February, 2008

Present

Perception of Southern Italian Brandsin living industry

Report from interviews to Importers, Architects and Journalistfrom Eastern European Countries, after their Business Tour in Puglia

visiting the main living Southern Italian brandsOrganized by ICE

Participants ICE Business Tour, Bari February 12 – 13, 2008

Importers53%

Journalists27%

Architects20%

Participants

Towns Importers Journalist Architects

Moscow 3 1

Bratislava 1 2

Budapest 2 1

Praga 1 1

Kiev 1

Bucarest 1

Sofia 1

Average size of customer flats

< 70 sm 7%

70 - 100 sm 33%

> 100 sm 60%

Perception of Italian Living Brands

1,0 1,2 1,4 1,6 1,8 2,0 2,42,2 2,6 2,8 3,0

ClientsDealers

Dealers after visit

Clients

Dealers after visit

DealersDealers after visit

Quality

Pricing

AdvertisingClientsDealers

Dealers after visit

DesingClientsDealers

Dealers after visit

ImageClients

DealersDealers after visit

ShowroomClientsDealers

Dealers after visit

Management

Perception of:

Made in ItalyMade in Italy

Experts CustomersDo not know

0 2 4 6 8 10 12 14 16

Germany

China

Spain

UK

Poland

Denmark

Bulgaria

Slovenia

Finland

Austria

0 2 4 6 8 10 12 14 16

Germany

China

Spain

UK

Poland

Denmark

Bulgaria

Slovenia

Finland

Austria

Made In Italy Countries perceived Competitors

Competition on PricingPricing

Competition on Quality

which which Identity ?Identity ?

Visitors Comments

• By Questionnaires• By interview in foreign Countries• By Questionnaires• By interview in foreign Countries

• Customers buy by architects: - Customers are unaware of where to buy

- People know the style that they are looking for - they then ask to architects to choose the right solutions - Spending power people are looking for top Brands

Buying process

Key People and Organizations• Architects

- research on internet, - they attend exhibitions abroad,

- view magazines; - are member of National Architect Associations

Visitors Comments

Key People and Organizations

• Academy of Art and Design

- they already have relations with FRANCE- Students wish to learn and go abroad

Countries and Firms BRAND• Firms Brand is perceived stronger than Country Brand

- China: Firms are improving numerously in terms of quality- Germany: best quality, however new ideas are found

only in Italy and Spain - Italy: Northern brand are well known;

Southern firms are unknown

Visitors Comments

VISITORS Comments

I was surprised at seeing in details and in practice the manufacturing process and the ways of leather processing.

I was amazed at the creativity and high quality of the local upholstered furniture.

…and I´m architect, I need to see production and research

I think that architects need different information than dealers

… as a designing architect I became acquainted with latest trends in production;

as a Vice-President of the Union of Architects in Bulgaria I spread information and shared my impressions in

professional press

““

Peter Drucker

“ Results are obtained by seizing opportunities,

not solving problems”

Topic

Contacts:

Francesco D’Aprile

Partner

Tel.: +39 080 5648544Mobile: +39 347 4080398

Mail: fdaprile@pedconsulting.itWeb: http://www.pedconsulting.it