RALEIGH, North Carolina, November 29, 2018
RALEIGH, North Carolina, November 29, 2018 /PRNewswire/ --
Rapid urbanization as well as a buoyant office construction market in countries such India, the Philippines, and Poland will drive the demand for office furniture in the near future, according to a report by Procurement Intelligence firm, Beroe Inc.
By the end of the year, the office furniture market is forecasted to grow at a CAGR of 5-6 percent to $58.14 billion. The companies in the segment are now getting aligned with other players to strengthen their supply chain by getting add-on capability in terms of geographic presence and technological innovation.
"Evolving workplace culture has changed the way consumers view office furniture. As a result, future demand would be driven by few European countries such as Switzerland, Germany, Poland, and by emerging markets in Asia such as India, Malaysia, Vietnam, and the Philippines," Harish S, Principal Manager of Beroe Inc said.
A modestly fragmented industry led by a selective group of global suppliers, the global office furniture market is dominated by M&A between global players and local manufacturers. After the deals go through, the local manufacturers and dealers act as a distribution channels for these global firms, the report showed.
In addition to this, the availability of bank credit has made strategic acquisitions easier, thus making it a notable trend in the office furniture industry.
High competition can be seen among key suppliers (Haworth, Herman Miller, Steelcase), as a result, buyers of office furniture will have a good bargaining power.
Rising competition from local and emerging players has also compelled manufacturers to offer value-added services such as consulting, designing, and furniture planning.
According to the report, high market maturity would be seen in the regions of North America, Western Europe, and some parts of APAC, such as Australia, Japan, Hong Kong, and Singapore.
The research methodology adopted for the report included:
The global office furniture industry is led by a selective group of global suppliers such as HNI Corporation, Haworth, Herman Miller, Knoll, Steelcase, Now Styl, and Giroflex, which contribute to 7-8 percent of the total market share.
The global suppliers present in the high maturity regions have an extensive and award-winning product portfolio. Most of these suppliers have a volume-based, preferential and non-preferential engagement strategy, and have a global geographic presence. In addition to this, distributors are equally innovating and using online portals and value-engineering to connect well with the buyers.
The report includes:
Cost and Pricing Analysis:
Procurement Best Practices:
Beroe's unique business model involves providing market intelligence and analytics to the procurement teams of businesses across the globe. Beroe leverages its deep domain expertise in 300+ categories across 14 industries. It boasts of more than 80 of the Fortune 500 companies as its clients.
To learn more about Beroe Inc, please visit beroeinc.com