CONTINUED GROWTH IN THE PREMIUM SEGMENT
Embellence Group shall continue to grow in the premium segment since this segment has higher gross profit margins and a higher anticipated growth rate than the value segment. In addition to a shift in the sales mix, this also involves a continued broadening of the product portfolio into related areas, such as fabrics. This broadening could take place either within existing brands or through acquisitions.
INCREASED INTERNATIONAL SALES
In 2021, the Nordics accounted for 52% of Embellence Group’s total sales. In the premium segment, however, sales in Europe and Rest of World are expected to grow faster than in the Nordics moving forward. Embellence is therefore aiming to further increase the share of international net sales. This will be achieved by organic expansion into new markets and acquisitions of international players.
GROWTH THROUGH ACQUISITIONS
Embellence Group shall continue to expand the brand portfolio through complementary acquisitions. The acquisition criteria include that potential target companies must be profitable premium brands with sales in interior design. In addition, the target company should have a solid design archive that complements the existing styles in Embellence Group’s portfolio and can be used in a range of product categories.
CLOSER CUSTOMER RELATIONSHIPS THROUGH DIGITALISATION
The relationship between the brands and end customers shall be further strengthened. This mainly involves increasing online direct-to-consumer sales. In addition to meeting customer preferences, online sales contribute to higher gross margins, stronger customer loyalty and a larger potential customer base. In addition, several initiatives and investments in the development of various digital services and tools are taking place with the aim of making it easier for customers to choose wallpaper.