Steelcase, a Michigan-based comfort office seating and work solutions brand said it aims to capture more than 50% of share in India’s ‘performance seating’ market in the next three to four years.
The country’s organised office furniture market is pegged at ₹5,000 crore, of which the high-end segment accounts for ₹3,000 crore and comprises ₹1,500-2,000 crore high-end performance seating by international brands, according to an estimate by Steelcase.
“‘We are targeting a 50% market share in India’s premium and performance work seating space in the next 3 to 4 years,” Tirthankar Basu, India Managing Director, Steelcase, told The Hindu . “This pie [share] was some ₹200 crore when we entered the country over two decades ago and now it’s quite sizeable in the ₹1,500-2,000 crore market. We are very passionate about this growing pie.’‘
Steelcase was already leading this segment by volume and value with a leadership margin of 5% to 8% depending on product categories, he said. The company has a mechanised facility in Pune to manufacture multiple products, including seating solutions. The factory, which employs more than 200 people, currently has manufacturing capacity of 2 lakh chairs of different styles a year. According to Mr. Basu, India is a leader, both in terms of scale and potential , and a lead player in Asia Pacific.
Today, the trend is that people want to work anywhere from the office. Different teams are using different seating spaces to execute different tasks, instead of each one having dedicated chairs, he explained. “So, companies want to give a diverse palate of choice without increasing the square foot space and real estate cost.”
Steelcase, which posted a revenue of $3.2 billion in calendar 2023, is the only international furniture brand with three factories in the Asia Pacific region: China, Malaysia and India, according to Mr. Basu.
As part of its market expansion initiatives, Steelcase is also exploring exclusive collaborations through partners and broadening its product range to modular furniture, meeting rooms, and tables, he added. Courtesy: https://www.thehindu.com/business/us-brand-steelcase-eyes-50-share-in-indias-2000-crore-performance-seating-mart/article68251836.ece