Salone Closes Amid Improved Outlook
MILAN — Firms exhibiting at the 61st edition of Salone del Mobile here noted that contract business and expansion into secondary cities and new design frontiers were expected to drive revenues in the near term, despite rising inflation and an unstable geopolitical situation.
Salone del Mobile organizers said that 34 percent of its 2,000 exhibitors were from abroad and the six-day fair, which closed Sunday, recorded a 15 percent year-on-year rise in visitors to 307,418. Organizers said in a statement that 65 percent of the buyers and industry professionals were international with Chinese visitors at the top of the list, followed by Italy, Germany, France, the United States, Spain and Brazil. The 31st edition of the Euroluce biennial also took place alongside the furniture fair.
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New regions have begun to show interest in Salone del Mobile, among them India, Southeast Asian countries like Vietnam, as well as South Korea. The fair’s president Maria Porro enthused that the event is “the engine that has fired up the city” and “an international success” that “exceeded expectations. The number of attendees makes for an exceptional result.”
By category, Bain & Co. sees living and bedroom lighting growth as a key driver. In its last report published in 2022, the firm said industry sales are expected to increase to a range between 50 billion euros and 60 billion euros by 2026 from 40 billion euros recorded in 2021, with the living and bedroom and lighting categories expected to maintain positive momentum.
In the U.S., the pandemic pushed individuals out into tier-two cities like Austin, Texas, where design firms here are eager to open. Miami is also an epicenter for new construction and lucrative contract opportunities for brands operating in the high-end arena.
“Contract business is very important for us and is in great development. We see our retail and contract business on the same level in terms of importance,” said Luxury Living chief executive officer Andrea Gentilini, adding that in 2022 the group that produces for Dolce & Gabbana Casa, Versace Home, Trussardi Casa, Bentley Home, Bugatti home and Luxence Luxury Living saw revenues rise 30 percent.
“We forecast revenues of 100 million euros in 2023, which is in line with the 113 million euros we booked in 2022,” he said.
Its Luxence Luxury Living group, which was founded to fill the gap following the loss of the Fendi Casa license, unfurled a series of upscale indoor-outdoor home furnishings.
Among Luxury Living’s many projects is the Bentley Residences Miami, set for completion in 2026. At about 749 feet tall, Bentley Residences is set to be the tallest U.S. oceanfront building, according to a spokesperson for the project. Designed by Sieger Suarez Architects, which is also delivering the forthcoming Waldorf Astoria Residences Miami, the 63-story building will feature 216 units with sweeping ocean views, a slew of amenities, and an elevator designed to take residents up to their doorstep while seated inside their cars.
Gentilini added that the U.S., including cities such as Miami, Los Angeles and New York City; Dubai and Abu Dhabi in the United Arab Emirates; Riyadh, Saudi Arabia; and Doha, Qatar, are all points of interest in the near term for the group.
In terms of geographical markets, China represented about 35 to 40 percent, while the U.S. made up 15 percent of sales. “This is growing,” he said. “Dolce & Gabbana Casa and Versace Home have great potential.”
For this season, contemporary lighting maker Flos reworked its 2097 chandelier from Gino Sarfatti’s designs for Arteluce (the historic company acquired by Flos in 1974). At the Flos showroom in Milan, the company also unfurled the My Circuit flexible track system by Michael Anastassiades, the Cypriot-born, London-based designer whose usual practice encompasses product, spatial interventions, and experimental works.
Flos CEO Roberta Silva told WWD that Flos is focused on the Chinese and U.S. markets, keeping an eye on new hubs like Chicago and San Francisco. “After the pandemic, people moved to other places. There are other cities, including secondary cities of design now,” she said, highlighting the importance of storytelling in an age where consumers are in constant pursuit of peace and comfort.
B&B Italia CEO Gilberto Negrini echoed this, adding that the company will open in Washington, D.C., later this year. “We want to create synergies between different brands.”
B&B Italia is owned by Design Holding, which includes Flos, Menu, by Lassen, Lumens, Louis Poulsen, Arclinea, Maxalto and Azucena and produces Fendi Casa through a joint venture with the Roman fashion house. Design Holding has a presence in more than 130 countries.
At Salone, Auralis brought together all three of its companies in a multimedia setting that explored the diverse nature of light and focused on sensations and on an artistic approach to the use of color. Through a mix between physical and digital, the project aimed to create a connection between Earth and sky.
“We’re focused on lighting projects and our contract business in residential, hospitality, offices and retail,” said Andrea Citterio, CEO of Auralis, which owns lighting companies Penta, Castaldi and Arredoluce. Citterio said his main goal is “turning the firm into a solution provider in the lighting business.” In the next few months, the firm will invest in a smart living company that makes controls for residential environments, as well as sockets to enhance every detail of the home.
In 2022, the company reported 20 million euros in sales, up 10 percent from 2021. The group sees 25 million euros in sales in 2023. Contract business currently makes up 30 percent of sales. Citterio added that the company will open a Middle East subsidiary based in Dubai in June to penetrate the region’s rising urban landscape.
Claudio Spotti, owner of the upscale Spotti Milano store on Viale Piave, said in terms of budget, the firm was “prudent” on its 2023 spending, adding that 60 percent of Spotti’s clients are from Italy with 40 percent from abroad. “Our luxury clientele are not affected by fluctuations. We have private clients from all over the world. We remain hopeful.”
At home, the Italian economy rose 3.7 percent in 2022 to 1.91 trillion euros. Italy’s Treasury raised its growth forecast to 1 percent in 2023 and expects a 1.5 percent rise in 2024.
Inaugurating the fair, Prime Minister Giorgia Meloni touted the power of the Made in Italy label. “The brand is our biggest asset,” she said. Her right-wing government is currently working on tax reforms that would ultimately boost consumer spending and confidence, as the nation and citizens tackle rising inflation and energy costs.
The 62nd edition of Salone del Mobile will be held April 16 to 21, 2024.
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