Monthly Issue
From Home Furnishing Business
Editor’s Letter: Time for Introspection
December 29,
2023 by HFBusiness Staff in Business Strategy, Industry 
by Bob George,
For the last two quarters, the industry has been engrossed with the discussion of the pending industry downturn. While the traditional furniture industry was focused on what was happening in High Point, the balance of the industry was going about selling furniture in a challenging but still stable economy. The graphic below presents the TOTAL furniture/bedding industry sold through ALL DISTRIBUTION CHANNELS:
While the industry, at least the traditional industry, is experiencing a downturn, the total industry including furniture and bedding sold through all channels is holding steady, as can be seen in the graphic above.
The product sold through furniture stores, those retailers that derive at least 70% of revenue in the furniture/bedding products are declining at a greater pace than total consumer furniture purchasers. The graphic here compares: The first consideration in your market: what percentage of your target consumers consider you when they start the purchasing process (57.7%); what percent follow through and shop (48.3%); what percent fail to purchase (48.2%); and what percent purchase (51.3%) reflecting your market share? The statistics are for regional chains nationally.
The next consideration is what percent of your sales are to Millennials (26.9% nationally); to Generation X (36.7% nationally); or Baby Boomers (29.5% nationally)? Simply put, if you are not performing. First examine your operation before saying it’s the industry.
