Two-digit growth in the office supplies market

Experts estimate the Hungarian office supplies market to be worth HUF 100-120 billion a year. At the end of 2012 Office Depot was sold to Central Fund. Managing director István Miholek told our magazine that last year was spent with separating from Office Depot’s international organisation. As a result of these changes, the company’s operating results bettered by 50 percent and turnover reached HUF 4.2 billion. They also introduced a completely new ERP system. The new website will be ready by the middle of the year. Online sales are more and more important as it already represents 12 percent of total sales. Plan is to increase this ratio to 20-25 percent in the next 3 years. The managing director sees a consolidation process in the office supplies market. ICO’s domestic sales director Gábor Pasztorek also spoke to us about sales growth. They realise more than one third of sales during the school season but in certain segments this ratio is as high as 75 percent. ICO has been developing Süni products for more than a decade, targeting kindergarten and schoolchildren with them. Their Student Art brand – made for secondary school and university students – will receive stronger support this year. The director thinks that the Hungarian market is really price-sensitive. More expensive products sell better in specialist shops – where shoppers get help and advice – and in the last few years a growing number of customers started to prefer these to hypermarkets. Aleksandar Nikolic, commercial director of Ars Una Studio Kft. told our magazine that in 2013 their sales grow by more than 30 percent. The company’s main profile is school supplies and they realise 70 percent of sales when the school year starts. Barca and Real products are constant favourites – everything that has to do with football sells. Now that the football World Cup is approaching, they introduce the Brasil, Manchester United and FTC designs as well. Under each brand they offer complete product portfolios, from school bags to exercise books to pencil cases. According to Mr Nikolic, the market is growing steadily as shoppers reward quality. KlauDan Office Kft. was established in 2011 and they don’t have their own shops, what is more, they only add new trading partners based on recommendation – we learned from managing director Attila Veréb. Customers can order products online and delivery is free. Last year the company’s partners and turnover both grew by 100 percent. Basically they supply companies, selling everything that is needed in an office. As many firms are looking for the cheapest products, private label products sell well. Active Office Kft.’s turnover expanded by 60 percent last year. Managing director Károly Mózes told us that on the company’s website green products are listed in a separate category: major multinational companies show demand for these products, those that follow a Green Policy; green products realise 5 percent of total sales