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U.S. buyers like what they see

By Gary Evans -- Furniture Today, March 13, 2005

Sao Paulo, Brazil — Dale Nutter, vice president of business development for Birmingham, Ala.-based retailer Chordus, made his first trip to Brazil recently and generally liked what he saw.

His comments were typical of several U.S. buyers at the ABIMAD show here, most of whom went home with the names of potential suppliers.

Nutter hoped to get a feel for the quality and styles of Brazilian furniture and talk with potential sources to supply his company's 140 Office Furniture USA franchises, and to further the company's effort to get into residential furniture.

"I was favorably impressed by the caliber of individuals involved in the Brazilian furniture industry and their serious work ethic during the show," he said. "The Brazilians are great hosts and they are clearly eager to export furniture to the U.S."

But Nutter also saw three challenges for Brazilian manufacturers to overcome, including the weakening U.S. dollar, which has made some Brazilian product more expensive for Americans.

"Brazilian furniture styles lean toward ultra-modern — lots of chrome, glass and square corners. The styles will not have broad acceptances in the U.S.," he said.

He also thinks the Brazilians need to have a stronger focus on the U.S. market.

"In my opinion, the smaller Brazilian manufacturers must band together for a physical presence in the U.S.," Nutter said. "They must be able to perform their own research and keep some inventory in the U.S."

On the plus side, he believes Brazilian manufacturers have proven to be dependable and quality-conscious.

"Leather upholstered goods from Brazil have already made inroads into the U.S. residential furniture marketplace," he said, citing Niroflex, one of Brazil's top leather seating companies, as "a successful example of a Brazilian manufacturer willing to make a physical commitment in the U.S., and willing to adapt styles to the U.S. market as well."

Niroflex has a U.S. office in High Point.

Nutter said that Brazil has a vast resource of exotic woods that can be adapted to American case goods styles. "I hope that we will see this transition in the near future," he said.

Also satisfied with the Sao Paulo show was Leo Bueno, a buyer for Florimar Furniture Distributors in Fort Lauderdale, Fla.

"From what I see here, it was worth it," Bueno said. "My boss said that if I come back with one thing, he'd be happy. I've already done that."

Another Florida-based distributor, Richard Sanchez of Moriah International, said the ABIMAD show was good for getting to know sources personally. He picked up some new suppliers to develop over time, but said he had hoped to see more bedroom furniture.

"Some customers that I have been dealing with are in great need of bedroom sets. Unfortunately, I didn't see that many," he said.

Sanchez, who was born in Brazil, said manufacturers here are heading in the right direction but "have some extra homework to do. Design, quality of the wood and/or leather and price are not enough to convince an American buyer to act," he said. "I am 100% convinced that all Brazilian exporters must understand that the American market needs security and excellent customer service."

He also said that a number of U.S. buyers are concerned about the currency fluctuation in Brazil, and are afraid of ordering furniture and not having it shipped.

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