Mattress Retailing 101 -- What if the beds are made in China?
Sales associates divided on affect of imports
David Perry -- Furniture Today, December 28, 2006
Today’s topic: Selling beds produced in China.
Overview: There has been lots of talk in the industry about the impact that Chinese-made mattresses may make in the U.S. bedding market. At this point it is mostly talk. Some U.S. producers are testing Chinese-made bedding lines, and a growing number of Chinese producers are shipping their lines to the U.S., but the impact to date has been limited.
U.S. bedding producers, aware of the deep inroads Chinese producers have made in other home furnishings categories, aren't ruling China out yet. But they tend to believe the U.S. bedding model will be largely resistant to major inroads from China.
Sales associates we interviewed are divided on the advantages of selling Chinese-made beds.
Challenges: Chinese bedding producers face formidable challenges in their effort to compete with U.S. bedding producers, who make and ship bedding to their retailers almost every day. At this point, many sales associates don't have experience with Chinese-made beds, and thus can only offer their opinions of how those products would be received. Some say Chinese beds would have some disadvantages in the U.S. market.
Opportunities: The companies bringing in Chinese-made beds say they offer compelling values, and that is often a winning message at retail. If retailers find this a profitable category, considering all of the costs and issues involved, they will certainly pursue it.
What sales associates say:
Consumers don't care where the beds come from: "I don't think my customers would have any objection to Chinese mattresses, if the quality is there and the features are there. In that case, it shouldn't be a problem. Nobody has ever asked me where the bed was made."
U.S. goods are popular these days: "I wouldn't make this a selling point. U.S.-made goods are really popular right now, and have been since 9/11."
Consumers like a local bedding producer: "I tend to think that customers would have an objection to buying a mattress made in China. First of all, when I order a bed that's not in stock, my customers like the idea that I'm ordering a bed that will be made specially for them right here in our state. I often tell my customers about my numerous visits to our supplier's plant, and when they hear that I've seen where and how our beds are made, it seems to increase my customers' trust in me and in our brand."
Chinese beds would be perceived as a better value: "You get more product for the money due to lower labor costs."
U.S.-made beds are high-quality products: "I don't think that mattresses made in China would be seen as a better value simply because the issue of quality also comes into play. At our store, several lines have gone to importing their case goods, and we have seen a marked difference in the quality of the product that we receive from overseas. The damage is greater and more common and the overall product is often of a lesser quality than when it was made in the U.S. Consumers know that you might be able to save a few bucks by purchasing imported goods, but you often also lose overall quality. The mattresses that are being made now in the U.S. are such great quality and are already offered at very low prices. U.S.-made mattresses are perceived as a good value now, and I think they will continue to be perceived as a good value, even up against mattresses that are imported."
