The European Wood Coatings Market Total market size: 1.25
billion 400,000 tonnes
Slide 5
Furniture Coatings: Options for Growth Markets New Existing
Products NewExisting Market Penetration Market Development Product
Development
Slide 6
How to Penetrate the Market: Find Out What End-Users Want 140
end-users interviewed Smallest customer uses approx. 1 tpa Largest
customers purchased over 200 tpa Total annual consumption (for
end-users) estimated at 5,500 ktpa
Slide 7
Structure of the Analysis The Purchasing Process Customer Needs
Supplier Performance Market Positioning of the Leading
Suppliers
Slide 8
Purchasing Process (1) "we currently meet every two months, as
we are using new products; then when they are put in action, twice
a year With e- mail there is no point in seeing each other all the
time." How Often do End-Users See Their Suppliers?
Slide 9
Purchasing Process (2) Are They Happy with This? Generally
satisfiedGenerally not satisfied
Slide 10
Purchasing Process (3) How Many Suppliers do They Use? "You
should not put all your eggs in one basket. We have most of the big
suppliers, their products are satisfactory but it's better to have
several in case you can't get hold of something at a particular
time, then you can contact one of your other suppliers."
Slide 11
Customer Needs: What are They? Product range is not so
important considering the fact that we have more than one supplier
and whenever one lacks a certain type of product, there is always
one of the others that can usually provide us with it.
Slide 12
Customer Needs (2): Who Considers Technical Service Important?
Generally speaking it's the after sales support that needs working
on, for instance Milesi who want to mass produce and supply on a
large scale but cannot supply you with a few litres.
Slide 13
Customer Needs (3): What are the Important Product
Attributes?
Slide 14
Supplier Performance (1): Comparison of Customer
Satisfaction
Slide 15
Supplier Performance (2) Where is Customer Service
Lacking?
Slide 16
Market Positioning of the Leading Suppliers Do their customers
have different needs from the overall market? Do their customers
feel they are better in these areas than the overall market? Are
customer needs and strengths in line with each other?
Slide 17
Market Positioning of Akzo Nobel In the past, it had
occasionally occurred that there have been some technical
misunderstandings on the hardness or flexibility of a paint [from
Akzo], but any problem has always been solved co-operatively.
NeedsPerformance Whole MarketAkzo Nobel Customers
Slide 18
Market Positioning of Arch Coatings NeedsPerformance Hickson
are good because they always let me know what is happening. If
Hickson puts the price up, as it fluctuates with oil prices a bit,
they would notify me in writing which products are going up. Whole
MarketArch Customers
Slide 19
Market Positioning of Becker Acroma NeedsPerformance I use ICN
who developed smaller quantity products for us. I have a good
contact with them... I just give them a ring and they are able to
come rapidly, which is fantastic, really good service. It would be
good if Beckers [themselves] could be as proactive. Whole
MarketBecker Acroma Customers
Slide 20
Market Positioning of IVM NeedsPerformance I shook [another
supplier] up about it last week, and this morning again, and waved
Milesi in their face. I am using the Milesi water-based tints and
they are performing. Whole MarketIVM Customers
Slide 21
Know your Customers in the Furniture Industry None of the four
biggest suppliers is the same, either in the needs of their
customers or in the areas in which they perform well. In an
industry where consolidation has been the over-riding focus of
attention in recent times, it is apparent that there is still
genuine choice in the market.