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Casual dining gets assertive

By Michael J. Knell -- Furniture Today, October 28, 2001

Casual dining asserted itself as a fashion category, particularly at the better and best price points.

Executives said the pressure is on to continuously produce new looks to meet ever-changing consumer tastes.

"Traditionally, you don't see major dining efforts in October," said Dan Masters, president of Richardson Bros. "We're building a merchandising plan that will see us bring out more new product more often. You have to evolve quickly."

"Our major customers are constantly looking for something new," said David Dunn, president and chief executive officer of category specialist Dinaire. "And it's not just table and chairs. It's the accessory pieces that people want to add to their kitchen."

"It's definitely a fashion item. Casual dining isn't just for the kitchen any more," said Chuck Zaionz, vice president of U.S. sales for Canadian specialist Dinec. "Consumers also are asking for a flow-through from dining into other areas of the home, so they're looking for good design."

Exhibitors reported that retailers are less concerned about turns and more interested in maximizing dollars per square foot, which means they have to floor goods that generate bigger tickets and better gross margins.

Imports now effectively own the promotional price points, forcing North American producers to speed up product development to stay ahead of the curve.

Furthermore, casual dining is finding new channels of distribution. What many would consider "down-and-dirty" sets — a table and four chairs at below $300 retail — are appearing on the floors of such mass merchandisers as Wal-Mart and Canada's Zeller's chain.

Despite this, retailers have to show entry-level product. There's still a customer for the product, and more affluent consumers can be stepped up to better goods.

"The $399 table and chair combination is understood by the retailer as being a necessity," said Dan Angus, senior vice president of sales and marketing for import house Ligo Products. "Many also are getting more dollars per square foot from casual dining than from almost any other category."

Although mixed media and other materials continued to gain ground at market, almost every supplier, whether importer or domestic producer, offered a solid-wood story.

In addition to much broader than usual introductions, the buzz at Canadian powerhouse Canadel was its new catalog, which looks much like a coffee-table book. The catalog supports a new merchandising approach designed to make the consumer's buying decision both easier and shorter.

"What we tried to do is make buying dining like buying a car — the consumer can pick and chose the options she wants," said Jean Deveault, vice president of sales and marketing.

Castered chairs also were featured at a number of companies.

Ligo had a winner with its dinette-in-a-box. The 36-inch by 48-inch table and four full-sized chairs retail for $299. A boxed set is on the counter in the back.
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