K N Srikanth decodes growth of Home, Kitchen, and Outdoor business on Amazon

Boasting of an impressive selection of over 224 million products, the Home, Kitchen, and Outdoor category has become a go-to destination for customers seeking top-quality products for their homes, kitchens and outdoor spaces on the Amazon India website. From kitchen appliances and furniture to home décor, bathroom fittings, sports and gardening equipment, it showcases a diverse array of offerings from more than 1.28 million renowned brands.

In conversation with Adgully, K N Srikanth, Director, OHL, Amazon India, speaks about the growth of the Home, Kitchen, and Outdoor business on Amazon.in, finding a balance between aesthetic appeal and functional features to cater to consumer preferences in an effective manner, and much more.

What are some of the popular product categories within Amazon’s Home, Kitchen, and Outdoor business offerings?

Home, Kitchen, and Outdoor has emerged as one of the fastest growing businesses on Amazon.in. Boasting of an impressive selection of over 224 million products, this category has become a go-to destination for customers seeking top-quality products for their homes, kitchens and outdoor spaces. From kitchen appliances and furniture to home décor, bathroom fittings, sports and gardening equipment, it showcases a diverse array of offerings from more than 1.28 million renowned brands.

The introduction of new categories has been met with a surge of excitement, with several segments experiencing exponential growth across Specialized Categories offering paints, construction equipment, bath fittings, and electric vehicles; Health and Wellness Products, including gym equipment and healthy cooking appliances and Home Automation and Smart Living Solutions products like smart lights, IoT-based appliances, robotic vacuum cleaners, smart locks and security devices.

Could you provide insights into the key trends observed during the peak summer season for Amazon’s Home, Kitchen, and Outdoor products?

The summer of 2023 brought an unexpected twist with an early and erratic start, driving a remarkable surge in demand for various summer products. Categories such as Coolers, Fans, Water Bottles, Juicers, Outdoor Gardening, Water Pumps, Solar Lights, and Pest Control experienced an astounding demand spike, reaching twice their normal levels.

Adding to the extraordinary summer season, the geographical pattern of demand witnessed a notable shift. The Eastern region showed remarkable growth, soaring at four times the usual demand. This unexpected surge in the East highlighted the dynamic nature of consumer preferences and the need for businesses to adapt swiftly to changing market trends.

What are some interesting consumer trends or preferences seen in the Furniture category on Amazon?

Furniture has grown at >3X in the last 3 years, being a largely offline preferred category. However, we are seeing increasing customer trust in online purchases with large furniture cohorts that include beds, sofas, wardrobes and dining sets being the fastest growing categories online. Customers look for trust markers online in the absence of ‘touch & feel’ and this growth has come at the back on multiple pre and post purchase levers that we offer, including seamless delivery and installation across 18K+ pin codes, no hassle returns in case of damages/ customer complaints, Furniture Maintenance plans, Extended warranty, One-click warranty claim features and value levers including no cost EMIs and Tier I bank partnerships. We carry 800k+ selection choice for customers to buy from top offline brands such as Home Centre, @home by Nilkamal, Chumbak, Home Town, Fab India and many more.

Additionally, our customers are looking for quality selection at affordable prices and we have been instrumental in providing offers like never before.

How does the preference for aesthetic elements over functionality impact consumer choices in the Home category on Amazon?

Home brands such as Spaces, Bombay Dyeing, Titan, French Connection, Seiko, Wipro and more take a consumer backwards approach for designing the products and these products are designed with modern, trendy and visually appealing aesthetics. If a product looks visually appealing and aligns with the consumer’s personal taste and style then consumers are more likely to choose aesthetics over a similar product that may be more functional. We have observed that consumer decision is influenced through multiple factors such as influencers’ curated design choices, home set up showcased on social media, emotional connect, branding, design trends and more. Basis this insight, we collaborated with leading influencers in India and created content evoking positive emotions and promoted them through Amazon home social media handle.

However, functionality still plays a significant role in consumer choices. While aesthetics may initially attract consumers, functionality and usability are crucial factors that contribute to overall satisfaction and long-term usage of a product. At Amazon.in, we find a balance between aesthetic appeal and functional features to cater to consumer preferences in an effective manner.

What are some new features and services introduced by Amazon that enhance the convenience of shopping for Home improvement products?

We are thrilled to witness the enthusiastic response from our customers for our diverse product offerings. Our goal has always been to provide convenience and choice and we are continuously working to expand our selection to meet the evolving needs of our valued customers. We have recently introduced a host of new features such as below:

Customise your product - Customers can now personalise merchandise they buy on Amazon
Through ‘tool tips’ on detail page, we are enabling educational content on technical specs like ‘what does Neem wood as material mean’ to help customers make informed purchase decisions
‘Warranty 360’ helps customers make confident purchase decisions on high ASP products by providing all details regarding product warranty up front
‘Paint Finder’ to help customers visualise and compare paint shades
‘More Like this’ button on search aids visual discovery of similar products
‘View in Your Room’ makes it easier to access fitment and design compatibility by enabling placement of product in customer environment

How is Amazon incorporating personalised shopping experiences for customers in the Home category?

Our vision is to provide customers with an ‘inspiration first’ browsing experience and make it easy for them to get home design inspiration directly on Amazon. Further, to enhance the overall shopping experience, we have a host of features to help customers shop.

Recommendations and Personalisation Algorithms: Through this feature, we employ sophisticated recommendation systems and AI-powered algorithms that analyse customers’ propensity to buy . These insights enable us to suggest relevant and personalised product recommendations tailored to individual preferences and needs.

Customer Preferences and Filters: Amazon.in allows customers to set preferences such as preferred brands, colours, sizes, and styles, to streamline their search process. Additionally, various filters and sorting options are available to help customers find products that align with their specific requirements.

Wish Lists and Collections: Customers can create personalised wish lists and collections enabling them to curate their favourite Home products in one place. This feature allows for easy access and sharing with others.

Customised Email Newsletters: We send personalised email newsletters to customers, highlighting Home products that match their interests and browsing history. These newsletters also include deals and promotions tailored to each customer’s preferences.

Specialised Home Storefront: The Home category on Amazon India features a specialised storefront that showcases trending and relevant products for Home, making it easier for customers to discover items they may like.

In what specific ways is Amazon catering to the demands and preferences of customers in Tier 2 and Tier 3 cities for Home, Kitchen, and Outdoor products?

We understand the needs of the customers and our endeavour has been to penetrate deep into Bharat. Home, Kitchen & Outdoor business category is an ‘everything store’ and helps accomplish simple day to day tasks by providing customers with a large variety of products like kitchen appliances, furniture, home décor, bathroom fittings, sports and gardening equipment among others across 100+ cities in India.

Currently, we deliver more than 30% of our orders from Tier 2 and Tier 3 in 2 days, with 5,000+ everyday essential ASINs getting delivered in under 24 hours in top cities. With convenience taking the center stage, customers rate faster, unlimited free deliveries as top motivators for online purchase and prime membership.

Are there any specific promotions or deals offered by Amazon for Home, Kitchen, and Outdoor products that have been particularly successful or well-received?

In Home, Kitchen and Outdoors, we have seen goodness from offers and deals incrementally flow when we build this under a customer facing proposition. To state an example, Home shopping spree that occurs monthly is a one-stop shop for customers to purchase home kitchen & outdoor essentials at the lowest price for the month. With a plethora of deals and offers, this event has seen a multifold growth in the number of shoppers who eagerly wait for the event to grab up to 70% off on a wide range of selection.

Could you provide insights into the top-selling brands or products within Amazon’s Home, Kitchen, and Outdoor business offerings?

Leading brands like Solimo, Bombay Dyeing, Welspun, Story Home, Havells, Bajaj, Atomberg, Eureka Forbes. Ecovacs, Pigeon, Hawkins, The Sleep Company, Ugaoo, Polycab, The Indus Valley, Cellbell, Bosch, Agaro, Qubo, and many more have demonstrated exceptional growth and garnered substantial market share, riding the wave of the surging demand. These brands’ ability to rise above the challenges and cater effectively to consumers’ needs set a benchmark for the industry, solidifying their positions as market leaders.

How does Amazon ensure customer satisfaction for Home, Kitchen, and Outdoor products sold on its platform?

With a customer backward approach, we have been working towards attaining the highest level of customer satisfaction. Some of the prominent steps taken in this regard are:

A rigorous seller onboarding process: We require all sellers to go through a rigorous onboarding process before they can start selling products on Amazon.in. This process includes providing information about the seller’s business, products, and shipping practices. We also review seller feedback to ensure that they have a good track record of providing quality products and customer service.

Product reviews: We allow customers to leave reviews for products they have purchased. These reviews are a valuable source of information for other customers and they can help identify products that are of high quality and those that are not.

Product testing: We launched a ‘Quality Verified’ program for the Furniture category in 2021, where a product is tested for product quality, safety and compliance with Amazon’s policies.

Customer service: We have a team of customer service representatives who are available to help customers with any problems they may face with a product. These representatives can help customers resolve issues such as returns or refunds.

Transparency: We provide customers with clear information about the products they are buying, including the product description, the seller’s name and the product’s reviews. This helps customers make informed decisions about which products to buy.

Brand Protection: We have a team of brand protection specialists who work to prevent counterfeit and infringing products from being sold on Amazon.in. These specialists work with brands to identify and remove counterfeit products and they also work to educate sellers about Amazon’s policies on counterfeit products.