Regal Furniture started its journey in 2012 as a subsidiary of PRAN-RFL Group. Regal is one of the leading furniture manufacturers among several furniture brands in the country. With more than 500 outlets across the country, Regal serves about 50,000 customers every month. Besides serving across the country through its Strong Distribution Channel, Regal is also exporting its furniture to various parts of the world, including Canada, the USA, India, Nepal, and several other countries.
Overview of Regal Furniture
According to The Business Standard, the annual turnover of Bangladesh’s furniture industry has exceeded BDT 10,000 crore. However, a significant market share of this furniture industry is occupied by non-branded local furniture manufacturers. Although there are several established brands in Bangladesh’s furniture industry, Regal, a subsidiary of PRAN-RFL Group, is one of them. The company started its journey in 2012 and launched several furniture in the market, such as laminating boards (LB) and wooden beds, sofas, dining sets, cupboards, etc., keeping in mind people’s affordability and purchasing power of all income levels in Bangladesh.
Subsequently, Regal added metal furniture to its product line in 2014 by establishing a dedicated metal furniture factory. When the unique design of the furniture started to attract customers, the sales of metal furniture alone stood at around BDT 1.5 crore per month. Regal then gradually expanded its product line to provide furniture to educational institutions, government offices, and corporate clients, such as industrial racks, display racks, cable trays, and even services like highway guardrails. Regal is quite focused on its R&D, and based on the market trends and customer preferences, the company launches new furniture every week. The company has about 36 product categories in its product line. Regal Furniture has already established itself among the leading furniture brands like Otobi, Hatil, Navana for affordable price range, marketing strategy, and distribution channels. Regal spends more than 10 percent of its revenue on marketing and promotion to capture the consumer market. For promotion, Regal runs various marketing campaigns on various social media, including Facebook and Instagram, to stay engaged with customers. The company has established Regal as an affordable brand providing quality furniture in the market Price Branded and Quality Furniture Provider. The company also follows several marketing strategies to attract corporate clients.
Regal being new in the furniture industry, has already started exporting its products to several countries, including Canada, the USA, India, Nepal, Fiji, and some African countries, after meeting the domestic demand. According to the company, Regal currently holds about 4 percent of the domestic market share of the entire furniture industry in Bangladesh and 20 percent market share of the branded furniture market. At present, the organization employs more than 10,000 employees directly and indirectly. Regal Furniture serves about 50,000 customers every month, and the customer base is increasing rapidly.
Current Operation
Production
Regal has two furniture manufacturing plants. One is located at Rupganj in Narayanganj with an area of 5 lakh square feet, and the other is located at Gausia in Narayanganj with an area of 8 lakh square feet. The company produces furniture worth BDT 70 crore per month from these two factories. Regal also has manufacturing plants in India and Nepal. The company manufactures all Regal uses skilled labor and modern machinery to ensure premium quality.
Distribution Channel
Although there is a demand for branded furniture in the rural villages, the top furniture brands cover only the divisional cities. One of the main reasons for this is that Bangladesh’s overall transportation infrastructure and cost are significant barriers. On the other hand, Regal has created a cost-efficient logistic system by setting up eight depots across the country and delivering products using its transportation. Regal Furniture has so far opened its outlets in more than 350 Upazilas. According to the demand of a particular area, furniture is already stocked in the outlets; therefore, Regal can deliver the products to the customers within one day. If any product is not available in the showroom, the company delivers the furniture to the customers within 3-7 working days from the company’s depot. Most of Regal’s furniture is installed free of cost by the company. In addition, if a customer buys more than BDT 20,000 worth of furniture from Regal Showroom, a free home delivery service is provided. In addition, in the case of online orders, if the order is more than BDT 3000, customers receive six months of interest-free EMI facilities in furniture purchases and various other offers.
Sales
Regal operates two types of outlets, namely Regal Emporium and Regal Furniture. Regal’s operations team runs the Regal Emporium outlets, and the Regal Furniture outlets are operated on a dealership model. Regal has more than 500 outlets across the country, of which Regal Emporium has 150 outlets, and the rest are dealer showrooms. In addition to physical shops, customers can also purchase furniture through Regal’s dedicated e-commerce site. In 2016, to sell furniture online, Regal launched their e-commerce site. Besides placing orders, customers also receive updated information about Regal’s new model products on the website. In the case of online purchases, customers can avail of EMI service using their credit card. Through the company’s e-commerce site Regal sells products worth around BDT 2 crore per month.
Service
In addition to selling furniture in the retail market, Regal also provides various services in the B2B market, such as providing customized interior design for the store and furniture solutions and industrial solutions. In addition, the company also offers customized furniture and kitchen solutions for retailers and educational furniture.
Future Plan
Since the beginning of its journey, Regal Furniture has offered its product to people of all income levels. In the last few years, besides making furniture, Regal has made its products available to customers in the mass market by building outlets in the Upazilas. Currently, Regal Furniture is working to increase the number of its outlets in the Upazila towns in the future. Where the branded furniture in Bangladesh serves a niche market, Regal has only been able to reach their products to the Upazila towns. Regal is also increasing its production capacity by adding a few more countries to its export portfolio. The company hopes that by 2025, Regal will occupy an important place in the export of furniture sector in Bangladesh.
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