Wayfair, Inc.

Sector: Home and home improvement Countries of operation: The US (primarily), Canada, Germany and the UK Key product categories: Décor, furniture, houseware, seasonal décor and other home goods Annual Metrics [caption id="attachment_126729" align="aligncenter" width="720"] Fiscal year ends on December 31
*Trailing 12 months ended September 30, 2020[/caption]   Summary Wayfair is a US-based e-commerce company that offers customers more than 18 million products sourced from over 12,000 suppliers. Incorporated on August 8, 2014, the company specializes in home products, selling a selection of décor, furniture, houseware, seasonal decor and other home goods. Wayfair operates in two reporting segments: US and International. The majority of its products are shipped to customers directly from suppliers, though the company is expanding the proportion of products shipped through its own logistics network. Company Analysis Coresight Research insight: Wayfair has performed well amid the coronavirus crisis, with lockdowns resulting in increasing demand for home and home-improvement products. Nevertheless, with consumers expected to shift some spending back to stores during 2021, and against strong comparatives for 2020, it may be challenging for Wayfair to maintain its revenue and profitability momentum.

Tailwinds	Headwinds
Growing e-commerce penetration in the home-goods market Consumer spending continuing to shift away from travel and experiences, leaving increased disposable income for spending on home goods	Expected return of consumers to stores in 2021 following the rollout of vaccination programs Uncertain economic environment with high unemployment levels and low consumer confidence

  Strategy Wayfair announced its overall company strategy in its 2019 10K report, with the same aims outline it the 2020 report. The strategy includes the following key tenets:

1. Continue building its brands with a focus on customer satisfaction
2. Acquire new customers and generate growth in repeat purchases from existing customers
3. Invest in technology to enhance customer and supplier experiences
4. Pursue key categories where the company targets growth within the broader home-goods market, such as home improvement (including plumbing, lighting and flooring), houseware, major appliances, mattresses, and seasonal décor.
5. Increase delivery speed and improve the delivery experience for customers through the continued expansion of its proprietary logistics network
6. Continue international expansion
7. Pursue strategic acquisitions

On December 30, 2020, Wayfair announced its decision to permanently close its first, full-service, physical retail store located at the Natick Mall in Massachusetts. The company states that lessons from its initial foray into brick-and-mortar commerce will enable it to fine-tune its long-term physical retail plans and more clearly define the omnichannel shopping experience that Wayfair seeks to offer. Revenue Breakdown (2019)   Company Developments

Date	Development
, 2020	Wayfair announces the appointment of Michael E. Sneed to the Board.
September 19, 2020	Wayfair announces the appointment of Fiona Tan as Global Head of Customer and Supplier Technology.
September 11, 2020	Wayfair and retail credit solution provider Citi Retail Services jointly announce a new strategic partnership with the launch of private label and co-brand credit cards.
August 5, 2020	Wayfair reports a profit for the first time since its IPO in 2014 in its second-quarter 2020 results.
February 19, 2020	Wayfair announces singer and TV host Kelly Clarkson as its first brand ambassador.
November 13, 2019	Wayfair launches new features and updates for its mobile application. These include an interactive photo function update for its augmented-reality-powered View in Room 3D feature. The retailer also integrated its Room Planner 3D feature into its mobile application.

  Management Team

• Steven K. Conine—Co-Founder and Co-Chairman
• Niraj S. Shah—Co-Founder, Co-Chairman, President and CEO
• Michael D. Fleisher—CFO
• Thomas Netzer—Senior VP and COO

---

Source: Company reports/S&P Capital IQ