BEST AMAZING NEW INSIGHTS ON THE FURNITURE INDUSTRY

Since we are confidently keeping pace with the times, we carefully monitor the news and trends of the furniture industry. It is useful to observe the current situation in this industry at special international exhibitions and other similar events, but not everyone can find an opportunity for this.

What is the current state of affairs in the furniture industry, what new products are offered by factories, how practical it to buy furniture on the Internet is – few know about all this? That is why we share with you detailed information, opening the curtain of the furniture industry. Custom window screens will be helpful in your home as a part of your interior.

From production to export: furniture industry news in recent years

Furniture production is a small but very important sector of the forest industry, stimulating the growth and promotion of many related areas of the economy.

Furniture manufacture

The starting point of a noticeable and stable increase in the volume of furniture production and the formation of new successful trends in the furniture industry was 2015. According to studies, in 2018 production volumes increased by 25%. For the first 6 months of 2019, the increase was 8% in relation to this parameter in the first half of 2018. The second half of the year usually differs from the first by relatively large indicators.

The main news of the furniture industry: the production level is approaching and, most likely, by 2021 it will correspond to the indicators laid down for 2030 in the Strategy for the Development of the Timber Industry. The growth rate of this industry will only increase, not stopping at the achieved indicators.

The geography of furniture manufacturing enterprises on the map corresponds to the general purchasing power of the population, but with some exceptions.

Furniture Export

As for the export of furniture products, in the first 6 months of 2019, its level increased by 6% (relative to the first half of 2018). This is a very weak dynamic.

According to rough estimates, the monetary equivalent of the entire world furniture production is about $500 billion. Of course, the main share belongs to China. This country in terms of furniture production leads by a huge margin and left far behind even the United States, which holds second place. Further in the ranking are some European countries (Germany, Poland, Italy) and India.

The total global volume of furniture exports is about $160 billion. And here again, it is possible to applaud the far-sighted trade policy of China, which with a huge advantage occupies a leading position. Poland, Italy, Germany, and Vietnam follow it in approximately equal percentages.

With all the scale and wealth of production and raw materials base, it occupies a very modest place in the global furniture production and export to other countries. However, the potential that countries possess in this area allows us to expect the most promising furniture industry news.

What achievements in the export of furniture can we be proud of now? Firstly, since 2015, the supply of furniture products to the CIS countries has been steadily increasing. Given the fact that Germany, as already mentioned, is itself a leader in production and sales, we can conclude: the quality of the furniture has reached a very competitive world level. Currently, it is the jump in requests for furniture exports that boosts production volumes. Because in the domestic market, there is a noticeable decrease in turnover.

It is sad that with all the internal capabilities available, the import of furniture is too significant. And this is simply an unacceptable situation from the point of view of consumers, given that the price-quality ratio of this domestic product is currently one of the most profitable in the world.

This in no way means that you need to impose restrictions on the import of furniture products. Much greater results for the development perspective would be given by strengthening state support for domestic manufacturers of both finished furniture and materials for its production: plywood, wood-based panels, etc.

About 60% of produced furniture is occupied by cabinet products, upholstered furniture, and kitchen sets. Office furniture owns approximately 11% of total production. The increase in production volumes of this type is expected due to the adoption of a decree banning purchases and the installation of imported furniture in state and municipal institutions.

Furniture production and import is a promising, potentially highly profitable sector of the economy. The main trends of the last 10 years of development of this industry are the transition from piece conceptual models to the production of a small number of samples, an increase in the number of private enterprises working under individual orders. It is pleasant to note that furniture manufacturers are increasingly presenting their competitive products at exhibitions and other events on an international scale.

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How the consumer of the furniture industry has changed (and what does the Internet have to do with it)

The furniture industry is inextricably linked with the construction industry. The governments are developing a set of measures to develop the construction sector through the approval of mortgage programs available to various segments of the population. This desire to support builders, in fact, should have a positive effect on the increase in furniture production. But market demands are not always correctly interpreted, for example, a decrease in the average area of housing in new buildings over the past few years has not affected the modification of furniture products.

We see that there is no tendency for a significant increase in the income level, while the number of loans is increasing. In the total system of expenses for furniture, the consumer currently allocates about 1% of the funds. Producers, both within the same industry and in related industries, are trying to develop effective competition strategies, gaining their own market share. For their place under the sun and furniture, and other enterprises must fight hard every day.

The population has become more accessible information resources. Consumers, before deciding to buy, study numerous options for similar goods/services of both domestic and imported origin. In addition to the growth of financial and consumer literacy, caution in choosing, there have been changes in the value system of people. The buyer, if available, is currently more likely to choose not pieces of furniture, but a new smartphone or car, sales of which are growing day by day. The conclusion suggests itself that the proposed assortment of furniture does not fully meet the needs of consumers, and its acquisition is easily delayed until the “better times”.

There is also a deeply rational approach of the average, seriously focused on the purchase of the consumer. This is reflected in a careful price selection of components, in the so-called mixed consumption model, in which both expensive and cheaper components are combined in a purchase.

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Conclusion

With modern speeds of life and a perpetual lack of time, the consumer expects to find all the necessary goods and complete competent information on his request in one place. Management should take this into account when selecting personnel for furniture sales points. The staff should be versatile and ready to conduct a competent consultation, find answers to all consumer questions.

The Omni-channels also belong to the modern trends of the furniture industry. That is, in order to meet the requirements of the current day and quickly find its buyer, the manufactured product must be fully, comprehensively represented in all Internet channels: social networks, online stores, and websites. Furniture manufacturers should learn to display their products in the virtual world, using all communication channels, and be able to effectively promote goods through them.