How the Furniture Industry Evolved: The Role of Digital Innovation

Over the past two decades, there has been a sea of change in the furniture sector, stirred mostly by the rise of online platforms and e-commerce. Furniture purchases were done at stores because this is traditionally a visual and tactile industry-“seeing is believing,” or at least it used to be. Times have now changed, and with growing technological influences coupled with changing consumer behaviours, the way people shop for furniture has changed. In this regard, the UK furniture industry has equally been within the limelight, with several brands embracing digitalisation for wider reach and improved service to modern consumers.

The E-commerce Revolution

“At the very root of this evolution is the explosion of e-commerce.”

Consumers do not have to adhere to the physical store entries by exploring what is available as furniture within a store. Online websites introduce consumers to the option of glancing through various products of different brands with just a click.

Online furniture giants like Made.com and Swoon have cashed in on this trend by offering huge collections online only, many times cheaper compared with what traditional retailers could sell, since the middleman has been cut out.

It has also taken away some of the hassle from customers for whom conventional shopping was too much of a hassle. In its place, it gives the customer the ease of sitting at their homes, browsing by style, colour, material, and price, along with consumer reviews to enlighten their choice.

Customisation and Personalisation

One of the most needed benefits from online channels is ordering furniture per individual request.

Where customisation conventionally meant longer lead times and more money, it has been democratised with digital tools. Many online retailers today offer customers interactive opportunities for personalisation– from finishes to fabrics, configurations that best fit their personal style, and home space. Other brands putting the trend to great use are Loaf and Swoon, with both enabling consumers to design bespoke pieces for their particular needs.

The Application of Technology: Augmented Reality and 3D Visualisation

Until now, a major point that worked against furniture shopping online was an inability to see what a particular product would look like within a particular space. But technology advancements sure have helped solve this problem-especially regarding augmented reality and 3D visualisation tools.

The convenience provided through today’s apps and websites is immense for the customer to visualise furniture in their rooms, even before buying. Made.com and John Lewis had integrated these kinds of technologies into their websites. These considerably beef up online shopping experiences.

In addition to consumer confidence, design compatibility will go up and the general rate of return, which is considered a very painful area within the e-commerce business-to-consumer and customer-to-business sides, will be brought down by offering such a tool from the retailers.

Sustainability and Ethical Consideration

The more eco-awareness there is, the more consumers want ‘green’ furniture, or at least sustainably sourced and also ethically produced. The internet has made it so much easier now for brands to really focus in on their supply chains, their production processes, and their environmental impact, thus empowering consumers with better choices.

UK brands have enjoyed a good reputation thus far for craftsmanship and sustainability, such as Heal’s. Being online has allowed them to make this statement to a much wider audience asking for greener furniture solutions. This has enabled new brands to be sustainable and will make sustainability at the core part of the business models of existing ones.

The Rise of DTC Brands

Now that the DTC model has hit the retail scenes in many industries, furniture was not about to be left out. The direct-to-consumer model cuts out middlemen, so DTC companies can offer high-quality, design-driven furniture for less than what traditional retail would support.

Sleek designs and relatively affordable pricing helped companies such as Made.com and Swoon break through in efforts to make designer furniture more accessible to a broader audience.

Similarly, these DTC brands have spent big on digital marketing and social media to reach young and design-conscious consumers. In the realm of furniture marketing, Instagram and Pinterest have surfaced as strong trend drivers, where brands create desirable content speaking directly to the consumer.

Omnichannel Approaches: Where online meets offline

Where it has disrupted the norms is through an omnichannel model that truly harnesses the power of digital commerce but with the addition of some really key physical touchpoints. For example, Loaf and Habitat opened physical showrooms to complement and support their digital offering.

Of course, where there’s the opportunity to present the product in a physical environment, the convenience remains to order online.

In fact, this is very rewarding for those consumers who would wish for the convenience of online shopping but still want to be personally involved in hands-on shopping. It has also helped traditional retailers stay relevant within an increasingly digitally activated marketplace because such an omnichannel approach makes them appeal to a wider array of shopping preferences.

Supply Chain & Delivery Logistics

Innovation in Supply Chain and Delivery Logistically, it was always hard to deliver the big pieces of furniture, but with recent developments in supply chain management, related service provisions have grown.

Major retailers offer different options, which range between a window for scheduled delivery up to white-glove services, including installation. As a matter of fact, in that respect, for instance, John Lewis has extended better delivery and installation services.

That provides for a seamless customer experience right from start to finish.

Further, keeping customer satisfaction in mind, brands have turned a notch up by providing great return policies and guarantees to help in mitigating risks associated with furniture purchases made online.

UK Brands: Leading the Evolution

This revolution has been in large part led by some leading UK brands, which have remodelled their business to find relevance in the digital era.

1. Made.com: It designs everything from more affordable furniture pieces through to the more mid-range and high-of-the-line, more complex items-without intermediaries in conventional retail.
2. Swoon: Known for its design-led, trend-driven collections, Swoon has harnessed social media to engage with design-conscious consumers.
3. Loaf: An online-only brand originally, now extended into the real world with physical ‘Loaf Shack’ stores, it’s a brand retaining a digital heartbeat in making comfortable, fashionable products.
4. Habitat: Once high-street stalwart, Habitat has embraced e-commerce while also embedding its offer in-store for Sainsbury’s.
5. John Lewis: The legacy department store that did manage to adapt to the digital era with an omnichannel approach and improvement of its online features.
6. Roobba: A pure-play online-only brand, with strong brand marketing utilizing micro-influencers, to drive its fashion ideas with an enhanced supply and delivery network.

Conclusion

E-commerce truly proved to reshape online furniture into one that is more available, flexible, and customer-friendly.

These have brought a revolution in the furniture marketplaces of the UK due to the changes in consumer behaviour and technological development from e-commerce and DTC brands across to AR and sustainability.

In the last 2 years we have grown Roobbas revenue by 90%, increased search traffic by 165% globally, increasing brand awareness and consideration, utilising a multi channel approach, which also increase daily social engagement by 20x.

If you’re looking for a partner to drive your business forward, reach out to one of our experts.