According to an IBIS World report, the US online home furnishings market has grown 20% annually over the period 2010 through 2015 to be worth $8 billion. Over the same period, the US online house furniture market grew 16% to $16 billion. Wayfair (NYSE: W) is the largest pure-play online retailer of home goods in the country. Last year, it went public and even under public scrutiny, its performance remains impressive.
According to a Forrester research report, Brazil’s business-to-consumer e-commerce sales are projected to grow from $17.8 billion in 2014 to $40.8 billion in 2019. Argentina, the second largest market in the region, is expected to see e-commerce sales grow from $3.4 billion in 2014 to $8.3 million in 2019 and over the same period, Mexico will see revenues grow from $2.8 billion to $6.7 billion. Latin America’s e-commerce leader MercadoLibre is continuing to thrive in this rapid growth market. >>>
According to a recent eMarketer market, the total retail e-commerce market in South Korea is estimated to grow 11% this year to $36.76 billion, making them the third largest e-commerce market in the Asia-Pacific region, after China and Japan. E-commerce is expected to account for nearly 10% of South Korea’s total retail market share. The South Korean market is expected to grow to $47.8 billion by the year 2018. Billion Dollar Unicorn club member Coupang is already making big strides in the region.
I have repeatedly spoken about Billion Dollar Unicorns who have entered the club due to the frenzied investments by VCs who partake in initial funding rounds at spectacular valuations. Some of these companies are not able to address the expectation of a public company and implode when listed on the stock exchanges. One such instance is that of niche e-commerce player Etsy (NASDAQ: ETSY), which appears to be stuck in a bit of a rut. Recent disappointing quarterly results accompanied with continuing absence of profits had sent the stock tumbling to below list price levels. As competition in the niche space increases, Etsy will have tougher battles to fight in the next few months.
Billion Dollar Unicorn club member and online niche flash sales site Zulily (Nasdaq: ZU) appears to be making a slow turnaround according to recent quarter results. The stock’s performance has been rather weak of late and it had entered the list of the Wall Street’s worst performing stocks for 2015 after having dropped 47% during the year. Their recent moves suggest that things may improve in the future.
A short discussion on how marketing and sales technologies are evolving.
Sramana Mitra: Let’s start with introducing our audience to yourself as well as to your company.
Carol O’Kelley: Thanks for having me. I’m the CEO of Salesfusion. I joined the company earlier this year after having spent most of my career in technology, marketing, and operations. I’ve done a number of very small entrepreneurial things – everything from being the 34th employee at Retek, which was ultimately acquired by Oracle to starting and managing a self-storage business. I’ve also worked at larger companies like Red Prairie and Oracle. I’m passionate about technology. I love the pace of this business.
Sramana Mitra: Where are you based?
Carol O’Kelley: I’m based in Atlanta, Georgia. >>>
Last year, Chinese e-tail giant Alibaba went public on the New York Stock exchange. Alibaba has been the role model of several e-commerce companies. One of their avid followers, India-based Flipkart, is now eyeing an IPO in the US markets as well. The company is already seeing strong growth in its valuation driven by the growing e-commerce market in India. Gartner expects the Indian e-commerce market to grow 70% this year and Morgan Stanley estimates the Indian market to grow to $137 billion by the year 2020.
In our continued coverage of e-commerce entrepreneurs and their broadening horizons of online user experiences, this post focuses on Etsy’s post-IPO journey.
Earlier I spoke about how the VC funding frenzy has resulted in astronomical valuations for companies making it difficult for them to maintain these valuations if and when they go public. Niche e-commerce player and Billion Dollar Unicorn club member Etsy (NASDAQ: ETSY) is one such player who has seen valuations fluctuate since they went public.