High Point — Searching for new ideas to reverse a two-year sales slump, flat-pack furniture makers came to market with an array of styles and experiments testing new interpretations of old categories.
Response from retailers was warm, although both parties are still waiting for consumers to show more enthusiasm.
Speaking for O'Sullivan but making a comment that reflects the current attitude of the ready-to-assemble universe, Mike Franks, director of strategic planning, said, "We're focusing on areas of new business, avenues of additional growth. We don't think we can make it just by selling more of the same to the same set of customers."
"More of the same" translates into office and entertainment furniture. These are still stalwarts in RTA, with entertainment showing some vigor lately even if office has been turgid.
Neither category was ignored at market. Producers updated their office lineups for retailers who want to freshen their floors or hit some magic price points, and continued to adapt their TV stands and entertainment centers to keep pace with trends in consumer electronics.
But the biggest flat-pack story was storage, with several companies offering ideas for closets or the garage. Sauder introduced Closits by Lynette Jennings, O'Sullivan showed seven SKUs for garage storage or for utility closets, 4D Concepts offered a good-better-best closet system, and Schieder expanded on its metal-frame-with-laminate-cases storage system.
According to these producers, the response, from discounters and home-improvement stores in particular, was strong. They also said the storage products allow them to approach a merchant other than the furniture buyer, which means they are not competing for floor space with their own products.
For Sauder, the tie-in with TV personality and designer Lynette Jennings, who put her name on the successful QBits modular collection last fall, is building nice momentum and could continue to expand.
"The people we've shown it to who know closet storage have been very excited with the uniqueness of this system and impressed with the pricing," said Susan Dountas, director of marketing at Sauder.
Closits can help organize a nine-foot closet, with no drilling or hammering, for as little as $299 retail.
Updating kitchen and bath
Also at the show, buyers saw an increased emphasis on kitchen and bath — several generations advanced from the utility carts and microwave stands of yesteryear.
Sauder's Harbor View cottage collection included a $299 kitchen work center, with butcher-block top, that proved a strong item.
Creative Interiors generated enthusiasm for its assortment of kitchen pieces.
D-Scan, the Masco unit, drew interest with its bathroom vanities.
For the Dorel division Ameriwood, the major move was toward style and enhancements that may allow the company to expand its distribution to retailers who aren't comfortable with furniture priced below $100.
"Usually, we're known as an item house," said Jeff Sternklar, director of marketing. "This time, we focused a little more on collections, using more shapes, better papers and hardwares, and in some cases vacuum forming."
Ameriwood's Plantation collection, with crown moldings and thick tops, was the best example of this move to higher ground. The collection has four bedroom pieces as well as entertainment and office, which Ameriwood intends to package as a group with piece prices as high as $199.
"We were pleased with the reaction this received," Sternklar said.
For Bush, the new diversity includes furniture for premium electronics and the new Eric Morgan line of assembled case goods.
Paul Bush, chairman and chief executive officer, said both received positive reviews from buyers.
Growth through innovation
"The new higher-end electronics furniture is generating more than interest. It's out there and it's selling," he said. The core RTA product is "still there," he said, but "our real growth will come through innovation and by offering the customer something a little different."
At Carina, the Altra brand was expanded with a collection that blends solid-wood faces with a matching paper cases, allowing the company to hit the key $299 price point for a desk and hutch (see story at right).
