The Middle East becomes closer

Russian furniture makers presented a united front at Index Dubai 2018.

23/04/2018

Index Dubai, the Middle East’s largest international exhibition for furniture and interior, was held in the Emirates from 26 till 29 March 2018. Around 800 exhibitors took part in the event, a total of counted visitors was 25,000 people from 108 countries.

The national exhibition of Russian furniture and woodworking enterprises became one of the “anchors” of the trade show. Although the Russian exhibitors have already taken part at Index in 2016, it was for the first time that our domestic furniture makers have been presented on such a large scale in the Emirates, i.e. 10 exhibitors, covering an area of 384 square meters. Mebelny Biznes magazine, by which the exhibition has been actively promoted over the few months, has become an official Index Dubai media partner in Russia.

Visually, the Russian part of the exhibition was worthy of attention and truly bright. Each of the participants has taken individual approach towards interior design of their own stands, from creating space layout to decorating walls. Apparently, an advance planning of the national pavilion’s design and build up made a positive contribution to the result. According to organizers of the Russian joint stand, over 500 representatives of the business circles of the United Arab Emirates and other Middle East’s countries visited the Russian exposition during the show in Dubai. It is reported that in the framework of the business program for the Russian participants, more than twenty multilateral negotiations with furniture trade centers, developers, representatives of the hospitality industry and other businesses of the United Arab Emirates were organized.

Pervaya Mebelnaya (St. Petersburg) showcased in Dubai its integrated solutions for various B2B market segments. Trade visitors had the opportunity to view the director’s office, furniture for equipping hotels and turnkey apartments produced by the Pervaya Mebelnaya. The company reported on “a wide range of business meetings and negotiations”, held during the exhibition days.

BELSI, a team of young designers, is already known to the professional community outside Russia, including through its January performance in Cologne. In Dubai, the company decorated their stand with images on a theme of “A Night in the Sahara Desert”, while a Whale Lounge chair and a SkeletON chair were shown as main characters on the display.

The DMI Group of companies presented two interior brands, Katyusha Kitchen and Avdeev Crystal, a line of crystal glass decor. “During the exhibition, we held talks on the possibility of opening in Abu Dhabi a company showroom covering an area of 600–1,000 square meters. In such a showroom, it is planned to display products from Dyatkovo and Katyusha Kitchen trademarks”, the DMI Group said to the Mebelny Biznes magazin. “Commercial potential of the Russian crystal products was of interest to owners of large retail chains from UAE, the Netherlands, France and Turkey.”

At the Dubai Exhibition, the DMI Group also received a number of project requests to create apartment interiors and hotel rooms. This included the supply of 350 kitchens and 1,000 wardrobes to Kenya (Mombasa), 1,000 kitchens to Iraq (Karbala), as well as furniture to make interior in 300 apartments for Dubai police officers. Preliminary agreements have been reached on furniture deliveries to Saudi Arabia, Lebanon, Kuwait, Pakistan, and Nigeria. Avdeev Crystal has plans to develop business in the UAE and open its brand boutiques in Turkey and Brazil.

The Mebel Impex brand presented in Dubai their rocking chairs, lounge chairs and other occasional furniture, such as coffee tables, consoles, and dressers made of natural wood. Mr Khan, the Director of the Dubai Chamber of Commerce and Industry, personally tried these furniture items out at the Mebel Impex stand and remained satisfied with them.

“Both B2B clients and end consumers definitely were interested in our products,” says Alexander Shinkorenko of Mebel Impex. “Opinion of both categories is always important for us. We estimate approximately 10-20 contacts out of a hundred and fifty of our negotiations as promising, and we will work on them.

As far as I understand, the movement of goods throughout a traditional chain, through manufacturer – distributor – dealer partnership, is less accepted in the UAE market than in Europe. I consider this to be the main difficulty of operating in the region. As we deal with serial production, we do not entirely understand the pattern for sale products through numerous architects and designers who run turnkey facilities, while this is evidently one of the main channels for selling furniture in the Emirates.”

E1 is among those participants that brought to the Dubai event an experience from imm exhibition in Cologne. Alexander Linevich, the general director at E1, said that in Dubai, the company has established several ‘warm’ contacts that could result in container shipments. The task is to convert potential customers into real ones.

The results of the Index exhibition are generally positively assessed by the managers of the Apriori furniture factory, which presented its sofa O’Prime brand in Dubai.

“We talked to all of our target groups,” says Sergey Igudin, commercial director at O’Prime. “Our stand was attended by developers, representatives of four major furniture networks, as well as dealers, including high-level ones, who hold as many as 50 stores in the Gulf countries. Our product, upholstered furniture, is highly relevant to them. The market is interesting, enthralling. However, there are some nuances relating to registration of a private company that should be taken into account to do our business in the Emirates.”

The Russian national exposition at Index 2018 also included the Zebrano company with its furniture for office spaces, Ivory Interiors that produces furniture for children's rooms and sleeping areas, and interior furniture suppliers, such as Tekhnokolor (a manufacturer of paints and varnishes for woodworking industry) and Rosla, (a manufacturer of aluminum shapes).

Ufamebel did not participate in this year’s exhibition. However, Victor Kochubey, the owner of the Ufamebel and Zzibo Mobili factories, arrived here as a member of the Russian business mission. Communicating with colleagues at the events of the business program, Mr. Kochubey again emphasized that it is difficult to serve the Middle East market, if there is no pre-arranged sales infrastracture.

“I have attended a large number of foreign furniture exhibitions, and my important conclusion is that there is no need to be scattered,” Viktor Kochubey shares. “Effective participation in a foreign exhibition is not a reconnaissance by force. We need to go there with the prepared program of activities. And to make such a program without infrastructure, is impossible.

An agent, a proven and reputable professional, should deal with the development of sales of Russian furniture factories in the target market (in this case, we are talking about the countries of the Middle East), because trade through agents is the established practice, this is how furniture companies from other countries work here. What is important is that furniture market players, not the ministerial structures, should verify professional competence of such an agent.

Probably, the same agent cannot sell products produced by all Russian enterprises that are interested in entering this or that market. But you need to start doing something, a precedent must be created.”

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