Amazon.com, Inc. (NASDAQ:AMZN), Wayfair (NYSE:W) – Amazon Targets Furniture Assembly Service To Take Wayfair Pie: Bloomberg

  • Amazon.Com (NASDAQ: AMZN) is testing a premium service that allows customers to assemble furniture or appliances upon arrival at home, thus fueling the war with others Wayfair Inc. (NYSE: W), Best Buy Co Inc. (NYSE: BBY), Home Depot Inc. (NYSE: HD) and Lowe’s Companies Inc. (NYSE: LOW) reports Bloomberg.
  • Amazon plans to launch the service in Virginia and two other markets.
  • Amazon’s current shipments of large items have disappointed customers due to their unassembled delivery status.
  • The new service includes unpacking and assembling items, removing packaging and returning products to the driver in the event of dissatisfaction based on a Bloomberg verified presentation. Previously, customers had to hire another contractor to come to their home at an additional time to assemble the product.
  • Washing machine, dryer, and dishwasher installation training for drivers posed a threat to similar services from Home Depot, Lowe’s, and Best Buy.
  • The new offer was available in a limited number of cities. The service enabled customers to use the website to hire contractors to assemble furniture or install ceiling fans and wall-mounted televisions.
  • The service aims to make delivery cheaper and easier for Amazon.
  • Demand for larger items such as desks and office chairs had increased during the pandemic due to higher activity in the distance. Buyers also got used to buying items with large tickets online.
  • Online furniture and housewares sales grew 41% to $ 36.1 billion in 2020. Revenue of $ 37.3 billion was estimated in 2021. The surge in demand for oversized items resulted in delivery backlogs and weeks of delays, which presented an opportunity for Amazon.
  • Amazon has furniture brands for private label. The company started the virtual reality shopping function Showroom in 2019.
  • Price action: W shares were trading 0.60% at $ 319.18 on Friday’s last check.

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