Floor to ceiling cabinetry and growing middle class driving worldwide cabinet sales
September 3, 2018 | 3:52 pm CDT
DUBLIN, Ireland - The "Global Cabinets Market 2018-2022" report has been added to ResearchAndMarkets.com's offering.
Floor-to-ceiling cabinets are gaining popularity among end users as they provide enhanced aesthetic looks, the study says. These cabinets also solve storage issues by providing more space, as they have a greater height than traditional cabinets. The several benefits of floor-to-ceiling cabinets are resulting in increased adoption of these type of cabinets in residential properties which in turn will drive the growth of the global cabinets market.
According to the report, one of the major drivers for this market is the increasing number of construction activities across the globe. The rise in per capita income of people in developing countries such as India, China and South Africa have led to the rise in construction of residential and commercial properties. Since, cabinets are a major constituent of homes, superstores, lodges and resorts, the demand for cabinets will increase, leading to the growth of the cabinets market.
Further, the report states that one of the major factors hindering the growth of this market is the fluctuations in the price of raw material. Softwood lumber is one of the primary raw material for cabinets. The cost of softwood lumber is dependent on global economic performance and price elasticity. Any fluctuation in raw material price will impact the price margin of vendors competing in this highly fragmented market, which in turn will have a negative influence on the cabinets market.
U.K.-based Howdens Joinery
The global cabinets market is anticipated to grow at a CAGR of 5.11% during the period 2018-2022. The report says top vendors covered include American Woodmark, MasterBrand (Fortune Brands Home & Security), U.K.-based Howden Joinery, Inter IKEA Systems, and Germany's Nobia.
Nobia, a 6,000 employee firm that dominates the German market and is a strong contender in U.K. as well, intends to expand in other European markets. In July Nobia acquired a 270-employee Dutch cabinet firm, Bribus, for €60 million in July. It divested Poggenpohl in 2017 and began moves against Ikea in the Nordic markets.
"This acquisition is the first step in our growth strategy to expand to attractive and adjacent kitchen markets," says Morten Falkenberg, president and CEO of Nobia. "Bribus has a strong offer and a number one position in the Dutch project market for kitchens, and we see good growth potential and opportunities for further expansion."
Bribus supplies kitchens to professional customers in the Netherlands. Kitchens are produced in a modern factory located in Dinxperlo in the eastern part of Netherlands. Bribus provides a full service offering to its customers, including installation and appliances. Revenues for 2017 were approximately € 65 million.
The report has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.
Key Global Cabinetry Market Trends
- Increasing Use of Floor-To-Ceiling Cabinets
- Rising Adoption of Customized Cabinets
- Increasing Use of DIY Cabinets in Emerging Economies
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