Four major multi-category retailers that released their 2024 financial results in the last month showed significant declines in sales of home goods. The category often (but not always) lagged behind other segments, according to the companies’ filings and third-party analyses of the results. The numbers illustrate the continued challenges that have been facing this sector for the past few years, even before the additional burden of the United States government’s newly announced introduction of steep tariffs on many of the countries where these products are manufactured:
- Macy’s reported that sales in its home goods segment declined by 10.9% in 2024, the most of any category. After decreases in four out of the past five years, the sector continues to lose share at the retailer, now representing 15.2% of total merchandise revenue, down from 16.4% in 2023 and 21.6% in 2020. Other business areas declined as well, but less than home goods, with men’s and kids’ decreasing by 3.4%; women’s accessories, shoes, cosmetics, and fragrances by 2.0%; and women’s apparel by 0.7%. Macy’s total retail sales for 2025 decreased 3.5%, with a 2.3% boost for the Bloomingdale’s chain compensating for a drop of 5.3% at Macy’s stores.
- Target’s annual results included a dip in home goods sales of $1 billion, or 4.3%. In contrast, apparel and accessories and beauty saw increases, while most other segments experienced declines, but of less magnitude than home goods. This was the third year in a row where home goods category sales dropped at the retailer, now maintaining a 16% share of total sales, compared to 17% in 2023 and 18% in 2022. Total home goods sales are still higher than they were in the pre-pandemic year of 2019—just under $17 billion in 2024 versus $14.4 billion in 2019—but have fallen below the 2020 figure of $18.2 billion. For the company as a whole, total net sales fell 0.8%, from $107.4 billion in 2023 to $106.6 billion in 2024, and merchandise sales fell about 0.9%, from $105.8 billion to $104.8 billion.
- QVC Group (formerly Qurate) is the owner of the QVC and HSN home shopping units as well as the Cornerstone family of lifestyle brands (Frontgate, Ballard Designs, Garnet Hill, and Grandin Road). Its 2024 results showed that QVC and HSN (excluding QVC International) saw home goods sales fall 5.1% , the third year in a row the category had seen declines. Category share has remained relatively steady at between 39% and 41% for the past five years, sitting at 40% in 2024. At Cornerstone, sales of products for the home fell for the second straight year, dropping 12.2%, versus a 2.8% decline for the division’s other significant category, apparel. Total QVC Group revenues were down about 6%.
- Kohl’s’ home goods sales declined significantly, although they still outperformed most other sectors. Products for the home were down 8.5% for the year, versus declines of 10.8% for women’s, 10.5% for men’s, 11.7% for children’s, and 10% for footwear. The 2024 home goods drop of 8.5% was also positive compared to the last two years, as category sales declined 9.2% in 2023 and 16.5% in 2022. The home sector’s share of total retail sales, which has been falling throughout the 2020s, was 15% in 2024. For the year, total companywide net sales decreased 7.2% and comp sales were down 6.5%; the category declines mentioned above were moderated by the strength of the retailer’s one well-performing category, accessories and beauty (Sephora), which saw an increase in sales of 8.8%.
Despite the challenges in this space, licensed products have been a bright spot, and home goods manufacturers continue to forge new deals at a fast pace. Just since the beginning of March, Laura Ashley signed SelectBlinds for window shades and drapery, DKNY paired with Nourison for rugs, Salt Life announced a deal with J Queen New York for bed and bath textiles, Fruit of the Loom partnered with Allied Home for bedding, Draper James finalized an agreement with Town & Country Living for decorative accessories, and the Jessica McClintock label revealed the upcoming launch of a wide range of home textiles with new licensee Present Living Home, among other examples.
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