eBusiness leverages our US product categories and supply chain with the majority of revenue generated through Build.com.

Key highlights 2018/19

  • Enhanced capabilities to deliver to more than 70 per cent of the US population in one day
  • Created augmented and virtual reality functionality for thousands of plumbing and lighting products in app
  • Continued to focus on trade customers to reduce pay-per-click spend

Key products and services

  • Bathroom, kitchen and lighting products
  • Door and cabinet hardware
  • Appliances
  • Call centre support and advice
  • Furniture and decor

eBusiness sells home improvement products directly to professional trade customers and consumers online predominantly using the Group’s existing product lines and distribution network. The majority of eBusiness is conducted through the brand Build.com, which is supported by a call centre. The call centre is staffed with knowledgeable consultants who deliver expert advice across all product categories. This differentiation gives us a competitive advantage against the other large competitors in the space.

eBusiness continues to evolve to support both professional trade customers and consumers driving a best-inclass experience through an improved website, mobile app and call centre. During the year we have created a tool on the website allowing customers to envision and design their projects in a simple, user‑friendly way. Our mobile Build.com app has been enabled to support augmented and virtual reality for thousands of plumbing and lighting products, achieving nearly half a million downloads.

Our supply chain at Ferguson enables us to deliver to more than 70 per cent of the US population in one day, which we are now promoting on the website. We will continue to integrate across Ferguson’s branch network to support a more robust omni-channel experience for the customer.

During the year we continued to consolidate pay-per-click advertising spend around fewer trading websites and really focus on Build.com due to its excellent customer experience, well-known brand and search engine optimisation. Our dynamic pricing strategy and own brand penetration meant that gross margin held up well in the year.

The market is predominantly comprised of large competitors with the top four businesses holding an estimated 67 per cent of the market. Ferguson is estimated to be number four, down from last year as we consolidated pay‑per-click advertising spend around fewer trading websites.