Ever wondered why commercial furniture prices vary so much? From sleek office desks to durable restaurant seating, several factors influence the final cost. In this article, we’ll break down the key components that drive prices—covering everything from raw materials and labour costs to customisation, finishes, and intricate features. We’ll provide real-world examples of furniture costs, helping you to better understand the pricing landscape and make informed decisions for your business.
1. Raw Materials
The cost of raw materials, like wood, metal, foam, and plastics, plays a major role in determining the price of commercial furniture. Material prices fluctuate due to various factors, including supply and demand, environmental issues, and trade conditions.
Why Raw Material Prices Rise
- Supply Shortages: Natural disasters (like wildfires) or pest infestations limit timber supply, raising material costs.
- Trade Disputes: Tariffs or trade conflicts between countries can make raw materials more expensive.
- Environmental Factors: Climate change and other environmental factors can disrupt production and drive costs up.
Why Raw Materials Can Help Lower Costs
- Local Sourcing: Using locally available materials can reduce transportation costs and avoid import issues. For example, in New Zealand, locally sourced pine is inexpensive because it's plentiful and doesn’t require shipping from overseas.
- Alternative Materials: Using engineered wood or composites can reduce costs, especially when timber is scarce.
Hardwoods vs. Softwoods in Furniture Costs
- Hardwoods (Ash, Oak): Hardwoods are more expensive because they grow slower, take decades to mature, and require specialised processing. Their strength, durability, and aesthetic appeal, justify the higher price.
- Softwoods (Pine): Softwoods like pine grow faster than hardwoods (10-20 years) and are easier to process. They are widely available, less expensive, and ideal for budget-conscious commercial furniture production.
Growth Time and Cost Implications
- Oak: Takes 40-60 years to mature, resulting in limited supply and higher cost.
- Pine: Matures in 10-20 years, is plentiful, and keeps costs lower.
- Ash: Grows in 30-40 years, offering a balance between cost and durability.
2. Labour Costs
Labour costs are a significant part of the price of commercial furniture. The complexity of the design, the level of skill required, and the location of production all influence labour costs.
Why Labour Costs Can Increase
- Skilled Labour: Commercial furniture requires skilled workers—carpenters, upholsterers, and designers—who demand higher wages due to their specialised expertise.
- Customisation: Custom designs take longer and require more effort, adding to labour costs.
- Location of Production: Manufacturing in countries with higher wages or stricter labour laws (like New Zealand) leads to higher labour costs.
- Durability: Furniture made to withstand heavy use requires more labour to ensure it is reinforced and durable.
- Health & Safety Compliance: Adhering to safety regulations increases the time and cost needed for training and equipment.
Why Labor Costs Can Decrease
- Automation: Technology and automation reduce the need for manual labour, increasing efficiency and lowering overall costs.
- Mass Production: Mass-producing standardised designs spreads labour costs across more units, reducing the cost per unit.
- Outsourcing: Manufacturing in countries with lower wages can cut labour costs, although it may result in longer lead times and lower quality control.
- Simpler Designs: Furniture with simpler, less complex designs requires fewer hours of skilled labour, lowering production costs.
3. Custom vs. Non-Custom Furniture
Custom-made furniture is often the best choice for businesses that require specific sizes, branding elements, or unique designs to match their space. However, custom-made furniture tends to be more expensive than non-custom, mass-produced furniture. The cost differences stem from several key factors.
Why Custom Furniture Costs More
- Personalised Design: Custom pieces require more time for design and adjustments to meet specific needs, adding to the cost.
- Higher Labor Costs: Skilled artisans spend more time crafting each piece, which increases labour costs.
- Longer Production Times: Custom furniture takes longer to make, meaning higher production costs.
- Specialised Services: Design consultations and tailored features add to the overall cost of custom furniture.
- Lower Production Volume: Fewer units are produced, meaning higher costs per piece compared to mass-produced items.
Why Non-Custom Furniture Costs Less
- Mass Production: Standardised designs benefit from economies of scale, which reduce labour and material costs.
- Lower Labor Costs: Non-custom furniture is often produced using automated processes, reducing the need for manual labour.
- Faster Production: Mass production for bulk furniture orders is faster, reducing time and labour costs.
- Standardised Materials: Using the same materials for multiple pieces makes production more efficient and cost-effective.
4. Finishes
The type of finish applied to commercial furniture can impact both the initial cost and long-term maintenance costs. Single Pot (1-Pot) Lacquer and Double Pot (2-Pot) Lacquer are two popular finishes, each with distinct cost implications.
1-Pot Lacquer
Why Costs Go Down:
- Easy Application: 1-pot lacquer is ready to use and doesn’t require mixing, saving on labour costs.
- Lower Material Costs: It doesn't require hardeners or extra components, keeping material costs lower.
- Quick Drying: Faster drying times mean more pieces can be produced in less time, reducing inventory and storage costs.
- Lower Equipment Needs: It doesn’t require specialised tools or training, reducing operational costs.
Why Costs Go Up:
- Less Durable: 1-pot lacquer is less resistant to wear and tear, so furniture may need refinishing or replacement sooner, increasing long-term costs.
- Frequent Maintenance: More upkeep may be needed due to its susceptibility to scratches and damage.
2-Pot Lacquer
Why Costs Go Down:
- More Durable: 2-pot lacquer is stronger and more resistant to damage, meaning the furniture lasts longer in high-traffic environments, saving money on repairs and replacements.
- Lower Maintenance: The tough finish requires less frequent maintenance, making it a more cost-effective choice in the long term.
Why Costs Go Up:
- Higher Material Costs: 2-pot lacquer requires both a base and hardener, increasing material expenses.
- Longer Application Time: The mixing and curing process adds time to production, increasing labour costs.
- Specialised Equipment and Training: Workers need additional training and tools to apply 2-pot lacquer, raising operational costs.
Summary
- 1-Pot Lacquer: While it’s cheaper to apply upfront, it may result in higher long-term costs due to its lower durability and need for more frequent maintenance.
- 2-Pot Lacquer: Though it requires more time and higher materials costs initially, its durability and low maintenance make it a better investment for commercial furniture in high-traffic spaces.
6. Detail Features
More intricate furniture designs naturally come at a higher price than simpler designs, due to additional processes and hand work involved. Here are some features that can increase the cost of your furniture:
1. Panels – Flat vs. Detailing or Edge Profiling
- Some of our furniture ranges, feature flat panels in the doors or on the sides, and straight edges, such as our Ivy 3 Drawer Bedside Table (pictured left).
- Many others, such as our Arthur Bedside Table (pictured right), have some form of detailing, whether that’s grooves, handle cut-outs or bevelled edges.
- These features require more work, units with this additional detailing, typically cost more than those with plain, flat panels.
2. Legs – Straight vs. Tapered
- Straight legs, like those on our Charleston Dining Table (pictured left) are the simplest type of leg design and therefore the most economical.
- Tapered legs on the other hand, like those on our Cairo Dining Table (pictured right) involve a more complex manufacturing process, contributing to the higher cost of the product.
3. Timber Thickness
- Our different furniture ranges use timber of varying thickness amounts, with the most common being 45mm, 30mm and 20mm.
- The 45mm timber, like that used for our Barc Coffee Table tops (pictured right), costs more per square metre than the 20mm, like our Cairo Coffee Table tops (pictured left), which is another contributing factor to the overall cost of the item.
Examples of Furniture Cost
Bed Frames: $377 - $4610
Bedside Tables: $173 - $1113
Tallboys: $584 - $2310
Lowboys: $665 - $2363
Headboards: $209 - $1737
Dining Tables: $368 - $3222
Dining Chairs: $98 - $599
Buffets & Sideboards: $1572 - $2549
Entertainment Units: $509 - $1949
Hall Tables: $494 - $1184
Coffee Tables: $269 - $1347
Side Tables: $188 - $844
Bookcases: $524 - $674
Desks: $500 - $2684
Need a custom solution for your business? Contact us for bulk order pricing or custom commercial furniture options.
Where can I find out the price of your furniture?
Looking for commercial furniture pricing? On the Coastwood Commercial website, you’ll find clear pricing for each product under its title.
- Need standard pieces quickly? Simply select your items and click ‘Add to Cart’.
- Ordering bulk furniture or need custom specifications? Click ‘Add to Quote’ and our team will provide tailored commercial pricing based on quantity, dimensions, and any specific requirements.
With Coastwood, you're not just purchasing furniture; you're investing in quality, local craftsmanship, and design that stands the test of time. Whether you’re furnishing an apartment, restaurant, hotel, or communal space, we provide custom solutions with the assurance of lasting value and enduring style as we stand strong behind our 10-year commercial quality guarantee.
Explore our collections and discover the Coastwood Commercial difference today.
