By NOLA P. ANDAYA, Non-Timber Forest Products-Task Force, The Philippines
Modi has come a long way – about 16 hours by plane across the Asian continent to the old continent and back – that is. Kidding aside, Modi is indeed going places, after taking the Manila fashion and home retail world by storm, starting the “modern indigenous” craze, and gracing the glossy pages of upscale fashion magazines, lifestyle section of newspapers and primetime television. Now, it has set its eyes on conquering the sophisticated European market.
Through the Special Facility Project of the European Commission Delegation to the Philippines, I together with Tracie Anglo-Dizon, volunteer Creative Designer of Modi Modern Indigenous, went on a market/trade exploratory mission to Europe last August-September. Three markets were explored for both product lines of the CustomMade Crafts Center. These were the mainstream market for gift and fashion/home accessories, the high-end/designer market and the Fair Trade Market.
I should say, work has never been this fun
Window shopping and jetsetting through Europe, we went to various design shops in the Netherlands (Amsterdam/Utrecht), Belgium (Antwerp) and France (Paris) to get a feel of the current designer-oriented market. Together with Leo Wallage, a consultant for handicrafts marketing to Europe, and ProFound staff, we went to three trade fairs: Tendence Lifestyle 2005 in Frankfurt, Germany (August 27-29), Maison et Objet in Paris, France (September 1-5), and Trademart in Utrecht, Netherlands (September 6) to observe existing product lines, competition, and the market for gift/fashion/home accessories. We also visited the Fair Trade Organization in the Netherlands and Magasin du Monde in Belgium were also visited. Exploratory discussions were conducted with potential clients through the assistance of ProFound and Leo Wallage and through contacts made during the visit in the trade fair.
The Market
Based on interviews with some participants in the trade shows, the general economic situation has affected the home and gift industry. However, players are still optimistic. According to other participants and handicrafts consultants, there are still opportunities for new items that have not been seen in the market. Also, while there is a general downturn in the industry, people are still keen on making livable places; so while they are cutting back on buying furniture, they have turned to home accessories and decorative items to update the look of their homes or to replace worn out items [1]. But because of the present economic situation, consumers are more conservative. Generally, they look for fashionable items at reasonable prices. According to another importer, there are still buyers who are interested in high value products as long as they see that the price is commensurate to the quality, design and perceived value [2].
Going around the cities of Amsterdam, Brussels, Antwerp and Paris, there is a small but thriving market for designer-oriented products both for the home and fashion. The existence of the shops shows that there are people who do buy and support this industry. Beyond the function and aesthetics, beyond the products themselves, designer shops sell ideas, concepts, image and the name.
The fair trade market is also thriving. Fair trade organizations are practicing sophisticated marketing – crossing over to the mainstream market – in order to reach a wider market. Magasin du Monde of Belgium has maintained a good standing by actively promoting, investing and directly working with their suppliers in product development and designs thus making the products more interesting for the buyers.
However, while it’s more difficult to hook up with fair trade organizations as they are keen on developing their current partners than accepting new ones, there remain opportunities for breaking into the fair trade market. Now, more and more private companies are practicing fair trade. These companies are always on the look out for new items that have good designs and prices.
Other markets that can be explored for the Crafts Center are the stationery industry, and the textile and home textile industry. The flower arrangement accessory industry is also another market that can be tapped for NTFPs.
I came. I saw. I will export.
Preparations to break into the European market are underway. Contacts made during the visit are being followed up. Also, organizers of the German trade show, Tendence Lifestyle has given Modi a free stand in the show for three consecutive years – a really great opportunity to introduce Modi and CustomMade to the market. Products and designs are going through some “reconstruction” to fit the European taste. Producer groups, through the facilitation of the Enterprise Development Specialists, are being prepped for the new challenge. There is still a lot to be done in order for the Crafts Center to export successfully but we are well on our way.
Contact:
CustomMade Crafts Center
92-A Masikap Extension, Barangay Central
Diliman, Quezon City 1101 The Philippines
Tel/Fax: +63 2 9293665, 4262757
Email: nola_andaya AT yahoo.com
URL: www.cmcrafts.org
NOTES: [1] Interview with Antoinette Gast, September 2005, Amsterdam, Netherlands. Gast is a consultant of CBI for handicrafts and work with Latin American and Asian countries. [2] Interview with owner of Only Natural, Amsterdam
