Malaysia's modern mix
Contemporary, transitional styles in spotlight
By Thomas Russell -- Furniture Today, March 20, 2005
Kuala Lumpur, Malaysia — The 11th Malaysia International Furniture Fair here this month delivered a strong mix of promotional to midpriced contemporary and transitional product lines.
As in its previous runs, the show was heavy on casual dining and bedroom, although its mix also included leather and fabric upholstery, occasional and office furniture.
The diverse product mix was spread out over 650,000 square feet in 12 halls at the Putra World Trade Centre in Kuala Lumpur.
Most of the 400-plus exhibitors were from Malaysia. Manufacturers also hailed from China, Hong Kong, Indonesia, Singapore, Thailand and Vietnam. Other exhibitors came from Australia, Belgium, France, Italy and the United Kingdom.
Many buyers also came from abroad. Final figures were not available for this year's event, but in 2004, Europe sent 21% of all international visitors, followed by the Pacific Rim at 17.5% and the Middle East at 10%. The North American representation was 7%.
Reflecting the buyer mix, some product was smaller in scale and tailored to European consumers, and some was larger-scaled and heavily carved to appeal to Middle Eastern tastes.
This year's show drew about 6,575 international visitors by the fourth day of the five-day run. Total visitors, including local buyers, came to 11,367 by day four, according to the show's daily newsletter.
Malaysia-based case goods manufacturer Step Furniture has been showing at MIFF for most of its nine-year history. Its line includes solid-wood bedroom and dining room furniture, with mixed-media elements such as metal, wicker and synthetic leather.
With 40% of its sales going to the United States, Step's line is largely tailored to the U.S. market. Its main U.S. customers include University Loft Co. and Value City. But at the Kuala Lumpur fair, it also typically sees buyers from Japan, Australia, Canada, Russia and Poland.
Another big U.S. supplier is Malaysia-based Latitude Tree Holdings. Managing Director Lin Tzu Keng said about 80% of his sales go to U.S. customers, including Bernhardt, Broyhill, River's Edge and Lane. The company is looking to expand its U.S. revenue stream by another 10% this year, he said.
Not all designs at MIFF were geared to the U.S. market, a factor noted by Walter E. Smithe III, owner of Itasca, Ill.-based Top 100 store Walter E. Smithe Furniture. He came away from the show without seeing anything of high enough quality or design to take back to his high-end store.
Some exhibitors regretfully acknowledged their designs weren't quite accepted by U.S. buyers. H.K. Furniture Inds.' mostly solid Malaysian oak bedrooms were large in scale and had carved elements that appeal to Middle East clients.
"Americans prefer more simple designs," said Ricky Khor, a company marketing executive. "They like the quality, but not the design.... If we modernize it and modify the design, we could sell to the U.S. market."
This year, H.K. sold to some Canadian buyers, which Khor views as a positive sign for its future prospects in the United States.
Another company that has barely penetrated the U.S. market is Malaysia-based case goods manufacturer Kian. Currently, less than 5% of its sales are to U.S. buyers, although it does have customers in Canada, Puerto Rico and Mexico. Kian primarily sells in Europe and the Middle East.
But thanks to its transitional designs with sleek Asian influences, it is more optimistic about its U.S. prospects, and says it got strong response at this year's show from U.S.-based mail order companies.
"The design is keeping us competitive, as well as the consistency and the quality," said Kian spokeswoman Debbie Loo.
In comparison, Hume Furniture does a healthy 60% of its business in the U.S. market with retailers such as The Bombay Company and Pottery Barn. Its line is mostly occasional furniture at middle to upper-middle price points. At MIFF, it also showed a variety of formal dining sets, a category that represents about 10% of its $30 million in annual sales.
This year, Hume is forecasting a 20% sales gain.
"The U.S. is the main driver of our growth," said Toh Boon Poh, company marketing manager. "The U.S. is the most important country in the world for furniture."
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Malaysia's modern mix on display at MIFF
Mar 24, 2005
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