HIGH POINT — Home office performance relative to the industry in general was little more than flat in 2016, but for vendors and retailers really paying attention to the category when it comes to product development for the former and merchandising for the latter, it represents an opportunity for growth next year.
According to Furniture Today market research, home office sales should increase to $6.49 billion by year’s end, a 2.8% increase over 2015. That compares with an overall industry increase of 2.7% in 2016 to $104.8 billion in furniture and bedding sales. Last year, home office sales were up 3.5%, compared with a 3.9% increase overall.
Home office’s share of the furniture and bedding business remained steady at 6% of total industry sales.
As in home entertainment, modularity and space-friendliness that accommodates associated technology efficiently is a key in home office. Adjustable heights in desks remain another area of focus for vendors.
Home office is an exciting category at BDI.
“Having an efficient work environment within your home has become a very important need to many consumers. Developing functional and efficient products, all with exceptional design that improves not only how you work but is better for you as well, is an area we excel in,” said BDI President Lori Kelley. “For example, our power stand/sit lift desks, which provide a large work surface of micro etched tempered glass, offer a height position tailored to your own needs at the touch of a button. The height is adjustable from 25- to 50-inches overall, and with four memorized pre-set heights that you determine, it is really customized to individual needs.
“There are so many opportunities in this important category of product that we believe we have only just tapped into.”
Hooker Furniture Executive Vice President Hank Long said executive home office has slowed down somewhat in the last two years but is still very significant because of the dollar volume that comes with a five- to six-piece sale for a dedicated office room.
“Traditional styling remains the most popular style for (these) office products,” he said.
Long anticipates growth from Hooker Furniture’s Workwell program of freestanding desks with matching file cabinets, bookcase and utility cabinets.
“Freestanding desks are selling in all sizes with below-60-inches showing the fastest growth in this category,” he said. “The new House Blend format will also drive growth in home office because of the flexible nature of this new category.”
House Blend was developed with contract market-style function and modular flexibility for use throughout the home at very accessible price points — starting at $499 retail.
Lexington Home Brands CEO also noted that categories such as home office and entertainment aren’t confined to a particular area in the home.
“Neither the home office nor the media rooms are considered enclaves or dedicated areas. They live and breathe as integral components of an open floor plan,” he said.” Therefore, office and media furnishings are no longer treated as ‘category’ items, but as components of the overall interior design.
“Both consumers and design professionals have become much more engaged in the categories — seeking out unique, sophisticated designs that often serve as statement items within a room.”
He pointed to Cross Effect and Studio Designs as examples from Lexington’s Sligh division that approach the home office and entertainment categories from a design perspective, as well as a fresh understanding of how people choose to work and relax.
“For example, function used to be defined as concealed wire management,” Haney said. “Today it is defined as a flip top worktable to accommodate flex space, or storage concealed behind an eye-catching decorative panel.”
At Martin Furniture, smaller scale, inclusive of functional electronics for tablets, laptops and phones — all in current styles — are guiding product direction.
“In addition, the sit/stand desk category is emerging as a staple. Office users know that standing while working, at least part time, is a healthy habit and improves productivity,” said Karl Eulberg, vice president of sales, marketing and merchandising at Martin. “Not only are the pieces smaller in scale, but also there are fewer pieces to a collection and each item often can be used in several different ways to re configure the office set up.”
Style in home office is ever more important, as more consumers need the function but might not dedicate a room as an office.
“Because they are no longer used in the ‘fourth bedroom,’ the new office must be current in style and compliment current home décor,” Eulberg said.
Another thing to watch for: More home offices are used by more than one person.
“I know (BDI designer) Matthew Weatherly also mentioned that there is trend for offices to more and more provide collaborative work spaces, where several people can meet or collaborate easily,” said BDI’s Kelley. “He sees that as a growing trend.”
“With the increased emphasis being placed on this category by the interior design community, we see the importance of styling, materials and finishes becoming even more pronounced,” said Haney at Lexington. “The category has been given a fresh start, along with a significant opportunity for growth across all channels.”
