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Sept

Introduction:

In today’s fast-paced retail industry, the Home and kitchen category holds a significant position both on and off Amazon. As consumers continue to invest in their homes and focus on creating functional and aesthetically pleasing spaces, this category has seen tremendous growth.

Evolution of Home & Kitchen

  • Traditional Retail Era: In the past, consumers relied heavily on physical stores to buy home and kitchen products. They would visit department stores, specialty kitchenware shops, and furniture outlets to fulfill their needs.
  • E-commerce Revolution: With the advent of e-commerce platforms like Amazon, the Home and kitchen category experienced a significant transformation. Consumers could now browse through an extensive range of products from the comfort of their homes.

How has e-commerce affected this business?

  • Specialty Stores: Specialty stores focusing on niche segments within the Home and kitchen category have gained popularity. These stores offer curated collections of products, providing customers with a unique and specialized shopping experience.
  • Direct-to-Consumer Brands: Direct-to-consumer (D2C) brands have emerged as a significant force in the Home & Kitchen category. By bypassing traditional retail channels, D2C brands can offer high-quality products at competitive prices, appealing to consumers who value transparency and authenticity.
  • In-Store Experiences: Physical stores have started focusing on providing immersive and interactive experiences to customers. From cooking demonstrations to personalized consultations, these experiences create a sense of community and build customer loyalty.

Statistical Data:

  • Revenue in a category is divided into 2 types of businesses: Branded & Private Label. In this category, Branded sellers capture almost 80.6%. This 80.6% is also divided into 3 more sub-categories: Low Income, Medium Income, and High Income sellers.
Numerator Data about Categories
  • These 5 products take a major share in this category. It shows people tend to buy common and cheap products online instead of going to the market to save time. And it also shows people are reluctant to buy expensive and sensitive products online. There are 2 reasons behind it: People don’t trust cargo services and people don’t trust sellers with their money.
Top products in home & kitchen category

How does Amazon play its role?

According to a survey, Home and Kitchen is the most popular category among small and medium-sized business (SMB) sellers on Amazon, with over a third (35 percent) of respondents saying they found good products.

This indicates that there is a high demand and a large market for home and kitchen products on Amazon.

Let’s have a look at the current trends of this category on Amazon:

  1. Wide Product Selection:

    Amazon’s extensive product catalog offers consumers a vast array of options when it comes to home and kitchen products. From kitchen appliances to furniture, customers can find everything they need in one place.

  2. Customer Reviews:

    Amazon’s review system has empowered consumers to make informed buying decisions. Product ratings and customer feedback help buyers assess the quality and functionality of home and kitchen products before making a purchase.

Statistical Data:

Let’s have a look at some statistical data gathered on various events. There are multiple online businesses that collect data on various topics. I will be referring to data published online in the form of reports.

  • Home and Kitchen is the most popular category among small and medium-sized business (SMB) sellers on Amazon, with almost 30% of the market share on the Amazon marketplace alone.
Top categories on Amazon
  • Home and Kitchen is also the highest-earning category on Amazon with $28.1 billion so far in 2022
Top amazon categories by revenue
  • Home and Kitchen is the second most searched category on Amazon with 7.0 billion product views, behind Clothing, Shoes, & Jewelry with 8.3 billion product views.
Top amazon categories by product views

Prime Day 2023:

We have a huge amount of data from this Prime Day. A big event like Prime Day brings fast and unique data and helps us get insights into seller psychology.

The numerator provides tracking data for the 2-day event. Let’s discuss some here:

  • Categories with most sales:

Home-related categories make up 29% of sales in total.

Top categories purchased in prime day 2023

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