by Nearly half of consumers say they would like design help for the whole home, particularly if money was not an object
HIGH POINT — Perhaps stating the obvious, one of the key growth areas for companies throughout the home furnishings industry is the design trade. In fact, it’s one of the things that has more and more furniture companies moving to the vibrant Hamilton Wrenn design district at the High Point Market, which happens to also be one of the highest traffic areas for much of the event.
It’s also a segment that many well-known retailers have addressed by hiring professional design staff that offers services to customers seeking the help in decorating their home with anything from furniture to floor coverings and even wall art.
And regarding the importance of this part of the business, we need look no further than our final installment of Consumer Insights Now — The Design Report. In this survey, we asked consumers of all age groups the degree to which they would like to hire a designer to help decorate their home. The results, while not surprising, are worth checking out.
According to our research, which tracks planned consumer spending in the second half of the year, 48% of those surveyed said that if money was not an object, they would like design assistance for the entire home. The largest segment — 24% — said they specifically wanted help in the living room, followed by 15% for the kitchen and 12% for the bedroom. From here, the numbers dropped off significantly, with 9% seeking design help for the family room or den, 7% for the dining room, 5% for the guest bedroom and home office, respectively and 4% for the outdoor room, the children’s bedroom and the game room, followed by 3% for the entryway/hallway.
Given the added expense to employ a designer, most — between 71% and 94% — actually said they did not plan to hire a designer this year. That said, younger consumers were more likely than older generations to seek design assistance, including 12% of Gen Z consumers, 10% of younger millennials and 9% of older millennials, compared with 4% of Gen X and 2% of baby boomers.
Between 16% and 18% of younger consumers said they might hire a designer compared with 10% of Gen X and 4% of baby boomers. Some 8% of those earning $100,000 and up also were more likely to hire a designer this year compared with 5% of those earning below $100,000. Some 15% of those earning $100,000 and above said maybe compared with 13% of those earning under $50,000 and 9% of those earning from $50,000 to $99,999.
The chart below also describes some of the statements these consumers shared with us on why they felt the need for design assistance.
As with other installments of our research we also asked how consumers preferred to pay and here we learned valuable insights related to the compensation model. For example, 38% of those surveyed said they wanted to pay a flat project fee, followed by 34% who said they preferred to pay a fee based on a percentage of the furniture purchased by the designer. This was followed by 25% who said by the hour and 3% who said they weren’t sure.
Given the income and budget constraints of younger consumers in particular, who are often starting a family and buying their first home, using a designer can be a daunting experience, particularly if they aren’t fully aware of the costs involved. For that reason, it makes sense for the designer to be as transparent as possible going in.
Finance experts have long stressed the importance of transparency, particularly at the start of the purchase process so the customer can know going in what they can afford and not be disappointed later on by being turned down during the credit approval process. Although the payment methods and terms may differ from traditional retail, a similar approach likely will help consumers know not only what types of design services they can afford, but also how much they can spend on their dream home furnishings.
The report also breaks down the areas of the country where consumers are most likely to hire a designer as well as what areas of the home consumers in those regions — and major metros in those regions — are seeking design help. We even asked various consumers specific décor preferences by major areas of the home such as the living room and primary bedroom.
As always, we hope this data proves useful to the entire industry — from suppliers and retailers to design firms. A key is to help know your customer base and meet the expectations of those clients not just for a single project, but hopefully throughout a long run of finding ways to beautify one’s home.
To download the entire Consumer Insights Now research on consumer furniture buying plans in the second half, click here.
