Insights on the Italian furniture distribution
The Italian home furniture market experienced double-digit growth in the last couple of years, driven mainly by consumers’ appetite for furniture products in the aftermath of the pandemic and the shrinking of expenditure on travel, restaurants, etc. The increase in demand was particularly high in 2021. In 2022, a large portion of the market’s value growth can be attributed to the rise in furniture prices.
All distribution channels – retail chains specialized in furniture, independent retailers, online, etc. – benefitted from the furniture market growth, though to varying degrees. The online channel has experienced the most rapid surge in home furniture sales, and there is further room for development in the coming years.
Retail chains specializing in furniture (for example Ikea) and independent retailers are the channels holding the largest market shares.
The Italian furniture retail system is quite fragmented, counting over 13,000 retailers selling furniture overall. Thousands of independent retailers jointly play an important role in the market. Any company competing in the Italian furniture market or willing to enter it can’t overlook this segment of Italian furniture retail. At the same time, these retailers are quite difficult to monitor due to their dispersion. As part of its latest report dedicated to Italian furniture distribution, CSIL explored the features (average size, market scope, etc.) and development of these retailers.
The report also investigates how the strategy of independent retailers evolved in the last two years, which brought unprecedented shocks to the furniture market (the pandemic, the subsequent spike in furniture demand, and inflation). One of the main moves of independent retailers has been to increase their investments or start to invest in digital marketing.
Looking at major retail chains specializing in furniture, several players are pursuing a multi-pronged strategy, where the development of smaller format stores closer to city centers and online-offline integration are some of the key pillars. Ikea, Mondo Convenienza, Conforama are examples of companies moving in this direction.
The retail chains’ channel has seen significant developments in recent years, including for example the rapid establishment of new stores by a handful of Italian and international players (for ex. Jysk), Conforama’s management buyout, the collapse of Mercatone Uno. In terms of furniture sales trends, in the last years performances of retail chains have generally been positive, though with significant differences among different players.
The long-term success of furniture retailers is tied to their ability to keep following Italian consumers’ evolving purchasing habits. The increasing importance of the web as a source of information, engagement and purchase is notably among key trends in the last years. But this is not the whole story. The way Italian consumers approach the purchase of furniture changed during the pandemic, and some of these changes are here to stay.
CSIL’s latest report on Italian furniture distribution is an indispensable tool for industry players, providing valuable data including market size and development, furniture consumption by region and province, import, key information for a wide list of major retailers, market shares, distribution channels’ shares, and development. Industry strategies are analyzed and contextualized, providing a comprehensive overview of emerging trends.
CSIL’s Report “La distribuzione del mobile in Italia. Analisi per provincia” (Italian language, with English translation available upon request) was issued in August 2023.
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