In fact, overpromising will lead to unhappy customers and negative word-of-mouth.

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There are several channels to reach your audience, such as television, radio, direct-mail, circulars, or online advertising. Don’t jump from one medium to another searching for silver bullet to increase sales. Instead of dabbling in several advertising channels, don’t be afraid of things getting off to a slow start. Focus on a small handful of channels and become the best at them by trying repeatedly to find the best way to reach your potential customers. With this persistence your business can achieve exposure.

Offer Value by Selling Quality Products at an Appropriate Price

One of the most important aspects of running a successful furniture store is knowing how to appropriately price your products. Know the market you are aiming to sell to and base your prices accordingly. When you offer products at prices that are too high or too low, you’ll hurt sales. Too inexpensive and your profit margins will be too thin; too expensive and customers will find better deals at lower-priced competitors or online.

Selling high quality furniture and offering great value is the biggest key to running a successful furniture business. Ensuring your store offers a high level of value through quality products, reasonable pricing, and friendly and knowledgeable staff is crucial to success. Even if you have the lowest prices, if your product is sub-standard or staff is rude or unhelpful, customers will view your business negatively and shop elsewhere.

Use Stylish Floor Displays Which Allow Customers to Envision Your Products in Their Homes

The sales floor is the biggest advantage brick and mortar furniture stores have over online furniture businesses. Maximize this asset and set your store apart from other local stores by creating stylish and attractive vignettes on the sales floor. These displays allow your customers to envision your products in their own homes. It’s important to closely research the products that are most in-demand in your local market and stock your showroom accordingly.

One of the most challenging aspects of running a furniture store is managing the amount of on-hand inventory. If you have too much product on the sales floor and in the warehouse, you’ll waste valuable resources and space. If you don’t order new furniture quickly enough, you risk a threadbare sales floor that isn’t appealing to customers. If you have furniture that sells poorly you may want to liquidate that product at a lower price to make room for new merchandise.

Knowledgeable and Customer-Service Oriented Staff

Having a sales team that can speak powerfully about the products on your sales floor is invaluable. Your employees can be a huge asset, providing customers with detailed information about your products and guiding them to making a purchase they’re excited about. Positive customer service experiences are crucial in making sales as well as attracting a loyal base of repeat customers.

As with your advertising campaigns, your sales team shouldn’t overpromise. It may lead to an increase in sales over the short-term but in the long run it’ll lead to unhappy customers. A great way to develop positive relationships with customers is to utilize a customer relationship management (CRM) system. These systems allow you to track contact details, past interactions, and manage accounts.

Put a Focus on Improving the Bottom Line

Even if your business does well with sales, you’ll fail if your costs are too high to be sustainable. One common way to improve the bottom line is increasing prices, but this isn’t recommended because it can lead to a backlash that hurts overall profit margins. Before you try increasing prices, find ways to cut costs if you’re able.

For furniture stores, delivery is a great place to save money on operating costs. Carefully track delivery costs, adjust how much you charge for delivery, and use tools to improve delivery efficiency. There are mobile products you can use to streamline delivery routing and the paperwork process. Another way to cut costs is to search for the best payment processor for your business. Some processors include equipment and repairs with the agreement, which can save your furniture store money.

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  • You cannot be everything to everyone, so you need to focus on the key features you will provide. There is a concept called the "unattainable triangle" or the "good, fast, cheap rule" that says you can provide two of the three benefits, but the third will inevitably slip, so pick two to focus on. Are you going to focus on quality products? If so, it likely would be difficult to sell them cheaply. So if you are selling quality furniture, you might choose to focus on quality and speed and not try to be the cheapest. So the first key is to choose your focus.

  • How to be successful in furniture business?

    Examples of Keys to Success for a Furniture Company

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