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the “back-to-school economy” heats up the home furnishing consumption market, and leading e-commerce platforms increase their investment in children’s products

2024-09-01

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as the school starts in september, the home furnishing market is experiencing a small sales peak. recently, securities times e-company reporters visited ikea and easyhome stores in beijing and found that many parents were choosing home furnishings for their children. in home furnishing stores, the children's home furnishing area was crowded with people, and all kinds of children's home furnishing products, from children's beds, desks to bookshelves, table lamps, etc., were popular.

walking into the ikea store in siyuanqiao, beijing, the reporter found that parents were gathering in front of the children's display area, carefully selecting home products suitable for their children's age and growth needs. in particular, the height-adjustable study tables and chairs and interesting cartoon bedding attracted many consumers. a parent at the scene told the reporter that when choosing children's home products, in addition to paying attention to the product's appearance design, he paid more attention to the product's environmental safety and practicality.

at the nearby juran home north fourth ring road store, the children's home furnishings section was also bustling with activity. stores launched back-to-school special offers, with discounts, discounts, gifts and other promotional methods emerging one after another, further stimulating consumers' enthusiasm for buying.

a salesperson from a well-known furniture chain brand told reporters that the store's customer flow has increased significantly since the summer vacation. as the school season approaches, the demand for children's furniture, especially children's desks and children's beds, has increased sharply, and the store has ushered in a small sales boom. "the brand has launched exclusive discount packages for the school season, such as buying a children's desk and giving away a philips eye protection desk lamp."

children's home furnishing products on online e-commerce platforms have also seen a surge in sales. the reporter saw on jd.com that sales of many student home furnishing products have soared. for example, at lin's home jd.com's self-operated store, the page showed that 100 pieces of a children's solid wood desk with a height adjustment were sold in the past 15 days, and the number of purchases increased by more than 5 times in 30 days.

in fact, in recent years, although the overall home furnishing market is relatively sluggish, it has become a consensus among many parties that the children's category is accelerating its growth. according to iresearch consulting group's forecast, the cagr of omni-channel sales of home furnishings will be 1.3% between 2019 and 2023, and the scale is expected to reach 4.7 trillion yuan in 2024, a year-on-year increase of 4.0%. guanyan report network predicts that the scale of the children's furniture market will increase from 141.9 billion yuan in 2020 to 180 billion yuan in 2024, with a cagr of 6.1%, exceeding the overall growth rate of the home furnishing market during the same period.

the "children's home appliance consumption observation" released by jd.com also shows that children's home categories related to scenarios such as sleep, study, and storage have grown significantly. in the first half of 2024, jd.com's children's room customization, children's tatami, children's clothes racks, children's pillows, children's water cups, vertical eye protection lamps and other sub-categories grew by more than 4 times year-on-year; children's kitchen appliance sets grew by 138% month-on-month.

according to relevant data from the china children's industry center, the size of my country's children's consumer market is approximately 3.9 trillion to 5.9 trillion yuan per year. among more than 80% of chinese families, child-related expenses account for more than 30% of total family expenditures, and this proportion is still steadily rising.

with the industry's prospects looking good, leading e-commerce companies have also increased their investment in the children's category market. take jd.com as an example. recently, jd.com home appliances and home furnishings released three core strategies for the children's category, focusing on promoting the creation of a healthy and environmentally friendly system, improving service capabilities, and building marketing capabilities for children's categories, and making efforts to layout the children's category market.

"in the next three years, jd.com will focus on creating a plan to break out of the children's category. it will invest more than 1 billion yuan in funds and resources in supply chain cooperation, warehousing and distribution capabilities, environmental and health certification systems, user service capabilities, omni-channel expansion, innovative marketing, and customized decoration of children's rooms. we will create 100 brands with annual sales of over 100 million yuan and build a rapid development channel for children's industry brands." said a relevant person in charge of jd.com's home appliances and home furnishings.

in this regard, pan helin, a member of the information and communication economy expert committee of the ministry of industry and information technology, told reporters that jd.com's advantage lies in customer experience. in the children's market, parents make purchasing decisions, and parents will be more inclined to the quality and experience of consumer goods for their children. "at this time, jd.com's self-operated advantages can be fully utilized. therefore, jd.com's idea of ​​​​striving in the children's market is correct and can fully utilize jd.com's advantages. these advantages include good user experience, good consumer product quality, and a self-operated product supply chain system with stable quality."

in fact, as consumer purchasing habits change, the trend of online consumption of children's household products has become increasingly obvious. "in the past few years, the sales of children's products on jd.com have grown rapidly. from 2019 to 2024, the sales volume of children's related products has increased three times. from the data in the first half of 2024, we can see that all sub-categories in the children's home scene have shown a good growth momentum." the above person in charge told reporters.

"however, in the children's home furnishing scene, the importance of offline physical stores cannot be ignored. if consumers can experience the products in physical stores first, this will greatly promote purchasing decisions." the relevant person in charge of jd home appliances and home furnishings also said, "currently, jd's offline mall superstores are already in operation in 14 cities including chongqing, xi'an, hefei, shijiazhuang, and shenyang. in the next year, more than 6 superstores will open in beijing, qingdao, dalian and other places. in the next five years, jd superstores will be spread across 30 mainstream cities across the country. for second-tier and lower cities, jd also has regional jd home stores and jd home appliances stores, which is also the advantage of jd's supply chain capabilities, which can achieve better integration of online and offline."

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