European Furniture Retailing 2007: Table of Contents

Table of Contents

European Furniture Retailing 2007 - Verdict Research: This report examines the furniture market in the EU25, providing essential statistical information on specialist sales and space productivity in each country, explaining the key trends and analysing the Top 6 furniture retailers.

Product Code: dmvt0390

Price: $4795

Publication Date: 27-Jun-2007

Overview

Introduction

Verdict Research: This report analyses the furniture market conditions of each of the EU25 member states. It explores the dynamics, growth trends, drivers and key indicators and provides detailed recommendations. It also profiles the top operators in the market including IKEA, Conforama and Lutz Group and covers market share performance in the six major European furniture markets.

Scope

Proprietary data on market value, specialists sales and growth 2001 -2006 data for each of the 25 EU countries.
Key data on total expenditure, selling space, store numbers, sales densities and per capita expenditure for all 25 EU countries.
Extensive profiles of the major EU furniture retailers, data on sales densities, space and store portfolio analysis, retail proposition and analysis.
Detailed chapters on six core European furniture markets, with market shares of leading players, recent developments and future outlook.

Highlights

With growth 2.1% the European furniture market increased at its fastest rate of the new century in 2006, illustrating that the EUR120bn sector is starting to recover from the doldrums. The furniture renaissance is largely due to better macroeconomic conditions and buoyant housing markets across the EU.

The global champion IKEA, one of the first retailers to internationalise its operations, is in a league of its own. Its 14.6% market share is twice the combined share of its four nearest competitors (Conforama, Lutz, Nobia, Home Retail Group) and the chasing pack are still a long way off from challenging the Swedes.

The polarisation of the sector into premium at one end and a strong discounting segment on the other will continue. EDLP and discount operators such as IKEA, Conforama and Lutz will continue to aggressively expand and capture further share from other retailers, whose value credentials are less clearly communicated.

Reasons to Purchase

Learn how difficult market conditions are driving competition among furniture retailers and what the outlook will be in the short to medium term.
Understand how evolving consumer behaviour is forcing retailers to develop new product, sales and marketing strategies to appeal to a wider market.
Identify the success stories and growth prospects of the key competitors and benchmark their performance against the market.

CHAPTER 1 EXECUTIVE SUMMARY	5
Key Findings	5
Main Conclusions	6
CHAPTER 2 EUROPEAN MARKET - ECONOMIC OVERVIEW	11
Key Findings	11
Key Messages	12
GDP	14
Consumer Expenditure	17
Inflation	20
Interest Rates	22
Employment	25
CHAPTER 3 EUROPEAN MARKET - DEMOGRAPHIC OVERVIEW	28
Key Findings	28
Key Messages	29
Trends	31
Growth by Country	32
Age Breakdown	34
Consequences for Retailers	37
Households	38
Urban Population	42
CHAPTER 4 EUROPEAN MARKET - RETAIL SPENDING	44
Expenditure	44
Retail Share	49
Spend by Country	51
Growth	55
Per Capita	57
CHAPTER 5 FURNITURE MARKET STRUCTURE	60
Key Messages	60
Expenditure	62
Specialists Sales	71
Specialists Space	76
Specialists Store Numbers	80
Specialists Store Sizes	82
CHAPTER 6 THE FURNITURE MARKET IN FRANCE	84
Market sizes in France	84
Recent Developments & Trends	85
Market Shares of Leading Furniture Retailers in France	87
Outlook for Furniture Retailing in France	88
CHAPTER 7 THE FURNITURE MARKET IN GERMANY	89
Market sizes in Germany	89
Recent Developments & Trends	91
Market Shares of Leading Furniture Retailers in Germany	92
Outlook for Furniture Retailing in Germany	94
CHAPTER 8 THE FURNITURE MARKET IN ITALY	95
Market sizes in Italy	95
Recent Developments & Trends	96
Market Shares of Leading Furniture Retailers in Italy	97
Outlook for Furniture Retailing in Italy	98
CHAPTER 9 THE FURNITURE MARKET IN THE NETHERLANDS	100
Market sizes in the Netherlands	100
Recent Developments & Trends	101
Market Shares of Leading Furniture Retailers in the Netherlands	102
Outlook for Furniture Retailing in the Netherlands	103
CHAPTER 10 THE FURNITURE MARKET IN SPAIN	104
Market sizes in Spain	104
Recent Developments & Trends	105
Market Shares of Leading Furniture Retailers in Spain	106
Outlook for Furniture Retailing in Spain	108
CHAPTER 11 FURNITURE MARKET IN THE UK	109
Market sizes in the UK	109
Recent Developments & Trends	110
Market Shares of Leading Furniture Retailers in the UK	112
Outlook for Furniture Retailing in the UK	113
CHAPTER 12 STRATEGIC ISSUES	115
Market Issues	115
Furniture Boulevards	119
Key Drivers	121
Increasing Number of Households	121
Buoyant Housing Market	123
Ageing Demographic Profile	126
Opportunities	128
Future Challenges	131
CHAPTER 13 COMPANY COMPARISONS	134
Overview	134
CHAPTER 14 HOME RETAIL GROUP	136
Company Overview	136
Recent Key Developments	137
Sales Performance	139
Benchmarks	141
Store Portfolios	142
Outlook	145
CHAPTER 15 IKEA	147
Company Overview	147
Recent Key Developments	148
Sales Performance	151
Benchmarks	153
Store Portfolio	153
Outlook	156
CHAPTER 16 JYSK	157
Company Overview	157
Recent Key Developments	158
Sales Performance	159
Benchmarks	160
Store Portfolio	161
Outlook	162
CHAPTER 17 LUTZ GROUP	164
Company Overview	164
Recent Key Developments	166
Sales Performance	167
Benchmarks	168
Store Portfolio	169
Outlook	170
CHAPTER 18 NOBIA	171
Company Overview	171
Recent Key Developments	173
Sales Performance	174
Benchmarks	176
Store Portfolio	177
Outlook	179
CHAPTER 19 PPR	181
Company Overview	181
Recent Key Developments	183
Sales Performance	184
Benchmarks	186
Store Portfolio	186
Outlook	188
CHAPTER 20 FURNITURE BUYING GROUPS	190
--	190
CHAPTER 21 GLOSSARY	192
Definitions	192
CHAPTER 22 APPENDIX	193
USD conversion tables	193
List of Tables
Table 1: Consequences of population change for retailers 2005-2015	37
Table 2: EU retail expenditure 2000-2005	44
Table 3: EU retail expenditure growth 2000-2005	44
Table 4: Total retail spend per country - EU15 2000-05	51
Table 5: Total retail spend per country - 10 new member states 2000 & 2005	53
Table 6: Total EU25 furniture market overview 2001 & 2006	60
Table 7: EU15 furniture market overview 2001 & 2006	61
Table 8: EU furniture expenditure 2001-2006	62
Table 9: EU furniture growth rates 2001-2006	63
Table 10: Expenditure on furniture by country (€m) 2001-2006	65
Table 11: % share of EU25 furniture expenditure by country 2001 & 2006	66
Table 12: Furniture expenditure as % of all retail expenditure by EU country 2001 & 2006	67
Table 13: Sales through specialist retailers of leading EU countries and EU overall 2001-2006	71
Table 14: EU furniture specialists sales growth rates 2001-2006	71
Table 15: Specialist sales by country 2001-2006	73
Table 16: % share of EU25 specialist sales total by country 2001 & 2006	74
Table 17: Furniture specialists selling space (000 sq m) by EU25 country 2001-2006	76
Table 18: % share of furniture specialists selling space total by EU25 country 2001 & 2006	77
Table 19: EU furniture specialists store numbers by country 2001-2006	80
Table 20: % share of furniture specialists store numbers (000) by EU25 country 2001 & 2006	81
Table 21: France furniture expenditure & specialist sales 2001-2006	84
Table 22: France furniture specialists 2001-2006	84
Table 23: France furniture market shares 2006	87
Table 24: Germany furniture expenditure & specialist sales 2001-2006	89
Table 25: Germany furniture specialists 2001-2006	89
Table 26: Germany furniture market shares 2006	92
Table 27: Italy furniture expenditure & specialist sales 2001-2006	95
Table 28: Italy furniture specialists 2001-2006	95
Table 29: Italy furniture market shares 2006	97
Table 30: Netherlands furniture expenditure & specialist sales 2001-2006	100
Table 31: Netherlands furniture specialists 2001-2006	100
Table 32: Netherlands furniture market shares 2006	102
Table 33: Spain furniture expenditure & specialist sales 2001-2006	104
Table 34: Spain furniture specialists 2001-2006	104
Table 35: Spain furniture market shares 2006e	106
Table 36: UK furniture expenditure & specialist sales 2000-2006	109
Table 37: UK furniture specialists 2001-2006	109
Table 38: UK furniture market shares 2006	112
Table 39: Leading European furniture retailers sales 2006	134
Table 40: Leading European furniture retailers EU market shares 2006	134
Table 41: Leading European furniture retailers store portfolios 2006	135
Table 42: Home Retail Group company overview 2007	136
Table 43: Home Retail Group trading record (£m) 2003-2007	139
Table 44: Home Retail Group trading record (€m) 2003-2007	139
Table 45: HRG benchmarks 2006 and 2007	141
Table 46: HRG store portfolios 2003-2007	142
Table 47: Argos selling space development 2003-2007	143
Table 48: Homebase selling space development 2003-2007	144
Table 49: IKEA company overview 2007	147
Table 50: IKEA trading record 2002-2006	151
Table 51: IKEA benchmarks 2005 and 2006	153
Table 52: IKEA store estate 2006 and 2007	154
Table 53: IKEA selling space development 2005 and 2006	154
Table 54: JYSK company overview 2006	157
Table 55: JYSK turnover 2002-2006	159
Table 56: JYSK benchmarks 2005 and 2006	160
Table 57: JYSK store portfolio 2005 and 2006	161
Table 58: JYSK selling space development 2005 and 2006	162
Table 59: Lutz Group company overview 2007	164
Table 60: Lutz Group trading record 2002-2006e	167
Table 61: Lutz Group benchmarks 2005 and 2006	168
Table 62: Lutz Group store estate 2005 and 2006	169
Table 63: Lutz Group selling space development 2005 and 2006	170
Table 64: Nobia company overview 2007	171
Table 65: Nobia trading record (SEKm) 2001-2006	174
Table 66: Nobia trading record (€m) 2001-2006	174
Table 67: Nobia benchmarks 2005 and 2006	176
Table 68: Nobia Central European region store portfolio 2007*	177
Table 69: Nobia Nordic region store portfolio 2007*	177
Table 70: Nobia UK region store portfolio 2007	178
Table 71: Nobia selling space development 2005-2006	179
Table 72: PPR company overview 2007	181
Table 73: PPR trading record 2001-2006	184
Table 74: Conforama trading record 2001-2006	185
Table 75: Conforama benchmarks 2005 and 2006	186
Table 76: Conforama store portfolio 2005 and 2006	187
Table 77: Conforama store portfolio 2004-2006	188
Table 78: Euro - dollar exchange rates 2000-2006	193
Table 79: Total retail spend per country - EU15 2000-05	194
Table 80: Total retail spend per country - 10 new member states 2000 & 2005	195
Table 81: EU 25 furniture specialists sales by country 2001-06	196
Table 82: Leading European furniture retailers sales 2006	199
Table 83: Leading European furniture retailers market shares 2006	199
List of Figures
Figure 1: GDP: Top 10 countries in European Union 2005	14
Figure 2: GDP growth forecast of Top 10 EU countries 2006 & 2007e	14
Figure 3: GDP: Other 15 countries in European Union (€50bn+) 2005	15
Figure 4: GDP: Other 15 countries in European Union (€50bn-) 2005	15
Figure 5: GDP growth forecast of other 15 European Union countries (4.5%+) 2006 & 2007	16
Figure 6: GDP growth forecast of other 15 European Union countries (4.5%-) 2006 & 2007	16
Figure 7: Consumer expenditure of Top 10 European Union countries 2005	17
Figure 8: Consumer expenditure forecast growth of Top 10 European Union countries year-on-year 2006 & 2007e	17
Figure 9: Consumer expenditure: Other 15 countries in European Union (€35bn+) 2005	18
Figure 10: Consumer expenditure: Other 15 countries in European Union (€35bn-) 2005	18
Figure 11: Expenditure forecast growth of other 15 European Union countries year-on-year (6.0%+) 2006 & 2007e	19
Figure 12: Expenditure forecast growth of other 15 European Union countries year-on-year (6.0%-) 2006 & 2007e	19
Figure 13: Harmonised Index of Consumer Prices - growth of Top 10 EU countries 2004 & 2005	20
Figure 14: Harmonised Index of Consumer Prices - growth of other 15 EU countries (2.6%+) 2004 & 2005	20
Figure 15: Harmonised Index of Consumer Prices - growth of other 15 EU countries (2.6%-) 2004 & 2005	21
Figure 16: Central bank interest rates, official lending rates 2005/06	22
Figure 17: ECB interest rates 2001-07	23
Figure 18: BoE interest rates 2001-07	24
Figure 19: Total unemployment rates of Top 10 EU countries 2000 & 2005	25
Figure 20: Total unemployment rates of other 15 EU countries (7.7%+) 2000 & 2005	26
Figure 21: Total unemployment rates of other 15 EU countries (7.7%-) 2000 & 2005	26
Figure 22: EU population totals (000s) by country 2005	30
Figure 23: Five year trends in total EU population growth 2000-2020e	31
Figure 24: Forecast population growth (%) for the Top 10 countries in EU by GDP - 2015 on 2005	32
Figure 25: Forecast population growth (%) for other EU countries 2015 on 2005	33
Figure 26: Historical changes in EU age breakdown 2005e on 1995	34
Figure 27: Forecast changes in EU age breakdown 2015e on 2005e	34
Figure 28: Comparison of EU age groups 2005e & 2015e	36
Figure 29: Top 10 EU countries by GDP - household numbers 2005	38
Figure 30: Other EU countries household numbers 2005	39
Figure 31: Top 10 EU countries by GDP - average household size in 2005	40
Figure 32: Other EU countries average household size in 2005	41
Figure 33: Comparison of EU countries by urban population % - Top 10 EU countries by GDP - 2006	42
Figure 34: Comparison of EU countries by urban population % - Other EU countries - 2006	43
Figure 35: Top Six EU member states retail growth % 2000-2005	46
Figure 36: EU-15 retail spend and change % 2000-2005	46
Figure 37: New member states spend and change % 2000-2005	47
Figure 38: EU25 retail spend and change % 2000-2005	48
Figure 39: EU retail spend as % of total consumer expenditure 2000 & 2005	49
Figure 40: Growth in EU retail spend by country 2005 on 2004	55
Figure 41: EU per capita retail spend 2000-2005	57
Figure 42: EU15 per capita retail spend by country 2005	58
Figure 43: New member states per capita retail spend by country 2005	59
Figure 44: Furniture spend change % in leading EU states 2006 on 2001	68
Figure 45: Furniture expenditure per capita EU15 2006	69
Figure 46: Furniture expenditure per capita new member states 2006	70
Figure 47: Furniture specialists sales densities EU15 (€/sq m) 2006	78
Figure 48: Furniture specialists densities new member states (€/sq m) 2006	79
Figure 49: EU15 furniture specialists average store size (sq m) 2006	82
Figure 50: Furniture specialists average store size new member states (sq m) 2006	83
Figure 51: Furniture market issues 2007	115
Figure 52: Domus Rosny - near Paris 2006	119
Figure 53: Household number growth and drivers 2006	121
Figure 54: Average house price rises 2004 & 2005	123
Figure 55: Housing ownership in EU15 2005e	124
Figure 56: Housing ownership in rest of EU 2005e	125
Figure 57: Historical changes in EU age breakdown 2005e on 1995	126
Figure 58: Forecast changes in EU age breakdown 2015e on 2005e	127
Figure 59: Growth opportunities for furniture retailers 2007	128
Figure 60: Future challenges for furniture retailers 2007	131
Figure 61: EU 15 furniture sales densities 2006	197
Figure 62: New member states grocers densities 2006	198

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