Daily News Archive
Brought to you by Home Furnishings Business
October 23,
2008 by in UnCategorized 
By Home Furnishings Business in Markets on October 2008
This week’s High Point Market got positive reviews from retailers and exhibitors alike during a meeting of the city Market Authority board Thursday.
One topic that wasn’t discussed was a move by the Las Vegas Market to shift its Fall 2009 event to September (14-17), within four weeks of the High Point Market that starts Oct. 17. After the board meeting, Samson Marketing President and CEO Kevin O’Connor said in an interview that a group of exhibitors and industry executives met Saturday—in an unofficial gathering separate from any formal organization—to discuss the possibility of working to persuade the Las Vegas Market to reverse its schedule shift, but the meeting ended with a decision to not take any action as a group.
He said the exhibitors at the meeting included several with showrooms in Las Vegas. Other participants said more than two dozen showrooms were represented. “Since there wasn’t a consensus on how we wanted to express that, I think we all agreed it would be best to express that individually” to the World Market Center, O’Connor said.
On Wednesday, World Market President and CEO Bob Maracich said he had been approached by a number of exhibitors in High Point this week who questioned the Las Vegas Market date shift. He said he’s been telling those exhibitors, including some who show in Las Vegas, that the venue is committed to its 2009 February-and-September schedule because retail buyers have expressed a strong preference for those dates.
At Thursday’s Market Authority meeting, several board members voiced praise for the High Point Market. Keith Koenig, president of the 23-store City Furniture chain in South Florida, said he was openly critical of High Point and its facilities five years ago. “Hospitality has gone from OK to outstanding,” he said, adding that the event’s facilities and transportation have made similar strides. “It’s a much easier market to shop, and we get more more done (in High Point) than any other market we attend.”
O’Connor, chairman of the Market Authority board, told the group that he was pleasantly surprised this week by the number of attendees at his company’s three showrooms, given the stock market’s downward slide in recent weeks. He said attendance at one of Samson Marketing’s three showrooms was up this week, while the number of buyers at two others was “within one or two” of a year ago. “I think attendance is kind of phenomenal given what’s gone on over the past few weeks,” he said, referring to the stock market’s gyrations.
Palliser CEO Art DeFehr, also a member of the Market Authority board, said the number of visitor’s to the company’s space was “down in the single digits.”
Market Authority President and CEO Brian Casey said the organization doesn’t release attendance figures until the event has been concluded.
October 23,
2008 by in UnCategorized
By Home Furnishings Business in on October 2008
The Salvation Army and Houston furniture retailer The Dump are partnering on a furniture donation program beginning on October Friday and running for a month to bolster The Salvation Army’s resources for community aid.
“During difficult times, you see the real unity and strength of a community,” said Ned Scherer, chief executive officer of The Dump and a Houston-area resident. “We wanted and needed to help our community, so we sought out The Salvation Army to organize this program.”
As part of the program, those interested in donating living room, bedroom, dining room or kitchen sets that are “gently used” and are not ripped, torn or stained can call (713) 869-3551 to arrange for a free pickup. Smaller items can be delivered to any of the six Salvation Army Thrift Stores throughout the Houston area.
In exchange for the donation, The Salvation Army will provide a tax exempt form that can be brought to The Dump, located at 10251 North Freeway, to receive a 10 percent discount on replacement furniture. At the end of the month-long initiative, The Dump will donate 10 percent of sales from the program to The Salvation Army.
“We are extremely fortunate when retailers like The Dump step up to give back to the community they serve,” said Patricia Zepeda, spokesperson for The Salvation Army. “A lot of Houstonians are going to benefit from this program and we thank them for their support in setting a great example for other businesses.”
In addition to incentivizing the community to donate furniture, The Dump has instituted other programs to better serve and support the Houston community during these times.
After Hurrican Ike, the store opened its doors seven days a week for the first time to better accommodate people’s schedules. The store has now returned back to normal operating days of Friday, Saturday and Sunday.
Open in Houston since 2005, The Dump is a major retailer of brand new, brand-name, off-price furniture, rugs, and mattresses, with eight locations in Texas, New Jersey, Pennsylvania and Virginia.
October 23,
2008 by in UnCategorized
By Home Furnishings Business in on October 2008
The Canadian Home Furnishings Alliance has named Sleep Country Canada its Retailer of the Year; and honored Sealy Corp. President and CEO Larry Rogers with its 2009 Lifetime Achievement Award.
Sleep Country and Rogers will be recognized at a gala dinner Friday, Jan. 9, at the International Centre, Mississauga, Ontario.
The annual event has been moved from Sunday evening to Friday night in order for the Canadian Home Furnishings Alliance and the Quebec Furniture Manufacturers’ Association to co-host a reception on the evening of the Canadian Home Furnishings Awards and the opening of the Canadian Home Furnishings Market.
The Retailer of the Year Award is dedicated to recognizing exemplary models of excellence and community service by Canadian furniture retail businesses. Laine Reynolds, who serves as Chair, Board of Directors for the CHFA, said, “Sleep Country Canada is a great example of a retailer that truly represents success in our industry. They embody the spirit of enterprise and innovation that is admired and provides inspiration for other businesses to follow. Sleep Country is a very worthy recipient of this coveted award.”
Sleep Country Canada began with just four stores and one warehouse. It has grown to encompass 133 stores and 13 distribution centres with more than 700 staff operating out of 5 provinces from Ontario to British Columbia. Sleep Country Canada also owns a chain of stores in Quebec called Dormez-vous and Sleep America in the United States.
The CHFA established the Lifetime Achievement Award to recognize those individuals who over their lifetime have made exemplary and sustained contributions to the Canadian home furnishings industry and their communities. Larry Rogers joined Sealy in 1979 and has served in a number of roles within the company, including president of Sealy North America. Prior to that appointment, he served as president of Sealy International and as president of Sealy Canada. Rogers has more than 30 years experience in the bedding industry.
“Over the years Larry has played an outstanding and significant role in the success of Sealy and has recently been appointed President/CEO. He is a top level, high-energy business executive who is respected for his exceptional experience, solid customer relationships and commitment to leadership excellence. Larry is a most deserving recipient of the Lifetime Achievement Award,” Reynolds said.
Sleep Country Canada believes it is their duty to give something back to the communities across Canada that have helped their business grow. Charity events and community organizations are the beneficiaries of Sleep Country Canada’s generosity.
The 2008 Retailer of the Year was Mel and Blayne Lastman, founder and re-founder of Lastman’s Bad Boy. Prior honourees include the Mega Group, Mark Dufresne, President and CEO of the Dufresne Group; Dennis Novosel of Stoney Creek Furniture; Leon’s; Tepperman’s and Bill Comrie, formerly President and CEO of the Brick.
Retailers will be asked to vote on-line for the supplier who does the best job not just in designing and building a product but also when it comes to marketing, service and delivery. The winners will be honoured with the Retailers’ Choice Award at the gala dinner.
Manufacturers are divided into two categories: $10 million Cdn. and under in annual sales and over $10 million Cdn. Every member of the Canadian Home Furnishings Alliance, Furniture West or the Quebec Furniture Manufacturers’ Association is eligible for the award. Retailers will be able to vote on-line commencing in late October until Dec. 31, 2008.
October 22,
2008 by in UnCategorized
By Home Furnishings Business in Bedding on October 2008
Minneapolis-based Select Comfort announced Wednesday that sales in its third quarter declined 26 percent to $157.2 million as the company returned to profitability with income of $1 million, which is down from $11.9 million in the same period last year.
The maker of “Sleep Number Beds,” Select Comfort operates 470 company owned stores nationwide. “Following a difficult first half and continued declining revenue, we achieved a significant goal during the third quarter by returning to profitability,” said CEO Bill McLaughlin. “During the quarter, we took aggressive action to reduce costs, improve operating efficiencies, and preserve cash, while selectively investing in those initiatives that will help improve business results.”He said the company expects difficult conditions to persist through 2009. “We have been proactive and aggressive in reducing costs and protecting margins. Given this challenging business environment, we are focused on improving our cost structure while implementing programs designed to stabilize sales and market share.”
The company said it will shut five stores during the fourth quarter, bringing the total number of closings for the year to 26. It expects to cut another 20 in the first quarter of 2009.
October 22,
2008 by in UnCategorized
By Home Furnishings Business in Furniture Retailing on October 2008
Ethan Allen saw first-quarter sales decline 17.2 percent as it produced net income of $7.4 million versus $17.5 million a year earlier.
The Danbury, Conn.-based company said sales totaled $205.8 million during the quarter. Net delivered sales by its retail division ($155.9 million) were down 14.7 percent from the first quarter of 2007.
The company’s quarterly profit was aided by a $1 million gain on the sale of one of its properties.
In the announcement, the company that has a network of 292 stores disclosed that it has implemented a “Team Concept” that provides team associates a base salary with an opportunity to earn a team bonus. It had a one-time overlap of selling costs as pre-paid commissions of $4.6 million were expensed.
Chairman and CEO Farooq Kathwari said, “We have been able to maintain decent profitability during these challenging times. While our sales have decreased, our gross margins increased due to many factors including maintaining our every-day-best-price policy. In addition, our many initiatives during the last several years are also a major factor in reducing costs and improving our performance.”
He said performance-boosting initiatives include developing knowledgeable associates, repositioning the brand to focus on a modern attitude with a classic perspective, maintaining a strong national advertising program, and making continued structural changes in its retail, manufacturing and logistics units.
Kathwari said, “While the overall economic environment remains uncertain, we believe that we are well positioned during this period and also ready to grow our business as conditions improve.”