Latex, visco majors add more pizzazz at high end

Is the high end of the bedding marketplace headed for high adventure? Two recent developments answer that question in the affirmative.

The first is the release of a provocative study of the bedding market from Latex International, the nation’s only producer of latex mattresses. The study, done for the company by a major consulting firm, predicts that bedding selling for $1,000 and up will grow to account for the majority of bedding dollars spent by 2008.

According to the study, beds retailing for $1,000 and up accounted for almost 50% of the total dollars spent on bedding in 2004. By 2008, that category will grow to command 54% of all sales. And the study sees much of that growth fueled by the highest end of the market: beds retailing above $2,000. That ultra-high segment, which garnered 13.8% of sales in 2004, will represent 17% of the market by 2008, according to the study.

Furniture/Today’s market research indicates that 24% of U.S. households purchasing bedding in 2005 spent $1,000 or more. Further analysis suggests that those purchases accounted for fully 56% of all retail dollars spent on bedding that year. That is an eye-opening figure. Stay tuned for more insights in this area in the future.

Latex International is doing its part to boost the high end of the market. Its introduction of quiltable rolls of latex should further boost the fast-growing hybrid market (innerspring cores topped with specialty foams). And latex core mattresses are unquestionably on a strong upward growth curve at the $1,000-plus price points.

The second development is the big news just announced by specialty foam leader Tempur-Pedic. The visco-elastic bedding giant said that its GrandBed, to be introduced at the upcoming Las Vegas Market, will carry the grand price of $7,000 in king ($6,000 in queen). Those prices are about twice the previous highs in the Tempur-Pedic bedding line.

Tempur-Pedic officials said their dealers are asking for higher-priced visco beds, and note the company hasn’t been pushing the high-end threshold. That is certainly correct, given the growing number of ultra-high-end beds making their way to the market. (Heard about that $17,000 Hypnos bed?)

The GrandBed will establish a much higher umbrella over the Tempur-Pedic line, which should help boost sales of the previous top numbers in the line. And that will further boost sales at $2,000 and up.

Given that the bedding industry closely watches every move that Tempur-Pedic makes, we should not be surprised to see other producers also introducing new hyper-priced models. (Hmm, could “hyper-end” be a good term for beds at, say, $5,000 and up?)

It’s no surprise that foam producers are doing their part to further boost the high end. They have done a remarkable job of stimulating demand with compelling comfort stories, backed by strong marketing messages.   (to add public comments click on "Add your Comment" below, or to email Dave directly click here.)