According to experts, Indian home decor market is about USD 15-20 billion including both online and offline modes. It is estimated that out of total market share, 40-50% is accounted by furniture (subcategory), thus denoting a huge scope under the category. Understanding the growth potential under this segment, online marketplace Snapdeal has marked its foray in the furniture category.
With the launch of the Furniture category, Snapdeal has also expanded its product assortment in Home & Kitchen category. In the coming time, it will also be launching an exclusive Outdoor Furniture category.
The furniture market in India is highly fragmented where around 85-90 per cent of national production comes from regionally small size firms. “There is a huge potential but very less offering available locally for the consumer. Even organized retail is not able to offer their complete collection under one roof. Launching Furniture, is in line with company’s philosophy of providing everything to the customer under one roof at best prices,” said Amit Maheshwari, Vice President, Fashion at Snapdeal.com.
There are over 1000 products that are available right now under this category on the website, which include tables, chairs, storage cabinets, etc. The brands that are available include Furniture Kraft, Housefull, Induscraft, FabFurnish, etc.
As the average ticket size is higher under this category with margin of 30-40%, it has emerged as one of the profitable category in the ecommerce.
Other players in the same segment include Zansaar, Pepperfry, Fabfurnish, Urban Ladder, etc. The furniture category is also available on other marketplaces including Jabong, Homeshop18, eBay, etc.
Snapdeal features a wide range of categories from thousands of regional, national, and international brands and retailers across categories including Mobiles, appliances, Home and Kitchen, Sports, Books, etc. and is expected to add many more categories in the coming time.
Backed by eBay Inc, Intel Capital, ru-Net, Saama Capital, NVP, Kalaari Capital, BVP and many other angel investors, Snapdeal is targeting to reach INR 2000 crore this fiscal. It competes with other marketplaces like eBay, Flipkart, Shopclues, etc.
Read here to know more about the Opportunities and Players in Online home decor and furniture market in India.