In today’s age of aesthetics, furniture businesses have been growing to provide pieces that meet people’s home design standards. When the pandemic came onto the scene, people had no choice but to stay home. As a result, many have started redesigning and renovating their spaces to become work-friendly environments.
That sudden shift in demand paved the way for furniture businesses to grow in the last two years. Because of that, many people are now considering starting their furniture business. But like any business around us, managing a furniture business is just as hard. It can be even more challenging if you’re a starting entrepreneur.
If you go online, you’ll have the impression that furniture businesses are acing their businesses because of the glamorous advertisements they have. The thought that many are still redesigning their homes also affects how we see furniture businesses. Of course, it’s exciting to start a furniture business, especially if it’s the business type you like. However, it’s nice to be aware of the possible disadvantages you might encounter to help you manage your expectations better.
If you’ve been thinking of starting a furniture business, here are seven possible disadvantages that might come your way.
1 – Tight competition
First, let’s start with the disadvantage that almost any business experiences. When starting a business, it can often feel like you’re the only brand offering the products and services you have. It’s as if you’re the pioneer, and you’re bound to make it big. But in reality, you have hundreds to thousands of competitors aiming to make it big like you.
Today, many furniture businesses sell the same design pieces that many homeowners love. They only differ from the product name, price, material, and craftsmanship. One of the furniture styles that many people love today is rattan-made pieces. If you look at the catalogue of furniture shops, you’ll find a design similar to this famous Cesca chair that many homeowners love.
As you start your furniture business, keep in mind that the market competition is high. Keeping this in mind will help you strategise better and manage your expectations as you start your business.
2 – Setting your pieces apart from the competition
Since the competition is tight, another disadvantage you could have is setting your items apart from the market. When different brands offer the same furniture pieces, it becomes harder for people to choose which brand to buy from and trust. As a result, it’s challenging for brands to appeal to their target audience.
Unless you’re offering furniture pieces different from what other businesses are selling, you don’t have to think about this. However, if you’re planning to sell similar furniture pieces that other brands offer, you must set your items apart from the competition. Doing so will help you attract new clients and increase brand recognition.
3 – Delivery complications
Another disadvantage you could have is delivery complications. Today, online shopping has become the most convenient and preferred shopping method for many. Aside from the discounts and promos of online shopping, it’s also nice knowing that you won’t have to leave your house to get your order.
The thing is, it’s a different case when it comes to furniture pieces. Since furniture is big, delivery complications could happen. If the items arrive with dents or scratches, you’ll spend more on replacing the item and for its re-delivery. Aside from those, client reviews could change and could affect your brand.
4 – Having a steady monthly sale
If someone asks you, “how often do you replace and buy new furniture?” what would your answer be? According to research, people take at least a decade or more to replace their home furniture. Since that’s the timeframe of people’s furniture shopping habits, expect that it’s hard to have a steady monthly sale.
But don’t let this discourage you from starting your furniture business. Experts say that most don’t make a profit in their first year upon starting. Usually, it takes 18 to 24 months for a company to reach its profit goals. But as long as you have strategies and plans to market and manage your business, you’ll surely do well.
5 – Building a solid target audience
Since people take about a decade to replace and buy new furniture pieces, building a solid target audience could take a while. Unless you’re franchising a huge furniture brand, this is a possibility for your business. That’s why small businesses must work on their marketing strategies.
It becomes easier to attract and build an audience when you know how to market well. When you have an online presence, the right people will find you quicker and will help you raise brand awareness.
6 – Managing a physical store could be unideal and challenging
One of the perks of starting an online business is saving money on renting or buying a physical space for your store. However, there are some products that people prefer seeing in person first, before buying, such as furniture.
You can skip this if you don’t plan on opening a physical store. But if you’re targeting to have one, expect it to be demanding. Aside from that, you will need to allot a budget for maintaining the physical store. Even though you don’t plan to start a physical store, you might need an area for your furniture storage area.
Expect that when you have one, it can be challenging to maintain it, especially if you don’t have a steady income flow.
7 – Working with suppliers that also work with other furniture businesses
The chances of working with the same supplier as your competitors are high in any field. And even though this is normal, this could be a disadvantage, especially if product quality is critical to you.
Since many suppliers offer pieces at affordable rates, there are times when their product quality doesn’t meet your standards. Mass production of furniture pieces could result in poor quality. If you need a supplier, try to look for one that doesn’t supply many furniture businesses. That way, you can avoid possible supplier issues that could happen.
These disadvantages could be your advantages when you plan and work on them.
As I mentioned earlier, every business has its disadvantages. And starting a furniture business is no exception to that. But if you work on those possible disadvantages, they can become your business’s advantages. After all, business is all about strategising and planning well.
About the author:
Bianca Banda is a writer for Where Saints Go U.K., an eclectic online furniture company that provides unique, beautiful, and quality furniture pieces at affordable prices.