Question

Wayfair’s marketing strategy and marketing prospective

Answer 1

Wayfair is an American online furniture retailer which was founded by Niraj Shah in 2002. This company is very successful due to its well planned marketing strategy and has surpassed many furniture retailers since its origin. The company sells furnitures and home decors with minimum inventories by shipping the ordered items directly to the customers from the suppliers. The main business model of Waifair relies on the growth of the company rather than making money. They know that once the company captures the market and win customers' hearts, it would not be difficult for the company to earn higher revenues. Holding of negligible stock and limited inventories are the part of the company's cost driven structure. The only platform where it spends money is promoting the company online

  Marketing prospective of Wayfair centres around the needs of their customers. They try to meet the needs and tastes of their customers by catering products according to their tastes, budget, styles and purchasing goals. Vast selection of furnitures, home furnishing, goods and decors are offered on their websites without keeping much inventories and ships products directly to the customers by drop shipping from the suppliers. It allows customers to locate their ideal products at the correct costs. The company tries to be customers friendly for every segment of people in the society by dividing the customers base into five categories viz. wayfair.com, Joss & Main, AllModern, Dwellstudio, Birch Lane where products are segmented according to the different customers' tastes and budget.