Autofill: Learn about Joybird’s store expansion strategy
Direct-to-consumer furniture designer and retailer Joybird has transitioned from e-commerce to physical locations in recent years, including this showroom in Los Angeles.
LOS ANGELES — Direct-to-consumer furniture designer and retailer Joybird, part of the La-Z-Boy family of brands, is upping its online and in-person retail game.
The eight-year-old brand has four stores with more to come and has incorporated automation as part of its online strategy.
“We have worked hard to ensure that we stay true to our roots in the digital format. Use automation and make sure we reach our customers where they are on social media platforms and Google,” Gerardo Ornelas, Managing Director of Joybird, told Furniture Today. “The strategy of the future is all about reaching new customers, and a lot of that has to do with the new channels we’re penetrating in retail.
“We have a retail expansion strategy and are slowly entering new markets,” he continued. “The second pillar is to create brand awareness, ensuring new customers experience the brand. When they do, we find that we have great brand champions within our customer segment.”
To date, Joybird has opened four stores in major metros in New York, Washington DC, Chicago and Los Angeles, with other cities on the way, and it also has dedicated spaces in Nebraska Furniture Mart stores in Dallas and Kansas. City.
“We are excited to expand into the new markets of San Francisco, Seattle and Austin this year,” Ornelas said. “These cities are vibrant cultural hubs, and we couldn’t be more excited to become a bigger part of their communities.”
Ornelas said the stores have helped expose Joybird to a wider audience, which is part of the company’s growth plan.
“It’s been a great experience so far. We’ve taken a slow approach to our expansion into small-format showrooms with a focus on delivering an omnichannel experience,” Ornelas said. “Most of our customers are still experiencing Joybird for the first time online.
“Being able to offer touch and feel, and seated testing for our in-store customers is another opportunity for us to create more brand experience and in-market awareness for new customers who may not have considering buying online,” he added. .
The help of the team
Having the experience of seasoned retailers like those at La-Z-Boy has helped Joybird hone its brick-and-mortar approach. They have also been useful in other areas.
“In terms of retail, merchandising and the business as a whole, we’ve been able to leverage a lot more resources,” said Gifty Walker, director of merchandising and sourcing at Joybird. “They have such a well-established team and network in terms of supply chain and supply. We had always been super thin and stumbled sometimes. But now we can lean on them, and they can guide us down those paths. This was super helpful.
The product assortment includes wooden and upholstered furniture for every room, outdoor products and many home décor categories, with more on the way. Walker, who has worked with Joybird since the beginning, said it was important for the brand to be placed in as many categories as possible because each customer presents a unique selling opportunity.
“We started with the exterior a few years ago, and it’s been a huge success for us, so we’re really expanding that category. We’re also very focused on upholstery, but we’re rounding out to more offices and rooms. dining and other smaller categories,” Walker said. “We take decorating seriously because people often buy big-ticket items from us and come back for that finishing touch, like an area rug. ‘they’re not ready to buy the sofa but just need a rug or a pouf.
“We also navigate the stories we can tell through existing categories,” Walker continued. “How do we educate and inform people about our intentional focus on sustainability and integrating that into our brand story? Social responsibility is important to our customers. We also have brand and designer collaborations , so there are a lot of exciting things in the works.
On the online side, Joybird has recently leveraged automation, using smart shopping as a key aspect of e-commerce, using automated signals to better deliver ads beyond the shopping ad format.
Recently, Joybird worked with Go Fish Digital to run a 10-week test with Google’s Performance Max smart shopping campaigns and came away with a roadmap for greater online success.
Melissa Spaulding, senior PPC strategist at Go Fish Digital, said the results of using PMax showed a return on investment that went well beyond what was expected. Key test benchmarks included a 95% increase in revenue with a 40% higher return on ad spend.
Categories that achieved the best return on ad spend during the test included foodservice, media and storage, and home décor, while sofas and chairs also exceeded expectations.
She said that going forward, PMax will continue to play a major role in Joybird’s online operations.
“We are confident that the PMax campaign will continue to drive paid advertising revenue growth through 2022,” Spaulding said. “Our team will also take advantage of any new features that are released and will work with Google on strategy.”
Ornelas said having a strong online platform in addition to a growing fleet of stores means customers can experience Joybird how and when they want. With that in mind, he said it was essential to ensure that these experiences were the best possible.
“We bring all of this together with the idea of an exceptional customer experience in our physical channels and our digital channels,” he said. “It comes down to investments and how our customers perceive us.
“It’s about making sure the website works just as well on a mobile platform as it does on a desktop, and of course we’ve gone to great lengths to make sure that we combine this with great service. customer.”