Auditorium & Stadium Seating Procurement Category Market Research Report from IBISWorld Has Been Updated

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The price for auditorium and stadium seating has been rising over the past three years due to rising demand stemming from rising commercial construction and higher recreation expenditure; prices for seating are expected to continue rising due to higher construction and recreation expenditure as well as increasing government funding for colleges and universities, further driving demand. For these reasons and to help procurement professionals make better buying decisions faster, business intelligence firm IBISWorld has updated a report on the procurement of auditorium & stadium seating in its growing collection of procurement category market research reports.

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Prices have been increasing due to rising demand stemming from higher commercial construction and recreation expenditure

Auditorium and stadium seating has a buyer power score of 3.4 out of 5. According to IBISWorld analyst Michelle Hovanetz, this score indicates that buyers in this market experience a moderate level of negotiating power due to stable price trends, financially stable suppliers and a low level of product specialization. However, continuously rising prices and a lack of viable substitutes negatively impact buyer power.

Prices have been rising very slowly over the past three years, benefiting buyers. Additionally, low price volatility has been aiding buyers in this market, continues Hovanetz. There is a low risk of drastic price fluctuations, making it easier for buyers to plan and budget for purchases. Additionally, slow price growth lessens the urgency of making a purchase, allowing buyers to spend as much time as needed to negotiate the best deal. While prices are expected rise at a slightly higher rate in the three years to 2017, low volatility will continue to benefit buyers.

The financial stability of the average supplier indicates a lower risk of supplier bankruptcies, thereby reducing the risk associated with potential discontinuity of service. Auditorium and stadium seating suppliers include KI, American Seating and Hussey Seating Company. With the average supplier not at risk of bankruptcy, buyers choosing a vendor can be more confident that the company will not go out of business during the length of the contract, increasing buyer power. Low product specialization also helps to increase buyer power by boosting competition among suppliers and helping to ensure that buyers can switch from one supplier to another without significant differences in product quality.

Several factors hamper buyer power in this market, however. For example, growing demand and rising production costs for seating have caused suppliers to increase their prices. Prices are expected to continue growing at a faster rate during the three years to 2017. In addition, the absence of viable substitutes harms buyer power significantly. Buyers have no alternatives in this market, making them reliant of the prevailing market price of auditorium and stadium seating. For more information, visit IBISWorld’s auditorium & stadium seating procurement category market research report page.

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IBISWorld Procurement Report Key Topics

This report is intended to assist buyers of auditorium and stadium seating, which are used in arenas, stadiums, theaters and auditoriums. Stadium seats are typically purchased in rows and can be cushioned and upholstered or constructed primarily of plastic. This report includes both indoor and outdoor stadium seating and excludes office seating and all other furniture products.

Executive Summary
Pricing Environment
Price Fundamentals
Benchmark Price
Pricing Model
Price Drivers
Recent Price Trend
Price Forecast
Product Characteristics
Product Life Cycle
Total Cost of Ownership
Product Specialization
Substitute Goods
Regulation
Quality Control
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Imports
Competitive Environment
Market Share Concentration
Market Profitability
Switching Costs
Purchasing Process
Buying Basics
Buying Lead Time
Selection Process
Key RFP Elements
Negotiation Questions
Buyer Power Factors
Key Statistics

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.

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Gavin Smith
IBISWorld Inc.
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