“India Furniture Market Forecast and Opportunities, 2019”, the country’s furniture market is projected to cross USD32 billion by 2019 . The country’s furniture market is expected to grow at a rapid pace due to rising disposable income, expanding middle class and growing number of urban households. In addition, the anticipated rise in tourism and hospitality sectors is also expected to spur the furniture demand in the country through 2019. Western and Southern region would continue to be

the leading revenue generators due to expanding distribution network of furniture manufacturers in these regions .

Uttar Pradesh, Kerala, Punjab, West Bengal and Andhra Pradesh are the major suppliers of wood, which is the most

widely used raw material in the country’s furniture market.

The report reveals that wooden furniture is expected to continue its dominance in the Indian furniture market. Home furniture market is expected to witness fastest growth over the next five years, followed by office and institutional segments. Major

organized players such as Godrej Interio, Durian, Wipro, Evok and Nilkamal are expected to outperform during the next

five years due to their diverse product range, expanding distribution network and exclusive outlets. The market is also witnessing a growing trend, wherein, an increasing number of domestic manufacturers are entering into tie ups with foreign manufacturers in order to improve product design and quality.

The India home furnishing market derives its demand from textile industry. With the increasing textile industry the market

for home improvement has a rich history behind it. During the years 2009-2012, India home furnishing industry has registered a slow growth of 2.9% but with the increasing disposable income and changing consumer dynamics will lead to a growth in the furnishing market which will push the growth rate to 8% in the next five years. The industry has positive outlook due to booming hospitality, retail sector and easy availability of home furnishing loans.According to “Indian Home Furnishing Market Forecast & Opportunities, 2018”, with the increasing textile industry in

the country, the furnishing market will continue to flourish. The home furnishing market is anticipated to witness demand

from retail industry. By 2018, home furnishing market in India is expected to grow at CAGR of 8% by value to reach USD 5.29 Billion. During the same period, curtains &, upholstery and rugs & carpets will grow at CAGR of 8% and 9.4 %

Defining the Indian furniture marketThe Indian furniture &furnishings market consists of furniture, home textiles and the other home décor products. It does not include home consumables, home improvement products (hardware, tools paint etc.) faucets and kitchenware categories.

The above defined furniture &furnishings market in India is pegged to be around USD 20 billion, with furniture and furnishingshaving almost an equal split in the market. Within the furniture market of USD 10

billion, the residential sector accounts for a 70% share (USD 7 billion), and ~ 6% of this is organized (USD ~400 million).

The organized residential furniture market is expected to triple in size to become USD 1.3 billion in the next 5 years, growing at a CAGR of 27%; this would be around ~9% of the USD 15 billion (expected) residential furniture market by 2020. This huge opportunity in the furniture market is what thee-commerce players are likely to target.

Customers are happy moving online for furniture buying: Key considerations

Key steps in buyingSatisfaction with the offline buying process

Travelling to store Challenge in offline

Browsing through selection Worth doing offline as well

Checking availability of desired selection In Metro and Tier-I, it is still an issue

Comparing products at various stores Key challenge in offline

Furniture delivery and installations Delayed deliveries

In FY 2014 the Indian online furniture market was expected to be USD 40 million and the cumulative GMV run rate (net of cancellations) as of March 2015  was USD 130 million. It is expected that the online furniture market will grow with a CAGR of 75% and reach the USD 700 million mark by 2020.

The market share of online players in the organized residential furniture market will increase from current 10% to 51% by 2020.

Leading players in Indian Online Furniture market

Online Player

March 2015 furniture GMV(Estimated, post cancellations), in USD Million

Pepper-fry 24

Snapdeal 17

Urbanladder 21

Leading players in Indian Online Furniture market

Fabfurnish 19

Others –

Total 81

Pepperfry: Market leader in the Indian online furniture space. Sources70-80% of the products from Jodhpur. USP: Delivers wide variety of designs with customer reach spreading to 200+ cities.Fabfurnish: Second largest player in the Indian online furniture space. Has the widest variety of SKUs among the horizontals. Largely operating in the market place model. USP: Focus is on providing affordable product categories, appealing to wider audiences.Urbanladder: Smallest of the three major vertical players. 100% private label with a strong focus on quality and customer experience. USP: High end designs delivered through the best customer experience.Snapdeal: The largest marketplace for furniture in India, with 15,000 – 20,000 SKUs and 400 suppliers. They are still working towardsgetting the customer experience and delivery right. USP: Largest and fastest growing selection delivered to a large range of locations.

Living Room Furniture Bedroom Furniture Kitchen Furniture Drawing Room Furniture

Dining Room Furniture Entryway Furniture

It is been estimated that the world home furniture market is worth Rs 20,000 crore and during the past three years, it grew by 20 % a year. This also covered living room furniture. The Indian demand for living room furniture has enjoyed steady growth over the years. In the year 2006, the Indian furniture industry was estimated at around Rs 35,000 crores. Indian Furniture Industry is a highly unorganized sector. The furniture industry in India employs a total of around 300,000 workers and the total production of furniture in 2001-02 was USD 3580 million.

Indian Furniture Industry is estimated to be more than Rs. 60,000 cr. The industry is dominated by unorganized sector, which constitutes 90% of the total Indian market. The organized furniture market is at 10% and growing at about 35% CAGR. Furniture segment comprises 65% of the home market & 35% of Institutions. The entire Home decor category spends, furniture accounts about 68% of the share while remaining 32% comprises of furnishings and home improvement. Imported furniture constitutes to 85% of the total organized furniture industry in the country. India imports furniture from Italy, Germany, Spain, China, Korea, Malaysia, Indonesia and Philippines.

Indian share of the wooden furniture market is around Rs 60 crore (Rs 600 million). The world home furniture market is worth Rs 20,000 crore (Rs 200 billion). During the

past three years, it grew by 20 % a year. According to a World Bank study, the organised furniture industry is expected to grow by 20 % a year and India, Russia and Brazil will witness a boom.

Indian range of indigenous furniture includes both residential and contract system furniture, with an increased concentration in office and kitchen furniture.

Indian manufacturers generally use a three-tier selling and distribution structure, comprising the distributor, wholesaler and retailer.

India was the biggest furniture importer in 2004-05, with a 17 % share in furniture imports worldwide. A total of 10,476 importers shipped furniture to India during this period.

The current imports are mainly from Italy, Germany, Spain, China, Korea, Malaysia, Indonesia, the Philippines and Japan.

The furniture market in India is mainly concentrated in A, B and C cities. It has been estimated that the top 784 urban centres contribute 41% to the total

consumer furniture market. A and B type cities together contribute 33% of the total market.

The marked development of the Indian Furniture Industry has enhanced the leading foreign brands to budget in their confidence. The world market now feels pleasure and confident to join hands with Indian Furniture brands, to name few are Godrej & Boyce Manufacturing Co. Ltd., Furniturewala, Zuari, Yantra, Renaissance, N R Jasani & Company, Furniture Concepts, Durian, Kian, Millenium Lifestyles, Truzo, PSL Modular

Furniture, BP Ergo, Tangent, Featherlite and Haworth and much more to add to the growth of the industry.

Industry turnover expected to reach Rs4.7 trillion by 2018, registering 23% CAGR over forecast period. Market dominated by more than 610,000 local manufacturers, which specialise mainly in production of chairs and seats. Growth driven by household purchases, which account for 42% of market size. Sales of furniture in India see strong 32% annual growth rate over 2007-2012, to touch Rs1.8 trillion in the latter year.

Home Furnishings in India

HEADLINES Home furnishings in India grows by 10% in current value terms in 2015 to reach Rs579 billion Increasing renovation projects are the most important driver of home furnishings in 2015 Lighting is the best performer with 12% current value growth in 2015 Philips Electronics India Ltd leads home furnishings with a 2% value share in 2015 Home furnishings is expected to grow by a value CAGR of 4% at constant 2015 prices over the

forecast period to reach Rs715 billion by 2020

TRENDS The growth of home furnishings was slow in 2015 compared to 2014, due to a slowdown in real

estate purchases in the country. The number of houses sold in 2015 was low compared to 2014, which hit the new sales market in 2015, another reason for the slow growth of home furnishings. However, the demand for efficient lighting sources with high durability and the search for more aesthetic furniture have fuelled the growth of renovation in 2015.

With increasing internet retailing and branded products available at reasonable prices online, local consumers have started shifting away from non-branded to branded products, which is propelling the growth of home furnishings. In addition, with the increase in disposable incomes, consumers are starting to spend more on branded home furnishings.

Lighting grew by 12% in current value terms in 2015. Consumers are looking for more efficient products in order to save electricity, and promotional activities undertaken by the government are also driving growth.

Sitting furniture reached value sales of Rs87 billion in 2015 and accounted for a 23% value share of indoor furniture sales. The concept of sofa beds is not popular in India and held only a 2% value share of sitting furniture in 2015.

The garden and outdoor area in Indian homes is often too small to keep barbeques and Indians have very little knowledge of using barbeques. Hence, sales of barbeques remained negligible in the country and it will take several years for barbecues to emerge in the country.

In 2015, lighting accounted for a 9% value share of total home furnishings. Within lighting, light-emitting diode lamps (LED) was the best performer with 44% current value growth in 2015. LED is energy-efficient compared to other types of bulbs, and hence, the local government is taking initiatives to promote the use of LED lighting, in order to reduce the consumption of electricity. The government is also providing LEDs at subsidised costs, which witnessed a rise in production capacity of this type of lighting by the top manufacturers.

Compact fluorescent lamps (CFL) accounted for a 65% value share in 2015, making it the largest category under lighting. However, the increasing popularity of LEDs and also the cost of LEDs becoming equal to that of CFL, the growth of the latter is expected to decrease drastically. The

growth of halogen lamps is waning, with only 1% in current value terms in 2015, and they are expected to decline over the forecast period.

Home textiles grew by 7% in current value terms in 2015 compared to 8% in 2014. The number of new retail outlets opened in 2015 was low compared to 2014; hence, the slowdown in growth in 2015. Increasing ecommerce sales are expected to become a strong growth factor moving forward.

Homewares and home furnishing stores accounted for an 83% value share of distribution, followed by department stores and hypermarkets with 3% and 8% value share respectively. Internet retailing for home furnishings, which held a 2% value share in 2015, is expected to perform well over the forecast period.

COMPETITIVE LANDSCAPE Philips Electronics India Ltd led home furnishings in 2015 with a 2% value share. Phillips is a pioneer

in LED lighting and also an innovator of new technologies. The government promoting the use of LED to save electricity has helped Philips to maintain its position as a leader.

Swayam Linen Design Co Pvt Ltd grew by 20% in current value terms in 2015 and is an emerging player in home textiles in India. The company consistently recorded value growth of 20% or more throughout the course of the review period. The company has its own online store and the products are also available in traditional retail channels.

There was hardly any difference between the performance of domestic and international players in terms of growth, but the domestic players dominated in terms of value. Both domestic and international brands continued their growth, which was aided by increasing demand for branded products. Domestic companies such as Godrej & Boyce, Crompton Greaves, Swayam Linen Design, Bombay Dyeing & Mfg Co Ltd and Welspun India Ltd performed well, while international players such as Philips Electronics and Osram India Pvt Ltd witnessed strong growth.

There are many organised branded players within lighting that consumers are aware of and prefer to use, as they deem them to be more reliable and highly efficient compared to non-branded products. This is not the case with furniture however, as 90% of sales of furniture is unorganised in India with very few people preferring to use branded products. Local consumers do not mind non-branded furniture as it is cheaper and customised by manufacturers. Similarly, bath textiles are also unorganised in India and consumers prefer to use non-branded products, which are cheaper and easily available. With an increase in the number of online players, the availability of branded products is growing and also at reasonable prices, which is encouraging consumers to shift towards branded players.

In October 2015, Godrej & Boyce launched a new retail channel in Pune and named it as U&US home design studio. Consumers can design their own furniture with the help of interior designers present at the store. Special software is used to create 3-dimensional images of the house and the consumer can customise his or her furniture with the help of experts. This will offer consumers an experiential feel at the store.

With increasing popularity of LEDs in India and the government promoting their usage, the leader Philips went one step ahead and launched an LED home lighting system in India in September 2015. It allows users to create and control home lighting using their smartphone or tablet. It works across both iOS and android mobile platforms. One can control the colour of light and adjust the brightness using a mobile. With sales of LED expected to rise, this innovation is expected to strengthen the position of Philips in the future.

PROSPECTS Initiatives taken by the government to promote the use of LEDs to save electricity will drive the

growth of lighting during the forecast period. Companies are also developing new technology in highly efficient LEDs, while reducing their prices will help lighting sustain its growth.

Small furniture accounts for the majority of furniture sales in terms of value. Consumers are ready to buy small furniture online as the risk of buying this size product is low. Moving forward, online furniture sales are expected to increase.

Home furnishings grew by a value CAGR of 3% at constant 2015 prices during the review period. During this period, the growth of real estate in India was the fastest, which had a good impact on the new sales of home furnishings. In addition, consumers In India are looking for more aesthetic furniture and are ready to spend more on products which offer greater comfort.

With increasing competition from ecommerce players, the price of furniture is becoming more consumer- friendly and Indians are starting to shift towards branded products. In addition, the concept of modular kitchen is expected to rise in India. With all the factors looking positive, indoor furniture is set to grow at a healthy pace during the forecast period with a 5% value CAGR at constant 2015 prices.

When considering lighting, compact fluorescent lamps (CFL) held a 65% value share in 2015 but this is expected to decrease to a 57% value share by 2020 due to the increasing popularity of LED lights in India. As of 2015, there was no ban on incandescent lights in India. Still, many people in rural India and those with lower disposable incomes use incandescent bulbs as they are much cheaper compared to LED or CFL. A ban on incandescent bulbs is unlikely over the forecast period but companies will reduce the capacity of these bulbs because of a fall in demand. LEDs consume less energy compared to CFL and also have a longer life. With prices of LED lighting becoming equal to those of CFL, the former is expected to grow the fastest during the forecast period. By 2020, light-emitting diode lamps (LED) is expected to hold a 22% value share of total lighting.

The prices of home furnishings are expected to remain constant during the forecast period. With increasing exports from china and competition from the unorganised sector in India, there may not be much of an increase in product pricing.

Light-emitting diode lamps (LED) is expected to be the fastest growing over the forecast period, with a 47% value CAGR at constant 2015 prices. The new LED system from Philips is expected to perform well across the premium segment where the competition is comparatively lower.

Due to increasing demand for lighting, companies are expected to increase their LED manufacturing capacity to cater to the increasing demand during the forecast period.

CATEGORY DATA

Table 1 Sales of Home Furnishings by Category: Value 2010-2015INR million 2010 2011 2012 2013 2014 2015

Indoor Living 311,492.2

348,033.4

385,091.6

430,414.7

478,221.5

523,506.5

-- Rugs  2,398.2 2,580.5 2,916.0 3,312.5 3,547.7 3,796.1

- Indoor Furniture 

212,648.8

241,843.2

270,850.2

306,639.7

343,680.9

380,020.0

-- Bedroom Furniture 

107,564.5

121,961.0

136,326.7

153,238.3

170,685.6

187,607.9

-- Dining Furniture 

25,009.0

28,735.4

32,557.2

37,375.6

42,346.6

47,470.5

-- Home Office 2,860.1 3,300.6 3,729.7 4,292.9 4,859.5 5,340.6

INR million 2010 2011 2012 2013 2014 2015

Furniture 

-- Kitchen Furniture 

13,938.7

15,722.8

17,389.4

19,528.3

21,598.3

23,715.0

-- Living Room Furniture  6,897.7 7,691.0 8,506.2 9,518.5

10,517.9

11,527.6

-- Sitting Furniture 

46,727.7

53,364.2

59,876.8

68,443.1

77,757.8

86,757.5

-- Storage Furniture  7,640.9 8,794.6 9,929.1

11,398.7

12,800.7

14,221.6

-- Other Indoor Furniture  2,010.2 2,273.6 2,535.1 2,844.3 3,114.5 3,379.3

- Window Covering  9,095.0 9,961.5

10,829.9

11,898.6

13,352.2

14,315.4

-- Blinds  260.9 305.8 353.5 416.4 492.2 568.0

-- Curtains  8,834.1 9,655.710,476.4

11,482.1

12,860.0

13,747.3

Outdoor Living  1,047.0 1,160.1 1,276.1 1,410.1 1,544.0 1,673.7

- Outdoor Furniture  1,047.0 1,160.1 1,276.1 1,410.1 1,544.0 1,673.7

Lighting 26,235.3

30,485.8

35,543.8

41,635.6

47,655.0

53,582.8

-- Light-Emitting Diode Lamps (LED)  225.0 450.5 787.5 1,218.8 1,724.5 2,474.7

Home Furnishings 

338,774.5

379,679.3

421,911.5

473,460.4

527,420.5

578,763.0

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks, trade interviews, trade sources

Table 2 Sales of Home Furnishings by Category: % Value Growth 2010-2015

% current value growth2014/15

2010-15 CAGR

2010/15 Total

Indoor Living  9.5 10.9 68.1

% current value growth2014/15

2010-15 CAGR

2010/15 Total

-- Rugs  7.0 9.6 58.3

- Indoor Furniture  10.6 12.3 78.7

-- Bedroom Furniture  9.9 11.8 74.4

-- Dining Furniture  12.1 13.7 89.8

-- Home Office Furniture  9.9 13.3 86.7

-- Kitchen Furniture  9.8 11.2 70.1

-- Living Room Furniture  9.6 10.8 67.1

-- Sitting Furniture  11.6 13.2 85.7

-- Storage Furniture  11.1 13.2 86.1

-- Other Indoor Furniture  8.5 10.9 68.1

- Window Covering  7.2 9.5 57.4

-- Blinds  15.4 16.8 117.7

-- Curtains  6.9 9.2 55.6

Outdoor Living  8.4 9.8 59.9

- Outdoor Furniture  8.4 9.8 59.9

Lighting  12.4 15.4 104.2

-- Light-Emitting Diode Lamps (LED)  43.5 61.5 999.9

- Lighting Fixtures  11.2 14.5 97.1

Home Furnishings  9.7 11.3 70.8

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks, trade interviews, trade sources

Table 3 NBO Company Shares of Home Furnishings: % Value 2011-2015% retail value rsp 2011 2012 2013 2014 2015

% retail value rsp 2011 2012 2013 2014 2015

Philips Electronics India Ltd  2.0 2.0 1.9 1.9 1.9

Godrej & Boyce Mfg Co Ltd  1.1 1.3 1.5 1.7 1.7

Surya Roshni Ltd  1.0 1.0 1.1 1.1 1.1

Bombay Dyeing & Mfg Co Ltd  1.1 1.0 1.0 1.0 1.0

Bajaj Electricals Ltd  0.9 1.0 1.0 0.9 0.9

Kurlon Pvt Ltd  0.5 0.6 0.7 0.8 0.9

Nilkamal Ltd  0.8 0.9 1.0 0.9 0.8

Crompton Greaves Ltd  0.5 0.6 0.6 0.6 0.6

Havells India Ltd  0.7 0.6 0.6 0.6 0.5

Osram India Pvt Ltd  0.7 0.7 0.7 0.6 0.5

Sheela Foam Pvt Ltd  0.3 0.4 0.4 0.4 0.4

Durian Industries Pvt Ltd  0.3 0.3 0.3 0.3 0.3

Duroflex Pvt Ltd  0.3 0.3 0.3 0.3 0.3

Creative Portico India Pvt Ltd  0.3 0.3 0.3 0.3 0.3

Style Spa Furniture Ltd  0.4 0.4 0.4 0.3 0.2

Welspun India Ltd  0.1 0.1 0.1 0.1 0.1

Swayam Linen Design Co Pvt Ltd  0.1 0.1 0.1 0.1 0.1

Others  88.9 88.3 87.9 88.1 88.2

Total  100.0 100.0 100.0 100.0 100.0

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks, trade interviews, trade sources

Table 4 LBN Brand Shares of Home Furnishings: % Value 2012-2015

% retail value rsp Company (NBO)2012

2013

2014

2015

Philips (Koninklijke Philips NV) 

Philips Electronics India Ltd - 1.9 1.9 1.9

% retail value rsp Company (NBO)2012

2013

2014

2015

Godrej Interio Godrej & Boyce Mfg Co Ltd 1.3 1.5 1.7 1.7

Surya  Surya Roshni Ltd 1.0 1.1 1.1 1.1

Bombay Dyeing (Wadia Group) 

Bombay Dyeing & Mfg Co Ltd 1.0 1.0 1.0 1.0

Bajaj  Bajaj Electricals Ltd 1.0 1.0 0.9 0.9

Kurl On  Kurlon Pvt Ltd 0.6 0.7 0.8 0.9

@Home  Nilkamal Ltd 0.9 1.0 0.9 0.8

Crompton Crompton Greaves Ltd 0.6 0.6 0.6 0.6

Havells  Havells India Ltd 0.6 0.6 0.6 0.5

Osram (Osram Licht AG)  Osram India Pvt Ltd - 0.7 0.6 0.5

Sleepwell  Sheela Foam Pvt Ltd 0.4 0.4 0.4 0.4

Durian Durian Industries Pvt Ltd 0.3 0.3 0.3 0.3

Duroflex  Duroflex Pvt Ltd 0.3 0.3 0.3 0.3

Portico Creative Portico India Pvt Ltd 0.3 0.3 0.3 0.3

Style Spa (Adventz Group) Style Spa Furniture Ltd 0.4 0.4 0.3 0.2

Welspun (Welspun Group)  Welspun India Ltd 0.1 0.1 0.1 0.1

Swayam India Swayam Linen Design Co Pvt Ltd 0.1 0.1 0.1 0.1

Philips (Koninklijke Philips Electronics NV) 

Philips Electronics India Ltd 2.0 - - -

Osram (Siemens AG)  Osram India Pvt Ltd 0.7 - - -

Others  Others 88.3 87.9 88.1 88.2

% retail value rsp Company (NBO)2012

2013

2014

2015

Total  Total100.0

100.0

100.0

100.0

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks, trade interviews, trade sources

Table 5 LBN Brand Shares of Light Sources: % Value 2012-2015

% retail value rsp Company (NBO)2012

2013

2014

2015

Philips (Koninklijke Philips NV) 

Philips Electronics India Ltd - 24.6 23.5 22.5

Surya  Surya Roshni Ltd 13.6 13.9 13.5 13.0

Bajaj Bajaj Electricals Ltd 14.0 13.4 11.2 10.7

Crompton Crompton Greaves Ltd 7.7 7.6 7.6 7.5

Havells  Havells India Ltd 7.7 7.3 6.9 6.6

Osram (Osram Licht AG) Osram India Pvt Ltd - 9.1 7.1 6.5

Philips (Koninklijke Philips Electronics NV) 

Philips Electronics India Ltd 26.8 - - -

Osram (Siemens AG) Osram India Pvt Ltd 9.3 - - -

Others  Others 20.8 24.0 30.3 33.2

Total  Total100.0

100.0

100.0

100.0

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks, trade interviews, trade sources

Table 6 Distribution of Home Furnishings by Format: % Value 2010-2015

% retail value rsp2010

2011

2012

2013

2014

2015

Store-Based Retailing 100.0

100.0

100.0

100.0 99.7 97.8

- Grocery Retailers  7.7 8.7 9.4 10.7 11.3 11.6

% retail value rsp2010

2011

2012

2013

2014

2015

-- Supermarkets  - - - - - -

-- Hypermarkets  4.8 5.7 6.2 7.4 7.9 8.1

-- Discounters  - - - - - -

-- Other Grocery Retailers  2.9 3.0 3.2 3.3 3.4 3.5

- Mixed Retailers  2.5 2.6 2.8 3.1 3.1 3.1

-- Department Stores  2.5 2.6 2.8 3.1 3.1 3.1

-- Mass Merchandisers  - - - - - -

-- Variety Stores  - - - - - -

-- Warehouse Clubs  - - - - - -

- Non-Grocery Specialists  89.8 88.7 87.8 86.1 85.2 83.1

-- Home and Garden Specialist Retailers  89.8 88.7 87.8 86.1 85.2 83.0

--- Home Improvement and Gardening Stores  - - - - - -

--- Homewares and Home Furnishing Stores  89.8 88.7 87.8 86.1 85.2 83.0

-- Other Non-Grocery Specialists  0.0 0.0 0.0 0.0 0.0 0.0

Non-Store Retailing  - - 0.0 0.0 0.3 2.2

- Homeshopping  - - 0.0 0.0 0.0 0.0

- Internet Retailing  - - - - 0.3 2.2

- Direct Selling  - - - - - -

Total 100.0

100.0

100.0

100.0

100.0

100.0

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks, trade interviews, trade sources

Table 7 Forecast Sales of Home Furnishings by Category: Value 2015-2020INR million 2015 2016 2017 2018 2019 2020

Indoor Living 523,506.5

541,879.9

563,172.2

586,427.8

611,195.7

639,061.6

- Home Textiles 129,171.2

129,801.3

130,547.5

131,579.2

132,873.6

134,348.1

-- Bath Textiles 25,830.5

26,058.7

26,307.5

26,634.7

27,013.0

27,447.8

-- Bed Textiles 73,588.1

73,960.4

74,386.8

74,959.5

75,667.9

76,453.5

-- Kitchen and Dining Textiles  6,590.3 6,598.8 6,605.6 6,625.2 6,656.3 6,693.7

-- Living Room Textiles 

19,366.1

19,317.9

19,283.2

19,267.1

19,284.4

19,319.3

-- Rugs  3,796.1 3,865.4 3,964.4 4,092.7 4,252.0 4,433.8

- Indoor Furniture 

380,020.0

397,320.5

417,175.9

438,529.7

461,021.6

486,316.6

-- Bedroom Furniture 

187,607.9

195,093.9

203,921.3

213,451.8

223,634.1

235,133.7

-- Dining Furniture 

47,470.5

50,488.2

54,024.6

58,025.5

62,379.5

67,304.2

-- Home Office Furniture  5,340.6 5,569.2 5,859.3 6,221.0 6,634.6 7,095.2

-- Kitchen Furniture 

23,715.0

24,730.2

26,064.9

27,649.3

29,461.2

31,478.5

-- Living Room Furniture 

11,527.6

11,966.7

12,442.9

12,951.5

13,504.8

14,120.9

-- Sitting Furniture 

86,757.5

91,025.2

95,402.1

99,611.7

103,494.9

107,831.8

-- Storage Furniture 

14,221.6

14,964.6

15,843.0

16,836.1

17,939.4

19,167.7

-- Other Indoor 3,379.3 3,482.5 3,617.8 3,782.8 3,973.2 4,184.7

INR million 2015 2016 2017 2018 2019 2020

Furniture 

- Window Covering 

14,315.4

14,758.1

15,448.8

16,318.9

17,300.5

18,396.8

-- Blinds  568.0 629.9 704.9 790.5 887.4 1,000.6

-- Curtains 13,747.3

14,128.3

14,743.9

15,528.3

16,413.1

17,396.2

Outdoor Living  1,673.7 1,707.4 1,751.2 1,792.9 1,835.4 1,885.9

- Barbecues  - - - - - -

-- Charcoal Barbecues  - - - - - -

-- Electric Barbecues  - - - - - -

-- Gas Barbecues  - - - - - -

- Garden Sheds  - - - - - -

- Outdoor Furniture  1,673.7 1,707.4 1,751.2 1,792.9 1,835.4 1,885.9

Lighting 53,582.8

56,494.4

59,539.1

63,104.6

67,753.0

74,439.6

- Light Sources 47,737.7

50,371.6

53,132.1

56,405.3

60,742.0

67,122.1

-- Incandescent Lamps  4,055.8 3,816.0 3,545.9 3,260.5 2,965.9 2,666.3

-- Halogen Lamps  810.8 767.5 721.1 674.0 625.9 577.0

-- Linear Fluorescent Lamps (LFL)  5,438.5 5,276.1 5,077.1 4,870.7 4,666.8 4,466.3

-- Compact Fluorescent

34,957.9

37,081.2

38,907.3

40,460.9

41,727.9

42,717.4

INR million 2015 2016 2017 2018 2019 2020

Lamps (CFL) 

-- Light-Emitting Diode Lamps (LED)  2,474.7 3,430.7 4,880.7 7,139.1

10,755.5

16,695.1

- Lighting Fixtures  5,845.1 6,122.9 6,407.0 6,699.3 7,011.0 7,317.5

Home Furnishings 

578,763.0

600,081.8

624,462.5

651,325.3

680,784.0

715,387.1

Source: Euromonitor International from trade associations, trade press, company research, trade interviews, trade sources

Table 8 Forecast Sales of Home Furnishings by Category: % Value Growth 2015-2020

% constant value growth2015/2016

2015-20 CAGR

2015/20 TOTAL

Indoor Living  3.5 4.1 22.1

-- Rugs  1.8 3.2 16.8

- Indoor Furniture  4.6 5.1 28.0

-- Bedroom Furniture  4.0 4.6 25.3

-- Dining Furniture  6.4 7.2 41.8

-- Home Office Furniture  4.3 5.8 32.9

-- Kitchen Furniture  4.3 5.8 32.7

-- Living Room Furniture  3.8 4.1 22.5

-- Sitting Furniture  4.9 4.4 24.3

-- Storage Furniture  5.2 6.2 34.8

-- Other Indoor Furniture  3.1 4.4 23.8

- Window Covering  3.1 5.1 28.5

-- Blinds  10.9 12.0 76.2

-- Curtains  2.8 4.8 26.5

- Outdoor Furniture  2.0 2.4 12.7

% constant value growth2015/2016

2015-20 CAGR

2015/20 TOTAL

Lighting  5.4 6.8 38.9

- Light Sources  5.5 7.1 40.6

-- Incandescent Lamps  -5.9 -8.0 -34.3

-- Light-Emitting Diode Lamps (LED)  38.6 46.5 574.6

Home Furnishings  3.7 4.3 23.6

Facts about the Category as per various experts1) Home Decor is almost a $15-$20 billion category including offline and online.

2) Out of this $20 billion market 40 % – 50% is furniture and rest are pure home decor items such as cutlery, kitchen items, fancy lamps etc.

3) In furniture, out of 40%, 25 % is the larger furniture items such as Sofa, Beds etc and rest small furniture items such as linen, bar table, chair , stools etc.

4) There is a huge scope of this 25% of smaller furniture items and rest 60% of pure home decor items in online because of their smaller sizes, not much need of touch and feel and easy logistics comparatively.

Challenges1) Supply chain and inventory management are the biggest challenges. Also demand forecasting is very hard in ever changing economy as the interests and trends are changing rapidly with communication and internet taking over.2) If the demand for a particular products soars up then its hard to fulfill it from the backend in comparison to other categories such as Apparel or groceries where more options are available.

3) 25% of furniture category constitutes of large items such as bed, sofa, etc and these are the items which Indian consumers still want to refrain from buying online as they want to have a touch and feel factor involved.

Scope1) Emerging as one of the profitable categories in eCommerce market.2) Average ticket size is larger, with a margin of 30-40% thus consumer acquisition cost is justified.

3) All horizontal players are expanding in home decor.

4) Mainly mom and pop shops are operating in this category catering to a smaller consumer base within a village, town or city except few large players who are also limited to geographies, so Online retailer can leverage the reach component.

5) A consumer sitting in Andhra pradesh has no access to the furniture made in rajasthan ideally, but with online he can get hold of that inventory at almost same prices.

6) 3 online retailers including Zansaar, Pepperfry, Fabfurnish were launched last year in Q1 in home decor niche thus proving the demand in the category.

Online players in this categoryThere are many players who have already made their entry into this niche segment and are doing unexpectedly well. Some such players are:1. Urbanladder: Launched in 2012 and a venture of Bangalore-based Descasa Decor Online Pvt Ltd, Urbanladder is currently delivering to Bangalore, Mumbai and Delhi / NCR region (Gurgaon, Noida). The online store has made a strong foothold in the segment and have recently raised $1 million in series A funding and is looking to close a Series B round in coming months.

2. Pepperfry: An online Home & Lifestyle marketplace, launched in January 2011 is having a current user base of 7 lakhs and 3 million unique visitors on monthly basis. Also it is doing almost 1200 orders a day. The company has raised $13 million in total with $8million in Series A(2011) and $5 million in Series B (2013).

3. Fabfurnish: A rocket internet backed venture and the most visited online home store in India, fabfurnishwas launched in January 2012. It is currently known for its designer furniture, furnishings, décor items and kitchenware.

4. Zansaar: A Bangalore based startup and a brand owned by Singapore-based Salar Online Pvt Ltd has forayed into online home decor space in 2012. Backed by Accel Partners and Tiger Global, it has recentlyraised $6 million funding from them with an aim to bring in exclusive range in categories such as Home decor, Kitchen Tools, World Foods, Cushion Covers.

5. Roomstory: An online multi-brand home store, Roomstory is offering products across three classifications, Bed & Bath, Décor & Furnishings and Kitchen & Dining. It was launched in 2011 with an aim to become a one stop destination for all home decor products. The company is currently looking forfunding of around $1 million.

6. The Home Label: An online marketplace by Sussanne Roshan, Home Label is backed by The Label Corp., the first retail brand in the online marketplace to introduce a unique tastemaker styled model. Under this business model,  the celebrity Creative Directors bring along an assortment of exclusive and trendy products.

7. Bedbathmore: An online portal, bedbathmore deals in home decor, bed, bath and other furnishings. It also has its own warehousing facility in Mumbai. It is a part of Creative group, one of the India’s largest exporters of home furnishing and apparels to US and Europe. Bedbathmore also raised an undisclosed amount recently in Series A funding from Blume ventures with plans to establish private labels and expanding the technology team.

8. Mebelkart: A Bangalore based startup, Mebelkart provides a range of products including Bean bags, Seating, Home furniture, Kids furniture and Décor. It claims to be ‘the biggest dealer in Beanbags and Office chairs’. Also, it has tie-ups with some of the major furniture companies like Durian,  Zuari,  MoBEL, Rhome and Wood Dekor.

The other major online retailers with Home decor categories include Jabong, Yebhi, Homeshop18 and Snapdeal.

Although, the online retail is grabbing the attention, there are players in the offline segment too like Godrej interio, D’Decor, Zuari, Durian, @home, etc. which are there from years and are still among the best choices for the consumers.

Indian Furniture Industry As of 2015, the Indian furniture market is estimated to be worth US$ 17,922 million. Of this, wooden furniture accounts for US$ 5,358 million. (US$ 852 million) of this (wooden furniture) is imported and imports are growing at 50 to 60 per cent every year. India was the largest furniture importer in the world , with a 19 per cent share in the furniture imports worldwide. A total of 10, 476 importers shipped furniture to India during this period, mainly from Italy, Germany, Spain, China, Korea, Malaysia, Indonesia, Philippines and Japan. The furniture sector in India makes a marginal contribution to the Gross Domestic Product (GDP), representing about 0.5 per cent of the total GDP. The major part of this industry, approximately 85 per cent is in the unorganised sector. The remaining 15 per cent comprises of large manufacturers, such as, Godrej & Boyce Manufacturing Co. Ltd., BP Ergo, Featherlite, Haworth, Style Spa, Yantra, Renaissance, Millennium Lifestyles, Durian, Kian, Tangent, Furniture Concepts, Furniturewala, Zuari, Truzo, N R Jasani & Company, V3 Engineers, PSL Modular Furniture, etc. The range of indigenous furniture available in India, includes both residential and contract system furniture. Manufacturers in India usually use a three-tier selling and distribution structure, comprising of the distributor, wholesaler and retailer. The market is mainly concentrated in A, B and C category cities (the top 589 cities). A and B type cities together constitute 33 per cent of the total market. With a healthy economy and increased household and institutional spending, the market is growing steadily. Furniture Industry Composition As with the global market, home furniture is the largest segment in the Indian furniture market, accounting for about 65 per cent of furniture sales. This is followed by, the office furniture segment with a 20 per cent share and the contract segment, accounting for the remaining 15 per cent. n Household n Office n Contract Consumer Segments 15% 65% 20% Share of Organised and Unorganised Sectors (US$ Billion, Percentage Share) n Unorganised n Organised Source: KPMG Analysis 1.2, 15% 6.8, 85% FURNITURE 4 MARKET & OPPORTUNITIES Home

furniture Home furniture in India is available in a wide range, to cater to different customer needs. A typical middle class urban Indian home has five rooms (including kitchen and bathroom). About 25 per cent of the urban population live in homes with five rooms or more, while 45 per cent live in houses with three rooms or less. About 16 per cent is estimated to live in single-room homes. The type of furniture used depends on the customer’s affluence and taste. The rich and upper middle class is typically very attentive to design and quality, so price is rarely a determining factor. In general, European style furniture is only found in homes of the urban upper class. Demand for furniture of international standards is limited to the larger cities. It is also estimated that the wealthier classes do not change furniture very frequently; the average life of a piece of furniture is about 20 years and some craftsmen’s pieces are used for as long as 50-70 years. Colonial furniture is still very common in India, but the trend seems to be declining slowly. Office Furniture The office furniture segment caters to the commercial and office space. This segment has witnessed rapid growth in recent years, in line with the growth in the Indian economy and subsequent demand for office space. The thrust on real estate and office construction is expected to sustain in the near future, indicating continued growth for the furniture industry. Contract segment The contract segment caters primarily to hotels and its growth is consequently linked to growth in tourism and development of new hotels. 

Imports Furniture imports in India have been growing at nearly 64 per cent CAGR, over the 5-year period from 2009 to 2014. A key driver is the increasing demand for furniture, fuelled by the boom in housing and commercial construction. Increasing income levels and influence of global lifestyle trends have also led to many urban, affluent Indians, moving towards imported furniture. European furniture manufacturing companies have been the first entrants, with their premium products (mainly veneered) in India. They were led by the K K Birla joint venture, Gautier, with Groupe Seribo of France. 

By 2020, the higher income earning group (>US$ 2,000) is expected to constitute 48 per cent of the total earning population in India. Coupled with this is the increased propensity to spend on lifestyle and consumer products, driven by trends like increasing number of double income families, increased ease of financing for consumer durables and increased exposure to global products. All these factors have had a positive impact on the furniture sector and are expected to drive demand for furniture in the future. Real estate/housing boom The growth in the Indian economy has also had a positive impact on the growth of real estate and commercial properties in India. There has been all-round growth in both, the manufacturing and services sectors. In particular, the growth in the services sector, which now constitutes more than the 50 per cent of the GDP, has led to rapid development in the realty sector in India, as the growing KPO/BPO sector creates Number of Households of Rich and Consuming Class 0 20 40 60 80 100 US$ million 1995-96 33.7 2001-02 49.0 2005-06 80.7 Real Estate Development 2003-05 98.8 2005-06 112.0 90 95 100 105 110 115 US$ billion 8 MARKET & OPPORTUNITIES demand for construction of new office space. The real estate sector has grown from a US$ 98 billion industry in 2003-04 to US$ 112 billion in 2005-06. While housing constitutes a major part of real estate in India, commercial construction has also been growing, in order to cater to the increasing demand for office space. The cumulative demand for office space in 2005-2008 is estimated to be in excess of 85 million square feet, up from 16 million square feet in 2004. Growth in both, housing and commercial development will have a positive effect on furniture demand, driven by the need to furnish new constructions. Tourism and hospitality industry growth Tourism in India has been increasing rapidly and steadily over the past decade. The number of tourists (domestic and foreign combined) to visit all states in India grew, from 145.1 million in 1996 to nearly 472.5 million in 2006, at a CAGR of 12.5 per cent. It is expected that demand for tourism will grow at 8.6 per cent between 2006 and 2015. This would create significant demand for hotel rooms. It is estimated that by 2010, an additional 125,000 hotel rooms would be required to cater to the needs of travel and tourism. The furniture industry would benefit through the subsequent demand for hotel furniture. Critical Success

factors for Furniture Manufacturers in India The Indian furniture industry is gradually transforming into a more organised and competitive sector. The entry of global brands in the sector, emergence of large retail players and the resultant consolidation, are trends that highlight this transformation. The figure below captures the current status of the Indian furniture sector Tourist Visits to Indian States 0 100 200 300 400 500 US$ million 2006 472.56 2001 1996 145.15 241.91 CAGR 12.5% Threat of New Entrants Fragmented industry Growing domestic market Industry is not investment intensive Threat of Substitutes No significant threat Competitive Rivalry Moderately competitive industry Transitioning from highly unorganised to organised sector Customer Power Increasing demand from key user segments Demand for lifestyle products Majority of the market still price sensitive Supplier Power Abundant supply of raw materials and labour Supplier base not organised Imports getting easier Source: KPMG Analysis n High n Medium n Low FURNITURE 9 These trends indicate certain key capabilities that companies in the furniture sector need to develop for success. They are briefly discussed below: Good supply chain management Supply chain management is critical for furniture manufacturers for catering to both, the home and commercial segments. For the home segment, the challenge would be to cater to India’s diverse customer needs and a spread-out market, without adding to inventory or costs. In case of the commercial (office and hotel) segment, the key requirement would be to ensure timely deliveries, as per required specifications to the builder or architect. Cost Minimisation Furniture manufacturers in India will need to cater to diverse tastes and preferences across customer segments and geographies. At the same time, with the industry getting increasingly organised and competitive, margins are likely to be progressively under pressure. In this scenario, the ability to manage costs through improved manufacturing processes and minimising waste is a key capability requirement for players in this sector. Brand Management Branding has become a significant factor in furniture buying in India in recent years. Having a well-known brand is important for catering to the office and hotel segment, as these typically buy in large volumes and expect the furniture to complement or enhance their own brand. However, even individual buyers in the home furniture segment are increasingly looking at branded products, as a means to ensure quality and value. Customisation Furniture manufacturers need to be able to customise their products to meet different customer needs, while maintaining their cost competitiveness. This could be a challenge, especially in the home furniture segment, where the volumes for specific designs are likely to be low. Practices like mass customisation, where there are products with standard shapes and sizes with customised exteriors and colour shades, will need to be implemented. Accurate demand forecasting is a related capability, required to plan for raw materials and parts. Options for entering the Indian furniture market Attractive segments The Indian furniture market offers attractive growth options for multinational players looking at entering the Indian market. As mentioned earlier, import of furniture into India has been growing at nearly a 64 per cent CAGR, indicating strong demand for global products in the Indian market. The office furniture segment appears the most attractive, as it is growing rapidly and also offers large volumes. It is estimated that the demand for office space in India will grow at a CAGR of 20 per cent over the next 3-5 years. Apart from the demand for creation of new office space, the demand for office furniture is also driven by renovation of existing offices. This segment is also relatively price sensitive and likely to go in for well-known brands. Another potential segment is high-end home furniture, catering to the upper middle class and affluent urban households. Home furniture is the biggest segment in terms of volume and with the number of such households increasing at about a 10 per cent CAGR, it offers good potential for investment. Global players can enter

India, either on their own or through joint ventures. Given the market size and complexity, successful global companies spend significant time in studying and understanding the Indian market thoroughly, before making significant investments. Some companies have established liaison/representative offices as an intermediate step before entering on their own or through a joint venture. Typically, the liaison office is not allowed to undertake any business activity in India. The role of such an office is to gather information about the possible market opportunities and provide information about the company and its products to prospective Indian customers. A liaison office in India is permitted to carry out only specified activities and the permission for the same is given for a period of three years. This may be extended from time to time. An example of such an approach is Teknion. Teknion’s target market includes Fortune 500 companies and major Indian corporate houses. 10 MARKET & OPPORTUNITIES MNC furniture company in India - Teknion Teknion initially established a liaison office in India and the company’s operations were focused in Chandigarh, Hyderabad, New Delhi, Mumbai and Bangalore. Presently, Teknion employs two permanent employees for its operations in India. It has an after-sales service function that includes reconfiguration and new orders. The firm also employs sub contractors for installation of its furniture solutions. Teknion imports furniture from its Malaysian operations. Presently, Teknion’s aim in India is to establish itself as a leading designer and promoter of high quality model furniture solutions. For this, the company intends to target 10 per cent of the total furniture market by establishing relationships in India and networking with these relationships to reach the targeted companies. Teknion also plans to establish a new showroom and a joint venture with Indian distributor. In the longer term, Teknion plans to maintain an assembly unit with standard furniture and standard product ranges. Key take-aways for potential investors While the Indian furniture market is growing rapidly and can yield sustained advantages, an assessment of the sector and the key trends driving it throw up a few key take-aways for potential investors. These are: Build the brand India being a price and value-conscious market, consumers typically look for cues that indicate assurance of value. A strong brand is important for furniture manufacturers in this respect, to increase customer awareness and trust. Participation in furniture trade shows, organising seminars, etc., could therefore prove to be useful means to build a brand. Understand the market Potential investors, would also need to concentrate on specific regions/customer segments initially, to establish themselves and test the market before investing in a national distribution network. Establishing a liaison office to study the market extensively and identifying investment opportunities will also prove to be steps that will enable investors to firm up their India operations. Focus on design Designs that cater to local customer requirements are an important requirement for success across markets. In this respect, companies could look at leveraging India’s traditional craftsmanship and technology base, through developing design schools or collaborating with the already existing schools. Places in India, that are known for their traditional woodwork are listed in the appendix. FURNITURE 11 Locations known for excellence in woodwork Although, furniture is manufactured in many different parts of the country, a few centres have become well known for their exquisite carving, inlaying, turning and lacquering. These are: Gujarat Besides carved chests and almirahs, Gujarat is synonymous with the wooden swing. The different varieties of swings are made using a range of wood from unvarnished hewn wood to rich lacquer. Sankheda village, in Gujarat, has a unique tradition of engraving indigenously developed silver, gold and bronze colours on wood. Surat, has a tradition of parquetry-work, which is locally called Sadeli. Kashmir In Kashmir, extensive wood-work has been used for structures since ancient times. Houses are lined with wood ceilings worked in geometrical patterns and windows in lattice work. The Kashmiri houseboat, made entirely of a specially seasoned wood that does not warp in water, is a visual delight. Hoshiarpur (Punjab) Wood workers here specialise in inlaying ivory, now

more or less replaced by plastic due to its low cost. Intricate designs have received royal patronage some generations ago. Wooden furniture, trays and mirror frames repeat certain basic motifs and ornamentation derived from nature. Saharanpur (Uttar Pradesh) This is the most flourishing commercial centre for woodcarving. Sheesham and Teak are used for the smallscale manufacturing of traditional, as well as modern products, such as, screens, cigarette boxes, tables, trivets, bookends, etc. Saharanpur now also concentrates on wood seasoning or the preparation of wood before it is crafted, by mellowing it and making it proof resistant against cracking and splitting. Kerala Woodcrafts in the state of Kerala, ‘God’s Own Country,’ vary from household furniture to animal figures, which is a major economic and cultural activity. Carvings from Kerala represent its tradition and borrow strongly from spiritual values and thoughts. Other areas West Bengal has its own tradition of strong folk carving. Carved figures, furniture, cabinets, jewellery boxes, chests and lamp stands produced in Bihar, are noted for their elegant designs. Orissa excels in making beautiful dowry chests of painted wood, in addition to carved figures of Lord Jagannath and the temple at Puri. Andhra Pradesh is known for its colourful Kondapalli toys. Appendix 12 MARKET & OPPORTUNITIES Key players Godrej & Boyce Manufacturing Co. Ltd. • It is a part of the Godrej Group and was incorporated in 1932. The Godrej Group recorded revenues of around US$ 513 million in FY’06 • It mainly manufactures consumer products, office equipment, consumer appliances, chemicals, agro products, security equipment, industrial products and offer office automation and storage solutions • The company’s manufacturing facility is located in Mumbai, Maharastra • The company has exclusive showrooms and dealer outlets across India Featherlite • Featherlite is one of India’s largest furniture manufacturing companies and was started in 1965 • Featherlite has been retailing furniture for the past 20 years and the first outlet was opened in Bangalore in 1987 • The company has a state-of-the-art manufacturing plant and is engaged in continuous R&D • The company’s manufacturing plants are located in Bangalore and Hosur. It has a presence in 22 locations across India • It has around 25 exclusive showrooms in Mumbai, Chennai, Bangalore, Delhi, Kolkata and Hyderabad. It manufactures around 20, 000 chairs and 3, 400 workstations per month. 35 per cent of the total production is sold through retail outlets • The company has an employee strength of 500, which includes architects, interior designers and others Style Spa • Style Spa Furniture Limited is promoted by the Zuari-Chambal Group. Established in India in 1997, to manufacture and retail furniture, the company is headquartered in Chennai • The US$ 15 million manufacturing facility at Kakkalur, near Chennai, in the state of Tamil Nadu, is a sophisticated and fully automated plant, which is one of Asia’s most modern and largest manufacturing facilities. The ISO-certified plant produces around 0.2 million furniture pieces annually • The company manufactures home and office furniture that is retailed through about 92 exclusive retail outlets, spread across the country • The company also provides after sales services through its showrooms Millennium Lifestyle • Millennium Lifestyle is a family owned enterprise incorporated in 1999. The family had nearly 75 years of experience in retailing Indian art and antiques • Millennium Lifestyle offers a one-stop solution to cater to the customers’ complete furniture requirements, as it offers a wide range of furniture from around the world under one roof • A number of brands across various product categories are sold from the company’s retail stores - ArteM, Divani, Loddenkemper, RioArt, Sauder, Sherwood and Softplus. Millennium Lifestyle has its showrooms spread across the two southern Indian cities of Bangalore and Hyderabad • The company also provides the ‘designing your own interior sitting at home’ service with the help of an online interactive room designer Durian • Durian is a major player in imported furniture, offering living, bedroom, dining room and office furniture • The company has been set up by the Dokania Group, which has been involved in plywood manufacturing for about 25 years • Durian has over 40 imported furniture showrooms in the country • The company also offers free interior

design consultancy and free delivery and furniture installation Nilkamal • Nilkamal Group of Companies has a turnover of over US$ 125 million. It is the leader in plastic moulded furniture • The company has diversified into the lifestyle furniture business by launching @home, which is a complete home solution store offering contemporary readymade wooden furniture. The company has eight manufacturing locations in India. It also has joint ventures in Bangladesh and Sri Lanka FURNITURE 13 • It provides services like design solutions, professional guidance and interest free loans, besides furniture and accessories • The main strengths of the Group are a 350-member wide direct sales network, a 350-plus strong dealer network, 33 regional offices in all major Indian industrial cities and 24 warehouses all over India and a warehousing facility along with a marketing office in the UAE