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MARKETING OF HOUSEHOLD GOODS: KITCHENWARE, HOME TEXTILES, DECOR, CURTAINS, CARPETS, ETC.

FEATURES OF THE INDUSTRY

In general, household goods are a very broad category that includes all the products that can be seen in a home. However, from a marketing perspective, the entirety of household goods can be divided into two categories - goods that are purchased for years or decades and are usually chosen very carefully and over a period of time (e.g. furniture), and, on the other hand, goods that are purchased more frequently and are more impulsively purchased (e.g. bedding). Indeed, the marketing of kitchenware, bed linens, curtains, home decor, carpets, chandeliers, lamps, and other goods is quite different from the marketing of furniture, home appliances and electronics, plumbing, etc. In this article, we will focus on household goods with a relatively shorter lifespan and more impulsive purchases, the market of which has a large number of features that determine the marketing strategies and marketing mixes of participants. Here are the main characteristics in question:

• Sales channels. Over the past decade, the culture of searching for and buying household goods has undergone radical changes. While it used to be possible to see hardware stores and 1000 Little Things stores on city streets, now there are almost no such stores left, as well as no active trade in open markets. In the offline segment, the trade in household goods has largely moved into a related format, with household goods departments opening in construction hypermarkets, grocery supermarkets, furniture centers, etc. However, you can still see small niche stores with a separate specialization on the streets or in shopping centers, such as curtains, dishes, or mattresses. Instead, a huge share of sales of household goods has moved to the online segment, which has a number of advantages over physical stores and has been fully recognized by consumers as the main channel for selling such goods.

• Individualization of needs. The days when homes had more or less standardized repairs, standard furniture, and the same decor are long gone. Even if a homeowner does not have enough money for a design project for an apartment or house where all the details are thought out, the supply of household goods is so large that everyone has the opportunity to express themselves and decorate their home according to their own needs and individual vision of coziness and comfort. Accordingly, the trend toward individualization of home furnishings is growing year after year, leading to the emergence of a large number of small businesses that meet these needs and are more likely to succeed commercially even in the face of fierce competition from large national producers and imported goods.

• Style, fashion and design. In the household goods market, style, fashion and design play an important role in shaping consumer preferences and determining the competitiveness of products. Modern consumers are increasingly paying attention not only to the functionality of goods, but also to their appearance, aesthetics and compliance with the latest design trends. Manufacturers are actively working to create products with an original and attractive design that meets the needs of the modern consumer. Style and fashion in the household goods market are reflected in combinations of colors, geometric shapes, materials, decorative inserts, combination of functionality, etc. Style, fashion and design in the household goods market are important factors that affect the competitiveness of enterprises, stimulate innovation and contribute to the achievement of commercial success.

• Impulse purchases. The household goods market is characterized by a large share of impulse purchases. Although certain categories of goods (such as carpets, curtains, large appliances, etc.) are more likely to fall into the segment of planned purchases, a significant portion of goods are purchased by housewives on impulse, i.e. unplanned. Recall that when we visit household goods departments, we are almost 100% likely to see products that we do not yet have at home but would like to have. Or we pay attention to those products that we do have, but would like to upgrade to something more modern, convenient, attractive, and functional. Experienced marketers are well versed in promoting impulse buys and successfully use this feature of the industry.

• Seasonality of demand. The seasonality of demand in different categories of goods manifests itself in different ways, but in general, we can say that household goods in general are subject to seasonal factors, such as New Year and other holidays, spring updates, the summer season, the beginning of the school year, etc. To varying degrees, but most household goods clearly demonstrate certain sales dynamics from year to year, which reflects the seasonality of demand for each category of goods and has a significant impact on the marketing calendar of market participants. The marketing strategy and plan should take into account the seasonality of demand to maximize the effectiveness of marketing efforts throughout the year.

• Innovations and technological changes. In the household goods market, we can observe the constant introduction of innovations and technological changes by manufacturers, which is manifested, in particular, in the use of new modern materials, the introduction of non-standard design solutions and the expansion of product functionality. The overall technological progress cannot but be reflected in household goods. The task of marketers in this context is to actively use the technological advantages of products in the marketing mix, communicate such advantages to end consumers in order to raise awareness of product innovation and spread new technologies among a wide range of potential consumers.

• Environmental friendliness. Environmental aspects in the household goods market are of great importance to consumers in terms of product safety and environmental impact. Manufacturers are improving their products by using safe, non-hazardous raw materials, emphasizing the environmental friendliness of production processes, reducing energy consumption and environmental emissions, and systematic disposal and recycling of production waste and used products. The need for environmentally friendly products is growing as consumers are increasingly aware of the importance of environmental care when choosing household goods.

Of course, the list of features of the household goods industry can be extended if we take a closer look at different product categories, consumer preferences, recent market trends, etc. However, the above-mentioned market characteristics are crucial for effective marketing. So, how to compete in such conditions and how to build an effective marketing mix in the household goods business? How to avoid annoying marketing mistakes that even large companies with full-time marketers make? How to prevent the company's development and success in the market from being hampered by wrong marketing decisions and choices?


SOME GENERAL STRATEGIES AND APPROACHESS

In general, it should be understood that the marketing of home textiles will differ from the marketing of kitchen utensils, the marketing of curtains will differ from the marketing of carpets, the marketing of home decor will differ from the marketing of household appliances, and the marketing of bed linen will differ from the marketing of chandeliers and lamps. It is obviously impossible to demonstrate all the nuances of marketing individual product categories in one article, but we will try to outline the common features and provide a general structure of the marketing complex of household goods. Here are the main marketing strategies, approaches, and tools most commonly used in the industry:

• Branding and positioning. The nature and patterns of both planned and impulsive purchases in the household goods market are different, as they largely depend on the profile of the buyer and a set of factors - psychological, financial, and socio-cultural. However, it is a proven fact that a strong brand and professional market positioning significantly increase the likelihood of a consumer choosing a particular brand. The primary task of marketers in such a market is to develop a competitive brand platform and create such attributes and product advantages in the minds of consumers that guarantee the highest possible probability of choosing a particular brand and its products among other competitive offers.

• Differentiated pricing. Although it is quite possible to focus on certain price segments in the household goods market, for example, only on the premium segment, offering products accordingly, it is more common to use differentiated pricing, when certain product lines are offered for each price segment, taking into account the different needs and preferences of consumers. This means that companies offer products in different price categories for different consumer groups, taking into account their income level, quality requirements, packaging, additional services and other factors that influence the purchase decision. This approach allows companies to maximize profits by attracting a wide range of customers with different capabilities and budgets.

• Digital marketing ecosystem. The digital marketing ecosystem in the household goods market includes the use of various digital channels and tools to increase consumer awareness of the brand and actively engage with them. The development of a digital marketing ecosystem includes the creation of a company and brand website, landing pages for individual products or promotions, social media pages, mobile applications, email newsletters, etc. The integration of the elements of the digital marketing ecosystem plays a key role in creating effective communication with consumers, expanding the audience, and increasing competitiveness in the household goods market.

• Online advertising. Given the level of competition in the market, only a small part of well-known brands can do without powerful advertising in the online segment. Online advertising in the household goods market includes a standard set of advertising tools, such as Google Ads search advertising, advertising on Facebook, Instagram, YouTube, TikTok, advertising banners on specialized websites, and other advertising formats. However, special attention should be paid to native advertising, which unobtrusively draws attention to the brand and its products in materials on relevant topics that are of interest to potential buyers, such as review articles and videos on home design and interior, cleaning and maintenance, culinary topics, etc.

• SEO. SEO (Search Engine Optimization) in the household goods market involves actions aimed at increasing the ranking and positions in the organic results of a company's website in search engines such as Google. SEO includes content optimization, selection and integration of keywords, customization of technical aspects of the website to meet the requirements of search engines, creation of a critical mass of external links, and other methods to ensure that the website pages are highly ranked in search results for relevant queries of potential customers in search engines. Effective SEO promotion helps to drive organic traffic to the website, increases brand awareness, and helps to increase online sales of household goods.

• Content marketing. Neither online advertising nor SEO promotion will have the expected effect if the brand does not have a clear content strategy and content plan aimed at creating interesting, useful, and diverse content that meets the needs and interests of the target audience. Effective use of content, both informational and entertaining, allows a brand to attract the attention of the audience, increase consumer awareness of the brand and build long-term relationships with customers, which contributes to the achievement of the company's marketing and commercial goals.

• Cooperation with opinion leaders. Collaboration with opinion leaders in the household goods market involves establishing partnerships with influencers, bloggers and experts in the field of design and decor, as well as other authoritative figures who have a large audience in this or related areas. Such cooperation allows brands to gain access to the target audience of influencers, increase consumer confidence in their products and create a positive brand perception in the household goods industry. Collaboration with opinion leaders in the household goods market can include organizing and participating in joint marketing events, providing products for reviews and testimonials, and advertising campaigns with the participation of opinion leaders.

• Recommendations and testimonials (SERM). Recommendations and reviews in the household goods market play an important role in building consumer confidence in the brand and products. Positive reviews and recommendations from satisfied customers can significantly increase sales, increase customer loyalty, and improve brand reputation. Consequently, companies actively encourage reviews through various communication channels, such as websites, social media, and specialized platforms, and carefully analyze them with SERM tools to maintain brand and product reputation.

• Traditional advertising. Given the specifics of the target audience, namely a large share of housewives, traditional advertising in the household goods market is still used quite actively, including such communication channels as television, radio, press, outdoor advertising and direct promotions at points of sale. Traditional advertising provides an opportunity to reach a wide audience, especially among those who prefer traditional media, and allows brands to effectively communicate the main benefits of their products, increase brand awareness and create the preconditions for impulse purchases at points of sale and online.

It should also be noted that within one article, we cannot show all the pitfalls or demonstrate all the marketing methods and tools specific to the household goods industry. In other words, these are just a few examples of quite general marketing approaches that can be applied to household goods. From a practical point of view, everything is much more complicated - the choice of a specific marketing strategy and tools depends on the target audience, competitive environment, and unique advantages of the company, etc. At the same time, it is desirable to understand that household goods marketing may encounter a number of specific problems that are unique to each individual case and require an individual approach to their solution.

Achieving the commercial objectives of a company through effective marketing requires a deep understanding of the market situation, consumer needs, the ability to analyze and explore alternatives, and a creative approach to problem-solving. Our company has extensive experience in defining optimal marketing strategies for our clients' businesses, creating a strong brand and market positioning, as well as developing a marketing mix and implementing the chosen strategy. You can familiarize yourself with the services and solutions our company offers on the "Services" and "Solutions" pages, respectively.