THE SHADE STORE

MARKETING CASE STUDY
Product Portfolio Diversification

OVERVIEW

COMPREHENSIVE CASE STUDY

This concept pitch, titled Shades of Light, was developed to explore The Shade Store’s potential for diversifying its product portfolio. The proposed expansion—introducing a customizable lampshade line—was designed to complement existing window treatments and enhance the brand experience for both consumers and Trade professionals alike.

KEY TAKEAWAYS FROM THE PROJECT

  • Identified a gap in The Shade Store’s offering and revealed a clear opportunity for complementary product development.

  • Addressed key pain points in the design process for both Trade professionals and homeowners by expanding the brand’s ecosystem.

  • Proposed a customizable product category that built on The Shade Store’s material assets and trade strengths.

  • Demonstrated strong brand alignment, consumer insight, and polished execution.

  • Outlined an intuitive digital integration strategy to support product rollout and enhance the customer experience

  • Conducted in-deep market analysis and customer insights, showcasing the diverse needs of The Shade Store’s customer base, including consumers and trade professionals.

PROCESS

The campaign introduced a product concept pitch promoting a custom lampshade line designed to seamlessly pair with The Shade Store’s exclusive window treatments. Developed independently during the COVID-19 lockdown, this project reflects a proactive initiative to identify and address a potential market opportunity.

The proposed collection utilized The Shade Store’s existing materials and manufacturing capabilities to create stylish, made-to-order lampshades, offering customers a cohesive design experience while expanding the brand’s portfolio and revenue potential.

SCOPE & OBJECTIVES

Shade Store Fabric Library

Proposed Lampshade Design

BRAND ANALYSIS & MARKETING RESEARCH

The Shade Store is a premium brand specializing in custom-made window treatments, catering to discerning customers who value quality craftsmanship, design expertise, and personalized service. Over the decades, it has established itself as a leader in the custom window treatment space, offering a curated range of shades, blinds, and drapery tailored to both residential and commercial markets.

Through market research and competitive analysis, it became evident that while The Shade Store offers an expansive selection of window treatments, there is potential to further strengthen its market presence by introducing complementary products. This untapped opportunity builds on The Shade Store’s reputation for quality and personalization, while addressing unmet needs for both customers and Trade professionals.

BUYER RESEARCH

With over a decade in interior design, I conducted informal consumer research by consulting fellow designers and Shade Store customers. Their feedback offered insight into how a lampshade line could enhance the brand’s current offerings and meet the needs of both professionals and homeowners.


Following are highlights of feedback received from Los Angeles-based trade professionals and Shade Store customers:

“It seems fitting for The Shade Store to add lampshades to their already amazing product lines. This would absolutely support the design process and fulfill a need and want my clients have.” 

— Boutique Interior Design Studio Owner

“I’ve always loved the customization that The Shade Store offers. Adding lampshades would make it easier and even more fun to create an elegant look throughout my home.”

— Shade Store Customer Since 2001

“Offering custom lampshades would simplify my workflow, allowing me to more easily and swiftly create and present cohesive designs to my clients.”

— Interior Designer

“Having lampshades made from the fine materials The Shade Store is known for, and knowing they’d perfectly compliment my existing drapery, is a great idea! It would be an exciting addition and I think the results could be stunning!”

— Shade Store Customer

MARKET RESEARCH

Although The Shade Store's business model may not exactly align with the strategies of the following brands, portfolio diversification has historically proven to be a powerful growth strategy for premium home brands. By expanding their product offerings, these brands achieved increased revenue, broader market reach, and stronger market positioning. Introducing a complementary product line, such as custom lampshades, could provide The Shade Store with a similar potential to leverage its existing infrastructure and brand equity, opening up new market segments and enhancing long-term competitiveness.

  • Originally a specialty hardware retailer, Restoration Hardware transitioned into luxury home furnishings by introducing high-quality furniture. Within just a few years, RH tripled its revenue and expanded its store network significantly.

    Restoration Hardware, now known as RH, began in 1979 as a specialty retailer focused on hardware and fixtures for older homes. By the early 1990s, the company recognized an opportunity to broaden its appeal by offering a more comprehensive range of home products. Its first major move in diversification came with the introduction of high-quality home furnishings, focusing on solid oak furniture with dovetail joinery.

    The results of this expansion were immediate and significant. By 1996, RH had tripled its revenue from the previous year, reaching $39.7 million. The momentum continued into 1997, with the opening of 21 new stores, bringing the total to 41 locations and driving revenues to $97 million nationwide.

    The initial success of RH’s expansion into home furnishings underscored the value of strategic diversification, positioning the company for sustained growth. Throughout the 2000s, the company continued to broaden its portfolio, adding lighting, textiles, and other home furnishings. By steadily expanding its product lines and maintaining a focus on quality craftsmanship, RH solidified its reputation as a leader in luxury home design. These early efforts to diversify its core offerings laid the groundwork for RH’s transformation into a multi-billion-dollar brand, with an estimated market capitalization of $7.54 billion as of January 2025.

  • Initially focused on housewares, Crate & Barrel expanded into furniture and textiles in the 1980s. This strategic move drove rapid revenue growth and helped establish the brand as a leader in home décor, with an estimated $3.7 billion in annual revenue today.

    Founded in 1962 by Gordon and Carole Segal, Crate & Barrel began as a modest store specializing in stylish, high-quality housewares. In the early 1980s, the company made a strategic move to diversify its product offerings by expanding into furniture, marking a significant shift from its original focus on housewares.

    The results of this expansion were immediate and substantial. By the late 1980s, Crate & Barrel’s annual sales had surpassed $100 million, reflecting strong demand for its broadened product line. Over the next decade, the company maintained steady growth, consistently opening new stores and expanding its offerings to include textiles and home accessories.

    Crate & Barrel’s early success in expanding its product portfolio beyond housewares positioned the brand for long-term success. With additional financial backing in the late 1990s, the company accelerated its expansion, further broadening its offerings. This strategic diversification helped drive steady revenue growth and strengthen the brand’s position in the home furnishings market. Today, Crate & Barrel operates over 100 locations across the U.S. and generates an estimated $3.7 billion in annual revenue, cementing its status as a leading luxury home retailer.

  • Drawer Box Specialties (DBS) started as a custom drawer box manufacturer and successfully broadened its offerings to include cabinetry components and accessories. This diversification increased its market share and solidified customer retention by offering more comprehensive solutions.

    Founded in 1989, DBS began as a niche manufacturer focused solely on custom drawer boxes for cabinetmakers and woodworking professionals. The company quickly established itself as a trusted supplier by offering high-quality, customizable products tailored to meet specific customer needs.

    In the early 2000s, DBS made a strategic decision to diversify its offerings by expanding into custom cabinetry components and accessories. This move allowed the company to cater to a broader market and offer a more complete solution for cabinetry projects. The results were impressive: DBS saw a significant increase in demand from both residential and commercial markets, driving steady revenue growth.

    DBS’s expansion beyond drawer boxes solidified its reputation as a full-solution provider—illustrating the value of strategic diversification in a niche market. By broadening its product range, the company strengthened its market position and improved customer retention, as clients now relied on DBS for a wider range of custom cabinetry solutions. Today, DBS remains a leader in the cabinetry industry, known for its high-quality products and innovative customization capabilities.

STRATEGIC EXPANSION OPPORTUNITIES

Key Opportunities

Integrated Design Solutions: 
Enables customers to create cohesive interiors by pairing lampshades with custom window treatments from the exclusive fabric library.

Diversified Revenue Streams: 
Expands The Shade Store’s product portfolio, opening new pathways for growth and increasing long-term revenue potential.

Enhanced Trade Support: 
Equips designers with versatile tools to streamline presentations and deliver fully coordinated room concepts.

Customer Engagement Inspiration: 
Sparks creativity by introducing stylish new ways to elevate home décor, reinforcing The Shade Store’s appeal to design-savvy consumers.

CREATIVE DEVELOPMENT & IMPLEMENTATION

The presentation was designed to be sleek, aspirational, and fully aligned with The Shade Store’s brand ethos of “custom made simple®.” The concept pitch showed how expanding into custom lampshades could offer a more cohesive and personalized design experience for both consumers and trade professionals.

Sample of Proposed Lampshade Styles

Product Concept Presentation

The proposed collection was introduced through polished visuals that showcased how lampshades could be paired with existing window treatments. By using fabrics already available in The Shade Store’s exclusive library—such as Luxe Linen, Sunbrella, and Grassweave—the pitch demonstrated how this offering could integrate seamlessly into the brand’s current product ecosystem.

Design Customization Examples

Unique Value Proposition

By extending its offerings into custom lampshades, The Shade Store could deepen its brand promise of “custom made simple®” while capturing a new category within home décor. This product line enhances the customer experience through cohesive design solutions, increases potential order value, and strengthens appeal to Trade professionals seeking tailored, design-forward options.

Refined Forms | Tailored Details

Aspirational Motion Graphic Video

As the centerpiece of the pitch, a dynamic motion graphic video was created to introduce the concept in a compelling and engaging way. The video highlighted the elegance and versatility of the proposed lampshade line while reinforcing The Shade Store’s commitment to quality and craftsmanship.

Digital Ordering Experience

Customer Journey & Website Flow

To ensure a smooth integration of the lampshade line, a detailed implementation plan for the website was created. This included mockups of a digital ordering process that mirrors The Shade Store’s current customization flow for window treatments.

Customers would navigate through fabric selection, style options, and custom sizing using the same user-friendly interface already in place. By leveraging The Shade Store’s existing digital infrastructure, this plan offered an effective rollout strategy to launch the new product line.

FINAL INSIGHT

The Shade Store did not pursue the proposed product expansion, but the concept pitch revealed a credible and strategically sound opportunity—backed by exhaustive research, brand insight, thoughtful execution, and a clear read on market potential.

Shades of Light made the case.