AptDeco, a furniture resale platform, grew over 300% in 2020 by capitalizing on shifting consumer behavior during the pandemic. Their success is attributed to owning their entire fulfillment network, which mitigated supply chain issues and allowed them to control the customer experience. This episode offers valuable lessons on scaling economically and building a resilient business model in a rapidly changing market.
Key takeaways
Owning your logistics and fulfillment network can be a significant competitive advantage, especially during periods of supply chain disruption, ensuring control over customer experience and delivery efficiency.
Capitalize on macroeconomic shifts and changing consumer behaviors. AptDeco’s growth was fueled by people spending more time at home and upgrading furniture, demonstrating the importance of market timing and adaptability.
Strategic, phased geographic expansion allows for controlled growth and market penetration. AptDeco's slow but steady expansion from New York to other major metros proved effective.
Prioritize customer experience by maintaining direct control over critical touchpoints like delivery, which builds trust and encourages repeat business.
Focus on building a sustainable business model by optimizing operations and ensuring economic scaling before rapid expansion.
Furniture became a hot item in 2020, and resale platform AptDeco was ready for that demand.
The company’s sales grew more than 300% last year, and is trying to ride that wave through this year. According to co-founder and CEO Reham Fagiri, the company’s emphasis is now on expansion. AptDeco began in New York in 2014, and has been slowly growing ever since. Over the years, it added delivery to Northern New Jersey as well as Washington D.C. Now, more cities are being added. “We launched in Philadelphia earlier this year, and now -- literally two weeks ago -- just launched in the San Francisco Bay Area,” she said on the Modern Retail Podcast. “We’re seeing a lot of opportunity.”
Part of the reason for this growth is because AptDeco was able to capitalize on big consumer shifts. More people were stuck at home in 2020 and were buying nicer furniture. “We also saw people selling their products and looking to upgrade to more higher-end pieces,” she said.
While many furniture companies have had supply chain issues due to logistics bottlenecks, AptDeco owns its fulfillment network and was able to mitigate much of that thanks to its delivery network. “We are logistics,” said Fagiri. “The reason why we own [delivery] is because we want to make sure we control the experience.”
It’s these elements that have helped AptDeco grow. Now, with expansion on the horizon, the plan is to have it become more of a household name.
What does this episode say about supply chain & operations?
Owning your logistics and fulfillment network can be a significant competitive advantage, especially during periods of supply chain disruption, ensuring control over customer experience and delivery efficiency.
What does this episode say about brand & content?
Capitalize on macroeconomic shifts and changing consumer behaviors. AptDeco’s growth was fueled by people spending more time at home and upgrading furniture, demonstrating the importance of market timing and adaptability.
What does this episode say about dtc strategy?
Strategic, phased geographic expansion allows for controlled growth and market penetration. AptDeco's slow but steady expansion from New York to other major metros proved effective.
What does this episode say about founder & leadership?
Prioritize customer experience by maintaining direct control over critical touchpoints like delivery, which builds trust and encourages repeat business.
What does this episode say about supply chain & operations?
Focus on building a sustainable business model by optimizing operations and ensuring economic scaling before rapid expansion.
