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By Home Furnishings Business in on March 2007 Clayton Marcus

6. Mac McCall, left, Clayton Marcus; B. Smith, B. Smith Enterprises Ltd.; Allison McCall, Clayton Marcus; and Dan Gasby, B. Smith Enterprises Ltd.

Cresent Fine Furniture

7. Taylor Condra, left, Cresent Fine Furniture; Heather Bolick, Cardis, Swansea, Mass;
Bill Lee, Rhode Island Design Center; and
Richard Tomkins, Cresent Fine Furniture.

Sowing the Seeds of Change

By Home Furnishings Business in Furniture Retailing on March 2007 Environmental awareness hit an all-time high at the recent High Point Market. The place was buzzing with events and activities designed to promote awareness and support new methods of production. Interest and support for the migration toward sustainable practices was clear: the guest book at the Sustainable Furniture Council booth, inside the Greenstyle Pavilion at Suites at Market Square, reads like a who’s who of the retail world.

It wasn’t all sunshine and smiles though. There were several manufacturers I spoke with during Market who were critical or skeptical about the business of being eco-friendly. Honestly, most of the objections I heard sounded defensive or unapologetic or just plain uninformed. Yes, there are contradictions within what is currently known about global warming. Yes, there is “green-washing” going on and not all claims are valid. It’s also true that no one knows for sure exactly how climate change will affect our lives or what the timeline is. What we do know is that scientists are 90 percent certain the earth’s climate is changing as a result of human behaviors that produce greenhouse gases, and that there are things we can do to minimize the negative outcomes. Carbon offset programs are one example.



How Carbon Offsets Work

During Market, a manufacturer I spoke to derided carbon offset programs as a scam. Retailers need to understand how carbon offsets work. The basic deal for manufacturers is a process whereby their carbon footprint (output) is assessed and a corresponding fee calculated with payment going to a carbon offset service/broker who in turn funds a project elsewhere that contributes to the reduction of greenhouse gas emissions. It isn’t a perfect system. It can be abused. But it is incredibly effective when administered properly, which is most of the time.



Beetle-Mania

A warning on climate risks made front page on a recent weekend edition of The Financial Times. That got my attention. The Financial Times is not a place where I usually look for environmental news; however, speculation about the cost of dealing with insurance claims from floods and storms, lower agricultural yields, droughts and the spread of human, animal and plant diseases due to global warming is rampant and big business is looking for answers. The story pointed to Camille Parmesan, a biology professor at the University of Texas, who has singled out the white pine beetle and the spruce bark beetle as forest-destroying pests that are munching their way through areas of the U.S. previously denied to them by the cold. I don’t exactly know what that means but it doesn’t sound good.

Now, it’s a well-established fact that the media will stop at nothing in order to get your attention. The programers are as guilty as the advertisers. These days it takes a lot of dedication to sort through all the messages clamoring for your attention, but not all headlines are doom and gloom. Google alerts keep us all entertained with screamers such as “Eco-babies to cost hundreds more” and “Taiwan introduces eco-friendly ancestor-worship rituals” (which is actually not as crazy as it sounds).



Your Thoughts Here

As our industry repositions itself for the future, those of us who care should be reminded that innovation is a numbers game. That means we’ve got to constantly feed ideas into the pipeline to discover solutions. It’s the same as the process used to separate gold from dross. With ideas, the process of constantly reinventing the process is truly the mother of invention. Likewise, sometimes playing it safe can be dangerous. Either way, change is coming whether we’re ready or not. If you’ve got ideas to share, then log onto to www.hfbusiness.com and join us and other retailers in a conversation about change. Blog on our site—it’s fun, it’s free and it’s read by your peers. HFB

What Betty Wants

By Home Furnishings Business in Furniture Retailing on March 2007 The world has changed. A technology revolution
is upon us. I sincerely hope this is not earth
shattering news to you. The revolution has created a world filled with perfect and complete information available at a rapid-fire pace.

How’s the home furnishings industry faring?

I’d say overall our speed is fairly lousy and product alone does not fulfill our typical customer Betty’s dreams.

My brother custom-built a house in six months. Conversely several buyers have still not taken delivery on bedroom groups they bought in October of 2006. Nevertheless, that’s the reality we live in. But just because the pipeline can be painfully slow for product doesn’t mean you as a retailer can afford to be. You deal with the fast-paced consumer. We love to holler and wail about how Betty is not excited about buying furniture. But hey, Betty buys pre-cut and -washed celery these days. Does it really come as a surprise that she does not have the patience to wait for a boat to arrive from China? Is she supposed to be bestowed with this patience just because we haven’t figured out a fast way to deliver the goods? She doesn’t have to wait for other industries that sell far more complicated goods.

These stunning observations will not change the speed at which you receive your goods from vendors. But remember, you control the part of the equation of how fast and completely you satisfy Betty, who really just wishes she had a cool bedroom.

That’s where we get to part two of the technology revolution. It’s not just speed that has arrived on the scene, but also a world of more perfect and complete information and thus, satisfaction.

Complete translation: people want what they want, when they want it.

Let’s say Betty does go out and buy some “furniture” and patiently waits for it to be delivered (or gets it the same day from a dealer on top of the game). The job is still incomplete. She still has the same old room, just now with some new furniture. Without paint and lighting and accessories and an area rug, she leaves the experience less than satisfied. She has furniture, but not the dream room she wanted. She’s left hanging and slightly dissatisfied. Do we then really spend time wondering why she’s not just wild for the whole furniture buying process?

Here’s one possible idea. Sell Betty on the idea that for $4,500 (or $25,000) and a weekend, she can transform her bedroom into the place she always wanted it to be. Contract with local painters, use in-house designers to pull the new room together. Let consumers e-mail you dimensions and a few digital pics of the room. Get them to fill out a questionnaire. Merchandise the room for them. Throw in a candle and a fern. Give her what she wants, not just furniture. Let Betty buy her very own extreme makeover. It is, after all, what she really wants.

It’s a concrete, fast and complete option. Its cost can also be directly compared against that of a plasma screen TV or a long weekend in South Beach.

Execution in one week, start to finish. You’re my kind of people if this idea both excites and scares the hell out of you at the same time. Oh, and by the way, do this right, and there’s a heck of a lot of margin in it for you (which is why it won’t be easy—the good stuff never is).

It’s routine to say that the furniture industry is antiquated. Why don’t we try something different? It really can’t hurt to be revolutionary ourselves. Sure, it’ll require some work-arounds and fresh thinking, but we need to pick up the pace, because consumers who have the money and desire for a cool bedroom are passing us by every day.

Fast, exciting and satisfying sells like hotcakes at all price points. Slow, lumbering and incomplete? Well, I think we know how that goes.

It’s time to hit Betty’s pace and give her what she wants. Drop me an e-mail and share what you’re doing to keep up. I’ll pick it up instantly on my BlackBerry®. HFB

HFB_0407_AD2

By Home Furnishings Business in on March 2007 American General
Financial Services

American General Financial Services, a member of American International Group Inc., provides loans, retail financing and other credit-related products to more than two million families in 45 states, Puerto Rico and the U.S. Virgin Islands.

www.loansfast.com



Anti-Defamation League

ADL fights anti-Semitism and all forms of bigotry here and abroad, combats international terrorism, probes the roots of hatred, advocates before Congress, comes to the aid of victims of bigotry, develops educational programs, and serves as a public resource for government, media, law enforcement and the public, all toward the goals of countering and reducing hatred. With its National Headquarters in New York City, ADL has a network of Regional and Satellite Offices throughout America and in Jerusalem, Vienna and Moscow.

CONTACT: (212) 885-7749

www.adl.org



A.R.T.

Established in 2003, A.R.T. Furniture offers originally designed collections ranging from elegant transitional to classical traditional, encompassing bedroom, dining and occasional pieces. Each collection is designed to attract consumers, while allowing the retailer to make strong profits. Quality features like English dovetail construction and 20- to 14- step processing, lower inventory investment, and shorter lead times due to Far East and U.S. warehouse programs, are all part of the A.R.T. advantage. 

CONTACT: (909) 390-1039



CDS Solutions Group

Retail 6 is a 100 percent Windows-based wireless system that offers innovative touch screens, real data in real time, bar code scanning through flexible serialization, predictive workflow and 24/7/365 security and support.

CONTACT: (888) 309-8002

www.cdsgroup.com



CitiFinancial

CitiFinancial Retail Services offers Private Label credit cards that strengthen relationships between retailers and customers. Let us increase your bottom line with convenient, affordable financing programs.

www.citifinancial.com



Collezione Europa

Collezione Europa presents a selection of handsome, versatile and affordable furnishings for today’s lifestyle. Complete collections with bedrooms, dining groups, upholstery, entertainment walls, occasional and home office. 

CONTACT: (201) 541-8600

www.europacze.com



Escalate Retail

Escalate Retail is a leading supplier of software solutions for retailers. Escalate, the result of a merger between GERS Retail Systems and Ecometry Corp., has a strong reputation with its clients, industry leaders, analysts and other software providers. In 2004, Escalate was named the No. 1 Software Provider for the Retail Industry by RIS News Leaderboard, a comparison ranking by retailers nationwide. Not only did it rank Escalate as No. 1 overall, but also placed the company in the Top 10 in all 10 categories, including ROI, support, ease of administration/maintenance, retail concentration, customer satisfaction and service.

CONTACT: (858) 457-3888

www.escalateretail.com

Fairmont Designs

Fairmont Designs markets high-quality home furnishings for the bedroom, living room and entertainment room.

CONTACT: (714) 670-1171

www.fairmontdesigns.com



Foamex

Foamex is the leading producer of flexible polyurethane foam for the bedding, furniture, carpet cushion and automotive markets as well as technical foams for diverse applications in industrial, consumer, electronics and transportation industries.

CONTACT: (800) 776-3626

www.foamex.com



Four Hands

As a global manufacturer, wholesaler and importer of innovative home furnishings, Four Hands invites the world to explore and uncover styles of both ancient and modern civilizations, affordably.

CONTACT: (512) 371-7575

www.fourhands.com



FurnitureFan

FurnitureFan, a division of Impact Consulting Services Inc., has been providing internet marketing services solely to the home furnishings industry since 1999. FurnitureFan, the online directory, will see an average of 26,000 consumers per day and refer them to 12,000 stores throughout North America. FurnitureFan has developed the Internet marketing strategy for over 120 manufacturers, and in excess of 1,100 home furnishings retailers.

CONTACT: (800) 826-8868

www.furniturefan.com



GE Money

GE Money is the consumer and small business financial services unit of General Electric. Our expertise in financial services dates back more than 75 years, when the GE Credit Corporation was formed to finance the purchase of home appliances. Today, more than 118 million customers in 50 countries around the world turn to GE Money for their everyday financial solutions.

CONTACT: (866) 419-4096

www.gemoney.com



Highland Design

Highland Design offers sophisticated transitional and antique reproduction bedroom, office and entertainment collections that combine old world craftsmanship with new world function. Sophisticated looks for a great value.

CONTACT: (626) 638-0299

www.highlanddesign.com



Homelegance

Homelegance Inc. is a wholesaler that offers dining, bedroom, entertainment, home office, youth, lighting and occasionals collections, in addition to sofas, chairs, futons, daybeds, accessories, bombes and curios. Homelegance also features its Cebu collection of fine tables.

www.homelegance.com



Klaussner Furniture

Our retail partners enjoy the flexibility of selecting gallery settings from any of the Klaussner family of products with the knowledge that we back every item we manufacture. While there are many product lines under the Klaussner Furniture Industries umbrella, all are backed with our parent company’s commitment to providing the highest quality furnishings possible with value at every price point.

CONTACT: (888) 732-5948

www.klaussnerfurniture.com



Kreber

Kreber is your complete advertising team on an outsource basis. We’re an experienced and talented team of marketing strategists, designers, photographers and printing professionals who can streamline your creative process into a coordinated success. We create marketing solutions that emotionally connect with your customers and motivate them to buy from you.

CONTACT: Victor Vaughan, (336) 861-2717

victor.vaughan@kreber.com



Lexington Home Brands

Lexington Home Brands is a leading global marketer and manufacturer of branded case goods and upholstery, with the industry’s largest brand portfolio. Well-known consumer brands include Tommy Bahama Home®, Liz Claiborne Home™, Nautica®, Palmer Home™, Bob Timberlake® and Woolrich®. LHB also markets products under the Lexington house brand. Youth brands include Bob Timberlake Grandkids and Lexington Kids. Products are distributed through independent home furnishings retailers and designer showrooms. A privately held company, Lexington Home Brands is an affiliate of Boca Raton-based Sun Capital Partners Inc.

CONTACT: (336) 236-5300

www.lexington.com




Magnussen Home

Magnussen Home is dedicated to exceeding your expectations. From our design excellence to our industry-leading delivery performance, we bring you faster, better products ... on time, as promised.

CONTACT: (519) 662-3040

www.magnussen.com



Merchandise Mart

MMPI is both a property manager specializing in buildings devoted to wholesale showrooms and office space and a trade show producer hosting dozens of trade shows and more than 300 conferences and special events.

CONTACT: (800) 677-6278

www.merchandisemart.com



Myriad Software

Myriad Software was founded in 1990 by Carolyn Crowley and Russell Higgins. The company’s flagship product—Eclicktic™ for Windows—is a fully-integrated complete business package designed specifically for the retail home furnishings industry. This robust software system manages sales, inventory, inventory control (including bar-coding), accounting, special order tracking, customer history and more. Myriad Software has quickly amassed over 200 impressive customers running over 230 retail locations using their Eclicktic™ software. Myriad Software’s success can be attributed to Myriad’s superior product design and exceptional customer service.

CONTACT: (800) 676-423

www.myriadsoft.com





R&D Imports

R&D Imports offers an eclectic selection of traditional, contemporary and lifestyle case goods and furniture. It ships merchandise in less-than-container loads from our Los Angeles distribution center, as well as factory direct container shipments at significant savings. It also offers private label manufacturing for container shipments.

CONTACT: (800) 266-8648

www.rdimports.com



STORIS

STORIS Management Systems is the pace-setter in business solutions for the retail industry. Over 300 leading big-ticket retailers rely on our management systems to integrate operations, streamline processes and outperform the competition. Vision R8, STORIS’ powerful enterprise system, brings business rules for more profitable operations within reach of all retailers.

CONTACT: (888) 4-STORIS

www.storis.com



Vanguard Furniture

Manufacturing fine upholstery and case goods for the home, Vanguard Furniture is a privately held, family-owned and operated company located in Hickory, N.C. The best materials, artistic craftsmanship and a commitment to quality have distinguished Vanguard as an industry leader in the home furnishings market.

CONTACT: (828) 328-5631

www.vanguardfurniture.com



Western Home Furnishings Association

Western Home Furnishings Association, western affiliate of the National Home Furnishings Association, provides affordable business solutions and education to home furnishings retailers in 12 Western states.

CONTACT: (800) 422-3778

www.whfa.org



WithIt

WithIt is the premiere organization dedicated to the support and development of female professionals in the home industries. Our mission: to encourage and develop leadership, mentoring, education and opportunity for professional women in the home furnishings industry.

CONTACT: (336) 880-2188

www.withit.org



World Market Center

Las Vegas Market is an international home furnishings showcase that combines style, inspiration and productivity like no other market. Here you will shop an incredible depth and breadth of product offerings. Have easy access to more than 1,500 world-class manufacturers and fresh new resources. Discover the trends. Get information. Do business in state-of-the-art efficiency. And enjoy the hospitality of the world’s most exciting city.

CONTACT: (888) 416-8600

www.lasvegasmarket.com

Vintage Delights

By Home Furnishings Business in on March 2007 Old World. New World. Down under. Who’s on top?

Wine lovers everywhere.

Never in history has there been so much choice among grape varietal and wine for enthusiasts. This issue’s recommendations skew toward New Zealand Sauvignon Blanc—a nod to warmer weather and to a region that’s put Sauvignon Blanc back on the white wine world map.

Each reflects average retail; expect to pay two to three times in a restaurant.

Everyday bargains:

2005 Osborne Solaz Blanco: This Spanish producer is renowned for Rioja, sherry and port wines but here’s a simple, crisp white fashioned from 100 percent Viura grape that provides melon ball and granny apple flavors against sufficient acidity. A delightful spring and summer treat. ($8-$9).

2005 Bodegas Juan Gil Wrongo Dongo: Maybe the goofiest label ever minted but this black berry, black cherry, plum concoction fashioned primarily from the Mourvedre grape makes this Spanish offering a delight. ($8)

2006 Matua Sauvignon Blanc: Some enthusiasts might take a pass on this widely-available Sauvignon Blanc from New Zealand, zeroing in on its screw-cap. That would be a big mistake. Everything you’d expect from the signature grape of Kiwi is here. Don’t pass up this crisp white at the price. ($11-$12).

2003 Jacobs Creek Reserve Shiraz: The Australian’s have claimed the Syrah grape as their own—though the French might beg to differ. But there’s no argument this is a flat out beauty at the price with gobs of black cherry, cracked pepper and anise. ($13).



Super Premium:

2006 Lawson’s Dry Hills Sauvignon Blanc: What distinguishes this New Zealand offering from what follows is just a hint of herbal edge. Here’s another in a long line of Kiwi winners with this grape. ($15)

2006 Kim Crawford Sauvignon Blanc: This New Zealand producer simply seems to own this varietal. From the Marlborough region, this winery delivers top-flight grapefruit, lime and peach that begs for shellfish. ($17).

2004 Hess Collection Chardonnay: This Napa Valley producer is ubiquitous at the fighting varietal end but its mid-tier in most years is where real value resides. Hess hit a home run with its ‘04 vintage. Layers of creamy, complex tropical fruit alongside melon and lemon hints. ($20).

2004 Louis Sipp Gewurztraminer: This French producer from Alsace is synonymous with value. This exotic grape thrives in its hands, sporting spice, tropical fruit and citrus flavors. ($20).

Luxury Class:

2003 Whitehall Lane Cabernet Sauvignon: A fabled Napa Valley, California producer back in full stride, here’s full-bodied currant, cassis, clove, cedar, vanilla and toast. ($40)

2003 Chateau St. Jean Cinq Cepages: California’s answer to Bordeaux, this Cabernet Sauvignon-based wine pumps currant, plum, blue berry, black cherry and blackberry against sturdy tannins. The name hails from its five-variety blend: Cabernet Sauvignon, Merlot, Cabernet Franc, Malbec, and Petit Verdot. ($75).
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