This prospect highlights the consumer trend away from furniture specialists to DIY and homewares generalists, which have been making inroads into the furniture and flooring markets in recent years, according to Verdict Research.
Verdict predicts Argos will have 7 per cent of the furniture market by the end of 2005, against 6.9 per cent for MFI.
The furniture market as a whole grew by 3.1 per cent last year - the slowest growth in that sector for 10 years. Verdict predicts the market will slow even further this year. However, the rate of growth for non-specialists, including Argos, Homebase, Next and B&Q, has been double that of specialists such as DFS, MFI and Harveys.
The key to the success of non-specialists is the breadth of range and ability to offer more flexible after-sales delivery services. Verdict said: 'Higher and more frequent inherent footfall and subsequent stronger customer relationships has been a key factor here. Many furniture specialists, at best, can hope to see most of their customers once a year. From more targeted operators, such as upholstery specialists, this can be as infrequent as once every seven years.'
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