AS competition hots up in Kenya’s furniture market, players are finding creative ways to differentiate themselves and grow their share.
The rise in construction of commercial and residential houses has led to a growing demand for furniture.
Competition, especially in the high-end segment of the market, is increasingly becoming fierce.
Established players including Fair Deal, Victoria Furniture’s and Odds & Ends are squaring it out for a share of the pie.
While analysts say there is enough room for more players, creativity is turning out as the game-changer.
Panesar’s Kenya, which sells locally-made furniture, has jumped onto the niche market’s innovation bandwagon.
Panesar’s furniture is targeted at the high end of the market, and brand executive Yeisha Hirani is upbeat about sales prospects among the rich homeowners and business moguls.
“We have put ourselves at the forefront with housing developments that cater to the same calibre and lifestyle that we orient ourselves with,” Hirani says.
Half of the Panesar’s revenue this year has largely come from the rising development of housing projects, he says.
“The economy as a whole is growing, local businesses are thriving more than ever, and their business owners, especially the young CEOs with their growing spending power, are taking control of the economic expansion and development,” he says.
Panesar, meanwhile, is expanding to include a modern style to satisfy the tastes of the younger generation.
“There is certainly a growth for modern design,” says Hirani. “With modernity comes innovation of improving storage facilities and optimising space, being multi-purpose, evolving with technology trends and new mechanisms.”
The company aims to grow by 25 per cent every year , and targets Sh1 billion turnover in five years. It plans to open four more showrooms, two in Kenya and the rest in the regional market.
“Our project-based market from developers averages 24.4 per cent of our total revenue per annum, while home- and business-owners bring in a revenue of about 45 per cent on average per annum,” Hirani says.