U.S.-based office furniture company Steelcase outlined a number of trends in furniture demand.

According to the company, advances in technology, changing workforce demographics, remote work, changes in work styles and behaviors, and the globalization of business have been changing the world of work and impacting the types and quantities of products and services in the workplace. 

Headquartered in Grand Rapids, Michigan, Steelcase focuses on the design and manufacture of furniture, technology products and interior architecture. 

In recent years, the trends described above have resulted in changes such as:

• A decrease in the overall demand for office furniture by corporate customers.
• An increase in demand for products that support individual privacy and focused work.
• Renewal of work environments.
• An increase in demand for products that facilitate distributed collaboration, including those that enhance remote work experiences.
• An increase in demand for auxiliary furniture for social and collaborative spaces in office environments,
• Customer interest in a wider range of price, quality and warranty coverage.

Furniture demand

These trends have also had an impact on Steelcase’s competitive landscape, including the emergence of smaller competitors in office furniture, (increased competition from technology and residential furniture companies, diversification of competitors into other industries, consolidation in our industry, and an increase in the number of customers outsourcing workplace management to real estate management services companies and flexible real estate providers.

Challenges

In particular, the furniture industry is sensitive to cyclical variations in the general economy and current macroeconomic uncertainties, persistent inflation, higher interest rates and a sluggish real estate market.

The company competes on a variety of factors, including: strength of dealer and other distributor network; brand recognition and reputation; commitments to sustainable product design; research expertise; breadth of global reach and product portfolio; product design and features; price, lead time and service; product quality; and relationships with customers and key influencers, such as architects, designers and real estate managers.