ISPA increases sales forecast for 2012
Jay McIntosh -- Furniture Today, March 30, 2012
ALEXANDRIA, Va. — Buoyed by a recovering economy and sharply higher mattress sales in January and February, the International Sleep Products Assn. has revised its 2012 sales forecast upward.
In a new forecast issued this week, ISPA is predicting gains of 3.5% in unit shipments and a 7.2% increase in the dollar value of bedding sales. That is up from gains of 1% and 4% that had been projected in the previous forecast last fall.
The bedding industry trade group cited improvements in the housing and labor markets and said the U.S. economy's growth "is expected to accelerate over the next two years as the economic headwinds that plagued the recovery start to abate." Meanwhile, ISPA's Bedding Barometer survey of a number of major producers reported gains of 18.6% in bedding unit shipments and 28% in dollar value in the first two months of 2012.
ISPA also updated its 2013 forecast, calling for a further gain of 3.4% in unit sales and 6.6% in dollar value.
In 2011, mattress unit sales rose 2.1% and the dollar value of shipments jumped 10.1%, according to ISPA's latest figures. The jump in dollars was based largely on the popularity of higher-end mattresses, including many in the specialty sleep arena.
"The 2012 value of mattress shipments is forecast to reach the industry's 2007 levels, but the units shipped in 2013 will remain well below the 2000 levels," the association said.
Unit shipments are projected at 36.7 million in 2012 and 38 million in 2013, while the dollar value is forecast to be $7 billion this year and $7.4 billion next year.
Average unit prices are expected to increase 3.7% in 2012 and 3.2% in 2013, ISPA said.