1. Home Textiles: Global Drivers of Demand and Future Outlook
Jorge Martin – EUROMONITOR international
November 2016

2. EUROMONITOR INTERNATIONAL
Euromonitor International Ltd.

3. EUROMONITOR INTERNATIONAL

4. GLOBAL DRIVERS OF DEMAND Impact on home textiles INDIA FUTURE OUTLOOK 4

5. GLOBAL DRIVERS OF DEMAND
Three key growth drivers
Income levels
Housing market
Retailing landscape

6. GLOBAL DRIVERS OF DEMAND
Growing wealth boosts discretionary spending
+US$ 5,491
+US$ 2,894
+US$ 2,967
+US$ 8,221
+US$ 5,491
+US$ 27,486
+US$ 909
+US$ 5,146
+US$ 6,489
+US$ 1,809

7. GLOBAL DRIVERS OF DEMAND
Global urbanisation
Mexico
Romania
177
…Million new households created over the review period between 2010 and 2015.
…Of these nearly 90% were Urban

8. GLOBAL DRIVERS OF DEMAND
“Generation rent”
Low wage growth
Rising property prices
Renting

9. GLOBAL DRIVERS OF DEMAND
Retail consolidation
11% VS. 7%
20% VS. 4%
228% VS. 164%

10. GLOBAL DRIVERS OF DEMAND
Fast-fashion’s love affair with home textiles

11. GLOBAL DRIVERS OF DEMAND
Cheaper, trendier and widely available
Over 500
outlets in 53 different markets
Over 368
stores in 23 different markets

12. GLOBAL DRIVERS OF DEMAND Impact on home textiles INDIA FUTURE OUTLOOK 12

13. Impact on home textiles
Key facts and figures 3%
China
US$101bn
Global Retail Value Sales in 2015
Global Retail Value Growth in 2015
Contributed with 27% of global value sales

14. Impact on home textiles
Bed textiles remain the heavy weight
13%
US$13 Bn
20%
US$20 Bn
11%
US$11 Bn
46%
US$47 Bn
10%
US$10 Bn

15. GLOBAL DRIVERS OF DEMAND Impact on home textiles INDIA FUTURE OUTLOOK 15

16. India illustrates huge potential centred on mega-cities

17. The path to growth in India: From unbranded to branded
Opportunities
Growing purchasing power
Greater demand
Transition to smaller households
Modern retail expansion
E-commerce
Challenges
Poor infrastructure for retail expansion
Income disparity
Legislation
Informal retailing
Unbranded
Informal Retail
Formal Retail

18. 7% 8% US$2 Bn INDIA Home Textiles Retail Value Sales 2015
Retail Value Growth in 2015 8%
Home Textiles
Retail Value Growth to 2020

19. GLOBAL DRIVERS OF DEMAND Impact on home textiles INDIA FUTURE OUTLOOK 19

20. Emerging markets will continue driving growth
FUTURE OUTLOOK
Emerging markets will continue driving growth

21. Contrasting factors shaping the future of the regions
Key takeaways
Contrasting factors shaping the future of the regions
Weak growth forecast
Struggling property market
Uncertain economic situation
Ageing population
Home Textiles = Discretionary products
Asia Pacific
Middle East
Africa
Strong growth forecast
Buoyant housing market
Strong social mobility
Young population
Home textiles =
Staple products
North America
Australasia
Western and Eastern Europe

22. Jorge Martin | Project Manager - Research
Euromonitor International