How This Home Decor D2C Brand Relies Upon Strong Customer Service to Get an Edge in the Market

The company gives extreme importance to customer support and brings a wide range of home dcor products to their consumers relying upon their expertise in the home dcor category
How This Home Decor D2C Brand Relies Upon Strong Customer Service to Get an Edge in the Market 

The rapidly booming furniture sector, over the next 5 years, online furniture and home sales are expected to be growing at a strong 39 percent CAGR, has garnered a lot of attention in recent years. The sector is heavily driven by niche products as we see that the average selling price (ASP) on verticals is 10x higher for furniture and 2x higher for decor than horizontals, indicating the difference in target customer base. This suggests that there is a lot of consumer demand for unique and specific products allowing for a lot of innovation from the start-ups. 

Founded in 2015, home decor D2C brand The Décor Kart has been building a solid furniture brand with around 200+ suppliers across 5 countries (India, China, Czechoslovakia, Italy, and Thailand) and plans to open 2-3 stores every year going forward. The company gives extreme importance to customer support and brings a wide range of home décor products to its consumers relying upon its expertise in the home décor category.  

“We give extreme importance to customer support. For any grievance, or query, our support numbers, and WhatsApp numbers are readily available on the website - so much so that our customers have started to recall our support associates by their names. This level of trust has helped bring down the initial hurdle that stops a user to try a brand,” Nihal Kalra, Co-founder, and CEO, The Décor Kart. 

The company caters to most price points - our prices start at Rs 250 for certain kitchenware products and can up to Rs 60,000-70,000 for handmade oil paintings, large mirrors and furniture pieces.

The company which started as B2B (Business to Business) had collectively as an organization decided to phase out of the model and solely focus on selling products directly to customers (D2C). As a natural step, the company also realized that the opening of stores helped inculcated the trust: “Web-influenced sales in the stores and store-influenced sales on the website. Customers could try out our products in stores and order them at their convenience from our website and vice versa,” the company reported. 

The company’s current revenue split between online and offline is 70:30 - 70 being online. Currently, the brand has 4 stores. 

Understanding Home Décor Market

Home décor which is traditionally run by unorganized players has seen tremendous growth in the online channels: the online furniture category will foresee 3X growth in shoppers in the next five years with a 1.8x jump in annual spending per shopper. Given the D2C sector is rapidly booming with a multitude of investors interested in D2C, the home décor is expected to experience major developments with competition rising rapidly going forward. 

“It's wonderful to see the space gathering a lot of attention. I see the increase in competition as an expansion in the overall market. More players are getting involved, a higher percentage of our population is getting involved leading to more jobs, growth in the economy, and an overall increase in awareness about the indispensability of the home industry,” Kalra said. 

On the company's personal strategy, Kalra stated: "We want to keep supplying uncommon and unique homewares for our patrons. Give them a high-quality experience - be it in terms of product, customer service, or our stores. I believe if we can keep doing this, we won't have to worry too much about competition."

Future Plans

After having success in the D2C segment, it is solely in serving the customers, however, the company is also said to be considering the B2B channel again given the many queries they receive on a regular basis where retailers ask for its portfolio of products. 

Besides the offline expansion plan of 2-3 stores going forward as per their cash flows, the brand is working to refine its customer's experience and improve its portfolio of products. Also, increase its retail footprint in a sustainable manner and open its international website - starting in the UAE.

Along with to further scaling and improving its efficiencies, the brand is working to introduce AR on its website, live commerce being in the pipelines, and live design consultation for any design queries. 

“We want to grow sustainably and not try to scale before our time,” Kalra added. 

READ MORE: How Retailers in the Home Decor Category can Gain More Market Share

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