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Furniture|Today > Archives > 03/14/2005 Issue
Table of Contents
Furniture|Today -- 03/14/2005

Bedding Today
  • We're made for romance, but we talk low prices
    We are missing a huge opportunity in the bedding industry. Are Hollywood and countless consumer product marketers wrong to use sex to sell their merchandise? And yet we seldom go down that path. Why not? Please hear me out on this. I know this idea sounds outrageous in the prudish confines of our conventional marketing mindsets.

Editor's Desk
  • Don't overlook Chinese market
    Back in 2003, I wrote a column suggesting that domestic furniture makers looking for the next hot market take a look at China. My reasoning then, and today as well, centers on China's emerging middle class. Two years ago, China's middle class was a tidy group of some 400 million people. Needless to say, like everything else in that country, that number has grown since then.

Industry Numbers
  • Dorel surges despite RTA troubles
    Montreal— Despite a disappointing performance in its home furnishings segment, consumer products giant Dorel Inds. posted revenue gains of 42.7% and 44.8% in the fourth quarter and year, respectively, as net income surged 69.6% and 34.9% in the respective periods. In the fourth quarter, revenues came to $462 million, compared with $323.
  • FBI, Ethan Allen unlikely to meet expectations
    High Point— Furniture Brands International and Ethan Allen said last week that some of their numbers for the current quarter would be below Wall Street expectations. Furniture Brands, the biggest U.S. furniture manufacturer, said sales for the quarter ending March 31 would probably decline "in the mid-single digits" compared with last year's first quarter.
  • Leon's sales up 10.7% in '04
    Toronto— Aggressive merchandising and advertising helped give major retailer Leon's Furniture a 10.7% gain in sales last year to C$504.6 million. Earnings jumped even more, by 19.9% to C$46.1 million or C$2.41 per common share. Same-store sales were up 7.5% over 2003. Including C$165.3 million in sales by Leon's franchise stores, total revenues for 2004 came to C$669.
  • Sleep Country Canada sales, earnings jump
    Toronto— Increases in market share and unit sales in the fourth quarter and year drove double-digit jumps in sales and earnings for Sleep Country Canada, the country's largest specialty bedding retailer. Fourth-quarter revenues rose 14.1% to C$50.4 million from C$44.2 million in 2003's final quarter.

Insider's View
  • Full room groupings have been around awhile
    Our industry has a history of taking the merchandising concept du jour and running it out until it covers all regions and price points. Some of you no doubt remember the explosion of warehouse showrooms in the 1960s and 1970s. It started with Levitz and soon we had Mangurian's, Gold Key, Crossroads, Wickes and many others, some still with us.

News
  • Our Community
    Knoxville retailer raises $100K for local hospitals
    Farragut, Tenn.— Tim and Robin Harris invited the folks of Knoxville into their new home. As the owners and operators of Knoxville Wholesale Furniture, they wanted to show their friends and neighbors how their store's selection of midpriced furniture can create a designer home. They also wanted to support a good cause.
  • Our Community
    Bob's Discount Furniture launches campaign to support kids' education
    Manchester, Conn.— Bob's Discount Furniture is expanding its charitable efforts this year with a new campaign called Bob's Cares, which will focus on the needs of children and education. Bob's kicked off the campaign in February with Bob's Rockin' Reading Classroom Contest in conjunction with the national Read Across America campaign.
  • Our Community
    City Furniture honored for charity work
    Fort Lauderdale, Fla.— In honor of its charitable activity, City Furniture has been named the Outstanding Corporation by the Fort Lauderdale/Broward Chapter of the Assn. of Fundraising Professionals. City also won the group's Greater Miami Chamber of Commerce Julia Tuttle Award for Community Involvement and Corporate Citizenship.
  • Our Community
    Select Comfort donates beds to Ronald McDonald House
    Minneapolis— Select Comfort donated more than 1,100 of its Sleep Number beds to Ronald McDonald House Charities last year. The beds were sent to Ronald McDonald Houses in several cities, including Seattle; New Hyde Park, N.Y.; Morgantown, W.Va.; Temple, Texas; Memphis; and Dallas. The company became the official bed provider for Ronald McDonald House in 2001.
  • Our Community
    Wrangler Home donates $10,000 to First Book-Greensboro program
    Greensboro, N.C.— Wrangler Home, a division of VF Corp., has donated $10,000 to First Book-Greensboro, a local branch of the national non-profit literacy foundation based in Washington. Wrangler Home also supported Greensboro Brings Reading Home, a week-long children's literacy festival held last October.
  • Symetri aims to enhance search engine results
    High Point— Although search engine optimization rapidly is becoming standard practice in the online world, it still is relatively new in furniture, and Internet marketing companies like Symetri are trying to change that. Thousands of times every day, furniture shoppers enter search terms such as "bedroom" and "desk" at sites like Google, and companies like Shopzilla.
  • Regency House expects rapid growth this year
    Hickory, N.C.— Thanks in part to its expanding network of in-store galleries, case goods importer Regency House here expects another year of rapid growth in 2005. Officials are projecting at least an 18% increase in 2005 shipments, matching the percentage growth the 35-year-old company experienced in 2004.
  • Linens 'n Things adding more furniture to all stores
    Clifton, N.J.— Big-box home furnishings retailer Linens 'n Things is bulking up on furniture. The 494-unit retailer is rolling out furniture departments ranging from "a couple of hundred square feet to about 1,000 square feet" in all its stores, said Jack Moore, president and chief operating officer.
  • Rental dealers attend IFRA conference in New Orleans
    New Orleans— About 40 dealers attended the International Furniture Rental Assn. annual meeting here early this year for a program on business and legislative issues. Representatives of the rental industry's Big Four took part in a panel discussion on the industry outlook. Panelists were Paul Arnold of Cort, Robert W.
  • AP launching Olsen youth line
    Laurier-Station, Quebec— AP Inds. is launching a licensed youth line next month with teen celebrities Mary-Kate and Ashley Olsen. The Olsen twins, known from their TV show "Full House" and a slew of movies, have developed a brand with a wide range of products, from apparel to perfume to optical frames.
  • Interior Textiles taps George as vice president of sales
    Greensboro, N.C.— Scott George has joined the Interior Textiles division of International Textile Group in the new post of vice president of sales and marketing for its Cone Jacquards, Solar Cone and Burlington Contract businesses. George, who had been with Tietex, reports to Derrill Rice, president of the Interior Fabrics division.
  • Elite Leather to launch Lulu DK line in April
    High Point— For its first licensing deal, Elite Leather has picked a real lulu — Lulu DK, that is. Lulu de Kwiatkowski, founder and chief designer of New York-based Lulu DK Fabrics, will introduce leather upholstery and accent pieces for Elite at the High Point market this April. Lulu DK for Elite Leather — her first license too — will include three or four seating group...
  • Campus Crusade leader to speak at market Prayer Breakfast
    High Point— Two opportunities for fellowship in a Christian setting are planned for the April market here. The 11th annual Furniture Fellowship Prayer Breakfast will be held Wednesday, April 13, from 7 a.m. to 8 a.m. in the ballroom of the Green Wing on the 11th floor of the International Home Furnishings Center.
  • Michael Greene musical features Mackie costume
    Ossining, N.Y.— "Tzedakah!" — a musical about the value of charity co-written by retired Furniture/Today columnist Michael Greene — has been presented by the Ossining High School drama club here. Greene, a former furniture retailer, published children's author and composer, enlisted the support of noted fashion and furniture designer Bob Mackie, who designed an outfit for the ...
  • Easyhome seeks to settle class-action suit
    Toronto— Easyhome, Canada's largest rent-to-own furniture merchant, is moving to settle a class-action lawsuit in which some 70,000 customers allege they were charged excessive interest rates. Without admitting wrongdoing and subject to court approval, Easyhome proposes to pay claimants C$7.38 million in coupons, which can be used for new merchandise or be applied against existing rental ...
  • Italian company creates exotic chairs
    Manzano, Italy— Maybe he's the Michelangelo of the chair world. Marco Marcon and his company here, Nazionali Esportazione, turn out unusual chairs made of off-the-wall materials — nails welded together to make a frame, buttons of all sizes and shapes to make a seat, feathers for a back rest and squirts of silicone for cushioning.
  • Klaussner to expand World Vineyards; other licensees on tap
    Lexington, N.C.— World Vineyards is expanding its licensed furnishings line with a second collection and two new brand partners. World Vineyards, a brand-building and marketing company, developed the license with Flora Springs Winery & Vineyards, a third-generation California operation. Klaussner is the lead licensee and launched about 100 SKUs in case goods, upholstery and occasional...
  • 5-story showroom planned for High Point
    High Point— Mississippi furniture executive Scott Berry has announced plans to erect a five-story showroom building here on South Main Street across from the Radisson Hotel. The building, to be known at Windows On Main Street, will have a neoclassical-inspired design that includes balconies facing Main Street from the second and fifth floors and a rotunda on the top floor.
  • Transit hub work OK'd
    High Point— The High Point City Council has given final approval to the first phase of improvements to the furniture market's transportation hub, with work on the $1.7 million project set to begin shortly after the April market. Council members approved the city's purchase of about one- half acre of land from Showplace, the showroom building that faces the hub along Commerce Avenue.
  • Bernhardt to end production at Plant 2
    Lenoir, N.C.— High-end manufacturer and importer Bernhardt will cease manufacturing at its 350,000-square-foot Plant 2 case goods facility here within the next 60 days. The move essentially takes Bernhardt out of domestic manufacturing for residential case goods. Plant 2 will convert to a warehousing, product development and quality control center.
  • Bizzarri enters U.S. market
    High Point— Bizzarri, an upscale Italian custom leather seating maker from Forli, will make its formal U.S. debut at April's High Point market. Bizzarri will target high-end specialty stores and better department stores with 20 contemporary introductions at Showplace, space 3618. The collection emphasizes full aniline European hides, cut by hand, and such tailored enhancements as reinforc...
  • H.P. market condos available
    High Point— A metro Washington furniture store owner is the first occupant of a new downtown High Point condominium that aims to attract other like-minded industry executives. Mike Huber, CEO of Dulles, Va.-based Belfort Furniture, completed work on his company's two condo units at 212 N. Main St.
  • New financing to expand First Pacific's reach
    Mission Viejo, Calif.— First Pacific Furniture, parent company of high-end occasional importer J.D. Young & Sons, has closed a financing package it says will support the company's expansion into a variety of price points. J.D. Young & Sons opened last year as a division of First Pacific Furniture, an OEM supplier.
  • Furnitureland South revamps Web site
    High Point— Furnitureland South has unveiled a Web site redesign that aims to project its lifestyle-based branding campaign as well as better reflect the way consumers have been using the site. The new design enables targeted, database-driven e-mail marketing and it automates how sales associates receive consumer inquiries, distributing them on an "up" system similar to that used on the s...
  • KETS, De Leo to boost Showtime space
    Fairfield, N.J.— De Leo Textiles and Kadifeteks, or KETS, the Turkish line distributed in the United States by De Leo, will have a larger, shared space at Showtime fabric shows. CEO Craig De Leo said January's Showtime was a giant leap in KETS' bid to establish itself in the upholstery fabric business.
  • Sunbrella receives two ADEX awards
    Glen Raven, N.C.— Two Sunbrella furniture fabric collections have received ADEX Awards for Design Excellence in an annual competition sponsored by Design Journal, a trade publication for interior designers, architects and facility managers. The Sunbrella Rose chenille collection received a platinum award and the Sunbrella Scarlet collection received a gold trophy.
  • Greater Midwest HFA hosts awards
    Elmwood Park, Ill.— More than 250 industry members and their guests attended the Greater Midwest Home Furnishings Assn.'s awards party and Toys for Tots gift drive event here. Several award winners were presented plaques for their industry achievements, including: Joliet, Ill. His father received the same award in 1994.
  • Designer lines set to go: Barbara Barry to launch at Henredon, Bloomie's
    New York— With two furniture and home furnishings collections set to launch — this week at Bloomingdale's in New York and next month at Henredon in High Point — California designer Barbara Barry has room to express her philosophy. She sees her home products as offering "true luxury that is not about opulence or great expense.
  • Designer lines set to go: Hampton fills father's shoes at Hickory Chair
    Hickory, N.C.— Alexa Hampton, president and featured designer of Mark Hampton Inc., has created a 40-piece collection of classically styled furniture for Hickory Chair to be introduced this week at premarket in High Point. Hampton, the daughter of late design icon Mark Hampton, joins Thomas O'Brien and Mariette Himes Gomez as the design trio for Hickory Chair, "all offering classic design...
  • S&P downgrades Levitz debt rating
    Woodbury, N.Y.— Levitz Home Furnishings Inc.'s debt rating was downgraded last week to junk bond status by Standard & Poor's Ratings Services with a negative outlook, after a tough quarter and disruption in vendor shipments at the end of the calendar year. The corporate credit downgrade to CCC from B- was based on the Top 100 company's "sharp decline in profitability in the fiscal thi...
  • Chris Madden adds more fashion to JCPenney line
    Plano, Texas— JCPenney is adding three furniture collections and two product categories — entertainment centers and casual dining — to its popular Turning Home into Haven home furnishings line designed by Chris Madden for JCPenney. The new line is "even more fashion forward" than the original, said Charles Chinni, executive vice president, general merchandise manager, home.
  • Standing by Martha
    Lenoir, N.C.— Bernhardt Furniture's decision to stand by Martha Stewart through her legal problems is looking pretty smart these days. Stewart is out of prison, her company's stock price is soaring, she has a new television show in the works, and stories of her activities and relations with fellow inmates have shown the public a softer side to the home and entertainment gu-ru's sometimes ...
  • National FR regs in 2007?
    Alexandria, Va.— The International Sleep Products Assn. says a U.S. national mattress flammability standard may not take effect until January 2007. ISPA shared that assessment with its members last week in an online update. It is the first public attempt by the industry to predict a compliance date in the wake of developments at the U.
  • WithIt hosts national conference May 10–12
    High Point— Women in the Home Industries Today (WithIt) will host a national conference May 10–12 at AmericasMart in Atlanta with the theme, Developing Leaders for 2010. The conference will feature two tracks of workshops, Track A for corporate or entrepreneurial executives and Track B for advancing professionals.
  • China backs its 3F show
    Dongguan, China— China's Ministry of Commerce has named the International Famous Furniture Fair, or 3F, as one of its "strongly supported exhibitions" for 2005. This month's 3F show, sponsored by the Dongguan People's Government, will host more than 500 exhibitors in about 2.2 million square feet in the Guangdong Modern International Exhibition Center here.
  • Traffic up 8.5% at Paris show
    Paris— Reported attendance was up 8.5% at January's Maison & Objet home furnishings show here, although North American representation slipped 6%. Organizers of the show said 70,419 buyers attended, up from 64,915 at the January 2004 edition. Of the total, about one third were from outside France.
  • Burgess family in larger store
    Osprey, Fla.— The Daniel Lynch Co. conducted a sale earlier this year at an Ethan Allen Home Interiors store here operated by the Burgess family, which was closing the store before opening a larger unit nearby. It was the 150th Ethan Allen store sale by the Lynch company, which continues to help the organization's dealers with remodeling and relocation events.
  • 'No budget' buyers drive high-end motion
    High Point— Home theater seating has never been targeted to consumers with tight budgets, but there's a rapidly growing niche aimed at those who, in effect, have no budget at all. These ultra high-end products can add thousands of dollars to the cost of a home theater room or media room, but considering that many such rooms have tabs of $50,000 to $100,000 or more, the homeowners hardly n...
  • Butera opens home store, plans more
    Los Angeles— Designer, manufacturer and retailer Barclay Butera has opened the first Barclay Butera Home store in Newport Beach, Calif. The 2,900 square-foot-square showroom is a companion store to the 11-year-old Barclay Butera Collection showroom in Newport Beach and is the first of five new stores projected for this year.
  • Lane brings West Indies to Mexico
    Mexico City— Lane's licensed National Geographic West Indies collection has debuted at Mexico's largest retailer, Liverpool Department Stores. A party at the Hotel Camino Real's Moon Bar in Mexico City kicked off the launch. Liverpool, named after the English port where goods destined for Mexico once were dispatched, is showcasing the West Indies collection in 11 of its stores that carry ...
  • Florida's China Direct adds furniture division
    Davie, Fla.— China Direct Trading Corp., a South Florida-based importer, is adding furniture to its product mix through an alliance with Beijing Hua Wei Furniture Co. The company has hired industry veteran Lee Corson to help guide its new furniture division. Corson's company, case goods and upholstery importer Corson Furniture International, will help oversee design, marketing and distrib...
  • Nicoletti planning store in Shanghai
    Matera, Italy— Leather upholstery maker Nicoletti, which opened a factory in China six months ago, says it also plans to open a brand-name store in Shanghai this year in an effort to develop a marketing network in the country. The company said its new "international production strategy" was prompted by increased challenges from global trade and a strengthened euro.
  • Caliaitalia debuts China line
    High Point— Italy-based leather upholstery manufacturer Caliaitalia is debuting at premarket here its Asian-based subsidiary Divextra, featuring Italian looks made in China and sharply priced for the U.S. market. The 25-frame assortment of contemporary, modern, traditional and transitional styles is dressed in full aniline, corrected grain and microfiber covers.
  • Parks to direct IHFRA
    High Point— Industry veteran Kathy Parks has joined the International Home Furnishings Representatives Assn. as executive director. She has been active in the industry for 15 years, including eight years as director of international services for the International Home Furnishings Center. She also has managed the Paul Robinson showroom and worked as a sales rep for Lane, Hickory Chair and ...
  • Kelly gets new Canadel post
    Louiseville, Quebec— Casual dining powerhouse Canadel has promoted Robert Kelly Jr. to the new post of senior vice president of sales. He previously was a sales representative for Canadel and Legacy Leather in Minnesota. Kelly will oversee the sales force and reports to Jean Deveault, vice president of sales and marketing.
  • 400 Kmarts to become Sears
    Hoffman Estates, Ill.— About 400 Kmart stores will be converted to Sears nameplates over the next three years, Kmart Holdings disclosed last week in a filing with the U.S. Securities and Exchange Commission. Kmart and Sears are expected to be merged into Sears Holdings later this month. One expected result of the pairing is the sharing of some proprietary brands.
  • Vaughan, La-Z-Boy use AHFA program; earn environmental honors
    High Point— By taking part in a voluntary environmental management system created by the American Home Furnishings Alliance, two furniture manufacturers have earned recognition from state-level environmental quality programs. Vaughan Furniture's E.C. Dodson plant in Galax, Va., and La-Z-Boy Utah each have programs based on AHFA's Enhancing Furniture's Environmental Culture program.

Opinion Today
  • Letters to the Editor
    Letter to the editor
    Letter 'misstated the facts' I would like to respond to Roger Berkley's letter to the editor titled "China conducting 'no-holds-barred assault' on U.S. textile industry" on page 38 in the Feb. 28 Furniture/Today. I respect that Berkley is entitled to his opinion, but he has simply misstated the facts.

People Today
  • Crump to manage Clayton Marcus galleries
    Hickory, N.C.— Mendy Crump has joined upholstery manufacturer Clayton Marcus as gallery and showroom manager. She is responsible for all aspects of the company's gallery program and its High Point showroom. She reports to Mac McCall, vice president of sales. Crump previously was responsible for the interior design of Broyhill's showrooms and company-owned Home Collection stores.
  • People on the Move
    People on the Move
    Executives Shoppers Charge Accounts Mahwah, N.J. — Robert J. Noren has been promoted to senior vice president/chief operations officer at private-label credit card provider Shoppers Charge Accounts. He will continue to direct the company's credit, customer service and collections, and assumes responsibility for special projects and compliance.
  • W.S. Badcock honors top associate dealers
    Mulberry, Fla.— Top 100 retailer W.S. Badcock Corp. recently honored its top associate dealers. Ed Braxton of the Greenville, N.C., store won the President's Cup award, given to the top associate dealer based on sales, receipts, price differences, inventory control and accounts receivable. Several dealers won Outstanding Performance Awards, based on the same criteria.

Special Report
  • Styling advances expand the reach of promo BR
    High Point— In the past two years, promotional goods have increased their share of the master bedroom market, increasing from $780 million, or 10% of total consumer spending in the category in 2002, to $1.3 billion, or 16% of 2004 master bedroom purchases. That's according to findings of the 2003 and 2005 Furniture/Today Consumer Buying Trends Survey, which defines promotional bedroom as ...
  • Market Report
    Innovation in spotlight at Portugal's export show
    Porto, Portugal— With Portugal's economy struggling, manufacturers and organizers of the Export Home show here emphasized novelty, creative design and business beyond the country's borders as a way out of the doldrums. Exhibitors at the 17th edition of this northern Portugal trade show tried to stay ahead of the stagnant economy and continuing pressure from low-cost Chinese knockoffs with...
  • Market Report
    Eclectic Singapore
    Singapore— The International Furniture Fair Singapore/ASEAN Furniture Show once again positioned itself as the High Point of Southeast Asia with a diverse mix of product appealing to buyers from around the world. With styles ranging from traditional and French Country to transitional and contemporary, the show had a good balance of case goods and upholstery, in fabric and leather.
  • Market Report
    Singapore to build complex with year-round showrooms
    Singapore— The Singapore Furniture Industries Council, seeking to turn this city-state into a year-round furniture hub, will help build a 260,000-square-foot showroom, warehouse and office complex called the International Furniture Center. About 70% of the complex will house permanent furniture showrooms, while 20%, or 52,000 square feet, will be warehouse space designed for exporting.
  • Brazil's high end eyes bigger slice of U.S. pie
    Sao Paulo, Brazil— High-end Brazilian furniture manufacturers have given up on competing with China and are focusing on taking market share from other countries. "In price, it is impossible to compete with China," said Daniel Bender, a spokesman for Moveis James, which has 10 years experience exporting to such U.
  • U.S. buyers like what they see
    Sao Paulo, Brazil— Dale Nutter, vice president of business development for Birmingham, Ala.-based retailer Chordus, made his first trip to Brazil recently and generally liked what he saw. His comments were typical of several U.S. buyers at the ABIMAD show here, most of whom went home with the names of potential suppliers.
  • Elite group's motto: Be ready
    Sao Paulo, Brazil— ABIMAD, the high-end Brazilian furniture association, has formed an invitation-only consortium of manufacturers aimed at manufacturing and marketing furniture in the United States and Canada. Julio Negri, general manager of the consortium — called Ineo, which means "start" in Portuguese — said the group has eight member companies, with more to be added.

Store Openings
  • Thomasville opens two
    Thomasville, N.C.— Thomasville has opened two stores in California and New Jersey. In Fairfield, Calif., a fourth California store has been opened by the McKeon family, joining their Bakersfield, Santa Clarita and Roseville. Joseph W. McKeon is managing the 8,000-square-foot Fairfield store. The store is on Gateway Boulevard in the Gateway Courtyard Center.
  • Slumberland enters Wichita
    Wichita, Kan.— Slumberland Furniture has opened two stores in this Kansas city. Grand opening festivities raised over $5,000 for the Wichita Habitat for Humanity. "We are so pleased with the overall success of the grand opening in the great city of Wichita, and we are delighted to continue collecting donations for this great cause," said Slumberland founder Ken Larson.
  • Crazy Joe's sets up DeCoro
    Howell, N.J.— Retailer Crazy Joe's Furniture opened its first DeCoro leather upholstery gallery in its store here. The second gallery is set for the Crazy Joe's store in Brick, N.J. The 1,800-square-foot DeCoro gallery in Howell offers a choice of fabrics and leathers on DeCoro's contemporary, traditional and motion upholstery.
  • 2nd Kincaid store debuts in Calgary
    Calgary, Alberta— Kincaid Furniture, a provider of solid wood case goods and custom upholstery, has opened its latest Kincaid Home Furnishings store here. Located in the heart of Calgary's "furniture row," the 7,000-square-foot store on 46th Avenue SE is the second Kincaid store for owner Cam Davidson.
  • DOTI in Scottsdale
    Scottsdale, Ariz.— Designs Of The Interior, or DOTI, has opened a franchised interior design and home furnishings store here on North Scottsdale Road at The Summit, owned and operated by Brad and Julie Livengood. The 4,500-square-foot store offers upscale furniture, window treatments, accessories, rugs, lighting and wall coverings, with complete design services.

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