Millennials Now Largest Home Buyers

July 12, 2016   by in Business Strategy, Industry   

The Millennials are the most researched generation in history as marketers try to predict how they will spend its estimated $200 up to $600 billion dollars annually starting next year. Also known as Generation Y, these young adults, ages approximately 17 to 34, represent the largest generational cohort in history with numbers now exceeding 83 million.

Numerous articles and studies imply this generation intends to spend more of its money on experiences and less on things. However, other studies are showing these 17 to 34 year olds actually want many of the same things as previous generations – to settle down, buy a home, and have a family. And while that may be true, those American dreams have been hard to come by. Though home ownership rates are still falling for Millennials, for the last three years these young adults have become the largest age segment of home buyers, according to the National Association of Realtors.

This is the second of two articles profiling Millennials. Last month’s article explored demographically how the Millennials have altered the population, income, education, and household characteristics of young adults. This article delves into Millennial home buying trends, shopping attitudes and habits and whether they lend themselves to home furnishings purchases in the future.

While Figure 1 shows how the sheer size and education of this generation will lend itself to consumers pouring into prime furniture buying years, Figure 2 depicts the negative results of the Great Recession and a delay in marriage and homeownership among Millennials.

Millennials are therefore arriving late to the home buying industry and in turn the home furnishings industry. But studies show many Millennials actually would prefer to own rather than rent, but opportunity and financial barriers are hindering them. These first-time home buyers have been sitting out the housing recovery largely because of financial reasons. The Great Recession ushered in a poor job market to go with the average Millennials increasing college debt.

According to The Institute for College Access and Success (TICAS) Project on Student Debt (Table A), the graduates with debt grew from 65 percent in 2004 to 69 percent in 2014 to an average of $28,000. In fact, the Census Bureau reports that one in five young adults is living in poverty, up from one in seven in 1980.

Along with staggering college debt, young adults are faced with a slow to increase median income (Table B). Millennials ages 25 to 34 earn $31,219 annually, down over 10 percent from a peak of $34,459 in 2007. According to a recently released survey by the National Association of Realtors (NAR) of over 6,000 home buyers July 2014 to June 2015, Millennials purchasing homes have a median household income of $77,400 and take a median of four years to save for a down payment.

First-time home buyers fell to just 30 percent of units sold in February. Historically it should be at least 40 percent. Even with Millennials waiting longer to buy homes, they still account for the majority of home purchases and this number should grow as more of the generation ages into their 30’s. For three years Millennials have comprised the largest group of recent home buyers, 35 percent in 2015 compared to 32 percent in 2014, more than the previous smaller Generation X (26 percent), Baby Boomers (31 percent), and the oldest Silent Generation (9 percent) (Table C, NAR Survey).

While many Millennials sought the urban lifestyle for renting, most appear to be leaving the city for the suburbs when it comes to buying a home. In 2015, only 17 percent of Millennial home buyers purchased inside an urban or central city area compared to 21 percent a year ago (Table D). The higher costs of in-town properties in many urban areas are driving them to the suburbs where they are looking for more affordable and larger homes.

As the economy improves and Millennials grow their bank accounts, settle down, and become homeowners, how else will they spend their money? What influences and guides their purchases? How does this generation shop? Forbes magazine conducted a study on the consumer characteristics of Millennials in 2015 and surveyed 1,300 young adults. Table E shows that a majority of Millennials are loyal to brands (60 percent) and want them to engage with them on social networks (62 percent). Seventy-five percent hate corporate greed and find it very important to give back to society, especially through local communities. Compared to fewer than three percent relying on TV news, magazines, or books, 33 percent of Millennials look to blogs for recommendations and design ideas.

Just because Millennials are a digital generation does not mean they want to completely abandon traditional ways of shopping. Instead, they expect to have a streamlined experience between physical stores and the internet. According to a study conducted by Accenture on the shopping behaviors of Millennials (Table F), 68 percent of young adults demand an effortless transition from smartphone to personal computer to physical store when searching for the best products. Forty-one percent said they practice “showrooming” by checking out a product at a nearby retail store and then shop for it online to find the lowest price. Millennials love loyalty programs and 95 percent said they want brands to reach out to them by sending coupons via text, email or mailed to their homes.

The home furnishings industry will need to pay attention to young adult’s marketing expectations and shopping behaviors as the glut of the generation pours into their prime furniture buying years over the next five years. The hope is that Millennials will make a growing impact on the furniture industry, already estimated to be around $21 billion in 2015, according to industry consulting firm Impact Consulting Services.

What Defines Our Future?

July 12, 2016   by in Business Strategy, Industry, Special Events   

For the first time since we started publishing the “Forty under 40” issue three years ago, the list of honorees is 100% new. The Class of 2016 Honorees may be fresh and new to these pages, but the names and faces are not necessarily new to the industry. 

We were truly excited by the number of nominees received this year, so we decided to shake things up a bit and designate 2 groups in the Class of 2016.  We will spotlight the new honorees and will also check in on the repeat nominees to see what they’re up to since their last nomination.

We honor all of them equally however, as they are the young folks among us who continuously push the envelope to create a brighter future for all of us as they leave fairly large footprints in the industry -  at retailers, manufacturers and service providers alike. Their youth fills them with tireless energy, passion, and great ideas. These people are truly workers. They love the job as well as the industry. In fact, the joy in the job is what motivates them and ultimately makes each one of them so good at what they do. 

In this year’s talented pool, there are industry leaders and corporate visionaries, but there are also movers and shakers, mentors, entrepreneurs and rising stars, each with great stories of fearlessly moving people, brands, and companies forward. These young people are driving growth, increasing revenue and making people around them better each day, and, in the process, making our industry better.  We salute you and thank you for your contributions! 

The profiles on the following pages are this year's best and brightest in the home furnishings industry as recognized by their peers and we’re proud to spotlight all of them!  We hope you’ll use it to reflect on the accomplishments of your peers for next year’s nominations.  2017 Nominations are now open.

Don Bilyeu, 34

Company: Galleria Furniture

Position: General Manager

Don Bilyeu is living proof that if you work hard and smart, and build a successful team, anything is possible.  Don started his career in a furniture store warehouse, and worked hard to become an experienced furniture technician. He also held the position of Warehouse/Distribution Manager and became General Manager at just 34 years old. 

Bilyeu manages every aspect of a large 15,000 square foot showroom as well as a large distribution center, which handles output for 3 locations. He also handles advertising, buying and logistics.

Don is the kind of leader who sets an example for others and motivates those around him. He sets the pace for hard work and never asks anyone to do anything he wouldn’t do himself, including opening the warehouse after it’s been closed to load out furniture to accommodate customers. 

In his spare time, Don is very involved in an annual event for the GTO foundation, raising money for rural schools in Oklahoma and often donates furniture and mattresses to worthy charities. Bilyeu also coaches Little League Baseball.

Michael Broughton, 39

Company: Bob’s Discount Furniture

Position: Service Manager

Michael Broughton is a rapid star on the rise. From voluntarily training colleagues on SAP to ensuring service technicians have been present for support of delivery installations at charitable causes, Michael makes hundreds of families lives better every day!

Michael leads the Outside Technician group for Bob's Discount Furniture nationwide. Under his leadership, both internal service technicians as well as outside service partners are guided to provide the highest level, most efficient repair and support service for all furniture lines. Under Michael's leadership, Bob's Discount Furniture service technicians have increased their service completion rate by 20% while driving improvements in customer satisfaction.

Broughton grew his career from a Core Customer Service agent to Service Manager in less than 5 years. He re-signed all third party service partners to extended term agreements allowing for more consistent service levels. He has served as the voice of the service department across the enterprise, including leading cross-functional discussions to improve the overall customer experience.

Michael is an active participant and supporter for the Bob's Discount Furniture Charitable Foundation.  Additionally, he’s an active supporter for his community’s Tee Ball league and an award-winning photographer.

Jake Bumgardner, 38

Company: Donco Trading Company

Position: National Sales Manager

Jake grew up in the waterbed business and has been attending furniture markets since he was a toddler along with his brother Jerame and father Don. As a teen he helped set-up booths and absorbed everything he could about the industry. From sleep products, to futons and now youth furniture, twenty-five years later, Jake is the National Sales Manager for the family owned business and sets the bar high. He is involved in the day –to-day operations within the office focusing on sales. Jake is a regular at markets and always seems to land fresh, new accounts. He’s the consummate sales professional with a personable approach that makes him stand out from the rest.

Bumgardner is a real family man. He enjoys baseball regularly volunteers his time at youth baseball camps and tournaments. He’s also an avid outdoorsman and loves to fish, hunt and explore Texas with his wife and 3 children.

Chris Carroll, 34

Company: Constant Retail

Position: Vice President of Sales

Although he hasn’t been in the furniture industry for very long, Chris Carroll has the unique ability to blend the technologies and traditions of the furniture retail environment together for a common good. As VP of Sales for Constant Retail his duties are vast and involve the usual responsibilities of running sales and business development, but it goes deeper than that. Perhaps his most significant achievement to date is launching Constant Retail as the services division of Cymax.com. 

Chris is not only proud, but feels fortunate to be leading a team of dedicated and enthusiastic people to introduce Constant Retail to Top 100 Retailers, small and large manufacturers as well as the “mom & pop” retailers.  Although his primary responsibility is to lead the team in bringing in clients, his role has expanded into a one of consulting and educating to help retailers understand the digital space and how they can use it to drive customers to their physical locations.

Carroll has a passion for sailing and represented Australia in the 2000 America’s cup, sailing’s highest level of accomplishment. He credits his business success in part to his love of sailing because it involved managing teams and interpreting conditions which translates well to business activities.

Jen Chase, 34

Company: Rotmans Furniture, Mattress & Flooring Store

Position: Assistant Buyer

In her current role as Assistant Buyer, Jen Chase is a huge asset to all departments within the retail store. Her responsibilities include working with all vendors and assisting in the slection of furniture to sell on the retail floor. She also assists sales associates and helps tag and decoratenew items for disply and the showroom floor.

Jen goes above and beyond every day assisting her colleagues in all aspects at Rotmans Furniture Mattress & Flooring. Store associates have come to depend on her, knowing she is always happy to help with whatever is needed, at any time.  She truly provides value to the store in every way, across all departments. Described in one word, Jen is fantastic!

Jen is a Suma Cum Laude graduate of Framingham State College. She is also a volunteer at her local church and donates regularly at Rotmans’ blood drives. Jen enjoys donating her time reading at the local library.

Asha Chaudhary, 37

Company: Jaipur Living

Position: President and CEO

As President of Jaipur Living, Asha Chaudhary is charged with leading North American operations and is involved in critical decisions to build the companies presence in the U.S. As the President/CEO of a family owned business with entrepreneurial spirit, Chaudhary guides market strategy and brand development creating partnerships both inside and outside the industry. Much of her recent focus has been on building a strong corporate culture to support the company’s future growth.

When Asha took over the helm ten years ago, Jaipur Living was a $2.8 million company. Under her leadership the company grew to $38 million and is now reaching for $100 million over the next three years.

With a passion for people, product and design, Asha is very involved in product development – from translating trends to leading expansion into new categories and distribution channels, as well as developing and maintaining relationships with key customers and suppliers.

Jaipur Living’s vertical distribution model currently provides a platform for more than 40,000 artisans located in remote tribal villages and marginalized communities throughout India. Asha’s long-term goal is to continue to create sustainable livelihoods where little opportunity once existed, and to grow the artisan platform to 100,000. 

Asha serves on the Atlanta Advisory Board of the BB&T Corporation. She is an active member of the Entrepreneur’s Organization, the Atlanta Board of Young Presidents Organization, and a member of the Emory Board of Visitors, a group of key business people in the Atlanta area who act as ambassadors for the university.

Kyle Deets, 30

Company: Deets HomeStore

Position: Director of Sales and Marketing

Since joining Deets HomeStore a year ago, Kyle Deets hit the ground running with excitement and vigor. As Director of Sales and Marketing he represents the 3^rd generation of the Deets family in the furniture, mattress and flooring business.

Kyle is responsible for the sales team including recruiting, hiring, training and statistical accountability. He is credited with very little turn-over on the sales side. He’s proud of the fact that he organized all marketing efforts including planning and budgeting and has put Deets HomeStore on the “digital map”. Despite a marketing budget cut, Kyle was able to maintain or increase many statistical area sales metrics.

In an effort to learn more about the business and the industry at large, Kyle recently attended his first Furniture First Symposium and is an active member of the Impact Consulting WiseGuys Sales Manager Performance Group. Kyle’s ambition is sure to serve him well.

Jeremy DeVore, 39

Company: Furniture Mall of Kansas

Position: General Manager of Sales

In the eight years Jeremy DeVore has been with Furniture Mall of Kansas, he has exceeded expectations in his personal development as well as his team development, guiding company sales growth to nearly 300 percent.

Jeremy is not only the General Manager of Sales for Furniture Mall of Kansas, but he has daily General Manager duties at the Olathe location as well.  He has implemented multiple sales training techniques, modifying each to meet the growth requirements of the organization.

DeVore has overseen sales implementation through three store moving events and 2 significant grand opening events in three years.

Jeremy values his team as family so much, that he obtained certification and administered a wedding for two team members in the last year.  As if that’s not enough, his loyalty to the company is so deep that he stepped aside from his sales management role and obtained a contractor’s license so he could be the project manager for the latest store remodel and opening! Now that’s some serious dedication.

Joshua Dewey, 32

Company: Dewey Furniture

Position: General Manager

At 32 years old, Joshua Dewey is a 4^th generation furniture man and proud of it. The business is in his blood. Hard work and honest customer service are just a few of the traits that have been handed down to him by his father and grandfather.

Over the last 5 years, Josh has held the position of Buyer, Sales Manager and Display Manager before becoming General Manager for Dewey Furniture. During this time, sales increased from $3.5 million to over $5 million and margins increased by 5.5%.

As General Manager, Josh has taken over running the store, from day-to-day operations to working with their ad agency on the planning of promotions. He also secures new merchandise while attending markets.  Additionally, he oversees and trains a staff of 11 sales associates.

His dedication to the store in terms of product, display, and sales has been a direct factor in improving the overall team atmosphere. 

Josh participates in numerous local fundraisers for police and firefighters.  Last Christmas, the store supported a local family in need by providing mattresses and several La-Z-Boy chairs to a local shelter.

When Josh is not working he spends much of his time with his wife and son. He also enjoys boating on Lake Erie.

Marin Dragojevic, 38

Company: Cory 1^st Choice Home Delivery

Position: President

As Managing Partner of Joseph Cory Holdings, LLC and President of Cory 1^st Choice Home Delivery, Marin Dragojevic is responsible for the operational growth and efficiency of the company as it seeks to meet the goals of its strategic vision. Marin has served in operational leadership roles at all levels before assuming responsibilities at the corporate office.  As Executive Vice President, Marin architected and managed the deployment of an ERP system that reduced overhead expenses by 2%.  He also created and led the MIS department while overseeing the development of Cory’s strategic initiatives.  After assuming his new role as President, he has initiated the company’s transition into a LEAN Six Sigma culture resulting in seven straight quarters of positive profitability and quality improvements. It was Marin who built the ‘new’ brand of Cory.

Being a life learner, teacher and believer in unleashing potential in others, Marin was instrumental in the development of Cory’s team empowerment programs such as Women@Cory, promoting the achievements and advancement of women in leadership roles.

However, he hasn’t stopped there. He is also a supporter and board member of the Joseph P. Cory Foundation, which seeks to further wellness through healthy living education. Additionally, he is a supporter of the company’s contributions to the City of Hope and an advocate of Women Rising, a local organization that helps support women and their families to build a better life within the community.

Marin proudly served in the U.S. Navy. In 2004, he graduated Summa Cum Laude from Old Dominion University. In 2009 he earned his MBA from the University of Miami.

Marin enjoys “urban hiking” in New York City and is fond of treating his admin team to a good meal and a show in the Big Apple each year.

Michael Fiacco, 38

Company: Bennington Furniture

Position: President

As a kid, Michael Fiacco “grew up” in the furniture business.  His mother founded Bennington Furniture in 1986. After graduating college, Michael worked on Wall Street but always had an interest in the furniture industry.  In  2007 he took over the reigns at the store and has grown the business from 2 stores with 12 employees to 7 stores with 58 employees, expanding from a 1 state chain to a 3 state chain. Revenue increased approximately 500% along the way.

Michael is directly responsible for the store being voted as the “Best Local Furniture Store” for the last 6 consecutive years. He handles the day-to-day operations including marketing, real estate acquisitions, buying and managing the store team. He regularly attends six to eight trade shows a year and is an active member of the Furniture First buying group. This year, Michael opened the first Ashley Home Store Select in the country.

Fiacco actively donates to many organizations such as the Humane Society, a Battered Women’s shelter and Wounded Warriers.  He’s also involved in the Make A Wish Foundation and furnished a complete bedroom set for a sick child.

Not only is Michael extremely passionate about the furniture industry, he is also dedicated to keeping up with the challenging retail environment.  His forward thinking has lead to the success and growth of Bennington Furniture.

Brian Flegal, 38

Company: Flegel’s Home Furnishings

Position: General Manager

This 3^rd generation furniture guy is following in the footsteps of his father, CEO Mark Flegel and Founder, Grandfather Arthur Flegel.

As General Manager Brian oversees all management operations, including the interior design staff, office and intern staff, human resources and the warehouse and distribution center. He has successfully taken over the helm of this 62 year old company and has maintained its profitability during past economically challenging years. He has developed a strong and loyal interior design team and has maintained and created strong new relationships with vendors.

Brian serves on the Board of Directors of the Menlo Park Chamber of Commerce and developed a strong civic relationship with Facebook in Menlo Park. He founded and developed an annual downtown “Block Party” featuring local businesses and non-profits attracting 5,000 – 6,000 local residents annually. A thespian at heart, Brian has acted in off Broadway shows as well as several local theatrical productions in the San Francisco area.

Jack Forsey, 33

Company: Forsey’s Furniture Galleries

Position: Vice President

Stepping into the family owned business as a 3^rd generation family member, Jack Forsey has innovated and built upon the traditional retail furniture showroom model by expanding web presence, promoting vendor-based merchandizing and catering to the design trade. As a result of these improvements, Forsey’s Furniture Gallery has seen a sales increase of approximately 30 percent in the last 3 years.

Jack oversees all operations. He manages the sales floor as well as the sales staff and is responsible for purchasing and merchandising alongside his father Robert. He recently took over many of the marketing duties. Attending manufacturer-training programs is something Jack keeps up with despite his busy schedule.

Jack is a graduate of the University of Utah. He also has a degree in entrepreneurship from the highly regarded Goldman Sachs 10k Small Business Program. He’s a founding member of the Highland Drive Merchants Association, a Board Member with the Salt Lake Modern division of the Utah Heritage Foundation and a member of the Holiday Rotary Club.

Tom Gadbois, 31

Company: Furnituredealer.net

Position: Business Consultant

As a Senior Account Strategist, Tom Gadbois manages the accounts of 28 brick and mortar furniture retail clients. The core of what he does is to help his clients be successful by problem solving and implementing strategies to help them succeed. He serves as the liaison between retail clients and FurnitureDealer.Net's web developers and software engineers, to create efficient and cost-effective solutions.  Committed to great customer service Tom makes sure he responds quickly to clients, even if it means working evenings and weekends.

Tom contributes to FurnitureDealer.Net networking events by presenting topics related to online strategies to the group. He enjoys working on the March Madness event the company plays with their clients each year.

Tom is motivated by ideas and loves to think but also likes to have fun. He never misses an opportunity to talk to his coworkers over a beer at happy hour, or drive remote control cars around the parking lot.

When this lifelong fan of the Minnesota Timberwolves isn't at work, he enjoys traveling and loves spending time with his family and friends.

Chris Gill, 34

Company: Gill Brothers Furniture

Position: Sales Manager

He started out on the delivery truck and over the course of the last 13 years, worked his way up to Sales Manager for a top-performing store.

A 3^rd generation family member Chris Gill knows how to work hard.

Managing a staff of 10, Chris’ focus is not only on the sales persons but also on the positive experience customers take away with them when they leave the store.  His daily duties include tracking all contact cards, ups and closes as well as individual sales performance including fabric protection. He also helps monitor merchandise on the floor to ensure all gaps are filled with new merchandise as needed. He has a proven track record for success.

Chris just welcomed his first son and enjoys being a dad when he’s not working.

Ryan Gill, 35

Company: Gill Brothers Furniture

Position: Warehouse Manager

Ryan Gill has a great work ethic. And, he takes a lot of pride in the work he does helping to lead the family business into the future.

Being a 3^rd generation family member working in the business, Ryan started out riding on the delivery truck and learned the ropes from the ground up, right into the companies new warehouse! His primary responsibilities include; warehouse receiving, delivery routing, scheduling and managing MTO’s. He has exceptional service skills.

Ryan is always looking for ways to improve, and has taken service classes specializing in leather and wood touch-up. He is also a La-Z-Boy Master Certified Tech. As a civic-minded individual Ryan supports Habitat for Humanity. He’s also a Lions Club member and a Better Way volunteer. Close to his heart are the Walk a Mile for the Muncie Mission and the Feed My Sheep Food Drive.

 He’s surely a rising star in the furniture industry.

Ashley Grigg, 33

Company: High Point Market Authority

Position: Manager, Communications

Although she may not be the most “visible person” the fruits of her labor certainly are. Ashley Griggs is responsible for managing and coordinating all marketing communications for the High Point Market Authority. In fulfilling these responsibilities, she works closely with the HPMA ad agency and PR firm as well as printing companies, video production companies, trade publications and various furniture industry and design trade associations. During Market Week, she manages MediaLink , the Market Authority’s media information and resource center. Ashley makes “all things market” happen.

Ashley goes above and beyond excellent execution of her duties. She always seeks new ideas and implements innovative solutions when needed. Her list of achievements include working with the ASID to improve and expand the CEU-accredited education program Design Viewpoints Series. Ashley assisted in the creation of MediaLink.

Although Ashley started working at the High point Market Authority as an assistant three years ago, her growth is the result of her high standards, team-oriented attitude and strong work ethic. She is truly an asset to all HP Market Authority stakeholders.

Griggs is a member of WithIt and is very involved with First United Methodist Church.

Kellen Harkness, 34

Company: Harkness Furniture

Position: Operations Manager

Working with the warehouse team and the office and sales staff to facilitate smooth interactions between departments is what Kellen Harkness does every day. He has drastically improved communication and helped set parameters for more efficient procedures in all departments.

As a 4^th generation owner, Kellen is focusing on improvements. He ensures all new skus are entered into the computer system in a consistent format to help the reorder process. Additionally, he assists customer service and the warehouse manager with challenging customer situations to achieve resolutions, works with the warehouse manager and decorator to setup the floor and attends markets with the buying team to help select product for 2 stores.

Kellen handles the stores annual indoor golf tournament rotary fundraiser netting in excess of $20,000. He was a past member of the Tacoma South Rotary and has worked on a Winterfest community event to distribute new toys and cloths to 600 low-income students for Christmas.

A graduate of Ohio State University with a degree in Business Management, Kellen could have done any number of corporate jobs but instead chose to enter the family business and make a difference in the future of their store and the community. He has a 7-year old Golden Retriever named Kai’la.

Mark Holmes, 34

Company: Cozzia USA

Position: CEO

Handling product design, development, operations and financials for Cozzia, Ogawa USA and Svago, Mark Holmes has been instrumental in the success of Cozzia becoming a leader of health & wellness seating in the furniture industry.

Mark has a passion for product development and developed a US design team who brought product to market that is now at major retailers across the United States. He also setup operational and finance teams within Cozzia when the Cozzia business model changed 5 years ago. At that time there were 4 people who started the new company. Today the company employs 80 people.

Mark devotes all his time to work and family and travels extensively around the world.  He is a “brilliant young individual” who has advanced and expanded the massage chair category in the US Market.

Adam Hudson, 34

Company: Hudson’s Furniture

Position: Vice President

Adam Hudson is fully in charge of all merchandising and plays a key role overseeing operations, marketing and sales. He has a passion for the industry and has contributed to the stores growth in a big way over the last 10 years.

Hudson’s daily commitment to hard work and his proven history of forward-progress for the company is what won him this nomination.

Under Adam’s leadership, the store won the 2012 Florida Retailer of the Year Award. In 2014 the store was nominated for National Retailer of the Year and in 2015 Hudson’s was an Orlando ACG Finalist for Smart Growth Business.

Adam is an advocate of giving back to the community and is involved in the Hudson’s and Salvation Army Angel Tree Promotion, the Boys and Girls Club and works closely with the Moffit Cancer Center.

Joseph Gregory (Greg) Hunsucker, 37

Company: Cozzia USA

Position: Vice President

Greg Hunsucker has been with Cozzia for nearly 4 years and has done a terrific job of hiring, developing, mentoring and managing the Cozzia sales team. He has been instrumental in setting systems and structure for Cozzia USA.

In 2005 Greg received his MBA from High Point University. After landing a job at Berkline Corporation he successfully applied what he learned and managed the #1 volume territory for Berkline in 2010 and 2011.

Greg is a great guy and a passionate individual, committed to the success of Cozzia. He’s bright and creative and is credited with developing and implementing formal retail sales training programs for the brand. He’s been instrumental in the growth of the company in many ways.

Hunsucker is a financial supporter of City of Hope and cancer research in general. He also participates in volunteer work with community youth in Curry County, NC.

Ashu (AJ) Jain, 36 and Deepak Jain, 37

Company: Home Living Furniture

Position: Owners

AJ and Deepak are bothers by birth and partners by choice.  Their company, Home Living Furniture, has three retail showrooms, a growing online presence and two very “hands-on” owners.

Entering into business together in 2006, the brothers took over an under-performing company burdened by debt and not only survived, but thrived during the recession. They are energetic and passionate and pride themselves on thinking outside the box.

The younger brother AJ, is considered the “front end” person responsible for hiring, training, merchandising, advertising and business development. 

The slightly older Deepak handles operations and is the creator and coder of the website and their proprietary POS and CRM system.

AJ, received his engineering degree in Physics and Mechanical Engineering from the University of Michigan. He won numerous National and Junior Olympic titles in Table Tennis. He was the Chairman of the US Olympic Committees’ Anti-Doping Program from 2008-2012, and the Vice-Chairman of the US Olympics Athletes Council from 2005 – 2012.

Deepak excelled in academics and graduated from Cornell University with an Electrical Engineering and Computer Science degree. As a previous employee of Lehman Brothers, he was in the second World Trade Center Tower during the 9/11 terrorist attack, something he’ll never forget.

The brothers have been supporters of the New Jersey Shore community after Superstorm Sandy and other local business organizations. They also recently campaigned alongside Autism Speaks. Home Living is a member of Furniture First purchasing cooperative.

Alex Kirsch, 25

Company: FurnitureDealer.net

Position: Client Relations Manager & Business Consultant

Joining FurnitureDealer.net right out of college, Alex Kirsch has taken the company and the industry by storm. He has had a massive impact on the success of the company, his co-workers and his retail clients.

With very little business experience, Alex focused on managing processes to improve information and communication between suppliers, the company and his clients. He was so good with people and so eager to learn, that he was moved into the client relations team as a business consultant. Like a fish takes to water, he quickly learned this new role and has done an impressive job, serving clients.

In his consultant role, Alex works with clients to develop strategic business plans for the internet, that play seamlessly into the brick and mortar side of their businesses. He works on everything from website design to customer assistance to online visibility and marketing strategies. His clients love him.

Kirsch performs service throughout his community and actively participates in Next Generation-NOW, City of Hope and the American Home Furnishings Hall of Fame.

Alex is young and smart, but has a soul and mind beyond his years. He loves his work and makes it fun for everyone around him.

Anna Lau, 28

Company: Cymax Group (Cymax.com)

Position: Director of Merchandising

In the furniture industry for 10 years, Anna Lau has been at the cutting edge of technology working closely with manufacturers and retailers helping them tap into online opportunities. Involved in the evolution of e-commerce best practices in the furniture and home décor field, Anna’s efforts have helped take the company from $15million in revenue in 2006 to $180 million in 2015.

Today, Anna leads a team of 40 people who are responsible for driving the Cymax e-commerce business through product sourcing and assortment planning, merchandise strategy execution, budgeting, forecasting and penetrating new product categories. Within the first quarter of 2016, she more than doubled the SKU count within the company’s product catalog and successfully positioned the company as a key online retailer for lighting, home décor and outdoor living products.

A guest speaker at schools and universities, Anna provides mentorship to undergrads and is recognized within the community as a role model for career advice and leadership.

Susan Lebow Moran, 29

Company: Symbol Mattress

Position: Sr. Account Representative

Susan is a 3^rd generation furniture gal, who managed the families retail furniture business in Pennsylvania, achieving growth in all segments of the furniture and mattress departments, until the decision was made to close the store in 2013.

Today, Susan is a Sr. Account Representative handling the eastern Pennsylvania and Maryland territories for Symbol Mattress. Within three years of starting in sales, she was promoted to Sr. Account Rep. and was given more territory, including major accounts in Baltimore, MD. She provides presentations to retailers outlining product knowledge, conducts extensive sales training, offers floor placement direction and handles factory warranties for her customers.

Susan holds a Bachelors Degree in Business Administration as well as a Masters degree in Business Management from Saint Joseph’s University in Philadelphia, PA.  She was captain of the Division 1 Softball team while at St. Joseph’s and was also a graduate assistant Softball Coach.

There is nothing Susan won’t do in support of her dealers, including “going the extra mile” - literally!  She recently drove a truck with mattress samples to Baltimore to display the Symbol Mattress line.

Now that’s dedication. She works hard and smart!

Susan volunteers for Baptist Children’s Services and supports the Womens Golf Program at her high school alma mater and LPGA/USGA Girls Golf of Valley Forge.

Shane Mutter, 37

Company: Doerr Furniture

Position: President/CEO

Shane Mutter is President and CEO of Doerr Furniture. He’s responsible for all aspects of this full service retail home furnishings company and is poised to provide short and long term strategies to assure continued success for this 78-year old brand.

In January 2015, after a 10-year career as Operations Director at Bedding Plus, he assumed his current position at the family owned and operated business.

He received a Bachelor of Science Degree in Business Management from Louisiana State University in 2001.

Mutter currently resides with his wife and two children in Old Mandeville as well as in the Marigny just a few blocks from the furniture store. Shane is an avid cyclist and enjoys music of all types.

Jessica Norby, 33

Company: MicroD, Inc.

Position:  Business Development Executive

Jessica has distinguished herself in her role at MicroD, through developing new business and managing all sales activity resulting in profitable, revenue-generating programs from vendors and home furnishing manufacturers.

Not only does she initiate and build effective business relationships with C-level executives, she also creates long-range sales and marketing plans to help grow clients businesses. Norby, described as an “out of the box thinker” strives to establish and maintain regular contact with more complex existing clients as well as prospective new clients. She prepares proposals, negotiates contracts, and closes orders like a ninja!

According to her colleagues, Jessica is calm under pressure, pays close attention to her clients and remains exceptionally professional while going the extra mile. 

A 2008 Graduate of Gardner-Webb University, 33-year old Norby has a degree in Business Administration and Management.

She continues to grow within the home furnishings industry through seminars, online courses and networking with mentors. She is very driven and has learned a great deal about the industry in short time.

Norby volunteers for The Salvation Army.  She also supports Dress for Success, an organization that empowers women to achieve economic independence by providing a network of support, professional attire and development tools. She is also on the board for the Downtown Winston Salem Partnership.

Melissa Ocampo, 40

Company: STORIS, Inc.

Position: Sr. Manager of Quality Assurance

Melissa Ocampo is an outstanding manager who has risen through the ranks at STORIS, through a combination of hard work and results.

Since starting as an administrative assistant in the year 2000, she has been promoted four times and now has complete responsibility for the most important departments within the company. Her exceptional people skills and ability to plan and organize processes and resources is what landed her this nomination.

As the last line of defense for insuring quality at STORIS, Melissa and her department help protect hundreds of businesses running the STORIS platform in the home furnishings industry. Her outstanding people skills have resulted in her nearly doubling the size of the department she took over and never experiencing a resignation by any member of her staff, in the nearly four years she’s been at the helm.

As a new Mom, Melissa navigates the delicate balance between work and home life beautifully. Her efforts and achievements have a direct impact on her team, as well as the retailers using the STORIS solution.

Benn Parsa, 31

Company: Dot & Bo

Position: COO and Co-Founder

When Dot & Bo was founded in 2013, the team set out to build something that didn’t exist. A story-centric home furnishings brand specifically targeted towards millennials. Ben Parsa conceived of and orchestrated Dot & Bo’s comprehensive content and marketing strategies and serves as the backbone of the company.

Dot & Bo replicates the traditional window-shopping experience. From providing day-to-day leadership and management, to fostering an entrepreneurial employee culture, Ben is responsible for ensuring critical business goals and objectives are met, and for helping to build an extraordinary content-meets-commerce shopping experience.

As part of his all-encompassing role, Ben directly oversees growth strategies and operations processes, having helped scale the company to nearly 100 employees, 17x growth and over 5 million members since the brand’s inception.

Having immigrated to the U.S. from the Netherlands in 1999, Ben received his BFA in Industrial & Graphic Design from the University of Illinois at Urbana-Champaign.  He has an outstanding work ethic and a knack for conceptualizing innovative strategies. He is fluent in four languages.

Joey Ray, 33

Company: Garden City Furniture Co., Inc.

Position: Vice President

It’s difficult for long time furniture dealers to attract the under 40 set. Joey Ray is not only attracted to the business but is committed to making the Garden City Furniture Company and the industry a desirable place to work.

Garden City Furniture is a family owned business. Joey is a 3rd generation family member.  When he saw the opportunity to apply his skill set and knowledge to the family business he took it and brought a new level of excitement to the company.  Joey feels fulfilled when a customer offers a compliment or he see’s an enthusiastic employee. His forward thinking has improved the store and it’s culture.

As a graduate of Wofford College with a BA in Finance, Joey is certified in several Commercial Investment Management courses. He also holds a Real Estate license. He’s been appointed to the Horry County Planning Commission District 5, is a member of Murrells Inlet Rotary Club and a Murrells Inlet 2020 Member.

Joey participates in the Profit Systems Performance Group and is a member of Furniture First and NAHFA.

Emily Severson, 27

Company: Furnituredealer.net

Position: Operations and Partner Relations

From systems to staff, Emily Severson represents all things related to operations. On any given day, you will find her streamlining in-house processes, building partnerships with manufacturers or mentoring employees through the phases of their careers. She’s always on the go!

Emily is part of the five-person senior leadership team that helps guide the direction of furnituredealer.net. She plays a major role mentoring employees through “thick and thin, fails and wins” and is also part of the travel team hopping from markets to conferences. She’s very passionate about the industry and her dedication is unparalleled.

A leader by example, Emily has a very strong work ethic and works tirelessly to establish relationships in the industry. She has built a reputation for herself of leaving a positive mark wherever she goes. Emily is genuinely invested in her work and in people.

Emily is a volunteer and advocate for Next Generation NOW and an active member of WithIt. Chances are you’ve seen Emily’s glowing face in the crowd - she has an endless supply of smiles.

Jennifer Sova, 32

Company: International Home Furnishings Representatives Association

Position: Communications Director

Managing the needs of a 2,300 strong membership is not easy. Yet, Jennifer Sova, Communications Director for the IHFRA does it without breaking a sweat! She procures benefits from third-party vendors, plans outings and events and cocktail receptions in Las Vegas and still has time left to be involved in the planning and execution of yearly Board Meetings, membership outreach programs and other vital planning aspects of the organization.

Jennifer manages this large and diverse membership with grace, style and creativity. She has advanced IHFRA's presence in the industry thanks to her efforts to update the web site, create apps for the members and expand social media presence. She is widely respected and well known among manufacturers, retailers and sales reps.

Jennifer has an integral part in the planning of the annual Furniture Industry Awards Gala held at the Spring High Point market. From procuring the awards, to setting up the seating, booking the entertainers and every other detail that makes the evening a success. She does it all.

The associations’ activities always include a charitable angle thanks to Jennifer. The Carolina HFA Annual Golf Outing benefits Brenner's Children's Hospital in Winston Salem NC.  The City of Hope and Amigo's For Kids in Florida will be beneficiaries of this year’s FIAG proceeds.

It's hard to quantify all the diverse skills Jennifer possesses to make IHFRA operate well. Suffice to say, she is a great researcher, communicator and administrator. She’s definitely a mover and a shaker.

Bryan Steger, 28

Company: Steger’s Furniture

Position: Operations Manager

Joining the family business wasn't something Bryan Steger initially saw himself doing. However after working as an engineer for a few years he decided to give it a try. In three short years, he ‘s learned more about the business than most his age and has elevated Steger’s Furniture store to the next level.

Bryan is responsible for all advertising including direct mail, newspaper and television as well as designing store signage. He also manages the website, social media channels and all store promotions.

Bryan used his analytical skills to implement programs that lead to a 30% increase in sales, breathing new life into the business.  Among his other achievements are leading the company’s warehouse expansion project and implementing a bar coding and bin location system for efficiencies. He also implemented data integration to the website which includes on display, in stock and pricing information. The customer satisfaction survey he created has lead to over sixty positive Google reviews.

Bryan is a member of Impact Consulting Services’ Motivated Wise Guys sales and general managers performance group and participates in the Furniture First Symposium.  

Bryan works with the Pekin Community High School's vocational program by staging the homes they build. Additionally, he’s completed the Pekin Chamber of Commerce Leadership Academy and is the point person for numerous organizations Steger's supports throughout the year.

Andrew Steinhafel, 30

Company: Steinhafel’s Furniture

Position: Director of IT

In 2013, Andrew joined Steinhafel’s Furniture, the Wisconsin-based furniture retailer with 18 locations.  He is the Director of Information Technology and the only fourth generation family member in the business started by his Great-Grandfather in 1934.  He joined his father, Mark, the current Chief Operating Officer.

Prior to working at Steinhafel’s Furniture, Andrew’s career was centered in Boston where he worked for several venture-backed technology start-ups. He acted as an engineer, team leader, and product manager, directing the teams to significant development milestones, revenue capture and venture fundraising.

Since being at Steinhafel’s, Andrew spearheaded efforts to develop a new e-commerce site. His current major initiative is to work toward a system conversion including a mobile point of sale. He’s also focused on maintaining relevance by bridging consumer’s shifting preferences to keep Steinhafel’s Furniture on the cutting edge of retail.

Andrew is an active member of the TEC, a Milwaukee-based family business consortium. He’s been admitted to the Wisconsin School of Business MBA program and will begin the part-time program this fall.

Mitchell Stiles, Jr., 36

Company: WS Badcock Corporation

Position: Vice President Dealer Retail Operations

Mitchell Stiles, Jr. started at the very bottom as a summer intern 16 years ago.  He joined WS Badcock Corporation full time - in 2002 and never looked back.

Mitchell proved to be one of the company’s top store managers earning the title “Manager of the year” in 2008. In 2009, he was promoted to Director overseeing 50 stores. His ability to project a positive attitude, inspired confidence in others and soon resulted in higher performance levels within his division.

As VP of Dealer Retail Operations, Mitchell manages operations for 218 dealer stores and guides the activities of four directors and thirteen area advisors. He also oversees the credit and collections obligations, advertising and promotion strategies, managing store expansion, construction, renovations, visual display and assisting with new dealer prospects.

The W.S. Badcock Corporation is on the verge of introducing a new dealer model, which requires a person with a rare combination of strong people skills and technical abilities. They found that person in Mitchell Stiles. Mitchell is a natural leader with exemplary character.

Charisma, leadership abilities and solid technical skills quickly led to Mitchell building confidence and earning the respect of his subordinates as well as top management. He has brought a new energy to the company and the fact that they can get another 30 years out of him is icing on the cake.

With his busy schedule, Mitchell still finds times to give back. He has served on the National Alumni Board for Florida Southern College and was a board member of the 6th Man Club. He’s coached little league baseball as well.

Larry Thibodeaux, 40

Company: WCC Furniture & Mattress Center

Position: Owner/General Manager

Larry Thibodeaux started his furniture career in 2007 when he took over WCC Furniture & Mattress Center. He came from a non-retail background offering a fresh perspective, which has served him and the company quite well.

Under Thibodeaux’s leadership, WCC Furniture has enjoyed double-digit growth every year, taking the company from a $1 million-dollar-a-year business to roughly $5 million-dollar-a-year business in less than 6 years.

As most owners do, Larry wears many hats. But his most important job is leading his team of 18 to provide the best value and service to the customer. Advertising, Merchandising, Buying, Business Analysis and Accounting all fall within his areas of responsibility.

In addition to his business contributions, Larry is very active in his local church and is committed to using WWC resources to help the less fortunate in local communities.

Larry attributes much of his success to the fact that he came from outside the furniture industry with a fresh perspective and was not bound by the “that’s how its always been done” mentality!

Josh Wasser, 32

Company: Wasser’s Exclusive Furniture & Interiors

Position: President

As President of this third generation family business, Josh is responsible for the overall operations of the store including client relations, sales, orders, shipping and logistics, and e-commerce orders.

Wasser has been instrumental in the growth of the company and has added services that are unique to the store, including full turnkey remodeling and reconstruction along with furniture design packages that have become quite popular. He’s become an expert in custom upholstery projects including walls and headboards as well as other uniquely designed items that keep clients coming back.

Josh believes in creating a personal experience for every client who walks through the door and often shares his cell phone number with customers in case they have questions after their purchase. Since Wasser’s has an in-house delivery crew, clients are dealing with a member of the Wasser’s team from the top down. Josh feels this is the best way to leave a lasting impression on clients.

Building long-term relationships on the supply side, is also a strength of Josh’s causing manufacturers to appoint Wasser’s as the exclusive distributor for select products within the U.S. and Canada.

Josh is very involved with the Mobile School Pantry Charity whose mission is to provide nutritious foods to students and their families in low-income areas. “Just Say No To Hunger” is the mantra and Wasser’s commitment to this cause is unwavering.

Kristin Wermers, 35

Company: Serta

Position: Senior Director of Serta Product Management

In a nutshell, Kristin Wermers leads Serta brand product development. The high performing team she oversees creates new products that achieve brand and customer goals.

Wermers is driven by a longstanding passion for the Serta brand and its’ retail partners. Her top achievements clearly reflect her ability’s. In 2015, she led the launch of a new Perfect Sleeper line, which continues to drive double-digit sales growth. Most recently, she led the launch of the new 2016 iComfort, Serta’s most innovative line to date. She worked closely with suppliers to secure exclusive comfort and support innovations to help differentiate the product at retail, and identified opportunities to bring more advanced comfort and support technologies into mid-level price points. The launch of a new 2016 product line developed for a key retailer, was also led by Kristin.

In her leadership position with Serta, Kristin has helped the company with its many charitable efforts over the years, including raising awareness for Chicago-based animal shelters and helping to build and deliver care packages to Fisher House locations across the United States. Her love of running in various 5K’s helps raise funds for her local community.

Kristin’s tenacity, focus and drive towards innovation and passion for the Serta brand is the foundation of her successful 11-year career.

REPEAT NOMINEES

Lily Chan, 31

Company: Euro Style

Position: Chief Operating Officer

After graduated from NYU in 2006 Lily Chan started her career in eCommerce at Mercantia.com managing the largest destination for kid’s loft beds online. She continued in eCommerce at ivgStores.com managing 10 buyers and led the way to their highest revenue-producing year.

Chan began her career with Eurostyle as VP of eCommerce. She was promoted to VP of Sales and is now COO of the modern wholesale furniture company. Her primary responsibility is to drive revenue and optimize profits, which she has done with record results for the second year in a row.

Chan successfully streamlined Euro Style’s operations and helped grow the company’s e-commerce business. She designed a corporate mentorship program that has resulted in a formal managing development program and reduction in churn and personally spearheaded an initiative to sign 3 new multi-million dollar partners.

Chan enjoys the mentorship of President and CEO Trig Liljestrand and considers them a “dynamic duo”. She previously served on the Board of the Vietnamese Youth Development Center as a way to give back to the community that assisted her family while trying to escape the Vietnam War over 30 years ago.

Chan is a well-respected leader in the home furnishings community.

Kyle (Bo) Coconis, 31

Company: Coconis Furniture/Mattress 1st

Position: Store Manager

Leadership is one of Bo’s strong qualities. He knows how to be firm but can also be caring and helpful when needed. He is well respected by the employees at the store.

Bo is 4^th generation and is dedicated to the family business as well as to the industry. He’s involved in Next Generation NOW and is a member of Furniture First. He regularly attends functions at HFA and is a member of Impact Consulting’s Sales Managers Performance Group.

Although he wears many hats, Bo is currently involved with buying and merchandising while he trains to become the Store Manager. He’s been instrumental in improving many processes incorporating ideas on best practices for doing business today. Coconis Furniture’s future looks good with Bo in it.

A graduate of Ohio State College with a degree in Consumer Affairs, Bo was Captain of the Golf Team in his senior year. He was also awarded the Big Ten Sportsman of the year award.

Wanting to pay it forward, Bo is actively involved in the store’s “Tee It Up Fore Autism” annual golf outing raising funds to help local kids and their families dealing with autism.

Matt Huber, 33

Company: Belfort Furniture

Position: Executive Vice President

Looking fro ways to improve the business and the customer experience across all channels is what Matt Huber is all about. He oversees the day-to-day operations at Belfort Furniture in every way including the remodeling and expansion of the retail showroom, integrating a wine bar, local food and an expanded product line-up providing a “WOW” shopping experience for the consumer. And to bring those customers into the store, he has implemented a digital marketing strategy to reach consumers via geo-targeting.

Matt has earned local celebrity status in the Washington, DC area as the “style and design expert” on “Great Day Washington” a locally produced lifestyle TV Show. Each week he showcases a furniture category and brings it to life through his product knowledge, wit and charm.

Huber is involved in the Sustainable Furnishings Council and is passionate about restoring and preserving older properties. His efforts won him a Historic Preservation Enhancement Project award.

Raised in a philanthropic minded family, Matt continues to be service- oriented raising funds to send kids to camp through the corporate sponsored YMCA Loudoun County Charity Golf Tournament, raising a record-breaking $77,000.

Mandy Jeffries, 32

Company: Colfax Furniture

Position: General Manager

When Mandy Jeffries joined Colfax Furniture as the Assistant General Manager in 2008, she hit the ground running to help push the retail store into the next generation.

Fast forward to today, Mandy is now the General Manager and oversees all of the day-to-day operations including sales, merchandising, the central warehouse, accounting and human resources.

Mandy’s enthusiasm and fresh perspective is still evident in all she does to strategically improve processes and the overall culture of the company.  Her efforts have helped reduce costs and bring in new ideas that have increase sales.

As the mother of 2 children under the age of two, Mandy does and outstanding job balancing the working mother role. She’s an inspiration to fellow working moms in the industry.

Mandy sits on the advisory board for Next Gen NOW and attends markets and conferences regularly throughout the year. As a representative of the store, she is active in local business organizations and is personally involved in efforts to support the American Heart Association.

Kyle Johansen, 31

Company: HOM Furniture

Position: Executive Director of Merchandising

Since we last featured Kyle Johansen, his level of responsibility at HOM Furniture has increased as he moved into a new position as Executive Director of Merchandising.  He’s still a natural leader and provides strategic direction for HOM, Gabberts, and Dock86's overall product and merchandising mix. He manages a team of 24 buyers, assistant buyers, and re-buyers.

His extensive list of achievements at HOM include the “UPTOWN” Department, a lifestyle gallery that was in front of the “vintage” trend and is still popular today. He also led the way to create highly successful moves into area rugs, and outdoor categories. Kyle also assists the marketing department creating compelling marketing campaigns to drive sales in the showrooms. He is creative and well rounded, using his talent for sales training and staff development.

Being part of the furniture industry and the HOM family business has been a passion of Kyle's his entire life. He consistently participates in several important industry groups and is involved in many of HOM’s charity functions. He has dedicated his professional life not only to advancing HOM Furniture but to bringing more awareness and advocating advancement for the furniture industry as a whole.

Jason Phillips, 33

Company: Phillips Collection

Position: VP/Creative Director of Phillips Collection

An accomplished designer, 2^nd generation family businessman and lover of technology, Jason Phillips is responsible for sales, marketing and design for the Phillips Collection. Under his leadership, sales have grown exponentially. His passion and energy for the business and the industry are very strong.

In 2009, Jason became the youngest recipient of the prized Pinnacle Award given by the American Society of Furniture Designers for products he called Rover Stone Planters. The Society also elected Jason as the youngest ever member of their Board of Directors.  Today, he is the Chairman of the Pinnacle Awards.

In 2010 Jason was awarded the Product Designer of the Year award at the 21^st annual Accessories Resource Team awards ceremony.

Phillips often travels internationally in search of unique design concepts. He has been interviewed regarding modern design trends by many industry publications.

Becca Blumkin Sudbeck, 33

Company: Nebraska Furniture Mart

Position: Senior Living Room Buyer

As a 4^th generation family member, Becca has held a number of positions since joining the company in 1998, most notably her current role of Senior Living Room Buyer.

In her new role, Becca oversees the living room buying team and is credited with bringing new ideas, strong leadership a fresh perspective to merchandising living rooms. She has also been instrumental in expanding into new profitable categories including seasonal.

Becca has helped translate Nebraska Furniture Mart’s marketing efforts to capture the millennial demographic. Since the Mart has undergone a seismic shift in their business with the opening of their new Texas store last year, Becca has been the most visible of the young, energetic and ambitious group of merchandisers helping the Mart redefine furniture retail brick and mortar stores.

Becca is currently on the Rose Blumkin Performing Arts Center’s Guild board and is active in various Omaha Civil events. Additionally, she is active in various philanthropic enterprises .

Jaime Wasser, 31

Company: Wasser’s Exclusive Furniture & Interiors

Position: Vice President

Exceeding expectations is something Jaime Wasser does very well. Since joining Wasser’s Exclusive Furniture & Interiors 6 years ago, she has successfully increased their targeted market and volume projections, year after year.

As a direct result of her efforts, the 3rd generation family-owned business she runs alongside her brother Josh, has been awarded Best of Houzz for the last 3 years consecutively.

Jaime oversees the day-to-day operations, including in-store design consults, sales and customer service. She personally supervises all projects with designers. She also attends trade shows and purchases diverse products for their 20,000 square foot main showroom. Additionally, handling the advertising and maintaining the store’s online presence is a regular part of her repertoire.

Jaime’s love of the industry and passion for working with clients has created a rewarding experience for all. With her happy demeanor and outgoing personality, she instantly turns strangers into friends, which helps to build long-lasting client relationships.  Her ardent pursuit of a healthy lifestyle has cultivated an exceptional cooking ability. She enjoys yoga, boxing and high intensity training.

Coach’s Corner : Furniture Store Evolution and Tomorrow’s Leaders

July 11, 2016   by in Business Strategy, Industry   

This month’s issue of HFB features our eagerly anticipated “40 Under 40” listing of the next generation of up-and-comers in our industry, basically our future leaders. I thought it would be appropriate for Coach’s Corner to support that effort with a discussion of what got us here, how organizations should evolve and what leadership should do for a company. To do that I have included information that we use in one of our programs designed to help companies get organized properly, so they can be managed efficiently and effectively.

In order to gain an understanding of the changes a retail operation may need to make, let’s begin by taking a look at the way many of the companies in the home furnishings industry have evolved.

The “Mom and Pop” image so often used to describe a furniture store is not far from correct when looking at the history of our industry. Through the early and middle years of the twentieth century virtually all furniture stores were single market, single location, family-owned-and-operated businesses. The owners worked all phases of the business and performed all tasks personally, including dealing directly with every customer and, therefore, making relationships with customers critical to the success and growth of the company.

The customer’s connection with the furniture industry was through the retailer and loyalties were to stores and people rather than with brands. As business grew, mom and pop hired a sales person to assist them in keeping up with the business and as a result, lost some of the personal connection to their customers. As the business grew further, more sales people were hired and office staffs employed. Delivery people were hired and warehouses moved off site causing even greater loss of owner control.

During the 1950’s and 60’s, with the beginning of the suburban exodus, many single location stores became multi-location operations causing the hiring of management from outside the family and the need for more formal organizations with different reporting and communications systems than had been utilized before. Some companies were better at adapting to these needs than others and thus grew to become some of the great furniture retailers we still find active today.

During the 1970’s, 80’s and 90’s the second and third generation of family members joined these companies and, in most cases, brought with them new organization skills developed through higher levels of education. But in many cases bringing change to these “owner dominated” businesses was difficult. Many failed as the number of furniture stores declined by nearly half between 1970 and 2000.

Still, there are many great retailers who successfully brought their businesses through all of these changes and are now facing the challenges of the 21st century. However, with the explosion of information and purchasing opportunities available on the internet, even more change will be needed if furniture retailers are going to keep pace in the highly competitive market for consumer goods and develop the quality people they will need in order to survive, let alone maximize their opportunities. The piece of the pie available to them is shrinking, so as they say, “only the strong will survive”!

Given the proliferation of promotions, the commonality of product and the ever growing consumer demands for service excellence, not only will systems, processes and facilities need to keep pace with all the competitors, so will your people. And the key to that happening is state-of-the-art management skills and leadership.

Redeveloping a family-based or privately held organization is hard work because most of the key people are typically “born and raised” in the business. Their perspective is from the inside out and there is often an inability to envision the proper organization or its benefits. In other words, many will continue to run the company the way it always has been, since that is how they were taught. When in reality that is often the worst thing they should do! So let’s take a quick look at what your management organization should be like in order to handle today’s challenges.

First we must understand that Management is a task. It deals with things, functions and concepts. People with the title of manager can have responsibilities which may or may not include the management of people. Many staff managers have no one reporting to them, no one for whose performance they are ultimately responsible, yet may be responsible for relationships inside or outside the organization. Management has been defined by one expert as “getting things done through others.”

On the other hand, Leadership is an art. It deals with people, principles and ideals. While management can be taught through education and systems, leadership is a less easily acquired attribute. The two concepts, management and leadership, are often confused in business literature and culture. People seem somehow to instinctively know what leadership is and when it is or is not being provided to them. Most would define the qualities of someone they consider to be a leader in very respectful and personal terms, especially “behind their backs”. Still, as with all arts, there are fundamental principles which underlie leadership and certain tools which, when properly applied, can enhance everyone’s leadership skills.

We often closely associate Leadership with the “team” concept. To effectively compete on our own retail playing field, we need to establish a mission-driven team with total customer satisfaction and company profitability as their goals. We must establish sub-teams including the Management Team, which bind them all together.

To cultivate leadership from your management team, you must have the following:

·       Managers with a developmental approach to dealing with people

·       Managers with a strong understanding of accountability for performance

·       Managers who spend time coaching, training, observing, measuring and providing feedback

·       Managers skilled in handling conflict

·       Managers with effective one-on-one communication skills

·       Managers that create team relationships with each other

·       Managers who understand that goals are a great strategic management tool

·       Managers who spend more time preventing fires rather than fighting them

For this to work, accountability in your organization must also be a two-way street. There should be equal levels of accountability up, down and across the organization. Your organization should place the customer squarely at the top. The next level in a modern organization includes the people who have direct, personal contact with the customer.

Your “front-line” team is accountable UP to the customer for: Setting, Managing and Fulfilling expectations in accordance with the company mission.

They are accountable DOWN to their managers for:

·       Compliance with company mission, policies and procedures

·       Achieving agreed upon goals and results

·       Collecting information, such as marketing results, traffic counts and other needed data which is not tracked automatically

Your management level should exist solely to develop and support line personnel. This is best illustrated by remembering that this level was only added when the front-line team grew beyond the owners’ ability to manage them. They are accountable UP to the front line for: Leadership and coaching, plus Performance appraisal, goal development, training, measurement, observation and feedback.

This team is accountable DOWN to the owners for:

·       Results, or action plans when results are not achieved

·       Representing the image of the company

The owners of a company sit squarely at the bottom of a modern organizational chart for two key reasons: they are the most removed from the customer and they support everyone in the organization. They are accountable UP to the management team for: mission and direction, plus resources, both human and capital (staffing, facilities, merchandise, systems, vehicles and so forth).

Owners are accountable DOWN to the stockholders and investors for: Profitability and effective use of assets.

So, if most of your current and future management team “grew up” in your business, how can you inspire and train them to create change in it when they are given the responsibility to do so? In simplest terms, get them out of the business to expose them to new ideas and different ways of doing things! Give them a chance to “grow” in a different garden or with help from a different gardener!

Here are a few ideas that have worked for some of those that earned their way onto our 40 under 40 list:

·       Send them off to college, let them make sure this is what they want to do!

·       Have them get a job outside of the industry for at least a year, before coming back onboard

·       Set them up with an “Internship” at a well-run furniture operation outside your market

·       Have them regularly attend markets, symposiums and associated seminars

·       Enroll them in a performance group either with you or one that is aimed specifically at managers

·       Hire someone from outside to train, coach and develop them that has experience doing so

Last and most important - listen to them and give them the ability to make needed changes. When they are ready, get out of their way!

 

What Sells: Youth - Cradle to College

July 11, 2016   by in Product, Youth, Juvenile Furniture   

By Trisha McBride Ferguson

There’s nothing pint-sized about the growth of today’s youth furnishings market. The category has experienced steady growth, keeping up with casegoods and tracking slightly behind upholstery. In 2015, youth sales grew 4.9% over the previous year—more than double the 2.1% growth experienced between 2013 to 2014.

Whether it’s the steady growth of U.S. births or consumers’ renewed interest in creating distinctive kid-friendly spaces, the trend is upward. As the children of baby boomers move through their prime child-bearing years, the slow but continued increase in the number of U.S. babies will propel the infant furniture and “Under 5” industries. While the recession slowed rates, births are now projected to grow 3.2% over the next five years and continue a slow ascent over the next 30 years.

The “Under 5” age segment has the highest projected population increase. By 2020, this segment is expected to grow somewhere between 3% and 5.2 %, increasing from 20 million to 21 million. Over the next 10 years, youth ages 5-9 are expected to grow 2.1%.

As one of the industry’s steadily growing segments, today’s youth and baby furniture markets offer retailers and suppliers the opportunity to reach consumers at an earlier age and build lifetime relationships and brand preference.

Standard Furniture’s Magnolia Home

The BOHO styling of Joanna’s Playhouse Canopy Bed brings grown-up style to youth spaces. Available in two finishes (white and salvage), it features a pitched, roof-shaped canopy top, open window pane headboard panel, shiplap head and footboard panels, and sturdy square posts. Suggested retail is $899 in twin.

 

 

 

Walker Edison’s Youth Desks

Small in scale yet big in style, these popular desks offer offer a generous work surface and are constructed of sturdy powder-coated steel and colored, tempered safety glass. 

 

 

 

 

Samuel Lawrence Furniture’s Room Gear

The perfect retreat for today’s active youth, “ClubHouse” group features oak veneers, bronze pipe-inspired accents and antique brass-finished hardware.

 

 

 

Legacy Classic Kids’ Fulton County

Offering under-bed drawers, shelving and cubbies—the Bookcase Lounge Bed is packed with storage. It owes its reclaimed vibe to poplar solids with oak, pecan, hickory and ash veneers complemented by oil-rubbed bronze hardware. Suggested retail is $1,299.

 

 

 

 

Universal Furniture’s SmartStuff

Fun and functional, the Varsity Bookcase has a corkboard right door covering two adjustable wood shelves. It also features a self-closing lower drawer and a “Jersey” finish over birch veneers. 

Capel’s Sailor Boy

Inspired by the fusion of water and sky, this casual area rug unites unites tranquil blues and greens. Handcrafted in North Carolina, it’s reversible and made of cotton chenille. Suggested retail for a 5’ x 6’ round rug is $349.

 

 

 

 

 

 

 

 

Trendwood’s Hideout Bed

American-made and kid-tough, this imaginative bed is built of solid Ponderosa pine and available in three stain finishes. It features four under-bed storage drawers and matching case goods are available. Suggested retail for bed as pictured is $699.

 

 

 

 

 

Elements International’s Alana

Fit for fairytales, this collection offers a button-tufted, faux leather headboard, delicate bow-tie moldings, and crystal hardware. Storage options include generous drawer sizes and a trundle bed option. Suggested retail is $599.

South Shore’s Mobby

A Twin Loft Bed with stairs is paired with a Twin Trundle bed on casters to turn every bedtime into an adventure. Its streamlined silhouettes are finished in a Morgan Cherry finish. Suggested retail for the Twin Loft Bed is $541.99.

 

Stanley’s Stone & Leigh

Taking a cue from the popularity of gray in today’s home décor, the Clementine Court collection is designed to grow along with its owner. A classically styled crib converts to a full size headboard and footboard and is also available in a creamy white finish. Suggested retail is $699.

 

 

 

RETAIL METRICS FOR FURNITURE RETAILING

June 7, 2016   by in Financial Reports, Industry   

Last year the furniture industry finally exceeded the volume experienced in the pre-Recession years of 2006 and 2007 growing 5.2 percent to $92.1 million in furniture and bedding sales (Figure A).

Lacking new marketing strategies, the furniture industry has had to rely in part on sheer pent up demand to clear the hurdles in the past two years. Overall financial performance has improved among furniture retailers with much of it attributed to improved Cost of Goods Sold as a percent of Revenue.

This is the third HFB report Retail Metrics for Furniture Retailing providing a comprehensive look at financial performance in the home furnishings industry via comprehensive data collected throughout the year by HFB’s parent company, Impact Consulting Services. This data is collected through Impact’s FurnitureCore application, Best Practices, which provides an ongoing monthly measure of a retailer’s performance. This subscription-based online application allows retailers to compare themselves to other home furnishings retailers and devise a plan to better manage store operations. No individual retailer’s numbers are shared, only composite percentage results. (See Methodology for additional criteria used in the Retail Metrics report.)

The focus of this article’s financial comparisons is five-fold. Results are provided for All Participants and reflect the performance of the entire sample compared to last year. Two additional retailer segments are featured for performance comparisons based on revenues – Under $5 million and $5 million to $25 million.  For the two larger retailer segments -- $25 million to $100 million and over $100 million –only trend comments are provided due to the proprietary nature of their data.  It should be noted that retailers participating in FurnitureCore’s Best Practices application are retailers focused on improving their company’s performance and does not reflect the industry in total.

The sales ranges not only reflect size of retailer, but in turn the differing operational characteristics the company size brings to profitability. The Under $5 million retailers are the surviving Mom and Pops who have developed niches and strategies for staying in business. Retailers with sales $5 million to $25 million have often emerged from Mom and Pop stores and are usually very owner-focused in operations. The larger $25 to $100 retailers may also reflect similar ownership, but have also developed more tiered management operations adding professional managers, for example in warehousing/delivery functions. The largest sales group, the Over $100 million retailers have accounting practices are often driven by tax strategies.

For the two revenue segments featured for comparison, high performing groups selected by net income as a percent of revenue are featured. The Top Quartile includes the top 25 percent in performance, and the Best Performers represent the elite top 10 percent.

The overall financial performance of All Participants is shown in Table 1.

Overview of Key Performance Indicators

With the furniture industry showing ever-increasing signs of recovery, profitability among retailers is also up. The retailers as a group improved performance over last year in all key areas, except Store Sales Expense. These improvements resulted in Net Operating Income almost doubling over the previous year to 5.8 percent of revenue. Table 2 gives an overview of key indicators – Gross Profit, Sales Expense, General & Administrative Expense, Net Operating Income, and Credit Expense.

Selling Expense is consistent across the board with little variation. This category is comprised mostly of sales force compensation, advertising, and warehouse/delivery expense. What does vary are General and Administrative expenses. The biggest chunks of G&A are Occupancy costs (rent/lease) and Administrative costs, primarily administrative and managerial salaries.

Each segment of financial performance is presented in more detail in the below.

Above the Line Income

Total Revenue encompasses merchandise sales as well as returns, sales of fabric/leather protection, and delivery income (Figure B).

Returns: Merchandise Returns (Figure B) continue to represent about 3 percent to 4 percent of revenue. Smaller retailers tend to handle many of their returns outside of the tracking system with voided tickets and even exchanges. Meanwhile larger firms are more likely to document these transactions negatively reflecting on their performance.

Merchandise Protection: Merchandise Protection (Figure B) is an often an important profitability component to traditional retailers, with the exception of upper to premium dealers, who often consider it a negative. This income usually represents around 3 percent of total revenue and is down slightly from the previous year among All Participants.

Delivery Income: Free delivery (Figure B) has become the expectation of consumers in all retail outlets, and this is especially true for smaller retailers. The best performing companies have still been able to offset this expense as Delivery Income as a percent of revenue continues to decline. Larger retailers are able to offset this expense at nearly double the rate of smaller companies.

Cost of Goods Sold

The big improvement in the bottom line appears to be in the cost of goods relative to revenue. Either the retail is “buying better” or simply not having to discount its merchandise so heavily. For the total group, COGS was down 2.3 percentage point over the previous year to 52.1 percent of revenues with larger retailers outperforming their smaller counterparts. (Figure C)

Gross Profit

Alongside improved COGS, comes higher Gross Profit. For All Participants, Gross Profit increased 2.3 percentage points over last year to 47.9 percent of revenue. Best Performers among all sales ranges reached Gross Profits over 50 percent.

The furniture industry’s Gross Margin (Figure D) is the envy of many retail sectors. Some vertical furniture retailers enjoy higher margins due to their direct sourcing models while electronics and appliance margins can run in the teens. With such healthy margins, why does the furniture industry make so little profit? Tracking how much it the industry spends on selling the product and running the business brings these low profits into focus.

 

Selling Expense

A significant 23 percent to 24 percent of revenue is spent on Selling Expenses (Figure E), and this figure has remained constant last year over the previous. This is the cost of attracting the consumer to the store (Advertising), converting that consumer to a purchaser by trained personnel (Sales) and successfully delivering that product to the consumer’s home (Warehouse/Delivery).

Advertising Expense. The cost of promoting product is a significant percentage of revenue. Last year the industry as a whole spent 6 percent of revenue on Advertising, similar to the year before (Figure E). Best Performing retailers over $100 million spent the most on advertising as a percent of revenue, but not significantly more than other groups. While advertising channels may differ by size of retailer, the total percent of revenue varies only one or two percentage points. Larger retailers will use more broadcast/air channels while smaller retailers rely heavily on print mediums, but the cost results are similar. It is imperative that advertising’s effectiveness be measured on a weekly basis and the only measure is number of visits – or ups – to the store or the website.

Sales Expense: The largest component of selling expenses is the cost of the sales associates, along with the cost of managing and motivating of them. Included in Sales Expense (Figure E) is the sales associates’ commission, as well as sales management, bonuses/contests and similar activities. Overall, Sales Expenses run about 9.1 percent of sales. However, over the last year it appears the smaller the company, the more the cost of Sales as a percent of revenue.

Warehouse/Delivery/Service: The “after the sale” cost of Warehouse/Delivery/Service is also a significant cost to the retailer. Last year these expenses totaled 7 percent of revenue, which was down over one percentage point from last year (Figure E). Often a retailer’s upfront performance is negated by the backend if the retailer is unable to manage it correctly. As reported earlier, merchandise returns can total over 3 percent of sales. Warehouse and Delivery must be managed intelligently and if not, outsourcing should be considered.

Store Sales Expense: A small but important selling cost, Store Sales Expense, averages 0.5 percent to 2 percent of sales. The Best Performers in the largest companies do outperform their smaller counterparts, but not significantly (Figure E). Retail technologies exist to eliminate the sales counter which can cost one percent or more, but can negatively impact the consumer’s excitement for the furniture purchase.

General and Administrative Expense

While not directly touching the selling process, the final piece to profitability is the control of General and Administrative Expenses. General and administrative expenses are, for the most part, fixed expenses and must be controlled relative to the potential volume. Primary components include Occupancy costs – the place to conduct business and the costs to keep it open, the cost of the management team that develops and executes a strategy, and finally the technology and information systems that are essential in controlling the process. These expenses can be as much as the Selling Expense in some cases and generally vary significantly by the size of the retailer. (Figure F).

Information Systems: Technology costs are staying around 1 percent, and for the Best Performing retailers, is down to 0.5 percent to 0.6 percent, regardless of size (Figure F). The successful implementation and ongoing maintenance of systems necessary to run a business smoothly can be painful at times but are critical to profitability. The larger retailers investing more in information systems have achieved an advantage in processing the customer order after the sale, often by transferring the process to sales associates.

Occupancy: The Best Performing companies enjoy Occupancy costs around 6 percent, compared to 7 percent to 8 percent for All Participants (Figure F). Often these larger retailers have the upper hand with the ability to secure the best locations. Consumers are increasingly placing a priority on location wanting to shop closer to home or visit retailers along their normal shopping routes.

Administrative Expense: The largest chunk of Administrative Expense is management salaries along with bonuses, professional fees, and insurance. Overall Administrative fees can total 8 percent to 10 percent of revenue on average for all retailers. Larger retailers over $100 million saw significant increases in these expenses last year. The decision to hire managerial positions is a hard one for many companies, but can produce big results with the proper personnel.

Credit Income and Expense

Retailers acting as credit houses are disappearing and what was once a key area of profitability is now a crucial place to control costs. Net Credit Expense totals 2 percent to 4 percent of revenue for the Best Performers regardless of size and 2.8 percent for All Participants (Figure G). From our perspective, credit is a selling expense that has emerged as a perceived necessity to generate consumer traffic. In our experience, less than 30 percent of consumers opt for offered credit promotions.

Net Income Before Interest and Taxes (% of Revenue)

Last year saw a big improvement in Net Income Before Interest and Taxes. While the average participant saw Net Income increase to 3.4 percent of revenue from zero percent, Best Performers experienced double that at 7 to over 8 percent, regardless of size.

Summary

The growth in the furniture industry is reflected this year in the improved financial performance by furniture retailers. Keep in mind our numbers are only guidelines to stimulate thought and discussion of how to profitably run a retail operation. We caution any specific retail figures, to be comparable, must be compiled to conform to these classifications.

We believe an ongoing focus on a company’s statistics is the path to high performance. It is not achieved in a month, but is part of a continuing process. Such a process is greatly enhanced with membership in a retail performance group that allows for open and frank discussion with peers of the barriers to achieve certain objectives.

While the overall industry statistics are improving, many retailers are achieving exceptional results. We challenge you to be one of those. Home Furnishings Business is committed to providing input to your process.