Bedroom Furniture Market To Spring Forward in 2013

Sept. 25, 2012 - PRLog -- Based on financial input from more than 120 suppliers, the new report found that whilst lower value bedroom furniture products dominate at present, the higher value bedroom furniture market is set to provide some impetus for growth in the near term.  Sales of bedroom furniture products are expected to exceed £600 million in 2012, though prospects vary across the different sectors.  MTW suggest that higher value imports, fitted bedroom furniture and value growth opportunities in the rigid sector are now offering some relief to the industry following a difficult few years, with these trends set to offer real term growth in the medium term.  

The report identifies a number of market opportunities which are likely to offer some impetus for sales of bedroom furniture, with some reasonably compelling arguments for value growth in the medium to longer term.  Whilst not being overly optimistic, MTW point to the changing demographic of the UK population which should drive organic growth, coupled with an increasing number of ‘middle-late aged’ consumers who are increasingly adopting the ‘improve, don’t move’ mantra.  This relatively affluent target market has been less affected by the recent recessions and generally consumer preferences in this sector focus on higher value, quality products such as fitted bedroom solutions, hardwood rigid bedroom furniture as well as encompassing an element of ‘trading-up’.

Despite a growing sense of optimism, output from UK manufacturers has declined by more than 20% in the last 6 years as the bedroom furniture industry has clearly experienced a significant shift toward the lower value and import sectors in recent years, evidenced by the increasing use of ranges which have been branded to focus on their value for money.   The report suggests that names such as ‘Essential’ and ‘Essence’ clearly point to ongoing pricing pressure in the freestanding bedroom furniture market, with consumers continuing to focus on price above all else in the lower-mid value sector of the market.  Homogenisation of design and a rationalisation in product ranges by many bedroom furniture suppliers have also characterised the market in recent years, though MTW’s research suggests that this trend should slowly reverse from mid 2013 onwards.  

Since 2009, the bedroom furniture industry has experienced a ‘flight to price’, with product innovation and enhanced features having increasingly taken a back seat in favour of pricing and the need to offer consumers value for money.  The report suggests that with an upturn in the macro-economy from Q2 2013 onwards, bedroom furniture trends should increasingly focus on design and innovation, rather than being all about price.  MTW identify a number of key product trends in the report, such as the current preference for oak in the freestanding sector and the reduction in the range of colours currently available in the mass market, as well as discussing the differences in trends between the higher value fitted and price-led freestanding sectors which have polarised the market in recent years.  

MTW’s analysis also includes a review of the furniture retail industry with the report finding that the majority of furniture retailers continue to have either and ‘excellent’ or ‘good’ credit rating, despite ongoing pressures in the market in recent years.  However, the impact of flat volume sales coupled with intense price sensitivity in a number of bedroom furniture markets has resulted in just over 10% of the market currently being viewed as having a ‘poor’ rating or being at ‘risk of immediate failure’.  
Overall, MTW’s report offers a comprehensive qualitative and quantitative review of the UK bedroom furniture market in 2012 with forecasts to 2016 of product and distribution market sizes. The 220 page report and optional 3,000 furniture retailer mailing list is available to purchase from GBP565 from MTW Research’s website www.marketresearchreports.co.uk where a free sample is available to download, or by calling 08456 524324.