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The home and garden products B2C e-commerce market size is forecast to increase by USD 44.99 billion at a CAGR of 13.5% between 2023 and 2028. The market is experiencing significant growth, driven by several key trends. The rise in online spending and smartphone penetration has led to an increase in sales, as consumers increasingly prefer the convenience of shopping from home. The emergence of omnichannel retailing, which integrates online and offline channels, is also a major trend, allowing consumers to seamlessly switch between platforms. However, the criticality of supply chain management in ensuring timely delivery and reducing overhead costs poses a significant challenge for market participants. Effective logistics strategies, such as implementing efficient supply chain networks and optimizing delivery routes, are essential for success in this competitive market.
The home and garden products segment in the e-commerce industry has witnessed significant growth due to the increasing trend of online spending and high smartphone penetration. Consumers now prefer the convenience of shopping for household items, home décor, home improvement products, and garden products online. E-commerce expansion and the rise of direct-to-consumer brands have made it easier for consumers to access a wide range of commercial and niche market products, including plant-based protein products, gluten-free products, organic cosmetics, and more. E-commerce platforms offer easy payment options, cash on delivery, and flexible return policies to enhance the customer experience. The integration of 5G technology and the rise of smart home and smart wearables have further fueled the growth of online sales in this sector. Social media marketing and subscription services have also become essential tools for brands to reach and engage with their audience. The consumer goods industry is expected to continue its shift towards e-commerce, with online shopping becoming a preferred choice for consumers in the coming years.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion " for the period 2024-2028, as well as historical data from 2018 - 2022 for the following segments.
The home decor segment is estimated to witness significant growth during the forecast period. The market has witnessed significant growth in recent years, driven by the increasing trend of online spending and the widespread adoption of smartphones. Cash on delivery and easy payment options cater to the needs of the household sector, which includes home decor, home improvement products, and garden products
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The home decor segment was the largest segment and was valued at USD 18.77 billion in 2018. The market encompasses a wide range of niche markets such as plant-based products, gluten-free foods, organic cosmetics, and more. The integration of 5G technology and the rise of smart home and smart wearables have opened new opportunities for e-commerce expansion. Online shopping has become a preferred choice for customers seeking convenience and personalized experiences. E-commerce platforms have responded by offering various online sales promotions and subscription services. Hence, such factors are fuelling the growth of this segment during the forecast period.
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APAC is estimated to contribute 57% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The market has witnessed significant growth due to increasing online spending and smartphone penetration. Consumers now prefer the convenience of shopping for home decor, home improvement products, garden products, plant-based products, gluten-free foods, and organic cosmetics online. Cash on delivery and easy payment options cater to the commercial, household, and niche markets. The integration of 5G technology enables faster transactions and enhances the customer experience. Smart home and smart wearables have expanded the market, offering personalized solutions. Hence, such factors are driving the market in APAC during the forecast period.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Rise in online spending and smartphone penetration is notably driving market growth. The global B2C e-commerce market for home and garden products has experienced significant growth due to the increasing Internet penetration and the popularity of online shopping via smart devices.
This trend is particularly noticeable in the home decor, home improvement, and garden products sectors, which include home-based goods such as plant-based products, gluten-free foods, organic cosmetics, and smart home and wearable devices. E-commerce expansion has led to the proliferation of various e-commerce platforms, offering easy payment options, cash on delivery, and customer-friendly return policies. Thus, such factors are driving the growth of the market during the forecast period.
The emergence of omnichannel retailing is the key trend in the market. The market, including Home Decor, Home Improvement, Garden Products, Plant-based items, Gluten-free foods, Organic cosmetics, and more, is experiencing significant growth due to increased online spending and smartphone penetration. Consumers prefer the convenience of easy payment options, cash on delivery, and the ability to shop from anywhere, anytime.
E-commerce expansion continues to drive sales in these niche markets through online shopping on company websites and popular e-commerce platforms. The integration of 5G technology and the rise of smart home and smart wearables further enhance the customer experience. Social media marketing and subscription services in Beauty, Fashion, Food, and other sectors contribute to customer loyalty for Direct-to-Consumer Brands. Thus, such trends will shape the growth of the market during the forecast period.
Criticality of logistics management leading to high overhead cost is the major challenge that affects the growth of the market. The market is experiencing significant growth due to increasing online spending and smartphone penetration. Consumers are increasingly opting for easy payment options, such as cash on delivery, to purchase home decor, home improvement products, garden products, plant-based products, gluten-free foods, and organic cosmetics. The expansion of 5G technology is enabling the growth of smart home and smart wearables, further fueling the demand for these products.
E-commerce platforms are focusing on improving customer experience by offering niche markets, subscription services, and targeting specific segments in beauty, fashion, food, and other categories. Social media marketing is a key strategy for reaching customers and building customer loyalty. However, challenges such as logistical complications, including the lack of standard delivery services and slack in logistics management, can negatively impact the market. Hence, the above factors will impede the growth of the market during the forecast period
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Amazon.com Inc: The company offers home and garden products such as Christmas decoration and LED lighting.
The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The ecommerce market for home and garden products is experiencing significant growth due to the increasing trend of online spending. With the high penetration of smartphones, consumers can easily browse and purchase home decor, home improvement products, and garden items from the comfort of their homes. Cash on delivery and easy payment options cater to the convenience of customers, driving sales in this sector. The expansion of e-commerce is not limited to commercial and household items but also includes niche markets such as plant-based products, gluten-free foods, organic cosmetics, and more. The integration of 5G technology and the rise of smart home and smart wearables are expected to further boost sales. E-commerce platforms are focusing on enhancing customer experience by providing a wide range of products, easy return policies, and subscription services. Social media marketing plays a crucial role in reaching out to potential customers and building customer loyalty. Direct-to-consumer brands are also gaining popularity in the beauty, fashion, and food industries. Overall, the home and garden e-commerce market is poised for growth, with online shopping becoming an integral part of modern consumer behavior.
Market Scope |
|
Report Coverage |
Details |
Page number |
172 |
Base year |
2023 |
Historic period |
2018 - 2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 13.5% |
Market growth 2024-2028 |
USD 44.99 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
10.9 |
Regional analysis |
APAC, North America, Europe, South America, and Middle East and Africa |
Performing market contribution |
APAC at 57% |
Key countries |
China, US, Japan, UK, and France |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Amazon.com Inc., BAUHAUS E Business Gesellschaft fur Bau und Hausbedarf mbH and Co, Bed Bath and Beyond Inc., Costco Wholesale Corp., Godrej and Boyce Manufacturing Co. Ltd., Golden Acre Garden Sentre, Hennes and Mauritz AB, Home Depot Inc., Inter IKEA Holding B.V., Lowes Co. Inc., Lulu and Georgia Inc., Penney OpCo LLC, Reliance Industries Ltd., Target Corp., Tesco Plc, Ugaoo Agritech Pvt. Ltd., Walmart Inc., Wayfair Inc., and Williams Sonoma Inc. |
Market dynamics |
Parent market analysis, market report , market forecast , Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Product
7 Market Segmentation by End-user
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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