Many conversations start with furniture retailers bemoaning the absence of traffic in their stores. Even though many are experiencing increases in sales driven by higher close rates and average tickets, they still remember the days of more customers coming through the door.
For relaxing after work or bingeing on a favorite TV show, nothing beats reclining-and American consumers seem to agree. Motion upholstery sales are on the rise with total category sales for 2015 of $11.02 billion, up from $10.48 billion in 2014.
With the sophistication of the internet has come the booming growth of e-commerce. The combined furniture and home furnishings industry has been one of the big recipients of this growth second only to the clothing/footwear industry.
One of the basic retail facts of life that we have often referred to in this column is that whatever happens on your sales floor is the result of three major business dynamics working together: Advertising, Merchandising and In-Store Experience.
With this issue we have focused on advertising and the challenge of bringing the consumer through the door. The changing buying process of the consumer results in fewer store shopped. Thus the retailer's fate is often determined in the murky world of the internet and social media.