

The players are some the world’s top brands and while the concept has been around for quite some time now in the Gulf market, the idea of designing and delivering made-to-measure, trend-setting furniture is fast gaining ground.
More and more high-end customers are turning to world-renowned brands that operate in the market to deliver superior quality, made-to-fit furniture.
The contract furnishing market is huge and getting larger all the time, thanks to the hundreds of multi-million-dollar structures coming up across the Gulf.
With the frenetic construction activity in the Gulf showing no signs of easing up, the next few years will continue to be upbeat for the contract furnishing business.
“Business is growing and we believe that the next five years will see an increase in the demand of furnishing, especially when the big developers such as Emaar and Nakheel, start the handover of their new residential units. This definitely will have a positive effect on the furnishing market,” says Bernard Mouawad, contract sales manager of Ikea, UAE. “The UAE is considered as a competitive market and the presence of several players has meant that the competition levels are high and strong,”
While contract furnishers generally provide services on a project-to-project basis, some have managed to tie-up with certain developers to provide furnishing for their properties – as with the renowned Italian brand Selva’s recent tie-up with Dubai Properties.
Assessing the market share of brands is difficult as there are so many premium brands competing for a slice of the furnishing pie and many are playing it close to the chest.
Choice
The contract furnishing approach allows clients to combine a furniture mix with home accessories, fabrics and lighting offered by premium brands operating in the market. This gives homemakers, hotels, showrooms and corporate offices the flexibility to choose from a whole range of furnishing concepts ranging from classic to modern collections.
With Ikea, the advantages are perhaps even more since it is uniquely positioned to offer special furnishing packages for every size and budget.
“We provide comprehensive packages that take into account the changing needs/requirements of organisations,” says Mouawad. “With everything under one roof, Ikea has a wide choice of quality products that give it the freedom and flexibility to try different product combinations when designing packages. Given the functionality of its packages, the ease of maintenance, the durability of its products, the five-year guarantee on its Sultan mattresses and sofa frames and on its Galant/Effectiv offices and 10-year guarantee on its kitchens, Ikea finds itself in a position to take on the competitors.”
Ikea entered the contract-furnishing arena in the UAE two years ago to cater to corporate offices and high-end residential apartments following a study of the UAE market.
“We identified a need for furnishing solutions,” says Mouawad, “and we were spot on and are riding high. We also believe that the present requirement will grow further in the future.
Given the proliferation of new office buildings and corporate residential areas, Ikea’s sales targets have been on track so far.
“The contract sales department has been on target. Our annual turnover for 2005 exceeded our expectations and we look forward to a similar outcome at the end of 2006.
“We are currently working with major five-star hotels in the UAE, various schools and airlines,” says Mouawad.
One way brands adopt to win projects is by first submitting a quote, then displaying the furniture and furnishing accessories in a mock-up apartment for the customer to have a clear picture on what the ready apartment would look like.
“The customer,” says Mouawad, “has the freedom to change items/details until he/she is completely satisfied and the final set is created.”
The contract furnishing facility of Ikea is currently exclusive to the UAE and there is a possibility that this global brand could spread its wings into other GCC markets.
So how does Ikea go about offering its tailor-made solution and products and what are the kinds of challenges its designers/managers face after winning a contract?
“All the products and solutions offered to our clients come from within the existing Ikea range,” says Mouawad. “It is a step-by-step process that is carried out with the constant approval from the client to make sure he is completely satisfied and has got exactly what he/she wants. With the industry being so very competitive, every project is a challenge, but that’s what makes each of them more interesting,” he adds.
Ikea has 6,500 items in its portfolio but this year its focus has been on kitchens and “we, as the supporting business unit of Ikea UAE, will complement this focus with our corporate clients,” says Mouawad.
“The range we offer is supported by the Ikea catalogue, the 2007 edition of which is now available at our stores in Dubai Festival City and Abu Dhabi. The highlight of this catalogue is that the prices are valid until August 2008, making it a handy item in itself,” he adds.
Meanwhile, the famous Italian luxury brand Selva has entered the Middle East market in a grand way with the signing up with Dubai Properties to showcase its range of custom-made furniture.
“Thanks to our tie-up with Dubai Properties, we are now able to provide discerning customers the opportunity to experience the ambience created by the range of unique Selva furniture,” says Carlo Moro, managing director of Selva Middle East.
The furnishing brand has set up Selva Middle East in Dubai through a strategic alliance with the Al Naboodah Group, one of the leading business houses in the region. The company records annual sales of around Dh350 million and sells its products globally through 3,000 dealers.
As part of its plans for the Middle East, Selva opened a showroom in Dubai, offering a vast array of timeless furniture creations and ideas. It offers a whole range of furnishing concepts for clients across the region. It currently exports to more than 50 countries and also has stores in London (UK), Moscow (Russia), Beijing (China) and Warsaw (Poland).
“Selva is committed to delivering superior quality furniture for various target groups across the Middle East and we are confident that customers will take the initiative to furnish their homes with a premium brand like Selva,” says Tanya Wakeham, manager, Selva.
Among the leading local contract furnishing companies is Al Aqili, which has emerged as a one-stop shop for furnishing needs, providing turnkey solutions to furnishings industry, carpets, curtains, fabrics, furniture and lighting – be it for residential, commercial, hospital, airports or hotel projects.
Al Aqili Furnishings has the sole distributorship rights and represents the world’s top brand names in furnishing industry from the US, Germany, Belgium, Austria, UK, France, Egypt, Japan, Australia, Italy, Istanbul, the Netherlands and other parts of the world.
The company specialises in contract furnishing and distribution and has achieved tremendous success in these sectors. Having captured a sizeable share of the UAE market, the company has penetrated the market across the region, including Oman, Qatar, Bahrain, Kuwait, Saudi Arabia and Yemen.
Being a major organisation undertaking projects of virtually any size and kind, the company has divided its activities under various divisions including contracts, distribution, design divisions and Crestwood interiors, Office Land, Curtain Land and BeLight (lighting division) and the recently-added RugLand.
The company has gained a reputation for bringing some exciting and modern furnishing products to the Middle East market – the most recent being innovations from Mutra, a leading manufacturer of curtain tracks from Spain and the Trimland range of trimmings from Turkey.
“Today, the company represents over 40 brands and boasts an exciting collection from world’s best furniture manufacturers. We have a lot to offer to our customers,” says a spokesman for the company.
Al Aqili provides complete design and technical support services through its Crestwood division which has immense experience in designing fashion boutiques, corporate offices, restaurants, bars, gymnasiums, banks, exhibition stands and hotels in the Middle East.
Among leaders in the office-furnishing sector is the UAE-based Juma Al Majid’s Office Furniture Department, which continues to maintain its market leadership position through its association with strong principals and the launch of new product lines.
Established in 1975, the department stocks office furniture brands from a network of more than 60 international suppliers, with a diverse range of office furniture, system furniture and accessories. Recently, the firm bagged the contract to furnish four branches of the Dubai Electricity and Water Authority (Dewa).
“The division imports products mainly from the US, UK, Italy, Japan, Thailand, and Malaysia and also undertakes contracts for prestigious projects throughout the UAE,” says a spokesman. “Al Juma’s furniture department has also successfully executed many such assignments, against stiff competition from local and international bidders,” he adds.
Another major player in the contract furnishing market is D&I Interiors and Furniture which has been in the business for 20 years.
“This is a huge market for contract furnishings and will grow bigger every year,” says Saji Abraham of D&I. The company has undertaken a number of prestigious turnkey projects and, over the last two years, has been contracted by Emaar to furnish projects at Emirates Hills in Dubai. Among the other projects handled include contract work for Nakheel, Al Habtoor and ETA Ascon.
“About 40 per cent of the contracts are from designing the interiors to installation,” says Saji, “but most contracts come designed and we only outfit them,” he adds. “Fine detailing, flawless finish and timebound deliveries have been the hallmark of D&I.
“We have the in-built capacity and capability to deliver large volumes to high-end projects in the shortest turnaround time,” says Saji.