The European furniture market is undergoing rapid changes, and companies that embrace innovation and sustainability are thriving despite challenges. One such company is Arctic Holz, led by CEO and founder Adnan Lepirica, who is also the co-founder of Mobello Furniture. In an exclusive interview, we explore the journey of these two companies, the impact of the industry, and their future plans.
Five years ago, Adnan and three friends started Arctic Holz as a wood plate business, aiming to strengthen the supply chain. 'The project started during the peak of the COVID-19 pandemic, and we initially worked with wholesalers. However, we quickly realised that the lack of early information in the supply chain was a major issue. Production times in the wood business are long, and we could not afford to receive critical information so late,' Adnan explains. To solve this, they pivoted to working directly with end customers, focusing on high-quality wood production. While Arctic Holz specialises in wood materials, Mobello emerged as its furniture brand 2.5 years ago. The company operates in three key areas: producing its own furniture, manufacturing for other brands, and white-label production. This diversified approach has enabled Mobello to establish a strong presence in the DACH region, with recent expansions into the Benelux and Danish markets. 'For this year, we have plans to introduce our furniture collections in these new markets,' says Adnan.
Shifting strategies for success
Initially, Mobello targeted the mid-range market in Germany, selling exclusively online. However, the team quickly realised that the German market, while increasingly digital, still relies heavily on traditional sales methods. 'Selling online in Germany was a mistake for our mid-range segment. The expectation in this category is average quality, while we aimed for something higher. On top of that, Germans are very traditional buyers—online furniture sales are growing, but they remain a tricky business,' Adnan shares. This prompted Mobello to shift its strategy, focusing on high quality timeless designs like the Primavera collection, which blends Scandinavian aesthetics with functionality.
Mobello's next breakthrough came with the launch of the Unica collection, a series of naturally shaped furniture pieces that transformed leftover wood plates into stunning designs. 'Unica started as a way to use smaller wood pieces that were difficult to sell. We turned them into furniture, and it turned out to be a fantastic decision. The collection exceeded all our expectations,' Adnan says. The success of Unica positioned the company in the high-quality furniture market. This expansion also led to the acquisition of a partner in the U.S., helping Mobello establish operations on both continents and streamline logistics. 'We had no production in the U.S. at first, but extensive sales experience. Our partner had the opposite: a production facility but little experience in sales. We bought the company, and he stayed on as a partner. This allowed us to expand our operations and solve our logistics challenges. Now, we can deliver every piece to any part of the world,' Adnan explains.
A young company with a legacy of craftsmanship and heritage
At the heart of Mobello beats a heritage nearly a century old. 'Our story of wood and creation began with the birth of our grandfather Ibrahim in 1905. His first breaths and steps were taken in a cradle handcrafted by his father Ibro, who instilled his knowledge and passion for woodcraft to Ibrahim from early childhood.' Every piece of our furniture is the voice of past generations, as the brand describes in the video about its heritage. 'We represent the confluence of traditional craftsmanship and modern vision.' Take a look at the video here:
Sustainable design
Mobello's production hub is based in Bosnia and Herzegovina, one of the leading regions for luxury furniture craftsmanship. The company emphasises the human touch, ensuring that every piece undergoes a final hand-finished process. They also invest in training new artisans, preserving traditional skills while incorporating modern design principles.
As a forestry engineer, Adnan has always been passionate about sustainability and responsible wood sourcing. 'Wood is in my blood. Sustainability is something we could speak about for hours,'Anan laughs. 'What we've done so far is beyond what I ever dreamed,' he says. The company plants a tree for every product sold, having already planted over 300,000 trees. They own vast land dedicated to reforestation and aim to plant over 2 million trees in the next three years, completing a fully sustainable supply chain. Additionally, they use renewable energy sources, such as solar power, to minimise their environmental footprint.
Overcoming market challenges
The European furniture market is facing its toughest period yet. Many companies are hesitant to take risks due to economic uncertainties, making it challenging to attract investments. However, Adnan sees this as an opportunity for young companies like Arctic Holz and Mobello to establish themselves. 'It is a very difficult time for furniture businesses in Europe—the hardest ever, in fact. But for young companies like ours, it is the perfect moment to push forward and achieve our goals. We are growing exponentially, and while big companies are struggling, we can move quickly and adapt,' he explains.
Future plans
Looking ahead, Mobello has a busy agenda for 2025, with strategic participation in major trade fairs. High Point Market in North Carolina, taking place in April and October, is one of the most significant events, together with MOW Germany. Interzum will showcase Arctic Holz's expertise in wooden plates, while smaller designer fairs will provide a platform for Mobello's high-end collections to reach niche audiences. 'Last year, we participated in 13 fairs. This year, we are focusing on fewer but more impactful events, ensuring we make the right connections and showcase our best work,' Adnan concludes.
More information:
Mobello
[email protected]
www.mobello.com
Arctic Holz
[email protected]
www.arctic-holz.de
Germany