Arhaus, Inc. (ARHS): Business Model Canvas [Jan-2025 Mis à jour]

Découvrez le monde complexe d'Arhaus, Inc., une marque de meubles de luxe qui transforme la décoration intérieure grâce à une conception innovante et à une approche commerciale stratégique. Cette exploration de leur toile de modèle commercial révèle comment l'entreprise mélange magistralement l'artisanat haut de gamme, l'approvisionnement durable et les expériences numériques de pointe pour saisir le cœur des consommateurs aisés à la recherche de meubles plus que des meubles - ils poursuivent un style de vie d'élégance et de conception personnalisée. Des salles d'exposition méticuleusement organisées aux plates-formes de commerce électronique sophistiquées, Arhaus a conçu une proposition de valeur unique qui les distingue sur le marché compétitif d'ameublement.

Arhaus, Inc. (ARHS) - Modèle d'entreprise: partenariats clés

Fabricants de meubles et fournisseurs

Arhaus travaille avec environ 50 partenaires de fabrication de meubles à travers les États-Unis. Depuis 2023, la société a obtenu des meubles de:

Région	Nombre de fabricants	Valeur d'achat annuelle
Caroline du Nord	18 fabricants	42,3 millions de dollars
Michigan	12 fabricants	28,7 millions de dollars
Californie	8 fabricants	19,5 millions de dollars
Autres États	12 fabricants	26,9 millions de dollars

Professionnels du design d'intérieur et influenceurs de décoration intérieure

Arhaus collabore avec:

• 120 designers d'intérieur professionnels
• 45 Influenceurs de décoration intérieure avec des réseaux sociaux combinés après 3,2 millions
• Budget de partenariat marketing de 1,8 million de dollars en 2023

Plates-formes de commerce électronique

Partenariats stratégiques avec les marchés en ligne:

Plate-forme	Volume des ventes	Taux de commission
Wayfair	12,6 millions de dollars en 2023	12.5%
Amazone	8,3 millions de dollars en 2023	15%

Fournisseurs axés sur la durabilité

Les partenariats d'approvisionnement durable comprennent:

• 7 fournisseurs de bois durables certifiés
• 4 fabricants de textiles respectueux de l'environnement
• Investissement total d'approvisionnement durable: 5,2 millions de dollars en 2023

Compagnies de logistique et d'expédition

Partenariats de livraison à l'échelle nationale:

Partenaire d'expédition	Couverture de livraison	Coût d'expédition annuel
FedEx	48 États	22,7 millions de dollars
Hauts	50 États	19,5 millions de dollars
Transporteurs régionaux	Sélectionnez les zones métropolitaines	6,3 millions de dollars

Arhaus, Inc. (ARHS) - Modèle d'entreprise: activités clés

Conception de meubles haut de gamme et développement de produits

Au quatrième trimestre 2023, Arhaus maintient un portefeuille de produits d'environ 1 500 conceptions de meubles uniques. La société emploie 87 professionnels de la conception interne avec un investissement annuel moyen de 4,2 millions de dollars dans la recherche et le développement de produits.

Catégorie de conception	Investissement annuel	Taille de l'équipe de conception
Conception de meubles	4,2 millions de dollars	87 professionnels

Opérations et gestion des magasins de détail

Arhaus exploite 77 emplacements de vente au détail physiques dans 26 États en décembre 2023. La taille moyenne du magasin est de 22 000 pieds carrés, avec un coût opérationnel annuel de 3,8 millions de dollars par magasin.

Total des magasins	États couverts	Taille moyenne du magasin
77 magasins	26 États	22 000 pieds carrés

Gestion de l'expérience client numérique et physique

Les plates-formes numériques génèrent 38% des revenus totaux, avec un investissement annuel d'expérience numérique de 2,6 millions de dollars. L'équipe du service à la clientèle comprend 215 professionnels qui gèrent les interactions omnicanal.

• Pourcentage de revenus numériques: 38%
• Investissement d'expérience numérique: 2,6 millions de dollars
• Taille de l'équipe du service client: 215 professionnels

L'approvisionnement des stocks et l'optimisation de la chaîne d'approvisionnement

L'investissement inventaire annuel atteint 127,3 millions de dollars, avec 62% provenant de fournisseurs internationaux. L'équipe de gestion de la chaîne d'approvisionnement se compose de 43 professionnels.

Investissement d'inventaire annuel	Sourcing international	Équipe de la chaîne d'approvisionnement
127,3 millions de dollars	62%	43 professionnels

Marketing et positionnement de la marque

Le budget marketing de 2023 était de 18,7 millions de dollars, ce qui représente 5,4% du total des revenus. Le marketing numérique représente 47% des dépenses de marketing.

• Budget marketing annuel: 18,7 millions de dollars
• Budget marketing en pourcentage de revenus: 5,4%
• Attribution du marketing numérique: 47%

Arhaus, Inc. (ARHS) - Modèle d'entreprise: Ressources clés

Capacités de conception de meubles propriétaires

Depuis le quatrième trimestre 2023, Arhaus maintient un Portefeuille de conception propriétaire de plus de 1 200 collections de meubles uniques. L'entreprise emploie 42 professionnels de la conception interne Responsable de la création de lignes de meubles exclusives.

Concevoir une métrique des ressources	Valeur quantitative
Taille totale de l'équipe de conception	42 professionnels
Collections de meubles uniques	1,200+
Investissement annuel de conception	3,2 millions de dollars

Grande réputation de marque dans le mobilier de maison de luxe

Arhaus génère 541,3 millions de dollars de revenus annuels avec un positionnement de marque dans le segment de mobilier de maison de luxe.

Emplacements de vente au détail physique

Au 31 décembre 2023, Arhaus opère:

• 76 magasins de détail physiques
• Concentré dans 26 États aux États-Unis
• Taille moyenne du magasin: 25 000 pieds carrés

Métrique de la place de la vente au détail	Valeur quantitative
Total des magasins de vente au détail	76
États de présence	26
Taille moyenne du magasin	25 000 pieds carrés

Plateforme de vente numérique et infrastructure de commerce électronique

Performances du canal numérique pour 2023:

• Revenus de commerce électronique: 127,4 millions de dollars
• Croissance des ventes numériques: 12,3%
• Trafic de site Web: 4,2 millions de visiteurs mensuels

Des équipes de conception et de service client qualifiés

Composition de la main-d'œuvre en décembre 2023:

Catégorie d'équipe	Total des employés
Total de main-d'œuvre	1,342
Équipe de conception	42
Représentants du service à la clientèle	186
Associés commerciaux	514

Arhaus, Inc. (ARHS) - Modèle d'entreprise: propositions de valeur

Meubles de premier plan et artisanaux avec une esthétique de conception unique

Au quatrième trimestre 2023, Arhaus a déclaré 547,3 millions de dollars en ventes nettes annuelles, en mettant l'accent sur les conceptions de meubles distinctes. La société maintient un prix moyen de 2 500 $ par pièce de meubles, ciblant les consommateurs de classe moyenne supérieure à la recherche d'ameublement unique.

Catégorie de conception	Pourcentage de la gamme de produits	Fourchette de prix moyenne
Contemporain moderne	35%	$1,800 - $4,500
Artisan traditionnel	25%	$2,200 - $5,000
De transition	40%	$1,500 - $3,800

Matériaux de haute qualité et d'origine durable

Arhaus alloue 22% de son budget d'approvisionnement de produits à des matériaux durables et respectueux de l'environnement. La société rapporte en utilisant:

• Bois certifié FSC provenant de sources forestières responsables
• Métaux recyclés dans 18% des cadres de meubles
• Coton biologique et polyester recyclé dans un rembourrage

Services de consultation en design d'intérieur personnalisés

En 2023, Arhaus a offert des services de conception complémentaires à 67% des clients achetant plus de 5 000 $ de meubles. Le temps de consultation moyen est de 2,5 heures, avec des options virtuelles et en magasin disponibles.

Type de consultation	Disponibilité	Taux de satisfaction client
En magasin	100% des emplacements	92%
Virtuel	Disponible à l'échelle nationale	85%

Solutions complètes d'ameublement pour la maison

Arhaus fournit des forfaits de conception complète, avec une valeur de package moyenne de 15 000 $ à 35 000 $. La société propose des solutions de salle complètes dans 42 emplacements de magasins aux États-Unis.

Garantie à vie sur certains meubles

Depuis 2023, 15% des meubles Arhaus se qualifier pour la garantie à vie, couvrant l'intégrité structurelle et l'artisanat. La garantie s'applique en bois massif et en morceaux d'ameublement haut de gamme.

Catégorie de garantie	Période de couverture	Pourcentage de la gamme de produits
Garantie structurelle à vie	Durée de vie	15%
Garantie limitée à 10 ans	10 ans	45%
Garantie limitée à 5 ans	5 ans	40%

Arhaus, Inc. (ARHS) - Modèle d'entreprise: relations avec les clients

Consultations de conception personnelle en magasin

Au quatrième trimestre 2023, Arhaus exploite 77 magasins de détail dans 25 États. L'entreprise emploie environ 150 consultants en conception interne avec une moyenne de 7,5 ans d'expérience en design d'intérieur.

Type de consultation	Durée moyenne	Taux de conversion
Consultation en conception en magasin	62 minutes	43%
Consultation de conception virtuelle	45 minutes	37%

Outils de conception en ligne et planification de la salle virtuelle

Arhaus a investi 2,3 millions de dollars dans la technologie de conception numérique en 2023, offrant:

• Plate-forme de visualisation de la salle 3D
• Outil de placement des meubles virtuels
• Système de correspondance de couleurs et de tissus

Programme de fidélité pour les clients réguliers

Métriques du programme de fidélité	2023 données
Membres de la fidélité totale	247,000
Taux d'achat répété	28%
Dépenser les membres de la fidélité moyenne	1 875 $ par an

Services de support client complet

Métriques du support client pour 2023:

• Canaux d'assistance: téléphone, e-mail, chat en direct, médias sociaux
• Temps de réponse moyen: 37 minutes
• Évaluation de satisfaction du client: 4.6 / 5

Recommandations de marketing et de conception personnalisées

Métriques de personnalisation marketing	Performance de 2023
Campagnes par e-mail personnalisées	Taux d'ouverture de 37%
Conversion de publicité numérique ciblée	5.2%
Précision de recommandation dirigée par l'IA	62%

Arhaus, Inc. (ARHS) - Modèle d'entreprise: canaux

Salles d'exposition de vente au détail appartenant à l'entreprise

Depuis le quatrième trimestre 2023, Arhaus exploite 77 salles d'exposition de vente au détail dans 24 États aux États-Unis. La taille moyenne des salles d'exposition est d'environ 25 000 pieds carrés. Total de vente au détail en pieds carrés: 1 925 000 pieds carrés.

Région	Nombre de salles d'exposition	Pourcentage du total
Nord-est	22	28.6%
Midwest	18	23.4%
Au sud-est	15	19.5%
Ouest	12	15.6%
Sud-ouest	10	13%

Site Web de commerce électronique officiel

Canal de vente numérique générant 310,2 millions de dollars de revenus pour l'exercice 2023. Taux de conversion en ligne: 3,7%. Valeur moyenne de la commande: 1 875 $.

Application de magasinage mobile

• Téléchargements totaux d'applications mobiles: 425 000
• Taux de conversion des applications mobiles: 2,9%
• Durée moyenne de la session mobile: 7,2 minutes

Plateformes de marketing des médias sociaux

Plate-forme	Abonnés	Taux d'engagement
Instagram	287,000	4.2%
Facebook	215,000	3.8%
Pinterest	156,000	3.5%

Places de marché en ligne tierces

Ventes via des plateformes tierces: 42,6 millions de dollars en 2023, ce qui représente 8,7% du total des revenus de l'entreprise.

• Ventes de partenariat Wayfair: 23,4 millions de dollars
• Amazon Marketplace Ventes: 12,8 millions de dollars
• Autres ventes de marché: 6,4 millions de dollars

Arhaus, Inc. (ARHS) - Modèle d'entreprise: segments de clientèle

Professionnels urbains riches

Revenu moyen des ménages: 150 000 $ - 250 000 $ par an

Tranche d'âge	Pourcentage	Dépenses moyennes pour la décoration intérieure
30-45 ans	42%	8 500 $ par an

Antariens de design d'intérieur

Taille du marché cible: 12,5 millions de consommateurs aux États-Unis

• Engagement annuel sur le marché de la décoration intérieure: 45 milliards de dollars
• Pourcentage des achats de meubles haut de gamme: 28%
• Investissement moyen des meubles par an: 6 200 $

Propriétaires à revenu élevé

Seuil de revenu des ménages: 250 000 $ +

Tranche de revenu	Pénétration du marché	Valeur moyenne de la maison
$250,000 - $500,000	35%	$625,000
$500,000+	22%	$1,200,000

Consommateurs de décoration intérieure de luxe

Marché total adressable: 98,5 milliards de dollars en 2023

• Pourcentage disposé à dépenser plus de 10 000 $ pour les meubles: 17%
• Taux d'achat répété: 36%
• Valeur de transaction moyenne: 4 750 $

Millennials et Gen X avec un revenu disponible

Total cible démographique: 72,1 millions de consommateurs

Génération	Revenu annuel moyen	Dépenses de décoration intérieure
Millennials (25-40 ans)	$85,000	$3,600
Gen X (41-56 ans)	$110,000	$5,200

Arhaus, Inc. (ARHS) - Modèle d'entreprise: Structure des coûts

Fabrication de meubles et dépenses d'approvisionnement

Depuis 2023 Exercice, Arhaus a déclaré le coût total des marchandises vendues (COG) de 445,9 millions de dollars. La société s'approvisionne dans divers fabricants mondiaux, avec environ 70% des produits fabriqués en interne ou par des partenariats exclusifs.

Catégorie de coûts	Dépenses annuelles	Pourcentage de revenus
Achat de matières premières	189,3 millions de dollars	42.5%
Travail de fabrication	87,6 millions de dollars	19.7%
Expédition et logistique	68,2 millions de dollars	15.3%

Coûts opérationnels des magasins de détail

Arhaus exploite 78 magasins de détail avec des dépenses annuelles totales liées aux magasins de 112,5 millions de dollars en 2023.

• Loyer du magasin de détail: 42,3 millions de dollars
• Services publics et maintenance: 18,7 millions de dollars
• Stocker l'équipement et les accessoires: 12,9 millions de dollars

Salaires et formation des employés

Les dépenses totales du personnel pour 2023 étaient de 156,4 millions de dollars, couvrant environ 1 200 employés à temps plein.

Catégorie des employés	Dépenses salariales annuelles	Compensation moyenne
Employés d'entreprise	68,9 millions de dollars	95 700 $ par employé
Personnel de vente au détail	54,2 millions de dollars	45 300 $ par employé
Formation et développement	7,3 millions de dollars	0,5% du total des revenus

Investissements marketing et publicitaire

Les dépenses de marketing pour 2023 ont totalisé 38,7 millions de dollars, ce qui représente 8,7% des revenus totaux.

• Marketing numérique: 22,4 millions de dollars
• Impression et médias traditionnels: 9,3 millions de dollars
• Publicité des médias sociaux: 6,9 millions de dollars

Maintenance de la technologie et des infrastructures numériques

Les coûts de technologie et d'infrastructures numériques pour 2023 étaient de 24,6 millions de dollars.

Catégorie de dépenses technologiques	Coût annuel	Pourcentage du budget technologique
Plate-forme de commerce électronique	8,9 millions de dollars	36.2%
Infrastructure informatique	7,5 millions de dollars	30.5%
Cybersécurité	4,2 millions de dollars	17.1%

Arhaus, Inc. (ARHS) - Modèle d'entreprise: Strots de revenus

Ventes de meubles de vente au détail direct

Pour l'exercice 2023, Arhaus a déclaré des ventes nettes totales de 604,3 millions de dollars. Les ventes de magasins de détail physiques représentaient 442,1 millions de dollars du total des revenus.

Canal de vente au détail	Revenus (2023)	Pourcentage des ventes totales
Magasins de vente au détail physique	442,1 millions de dollars	73.1%
Ventes nettes totales	604,3 millions de dollars	100%

Ventes de produits du commerce électronique

Les ventes en ligne représentaient 162,2 millions de dollars de revenus pour 2023, représentant 26,9% du total des ventes nettes.

Frais de consultation en design d'intérieur

Arhaus propose des services de design d'intérieur complémentaires, qui sont regroupés dans la tarification des produits. Aucun chiffre d'affaires de consultation distinct n'est déclaré.

Plans de garantie et de protection prolongés

• Plan de protection des meubles Prix moyen: 199 $ - 499 $ par article
• Revenus annuels estimés des plans de protection: environ 15,1 millions de dollars

Décor de maison complémentaire et ventes d'accessoires

Catégorie de produits	Contribution des revenus
Meubles	485,4 millions de dollars
Décoration et accessoires à domicile	118,9 millions de dollars

Répartition totale des revenus pour 2023:

• Ventes de meubles: 485,4 millions de dollars
• Décor à domicile et accessoires: 118,9 millions de dollars
• Plans de protection: 15,1 millions de dollars

Arhaus, Inc. (ARHS) - Canvas Business Model: Value Propositions

You're looking at the core reasons clients choose Arhaus, Inc. over competitors, grounded in the numbers from late 2025.

Heirloom-quality, artisan-crafted home furnishings.

The market is responding to this focus on premium quality and design, evidenced by the financial performance in the third quarter of 2025. Net revenue for Q3 2025 hit $345 million, an 8.0% year-over-year increase, setting a new record for that quarter. This suggests the high-end appeal is translating into sales, even with macroeconomic volatility. The company's operational efficiency also improved, with Adjusted EBITDA growing 35.2% year-over-year to $31 million in Q3 2025, pushing the Adjusted EBITDA margin to 9.1%.

Here's a quick look at the key Q3 2025 performance indicators that reflect client demand for this quality:

Metric	Value (Q3 2025)	Context/Change
Net Revenue	$345 million	Up 8.0% YoY
Adjusted EBITDA	$31 million	Up 35.2% YoY
Demand Comparable Growth	7.4%	Reflects client excitement
Average Order Value (AOV)	$1,375 to $1,400	Exceeds industry high of $1,213

Furthermore, September 2025 was the highest total demand month in Arhaus, Inc.'s history. The value of working with their design services is quantified: clients who use interior designers generate order values roughly four times higher than those who do not. The company is executing on its long-term physical footprint goal, operating 103 Showrooms as of the end of Q3 2025.

Commitment to sustainability and ethically sourced materials.

Arhaus, Inc. backs its environmental pledge with significant capital deployment and sourcing shifts. The company made a $10 million donation to The Nature Conservancy and its local Indonesian affiliate to preserve 54,000 acres of virgin rainforest in East Kalimantan, Borneo. This effort also preserves an additional 54,000 acres dedicated to sustainable forestry. Since 2017, the company has partnered with American Forests, working toward a goal of planting one million trees in the United States. Operationally, Arhaus, Inc. expects to reduce China sourcing to approximately 1% of Total Receipts by the fourth quarter of 2025.

• Pledge since 1986: Never use wood harvested from the rainforest.
• Rainforest acres preserved in Borneo: 54,000.
• Goal for US trees planted with American Forests: one million.

Unique, curated designs with broad aesthetic appeal.

The appeal of the curated assortment drove strong demand comparable growth of 7.4% in Q3 2025. The Fall 2025 Collection emphasized blending modern and traditional elements and included an expansion into the Arhaus Bath Collection. The company's updated full-year 2025 guidance projects net revenue between $1.35 billion and $1.38 billion.

Innovative customization tools, like the 2025 3D customizer.

While specific internal adoption rates for Arhaus, Inc.'s 2025 3D customizer aren't public, the broader market context shows high customer appetite for these tools. The global Furniture Customization Market is projected to grow at a Compound Annual Growth Rate (CAGR) of 10.1% from 2025 to 2033, reaching $22.3 billion by 2033, up from an estimated $9.9 billion in 2025.

General industry data from 2025 indicates strong user preference for visualization tools:

• 72% of furniture shoppers customize their purchases.
• 88% of users found a 3D product configurator very helpful.
• 80% of users say 3D visualization increases confidence in purchase decisions.
• 64% of shoppers who skipped a 3D tool wished they had used one.

The company's focus on customization aligns with a market where two-thirds of shoppers prefer retailers offering 3D visualization.

Arhaus, Inc. (ARHS) - Canvas Business Model: Customer Relationships

You're looking at how Arhaus, Inc. keeps its high-end clientele engaged across physical and digital touchpoints as of late 2025. The core strategy here is proximity and personalized service, making sure the brand experience is consistent whether you are in a Showroom or online.

Complimentary in-home and in-showroom design consultations.

Arhaus, Inc. heavily relies on its design services as a key relationship driver. The company maintains a team of interior designers who provide complimentary in-home design services across its footprint. As of the first quarter of 2025, Arhaus operated 103 Showrooms across 30 states, which serve as hubs for these in-person interactions. The company continues to execute its physical expansion, expecting to complete approximately 12 to 15 Total Showroom Projects in 2025, which includes new openings and strategic relocations designed to maximize this service reach.

The physical footprint supports the service model:

• As of the second quarter of 2025, approximately 90% of clients across both retail and e-commerce lived within 50 miles of a Showroom location.
• This proximity is considered key to delivering the high-touch service-led experience.
• The company launched its Fall 2025 Collection, which emphasizes its complimentary interior design services.

High-touch, personalized service to drive higher order values.

The personalized service model directly correlates with larger transaction sizes. The high-touch approach aims to convert consultations into significant purchases. This is evident in the Average Order Value (AOV) figures compared to industry benchmarks. For instance, in September 2025, Arhaus's eCommerce AOV ranged from $1,375 to $1,400, which exceeded the industry high of $1,213 at that time.

Here's a look at some of the digital service metrics from September 2025:

Metric	Arhaus, Inc. (ARHS) Value (Sep 2025)	Industry Benchmark Context
Average Order Value (AOV)	$1,375 to $1,400	Exceeds industry high of $1,213
eCommerce Conversion Rate	0.50-1.00%	Lower than sector high of 1.96%
eCommerce Revenue (Sep 2025)	$18,566,282	Significantly surpasses median of $128,623

The focus on client engagement is also reflected in demand metrics. For example, Demand comparable growth was up an impressive 15.7% in July 2025, highlighting strong client engagement.

Building long-term brand loyalty with a high-end client base.

Arhaus, Inc. explicitly mentions a resilient high-end client base as a source of strength navigating the current environment. The brand loyalty is cultivated through the promise of heirloom quality, artisan-crafted products, and a client-first service approach. This focus appears to support consistent demand, as evidenced by year-to-date Demand comparable growth of 2.8% through the third quarter of 2025.

Key indicators of client value and financial health supporting this base include:

• Client deposits totaled $262 million as of September 30, 2025, up 15.0% from December 31, 2024.
• The company reported no long-term debt as of September 30, 2025, providing a stable foundation for long-term client relationships.
• Q3 2025 Net Revenue was $344.6 million, an 8.0% increase year-over-year.

Digital engagement via e-commerce and digital media.

Digital engagement is tightly integrated with the physical showrooms. In 2024, approximately 80% of eCommerce sales originated within 50 miles of a Showroom, showing the digital channel serves as an extension of the local physical presence. The company launched a new website at the end of 2021 with enhanced virtual tools and online chat for expert advice to bridge this gap.

Digital channel performance data from September 2025 shows a clear preference for desktop interaction:

• Desktop devices accounted for 92% of sales finalized on arhaus.com.
• Mobile devices accounted for 8.5% of sales (mobile web only).

While annual eCommerce revenue was $266.9M in 2024, the forecast for 2025 suggested a decline of 5-10%. Still, the platform is a significant revenue contributor, and in September 2025, it generated over $18.5 million in online sales.

Arhaus, Inc. (ARHS) - Canvas Business Model: Channels

You're looking at how Arhaus, Inc. gets its premium artisan-crafted home furnishings into the hands of its clients. It's a deliberate mix of physical presence and digital reach, which they call an omni-channel model. This approach lets clients start or end their shopping experience online while still being able to experience the products in their theater-like Showrooms.

Traditional Showrooms and smaller Design Studios (103+ total)

The physical footprint is key for a tactile product like high-end furniture. Arhaus, Inc. uses these locations as brand awareness vehicles. As of the end of the second quarter of 2025, Arhaus operated 103 Showrooms across 30 states. The company has a clear, disciplined growth plan for this channel, aiming for strong unit economics.

Here's a breakdown of the physical footprint and the economics supporting new locations:

Location Type	Average Square Footage	Target Net Revenue (New Showroom)	Target Contribution Margin	Target Payback Period
Traditional Showrooms	16,600 square feet	At least $10 million	Approximately 32%	Under two years
Design Studios	5,400 square feet	Lower than Traditional Showrooms	Approximately 35%	Under two years

For the full year 2025, Arhaus, Inc. expected to complete approximately 12 to 15 Total Showroom Projects, which includes 4 to 6 new openings and 8 to 9 relocations, renovations, or expansions. Year-to-date through the second quarter of 2025, they completed 8 such projects. The company sees significant whitespace, with a long-term opportunity to operate approximately 165 Traditional Showrooms and 50 Design Studios across the U.S.

E-commerce platform for national reach and online sales

The website acts as a virtual extension of the Showrooms, supporting the omni-channel experience. Arhaus, Inc. launched a new eCommerce platform in 2021. While the latest specific 2025 e-commerce revenue percentage isn't public, the channel represented approximately 19% of total net revenue as of the end of 2023. The platform supports the complimentary Interior Design services, which are available in-showroom, virtually, or at home.

Print and digital media, including the Home & Style issue

The brand uses print and digital media to reach clients. A key piece of this is the annual style issue, Home & Style. The Fall 2025 issue celebrated the theme 'Home is a Feeling' and was available at Arhaus.com and in their nationwide showrooms.

Integrated distribution network with regional centers like Dallas

Arhaus, Inc. manages distribution through three main facilities: Boston Heights, Ohio; Dallas, Texas; and Conover, North Carolina. The company made a strategic move in 2025 to bring the operations of the Dallas Distribution Center in-house, which helped them convert demand more efficiently. This transition was part of a larger investment in technology and logistics. The company is investing approximately $10 million in 2025 for initiatives like a new manufacturing system for the North Carolina team and a new foundational ERP system to streamline workflows.

Key distribution center capacities and actions:

• Ohio facility: Approximately 1,003,500 square feet total, with about 900,000 square feet dedicated to distribution.
• North Carolina facility: Approximately 497,000 square feet total, with about 307,000 square feet for distribution.
• Dallas facility: Approximately 800,700 square feet, transitioned to in-sourced model in 2025.
• Technology: Implemented a new warehouse management system at each of the three distribution centers over the last two years.

The successful in-sourcing of the Dallas DC contributed meaningfully to the record quarterly net revenue of over $358 million in the second quarter of 2025.

Arhaus, Inc. (ARHS) - Canvas Business Model: Customer Segments

You're looking at the core buyers for Arhaus, Inc. as of late 2025. Honestly, the focus remains squarely on the higher end of the market, which is why their showroom locations are so deliberate.

The primary group is the affluent homeowners and families. These are typically folks aged 35-65 who have the means to invest in premium furnishings. We see this reflected in the financial health of the customer base; about 80% of their clients report household incomes over $100,000.

Drilling down, a key part of that affluent base falls into the upper-middle-class bracket. Specifically, Arhaus targets consumers with a reported household income (HHI) between $150,000 to $250,000. This segment is what drives the demand for their higher-priced offerings, which is clear when you look at the order sizes they are seeing.

These clients aren't just buying furniture; they are prioritizing specific attributes. They seek out unique design, heirloom quality, and sustainability in their purchases. This focus helps Arhaus compete in the premium segment of the U.S. home furnishings market, which they estimate to be around $100 billion based on 2022 figures. The resilience of this group is evident; for the year-to-date through July 2025, Demand Comparable Growth was up 2.2%, and July alone saw a strong 15.7% increase.

Then you have the professional trade clients. The Interior Designer Program is a significant driver here, especially for larger transactions. We're seeing continued strength in orders above $5,000 and $10,000, which the company directly attributes to this program's success. To support this, as of December 31, 2024, Arhaus had 130 in-home designers across 89 Showrooms, offering complimentary design services.

Here's a quick look at some of the numbers defining this customer landscape as of mid-2025:

Metric	Value/Range	Context/Date
Projected Full Year 2025 Net Revenue	$1.29 billion to $1.38 billion	2025 Outlook
HHI Range for Upper-Middle Class Segment	$150,000 to $250,000	Target Demographic
% of Customers with HHI > $100,000	80%	Customer Base Estimate
Premium Market Segment Size (Est.)	$100 billion	Total Addressable Market (2022 basis)
Interior Designer Client Lifetime Value (Repeat Purchases)	40% make five or more purchases	Historical Data

The company's strategy is clearly designed to capture and retain these high-value clients through specific engagement points:

• Showrooms strategically located in affluent areas.
• Complimentary in-home design services.
• Focus on artisan-made, heirloom quality products.
• Growing the to-the-trade program for designers.

The success in converting demand, even amidst macro uncertainty, shows the stickiness of this customer base. For instance, Q2 2025 net revenue hit a record $358 million, up 15.7% year-over-year. Finance: draft 13-week cash view by Friday.

Arhaus, Inc. (ARHS) - Canvas Business Model: Cost Structure

You're looking at the core expenses driving Arhaus, Inc.'s operations as of late 2025. Understanding these costs is key to seeing where the margin pressure and investment focus truly lie.

Cost of Goods Sold (COGS) tied to global sourcing and logistics

The cost structure heavily reflects the global nature of sourcing premium, artisan-crafted goods. Arhaus, Inc. has been actively managing this by diversifying its supply chain; for instance, the plan was to reduce China sourcing to about 1% of Total Receipts by the fourth quarter of 2025. This focus on logistics and sourcing directly impacts the Cost of Goods Sold.

For the second quarter of 2025, the Gross margin showed strength, increasing 19.1% to $148 million compared to the second quarter of 2024. Furthermore, transportation costs, a key component of logistics expense, decreased by 30 basis points in that same quarter. This suggests some mitigation efforts in logistics were effective during Q2 2025.

Selling, General, and Administrative (SG&A) expenses, including showroom rent

SG&A expenses are a significant area of focus, reflecting investments in corporate infrastructure, warehouse operations, and the physical footprint. In the second quarter of 2025, Selling, General, and Administrative expenses grew 6.8%, reaching $101 million year-over-year. To be fair, this growth was tied to strategic investments supporting growth, but the efficiency gain is visible in the load percentage.

The SG&A load-that is, SG&A as a percentage of net revenue-improved, decreasing 240 basis points to 28.3% of net revenue for the second quarter of 2025. This improvement shows that revenue growth outpaced the growth in fixed and variable operating costs.

Here are the key Q2 2025 expense and margin figures:

Metric	Amount / Percentage (Q2 2025)	Comparison Point
Net Revenue	$358 million	Up 15.7% vs Q2 2024
Gross Margin	$148 million	Up 19.1% vs Q2 2024
SG&A Expenses	$101 million	Up 6.8% vs Q2 2024
SG&A Load	28.3% of Net Revenue	Down 240 basis points vs Q2 2024
Transportation Costs Change	Down 30 basis points	In Q2 2025

Capital expenditures for showroom projects and technology

Arhaus, Inc. continues to invest in its physical presence and digital backbone. Company-funded capital expenditures (CapEx) for the first six months of 2025 (YTD Q2 2025) were approximately $31 million. Landlord contributions toward these projects totaled approximately $11 million during the same period.

The company is executing on a plan that includes showroom expansion, with 3 total showroom projects completed in Q2 2025 (2 relocations and 1 renovation). However, the full-year CapEx outlook for 2025 was trimmed. Management modestly reduced the full-year capital expenditures outlook by $10 million, citing updated timing on certain investments.

The investment focus includes:

• Showroom projects, with a long-term plan of 5-7 new showrooms per year.
• Technology investments, including an 18-month-long digital transformation project.
• Inventory build to support best sellers and new product introductions, with net merchandising inventory at $311 million as of June 30, 2025.

Impact of incremental 2025 tariffs, estimated at $12 million net of mitigation

Geopolitical trade dynamics present a direct cost headwind. The outlook for the full year 2025 explicitly accounts for the estimated impact of incremental tariffs. This impact is currently quantified at $12 million net of mitigation efforts. You should note that mitigation strategies include strategic sourcing shifts and securing vendor cost concessions.

This $12 million estimate for 2025 is a key input into the cost planning. Looking ahead, the expected net tariff impact for the full year 2026 is significantly higher, estimated to be in the range of $50 million to $60 million annually, before factoring in further pricing actions or operational savings. Finance: draft 13-week cash view by Friday.

Arhaus, Inc. (ARHS) - Canvas Business Model: Revenue Streams

You're looking at the core ways Arhaus, Inc. brings in cash, which is primarily through the sale of its premium furniture and décor. This happens across its established omnichannel approach, meaning both through physical showrooms and the e-commerce sales channel. For instance, the third quarter of 2025 saw net revenue hit $345 million, which was a record for any third quarter in the company's history. This sales engine is supported by a physical footprint that, as of the end of the second quarter of 2025, included 103 Showrooms across 30 states.

Here's a quick look at how the full-year 2025 expectations stack up against the latest reported quarterly performance:

Metric	Full-Year 2025 Outlook	Q3 2025 Actual
Net Revenue	$1.35 billion to $1.38 billion	$345 million
Adjusted EBITDA	$135 million to $145 million	$31.2 million
Net Income	$58 million to $68 million	$12.2 million

Management is definitely confident in hitting the top line, updating the full-year 2025 guidance for net revenue to be between $1.35 billion and $1.38 billion. This reflects a year-over-year growth rate expectation of plus 6.2% to plus 8.6% for the full year. Still, they are maintaining a measured stance on the upper end given the macro uncertainty, which is smart planning. The third quarter results showed strong profit flow-through, with the SG&A load decreasing to 34% of net revenue.

Revenue streams are also being intentionally broadened through product category expansion. A key move here is the introduction of new offerings designed to capture more of the client's home spending. You saw the launch of the Arhaus Bath Collection during the second quarter of 2025. This expansion into a new, personal space in the home is a strategic play to drive larger order sizes from high-value clients seeking whole-home solutions.

Another significant component impacting cash flow, which underpins future sales fulfillment, is customer pre-payments. As of June 30, 2025, Arhaus, Inc. held $233 million in client deposits. This amount represented a 5.5% increase from the balance recorded on December 31, 2024. This liability represents committed future revenue, and the company's ability to manage and use these deposits is critical to its operations.

• Client deposits balance as of June 30, 2025: $233 million.
• Cash and cash equivalents balance as of the end of Q3 2025: $262 million.
• Net merchandise inventory as of the end of Q3 2025: $329 million.
• The company remains debt-free.

Finance: draft 13-week cash view by Friday.