Rug vendors happy with buying activity in Vegas
By Lissa Wyman -- Furniture Today, February 4, 2008
Las Vegas — There wasn't much whining in Las Vegas rug showrooms last week. Vendors said they were pleased with buying activity at showrooms here and also at the previous week's Atlanta International Rug Market.
"Everyone is cautious, but they are placing orders. After all, they're buyers and that's their job," said Cyrus Yaraghi, a principal of Safavieh, who added that the market has become an important venue for selling overseas customers.
"We had people here from South America, the Pacific Rim and China," said Yaraghi. "They are hungry for American-designed products."
Retailers weren't talking about the economy too much, noted Alex Peykar, a principal of Nourison. "The national media seems to be creating much of the anxiety," he said. "But if we concentrate on what we do best, we will be okay. Fortunately, we specialize in mid-to-high-end products, so we are not heavily affected by the foreclosure crisis."
Satya Tiwari, president of Surya, said that innovative companies can create enough excitement in the market to rise above the economic conditions. "We don't want to hear the 'R Word' in this showroom," said Tiwari.
He said Surya has done well with its diversified product mix of coordinated rugs, wall art, pillows and throws.
Many rug suppliers tried to capture the attention of buyers with value-driven, innovative products.
"Our new product launches were as strong as any we've had when the economy is on the upswing, which shows that if you have the right products, people will buy," said Mike Riley, president of Oriental Weavers of America.
Michael Shabtai, president of The Rug Market, which focuses on non-traditional rugs for the furniture, home accent and gift store channels, said that high-fashion products kept sales ahead 17% in 2007.
"Every market takes a few years to build, but eventually, Las Vegas will be one of the great markets, especially for the West Coast," said Kami Navid, executive vice president of Jaunty Rugs. "When the third building opens this summer and we get a few more big players as exhibitors, we'll see even bigger crowds."
Austin Craley, vice president of sales for Momeni, said the company does not expect much buyer overlap between markets in Atlanta, Las Vegas and New York, adding that some buyers are hitting every event.
"Large companies with different geographical divisions want to bring in their regional managers, and a few major buyers sit down with us at every market," he said.
Loloi Rugs has three new collections this season, which resulted in full showrooms in Atlanta and Las Vegas, said Amir Loloi, president of the four-year-old importing company.
He said the Las Vegas Market, with a more fashion-oriented audience, differs greatly from the Atlanta event. "Home furnishings people especially respond to the way we merchandise our products in lifestyle settings rather than with traditional rug racks," he said.
