Rug vendors take low-key approach to intros
Full slate of new rugs part of back-to-business strategy
By Lissa Wyman -- Furniture Today, October 14, 2001
HIGH POINT — Area rug vendors are coming to market with a lot of new product but little hoopla.
Some are postponing splashy new collections or cutting back on big parties that had been planned. Others will be going ahead with introductions but taking a low-key approach.
"We feel very strongly that we must go ahead with new products, and we are introducing our new Raymond Waites collection, as planned," said Paul D'huyvetter, senior vice president and general manager of Oriental Weavers USA. "Now, more than ever, we want to give buyers merchandise that is absolutely irresistible."
D'huyvetter noted, however, that gala party which had been originally scheduled for the kick off will be scaled down to a smaller Friday evening showroom event.
The switch in the hand-made/machine-made aesthetic is especially evident this fall. More hand-knotted and hand-tufted products are coming to the middle price range of $500 to $1,000 for 6' by 9' size.
To bring these products to market at those price points, the designs are moving toward simpler, less ornate looks. Meanwhile, makers of machine-made rugs are taking advantage of new technology by bringing more intricate multi-color looks to market that were once associated with hand-knotted goods.
Nourison had planned to introduce the Calvin Klein Home rug collection at High Point, but now that has been postponed, according to principal Alex Peykar. "We'll show it to key retailers in early November, and then have a full roll-out in January," he said.
There will still be plenty of new rugs in the Nourison showroom, Peykar promised. The company's new hand-tufted designs are expected to receive the most attention, as that mid-to-medium-high price category continues to grow in importance.
"The quality keeps getting better, and the production cycle keeps getting shorter. As a result, it has become a high-fashion category," said Peykar.
Time to get creative
When talk turns to new products, rug people perk up. "Whether it's economic or psychological, tough times call for even more creativity," said Charlie Peck, president of Trans Ocean Import Co.
He said the company's Hemingway licensed designs will be introduced on schedule in High Point. "There are four collections, priced at four levels from $299 to $1,499. They are all very appropriate to the Hemingway concept, all very saleable."
The Shaw Rug division will be rolling out its Tommy Bahama collection to home furnishings retailers in High Point. "We introduced the first patterns in July, and now we are bringing out a large group of designs," said Jeff Meadows, vice president of the Shaw division. "It's a program that is geared to higher taste levels, and it should have special appeal for furniture and home accent stores who want to maximize profitability in the rug business."
Couristan, in the midst of its 75th anniversary celebration, is continuing with new product plans. However, the company is canceling an anniversary gala later this year and instead will make a sizeable donation to various relief organizations.
"Although our nation has never been through anything like this, we are all eternal optimists, and we will survive," said Ron Couri, Couristan chief executive officer. "We will be bringing out many new product lines this fall, and for the most part it will be business as usual."
Several of Mohawk Home's new lines are moving toward soft-denier yarns. "It's an interesting new direction, and it's driven by consumers themselves. Both kids and adults are often barefoot in their homes. When they sprawl out on the rug in front of the TV, they want soft and comfortable," said Pat Moyer, vice president of marketing.
Patriotic attitudes
While each supplier has a different product strategy, all are in tune with the somber mood of the nation. In fact, some seem almost reluctant to report that business seems to be picking up, in spite of the uncertainty.
"We are an amazingly resilient people. We want to feel good; we want to be happy. We want to spend money," said John Feizy, chairman of Feizy Import & Export. "Our third quarter has been very strong, despite all the contrary indications in the market. Surprisingly, orders have continued to come through in the past few weeks."
"When the nation gets over the initial shock, there will be high energy directed to rebuilding. There is no question that things will come back in 2002," said Reza Momeni, president of Momeni Rug.
"People are spending more time in their homes, and so they will be spending more money on their homes. That may be a plus coming out of this mess," said Mark Ferullo, president of Central Oriental. "We're already seeing this happen. Weekend business in the stores seems to be phenomenal. Thank God for America."
Meadows, at Shaw's Rug Division, said the company will make some adjustments in its High Point introductory plans.
"We had intended to launch the Kathy Ireland Kids collection and Tommy Bahama naturals, but now that's been pushed back to January. However, we will introduce a major new licensing program with Susan Welsh," he said.
Like many other rug vendors, Meadows said that business has held up fairly well in the aftermath of the Sept. 11 tragedy. "Naturally, sales fell dramatically immediately after, but the last several weeks have picked up momentum," he said.
| There's a taste for the tropics in The Rug Market's Bahama collection of hand-stenciled jute rugs. Nassau design is $299 in 6' by 9'. |
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