The company - Kare Design OHG

Press release on corporate development / Status: 2012
55 shops: Munich furnishing entrepreneurs market their
lifestyle furniture worldwide
Garching-Hochbrück 2012; Everything except the ordinary – on the basis of
this philosophy KARE Design GmbH has grown from a small store selling
shelving to an international furniture business. Founders and owner
managers Jürgen Reiter and Peter Schönhofen are in the process of
turning their company into a global brand. Its uninterrupted growth is
demonstrated by six stores in Munich, 55 brand stores in 37 countries,
100 shop-in-shop areas in German furniture outlets and design
boutiques, together with thousands of retail customers worldwide.
KARE develops and markets out-of-the-ordinary furnishing design which makes a
statement and has entertainment value. The company's products can be
distinguished from elitist design brands by their price. On the market KARE has a
competitive advantage thanks to its speed and the communications strategy with
which it launches new trends and models on the market and makes them
available to 2.0 consumers. For this purpose the Munich company relies on social
media channels such as Facebook, where it communicates with more than
100.000 fans.
Speed and economies of scale ensure competitive advantages
Furniture, lighting and furnishing accessories divided into more than ten different
theme worlds ranging from Vintage to Glamour attract free-spending young
consumers of all ages. The product spectrum covers 4500 products, including
basic items such as dining tables made of solid wood and more exotic articles
such as easy chairs decorated with crystals. Every year KARE replaces about
30% of its range. Reiter: "The speed with which we provide retailers with news is
difficult to compete with, providing a clear advantage in the competition".
Schönhofen regards KARE as an agile and flexible player among furniture
designers. "Thanks to our sales strategy we can sell much larger quantities than
other design brands. Low unit costs make our articles additionally attractive,"
says the joint CEO, who is also in charge of marketing.
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Crisis proof sales strategy
The company employs a multi-channel model. With franchise shops, its own
retail outlets, shop in shop areas in furniture stores and classical retail
distribution the brand has a wide and solid base in an industry which is sensitive
to fluctuations in consumption. In spite of an export proportion which has now
grown to 70%, KARE has no intention of giving up its retail outlets in Munich.
"This is where we have our finger on the pulse of the consumer", says
Schönhofen.
Considerable investment in trade fair marketing
From Sao Paulo to Vienna the lifestyle brand stages its brand appearance with a
highly emotional content. A central role in its marketing strategy is played by
elaborate stands at the world's major furniture fairs. "We display our design as
an entertaining show", says Reiter, who is also designer in chief. Among other
trade fairs KARE exhibits its products at Salone Internazionale del Mobile in
Milan, Maison & Objet Paris, Ambiente in Frankfurt, the IMM in Cologne and
Furniture China in Shanghai.
"Shameless since 1981"
While they were still students Reiter and Schönhofen established their first shop
in the Maxvorstadt district of Munich, where their wooden shelves became a
bestseller. In their early years the young entrepreneurs surprised local furniture
retailers with irreverent marketing. Advertising slogans such as "Schraubst Du
noch oder wohnst Du schon?“ ("Are you already enjoying your furniture or are
you still screwing it together") provoked the competition and generated attention
within the media.
An unconventional family company
Reiter and Schönhofen attribute the uninterrupted growth of their company over
31 years to the commitment of their workforce. More than one worker in ten has
been with "our company" for longer than 10 years. In personnel development the
Munich entrepreneurs therefore rely very much on their training programme,
with 10% of the approximately 350 employees in Munich consisting of trainees.
Media contact
Susanne Knacke
Press and PR
KARE Design GmbH
Zeppelinstraße 16
D-85748 Garching-Hochbrück
Tel. +49 +89 320 82 153
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Email: sknacke@kare.de
www.kare-design.com; www.kare.muenchen.de
www.facebook.com/KARE.Design; www.facebook.com/KARE.Muenchen
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