Furnishing And Decor Company In Search Of New Digital Sales Tools

In the coming years, the distribution furniture will inevitably evolve. The new forms it will take will be determined by the constraints and opportunities that it will exploit, resulting

changes in strategy or behavior of the actors of its ecosystem:

          Those who upstream of the value chain: providers, partners and subcontractors

          whose products and services constitute ingredients necessary for the job of distributor;

          Those who downstream in the value chain: customers, but also prescribers or “influencers” who help shape their decisions;

          Complementary: operators sectors closely related to housing and its uses;

          New entrants: those who, beyond competitors historically present on this market, might want to invite themselves into the game thanks to a disruptive offer;

          Substitutes, which propose to the customers to furnish an alternative solution to purchase furniture firsthand.

Furnishing and decor companies concentrated on innovative manufacturing

The trend is that a modern furnishing and decor company prefers to use online design solutions in their work.

The value chain from design to furniture manufacturing is still relatively fragmented today. The competitive landscape should focus in the coming years around the most powerful players, who will best control on the one hand access to wood raw material, on the other hand the productivity gains related to the robotization of manufacturing chains.

On the other hand, furnishing and decor companies will undoubtedly seek to innovate in various areas that help to reduce logistical constraints:

          Materials as a way to lighter furniture (therefore less expensive to transport),

          manufacturing processes (printing 3D for example, for a production that could be relocated),

          finally assembly techniques (to facilitate assembly by customers),

          eco-design (to facilitate recycling at the end of life ).

Environmental (environmental footprint), health (eco-toxicity of components) and socio-economic (compliance of subcontractors with ethical charters) constraints will contribute to the restructuring of the sector.

Its implications are as follows:

           More concentrated, furnishing and decor companies will find themselves potentially in a more favorable balance of power vis-à-vis the distributors, possibly capable of disintermediating them via e-commerce models through online design solutions.

          More innovative, furnishing and decor companies will provide solutions to distribution players wanting to stand out through logistical performance, customization, tailor-made, or still the 3D simulation.

          Beyond the regulatory obligation of traceability, manufacturers who will be able to support environmental claims and health will gain in attractiveness.

Reinvented sales places for furnishing and decor company

In the distribution of furniture, the places of sale are usually very large, thus synonymous with high real estate costs, or distance from the city centers, penalizing the attendance. We already observe various innovations to improve the equation:

·         smaller surfaces, designed in complementarity with digital tools for online design solutions: store-to-web (exhibition completed by virtual reality devices) and web-to-store (click-and-collect solutions), avoiding having to keep a stock important in store;

·         locations located closer to the flow of trade: ephemeral shops or “corners” in train stations,

·         hotels, shopping centers; apartment-shops in apartment buildings;

·         “Placement” of furniture in places of passage or prestige, showroom click and is not the exhaustive exhibition of products, but the capacity to discover them in context, to test them, to exchange with other users.

Everything is possible now in terms of places of sale: the choice of locations, the size of the surfaces, the type of services found there must be reconsidered in the light of what allows technology for a value proposition that can justify moving to the store.

Signs may be interested in diversifying formats in order to organize their own competition and to seduce

customer segments with different habits and appetites.