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Chris Schultz

The Two M’s of Making Money with a Furniture Website

Want to make money with your furniture website?  Then stay focused on the two M’s – Merchandising and Marketing – and remember that losing focus can mean losing money. 

WEBSITE ECONOMICS
In order for any project to make money, it must either generate revenue or reduce overhead in excess of its cost.  Pretty basic, right?  Why, then, do so few furniture retailers actually make money with their websites?  I think the answer is because they don’t have the correct focus and spend too much time and money on the wrong things.  In this, the first of two discussions about how to make money with your website, I will talk about the importance of displaying products on your website. 

WEBSITES ARE FRONT END TECHNOLOGIES THAT CAN GENERATE TOP LINE GROWTH
The biggest opportunity to make money with your website comes from its ability as a marketing and selling tool.  Unlike most furniture technologies, which are primarily designed to help companies communicate internally or with their suppliers, the Internet can connect your company directly to your customers and prospects. 

SHOWING PRODUCT SELECTION CREATES SALES
Showing products is the single most important thing you can do to generate revenue.  Just as merchandising drives your brick and mortar business, the merchandise shown in your online showroom will drive your Internet business.  People who visit your site want to see the products that you sell because they want to make a purchase. 

Internet shoppers understand the high cost of retail samples and inventory and they expect better selection online than in stores.  Use your website to expand your showroom – display coordinating items, alternate finishes and fabrics, and non-stocking items from key suppliers. 

ONLINE SHOPPING ENVIRONMENT
I like to think of a website as a new salesperson that can be programmed to assist customers.  It should help customers find products according to preferences, get information, compare items, get ideas, and buy furniture.  The most useful and effective websites require having your own web catalog that you can create and control.  Great websites allow customers to search by room, product type, style, wood finish, size, price, brand, item number, color or key word.  Make it easy for people to save items they like and email them to friends.  Make sure your site encourages visitors to contact you and come into your store. 

PRESENT EACH ITEM
Present each product the way you would want a great salesperson to educate and inform an interested customer.  Does your company do sales training?  Instill that same knowledge (and more) into your website.  Tell each product’s “story” - its decorating story, its construction story, and its functional story. 

TWO COST EFFECTIVE WAYS TO PRESENT PRODUCTS ONLINE
In addition to hosting a feature rich product catalog, you should consider (a) linking to your supplier websites, and (b) presenting digital photo galleries to cost effectively show products to your customers.  If you don’t have the resources to create your own product catalog at this time, then be sure to incorporate at least one, if not both of the following options into your site.

a. LINKING TO SUPPLIERS is the least expensive way to offer a lot of selection and functionality to your site.  If you are a retailer, you could have an attractive and affordable site that presents your key brands for just a couple hundred dollars.  Visit www.furnituredealer.net/nsf to see an example.  While many furniture manufacturer websites could use help, most of them show all or parts of their product catalogs.

b. DIGITAL PHOTO GALLERIES are an easy and affordable way to show pictures from your showroom (or from suppliers) on your website.  To see an example of a very affordable photo gallery made from manufacturer images, you can visit www.furnituredealer.net/photo.  The benefit of a photo gallery is that you have control and can present whatever you want and organize it however you want. 

Once you build a product rich online shopping environment, the next thing to do is attract customers.  In my next column, I will talk about search engine optimization and online marketing.  We should be able to help your website break even rather than break the bank!