Brazilian furniture market
15 June 2011
Brazil is the 13th world’s largest furniture market, according to CSIL ranking of 70 countries, coming after the main largest and developed economies in the world (the United States and many EU countries) and after the fast growing giants such as China and India and before Russia, another promising market for the furniture sector.The historical peak in terms of sales for the Brazilian furniture industry was recorded in 2008, with furniture consumption reaching up US$ 5 billion (at production prices). Then the crisis negatively affected the sector, but according to preliminary estimates for the year 2010 the market recovered.
One thing that will probably also affect the future market trend is that, from the retailing side, the furniture market is undergoing a process of merges among leading retailing chains. At present some of the biggest players are Casas Bahia, Magazine Luiza, Colombo and Ricardo Eletro.As for the future, another market action which may become a tendency in a few years is the import of decorative items for the furniture industry, as a way of broadening the offer of products to the retail market, and also to expand revenues using already existing sales and distribution channels with commercial representatives, their own stores, franchises and even direct sales.