Top 25 list shows tough year for bedding specialty stores
David Perry -- Furniture Today, November 25, 2010
David Perry Executive editor
How strange was 2009 in Mattressville? Consider these three facts:
1. The No. 1 bedding retailer had the worst year
of any leading mattress retailer.
2. One of the stronger performances was turned in by a major that had flat bedding revenues.
3. A majority of the Top 25 Bedding Retailers saw their sales go south last year.
This journey down memory lane comes to you courtesy of our latest look at the Top 25 Bedding Retailers, an eagerly anticipated report that ran earlier this month. That report - unlike our look at the Top 100 Furniture Stores, which encompasses furniture, bedding and decorative accessories - ranks the bedding retailers on bedding revenues alone.
It vividly outlines a dynamic retail landscape, one facing challenges and yet also offering opportunities.
One of the biggest surprises on the list is the relatively poor performance turned in last year by the bedding specialty stores, which have been the growth darlings of the mattress industry in recent years. The bedding specialists on the list collectively saw their bedding revenues drop 9.9% last year, the worst performance of any distribution channel.
The plunge downward was led by No. 1 Sleepy's, whose 16.5% bedding revenue decline in 2009 was the worst of any Top 25 Bedding Retailer. That retailer clearly has some work to do to regain its growing ways.
Faring much better last year was No. 2 Mattress Firm, which held its bedding revenues flat, a good performance in a down year. We continue to be impressed with the moves that Mattress Firm is making in the market.
But most sleep chains were down last year. The Sleep Train was off 8.8%, while Mattress Giant was down 10%. The America's Mattress network of stores was down 7%.
There were some winners last year. The "other" distribution channel, one that includes Big Lots and QVC, posted a 3.1% gain, the largest of any distribution channel on the Top 25 list. QVC posted a 4% gain in bedding revenues last year, while Big Lots was up 2.7%, according to our report.
And some furniture stores did remarkably well last year. Raymour & Flanigan posted a 7.2% increase in bedding revenues, a gain that Bob's Discount Furniture was able to match. Those were strong showings. Overall, the Top 25 were down last year by 5.3%, making 2009 a forgettable year.
The mattress industry is having a much better year this year, although business has been erratic and weak at times. We would think that the bedding specialty stores will post a nice rebound this year. Or are those nontraditional places to buy mattresses still on the ascent?
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Top 100 Furniture Stores grew sales 6.4% in 2011
May 22, 2012 -
Specialty stores finally grab top spot
Sep 2, 2007
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