The Hindu Business Line : Affairs of the hearth

Elated after buying a nice flat in the city’s best known address, but the thought of having a carpenter make your furniture giving you nightmares? Fret not, home adornment stores and branded furniture are changing interiors. New age home solutions are bringing sweeping changes into interiors which mark not just style, comfort and convenience but also the attitude of the owner. Interior solutions are making their presence felt both in homes and in offices. Ri ckety metal chairs, creaky beds, dodgy old tables and unappealing steel almirahs have paved way for trendy and ergonomically designed pieces of art. Ready-to-assemble furniture is finding many takers in the urban landscape even as market players in the organised segment are catering to the demand with their impressive product lines. French home furnishing major Gautier, which recently inked an agreement with domestic retailer Ebony, will be setting up exclusive home adornment stores in North and West India. The company has lined up an investment of Rs 120 crore to make its presence felt in the market.

“We see a vacant market slot and therefore a clear opportunity in contemporary-styled branded furniture which is internationally benchmarked in terms of design and quality yet provides good value to Indian consumers,” says Soulard Dominique, Chairman and Managing Director, Gautier.

The home adornment vertical is generating considerable heat and Indian consumers are aware of the latest interior design concepts. Gautier will bring the latest international designs to India as and when they are launched. “We have an extensive design team which keeps track of the latest designs. Currently, minimalism both in home and office is the fad globally,” Dominique says, adding that all the product development will be done in France and stock will be shipped to India. “Our stores will be destination stores and will not be housed in malls unlike other retail stores. Spread over an area of 20,000 to 40,000 sq. ft, these stores will deliver a complete range of contemporary home adornment solutions,” he says.

The collection includes modular office furniture, open plan work stations, call centre work stations, conference tables, computer tables, beds, wardrobes, sofas, TV trolleys, shoe cabinets, wardrobes, bunk beds and much more. Gautier has three manufacturing facilities in France. The eco-friendly furniture has been designed keeping consumer safety in mind, Dominique says.

The home adornment market is pegged at Rs 15,000 crore and growing at a compounded annual growth rate of 20-25 per cent. While bedroom packages are the most popular, the office and entertainment segment comprising wall mounts and computer desks are among the popular picks.

Style Spa, another key player in the market, has been in the branded furniture business since 1997. “There is buoyancy in the sector. The trend is very positive. The upwardly mobile class is creating the growth for us,” says K. A. Parameshwaran, Chief Operating Officer, Style Spa.

Ask him if the price-sensitive consumer in India is a little wary of branded pieces of furniture, and he says furniture buying is a planned purchase. People are realising that it is better to get products with good finish and style rather than opt for the local carpenter.

“The Indian customer is a highly discerning customer. With increased purchasing power, they are willing to spend on branded furniture,” he says.

Endorsing this view is Hiten V. Parekh, Executive Director, Neel Kamal Furniture. “It is surprising that there are numerous places where you can buy branded clothes but not branded furniture. Our research revealed that there was a crying need for touch-feel experience in this segment as well,” he said, adding the company has set up @home stores across the country to plug this void. The @home stores are one-stop interior solutions to all home and office needs and the company is stepping up its presence with at least 10 more stores across the country.

Most of the furniture has been loosely modelled as Do-It-Yourself. However, the company’s trained staff assembles it both at home and office. Starting from a price range of Rs 2,500 and going on to over Rs 1 lakh, the branded furniture is made of particle board or MDF. It is relatively easy to manage, much lighter in weight and termite-resistant. “The boards are laminated, varnished and edge-sealed in our factory,” he adds.

Godrej Interio, the furniture range from the Godrej stable, has an equally punchy catch line: ‘No one knows interiors better than us’. According to Anil S. Mathur, Chief Operating Officer, Godrej & Boyce Mfg Co., “The branded outlets have been registering high footfalls. Along with displays of the latest furniture designs, these outlets also disseminate information through computers and electronic displays on the ergonomics, design and planning behind each piece. “We combine technology with marketing. Consumers who visit our stores can actually zero in on their purchase by having a virtual interior solution generated by a computer image,” he adds.

Observing that buyers can be categorised into three segments – Father of the Bride, Just Married and Permanent Nest – he says all the categories are growing.

“Consumers are phasing out their investments. For instance, if the father of the bride is the buyer than chances are that he will pick up the high-end range as it is a matter of prestige while the other two categories opt for more functional models,” he explains.

The furniture division of Godrej contributes as much as Rs 1,000 crore to the turnover. It is also looking to increase its dealerships across the country. “Currently, we have 200 dealers. This has to be scaled up. Each company is trying to offer better products at competitive prices,” says Mathur.

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