3 Reasons Why Wayfair Should Be a Part of Your Advertising Strategy

Published on: May 19, 2021

It’s 2021, and if you aren’t advertising your products online, you’re already falling behind the curve. Online advertising provides you with a direct line of communication to customers across the globe. E-commerce giants like Amazon and Google both provide great advertising platforms, but alternative advertising methods can lead to higher ROI in certain niche industries.

For businesses in the homewares sector, Wayfair is one of the best options at your disposal. The e-commerce furniture retailer, which has long been known as a great option for buying online homewares, has spent the past couple of years establishing itself as a viable (and profitable) option for retail advertising too.

What is Wayfair?

Founded as CSN stores in 2002, Wayfair is a Boston-based e-commerce company. They deliver furniture, home decor items, and other household products across the globe. Since its inception, the company has grown steadily and today boasts over 14 million products, over 10,000 suppliers, and assets worth over 4 billion dollars. In addition, Wayfair has incorporated search-based digital advertising into its e-commerce platform in recent years. This has allowed homeware manufacturers and retailers to connect directly with relevant online traffic and vice versa.

Why Advertise With Wayfair?

Wayfair might not be the first name that comes to mind when you think of digital advertising, but if you’re in the business of home goods and furniture, then maybe it should be. Here are three reasons why Wayfair advertising is growing in popularity throughout the industry.

Wayfair’s Significant Growth

With total net revenue of $14.1 billion and $4.1 billion in profits, it is not a stretch to say that Wayfair had a very productive 2020. These numbers become even more impressive when compared to previous years. In 2020, Wayfair’s total net revenue increased 55% year over year, its USA revenue increased 53.3%, and its international revenue increased 70.7%. Have a look at Wayfair’s earnings trend below.

One of the driving forces behind this growth is an advertising spend totaling almost a billion dollars. This is a forward-thinking brand heading in the right direction, and retail businesses would be wise to capitalize on this commitment to growth.

Improved Ad Features

In recent months, Wayfair has overhauled its platform with some new updates and features that showcase its continuous effort into development on the advertising side. On April 15th, 2021, the company increased ad-specificity with keyword targeting, improving your ability to connect directly to interested consumers. The April 15th update also included the release of a new ad type: Sponsored Shops. This gives you more power and control over your brand’s messaging on the platform.


Less Market Competition

Over the past several years, Wayfair has quietly established itself as a viable method for advertising homeware products online. Unfortunately, the industry has been slow to catch up. Although Wayfair enjoys significant online traffic from across the globe, the competition for advertising clicks on the platform is surprisingly low. This becomes even more evident when compared to e-commerce advertising giants like Amazon, Walmart, and Google. It’s easy to get blinded by the sheer volume of search traffic that these competing sites generate, but this comes with a sharp increase in competition too.

Wayfair Advertising Tips

Speaking of the competition – although we’ve mentioned Amazon, Google, and other platforms a few times already in this article, it’s important to realize that Wayfair is a unique advertising ecosystem. So here are a few platform-specific tips for success.

  1. Do Your (Keyword) Research

The right keyword can make a huge difference to your advertising ROI and the overall success of your campaign. Wayfair is an established e-commerce business with significant search traffic, but its advertising platform is relatively new. This allows savvy business owners to bid on popular (and profitable) keywords without exceeding their budget or breaking the bank.

In addition to keywords, you also want to do in-depth market research into your customers, your competitors, and the platform itself. It’s important to ensure that your advertising strategy is designed for Wayfair. A repurposed Amazon campaign will not work.

  1. Bid Wisely & Track Your Spending

With that said, it is still important to track the ROI on each of your campaigns to make sure you aren’t overspending to reach sub-optimal traffic. Casting a wide net is expensive. In many cases, it pays to narrow your scope and double down on your target audience with laser-focused ads. This is particularly true when dealing with niche products.

  1. Seek Outside Help

Having trouble understanding Wayfair Advertising or any of its specific features? Before pulling out your hair in frustration, consider reaching out for clarification and assistance. There are several businesses out there that can help assist with your Wayfair advertising strategy, including us!

Unlike big players like Google and Amazon, there is no online cottage industry of advisors and consultants dedicated to Wayfair – companies that offer Wayfair-specific services tend to know what they are talking about.

How to Advertise on Wayfair

With Wayfair Advertising implementing new features just weeks ago, it’s an exciting time to get started on this platform. If you’d like to learn more about how Wayfair can help your brand specifically, you can reach out to us. Or, if you’d like to know more about the platform in general, visit our Wayfair Advertising Agency page.




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