Furniture export: own brand or private label – which strategy to choose?

“In global trade, strategy is not only about price and quality, but also about whether you build your own name or work under someone else’s.”

Ukrainian furniture companies entering international markets face one of the key choices:

• develop their own brand and invest in awareness;
• or export under the private label of major retailers and get faster access to shelves.
  

Both models have their advantages, drawbacks and risks. Let’s break them down with examples and data.

Export via your own brand: the path to recognition

A company that promotes its own brand builds long-term value. Brand awareness opens doors to opportunities that are hard to buy with money.

• Products in global culture. The Raft sofa by Donna Furniture and Denis Sokolov (SVOYA studio) appeared in Netflix projects – a telling case of how strong design becomes part of a global story.

International awards. The Strikha table by Tivoli has already received three international distinctions for its unique, vibrant design. In the summer of 2025, a copy was displayed on the stand of an Indian company at the Manchester Furniture Show.

Status in the exhibition ecosystem. Maisternia Kassone became the face of Brussels Design Market 2023 – their works appeared on visual materials and in participant profiles.

Higher brand margin. According to the McKinsey Global Institute, companies with strong brands achieve on average 13–20% higher margins than private-label suppliers.

A brand is your armor in the global marketplace. It works even while you sleep.”

Export under private label: a fast start

Private label – manufacturing under the customer’s trademark (DIY retailer, marketplace or a chain of showrooms).

Advantages:

• Fast ramp-up thanks to the buyer’s purchasing power.
• Minimal marketing spend – the name is shaped by the customer.
• No R&D investment – the model range design is provided by the customer.
• Relative predictability of deliveries if quality is stable.
  

Risks:

• Lower margin and high sensitivity to the buyer’s purchase price. McKinsey’s B2B distribution analysis notes that in many industries private label can deliver roughly double the gross margin for the seller/distributor compared to national brands – which increases pricing pressure on the manufacturer.
  
• Dependence on the partner’s policies – the market can be lost overnight. With production concentrated on 1–2 customers, this can even lead to bankruptcy.
  
• No accumulated recognition of the manufacturer among end consumers.
  
• No own furniture collections, which complicates switching from one customer to another.

A clear example – IKEA. For consumers it is a global brand, but for suppliers it effectively operates as a giant private label: goods are sold under the IKEA mark while manufacturers remain behind the scenes. In FY24 Inter IKEA Group announced an average wholesale price reduction for retailers of around 10% while keeping the group’s gross margin at about 16% – an example of an affordability strategy that amplifies pricing pressure in the supply chain.

When to choose which strategy?

• If you have flexible production and a limited marketing budget – private label can be a launchpad to load capacity.
  
• If you are ready to invest in awareness and want to play in the premium segment – your own brand delivers longer customer lifetime value and better price control.
  
• A combined approach is often the most pragmatic: build volume through private label while developing your brand at trade fairs and in the media.
  

Brand-led route to market: step-by-step timeline

Building a brand for export is a 3-5 year investment. Each stage reinforces the previous one.

Year 1 – Start and identity

• Brand strategy: positioning, customer profile, USP, assortment architecture.
• Visual identity, photo content, English-language website, product data sheets.
• First mentions in trade media, platform catalogues (e.g., Archiproducts).
  

Year 2 – Entering the international stage

• Debut at design fairs: Salone del Mobile.Milano (iSaloni), Maison&Objet (Paris), Decorex or January Furniture Show (UK), ICFF (USA).
• Partnerships with architects and design studios, first HoReCa contract projects.
• Submissions to awards and competitions that build trust in the brand.
  

Year 3 – Consolidating trust and reputation

• Publications in international media (Dezeen, ArchDaily, Architectural Digest) and invitations to curated zones at fairs.
• Building a community around the brand: collaborations, limited editions, special projects.
• Optimising pricing and portfolio by sales channel.
  

Years 4–5 – Scaling up

• Entering new countries via distributors and showrooms, localising collections for markets.
• Spinning off capsule lines for segments (e.g., a dedicated HoReCa line).
• Margin growth driven by recognition and stronger price control.

Conclusion

Your own brand accumulates value and creates a durable advantage, while private label offers rapid access to volume with reduced margins and minimal manufacturer visibility. Balancing the two approaches lets you load production today and build brand capital for tomorrow.

Ready to choose your trajectory?

The Oakhunt team supports entry into the EU, UK and US markets – from positioning and collection readiness to selecting distributors and negotiating. Write to us – we’ll review your case and design an action plan.