Bengaluru, April 16, 2016: KEN RESEARCH announced its latest publication on “INDIA FURNITURE MARKET OUTLOOK TO 2020 – ADVENT OF E-COMMERCE RETAILERS AND PREFERENCES TOWARDS ORGANIZED FURNITURE BRANDS TO FUEL GROWTH” which provides a comprehensive analysis of the Furniture market in India. The report focuses on the organized residential and non residential market. The report covers aspects such as overall furniture market, organized home furniture market, segmentation of organized home furniture market by product categories, regional sales, target group, age group, city wise home furniture sales, by distribution channel and by material categories. The report also covers extensive analysis on customer preferences in India home furniture market, along with the trade scenario of furniture in India. The publication extensively covers competitive landscape of major organized furniture manufacturers and retailer with their detailed company profile. The online space of furniture in India has been separately covered in the report with their business model, operating model along with margins. The future analysis of overall home furniture market and by segments has also been discussed in each of the sub segments. Furthermore, the report also provides coverage on children’s furniture market, modular kitchen market, mattresses market. The report also provides detailed information on the investment required to set up furniture manufacturing plant in India, with detailed profitability analysis. The report is useful for Furniture exporter, retailer, Manufacturer and other stakeholders to align their market centric strategies according to ongoing and expected trends in the future.
Home furniture market of India has observed a steady evolution over the past decade with a shift in customer perception to choose organized brands instead of developing furniture products from carpenters. The increase in knowledge about designs, wood materials and pricing schemes has propelled the Indian customer to choose more branded products. It has been estimated that the home furniture market in India will expand from INR ~ billion in FY’2016 to INR 311.4 billion in FY’2020 at a CAGR of ~%. Destination stores however, will likely act as an attraction for a significant number of people as they would act as ‘one-stop-shop’ for furniture products with an added advantage of ‘touch and feel’ availability.
Moreover, retailers are expected to invest in R&D in order to provide more high quality furniture products through effective understanding of latest trends in western countries as well as within India. Materials such as HDF with PU Coating which are stronger and nature friendly will likely be adopted by many players in the market. Additionally, with the increase in global warming and the initiative of India to improve environmental parameters, the government might look forward to increase protected forest area and hence reduce the amount of lumbar available for furniture. Increased protection of forests will act as a deterrent to the growth of the furniture industry in India.
Even though the home furniture segment is highly unorganized, a number of companies such as Godrej Interio, Home Centre, Home Town and others have been eyeing to cater to the mounting demand of branded home furniture in the country. Thus, the growth of organized retail culture, rising real estate activities, increasing demand and rising e-retailing of furniture in the country are expected to contribute substantially to the market growth in the coming few years.
According to the research report, India Organized Home Furniture market will grow at a considerable CAGR rate thus reaching INR 311.4 billion by 2020 increase in export market, rising personal disposable income, increase in presence online furniture retailers and increase in demand of wood furniture in global market.
“In order to penetrate into the highly competitive branded furniture market of India, the furniture manufacturer must utilize a hybrid business model. The procurement of raw materials must be carefully evaluated in terms of pricing and material quality. In order to generate higher returns on investments and obtain improved profit margins, furniture manufacturers must develop automated manufacturing processes. Manufacturers/ retailers must develop a quick-response after-sales service team which will cater to such cases. Hence, a separate service team along with inventory of spare parts must be formed according to the Research Analyst, Ken Research.
Corporate Comm India (CCI Newswire)
