Wayfair Loses 24% of Active Customers in Dreadful 2Q

Wayfair (Boston) has reported a drop in earnings for its second quarter financial results. Stung by the global tailspin of the Covid pandemic, its Q2 net revenue of $3.3 billion marked a decrease of $573 million, down 14.9 percent year over year.

Wayfair’s net revenue in the U.S. of $2.8 billion also saw a drop of 9.7 percent from the previous year. The home furnishings retailer had taken in $12.6 billion in U.S. net revenue for the 12 months that ended June 30.

“During a difficult macroeconomic environment, we remain squarely focused on our customers and our suppliers, and on making sure Wayfair is their preferred platform for the home. We are tightly controlling our many levers and steering Wayfair in a financially responsible manner through this period,” says Niraj Shah, CEO, Co-Founder and Co-Chair, Wayfair.

Wayfair’s customers still found mobile ordering their preferred way to shop, with nearly 60 percent opting to order from a mobile device. The furniture and home accent retailer’s base of active customers totaled 23.6 million in June, a decrease of 24.1 percent from the previous year. Delivered orders fell by 28.2 percent.

Wayfair operates 18 fulfillment and 38 delivery centers across the U.S., Germany, Canada and the U.K. In December, the company said it would open three physical stores in its home state of Massachusetts. The retailer’s brands includes Wayfair, Joss & Main, AllModern, Birch Lane, Perigold and Wayfair Professional.

An archive of Wayfair’s second quarter webcast is available here.