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Casual dining offers flair plus affordability

By Jeff Linville -- Furniture Today, November 21, 2005

Casual dining sales continue to grow, eroding formal sales, thanks to the category's attractive price points and looks.

For years, occasional producers have trumpeted their goods as a way to jazz up a living room without the cost of replacing more-expensive sofas and recliners. Now, some casual dining manufacturers are touting similar benefits in their pieces for jazzing up a kitchen or great room.

Many homeowners want to update their living space, but it can be quite expensive to replace kitchen cabinets, appliances or a formal dining table, said John Michaelides, Linon's national sales manager. A gathering table or kitchen island is a more affordable alternative. And an RTA piece even provides that instant gratification many shoppers enjoy, he noted, as it can be assembled and used the same day.

Consumers want their homes to feel unique, Michaelides said, so they may opt for an island topped with butcher-block wood, granite or stainless steel. The average family can't afford to furnish an entire kitchen in such exotic materials, but a small piece like an island, server or baker's rack can spice up the area.

Other sources using mixed media include Riverside, with its nebula onyx granite for the Loft group; Reflections, with a one-inch granite top on its Brazilian import group Rio; and Cramco, with hot metal/wood looks as well as seven new laminates from its domestic plant.

A challenging environment

Retail is still slow, which puts an interesting twist on things, said Dave Shock, Cramco's national sales manager. Traffic appeared to be off at the October High Point market, but the company's 30 introductions were well received, he said.

According to Shock, Cramco saw "a ton of people" for the inaugural Las Vegas market in July, which led to a slow Tupelo market three weeks later. Tupelo is still a viable market, however, Shock said. It remains a key destination for promotional upholstery, and Cramco draws many of those upholstery buyers into its dining showroom there.

At the beginning of November, it was still too early to tell how this year will end up, said Shock. Summer was soft, but September and October showed signs of life.

Cramco filled in a number of style and price niches at the fall market. Two new sets for the upscale Michael Aaron line were hot, and so were promotional laminates in standard and pub heights.

In reviewing its lineup for High Point, Linon felt it needed to beef up its casual dining, and this fall "the report card has come back positive," said Michaelides. Some High Point vendors had said traffic was down in October, but Linon's count was up. "All in all, it was a tremendous market," he said.

Johnston Casuals had wondered how its traffic would hold up in the first High Point market following Las Vegas' debut in July. The company was pleased to see that the numbers actually were right on par with those from the October 2004 show.

Casual dining leader Canadel noted that traffic seemed down in many buildings this fall, but its own space was busy, thanks to its strong dining program as well as its expansion into bedroom furniture. The buyers who came were active, said Jean Deveault, vice president of sales and marketing. Exhibitors who did their jobs before and during the High Point market were sure to have success, he believed.

Charleston Forge also noted a strong High Point market. "Our sales are up 156% in six months, and the traffic in the showroom was impressive," said Kristin Gallucci, company spokesperson.

"Reflections continued to introduce new designs kicking off the High Point furniture market," said Alan Mintz, vice president of sales and marketing. "From the dealer base that viewed these new introductions, they were very well received."

Reflections' Canadian manufacturing facility has become busy again, Mintz said. "We believe the retailers are tired of the same old offshore imports that have saturated the marketplace. We have become a breath of fresh air."

The company's new looks include powder epoxy paints, a wide selection of new-age laminates (include a faux granite) and an expanding Gathering/Friendship group with 3-, 5-, 7- and 9-piece sets at counter height.

Lots of choices

Douglas approached the fall with two major introductions: the Old Hollywood group with a rich walnut finish on café tables, dining pieces and occasional tables; and a line of tilt/swivel seating.

Buyers were excited that Douglas returned to its roots with a multitude of options and special-order capabilities for the new chair designs, the company said. Mixing and matching tables and chairs offers 180 different configurations, not including a choice of 200 fabrics.

Saloom Furniture combined creativity with common sense in its new transitional dining, according to Becki Gould, director of marketing.

"Our October product introductions reflect a new product development strategy that incorporates a steady introduction of well-researched product," said President Peter Saloom. "We look and listen to sales reps and dealers, do comprehensive Internet research and in-store research to identify products for 'the heart of the market.' We interpret the styles that are in high demand, add New England quality and customization, for a truly powerful combination."

Response to these new products was "overwhelmingly positive," he added.

Saloom also used the October market to promote its corporate makeover, including a new logo.

"A lot of dealers are responding to the 'custom made in New England' message," said Gould. "We have heard dealers talking recently about ticket deflation and quality headaches that cost money. We definitely see a growing interest in high-quality customized product at healthier margins."

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