Furniture market: Attractive high-class export furniture segmentAt the end of July 2019, Dongsuh Furniture, a luxury furniture brand from South Korea, launched in Ho Chi Minh City. With the scale of two large factories located in Binh Duong with an area of more than 10,000 m2, Dongsuh Furniture boosts its production to export with living room furniture such as leather sofas, sofa tea tables, wooden TV shelves, and furniture. bedroom furniture such as wooden bed, modern dressing table, wooden wardrobe, dining room equipment such as dining table set, …
Mr. PARK YOUNGNAM – Managing Director in Vietnam of Dongsuh Furniture said: “After 5 years of exploring the Asian market, Dongsuh Furniture recognized the attractiveness of the Vietnamese market”. That is the reason for Dongsuh Furniture to come to Vietnam earlier than planned, after invading China and Japan. Vietnam is the third market in Asia, after China, where Dongsuh Furniture is present.
It is also the attraction of the market that made King Mattress – funded by Casper, a well-known American mattress supplier, decided to bring Amando high-end mattresses in Vietnam combined with Korean furniture Dongsuh Furniture to distribute. in Viet Nam. Currently negotiating for cooperation.
The furniture market attracts thousands of participating businesses, including the most exciting high-end segment with names such as Pho Xinh, Nha Vui, Index living mall, etc. foreign brands because of the opportunity from the domestic furniture market of Vietnam.
Real demand and purchasing power of furniture industry per capitaAccording to data of the Ho Chi Minh City Association of Fine Arts and Wood Processing (HAWA), only for furniture, the average consumption demand in Vietnam is 21 USD / person / year. Calculated, the scale of domestic wooden furniture consumption in 2018 reached US $ 4 billion.
According to Mr. Phan Dang Chuong – Deputy General Director of ERNST & Young Vietnam Limited, in the past 5 years, about 400,000 – 500,000 townhouses and high-class apartments have been born in Vietnam. On average, each apartment uses at least 1-2 hundred million dong for the interior, so there is less than 100,000 billion dong for this demand.
In addition to real estate, the strong growth of the furniture industry is also related to the formation of the middle class in Vietnam that has spread the aesthetics and demand of consumers. “Customers do not choose furniture as ordinary items but express their lifestyle, sophisticated aesthetic sense,” Mr. Phan Dang Chuong shared.
In 2018 Vietnam spent nearly 500 million USD to import furniture, which is expected to continue to increase in the following years.
According to the sharing of representative of Eric Dinh, marketing director of Dongsuh Furniture, middle and high-end products have many price segments ranging from tens of million to nearly 400 million dong / product. In particular, the purchasing power of the price segment below 50 million VND accounts for 40% of sales of this business. And at the same time affirmed, the current furniture market has not been properly evaluated in terms of product value, many products have been raised from 3 to 5 times. 하노이 에코걸