Buying groups are present in all kinds of industries. One field they have been playing an increasingly important role in lately is the furniture industry. Many independent furniture retailers are turning to such groups for help staying competitive.
According to a recent Furniture Today article, of the 14 major buying groups in the furniture industry, eight have seen growth in member stores and/or member count since 2016. And for some of these groups, this growth has been rather large.
Why the upped popularity of such groups in this industry? An industry analyst has pointed to various things beyond just the increased buying power that can come with such groups that are making these groups attractive to today’s independent furniture stores. This includes:
- Digital tools – Such groups can give companies access to digital services that they likely wouldn’t be able to get in-house. This can be an especially big issue given the importance of staying digitally competitive in today’s world.
- Finance considerations – There can be the possibility of getting better finance terms through participation in such groups.
As this illustrates, there are many different things that could lead a business owner to want to join or form a buying group. Now, a range of factors can impact how likely a company is to get the benefits it is seeking from participation in such a group. This includes how legal issues that come up for it in relation to the group are addressed. So, when business owners in any industry are looking to increase their company’s competitiveness through forming a buying group, they may want experienced guidance on buying group legal matters.