We are all aware of the impact of the recession and its impact on consumer spending. Many businesses fail and some still struggle even now. For suppliers of expensive installed kitchens, this is especially true. When people control their expenses, an interior repair plan is one of the first things to do. MFIs show this with their closure in 2008.
As a result, only companies that innovate or have cash reserves to survive.
However, some retailers failed to see, while the deterioration in the purchase of public kitchens was clearly proven, there are segments that spend more than usual on kitchen equipment and furniture. Some people take advantage, but most do not know it happened.
There have been no changes in consumer habits such as declines, and even though the kitchen has been hit in sales, so have eating companies around the world. More and more people are staying and saving their money. Even though they stayed there, more were cooking; no doubt inspired by various cooking programs that were displayed on television during the recession. As their skills increase and their ambitions increase, more expensive and complicated equipment is needed.
One company to recognize this is SteelCuisine, a manufacturer of beautifully designed, professional range stoves. They produce a single unit to order premiums and have since become popular throughout Europe. They acknowledge that the prospective home cooks want to hold a show, to satisfy their guests with their culinary prowess. As a result, they began adjusting their stoves with barbeques and high fires to pan to create an impressive atmosphere.
Rangecookers.co.uk also acknowledged changes in purchasing patterns, consumers did avoid showrooms, but instead they bought online where 55% of their sales in 2010 came directly from online orders. So for kitchen retailers who struggle or fail in a recession, perhaps the lack of a website is the last nail in the coffin.
Amazon is sufficient proof of this, the amount of prestige goods for advanced culinary achievements in the 'most desirable for' section is extraordinary. Although this does not always indicate an increase in purchase of fittings, it illustrates the swing in culinary behavior staying at home.
So what does this mean for kitchen suppliers? Well, because consumers become more 'understanding' their tastes and tastes will change. Your regular fitting kitchen will no longer satisfy their lifestyle and some kitchen suppliers will look to change their product ranges to attract these people. Magnets are famous for their TV advertising campaigns that talk about kitchens 'built around you' and they have websites that are easy to navigate so it seems that brands that have bespoke or semi-ordered offers are better than those who do not. Even Homebase is trying to move to the mid-range kitchen market by German kitchens to test marketing in selected stores in the UK through a partnership with Nobilia.
It seems then, that for kitchen suppliers who want to survive into the next economic boom, providing online communication channels and offering at least a bespoke kitchen offer is the way forward.
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