Singapore furniture label Cellini has made a bold move into the South Korean market, marking its 50th store globally and entry into its fourth international market.
This strategic expansion comes as changing demographics and lifestyle factors attract global furniture giants to the region, forcing smaller players like Cellini to adapt their offerings to stand out.
Cellini’s expansion strategy
According to Inside Retail, the company’s decision to enter the Korean market wasn’t made lightly.
Janice Tan, executive director of Cellini, told the publication that extensive pre-pandemic research revealed a market brimming with potential.
“With South Korea’s average income hovering around US$33,000 our furniture caters perfectly to the growing middle and upper-middle class seeking styling upgrades for their homes,” Tan said.
The company also identified a gap in the market, predominantly dominated by imports from China and Vietnam. This presented a unique opportunity for Cellini to make a mark with its offerings.
Cultural adaptation and challenges
One of the key challenges the company faces in Korea is the presence of established furniture conglomerates. Besides Ikea, domestic furniture brands Hanssem and Hyundai Livart have secured a prominent position in the burgeoning market.
To navigate this competitive environment, Cellini plans to leverage its selling propositions – signature designs, competitive prices, and quality craftsmanship.
The company has also developed a new range specifically tailored to Korean tastes and living space dimensions.
Cellini in South Korea: Future plans
While South Korea marks a significant step, the company’s global ambitions doesn’t stop there.
As reported by Inside Retail, the company’s immediate focus is on solidifying its presence in Korea while continuing to expand in existing markets, particularly Indonesia where it has already established a strong foothold.
“By establishing a strong global presence, we aim to solidify our reputation as a leading force in modern furniture design,” Tan concluded.