Market provides clues on surviving tough times
David Perry, Executive Editor -- Furniture Today, April 21, 2008
With apologies to Mark Twain, we begin with this thought: The coldest winter I spent was spring in High Point.
Yes, the recent High Point Market started under gray skies as blustery winds swirled through the city. It was strange weather, which prompted one wag to offer this helpful thought: We need to fire the weatherman.
Now, as I write this column in the waning days of market, the sun is shining, flowers are sparkling in a gentle breeze, and spring shines forth in all its glory.
That contrast in the weather influences our thinking as we share our thoughts on the just-concluded market. The gray skies that haunted High Point early in the market aptly suggest the gray outlook that haunts the bedding industry, which moves into an ultra-challenging year in which bedding unit sales are expected to decline by 3% — the third straight year of unit declines, according to the International Sleep Products Assn.
While there is some debate in the business press about whether the economy is in a recession, there can be no doubt that the bedding industry is mired in a recession, and has been for some time.
When do we see the sunny skies? We are in the group that sees a rebound next year. Meanwhile, we must all make the best of 2008.
The retailers who shopped bedding showrooms in High Point are doing just that. Some major hitters were shopping for mattresses in the Bedding Center in Plaza Suites. They were impressed with a number of "green" products and other innovative lines, I was told.
Missing from High Point were retailers who are hunkering down and waiting for better days. While pulling back the travel dollars is the common response in tough times, it is, frankly, a big mistake. You simply can't sit on the sidelines and wait for sunny weather. This is a time for retailers to look for fresh new lines and new ideas. All it takes is one good idea — one good new line — to make market successful.
And, while we are offering our advice, we would add this: It's not productive to blame "the media" for the tough business climate. I ran into that absurd notion in one or two mattress showrooms, and I pushed back hard.
When I report that bedding units are down, I'm just telling you the facts. I'm not trying to be negative; the news itself is negative. But blaming "the media" for bad news serves no useful purpose. We all need to make a realistic assessment of the business climate. We need to cut costs, but plan for better days. Retailers need to continue advertising, a refrain I heard in mattress showroom after mattress showroom.
The gloom of our mattress winter will, at some point, be erased by the sunshine of better days. There is no need to panic. This (downturn), too, shall pass.
Contact David Perry at dperry@reedbusiness.com
