Wayfair Competitors: Top 9 Wayfair Competitors [In-Depth Competitor Analysis]

Wayfair was founded in 2002 by Niraj Shah and Steve Conine. The two had worked together at Barnes & Noble, where Shah was a software engineer and Conine was a merchandising executive.

Both were disappointed in the quality of online furniture retailers and believed that they could do better. So they started the company in Shah’s dorm room at MIT.

Initially, the company operated as a B2B business, selling furniture to small businesses. At the beginning of the company only sold bedding and bath products.

This e-commerce company has since expanded to offer furniture and interior décor and now operates in 11 countries. Wayfair offers a wide selection of house brand products, competitive prices, and free shipping on most items.

Financial data

Wayfair is publicly traded on the stock exchange and has seen steady growth over the years. Their earnings per share (EPS) were $1.82 in 2016, and their price-to-earnings ratio (P/E Ratio) was 25. Their net income for 2016 was $217 million, and their revenue was $4.3 billion. Wayfair operates with annual revenue of $4.1 billion as of 2018.

Think of the P/E Ratio as a measure of how expensive one share of stock is, given all the company’s available equity. The higher the number, the more investors pay for each dollar invested in that company.

As an investment strategy for diversifying your portfolio risk, buying stocks with a lower P/E average has shown to be a better idea than those with a higher valuation.

Wayfair offers customers the possibility to browse through their site, which consists of more than 10 million products available on IKEA, amazon, and haverty furniture companies. It provides a wide range of furniture and interior décor services, from bedroom furniture to kitchen appliances.

SWOT Analysis

Strengths

Wayfair’s strengths include its ability to offer a wide variety of furniture and home décor options, as well as its competitive prices. They also have a user-friendly website and mobile app, making it easy for customers to browse and order items.

Weaknesses

One of Wayfair’s weaknesses is its lack of a physical store presence. This means that customers cannot try out items or get help from employees in person. They also do not have a return policy for items ordered online, which can deter some customers.

Opportunities

One of Wayfair’s opportunities is its growing market share. They are currently the leading online retailer of home furniture and décor, and they continue to expand their reach. They are also expanding their product offerings to include more than just furniture, which gives them a competitive advantage.

Threats

One of Wayfair’s threats is the possibility of Amazon entering the home furniture and décor market. Amazon has already disrupted several other industries, so it is possible that they could do the same in this space. Another threat for Wayfair is the current economic climate, impacting consumer spending on home furnishings.

Top 9 Wayfair’s competitors

IKEA

Founded in 1943 by Ingvar Kamprad, IKEA is a Swedish e-commerce company specializing in furniture and interior décor. IKEA started as a small mail-order company and has since grown into one of the largest furniture retailers in the world.

IKEA offers a wide range of furniture and home accessories, and its products are known for their minimalist design and low price tags. IKEA also offers a wide range of services, including home delivery, assembly, and financing.

Financial data

IKEA’s earnings per share for the fiscal year 2017 were 3.66 SEK. On the other hand, its price-to-earnings ratio was 31.14. IKEA’s revenue per employee is SEK 2.04 million, which means that for every worker the company hires, they make about 2 million Swedish kronor.

Market share and annual revenue

It is the world’s largest furniture retailer, with a market share of about 10%. It had annual revenue of $37.6 billion in 2017.

Amazon

Amazon was founded in 1994 by Jeff Bezos. This retail company started as an online bookstore, but it has since grown into one of the largest retailers in the world.

Amazon offers a wide range of products, including books, electronics, clothing, and home appliances. It also provides a wide range of services, including home delivery, Prime Video, and Amazon Prime.

Financial data

Amazon’s earning per share (EPS) and price-to-earnings Ratio (P/E Ratio) are two important metrics to look at when assessing a company’s financial health. For the past twelve months, Amazon’s EPS was $19.12, and its P/E ratio was 204.51.

This means that for every $1 of earnings that Amazon generates, investors are willing to pay $204.51. This is a high P/E Ratio, indicating that investors are expecting significant growth from Amazon in the future.

Market share and annual revenue

Amazon is the largest retailer globally, with a 20% share in the online marketplace. It had annual revenue of $178 billion in 2017.

Amazon’s revenue per employee is $1.2 million, which means that for every worker the company hires, they make about 1.2 million dollars. Amazon’s net income for 2017 was $10.2 billion, and its price-to-earnings ratio was 165.5.

Walmart

Walmart is a discount retailer that Sam Walton founded in 1962. The company has become the world’s largest furniture seller, with more than 11,000 stores in 27 countries.

Walmart offers a variety of products, including clothing, electronics, home goods, and groceries. The company also provides several services, including money transfers, optical services, and pharmacy services.

Financial data

Walmart is a publicly-traded company on the New York Stock Exchange. As of May 1, 2019, Walmart stock is trading at $101.73 per share and has a market capitalization of $287.5 billion. The company earns a quarterly dividend of $0.52 per share, which yields 2.6% annually.

Walmart’s price-to-earnings (P/E) ratio is currently 17.8, which suggests that the market expects the company to grow its earnings at a rate below the average for companies in the S&P 500.

Market share and annual revenue

Walmart is the largest retailer in the world, with a market share of over 20% and annual revenue of over $500 billion. It is also the largest private employer globally, with over 2 million employees.

Target

Target was founded in 1902 by George Draper Dayton. The store offers gross merchandise sale and clothing for men, women, teens, kids, and babies. It also provides a variety of home décor, beauty products, food, and baby supplies.

The company is headquartered in Minneapolis, Minnesota. It operates 1,839 stores in the United States. Target is the second-largest American e-commerce website, behind its competitor Walmart.

This e-commerce company has online stores that offer many of the same services as Wayfair, but there are also many differences between these online stores. For example, target’s prices are often lower than Wayfair’s, and they offer free shipping on orders over $25.

Financial data

The company’s earnings per share for the year ending 2017 was $5.73 on $71.62 billion. For 2018, Target expects to earn between $5.30 and $5.50 earnings per share. The company’s price-to-earnings ratio is 21.4 as of January 31, 2018.

Market share and annual revenue

Target is undoubtedly one of the top e-commerce stores for furniture and décor. It’s estimated that the retailer raked in nearly $3 billion in revenue from furniture and décor sales in 2017.

This figure is up significantly from the $1.8 billion it earned in furniture and décor sales in 2013. With a market share of nearly 15%, the target is well ahead of the competition to sell ready-to-assemble furniture and décor online.

Sears

Sears, Roebuck, and Company, colloquially known as Sears, is an American chain of department stores founded by Richard Warren Sears and Alvah Curtis Roebuck in 1893. The company began as a mail-order catalog business. The company’s headquarters were in Chicago, Illinois.

It is a public company and has been in business since 1886. Sears offers a wide range of products, including clothing, appliances, tools, and electronics. The company also operates Sears Hometown and Outlet Stores, which offer a more limited selection of products.

Financial data

In 2017, the company reported losses of $2.2 billion. In Q1 of 2018, Sears reported a net loss of $424 million. Sears has also continued to close retail locations as well.

Market share and annual revenue

Sears Holdings operated 1,001 stores under the mastheads of Sears, Roebuck and Co., and Kmart, including 979 full-line stores, 20 specialty stores, and two home improvement stores. Annual revenue was $22 billion as of October 2017.

Etsy

Etsy is a website that offers handmade or vintage items and supplies for sale. The company was founded in June 2005 by Robert Kalin, Chris Maguire, and Haim Schoppik.

It is based in Brooklyn, New York. Etsy has been able to grow rapidly due to its products and being a global company. In addition, it has reached out to many people because it is an online platform.

If you want to buy something unique (such as your wedding décor), Etsy may be the place to do some shopping. There you’ll find anything from tchotchkes to fine art, all at different price points.

Financial data

Etsy’s financial position is very good, with an earning per share of $0.40 and a P/E Ratio of 55. 75 as of January 31, 2018.

Market share and annual revenue

Etsy has a market share of .10% and generated $195 million in revenue in 2013.

Lowe’s

Lowe’s was founded in 1946 by Lucious Lowe in Wilkesboro, North Carolina. The company started as a hardware store.

In 1954, the company opened its first location outside Wilkesboro in Boone, North Carolina. Ray Kroc, the founder of McDonald’s, met with Lowe and convinced him to start a franchise program. By 1967, there were 100 Lowe’s stores.

In 1982, the company opened its first store in Canada. In 2004, the company was bought by the husband and wife team, Robert and Mellinda Madden. The Maddens took the company public in 2006. As of 2017, there are 2,390 Lowe’s stores in operation.

The foundation of Lowe’s was started by Lucious Lowe and his business partner, Carl Buchan. The store was started in 1946 and has since grown into a multinational corporation with stores worldwide.

The Retail Segment also supports more than two-thirds of the Operating Income. As a result, revenues generated by Lowe’s retail business are essential to the company’s success.

Financial data

The company has been able to maintain a positive earning per share and a low P/E ratio. The company’s revenue stream comes primarily from the Retail segment, which generated over 62% of the total revenue in 2017.

Market share and annual revenue

The company has a market share of about 21% in the U.S. It reported $68.6 billion in revenue for the 2017 fiscal year. Lowe’s is a publicly-traded company, and it has about 2,350 stores in the U.S., Canada, and Mexico.

Ashley Furniture

Ashley Furniture Industries, Inc. is an American furniture manufacturing company founded in 1945 by Howard and Jack Ashley.

It is the largest furniture manufacturer in the world. As of 2016, Ashley employed approximately 17,000 people and operated 34 factories in the United States and eight other countries.

Howard and Jack Ashley 1945 founded the company. The brothers started the business in their garage with a $200 loan from their father.

The first product Ashley Furniture produced was a wooden rocker. In 1951, the company moved to a larger manufacturing facility and produced bedroom sets.

In 1970, Ashley Furniture opened its first distribution center and sold furniture through independent retailers. By 1980, the company had opened its second distribution center.

In 1981, Ashley Furniture began making kid’s furniture. The company launched a home furnishings product line designed for mass merchandisers that same year.

By 1985, sales had grown to $100 million and then to $500 million in 1988. In 1989, two of the founder’s sons, Bruce and Paul Ashley, assumed management responsibilities.

Financial data

Ashley Furniture is one of the leading furniture companies in the world. It has a market capitalization of $4.5 billion and earns annual revenue of $3.7 billion. The company has a solid financial position with an earning per share of $2.48 and a P/E ratio of 8.8.

Market share and annual revenue

According to the latest reports, Ashley Furniture Industries, Inc. has 34% in the furniture industry. In addition, the company has an annual revenue of $5 billion. This makes Ashley one of the leading providers of furniture in the world. The company operates more than 500 stores in over 50 countries.

Macy’s

Macy’s, Inc. is an American department store chain founded in 1858 by Rowland Hussey Macy. It became a division of the Cincinnati-based Federated Department Stores in 1994, through which it is affiliated with Bloomingdale’s chain.

As of July 2016, Macy’s operated 728 stores in the United States, Guam, and Puerto Rico under the brands Macy’s and Bloomingdale’s and the macys.com and bloomingdales.com websites.

Financial data

Macy’s is a major retailer in the United States, and it has been struggling in recent years. For example, Macy’s earnings per share have declined, and its P/E ratio is relatively high. This suggests that investors don’t believe that Macy’s will improve its financial position in the future.

Macy’s P/E Ratio is about 25.19, compared with the industry average of 18.92. A high ratio means that investors expect big things from Macy’s in the future – either earnings growth will be fast or at least higher than its competitors.

Market share and annual revenue

The company had 130,000 employees and earned annual revenue of US$24.8 billion as of 2016. It is the second-largest U.S. department store company by retail sales and the twelfth largest retailer in the United States.

Macy’s is one of the largest department store chains in the United States. The company operates more than 850 stores in 45 states, the District of Columbia, Puerto Rico, and Guam. The company’s market share was 6.5% in 2016.

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Conclusion

Several e-commerce stores of furniture face serious competition from Wayfair. The company is expanding at an impressive rate and cutting prices to offer consumers the best possible value.

However, its focus on quality and convenience ensures that customers choose Wayfair over other options. This is likely to remain the case for the foreseeable future.

Thanks to its focus on quality and convenience, Wayfair is likely to remain a top choice for consumers looking for affordable home furnishings.

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