DEVELOPMENTAL PLAN TO

LAUNCH GOURMET
FURNISHERS ON AN
INTERNATIONAL PLATFORM
Final project-POM

Submitted To:
Sir Salman Ali Khan
Submitted By:
Faryal Arshad 01-111212-075
Maryam Maqbool 01-11212-114
Zeeshan Ali 01-111212-315
M. Hamza Akhter 01-111212-146
Table of Contents
INTRODUCTION...........................................................................................................................................3
Executive summary of the furniture industry..............................................................................................3
Selling The Story......................................................................................................................................3
Significance of pakistani furniture in the uk...........................................................................................4
Place distribution strategy...........................................................................................................................4
Impression Of Brand....................................................................................................................................5
1. Gourmet Homes and Furnitures......................................................................................................5
2. Objectives of the brand:..................................................................................................................5
Product strategy..........................................................................................................................................5
Market entering strategy in the United Kingdom:.......................................................................................6
Segmentation..............................................................................................................................................6
1. Geographic segmentation...............................................................................................................6
2. Inter-Market Segmentation.............................................................................................................6
3. Demographic Segmentation............................................................................................................6
Joint Venture...............................................................................................................................................6
Pricing strategy............................................................................................................................................7
Communication strategy:............................................................................................................................7
1. Verbal:.............................................................................................................................................7
2. Visual communication:....................................................................................................................7
a) Advertisement:............................................................................................................................7
b) Website advertising:....................................................................................................................7
c) Non-verbal communication:........................................................................................................8
Role of E-commerce:...................................................................................................................................8
Differentiation:............................................................................................................................................9
Market trends of the UK..............................................................................................................................9
Situation analysis.......................................................................................................................................10
Competitor analysis...................................................................................................................................10
SWOT ANALYSIS:.......................................................................................................................................10
Extended 3Ps:............................................................................................................................................11
1. Process:.........................................................................................................................................11

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 2. Physical evidence:..........................................................................................................................11
3. People:...........................................................................................................................................12
PESTLES ANALYSIS:....................................................................................................................................12
1. Political factor:...............................................................................................................................12
2. Economic factor:............................................................................................................................12
3. Socio-Cultural factor:.....................................................................................................................12
4. Technological factor:.....................................................................................................................12
5. Environmental factor:....................................................................................................................12
6. Legal factor:...................................................................................................................................12
Conclusion:................................................................................................................................................12

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Introduction

Executive summary of the furniture industry

Building a successful furniture business demands more than just creating beautiful furniture. A
furniture marketing strategy is a blueprint to making potential customers think of the brand when
they’re ready to commit (Plytix, 2019). Most buyers see furniture as a long-term relationship,
which means product needs to be in front of the right people at the right time so they make a
lasting impression.

Selling The Story

A Good story makes us think, feel, and speaks to us in ways that numbers, data, and
presentation simply can't. The strongest stories tap into people's emotions, genuinely connect
with them, and help them believe in a business and what it stands for. (Forbes, n.d.)

Chiniot is one of the ancient cities in the subcontinent. Rigveda, the holy book of Hinduism,
mentions the city by the name of Egen. Additionally, the city is famous for the history of its
remarkable furniture. Furniture work started in the city around 250 years ago along the art of
wood carving. People from abroad used to visit the city just to purchase furniture. British officers
sent Chiniot furniture to other countries as a gesture of friendship. In such a way, Chiniot
became famous throughout the world for their exceptional work in furniture. Chiniot became a
hub for the sale of furniture to different parts of the country and exports across the world. The
city presents a beautiful blend of modern and classical furniture designs.

The rich handicraft and beautiful traditional attributes of art and design of the Chiniot furniture
have established a reputation of the Pakistani Furniture Industry in the nation and worldwide.
Pakistan’s furniture market is believed to be worth around $3 billion. The global furniture market
size is expected to be worth over $700 billion in a couple of years. (Ahmed, k 2019,” the
odyssey of Pakistan furniture”)

Making people realize about the business antique presence in the country will make people
believe about its authenticity and historical importance which may urge them to buy it.

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Significance of Pakistani furniture in the UK
According to the trading economic report of 2020 1.79 billion British pounds worth of furniture,
goods were imported from non-European countries where Pakistan exports made up $24. 07m.
The national organization for this industry is The British Furniture Confederation.

Place distribution strategy

Nearly one out of four people in Birmingham is South Asian. After white British, which makes up
51% of the city's population, Pakistanis are the largest ethnic community (13.5%), followed by
Indians (6%)

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Impression Of Brand

1. Gourmet Homes and Furniture

Gourmet is one of Pakistan's finest and most reliable furniture that comes under the parent
company of gourmet corporation. Gourmet over the years has occupied a large share of
Pakistani furniture retail. Gourmet furniture offers a unique blend of contemporary and classical,
accessories and fully furnished houses

2. Objectives of the brand:

The focus areas of gourmet furniture are:

 To facilitate consumers of rapid lifestyle by offering a vast range of international quality

products.
 To expand the product line as per the need and demands of consumers.

Product strategy

Research-based on google statistics by Blind huts states the 10 most sold furniture products in
the United Kingdom.

1. Sofa Bed
2. Bed
3. Corner Sofa
4. Bedside Table
5. Dressing Table
6. Coffee Table
7. Floor Lamps
8. Ceiling Light shade
9. Desk
10. Dining table

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Market entering strategy in the United Kingdom:

Segmentation

1. Geographic segmentation
The second-largest city Birmingham is home to a wide array of south Asian communities and is
growing rapidly, gourmet furnishers will provide the opportunity to this community to redesign
their house and make it a home and it will connect them to their traditional roots and create a
sense of nostalgia and keep the spirit of their cultures alive in the upcoming generations.

2. Inter-Market Segmentation
The United Kingdom has two main suppliers for its furniture trade with the world: the European
Community and Asia and Oceania. furniture imported from the countries in Asia and Oceania
had the highest value at nearly 3.15 billion British pounds. (Statista C. Simionato , Jan 13, 2022)

3. Demographic Segmentation
In 2020, UK households purchased approximately 14.4 billion British pounds worth of furniture.
The statistic illustrates the average weekly household expenditure on furniture and furnishings
in the United Kingdom (UK) in 2020, by age of household reference person. Respondents with a
household reference person aged 50 to 64 spent an average of roughly 20 British pounds a
week on furniture and other home furnishings. The average weekly expenditure among all
households amounted to 16.60 British pounds.  (Statista, Simionato, Jan 13, 2022)

The Consumer Buying Trends Survey conducted by Furniture Today shows

that millennials have become the largest consumer group in the US furniture and bedding
market. In 2014, they represented 37% of the market, a significant increase compared to the
14% they represented in 2012.

Joint Venture

A joint venture is a common way of combining the resources and expertise of two otherwise
unrelated companies. There are many benefits to this type of partnership, but it is not without
risks - arrangements of this sort can be highly complex.

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A joint venture will be carried out between a local thriving UK furniture brand and the company
to launch a certain product to make the products more relevant to the local consumers as this
can fetch their trust.

Pricing strategy

As the products are being sold in the potential market of UK. Value-based pricing is exhibited,
the difference between the cost of production and launching prices adds up to the profit of total
sales. The pricing of the product is set as such to make the consumer believe they are provided
with the best value to their prices. As the product is being exported from Pakistan the price
ranges of some of the most used furniture sets are set to be as followed

Sofa set: (899£ - 1499£)

All sofa sets range from most luxury to the simplest but comfy models.

Dining table: (1295£ - 1895£)

in the UK, there is a brand called Simply Bedrooms. This company sells a bed set for up to
1200£, or 288,383PKR. on contrary, Gourmet furnishers, provide affordable prices starting at
1,50000. The major goal for a reasonable price is to target every class in the UK.

Communication strategy:

1. Verbal:
Listening to the customer’s reviews helps a company to speak its customers’ language.
Gourmet furnishers recognize their customers’ interest and make the furniture according to that.

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Customers should be free to give their reviews. Asking questions regarding the article and order
placement on the web or give them a call. The website contains the number that can be dialed
anytime, and the workers respond to all the phone calls in a friendly way.

2. Visual communication:
3. Advertisement:
Advertising the product in the target market through televisions and on the screens by the road.
Visual representation of the furniture helps the audience to get a clear idea about the product.

4. Website advertising:
Simple attractive visuals and animations of furniture spaces express the designer's intent and
product functionality, and so play an important part in sales. In today's market, adopting visual
tools to experiment with furniture designs is essential.

5. Non-verbal communication:
Customers can be targeted in non-verbal communication through billboards. Attracted by the
handmade furniture.

Role of E-commerce:

Furniture makers from Chiniot are turning towards e-commerce to enhance their sales in
addition to focusing on enhancing exports. According to the results of the 2020 Statista Global
Consumer survey, 21% of UK consumers purchased furniture and household goods online in
the previous year, with 30% claiming to rely on the internet for product information. e.g.

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According to the analysis, as of 2020, Amazon alone will make roughly 2.1 billion dollars in
income. Currys.co.pk suggests, furniture sales 1.5 billion dollars. Targeting every class in the
UK is the main purpose for a reasonable price.

Differentiation:

Chiniot furniture is a place known for producing beautiful wooden carved furniture from a wood
called Sheesham, Indian Rosewood. Advantage of Sheesham wood is that it lasts for 100
years. According to global analysis, after taking tests of 100s of woods, Sheesham was the 3 rd
best wood in the world. It is strong and adjusts itself according to the weather, in winters, it
swells and in summer, it shrinks back to its original shape. (The Express Tribune, 2021)

Market trends of the UK

According to designers of minimalist furnishings, the following are the trends in furniture that
will be seen in 2022:

 Curvaceous Lines
 Textured Surfaces (The Spruce, 2021)

Situation analysis

The outbreak of COVID-19 is expected to have positive results on industry performance. In

2020-21, industry revenue increased increase by 3.8% (IBIS World, Furniture, Lighting &
Homeware Retailers in the UK, December 2020).

Furniture, lighting, and homeware retailers have benefited, and industry revenue is to reach
£14.6 billion from strong pent-up demand from the property market (Mintel, Furniture Retailing:
Inc Impact of COVID-19 – UK, July 2020).

Competitor analysis

Business Gateway’s Competitor Analysis describes the effective methods to be on the lookout
for competitors in the United Kingdom.

 General business directories such as Yell, Thomson Local, or Google Maps

 Trade specialists like Euro Pages (European directory)

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One of the main competitors in the Indian market holds a 6.3% market share in the UK.
(Abhishek, J 2020, UK Furniture Market - Data, Trends, Top Stores, ecommercedb.com.

As the report suggests Artisan furniture an Indian brand will challenge our product as they are
present in the United Kingdom who are providing handcrafted furniture at a low range price. The
CEO of artisan furniture is expecting to hit 10 million sales by the end of 2022. Rozario, K 2021,
How Indian Artisans Helped a British Furniture Business Hit $10 Million In Sales, Forbes.

SWOT ANALYSIS:

Growing urbanization Lack of raw material

Large outlets and brand providing Significant competition.
high quality products Reliance on traditional procedure.

STRENGTHS WEAKNESSES

OPPORTUNITIES THREATS
Reduced purchasing power of Trend Of Online Shopping.
customers. Frequent Changes In Fashion And
Large international players eyeing Trends
pakistani market.

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Extended 3Ps:

1. Process:
 The product being the visual part of the company will be created by talented craftsmen.
The furniture provided is handmade.
 Trends are followed.

2. Physical evidence:
Gourmet furnishers have all the clear images of their products. Online market competition helps
a company to enhance the quality (Anon, 2021) Providing a store layout helps customers with
an experience of more than shopping, as they can easily select the product.

3. People:
The products depend on the services of the seller and suppliers. It creates no differences based
on race, ethnicity, or religion. For example, IKEA employees feel that they are honest people
who are passionate about home furnishings. Employee culture is centered on friendliness,
ambition, and good times. (Zigu, 2021)

PESTLES ANALYSIS:

1. Political factor:
The political factor for the UK industry is a fine and stable government. There are no challenges
from the political side in the UK for the furniture retail industry.

2. Economic factor:
In the times to come, the customers would be unwilling as well as unable to make large
purchases. This is due to the situation created by covid-19 and its impact on the global
economy

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 3. Socio-Cultural factor:
The Asian communities, as well as the British community, will not be afraid to accept the brand
due to the rich familiarization of Chiniot furniture.

4. Technological factor:
As the marketplace is literally in the palm of our hands. We can offer our products, promotional
packages and sales can directly on the official website, social media platforms and app.

5. Environmental factor:
Sustainable and renewable energy resources are employed to reduce the impact on the
environment.

6. Legal factor:
Gourmet furnishers are updated with the laws of the country. It is ensured that the products are
safe whilst withholding their reputation in the market.

Conclusion:

Gourmet furnishers offer Chiniot furniture to their customers at a reasonable price. Customers’
choices and trends are prioritized. Birmingham UK is the targeted market where all the market
strategies are applied. This venture is to be launched internationally to represent the authenticity
of the craftsmanship of Pakistan. This report represents how the furniture industry of Pakistan is
reputable in the market of the UK.

Bibliography

1. https://www.statista.com/statistics/308566/uk-united-kingdom-furniture-imports-
value-by-continent-of-origin/
2. https://www.pakistangulfeconomist.com/2019/10/07/the-odyssey-of-pakistani-
furniture-sector
3. https://www.nibusinessinfo.co.uk/content/joint-venture-advantages-and-
disadvantages)
4. Anon, (2021). Furniture Shops in Chiniot - Gourmet Homes & Furnishers. [online]
Available at: https://gourmetfurnishers.com/furniture-shops-in-chiniot/ [Accessed 20
Jan. 2022].
5. Csek Creative - New Site. (n.d.). Using the 3 P’s in service based businesses’
marketing mix. [online] Available at: https://www.csekcreative.com/the-3-p-s-of-
service-marketing/

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 6. https://www.birmingham.gov.uk/info/50265/supporting_healthier_communities/
2438/ethnic_communities/2
7. https://ecommercedb.com/en/markets/gb/furniture-appliances
8. https://www.tpci.in/indiabusinesstrade/blogs/furniture-industry-a-sunshine-sector-for-
india/
9. https://www.forbes.com/sites/kevinrozario/2021/12/31/how-indian-artisans-helped-a-
british-furniture-business-hit-10-million-in-sales/
10. https://www.idealhome.co.uk/news/most-popular-furniture-item-2020-251135/amp
11. Zigu (2021). IKEA Marketing Mix (4Ps) Strategy | MBA Skool-Study.Learn.Share.
[online] MBA Skool-Study.Learn.Share. Available at:
https://www.mbaskool.com/marketing-mix/services/17066-ikea.html.
12. https://www.alliedmarketresearch.com/furniture-market#:~:text=The%20global
%20furniture%20market%20is,RTA%2C%20residential%2C%20and
%20commercial.&text=In%20addition%2C%20the%20increase%20in,further
%20drive%20the%20market%20growth.
13. https://www.mordorintelligence.com/industry-reports/uk-home-decor-market
14. https://www.furniturenews.net/news/articles/2021/08/1487085825-strong-pandemic-
performance-furniture-sector-reports-bfm
15. https://britishfurnitureconfederation.org.uk/about-the-industry/
16. https://www.statista.com/statistics/301022/annual-expenditure-on-furniture-and-
furnishings-in-the-united-kingdom-uk/
17. https://www.iconography.co.uk/news-past-present-future-furniture-ecommerce
18. https://www.theguardian.com/business/2020/oct/10/covid-boom-uk-furniture-firms-
sitting-pretty
19. http://etheses.lse.ac.uk/2348/1/Martin__politics-patronage--acknowledgements-
removed-note.pdf
20. https://aboutmanchester.co.uk/5-major-trends-in-the-furniture-industry-for-2020/

Sr. Activity Title Discussion Actions, Responsibilities & Deadlines Agreed

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No. and Date Areas
Syndicates were formed
1 Room BS-4 Tasks were distributed. (15 January)
Discussed unit study in a
meeting called Madina
2 References were to be collected. (16 January)
market, OLC

Task Execution
Home, zoom All the references and work were submitted by
3
meeting the group. (19 January)

Compiling final work with

Compiling and conclusion were done. (20
4 the group meeting Business café
January)

Team
Sr. Deadline Deadline Individual’s
Member’s Role/s Assigned Tasks
No. date met comments
Name

 Introduction
 Selling the story
 Significance.
Group  Objectives.
leader  BCG matrix.
Faryal Role of e- 19
1  18 January
Arshad Data January
commerce.
collector  Situation
analysis.
 Competitor
analysis.
 Pestle analysis
 Introduction.
 Selling the
Hamza Data story. 19
2  Market 18 January
Akhtar collector January
strategy.
 Joint venture
 Pricing strategy.
 Place
distribution.
Data  Role of e- 19
3 Zeeshan Ali 18 January
collector commerce. January
 Competitors’
analysis.
 Product
Maryam Data strategy. 19
4 18 January
Maqbool collector  Communication January
strategy.

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 Role of e-
commerce.
 Market trends.
 SWOT analysis.
 Conclusion.

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