Listen To Our Most Recent Podcast Episodes As Soon As They're Live: Here!

11 Year International Rugs, Carpets & Furniture eCommerce Brand – 67% YOY Growth – Stock & Dropship Model


Website Closers® presents a thriving eCommerce business that has a decade of experience satisfying the public’s desire for the special ingredient that makes every well-decorated room look truly exceptional. Since 2010, the brand has been offering a wide variety of stylish international rugs and carpets that are produced in six countries and manufactured just for this brand. Cutting out the middleman and importing these lush rugs directly allows this respected company to pass these savings along to customers. Unbeatable prices on top-quality, beautiful imports gives them the requisite edge to fleece the competition at every turn.

Additionally, powerful drop shipping tactics compliment the stocked items to ensure that rugs are consistently delivered on time or earlier than anticipated, giving the brand a strong reputation for excellence and superior customer service. On their top sales channel, Amazon, the company maintains a sky-high 95% positive lifetime seller rating – for good reason. Profits have been rising as the company now enjoys a 67% year over year growth rate, and the growing popularity of interior decorating among consumers means those trends are expected to continue. The global carpeting and rug market is projected to reach $138.4 billion by 2026, demonstrating a solid 6% growth rate. The demand for carpets and rugs has been high and should continue to show a steady increase as accent flooring maintains its status as the ideal way to enhance the overall appeal of any space. And this growth is in addition to the growth being caused by the movement away from Retail and into eCommerce. In such a competitive field, how did this brand find a way to stand out and build up a loyal customer base? They made some important strategic decisions along the way, which are worth reviewing.

Launched 11 years ago, this eCommerce business was aware of the high profit margins and high AOVs for companies operating within the niche field of home décor and furniture. Their next step was to source a wide variety of rugs – braided, shag, modern, traditional, southwestern, and outdoor – from vendors located across the planet that specialized in one or more of those popular styles. Their sourcing outreach was a global effort, leading to final supply decisions including factories in China, Greece, India, Turkey, the United States and Vietnam. The brand sources furniture in addition to rugs, including accent tables, benches, stools, coffee tables, console tables and end tables, as well as specialty items such as baskets, jars, figurines, pots and planters, and trays. This diverse stock insulates against individual market pullbacks and avoids stock concentration as a bonus.

Utilizing a variety of sales channels beyond their Shopify website has allowed this importer to reach new audiences and increase sales. Amazon currently represents 43% of sales, with Wayfair coming in second at 35%. eBay, Walmart, and Etsy were all recently included and are expected to further increase revenues in the coming year.

As sales have grown, so have the company’s SKUs.  They now have more than 1,200+ products in stock, but there are 50,000+ SKUs available to be drop shipped. Sales tend to peak during the fourth quarter and over the holiday season as shoppers invest in both sprucing up their homes for guests and exchanging gifts.

How does this company keep managing to sweep up their competition? Pricing is a key aspect of their success. Working only with smaller factories allows them to nail down the best possible pricing – for the company, and for their consumers. While they source from multiple suppliers, they only offer the fastest-shipping options from their vendors. This has given them a reputation for speedy shipping as well, something cited frequently in the many 5 Star reviews they have received on Amazon. Their top demographics are middle-aged women – the prime target homeowner group looking to enhance the look and quality of their home.

Typically, the company maintains a high level of inventory, up to $400,000+. With sales so strong they find themselves handling 250 shipments a day and nearly double that during peak season. While the company stocks about 70% of its SKUs (including for Fulfillment by Amazon), 30% is drop shipped.

Marketing has played a key role in their overall business strategy, with PPC ads and email marketing serving as their staples. PPC ads are run on Amazon, Google and Pinterest, where the brand has nearly 1,000 followers and is enjoying more than 401,000+ monthly views of their products. The company now runs aggressive PPC ads on all sales channels until organic sales start to flow in. With an email database of 14,000+ subscribers, the company also enjoys a solid return from its email newsletters.

The brand has a social media presence as well, not just on Pinterest but Instagram (1,700+ followers) and Facebook (1,000+ followers) as well. More aggressive social media strategies could be employed to take advantage of their impeccable reputation amongst buyers.

Since the rug industry remains so durable, this brand has some proven methods for increasing sales. Expanding the product line by branching out into additional categories as well as increasing their drop ship business to go beyond their current 30 vendors, will help drive sales, as well as adding items to various new channels and marketplaces. Expanding into international markets using Amazon’s channels in Canada, Europe, and Australia could open the door for massive scaling. Delving into the wholesale market is also a promising option, targeting B2B sales to local and regional furniture stores.

Advertising represents an improved opportunity as well. There’s plenty of room to grow through a higher ad spend on Amazon and Google.

Any aspect of the home furnishings and décor market can expect to do well in the coming years, and this brand is no exception. Sourcing great prices from top-notch manufacturers have helped their Faux Sheepskin and braided rugs have become top sellers.  This highly automated business, which requires no more than 10 hours per week to operate, is ready for a new owner to take the lead and soar into a whole new world of profits.

This eCommerce Business is Represented by:

Technology, Internet & eCommerce Business Brokers

Listing ID: WC2494

Asking Price
$ 4,250,000
Cash Flow
$ 1,000,534
Gross Income
$ 6,975,000
Year Established