10 global trends in the global furniture industry.
The transition of medium and large furniture companies to Industry 4.0
The globalization of world markets dictates the transition to a new technological order.
Tough competition in the consumer market for each unit produced and sold dictates the need for a systemic change in production capacity.
Combining machine-centered, person-centered and information-centered models into one unified knowledge system and production platform.
Moving from the concept of work tact to the concept of work flow.
A unified digital platform of technological solutions is being created for the flexible production of serial products of a large range.
High saturation of robotic and automated complexes of lines for the production of boxed versions of a mass-market product.
The advantage of this solution:
High precision and repeatability of operations.
High-speed continuous production flow.
High flexibility and diversification in production.
Automated quality control.
Significant reduction in the risk of the human factor.
Significant reduction in production costs.
Recyclable product and economy
The orientation of many developed countries towards the preservation of habitats, non-renewable natural resources has led to the creation of a global strategy for recycled economies and, as a consequence, the emergence of such products.
Revision of basic consumables or resource materials in industries such as.
Residential and commercial building materials.
Energy and construction materials in the transport sector.
Container and packaging of FMCG sector products.
Materials. Manufacturing technology in consumer goods.
In the furniture sector, aluminum, glass, recycled natural or synthetic fibers, and materials are actively used.
Materials of plant origin are similar in appearance and in a number of physical ones to natural leather or fur.
Elastic natural fillers for upholstered furniture.
Increased product life
The emergence of the concept of responsible consumption and responsible production in most European countries creates new requirements for quality and product life.
An advanced user/consumer wants a product with such characteristics and properties that will not deteriorate significantly for 5 or more years.
The consumer is tired of the constant race for new products with minor improvements.
It does not carry tangible value, but the cost of any new item is quite high.
Many companies are revising their production programs towards “moderate design and good basic functionality.”
We can say that there has been a steady “trend” for “rational furniture” for a conscious consumer.
Industry leaders are becoming impoverished in consortia to recycle their products.
Companies sign industry agreements and introduce new safe standards for the production, sale, disposal and recycling of their products.
New information signs are being actively introduced, which speak of 100% natural raw materials, the absence of chemical dyes, environmentally friendly packaging, and the possibility of multiple processing.
Points of reception, sorting, and recycling of used furniture.
IKEA opens collection points for used furniture not only of its own production but also of furniture purchased from other companies.
At the global level, the issue of recycling raw materials and combating consumer waste is being addressed.
The social rating of the company is increasing and, as a consequence, the loyalty of consumers to the brand.
Sharing economy in the furniture sector, furniture rental and trade-in
Coworking collaboration in the office for 1 hour or more.
Coliving co-living and working with shared living space.
Sharing vehicles, cars, bicycles, etc.
Exchange and sharing of consumer goods.
Product surplus is not created.
Traffic and CO2 emissions are reduced as people live and work at home.
Or use 1 car for 10 users of the “commune”.
3-D printing of furniture OEM / ODM and digital libraries.
Translating many utilitarian and simple products into 3-D printing solutions.
The ability to order through the website or app, chairs, table chairs, shelves with home delivery.
Application of biodegradable materials with programmed product life cycle.
The ability to print metal furniture and composite furniture with variable softness zones.
The widespread use of Z-D printing is planned in private housing construction.
One of the main problems faced by furniture manufacturers and sellers is staff shortage.
Globalization and openness of markets gave rise to labor migration, inequality in the system of remuneration of a person at a machine tool and a person at a computer create a systemic outflow of working specialties.
Changing social standards and basic needs directs potential workers to sell their hours of work in higher-income markets.
Separation of business owners from the foundations of their success; a team of employees that creates added value and profit. Lack of a clear and fair remuneration system.
A number of systemic measures can be proposed to improve the situation in labor relations.
Implementation of standards and practices for civilized recruitment.
Pay a salary that is appropriate for the market and the tasks assigned to the staff.
Effective production management.
Creation of safe and efficient working conditions.
Creation of living conditions in the workplace.
Robotization and automation of workplaces.
Classes of teaching related specialties.
Distance learning and professional development by creating educational video content.
Active involvement of the 45+ generation in work.
Social adaptation of veterans and migrants.
Reduction of the working day from 8 to 6 working hours.
Flexible work schedule for women with children.
Outstaffing and outsourcing should be used when there is a need for one-time services or seasonal fluctuations in staff workload.
“Idea Sells” is a collaboration between manufacturer and designer.
Global brands such as IKEA create successful Tom Dixon collaborations in the mass market product segment.
Adding value to the product through design and communication with a more demanding and wealthy audience.
Cross sales and cross communications of both brands strengthen the product’s market position.
Brands with excess production capacity and distribution channels are looking for ideas and talent. Such ideas can be monetized and multiplied across different markets.
Mass market brands together with designers are looking for a new “unique product face” that is so necessary in the era of total unification and globalization.
At the same time, both fashion trends and social needs of buyers are taken into account.
“Step across continents” international e-commerce.
The international E-commerce channel opens up new horizons and new markets for the furniture industry.
You need to enter these channels quickly. Typical positions in the upper search results are already tightly occupied by manufacturers from Asia and India.
There is always a place for a quality product with a well-thought-out marketing policy and a balanced price.
Amazon is a global global e-commerce marketplace for consumer goods, including furniture.
Present on 4 continents and 12 countries.
Alibaba is an international platform for wholesale trade and direct contracts with the manufacturer. Allows buyers to find manufacturers and conclude contracts directly.
Ebay is an American wholesale / retail marketplace.
Electronic auction for the sale of consignments of goods.
There are also many quality national operators in the local European markets.
In the words of Jeff Sutherland from his book SCRUM “Change or Die”.