Introduction
At the time of purchasing new home decor furniture, Wayfair is the first name that crosses our mind. The home decor selling website, Wayfair has gained huge recognition among people. Wayfair sells around 15 million pieces of furniture on its five websites. With its more than 80 in-house brands, Wayfair shares a significant dominance in the online furniture market. Here, let’s know ‘Does Amazon own Wayfair?’
On the other hand, Amazon has become omnipresent in nearly every venture and industry. In this case, furniture and home decor are also not untouched by the conglomerate. This brings us to the final question, does Amazon own Wayfair? Wayfair is not a subsidiary of Amazon. Rather both the companies are each other’s rivals in the furniture industry.
If not Amazon, then who owns Wayfair??
As it is clear that Amazon is not the parent company of Wayfair, it might be interesting to know the ownership structure of the furniture giant. Wayfair has no parent company, as it is its boss. Wayfair also runs some other different brands and structures related to the furniture industry. As of now, Wayfair is the sole owner of Joss and Main, All Modern, Birch Lane, and Perigold. Wayfair’s popularity is increasing day by day. But the company doesn’t manufacture the furniture on its own, as it simply purchases and supplies the furniture to its customers. It bridges the gap between the finest of furniture makers and buyers.
Wayfair’s controversy
After coming into existence in 2002, the company has been growing its customer base with its high-quality designer furniture and home decor items. However, the company has also been surrounded by some controversies. In 2019, Wayfair witnessed the mass employee walkout. The company was also alleged to be a part of some conspiracy theories of heinous crimes. The way these incidents received media attention, validated the growing popularity of Wayfair in America.
Why didn’t Amazon buy Wayfair?
It is a basic tactic of any giant conglomerate to buy a company of a particular industry, where it is difficult to break into for the giant conglomerate. In the case of Amazon, it was already earning a good amount of profit from its furniture sales. A wide variety of designer sofas, beds, tables, and other furniture is available on Amazon’s Website. Wayfair has become popular in recent times. However, how it has grown popular is of no use for Amazon, as Wayfair’s business model, and revenue structure is a lot more similar to Amazon. Another aspect is the advanced reach of Amazon across the world, whereas Wayfair is a growing company whose reach is limited to country level.
Amazon vs Wayfair
For furniture buyers, shopping at Amazon and Wayfair comes with its pros and cons. Wayfair is fully dedicated to furniture and home decor. That’s why people may find a huge variety of furniture. Moreover, its website is more organized and has specific sections for different kinds of furniture. This improves the shopping experience of customers who are clear about their requirements. However, people have to compromise with the price, as they may find furniture at Wayfair a little too costly. On the other hand, Amazon is famous for its competitive pricing. People will find the best furniture at the lowest price. But people have to compromise with the variety. People who have jumped to Amazon’s website to look for furniture after searching it on Wayfair may get disappointed in terms of variety.
Should Amazon buy Wayfair?
Amazon is a giant corporation, which is attaining omnipresence by entering into every industry. As soon as it takes over any company, it infuses capital and increases profitability by opting for a competitive pricing strategy for its products. This will ultimately benefit the customers. On the contrary, a merger or a takeover might be tough for the company’s employees. From past experiences, it was evident that whenever Amazon buys another company, there is a huge layoff of the latter’s employees. Hence, such a takeover will be hard for Waufair’s employees. For Amazon, doing a lot of reshuffling, inducing money into Wayfair after its takeover won’t yield many results. Mainly because it already has a niche in the furniture market. Rather, Amazon should look for some other company, of an industry where it is completely absent, to make all the reshuffling and investment worth of a merger.
Conclusion
For those who are looking for stylish and designer furniture for their home, Wayfair is the best website to visit. As the company is not owned by Amazon, they have another option of comparing the same item on Amazon’s website. However, there are chances that some of the items they selected on Wayfair might not be visible in the furniture category of Amazon, because it is difficult to compete with Wayfair in terms of furniture variety. On the other hand, the furniture at Amazon is budget-friendly. However, thorough research on both websites will help the buyers in grabbing their best deal.
FAQ
Q1. Does Wayfair manufacture furniture?
Answer. Just like Amazon, Wayfair doesn’t manufacture furniture. Rather, it bridges the gap between manufacturers and buyers.
Q2. Who founded Wayfair and when?
Ans. Wayfair was founded in 2002 by Neeraj Shah and Steeve Conine.
Q.3 Is Amazon bigger than Wayfair..?
Ans. Amazon is way too big and popular than Wayfair. In terms of turn-over, Wayfair is too far behind Amazon. Wayfair has a net worth of $185 million and Amazon has a net worth of $ 21.331 billion.