Key Takeaways 💡
- Marketplaces dominate Home & Living retail, but only when sellers provide quality experiences end-to-end.
- AI is reshaping everything: content, pricing, fulfillment, and discovery are becoming automated and personalized.
- Consumers expect style, speed, and sustainability; curated discovery and AR tools are leading the way.
- ChannelEngine connects it all: operations, integrations, content, and fulfillment across regions and partners.
Consumers no longer just browse online, they expect end-to-end digital experiences. In 2025, over 35% of all homeware and furniture sales in the US are digital, and in Europe, omnichannel expectations dominate, particularly among younger and urban shoppers.
Online marketplaces have become the dominant channel for discovery and purchase. But being online is not enough. Sellers need compelling storefronts, product discoverability, fast fulfillment, and personalized service, all powered by the platforms they choose.
AI is reshaping the home
Here's how AI is transforming the home & living space for both sellers and consumers:
For sellers:
- AI-generated product content: Descriptions, titles, and translations are now created and localized automatically.
- AI-based demand forecasting: Helps optimize inventory to reduce dead stock and avoid obsolete inventory.
- AI in dynamic pricing: Smart pricing engines adjust to marketplace competition, demand trends, and even seasonality using tools like our automated dynamic repricer.
- AI-powered visual recognition: Enables automated product tagging and style matching, enhancing discoverability.
Want to discover all our features designed to help you scale smarter and sell better? Check out our Seller Hub.
For consumers:
- AI-based style assistants: Tools that suggest complete room designs based on one photo or preferred style.
- Conversational shopping: Integrated chatbots on marketplaces and branded shops offer buying advice and recommendations.
- AI-powered AR: Suggests complementary items in your room using object recognition, not just product overlays.
These innovations empower both brands and consumers while also opening up new forms of experiential commerce, as explored in our blog on AI in ecommerce.
Marketplace powerhouses: who’s leading in 2025?
Here’s an updated view of the top Home & Living marketplaces that matter now, with a focus on those ChannelEngine can help sellers integrate with:
Top 5 home & living marketplaces in the US
- Wayfair – Still dominant, now with stronger AI and same-day delivery in urban zones.
- Lowe’s – Their 2024 marketplace expansion has opened up access to millions of DIY and furniture shoppers. Great for omnichannel strategies.
- Amazon Home – Leveraging Alexa and AI suggestions for cross-category bundling.
- Overstock (now part of Bed Bath & Beyond) – Rebranded but effective with strong value-driven home decor positioning.
- Walmart Marketplace – Rapid growth in Home & Living thanks to fulfillment capabilities and brand onboarding support.
These five lead in Home & Living - but who’s winning across all categories? Explore the top marketplaces in North America.
Top 5 home & living marketplaces in Europe
- Wayfair Europe – Gaining ground fast, especially in Germany and the UK.
- home24 – Still a go-to for contemporary interiors, now pushing personalized collections via AI.
- Naduvi – Curated flash sales and outlet-style model appeal to design-savvy bargain hunters.
- Maisons du Monde – Growing online footprint and distinctive French style attract loyal customers.
- fonQ (NL) – A regional leader known for premium design and brand storytelling.
Discover the leading marketplaces across Europe, and seize the opportunity to expand if you haven't already.
New consumer behaviors in 2025
Want to dive deeper into what’s driving today’s shoppers?
1. Curated discovery
Consumers want style, not SKUs. Rather than browsing categories, they expect curated experiences based on their tastes or rooms. Online marketplaces are leaning into this with editorial content, AI-style matching, and influencer-led collections.
2. Sustainability is mainstream
Transparency around material sourcing, supply chain emissions, and circular services (like resale or recycling) are now baseline expectations. Marketplaces like Naduvi and home24 already allow filtering by sustainability attributes, reflecting the growing importance of recommerce in modern retail.
3. Inspiration-to-purchase
Social commerce and shoppable content on platforms like TikTok and Instagram—like TikTok Shop—directly drive traffic to marketplace listings. Sellers that enable smooth "shop the look" experiences—especially with UGC and real-room photos—convert more often.
4. Room for DIY & hybrid needs
With home personalization growing post-pandemic, marketplaces like Lowe’s and Amazon Home are offering hybrid kits, modular furniture, and DIY-focused listings that bundle tools, guides, and community advice.
5. Strategic partnerships still win
Technology adoption has accelerated, but it’s partnerships that unlock scale. Brands are increasingly collaborating with:
- AR/VR specialists to provide interactive try-before-you-buy tools
- 3PL and fulfillment partners to manage cross-border logistics and returns
- AI commerce engines to drive smart automation across channels
Marketplace integration partners like ChannelEngine are central to operationalizing these strategies across multiple marketplaces efficiently.
Conclusion: The marketplace-driven future is here
The Home & Living space is rapidly digitalizing, but not homogenizing. Consumers crave inspiration, personalization, and convenience. Marketplaces are the ideal place to meet these needs, but only when sellers bring together:
- Smart content
- Operational excellence
- AI tools
- And a digital-first mindset
Sellers who embrace this transformation now will shape the homes of tomorrow—and dominate the digital shelves of today.
Looking to grow your Home & Living sales across marketplaces? Book a free consultation to explore how ChannelEngine can help you scale with AI, automation, and seamless integrations.
