The US is prepping for a wedding boom in 2022.
Mavinhouse Events/Molly Anne
- Amazon is gaining share in the wedding registry market, overtaking former leader Bed Bath & Beyond.
- Registries are important business for retailers as they boost margins and drive loyalty.
- Amazon has lured couples with discounts and bonus gifts.
Amazon is gaining share of the wedding registry market, leaving former market leader Bed Bath & Beyond behind.
Bed Bath & Beyond’s market share of wedding registries slipped to 30% in the fourth quarter, according to a new survey conducted by investment bank Baird, which tracks data from wedding planning site the Knot. The survey’s findings were first reported by CNBC,
This is Bed Bath & Beyond’s lowest share of the wedding registry market recorded in the six years that Baird has tracked this data. Meanwhile, Amazon accounted for 45% of listing penetration of wedding registries in the quarter.
The drop is significant for Bed Bath & Beyond, which is in the midst of a major turnaround effort. Its wedding registry service is an important part of its business as it can help to drive higher margins as couples tend to ask for pricier products, and the people that buy them are more likely to pay full price.
Moreover, it helps to drive customer loyalty to the retailer and puts it front of mind for future purchases.
“If you are capturing a customer at a point of time when they’re married, what comes after that is maybe a new apartment or a new house and maybe after that your family is expanding with a new baby or two,” Baird analyst Justin Kleber told CNBC.
Bed Bath & Beyond’s declining registry market share is also significant as it comes just as the US market gears up for a wedding boom in 2022. An estimated 2.6 million weddings will take place in the US in 2022, marking an all-time high, according to The Knot.
Amazon has gradually become a more formidable force in the registry market by luring couples with discounts and offering bonus gifts when gift-givers spend over a certain amount.