In markets in which Amazon is focusing its resources, the online market for selling home improvement products is getting “Amazoned,” according to the latest European Home Improvement Monitor.
The Monitor has highlighted that general online stores have a strong position in Austria, Germany, Italy and the UK. More than half of the DIY consumers in Austria and Germany have purchased their last home improvement product online at a general online store. Italy and the UK follow closely regarding purchasing at the general online store. About half of the DIY consumers in Italy and the UK buy at this purchase channel when buying online. This is mainly because Amazon and Ebay has a strong presence in these four countries, explains USP Marketing Consultancy, which carries out the study across the European home improvement market.
Meanwhile, the Monitor reveals that the position of general online stores is less dominant in other countries in Europe and that DIY stores are still the leading online purchase point for consumers when buying home improvement products in Belgium, the Netherlands, Spain and Sweden.
About 64% of the Dutch DIY consumers has purchased a home improvement product online at the DIY store. In Belgium, Spain and Sweden this is slightly lower, but this is still the biggest purchase channels when it comes to online buying of home improvement products. This is because general online players, like Amazon and Ebay, do not have a strong position in these countries, and the DIY stores could (still) take advantage of that, explains USP.
Looking at the findings of the Monitor, which surveys 26,400 home improvement consumers in 11 European countries, USP Marketing Consultancy concluded: “In markets in which Amazon is focusing its resources, the online market for selling home improvement products is getting “Amazoned”. This strongly affects the online market share of the large traditional DIY retail chains in these countries.
“Nevertheless, there are plenty of European countries on which Amazon is not really focused or simply absent. In these markets, the traditional DIY retail chains have a better opportunity to flourish. It might be a wise decision for the multi-national DIY retailers to spend their online investments in these countries and avoid the online battle with Amazon.
“At least for a while, they should keep in mind that their investments will be at risk once Amazon enters the market. Since they already proved to be a market changer, also in the home improvement segment.”