Prices are expected to rise at a faster rate over the next three years as demand and the price of key inputs continue to increase
Los Angeles, California (PRWEB) September 11, 2014
Conference tables have a buyer power score of 3.2 out of 5. This score reflects fairly neutral market conditions for buyers. Buyers benefit from the low level of specialization in this market. IBISWorld market research analyst Michelle Hovanetz says, "While conference tables can be customized, they are most commonly mass produced, and differences between tables are largely cosmetic." As a result, buyers have a wide availability of product and supplier options to meet their needs, with an estimated 25,000 suppliers providing conference tables at the manufacturing, wholesale and retail levels. The top four suppliers account for less than a quarter of total market revenue, indicating a low level of market share concentration. This trend results in a high level of price-based competition, benefiting buyers. Major vendors in the market include Steelcase, Herman Miller, HNI and Haworth.
Recovering demand in the years following the recession has contributed to slight price growth over the past three years. "Corporate profit, the number of US businesses and private nonresidential construction have all increased over this period, driving demand for conference tables and increasing prices," says Hovanetz. Over the next three years, prices are forecast to rise at a more faster pace, resulting in lower buyer power.
The supply chain for conference tables reflects a medium level of risk. Raw materials, such as sawmill lumber, plastic and steel, can experience high levels of price volatility, depending on supply and demand. Volatility in input prices makes purchasing costs more difficult for suppliers to anticipate, and rising input costs can be passed onto buyers. This supply chain risk can diminish buyer power. However, suppliers compete significantly on price, as reflected in low average profit margins. Thus, over the past three years, prices for conference tables have not been as volatile as prices for raw material inputs, though supplier margins, and therefore supplier financial risk, has suffered as a result. For more information, visit IBISWorld’s Conference Tables procurement category market research report page.
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IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of conference tables. Conference tables are manufactured from wood and nonwood materials. Manufacturers have the ability to customize these products according to the buyer’s needs. This report excludes all other office furniture, such as credenzas, filing cabinets, chairs and drafting tables.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.