When the United States got hit by the 2008/09 recession and the subsequent downward trend on the property market, the home ware industry suffered a big blow. Some say it was one of the hardest hit industries and has always been that way whenever the economy is facing trouble. Information available here However, according to financial services giant, Standard &Poor, this industry is doing much better and is more resilient than most think it is. Compared to the auto, credit, and large appliance industries, home ware will most likely enjoy a modest growth in 2013.
The Next 3 Quarters
Top-of- the-line hardware will probably remain at a single digit growth just like other high-priced items. However, other items like bathroom accessories, linen, lighting, table and wall décor will continue to be favorite consumer items especially for those who want to preserve the value of their homes with minor renovations and to buy as gifts.
According to Standard & Poor, consumer spending in Europe will remain flat across most industries and this will slow down manufacturing in countries like China. Southeast Asia appears to be the region of highest stable growth. Click here for more information This is a key tip to companies looking to expand overseas and find a new market for their products.
In spite of the positive outlook, moderate to large U.S. companies selling home accessories are downsizing or restructuring their organizations to lower costs and protect their operating margins. There is also a move to improve productivity and product quality as well as focus on online marketing to reach new markets.
As most entrepreneurs know by now, small to large conglomerates are turning to the Internet and e-commerce as their best bet to stay viable. The growth of e-commerce has reached US$1 trillion last year. In the U.S. experts are predicting a 15% growth in sales with copycat figures for Australia and most Asian countries.
What This Means to Small to Medium Online Businesses
The Internet has become a great equalizer because websites can rank regardless of number of employees or income strata. There are many up-and-coming companies that are being recognized for their quality and service to the point of over passing larger companies because of their attention to customer satisfaction.
The earlier apprehension for trusting smaller online companies in e-commerce no longer exists. Security issues and fear of being hacked or taken advantage of have all but disappeared. Thank you for your interest Ordering online is a lot more convenient but more importantly, it makes products easily accessible. The need to join trade shows, travel cross-country, and spend on traditional print media to market your business is no longer as critical as it was before the Internet. And that’s great because home ware will always be a necessity and luxury at the same time; except now homeowners get a wider range of choice with the Internet which closes the gap as luxury becomes affordable.