Oct.
1
2012 Vol. 37 No. 5 $10
T H E B U S I N E SS N E W S PA P E R O F T H E F U R N I T U R E I N D U S T RY
Lexington goes outdoors
Tempur-Pedic to buy Sealy
Tommy Bahama line leads the way
Pending deal valued at $1.3 billion
HIGH POINT — As it charges into the outdoor furniture category with its Tommy Bahama Outdoor Living line, Lexington Home Brands plans on serving dealers a host of savvy design ideas at the High Point Market in a new venue called the Tommy Bahama Island Café. Lexington has leased the former Pecaso lighting showroom, in a high profile downtown location at the corner of
see Lexington, p95
Sandow sets tech conference ATLANTA — A handpicked group of experts will explore and explain top technology challenges, opportunities and issues during Sandow Media’s third annual Online Technologies Conference, set for Nov. 15 at Americasmart here. According to conference host Penny Schneck, this year’s theme, Online Goes Mobile, underscores the growing importance that online technologies continue to play across all sectors of the home furnishings arena. “When one considers that four out of five consumers use smartphones to shop and that 64% of consumers with smartphones make purchases after seeing a mobile ad, it’s clear that our
see Conference, p10
Bassett 3Q sales climb 8.5% By Larry Thomas BASSETT, Va. — Bassett Furniture Inds. said improvements in its wholesale and retail businesses led to a third-quarter sales gain of 8.5%. The company said sales at its company-owned retail stores jumped 22.5% — including a comparable-store sales increase of 9.9% — and the retail segment cut its operating loss by $300,000 to $1.5 million. Total sales for the quarter ended Aug. 25 were $64.4 million, up from $59.4 million in last year’s third fiscal quarter.
see Bassett, p100 www.furnituretoday.com
I N D E X
Bedding Today ..................80 Classifieds ..........................96 Market Events ....................32 Market Introductions .........40
Industry Numbers ............100 Opinion .............................86 Staff listing.........................86 Trending: Sectionals...........24
By Jay McIntosh LEXINGTON, Ky. — Tempur-Pedic said last week it has agreed to acquire Sealy in a blockbuster deal that will create a $2.7 billion global bedding provider. The deal unites a fastgrowing producer of visco-
elastic foam mattresses in Tempur with what until last year had been the largest U.S. producer of innerspring beds in Sealy. Tempur-Pedic said it will pay $2.20 per share for Sealy, and assume or repay all of the company’s outstanding debt. That
Industry gives thumbs up, p88 brings the total value of the transaction to about $1.3 billion. The offer price represents a premium of approximately 23% above
see Tempur, p88
SLF repositions youth lineup By Thomas Russell HIGH POINT — Case goods resource SLF is repositioning its youth lineup with new product, new sourcing and a new brand name. At the Oct. 13-18 High Point Market, the company is launching its RoomGear youth program with three new groups, each featuring roughly 12-15 SKUs, said Mary-Price Furr, vice president of marketing. The groups, based on what This storage daybed with cottage design elements the company believes are the is part of the Summertime collection in SLF’s new see SLF, p90 RoomGear youth program.
Indonesia helps Furniture Brands By Thomas Russell SEMERANG, Indonesia — A multimilliondollar investment that Furniture Brands International has made in a new case goods plant here is not only helping the company better control its sourcing in Asia. It is also helping boost Indonesia’s credibility as a producer of upper end case goods. While the company hasn’t disclosed the specific cost of the project, the plant is probably the largest single U.S. investment in the country in recent years. Given the worldwide name recognition of Furniture Brands and its subsidiaries — such as Thomasville,
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see FBI, p28
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OCTOBER 1, 2012
Industry News
Help us share product news
W
This sectional is in the Luonto Furniture line, which will be on display in the company’s new High Point Market showroom in 220 Elm.
Luonto offering chance to win hot car at market HIGH POINT — Luonto Furniture will have a new showroom and a larger product line at the High Point Market, and as a promotion will have a drawing for a chance to win a luxury, electric hybrid Fisker Karma sports car. Luonto, a manufacturer of contemporary Euro-style seating, is a division of Pohjanmaan Kaluste Oy, Scandinavia’s largest upholstery producer with factories in Finland. It will show this market in 4,000 square feet in 220 Elm, space 306, moving from a smaller showroom in the International Home Furnishings Center. It also will offer fabric covers on its seating line, in addition to the leather covers previously available.
Furniture Classics expands HP space HIGH POINT — Accent furniture source Furniture Classics has expanded its showroom by 25% for this month’s High Point Market. T h e c o m p a n y, w h i c h shows in Showplace, space 2401, now has more than 16,000 square feet. “Having more room will enable us to create better displays and present a clearer vision of what we have to offer,” said Michael Ricks, president. “It will be a much more cohesive statement that will provide retailers with great, hands-on ideas that they can use in their own stores.”
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Editor’s desk
At market, furniture buyers who register at the Luonto showroom will have a chance to win a new Fisker Karma sports sedan, a 403-horsepower plug-in hybrid that retails for $113,000. Owners of the car include celebrities Colin Powell, Al Gore, Justin Bieber and actor Leonardo DiCaprio, who received the first Fisker Karma ever built. It’s not certain someone will win the car — the winning buyer will have a shot at a contest that involves opening a series of envelopes — but the company hopes to give one away, said Chuck Rudwall, president and CEO of Luonto. “The Fisker Karma is a special automobile — an environmentally friendly product that is hand-made in Finland. Our furniture products are also environmentally friendly and hand-crafted in Scandinavia,” Rudwall said. A 2012 model of the car will be on display in the 220 Elm courtyard during the Oct. 13-18 market, courtesy of Flow Auto in Winston-Salem, N.C., the local Fisker dealer. Luonto Furniture says it strives to minimize the use of
natural resources in its manufacturing process, with energy use, water consumptions and emissions minimized. Wood waste generated in manufacturing, for instance, is used as a bio fuel to heat the production plants and a local school. Other production waste also is recycled, and the company focuses on using natural and recyclable raw materials from nearby areas. Wood comes from Forest Stewardship Council-certified forests. Luonto is ISO 9001 and ISO 14001 accredited, meeting quality and environmental standards. In the U.S., it has a customer service office and a stocking warehouse in Greensboro, N.C. At market, Rudwall said, the company should do well in 200 Elm, which already houses more than 70 exhibitors including Palliser, W. Schillig and Home Meridian International. “As far as the location, it is in a prime area where contemporary buyers are already shopping the building,” he said. “We felt it would be a great fit as we grow as a company and expand our product line.”
THE BUSINESS NEWSPAPER OF THE FURNITURE INDUSTRY (USPS 330-630) (ISSN 0194-360x) Published weekly 49 times per year except for the 1/31, 4/11, 5/30, 8/8, 10/31 and the 11/21 issues with three issues produced on 5/3, 11/15 and 11/29 by Furniture/Today Media Group, 7025 Albert Pick Road, Greensboro, N.C. 27409, a subsidiary of Sandow Media LLC 3731 NW 8th Avenue, Boca Raton, FL 33431. Subscription rates U.S. and Canada: 1 year, $169.97, 2 years, $270.97, 3 years, $379.97. Single copies U.S. and Canada: $10.00, market and special issues, $10.00-$35.00. All other countries $325.99 per year surface mail. Single copies outside the U.S., $20.00 (includes shipping and handling), prepaid U.S. currency. Subscription inquiries: FURNITURE/TODAY, P.O. Box 5879, Harlan, IA 51593-1379. Phone: (800) 395-2329. Requests may also be emailed to: FTYcustserv@cdsfulfillment.com. Periodicals postage paid at Greensboro, N.C. 27409, and additional mailing offices. “FURNITURE/TODAY” and “THE WEEKLY BUSINESS NEWSPAPER OF THE FURNITURE INDUSTRY” are registered trademarks of Sandow Media LLC, used under license. Sandow Media LLC does not assume and hereby disclaims any liability to any person for any loss or damage caused by errors or omissions in the material contained herein, regardless of whether such errors result from negligence, accident or any other cause whatsoever. POSTMASTER: Send change of address to Furniture/Today, P.O. Box 5879, Harlan, IA 51593-1379. Posted under Canadian International Publications Agreement # 40624074. Return undeliverable Canadian addresses to: APC; P.O. Box 503, RPO West Beaver Creek, Rich Hill, ON L4B 4R6. FURNITURE/TODAY copyright© 2010 by Sandow Media LLC.
ith just a couple weeks until the High Point Market, the excitement is building. Here in the newsroom, our team is scrambling to process the mountains of productrelated information that suppliers send in right before each furniture market. Knowing that new products are the lifeblood of the market, Furniture/Today solicits information about the new goods that suppliers are planning to introduce at market. To make this as user-friendly as possible, we send out an email inviting all suppliers to share specific product information with us, which, in turn, we share with our readers. As all of you who have participated know, this is an editorial service, which means there is no charge to suppliers who want to get the word out about new goods. Our editors have created a very simple form that lets you input the information that your retail customers want to know about — the name of your company, the company contact, your showroom location, and perhaps most important of all, specific information about what you are bringing to market. On behalf of the edit team, here’s where we need your help so that we can ultimately help you: On the sections of the form that ask you to check the categories you are introducing product in, we ask you to summarize your introductions and share pertinent information such as the name of the introduction, the number of pieces, the style, the price points, the materials used, and anything else you would want to share with your customer. All too often, these forms come back to us either incorrectly filled out or only partially filled out, which doesn’t help us, you, or your customers. Trust me on this: your customers read this information with great care. I’ve been in showrooms when buyers walked in literally holding one of our product pages. Since day one, the mission at Furniture/ Today has been to provide our readers with the information they need to help grow their businesses. You can help us and yourself by giving us as much information as possible and by getting your product information to us by the stated deadline. Thanks for your help. See you at market! Editor in chief
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Set the Stage for
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Showroom C802
October 13th - 18th
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Doug Bassett named president of Vaughn-Bassett GALAX, Va. — Bedroom manufacturer Vaughan-Bassett Furniture has named Doug Bassett president of the company, a role most recently held by his brother Wyatt Bassett, who remains CEO. The company officially made the change at its quarterly board meeting in late
September. Doug Bassett started with the company in 1999 managing sales. He was promoted from vice president of sales and marketing to executive vice president in 2007, a role in which he continued to oversee marketing. He most recently was the company’s
chief operating officer. In addition to his company duties, he has been involved over the years with the American Home Furnishings Alliance and has dealt with regulatory and legislative issues on Capitol Hill. He also serves on the High Point Market Authority’s executive com-
mittee as well as the boards of Vaughan-Bassett, Webb Furniture Enterprises and WithIt. In a statement, Wyatt Bassett commended his brother’s work within the company and the industry. “Doug’s leadership is not only of great value to Vaughan-Bassett, but he works
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hard to have a positive impact on our industry,” he said. Their father, John D. Bassett III, remains chairman of Vaughan-Bassett’s board.
Perryman joins Shelba D. Johnson THOMASVILLE, N.C. — Shelba D. Johnson Trucking has hired Brin Perryman as regional sales manager. Perryman is replacing Dick Lewin, who is retiring, and will report to Richard Perryman Tucker, the Thomasvillebased company’s national sales manager. Perryman, who most recently leased showroom space for Merchandise Mart Properties and International Market Centers, previously spent 10 years as an advertising salesman for Furniture/Today. “Brin’s background in sales makes him perfect for this role, which includes selling warehouse space, cross-docking services and LTL furniture deliveries,” Tucker said. Last year, Shelba Johnson Trucking set a milestone as its trucks logged more than 18 million miles. “However, based on the business we’ve already done this year, we expect to easily pass that 18-million-mile watermark,” Tucker said. With a fleet of some 165 trucks and about 500 trailers, Shelba D. Johnson services more than 400 furniture shippers on the Eastern Seaboard and in Texas and Ohio. To prepare for growth, the company recently spent $3 million to acquire 20 new EPA-compliant diesel trucks. “Earlier this year, we also made significant investments in many other areas of our business with the goal of upgrading and enhancing our customer’s experience with us,” Tucker said, adding, “And thankfully, those investments are paying dividends in the form of new business and additional business from existing customers.
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You’re Invited! Come see our largest youth program introduction in years!
Kemble to design lines for Henredon, Maitland-Smith By Thomas Russell
Changeble color panels
Unique dry erase surface
Reversible corner bed
ST. LOUIS — Henredon and Maitland-Smith will introduce licensed case goods and upholstery collections designed by Celerie Kemble, an interior Kemble designer and author based in Palm Beach and New York. The collections will launch at the April High Point Market. In addition to the case goods and upholstery collections, Kemble is designing a line of decorative accessories and lighting for Maitland-Smith. “Both brands will benefit from our association with Celerie,” said Dan Bradley, president of Henredon and Maitland-Smith. “She shares our goal to produce the most beautiful high-end furniture and decorative accessories in the industry. She has a keen
eye for detail and a passion for creating unique, fresh designs, and we are thrilled to be associated with her.” The companies did not immediately provide other details about the new collections other than to say that Kemble is now finalizing designs with Todd Sessa, vice president of merchandising and design for Henredon and MaitlandSmith. Kemble is a principal of Kemble interiors, which has offices in Palm Beach, Fla., and New York. Kemble said it is “a privilege to team with Henredon and Maitland-Smith and to work with some of the most capable craftspeople in the furniture manufacturing industry. Both Henredon and Maitland-Smith have production capabilities that are as vast as the spectrum of my design vision, and we share respect for the nuances that make furniture beautiful and lasting.”
E.J. Victor, Aerin partner
furniture www.standard-furniture.com Visit Showroom C700
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High Point
October 13 - 18, 2012
NEW YORK — Aerin, a global luxury lifestyle brand founded by the granddaughter of Estee Lauder, has announced multiyear licensing agreements with three home furnishings companies, including high end case goods and upholstery producer E.J. Victor. The furniture line, as well as a new line of lighting offered by Visual Comfort, will launch at the April High Point Market. Aerin also has partnered with Lee Jofa, which will produce a line of designer upholstery fabrics, wall coverings and trim as well as a collection of area rugs. These will be offered to interior designers and decorators through Lee Jofa’s network showrooms and national sales representatives starting in the spring. E.J. Victor, which also has a separate licensing agreement with Ralph Lauren, said it will introduce Aerin branded de-
signs in case goods, upholstery and occasional furniture. The introduction will include about 20 wood pieces and 10-15 upholstery frames. The upholstery will be produced domestically and the wood will include a mix of domestic and imported product. The collection reflects the personal taste and styles of Aerin Lauder, including a number of pieces based on items in her homes. “While beauty is my heritage, home is one of my passions,” Lauder said in a statement. “When I decided to enter into the home category, it was imperative that I collaborate with partners who share my vision for creating quality products with a classic, yet modern aesthetic.” The products will be available through the licensing partners and directly to consumers through www.Aerin.com.
9/27/2012 4:40:36 PM
Relax in Style Introducing eight extraordinary lifestyle collections designed to inspire the affluent consumer, supported by powerful in-store merchandising.
SHOWROOM 1300 National Highway Thomasville, NC 27360 336-474-5555
High Point Market October 12 – 18, 2012 lexington.com
RECEPTION STUDIO 116 East Commerce Street at Wrenn Directly across from IHFC marketing@lexington.com
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Industry News X Conference from p1 industry needs to understand and embrace the new technologies that are rewriting the rule book at retail,” said Schneck. Ron Gordon, vice president of technology for Micro D, will kick off the conference with a presentation titled Pre-
pare Your Website for Smartphone Users! Gordon, who says there are more than 280 million smartphones in use in the Americas, will share the most important factors to make a website attractive and highly useful when accessed from a smartphone. Steve Bryant, president of Right Mind Media, will provide ideas, skills and be-
haviors designed to help attendees convert iShoppers into iCustomers. Industry veteran Brad Cates, senior vice president of Natuzzi Group, will share how Natuzzi is successfully utilizing mobile tools, interactive kiosks and Web advertising to distinguish itself from the competition while driving sales. Mark Grondin, senior
Retailpertise
vice president at Shopatron, a company that enables eCommerce for more than 800 merchant websites in 35 industries, believes the theme for the future of retail is “no boundaries.” During his presentation, Grondin will discuss the need for a strong mobile strategy and will also cover trends in mobile usage, flexible fulfillment and how companies are using the new
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technology to boost the bottom line. Showrooming, the practice where consumers shop a brick and mortar retail store then buy from a rival’s website, often at a lower price, has become one of the most challenging issues facing independent retailers today. In his presentation, Turn the Worldwide Web into Your Local Store Web, Andy Bernstein, president of FurnitureDealer.net, will share a variety of strategies currently working for brick-and-mortar retailers to minimize challenges from showrooming. To help attendees leave with new ideas, Tara Dikos, vice president of sales for Whereoware, will reveal gift and home furnishings industry trends designed to shed new light on how specialty retailers interact with vendors. The presentation, Five Surprising Industry Trends, will also equip attendees to take advantage of those trends and apply them to individual business models. The wrap-up panel, Sales Case Studies from Real Retailers, will allow attendees to hear from key retailers such as Ash-Marie Evans of Atlanta-based furniture retailer Authenteak and online retailer Jeffrey Humphrey of RealDeals.net, who have embraced the power of online to build brand awareness and to drive customers into the store. “It’s been said that if you take just one good idea away from any conference, your time and money have been well spent,” Schneck said, adding, “But with an earlybird rate of $99, good until Oct. 15, which includes lunch, a conference binder and ample time for networking, this is an unbeatable bargain.” After Oct. 16, the cost to register is $189. To register online, visit http://furnituretoday.com/techcon. For additional information, contact Conference and Events Manager Heather Grant at (336) 605-1061 or email her at hgrant@sandowmedia.com. Sandow Media is the parent company of Furniture/Today.
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Relax in Style The comfort, tailoring and 175 Sunbrella® fabrics and trims will challenge you to distinguish outdoor from indoor designs.
SHOWROOM 1300 National Highway Thomasville, NC 27360 336-474-5555
High Point Market October 12 – 18, 2012 lexington.com
RECEPTION STUDIO 116 East Commerce Street at Wrenn Directly across from IHFC marketing@lexington.com
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Stein World updates logo, tagline MEMPHIS, Tenn. — Accents importer Stein World has a new logo in a core shade of teal and also is introducing a new tagline: Evolution in Home Accents. The company said in a press release it is launching a new brand identity companywide and is providing supporting graphics to dealers from its recently relaunched website. The teal shade was cho-
sen for its adaptability and trendiness in current home furnishings and fashion. The logo will be adaptable and
can change based on its applications and design directions in home industries. “Today’s Stein World is fresh, modern, and evolving and we’ve created a brand strategy that captures our distinctive personality and philosophy,” said Jack Johnson, senior vice president of sales and marketing. “We’re utilizing technology, fashion, and consumer psychographics in new ways, and approaching home accent design from a totally original perspective.”
Theodore Alexander expands space HIGH POINT — Theodore Alexander has nearly doubled the size of its High Point showroom at 229 West Russell Ave. here, and will use the added space to present introductions for TRS Upholstery, its recently acquired seating division. “We began planning the new expansion in January,” said Thomas Woller, president of Theodore Alexander Upholstery. “It will allow us to
provide the TRS customer with the amenities and exceptional experience our Theodore Alexander customers have come to enjoy.” New and current collections, along with more than 150 new fabrics, will be exhibited in the showroom, which now has more than 10,000 square feet. Upholstered pieces will feature a broad color palette, offi-
cials said. The expansion also includes a fabric workroom where upholstery specialists can assist clients with product selection and merchandising. “It is part of our strategic vision to deliver an entire home experience at a luxury tier and TRS adds exceptionally crafted, bench-made upholstery for our discerning retailers, distributors and designers,” said Woller.
Folio 21 launches new bedrooms HIGH POINT — Case goods importer Folio 21 is launching 12 new bedrooms at the fall High Point Market in a variety of styles and finishes. Five-piece sets are targeted to retail from $1,699 to $3,499, according to the company. The styles range from chic transitional to antique oak. There are also a variety of other contemporary,
traditional and transitional designs. During the October market, the new groups can be seen in the company’s showroom in the International Home Furnishings Center, W-647. The space is being expanded by 3,600 square feet in time for the Oct. 13-18 show. Folio 21 currently has 19
bedroom groups in production. These are now shipping and are available on mixable containers from the company’s 3.5 million-square-foot source plant in Vietnam, which also has a climate-controlled, onsite warehouse. Goods ship within 15 days of the order and in as little as five days, depending on container availability.
Zuo adds space in High Point, Atlanta HIGH POINT — Contemporary specialist Zuo Modern is adding a second High Point Market showroom. The new 1,200-square-foot space in the International Home Furnishings Center, D508, will show contemporary furnishings. The company’s rustic new Zuo Era line and its outdoor line will be shown in IHFC D-501. Zuo’s showroom space here now totals
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7,479 square feet. The Zuo Era line features more than 300 SKUs across all case goods categories and outdoor pieces, the company said. “It’s a very original, ontrend, upscale design, featuring distinctive rustic ash on the case goods and stylish linen fabrics on the upholstery,” Will Ambroson, visual merchandising manager,
said in a press release. “We’re expecting a very positive response to this addition, both with our current dealers as well as new customers. This should be a huge market for us.” Additionally, the company is opening a 2,500 square foot showroom at Atlanta’s Americasmart dedicated to transitional, modern, outdoor and lighting décor pieces.
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Industry News
Case goods source Mobel making High Point debut By Thomas Russell HIGH POINT — After having shown at mostly regional markets over the years, solid wood bedroom and occasional furniture manufacturer Mobel will debut at High Point this October. The company will occupy a 2,700-square-foot showroom in space D-1035 of the International Home Furnishings Center. Founded in 1971, Mobel makes solid wood furniture in a 200,000-square-foot plant in Ferdinand, Ind. Its pieces are made with solid maple and oak as well as solid linga, a South American species similar to cherry. Case goods feature mortise and tenon construction, hardwood center drawer glides, wooden drawer bottoms and dustproofed cases, with hardwood framed case interiors and recessed wooden backs. Pieces also have multi-step lacquer finishes, including some custom options available in its Mobel Makeover program. Mobel has shown at regional markets including Las Vegas, where it showed until a year and a half ago. Mobel
“ ...Today’s marketplace is so competitive, we realized we need a presence in High Point. Retailers make most of their buying decisions based on what they see at markets, so it’s important that we keep our products in front of customers.” Ken Lamkin, Mobel also has focused its marketing efforts on direct sales. “However, today’s marketplace is so competitive, we realized we need a presence in High Point,” President Ken Lamkin said in a statement. “Retailers make most of their buying decisions based on what they see at markets, so it’s important that we keep our products in front of customers.” Four-piece bedrooms in its line range from $2,700 to $3,300 at retail, Lamkin said. This market, it is adding a new clean-lined bedroom group in two finishes and two new table collections — one rustic and one transi-
tional — to its Solutions occasional line. Lamkin added that by showing in High Point, the company expects to expand its sales with current and new East Coast customers. “We sell throughout the U.S. and in Canada, but when you look at the numbers, most of our business is being done east of the Mississippi. By being in High Point, we are banking on most of our current customer base coming to market,” Lamkin said, adding “We’re excited to be coming to High Point after all these years. We expect to have a very good show.”
Kith extends its lease at IHFC HIGH POINT — Kith Furniture, a domestic bedroom producer based in Haleyville, Ala., has signed a long-term lease for 5,200 square feet in the International Home Furnishings Center that will take effect at the April market. The space is part of the Bernards showroom in IHFC M-208, which Kith has occupied for the past two markets and will be in again during the Oct. 13-18 High Point Market. The company now shares the space with Bernards, but in April it will be a separate standalone showroom. “As a new company that’s
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rapidly expanding, we need a strong presence in High Point,” said Brett Tilley, sales manager. “This location has worked out great — it’s in a convenient location just one floor up from the lobby, which makes it easy for retailers to visit us.” He added that being next to Bernards has increased traffic to the showroom. Kith Furniture launched in 2011 and produces promotional bedroom and entertainment furniture. Its current line includes 18 bedrooms, targeted to retail from $399 to $999 for four-piece groups. This market, it is adding three
new bedrooms as well as new entertainment consoles retailing from $179 to $199, and new eight-drawer storage beds that retail at $499. The line is produced at a plant in Haleyville that employs 260 workers. Kith says it has about 1,000 accounts, located as far north as Maryland and as far west as Texas. Tilley said the company is looking to expand its presence in the northern and western states. “Dealers like the fact that we’re made in the U.S. and that we consistently provide a high level of quality and customer support,” he said.
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ADVERTORIAL
Mr. Natuzzi, what are you going to present on behalf of Natuzzi Italia at the Fall Market in High Point? We are proud to have become worldwide ambassadors for authentic made-in-Italy excellence, and Natuzzi Italia reects the exceptional craftsmanship of our artisans, our rich traditions and our uncompromising goal of providing consumers with made-in-Italy, “total look in total harmonyâ€? solutions for their homes. According to a 2011 World Luxury Tracking Study, Natuzzi Italia is the best-known brand in the furniture category among consumers of luxury goods. Distributed through specialty stores and mono-brand stores across the Americas, we continue to elevate the level of design leadership and provide consumers with distinctive shopping experiences. The recently opened Natuzzi Italia stores in Florida are just the start of many planned for the USA in the coming year. Natuzzi Editions has already seen strong growth in North America. What are the plans for future development? Natuzzi Editions has been a real success story for the Natuzzi Group this year. This brand tells the story of our heritage: comfort, quality, great leathers, the right colors and, of course, value. We are working to enhance the brand for the North American market by elevating it in the eyes of the end consumer. A new and engaging display system—the “Natuzzi Editions Educational Centerâ€?—has been developed to inform, educate and compel the consumer while guiding them to the best product choice for their home and lifestyle. Our objective is to continue to build consumer loyalty and affinity for the brand with this new marketing tool which will help them to better understand the brand and its values.
Interview with Pasquale Natuzzi NATUZZI GROUP CONTINUES TO SOLIDIFY ITS POSITION AS THE GLOBAL LEADER FOR LEATHER UPHOLSTERY. IN AN EFFORT TO REACH THE BROADEST SPECTRUM OF CONSUMERS, THE GROUP HAS RECENTLY REPOSITIONED ITS THREE ICONIC BRANDS—ENSURING THAT THE UNIQUE PROPOSITION, PERSONALITY AND IDENTITY OF EACH BRAND IS EASILY AND IMMEDIATELY IDENTIFIABLE IN THE MARKETPLACE.
Italsofa is the Group’s brand that has seen the most radical makeover in the past few years. What innovations can we expect for this Market? Italsofa will present a preview of its new collection for 2013. To lead the Italsofa style revolution, Italian architect and designer, Claudio Bellini, will act as artistic director for the brand. Italsofa presents the consumer with an opportunity to experiment with exciting new designs, colors, fabrics and leathers, with an eye for quality and comfort. The new collection is playful, dynamic, and interprets a lifestyle where the sofa becomes the preferred place to gather and share both the pleasures and passions of life. The new Space and Shift sofas are inspired by these inuences. Italsofa’s network is growing fast and we are looking forward to discussing new opportunities with all retailers at this Market!
8FTU $PNNFSDF "WFOVF )JHI 1PJOU /$ t www.natuzziamericas.com
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www.furnituretoday.com
OCTOBER 1, 2012
Industry News
RTO retailers agree not to spy on consumers WASHINGTON — The Federal Trade Commission reached an agreement last week with seven rent-to-own companies and a software design firm to settle charges the companies spied on consumers who rented their computers. The settlements bar the companies from using location-tracking software without the consumer’s consent, and
from deceptively collecting and disclosing information about consumers. The seven RTO companies reaching the settlement include two Aaron’s Inc. franchisees, two ColorTyme franchisees, two franchisees of Premier Rental Purchase, and one independent RTO company. The FTC said the compa-
nies used the software to take screenshots of personal information, track computer keystrokes, and in some cases, take webcam pictures of people in their homes. “An agreement to rent a computer doesn’t give a company license to access consumers’ private emails, bank account information and medical records, or even
worse, webcam photos of people in the privacy of their own homes,” said Jon Leibowitz, FTC chairman. “The FTC orders will put an end to their cyber spying.” Settlements were made with Aspen Way Enterprises, a Billings, Mont., company that operates 17 Aaron’s stores in six states; B. Stamper Enterprises, which operates
one Premier Rental Purchase store in Indiana; CALM Ventures, which operates a Premier store in Tennessee; JAG Rents Inc., which operates two ColorTyme stores in Florida; Red Zone Investment Group, which operates one ColorTyme store in Texas; Showplace Inc., which operates 15 Showplace Rent-To-Own stores in Ohio; and Watershed Development Corp., which operates eight Aaron’s stores in Illinois.
Blake joins Glen Raven
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GLEN RAVEN, N.C. — Marcia Blake, an authority on outdoor décor who has been a consultant to Glen Raven Custom Fabrics and patio store retailers for two years, has joined Glen Raven on a full-time basis as merchandising manager. She will expand her work with retailers of outdoor living products, focusing on in-store merBlake chandising based on the growing popularity of outdoor rooms, the company said. For the past two years, Blake has helped Glen Raven with the development of its Sunbrella fabric kiosk program and promoted retractable Solair awnings available at retail through Glen Raven’s Tri Vantage subsidiary. “As a highly talented outdoor living specialist, Marcia has become a valued member of our decorative fabrics team, and we look forward to even greater contributions in her expanded role,” said Suzie Roberts, vice president and business manager for decorative fabrics for Glen Raven. Blake will report to Roberts and will continue to work from her base in California. Blake’s industry career includes stints as manager and a buyer for patio furniture and collectibles for Roger’s Gardens, and president and creative director of design firm Outdoor Interiors. She also previously worked in executive-recruiting and marketing, and was vice president of the Kole & Co. Recruitment firm.
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9/27/2012 4:53:42 PM
Benvenuti a casa.
130 West Commerce Avenue High Point, NC 27260 336.887.8300 www.natuzzi.com
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www.furnituretoday.com
OCTOBER 1, 2012
Industry News
Caber Sure Fit ready for High Point debut By Michael J. Knell MARKHAM, Ontario — Addedvalue protection product and service specialist Caber Sure Fit will exhibit at the High Point Market for the first time this month. This follows the company’s first show at the Las Vegas Market this summer and coincides with an expansion of
its U.S. sales force. Caber Sure Fit will show in the International Home Furnishings Center, space M-615, at the Oct. 13-18 market. “We are very pleased with the response we received when we introduced our brand and collections to retailers at Las Vegas Market,” company President and CEO Bernard Wein-
stein said in a statement. “It’s important for us to continue the momentum we are experiencing in the United States, and recognize that High Point Market offers us an additional opportunity to bring Caber Sure Fit’s innovation and expertise in the sleep accessories category to a wider audience.” In High Point, the company
will focus on its DreamSerene collection of pillow covers and mattress pads, both of which feature a “breathable” stain and waterproof barrier to defend against allergens, bed bugs and water damage. The line is offered in a variety of fabrics made from organic materials, including terry, bamboo and eucalyptus, at retail price points
If you’re driven to maximize profits
ranging from $59 to $199. Weinstein also said that Caber Sit Fit has increased its U.S. sales force and now has representation in more than 25 states, particularly in the Northeast and West. “Our new network of over 15 sales representatives in key markets nationwide gives us a very strong platform to provide exceptional service and training to our customers. We are also in a great position to better serve our local and national accounts in the United States,” Weinstein said, adding, “We’re excited to have seen such momentum in the past few months and know our quality products and committed team will continue to push our brand forward.”
Art Van promotes Bussell to VP
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WARREN, Mich. — Art Van Furniture has promoted Ken Bussell to vice president-financial services. In a company memo, the retailer noted the promotion from director to vice president “recognizes the important role that Ken has filled since Bussell he joined the company in 2009.” Under Bussell’s leadership, the Top 100 company launched a new Art Van Signature credit card, building its circulation to nearly 250,000 cards today. He also has been instrumental in keeping the retailer’s financing costs among the lowest in the industry, the company said, “enabling us to drive business results with compelling finance offers.” Bussell also launched a statewide program with Realtors to capture new furniture business as consumers move into new homes. With the promotion, his responsibilities will expand to include several additional financial services programs. “As we move into the new Chicago market, Ken will be working very hard to help introduce the Art Van Signature card to an entirely new market,” the company said.
9/26/2012 11:36:39 AM
www.natuzzieditions.com
EXCELLENCE IS IN THE DETAILS. DISCOVER HOW EXCELLENT LEATHER AND EXPERT CRAFTSMANSHIP EXPRESS ITALIAN PASSION, PROVIDING YOUR CLIENTS’ HOME WITH UNIQUE AND UNCOMPROMISING STYLE.
HIGH POINT OCTOBER MARKET 130 WEST COMMERCE AVENUE - HIGH POINT 336.887.8300
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Industry News
Jamison promotes MacLean to dual posts as CFO, COO B R E N T W O O D , Te n n . — Jamison Bedding has promoted Rick MacLean to the new dual executive position of chief financial officer and chief operating officer, according to company President Frank Gorrell. MacLean, who had been CFO, will have expanded responsibilities in strategic planning and development of the organization, with emphasis on Jamison’s marketing, sales and manufacturing. He continues to report to Gorrell. “Rick’s expansive knowledge and experience have been instrumental over the past few years in moving forward the Jamison brand and business,” Gorrell said. “His principle-based management skills will become even more
Shoemaker heads global licensing for King Koil
Our philosophy is simple. Make good quality furniture at a great price. It’s what we’ve done for two decades and what you can expect when you visit our showrooms. Fresh and unique. Distinctively different. Can’t wait to see you there.
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important to our success as we continue to evolve the organization and impleMacLean ment our strategic objectives.” Before joining Jamison in 2008 as CFO, MacLean had worked in finance and operations at firms including Hartmann, a producer of luxury travel goods, and McKesson Corp., an international pharmaceutical distributor and health care IT company. Headquartered here, Jamison Bedding operates a mattress factory in nearby Gallatin, Tenn., and serves more than 400 retailers in the Southeast and hotels and resorts worldwide.
WILLOWBROOK, Ill. — In a move to increase King Koil marketing consistency and brand power across its global licensing network, Comfort Solutions has named Owen Shoemaker senior vice president of the international King Koil licensing business. In the newly created post, Shoemaker reports to Dave Roberts, president and chief operating officer. Shoemaker joined Comfort Solutions in 2009 as vice president of product development, after 18 years in the mattress industry, related industries and in mattress retailing. He was promoted to senior vice president of product marketing and development in 2010. “This new strategic initiative reflects the size, scope and rapid expansion in recent years of the King Koil brand overseas,” Roberts said. “It’s also aimed at increasing the marketing presence and
uniformity of King Koil across the globe. At the same time, our objective is Shoemaker to help each international licensee expand its business and continue to be innovative in the context of its local market demands.” He said Shoemaker has “extensive experience in product innovation and marketing” and will continue to be involved in those pursuits on behalf of Comfort Solutions, while focusing his expertise on accelerating the company’s international King Koil business. Comfort Solutions has 37 overseas licensees serving 80 countries. The company recently announced its sixth perpetual license agreement, signed last month with its Shanghai-based licensee.
9/26/2012 2:10:47 PM
NEW COLLECTION 2013 A contemporary world of fun, design and colour is waiting 4 you. Come & see our new collection!
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High Point October Market 130 West Commerce Avenue - High Point 336.887.8300
italsofa.com
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Smartphones change retail Last month, Apple announced the year’s most anticipated product, the iPhone 5, and the consumer’s response was incredible. Apple sold five million in the first weekend. That means that five million consumers now have a sleeker, faster tool to research product, shop and buy. Mobile technology is quickly evolving. One-click purchases have sped up the buying process. Better shopping apps have enhanced the shopping process. And, social media sites, often viewed through smartphones, have significantly changed how consumers interact with product and retailers. A look at revenue and traffic sources through the San Francisco-based home furnishings e-Tailer, One Kings Lane, illustrates mobile’s growing importance. Sales via smartphones accounted for one-fourth of the flash site’s total revenues this July, up from a 5% share two years ago. Mobile comprised 28% of all traffic this July, again up from 5% in 2010. One Kings Lane garnered $100 million in sales in 2011 and is on track to hit $200 million in revenue this year.
Mobile accounts for 1/4 of One Kings Lane’s revenues and traffic % of total revenue July 2010
Mobile 5% Non-mobile 95%
July 2012
Mobile 25% Non-mobile 75%
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% of total visitor traffic July 2010
Mobile 5% Non-mobile 95%
July 2012
Mobile 28% Non-mobile 72%
Source: One Kings Lane, 2012
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Make that first step. Call or Click today!
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One Kings Lane is an online marketplace for the home that brings members exceptional value on a spectacular collection of top-brand, vintage and designer items. One Kings Lane works directly with leading home brands, antique and vintage dealers and designers to bring the very best products at exceptional prices to its members — every day of the week. One Kings Lane also partners with top designers, decorators and industry insiders to deliver content that inspires, enlightens and informs. eIntent is a regular feature analyzing online data by Furniture/ Today’s research department. Ideas for future reports can be shared with Dana French at dfrench@furnituretoday.com.
9/25/2012 1:43:39 PM
Fabrics that inspire the imagination. Bring this ad to life.
Sunbrella® is a registered trademark of Glen Raven, Inc.
Whether it’s the freedom to create or the freedom to live in the moment, Sunbrella® fabric is perfect for everything – from sheers, to furniture, to awnings and more. Discover beautiful, worry-free fabric at sunbrella.com/snow.
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OCTOBER 1, 2012
Trending: Stationary Upholstery
This sectional by Younger Furniture complements traditional and contemporary décor.
Sectionals help define interior spaces By Cindy W. Hodnett HIGH POINT — The spacious, open floor plans prevalent in renovated urban and new residential construction have created a design conundrum for consumers. Without the architectural boundaries of walls to delineate living rooms from kitchens, many consumers are struggling to define their interior spaces, while at the same time embracing the casual flow of fewer walls. Consequently, flexible furniture in the form of sectionals and modular groupings has become increasingly popular, and the trend shows no signs of abating. “Sectionals are ever present in the marketplace with increasing importance,” said Adam El-Hout, sales and business development man-
ager of Roche Bobois North America. “People’s lifestyles have evolved throughout the last half century with continued emphasis being placed on sociable seating configurations, lounging, relaxing and the use of electronic tablets or gadgets. Sectional and modular sofas cater perfectly to these lifestyle needs.” “Our sectionals continue to rank among our bestselling upholstered designs, including sofas, and we’ve seen continued interest in sectionals that are scaled for condominium and smallspace living,” said Jon Isaak, marketing manager for Gus Design Group. “We recently launched the Gus Modern Loft Collection in response to the demand for modern, including sectionals, that is scaled for urban spaces and can be reconfigured to adapt
to the unique decorating challenges these spaces present.” “Ever y s ectio nal and modular we have is doing extremely well in the marketplace,” said Mack Peters, director of sales and merchandising for Global Furniture USA. “We are seeing sectionals and modulars outselling stationary upholstery in many retail stores today. Retailers are expanding their sectional/modular lineup, especially in the motion category.” For many consumers, the definition of sectionals and modulars is interchangeable. However, for younger buyers likely to change residences multiple times, the difference between the two deserves explanation. “To me, a sectional is a group of pieces that are con-
figured a certain way and must be set up in the configuration that it was built for,” Peters said. “A modular offers the flexibility to move each individual piece around to any
configuration the consumer wants. A modular gives you much more flexibility because the pieces are smaller and can be configured in many
see Sectionals, p26
CONSUMERS AND SECTIONAL SOFAS
Half of consumers shopping for sectionals are redecorating.
$1,500 the median price consumers plan to spend on a sectional in 2012 and 2013.
Important product characteristics % of consumers planning to buy a sectional in 2012/2013 Stain-resistant fabric 92% Solid color 59% Made in the USA 58% Contemporary style 45% Traditional style 40% Eco-friendly materials 40% Dark color 35% Light color 26%
Source: Furniture/Today and HGTV’s Consumer Views Survey, 2012
Roche Bobois’ Mah Jong sofa was first introduced in 1970 and showcases Missoni Home fabrics in the latest update.
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Family Values, Always in Style Braxton Culler, Inc. has been producing quality furniture in North Carolina for nearly 40 years. Service-oriented and family run, we’ve built a business that combines modern manufacturing expertise with old-fashioned values and a full slate of fashion-forward, affordably priced products for every room in the home. We’ve earned the trust of Top 100 retailers, independent dealers and interior designers alike with timely delivery, personalized service and the fundamental belief that we succeed when our customers do. For more information, visit www. Braxtonculler.com.
The Braxton Culler Showroom
310 S. Elm Street, High Point, NC 27260 Phone: (336) 889-7333 Visit www.braxtonculler.com for more information.
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OCTOBER 1, 2012
Trending: Stationary Upholstery
Global Furniture is introducing this multihued sectional at the fall High Point Market.
X Sectionals from p24 different setups depending on the consumer’s room and needs.” The renewed consumer appreciation for sectionals and modular groupings has also prompted a redesign of the traditional silhouettes. Huge, overstuffed styles from previous decades have been redesigned to accommodate consumer demand for contemporary, modern profiles and fashion-forward fabrics. “The sectional/modular category has grown so much and become so much more important, and customers crave more options,” said Meredith Spell, president of Younger Furniture. “There are more SKUs in each group, and as soon as we come out with a new sofa, we are asked, ‘Is there a sectional?’ Then if we come out with a sectional, customers are asking for more SKUs and more options. The trend toward more custom options and more choices has really influenced the sectional market and the growth in the category.” The addition of motion capability to modulars and sectionals also has been a big contributor to the increase in sales, according to Peters. “The biggest difference in the last decade is the ability to put motion basically in any modular or sectional piece,” he said. “Styles have been able to take much more
FT024-026i5 26
design features with the improvement of motion mechanisms. This is a big difference for the customer that wants the comfort of reclining, but the look and style of stationary furniture.” Urban consumers are also embracing the design flexibility of sectionals and modulars. In renovated loft residences, which often have open floor plans and less square footage than traditional homes, residents choose sectionals and modulars to serve as both seating and additional sleeping accommodations. “We’re promoting clean-
lined modern designs and mid-century inspired details like button-tufting and slender, turned wood legs,” said Gus Design’s Isaak. “Fabrics are classic and neutral and can be accessorized with bright, bold, colorful accents.” “Since a sectional is a great investment and something that will really become a staple in the home for a long time, most customers want to choose a fabric they can live with for a long time — something they can change the pillows on and give the piece a new look, or buy new occasional chairs
and give the whole room a new look,” Spell said. “We tend to see more pops of color and patterns on chairs and also sometimes on sofas. Since modulars are more versatile and more fun, we like to mix up the fabrics a little and do things that are fun with pops of color.” Most upholstery showrooms in Las Vegas and Tupelo this summer, and many Premarket showrooms in High Point in September, featured several sectional options. Spell said she estimates that sectionals account for as much as one-third of all sofa
sales and thinks the figure is likely to increase as consumers continue to look for flexible, multipurpose and family-friendly furniture. “Modulars are designed to be more movable and changeable — you can change them with your mood, your need or with your space,” she said. “Sectionals come with a variety of options designed to mold to any space, shape and size. By adding more pieces, you can make them as large or as small as the design allows. They allow consumers to fill out their space as well as have more seating and comfort.”
Gus Design is introducing the Laurentian Tunda sectional at the fall market. It incorporates several key style trends including button details and a streamlined profile.
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OCTOBER 1, 2012
Indonesia: In depth X FBI from p1
ON THE GROUND INDONESIA
INDONESIA
TURKMENISTAN
JAPAN
CHINA IRAN TAIWAN VIETNAM
tra ma Su
Drexel Heritage and MaitlandSmith — the factory is boosting Indonesia’s reputation as a go-to place for upper-middle to upper-end furniture. The plant, which started operations in 2011, replaced an older Maitland-Smith facility Furniture Brands operated about 10 miles away. Company officials decided to replace that nearly 20-year old facility because it was in an area prone to flooding and sinking ground, said Kent Grotkjaer, operations manager. Furniture/Today visited the plant in August during a weeklong tour of factories in Jakarta, Surabaya and Semarang. The facility, Grotkjaer noted, is on higher ground that isn’t prone to flooding. The 490,000-square foot plant sits on a site of more than 1.3 million square feet that is designed for efficiency. For example, the milling of raw timber is done at one of the highest points on the site. From there, the lumber moves down towards 20 computerized kiln dry units and humidity-controlled lumber storage facilities. On the factory floor, a fully automated rough end cuts this wood into usable sizes and shapes for product ranging from chairs and console units to larger case goods. As the pieces are assembled into whitewood frames and cases, they make their way toward the finishing line. From there they are packaged and sent to a 30,000-square-foot finished goods warehouse, which is closest to the main
road outside the plant. The former plant was in some respects more antiquated Grotkjaer than the new one, said Ralph Scozzafava, chairman and CEO of Furniture Brands International. It also was a leased facility that had only 120,000 square feet of manufacturing space on about 250,000 square feet of land. The old plant primarily manufactured dining chairs and small accent pieces such as writing desks and mirrors for Maitland-Smith. It also produced wood product for Thomasville, Henredon and Drexel Heritage as well as upholstery for upper-end resource Pearson. All are FBI brands. It employed about 800, mostly in production, while the new facility has 1,500 employees, 1,200 of which are in production. The new plant continues to produce dining chairs and small wood pieces for Maitland-Smith, Thomasville, Henredon and Drexel Heritage as well as upholstery for Pearson. Roughly 10% of its output is upholstery, which includes occasional, dining and office seating. As the plant continues to evolve, it will increase its upholstery output, officials said. It also is getting into larger case pieces, including for Thomasville and Drexel Heritage. “The focus is the mediumhigh to high end,” Grotkjaer said. “That way we can get the quality right and the efficiency as well. We can do things for Thomasville that have never
THAILAND
PHILIPPINES
Kalimantan
Jakarta Semarang Java Surabaya
MALAYSIA
PAPUA NEW GUINEA
INDONESIA
AUSTRALIA
Indonesia has a thriving furniture industry, with many of the big indoor residential furniture plants located on the island of Java, around the cities of Jakarta, Semarang and Surabaya. been tried before, but things we have (traditionally) done with Maitland-Smith as well.” Officials said the plant also has done some OEM work for Bernhardt and E.J. Victor and will continue to increase its use for OEM projects. Filling up the plant with both Furniture Brands and OEM work helps increase its efficiency by utilizing as much capacity as possible. Furniture Brands also continues to source in China, Vietnam and the Philippines, where Maitland-Smith also has a case goods plant. While those remain important source countries, Indonesia is becoming an increasingly important part of its Asian production. “It is growing and continues to grow,” Scozzafava told Furniture/Today. “We haven’t gotten to the top end capacity and are still ramping up, but we will fill it with as much (product) as we can. Once we figure that out, we will decide if it gets bigger.” While those issues are unknown at this stage, he said the plant is an important asset in the company’s global sourcing and production model. “These are better goods we are making there and we can
Furniture/Today is presenting a three-part series on Indonesia’s furniture manufacturing industry. Associate Editor Thomas Russell visited the country a few weeks ago. X Sept. 24: Indonesia remains one of the largest exporters of furniture to the U.S. market. Visits to a number of factories show why it has become so important. X Oct. 1: U.S. companies including Furniture Brands International make a statement with their presence in Indonesia. X Oct. 8: Soft business conditions in the U.S. market create a hurdle for Indonesian producers. Many are rising to the challenge, yet still face obstacles to growth. really control the quality and we can control the flow,” he said, noting that in other factories, companies often have to wait in line for a production slot. “We have been through that and it can be weeks or months.” Due to the automated nature of the plant and its finishing system — including two motorized pallet conveyors and one static finishing area for specialty finishes and decorating — Scozzafava said the plant has “a great flow to it.” The plant also has several CNC routers and laser-operated machines that cut marquetry, Grotkjaer said, noting that the older plant did not have CNC machines. Officials also say that a key element behind the success of the new plant is the quality
of the work force. When the company moved, it retained about 70% of its workers, some of whom have been with the original factory since its early days. “The work force is pretty stable,” Grotkjaer said. “We did what we could to pull people over to this facility because once we train people, we like to keep them.” “We have a great work force,” Scozzafava added. “These folks are excellent furniture makers — they are artisans.… Their attention to detail is excellent, and they have experience working with mixed media. The carving and finishing and detailed veneer work they are able to do end up becoming pieces of furniture that are pieces of art.” While employee turnover is low, Grotkjaer said the plant also offers training classes for new and existing workers. In the plant’s carving shop, skilled craftsmen carve intricate designs on pieces ranging from chair frames to table legs. During Furniture/Today’s tour, there were 150 of these artisans at work, a figure that fluctuates depending on the workload and is above and beyond the 1,200 production workers. Most of the carvers travel to the plant from
see Indonesia, p30
A worker operates a CNC machine at the Furniture Brands plant, also known as PT Maitland-Smith Indonesia.
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Workers spray finishes on occasional tables at the plant, which produces both small pieces and larger case goods.
9/26/2012 2:09:16 PM
STYLE EXPECTED. STYLE DELIVERED.
ROXBURY High Point Showroom: 220 Elm Street, #220, High Point, NC 27260 Corporate Headquarters: 17560 E. Rowland Street, City of Industry, CA 91748 888-781-3088
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info@najarianfurniture.com
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www.najarianfurniture.com
8/23/12 9:05:40 AM
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OCTOBER 1, 2012
Indonesia: In depth
ON THE GROUND
INDONESIA
U.S. companies maintain presence in Indonesia By Thomas Russell SURABAYA, Indonesia — U.S. and Canadian furniture importers that do business in Indonesia say that having a successful sourcing experience depends largely on having a presence on the ground and quality workers to help run those operations. Companies like Casana, Stanley, Lexington Home Brands and American Woodcrafters have offices in the Surabaya area, which is home to many well-known furniture manufacturers. Lexington has sourced in Indonesia for about 12 years and has had an office in Surabaya for more than 10. It has more than 30 employees on the ground, ranging from engineers and product managers to finishing, logistics and quality control experts. “They are talented and they understand the culture there,” said Phil Haney, president and CEO of Lexington Home Brands. “We have both ex-pats and Indonesian citizens that are a nice mix of people that can interact with and do business with the factories there, and that gives us
an advantage over some people that don’t have that.” With the exception of the logistics and administrative personnel that work at the office, most employees are in the field, working with factories on a daily basis. That was certainly the case at Casana’s office in Surabaya, which Furniture/Today visited in early August. Most of its 15 employees work with factories that produce the company’s line of contemporary bedroom. Stanley Furniture has had an office in Surabaya since 2009 and has about 15 employees on the ground. These range from engineering and quality control staff to human resources, accounting and logistics. “It’s a professional organization,” said Adam Tilley, vice president of product management. “We run that office like it is an extension of our Stanleytown, Va., or our High Point offices. It is not like having an outpost or a third party type of organization…. Having that presence, we believe we have a solid foundation to run a professional business over there. We have made a
commitment to the area. “Those folks help us execute the specifications to the standards we want to have executed,” Tilley added, noting that Stanley has a total of 50 employees in Asia. “Transparency is a real challenge in an import model, and having all those folks over there will help us with information transparency. We are dedicating the resources to be able to tell people where our product is at any given moment.” Case goods importer American Woodcrafters has had an office in Surabaya for about 15 years and has 15 Indonesian employees who report to its director of quality control. “We have people stationed in the factories 24/7, and we rotate them between factories so they can learn the entire product line,” said Lao Labra, American Woodcrafters president. He said the rotation allows the staff to learn and understand manufacturing processes that may be specific to each factory. He said that QC staff members typically have a college degree and that the company pays these professionals a competitive wage in order to
get the best quality. “I think it makes the difference between having good product that complies with U.S. standards and requirements versus having just another Asian product,” Labra said. “We are not just a buyer — we are a buyer that has a leg in the country.” He added that having a presence on the ground also improves the company’s relationships with the factories because of its willingness to help the factories understand and achieve various standards in a cost-efficient manner. “There is a constant flow of information, and that allows us to make better and more prompt decisions,” he said. Hooker Furniture is in the process of setting up an office in Surabaya, with quality control personnel who will spend time in the factories. “The major job there is managing vendor relationships and our quality assurance efforts and making sure things get done on time,” said Art Raymond, senior vice president of case goods operations. “Our presence there is reasonably new. We are working with three factories there and
Anti-American protests don’t slow business By Thomas Russell SURABAYA, Indonesia — Recent antiAmerican protests by Muslim groups here and in other areas on the island of Java haven’t alarmed U.S. furniture importers or their manufacturing partners on the island. The protests, like others in Muslim countries around the globe, are in response to an anti-Muslim movie produced in the U.S. Indonesia is believed to have the world’s largest Muslim population. Protests at the embassy in Jakarta turned violent the week of Sept. 17, with people reportedly throwing rocks and Molotov cocktails, injuring police officers. In response, the U.S. temporarily closed its embassy in Jakarta and consulate offices in Surabaya, Medan and Bali. For the most part, however, observers say the protests have been much more peaceful than demonstrations in
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places like Pakistan, where 17 deaths were reported. Susilo Alexander Hadinoto, a director at Jakarta area-based case goods producer Ligna Furniture, said the demonstrations he has seen on TV appear smaller than others around the world. “There are a couple of demonstrations against the U.S around the country, but I think it is still in a smaller scale compared with the Middle East,” he said. “We have some Muslim radicals here, but those people are not the ones demonstrating on the street. In general, I must say it is still very safe here on the ground like any other day.” Gene Clark, president of Ligna’s U.S. marketing arm Ligna USA, said that while he doesn’t plan to return to Indonesia until later this year, he trusts his highly educated plant management to alert him of safety issues. He said he has heard no concerns from them. “It is always that one or two percent that get attention and I think the same
applies in Indonesia,” said Clark. “Most Muslims over there are not radical Muslims, but in any group, you can incite a few of them to riot. That is the issue we have to deal with now.” Kent Grotkjaer, operations manager of Furniture Brands Internationals’ plant in Semarang, said there was a small demonstration in the middle of town after a recent Friday prayer. However, he said there was no cause for alarm. “I happened to drive just past it, all was peaceful and there was a lot of police around to make sure nothing would get out of hand,” he said. “So altogether I do not feel we have any safety issues here in the area.” Executives at Hooker Furniture also said they have not heard of any issues that would prevent them from having employees on the ground. “We have not changed our normal procedures,” said Paul Toms, chairman and CEO of Hooker, which sources further east in Surabaya.
we expect that we will expand that. Indonesia does some interesting things that we think will make it an interesting place to do business over the long haul.”
X Indonesia from p28 Jepara in central Java. Officials did not reveal the capacity of the plant, but said it is four times that of the original plant, and that it is currently running at about 50% of capacity. Grotkjaer said the company is looking to expand its level of production in the new facility each year over the next few years. At this still early stage, he is optimistic about those prospects. “We are getting more into case goods, and as we get better at that, there will be more facility utilization,” he said. While there is plenty of room for expansion, Scozzafava said it’s important to fill the plant first before adding on. “We want to fill it up and burst it at the seams and then we will talk about whether more walls will go out or up,” he said. “It’s not about building them, it’s about filling them.... We want to be measured and smart about it.” He also said he believes the company’s investment is good for both investors and retailers of Furniture Brands goods. For investors, the vertical nature of the facility, combined with the company’s Mexico cut and sew operation, is expected to save the company $10 million to $12 million a year by 2014. That largely represents the cost savings from not buying from other manufacturers and other third parties. Customers will benefit, he said, by receiving product from a facility that’s expected to produce high-quality furniture for years to come. “It is not something that just anyone can make anywhere. It is high quality at a great value,” he said. “That is what it brings to our retail customer that wants to sell better goods and have a better-best offering they can feel confident about from a quality point of view.”
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High Point Showroom:
Proud Supporter
220 Elm Street, #220, High Point, NC 27260
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Market Events
Educational seminars set for market HIGH POINT — Unless otherwise stated, High Point Market seminars will take place in Plaza Suites, NHFA Retailer Resource Center, 1st floor.
Saturday, Oct. 13-Tuesday, Oct. 16 10-10:45 a.m. First Time Buyer Orientation Seminar Learn tips on navigating the High Point Market and making the best use of your time during this Q&A session. You can also view videos on the market’s website www.highpointmarket.org. High Point Theatre, at the Transportation Terminal
Noon-1:30 p.m. The Mutual Mentorship Model: Peer Sharing for a Collective Win Lisa Ferguson, founder, Décor Mentor Ferguson offers a unique way to exchange tips, tools, and ideas with other designers and retailers through peer mentoring. Ferguson and Decor Mentor design pros Kati Curtis, Jennifer Brouwer and Lisa Kahn will share best practices and case studies, showcasing how working with your competition can elevate your business. High Point Theatre, at the Transportation Terminal
Saturday, Oct. 13 8:30-9:30 a.m. How to Sell Value Instead of Price Philip Gutsell, Gutsell & Associates Most salespeople end up selling price instead of value. If they understood the mathematical formula, they would close more often and with larger tickets. The net results: more value, more margin and most importantly, more customer relationships.
Gutsell
10-11 a.m. 6 Major Things That Will Make 2013 a Success Doug Knorr, president, Knorr Marketing Knorr will present the six major things retailers can do to increase sales and make 2013 more profitable. 10-11:30 a.m. Design Dollars: Mobile and Social Commerce: Prepare to Win Leslie Carothers, founder, The Kaleidoscope Partnership A social media specialist for furniture, interior design, lifestyle and media brands, Carothers will show you how you can you prepare your business to win in this fast-paced, short-attention Carothers span environment. Sponsored by vandm.com. Market Square, Antique & Design Center, Lecture Room on Mezzanine Level 11-11:45 a.m. Designer Orientation Lisa Ferguson, founder, Decor Mentor, and Lisa Kahn Ferguson and Kahn present tips and tools to help you make the most of your trip. Get the inside track on how to work the largest home fashion show in the world. High Point Theatre, at the Transportation Terminal 11:30 a.m.-12:30 p.m. Before and After Martin Roberts, M Roberts Design Roberts will share recent projects, showing how clients have chosen to renovate or redesign their stores in order to “sell more, more often.”
Roberts
Noon-1 p.m. Modern Meets Traditional Candice Olson, HGTV star, and Ann Maine, editor in chief of Traditional Home
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Olson and Maine will discuss design and color trends as well as Olson’s new collection of upholstery and case goods with Highland House. $20 includes lunch. Limited seating, advance registration required. Reservation is secured upon receipt of Olson payment. Mail check to IMC, Attn: Leigh Chastain, P O Box 828, High Point NC 27261, or email Lchastain@imcenters.com to request a credit card authorization form. Sponsored by IMC and IFDA, Carolinas Chapter. IHFC, Green Wing, 11th Floor, Ballroom A
1-2 p.m. “Appy” Marketing — Increase Sales with Your Own Mobile App Kim Hershon-Miller, DesignInside Mobile apps are an affordable, accessible and powerful means to reach your customers and prospective customers. Find out how to create an app, market it and use it to supercharge your sales results. 2-3:30 p.m. Trend Forecast 2013 for the Home Furnishings & Antiques Industry Bill Indursky, co-founder, vandm.com Indursky returns for the fourth time to offer his popular design trend forecast for the home furnishings and antiques industry, as well as explain the larger context that shapes Indursky his forecast. Market Square, Antique & Design Center Lecture Room on Mezzanine Level 2:30-3:30 p.m. So You’ve Got a Website. Now What? Bob George, Impact Consulting Services Many retailers have a website but are struggling to maximize its impact. This session will show you steps to turn your website into a traffic generator for your store. 3:30-5 p.m. Antiques — The Luxury of Green Living for the 21st Century David Lindquist Nothing defines today’s interiors as much as the desire for space infused with the owner’s personality. In this lecture with hands-on materials and slides, nationally known authority on antiques and design, David Lindquist, will offer tips on buying smart — whatever the price range of the design plan. Ensure your clients know the keys to value and authentication, and have the ultimate confidence in your ability to create the perfect environment. Sponsored by vandm.com. Market Square, Antique & Design Center Lecture Room on Mezzanine Level
4-4:45 p.m. Elevate Your Business Workshop Lisa Ferguson, founder, Décor Mentor Ferguson and her team of mentors will offer proven, fresh tips and tools to elevate your design business. This intensive workshop for design pros will show you how to work through top “pain points.” Must pre-register to attend. Email editorial@highpointmarket.org. 220 Elm
Sunday, Oct. 14 7:30-9 a.m. WithIt Educational Breakfast: Bootstrapping Your Brand in a Challenged Economy Moderated by Julia Rosien, president, WithIt. Panelists Angelo Surmelis and Kathy Ireland Surmelis and Ireland have lessons to share that can help all companies go beyond surviving to thriving. They will discuss how to forecast from the bottom up, focus on each battle instead of the whole Rosien Ireland war, forget the proven team and work with startupminded people. Breakfast and Seminar are free. Reservation is required. Email lchastain@imcenters.com or www.withit.org. Sponsored by IMC and WithIt. IHFC, Green Wing, 11th Surmelis Floor, Ballroom A 8:30-9 a.m. The Outlook for the Furniture Industry Jerry Epperson, Mann, Armistead & Epperson Furniture industry guru Epperson will offer his furniture research expertise on the current state of the furniture industry and how it affects you today and tomorrow. Epperson 10-11:30 a.m. Couture Kitchens: Fashion Trends in Kitchen Furnishings, Appliances, Flooring, Tile and Cabinetry Rebecca Reynolds, Culinary Kitchen Designs Reynolds, a luxury kitchen designer, blogger and contributor to www.fashionanddecor.com, will discusses couture kitchens and how to bring personal style into your design by incorporating unique pieces that tell a story about a home’s inhabitants. Market Square, Antique & Design Center Lecture Room, Mezzanine Level 10-11:30 a.m. Let Buy-Gones Be Buy-Gones Connie Post, CEO, Affordable Design Solutions Join retail strategist Post for a fastpaced plan for updating your store with can’t miss ideas for getting ontrend and on-track. She’ll also reveal five must-have paint colors to jazz up your store in 2013.
Post
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Market Events X Seminars from p32 11:45 a.m.-12:30 p.m. Traffic Down? See Some New Ideas from Promotional Retailers that Drove Traffic and Increased Sales Charles Horich, Brad Lebow and Chip Hector, Horich, Parks, Lebow Advertising Have you fallen into a promotional rut, running the same events with the same media support week after week? It may be time to change your sale events, alter your media mix and step up your creative. Horich, Parks and Hector will show you the top performing sale events from retailers around the country and give you insights into media strategies to help maximize your ad budget. Complimentary boxed lunch. Noon-1:30 p.m. Using Social Media to Define and Establish Your Presence as a Designer Traci Zeller, interior designer and blogger Ever feel lost in the crowd of design professionals? Why should a client choose to work with you over any other designer with a similar look? If you or your clients can’t answer this, join Zeller, a market Style Spotter for the second year, as she explains how to create a compelling online presence that will set you apart from your peers. Zaar Design Center, 741 W. Ward Ave. Noon-1:30 p.m. Design Viewpoint Series: Lights, Camera, Action Panelists Nathan Turner; Lori Dennis and Kelli Ellis, cofounders of DesignCamp.com; and Shay Geyer, design expert for “Good Morning Texas” This panel of design experts will reveal how they found their broadcast niches and will provide tips to help you make the most of local, national and international media. Following the presentation, Turner will sign copies of his new book, “Nathan Turner’s American Style.” 0.1 CEU credit. Complimentary boxed lunch. Co-sponsored by ASID. High Point Theatre at the Transportation Terminal Noon-1 p.m. Rugs 101 Cyrus Loloi, Cherisse Jensen and Emily Lancaster, Loloi product developers This seminar will cover the basics — rug construction, fiber types, tips and tricks for selecting rug sizes for your room, and more. The team will also share what’s hot right now in the rug market, explore upcoming trends, and have a Q&A session. Sponsored by IMC and Loloi Rugs. Lunch, seminar free of charge. Limited seating, reservations recommended. Email lchastain@imcenters. com. IHFC, Green Wing, 11th Floor, Ballroom B 1-2 p.m. The Changing 401(k) World — Fee Disclosures and Fiduciary Liability Joe Youngblood, III, Hamilton Benefits The presentation will go over the changing laws involving 401(k) accounts, specifically fee disclosures and the difference between a broker dealer and RIA advisor, employer liability and additional protections and discounts afforded by the RIA model. 2-3:30 p.m. Anatomy of a Collection — What Is It and How Do You Value It? Ken Farmer, Ken Farmer Auctions and guest appraiser on the PBS series “Antiques Roadshow” Farmer’s company recently sold a prominent collection from a home in Crozet, Va., and this presentation will
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describe the processes used — from the initial home visit, research and marketing to the results. Market Square, Antique & Design Center Lecture Room on Mezzanine Level 2-4 p.m. Profit Mystery Solved: Simple Solutions to Reclaim Your Value and Your Money Angela Merola Designers are giving away millions of dollars simply because they devalue their talent. A 25-year veteran in Fortune 500 companies and an entrepreneur, Merola offers an interactive session to share specific verbiage on asking for fees that comes from a place of strength and confidence. She will help participants reframe thinking to find ways to say “yes” — or saying “no” to the wrong client — and will share innovative ideas for identifying new revenue streams. Interactive session will feature live demonstrations, or email your situation beforehand to hsalati@asid.org. Cost is $20. Earn 0.2 CEUs. Registration required at www.profitmysterysolved. eventbrite.com. Sponsored by ASID. High Point Theatre at the Transportation Terminal 2:30-3:30 p.m. The Art of Merchandising Bob Moorman, JRM Sales & Management Today every inch of your sales floor and every dollar you invest in your inventory are critical. During this seminar you will gain a greater understanding of what the top merchandise managers in our industry do, in order to manage their open-to-buy dollars and insure great instore presentations. 3:30-5 p.m. Creative Entrepreneurship in the “Conceptual” Age of the 21st Century Jan Detter, owner, Third Eye Studio In this presentation on creative entrepreneurship, Detter will explain how her improbable dream came true. She is the former director of The Virginia Center for Art and Design in Richmond, Va., executive director of Piedmont Craftsmen in Winston Salem, N.C., and co- founder of Urban Artifacts in Greensboro, N.C. Market Square, Antique & Design Center Lecture Room, Mezzanine Level 4-5 p.m. The Myths & Realities of Professional Promotion & Liquidation Companies Mike Egan, Ron Cooper and Hector Mustafa of Profit Management Promotions Learn how promotion companies operate, what services they perform and how companies differ. Walk away with a good understanding of this “behind the scenes” segment of the furniture business.
Monday, Oct. 15 8-9 a.m. Interior Design’s New Formula for Success: Specialization Mary Knackstedt, author, designer and business consultant In this program, interior design authority Knackstedt provides examples of what others are doing to achieve success today, and demonstrates how incorporating some of the various specialties into your practice will enhance your opportunity to service your clients in a more professional Knackstedt and profitable way. Breakfast served. 118 N. Main St., Maria Yee showroom
8:30-9:30 a.m. Marketing: What Works, What Doesn’t & How Do You Know Alvin Wight, Strategic Decisions Inc. With today’s changing consumer, changing markets and changing competition, getting your message out convincingly and affordably is more difficult than ever. Learn how you can be better at identifying and feeding the winning approaches and starving the losers. 10-11 a.m. Best Marketing Practices for E-commerce Susan Waldes, senior account manager, PPC Associates Online marketing — whether it’s search, display, Facebook, or mobile — is one of the biggest opportunities for any furniture vendor, from manufacturers selling direct to third-party retailers. This presentation will cover best practices for establishing a brand, designing highconverting landing pages, writing and designing ads that attract clicks while staying consistent with a brand or product, and more. 11 a.m.-noon Partnering with Interior Designers to Increase Volume and Profit Mary Knackstedt, author, designer and business consultant In this seminar, Knackstedt will provide furniture retailers and manufacturers with practical guidance for creating profitable relationships with independent interior designers in their marketplaces. 414 N. Wrenn St., McKinley Leather showroom 11:30 a.m.-12:30 p.m. Changes in Lighting Due to Legislation. Tom Borga, Regency Lighting. Over the past year, old track lighting and linear fluorescent products have gone away because of lighting legislation requiring more efficient products. Learn what new products need to be ordered and how that affects the furniture industry. Noon-1:30 p.m. Design Viewpoint Series: What Your Clients Want Liza Hausman, vice president of marketing, Houzz Exclusive research from Houzz will reveal insights into the changing behavior of consumers and how they work with interior designers. Hausman will share results that show what homeowners say are their favorite projects, how much they are willing to spend, the demographics for consumers who are ready to hire a designer, how new tools have changed the design process, and more. One lucky audience member will win an iPad, courtesy of Houzz. 0.1 CEU credit. Complimentary boxed lunch. Co-sponsored by ASID. High Point Theatre, at the Transportation Terminal 1-2 p.m. Stop the Madness — Open Your New Web Location Now Johne Albanese, senior executive for business development, MicroD Albanese will present an informative overview of the Web channel landscape and will discuss how every retailer can have an effective and business-generating Web presence at a fraction of the cost most people think. Albanese
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how to turn salespeople quickly into product knowledge experts who can sell.
from p34 2-3 p.m. Business Development and the Business of Interior Design Mary Knackstedt, author, designer and business consultant Interior designers today don’t need to work harder, they need to work smarter. In this program, Knackstedt presents examples of what others are doing to achieve profitable results with professional systems and techniques that work today. 415 W. High Ave., Red Egg showroom 2:30-3:30 p.m. The ROI of Internet Marketing Denise Keniston and Sev Ritchie, Web4Retail. Web4Retail will continue its presentation of case studies illustrating retailers who are achieving significant returns via Internet marketing. 3-4 p.m. Libby Langdon: Afternoon Tea, Trends and Tastemakers Libby Langdon Take tea with designer, author and television personality Langdon and get her take on what the tastemakers and consumLangdon ers all across the country want today. Q&A. 310 S. Elm St., Braxton Culler showroom 4-5 p.m. Product Knowledge: The Ultimate Confidence Builder Mark Lacy, The Furniture Training Company Learn what it means to be a product knowledge expert, and
Tuesday, Oct. 16 8:30-9:30 a.m. Social Media… What’s the Big Deal? Kevin Doran, R&A Marketing This seminar will explore the right and wrong ways a furniture retailer can use social media to sell more furniture. You’ll walk away with the surefire tools to increase your social media presence and improve your business. Sponsored by RetailerNow Magazine. 9-10 a.m. Style Spotters Live Enjoy a complimentary breakfast buffet while four of the High Point Market Style Spotters share their favorite looks and ontrend products found at market. Spotters include Gretchen Aubuchon, Fashion + Decor; Cassandra LaValle, coco+kelley; Julia Buckingham Edelmann, Material Girls; and Stacy Naquin, Stacy Naquin Blog. Breakfast and seminar are free. Reservations required by emailing lchastain@ imcenters.com. Sponsored by IMC and High Point Market Authority. IHFC, Green Wing, 11th Floor, Ballroom A 10-11 a.m. Styles Evolve… So Should Your Lighting Terry Cline, retail national account manager, Philips Lighting Cline will detail how LED lighting products can enhance your store while helping your budget. Keeping up to date means more than the furniture styles you carry, it also applies to the lighting you select for your store. Hosted by Service Lamp.
11:30 a.m.-12:30 p.m. Differentiate or Die. Online Strategies for Independent Retailers Andy Bernstein, FurnitureDealer. net/DoBizBuzz Showrooming has become one of the most critical issues facing independent retailers today. Bernstein will detail a variety of strategies that successful brickand-mortar retailers are implementBernstein ing right now to turn the power of the Internet to their advantage. Noon- 1 p.m. Turning the Table on Showrooming Barry Abraham Every 50 years, retail goes through a major change. Showrooming is a shopping practice that shows us how our customer’s buying habits have forever changed. Showrooming is here to stay — it’s time retailers change to keep up with their customers. Abraham, a sales and marketing strategist and entrepreneur, shares his vision of how retailers can embrace showrooming and win in the process. Sponsored by International Market Centers and Pure Home. Reservations not required. Complimentary box lunch. IHFC, Green Wing, 11th Floor, Ballroom B Noon-1:30 p.m. Design Viewpoint Series: Outside Influences on Interior Design Charlotte Moss, Wall Street Journal Magazine contributing editor Moss will take you on a jour-
ney that highlights the top influences on interior design trends, from travel and fashion, to food and culture. After the presentation, she will sign copies of her newest book, “A Visual Life: Scrapbooks, Collages, and Inspirations.” 0.1 CEU credit. Complimentary box lunch. High Point Theatre, at the Transportation Terminal
4-5 p.m. More Morey in Your Pocket by Selling Mattresses Robert Cates From research, travels and owning and selling at his own store, Cates has developed a unique system of putting more money in your pocket.
1-2 p.m. Social Media — Connecting the Dots to ROI Tim O’Neill, Storis O’Neill will discuss today’s key social media channels and the importance of tracking your social media utilizing ROI cycles. Understand how to estimate your return through sales, client feedback and customer service.
8 a.m.-6 p.m. ASID REGREEN Implementation Workshop Annette K. Stelmack, Allied ASID, LEED AP BD+C, Sustainable Design Consultant with Inspirit This workshop addresses the industry-specific challenges interior designers face and is designed for professionals who want to create sustainable, healthy residential interiors. The workshop employs faculty-led instruction and team charrettes to prepare designers to identify, evaluate and implement strategies to green their projects. It is the capstone course in the REGREEN Trained certificate program and offers 0.8 CEUs. Register at http://regreenprogram.org/ registration-information. Cost is $240 (ASID member)/$290 (non-member). A prerequisite is REGREEN: A Guide for REGREEN Remodeling Projects (online course), $39.99/$59.99. Enroll at http://regreenprogram.org/ learning-programs/curriculum. High Point Theatre, at the Transportation Terminal
2-3 p.m. Luxury Design Insight 2012 Moderated by Ellen Gefen. Panelists include Allison Paladino, Sarah Kammlah and Cecilia Berber-Thayer Gefen, host of Home Fashion Report and editor of thehome. com, queries these design talents for their insights into key trends and the changing needs of the high-end consumer. Light refreshments. Limited seating. Reservations requested by emailing erikab@ejvictor.com. 116 S. Lindsay St., E.J. Victor showroom 2:30-3:30 p.m. Engaging Your Sales Team Rich Schlentz, Extraordinary Inc. Schlentz, a leadership coach and business consultant, will teach you how to become more engaged in your business so you can inspire your sales team to new heights in achieving your business goals.
Wednesday, Oct. 17
9 a.m.-5 p.m. GREENleaders Certified Sustainability Training The Sustainable Furnishings Council presents this six-hour exam course. 6 CEU. To register, call (919) 967-1137 or www. sustainablefurnishings.org. Showplace, 5th floor
Wright Global Graphic Solutions offers tours during market THOMASVILLE, N.C. — Wright Global Graphic Solutions, a marketing services and support resource, is opening its doors and offering visitor tours during the High Point Market. From Oct. 15 to 18, the company will offer market visitors transportation to the facilities at 5115 Prospect St. in Thomasville. Wright Global Graphic Solutions’ corpo-
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rate headquarters is six miles from the center of the High Point market district. “By offering these one-on-one tours of our facility, we are helping manufacturers and retailers make the most of their High Point experience,” said Don Wright, senior vice president of business development. “We recognize that this market draws home furnishings profes-
sionals from around the world and we encourage them to take a closer look at how Wright Global Graphic Solutions can help service all their graphic and marketing needs.” Market attendees will be able to tour the company’s production area and see the manufacturing process. From starting the conversation, to the initial design concept, to working with in-house designers
using state-of-the-art technology, to seeing the final product, visitors will experience the company’s complete process for creating marketing materials, officials said. Marketing solutions experts will be on hand to discuss retailers’ specific marketing needs. To schedule a tour, contact Kim Hunter at (800) 678-9019 or email her at markettours@wrightlabels.com.
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Market Events
Craft beer, BBQ, Rick Springfield lead events HIGH POINT — Social events at this month’s High Point market include several daily mixers in showroom buildings, offering plenty of time to network.
bations. Suites At Market Square 5-7 p.m. — Live Entertainment. Showplace, Atrium
Saturday, Oct. 13 Friday, Oct. 12 4-7 p.m. — Welcome to Market Party. Live music, food provided by 1618 Seafood Grille. Register to win a $500 gift certificate towards your purchase at the Antique & Design Center. Market Square Ground and Mezzanine, Antique & Design Center 5:30-7:30 p.m. — Market Kick-Off Party. Presented by International Market Centers. Sponsored by Furniture/ Today and Home Accents Today, Ashley Furniture Inds., and Shelba D. Johnson. Center Stage at the Transportation Terminal
Saturday, Oct. 13Tuesday, Oct. 16 8-9 a.m. — Gourmet Coffee Station. 200 N. Hamilton, 320 N. Hamilton and 330 N. Hamilton, Courtyards
Saturday, Oct. 13Wednesday, Oct. 17 8-10 a.m. — Buyers Breakfast. Commerce & Design, Iron Hen Cafe, 5th floor 8:30-10 a.m. — Complimentary Buyers Breakfast. Showplace, Atrium 11:30 a.m.-1 p.m. — Complimentary Buyers Lunch. 200 Steele, John-Richard, 2nd floor 2-4 p.m. — Sweets in the Suites. Suites At Market Square, Salon 4-6 p.m. — Pavilions Parties. IHFC, Pavillions on Main 3 4-6 p.m. — Accessory Floor Parties. IHFC, accessory floors 2, 3, 4 4:30–6 p.m. — Afternoon Socials. Showplace, 1st, 2nd, and 3rd Floors 4:30-6:30 p.m. — Suite Li-
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9:30-11:30 a.m. — Complimentary Buyer Breakfast prior to lecture. Market Square, Antique & Design Center, Lecture Room on Mezzanine Level 4-6 p.m. — InterHall Martini Parties. IHFC, InterHall 4-6 p.m. — Complimentary appetizers, beer and wine. Commerce & Design, various floors daily 4:30–6 p.m. — Afternoon Socials. 330 N. Hamilton St., 2nd floor 4:45–6 p.m. — Elevate KickOff Party. Immediately following the seminar Elevate Your Business, a reception will kick off this interactive and educational installation titled Elevate, which will allow design pros to post their business cards and take cards left by others. Co-sponsored by the High Point Market Authority and 220 Elm, the wall will be up through all six days of Market, Oct. 1318. 220 Elm, 3rd floor 5-7 p.m. — 220 Elm Blues Bash Featuring Blues World Order. 220 Elm, Plaza 5:30-7 p.m. — Sunset on 3. Showplace, 3rd floor balcony 7-9 p.m. — Market Square Courtyard Party. Market Square, Courtyard 7-9 p.m. — Carolina Crafted. Event features a tasting menu from six North Carolina breweries and three famed barbecue craftsmen. Find the perfect blend of sauce and hops as each barbecue dish is paired with the perfect brew. Sponsored by the High Point Market Authority. Center Stage at the Transportation Terminal
Sunday, Oct. 14 9:30-11:30 a.m. — Complimentary Buyer Breakfast prior to lecture. Market Square, Antique & Design Center, Lecture Room on Mezzanine Level
27. Bids can be left prior to the live auction, in person or online. Visit www.hpadc.com for details. Hosted by Market Square and Antique & Design Center. Market Square, Courtyard
10:30 a.m.-Noon — Mimosa and Bloody Mary Brunch. Market Square lobby
7:30-9:30 p.m. — Stars Under the Stars featuring Rick Springfield. Center Stage at the Transportation Terminal
4-6 p.m. — Complimentary appetizers, beer and wine. Commerce & Design, Various floors daily
Monday, Oct. 15
4-6 p.m. — Indonesia Rattan Furniture Pavilion Buyer Night. Complimentary food, drinks, and speaker from The Ministry of Industry, Republic of Indonesia. IHFC, space C759 5-7 p.m. — Sunday Uptown Cocktail Party. 200, 320 & 330 North Hamilton, Courtyards 5-7 p.m. — Blues Bash Featuring Blues World Order. 220 Elm, Plaza 5-7 p.m. — Cocktails & Hors d’Oeuvres. 200 Steele lobby 5:30-7 p.m. — Sunset on 3. Showplace, 3rd floor balcony 6-9 p.m. — American Furniture Hall of Fame Induction Banquet. Induction of industry leaders into the American Furniture Hall of Fame, the furniture industry’s highest honor. Tickets are $125. To purchase tickets, call (336) 882-5900 or purchase online at www.furniturehalloffame. com. IHFC, International Home Furnishings Club Ballroom 6:30-9 p.m. — Bidazzled! Live & Online Charity Auction to benefit Habitat for Humanity and Second Harvest Food Bank. Antiques, home furnishings and objets d’art, donated by A&DC and IMC exhibitors, will go to the highest bidders at this live auction. Items will be on display Friday, Saturday and Sunday at the Antique & Design Center in Market Square MS-G/ADC
4-6 p.m. — InterHall Martini Parties. IHFC, InterHall 4-6 p.m. — Rizzoli Trendsetter Book Event. Co-sponsored by Market Square & Suites and the High Point Market Authority. Join Rizzoli New York for a superstar book signing, featuring some of the biggest names in the interiors business. Authors include Charlotte Moss, Henrietta Spencer-Churchill and many more. For more on authors or books, go to www.rizzoliusa. com. Market Square Courtyard
1273. IHFC Green Wing, 11th floor ballroom 7-9 p.m. Local ART — Artisans, Rhythm and Tastes. Local ART brings to the High Point Market a taste of what is current, hip and fresh from the growing community and creative culture of the North Carolina Piedmont area. Attendees will be able to purchase artisan fare from regional based food trucks and organically grown wine and locally brewed beer. Regional music by Mipso. $10 donation fee for entry. Center Stage at the Transportation Terminal 7-9 p.m. — Market Square Courtyard Social. Market Square Courtyard
Tuesday, Oct. 16 3-5 p.m. — Hors d’Oeuvres. Showplace 4100, Surya 4-6 p.m. — Complimentary appetizers, beer and wine. Commerce & Design, various floors daily
4-6 p.m. — Complimentary appetizers, beer and wine. Commerce & Design, Various floors daily
4:30-6 p.m. — Afternoon Socials. 330 N. Hamilton St., 2nd floor
4:30-6 p.m. — Afternoon Socials. 330 N. Hamilton St., Courtyard
5:30-7 p.m. — Sunset on 3. Showplace, 3rd floor balcony
4:30-6 p.m. — Afternoon Socials. 200 N. Hamilton St., 2nd floor North Court
6-7:30 p.m. — International Visitor Welcome Reception. High Point Theatre, at the Transportation Terminal, International Buyer Center, first floor
4:30-6 p.m. — Afternoon Socials. 330 N. Hamilton St., 2nd floor 4:30-6 p.m. — Afternoon Socials. 200 N. Hamilton St., 3rd floor North Court 5:30-7 p.m. — Sunset on 3. Showplace, 3rd floor balcony 6- 9 p.m. – 17th Annual ASFD Pinnacle Awards Banquet. The Pinnacle Awards honor and recognize creative, relevant and original designs in home furnishings. For more information and event tickets, contact Christine Evans, executive director, ASFD, at info@asfd.com or (910) 576-
7-9 p.m. — Market Square Courtyard Social. Market Square Courtyard
Wednesday, Oct. 17 4:30-6 p.m. — Afternoon Socials. 200 N. Hamilton St., 3rd and 2nd floor North Court 7-9 p.m. — Market Square BBQ. Market Square Courtyard
Thursday, Oct. 18 8:30-10 a.m. — Coffee and Krispy Kreme Doughnuts. Showplace, Atrium
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40
FURNITURE |TODAY
OCTOBER 1, 2012
New at Market
All prices retail. In-depth stories on casual dining introductions will appear in Furniture/Today’s opening day issue.
Casual dining
FOLIO 21
MARIA YEE
IHFC W-647
118 N. Main St.
Five new dining groups are tied to best selling bedroom group styles. Among them are Avignon, a Hilco Woudstra design in transitional style in poplar solids and primavera veneers, with champagne-finished hardware and bowed panel drawer fronts; Cologne, a large-scaled European traditional design; Lisbon, a clean-lined transitional set; and Metro, a contemporary group in rosewood veneers.
The Metro Cone dining table is made from the company’s BambooTimbre and comes in 42- or 52-inch tables.
GROOVYSTUFF SMS G-1025 The Nobleman’s dining chairs are added to options in the Chris Bruning Signature Series.
Key trends X LIGHTEN UP: Lighter finishes and color continue
GREENINGTON
NCA DESIGN C&D 6A, 6B The K group is made with polished stainless steel and has clean modern lines. The Spirale group is made with polished stainless steel and has a modern style. The Donatella group is made with polished stainless steel and has a thick glass top. The Butterfly chair is made with a cow hide seat and features laser-cut stainless steel.
IHFC H-517
NICHOLS & STONE
Casual dining in the City Lights collection combines exotic bamboo on a shimmering stainless steel frame. Also includes barstools in two heights, a bar table, coffee table and entryway bench.
US P-102
The traditionally styled Tri-Butterfly dining group is made of Asian hardwoods. The group enhances the Vers-a-table program with a multifunctional table that expands to 132 inches. The expandable bench and server give the group options for special occasions. Fivepiece set, $999.
HAMMARY
Four lifestyle dining table groups in solid maple include two tables with round pedestal bases, one with a solid top and another with an extension top. The other two tabletops are boat-shaped and square, and both feature tapered legs. Two styles of dining chair with wood, upholstered or leather seats and a new counter stool are offered with the tables. A serving sideboard has six drawers and two doors for storage. All come in any of the company’s finishes and paints, including two new stain finishes.
IHFC C-926
PALU LTD.
ACCENTS BEYOND
HOME TRENDS & DESIGN
SMS M-1001
SMS Salon M-8037
The Series 1500 casual dining group has 12 SKUs in antique white or black with cherry wood tops. Pieces include a drop leaf breakfast table, rectangular top dining table, six chair styles, a buffet, kitchen island and two stool styles.
The Venetian sideboard is in solid mango wood, with four beveled floating panel doors and two 27-inch wide drawers with drawer glides. Vertical fluting highlights doors and drawer fronts. Sideboard, $1,799; hutch, $1,799. The Industrial Truck Panel dining table has top constructed from side or back panels of Indian delivery trucks and features sections of enameled painted artwork. Bases are sturdily supported with hand-forged ironwork, bolted and welded for contemporary loft ambiance. The French Vintage adjustable crank gathering table has a burnished metal top that adjusts from 29 to 44 inches. The group has a recycled industrial hardware rotary crank and is supported by three antique-sculpted cast-iron feet.
to spread among table offerings. X METAL TOUCHES: More stainless steel accents or legs are being added to tables.
A-AMERICA IHFC W-1047
ALDEN PARKES 330 N. Hamilton St. 2nd floor The Suffolk dining chair features carved, weathered acacia wood.
ARMEN LIVING IHFC H-730 Debuting are the Primo seven-piece stainless steel and glass-top dining set and the Posto five-piece stainless steel and glass top dining set.
ASTELE SMS Salon G-6007 Andre is a modern take on the classic trestle base dining table that can be custom ordered to size and finish. The top can be made of wood, concrete or stone and the base can be oak, teak or iron with wood or iron for the stretcher.
BASSETT FURNITURE IHFC C-1200 A new dining table and chair options are added to the Custom Dining program.
BASSETT MIRROR IHFC G-170 Parson’s dining chairs include a selection of animal prints. The Becker iron dining table has a beveled glass top, steam punk-inspired design, a zinc finish and industrial wheels for ease of movement.
FT040i5 2
HABERSHAM MS-191 The American Treasures Delray round table blends classic lines, round top and sleek curves for a casual elegant style.
Two new casual dining sets are offered.
INTERCON IHFC W-548 The Saratoga dining collection includes three tables and one gathering height table and is constructed from high pressure laminate and solid oak parts. An octagonal table with two small drawers and a center pedestal can double as a dining or game table. Matching server is built smaller for versatility in homes.
JOFRAN FP 210 Twelve new casual dining sets debut, including the Chestfield Tavern five-piece dining set with a butterfly leaf and fluted legs. Five piece set, $799. Madison County is a promotional collection in multiple finishes. Five-piece set, $499. Urban Loft combines storage and counter height seating. Three-piece set, $349.
IHFC IH-308 The Vermillion table has a rustic modern look, trestle-like base and natural finish. Made from reclaimed teak.
POWELL HOME FASHIONS NFM 100, 200 Powell Cafe adds solid marble applications to solid wood and traditional and contemporary offerings.
STANDARD FURNITURE IHFC C-700 Three dining room collections are new.
STAR INTERNATIONAL FURNITURE IFHC D-540 The Axis dining group is expanded with a rectangular base made from stainless steel and birch veneer.
VARIER FURNITURE 220 Elm 302 Five dining chairs, made in Norway with chrome and oak leg options, are part of the Human Design and Human Instruments collections. Prices range from $400 to $1,200.
URBIA C&D 5E, 5K Free Form and Straight Edge dining tables are made from solid wood slabs that are air and kiln dried. Tops have a matte polyurethane finish, and butterfly joinery fills growth gaps for added stability.
WYNWOOD FURNITURE IHFC C-503 Two new dining room collections are offered.
more introductions, p42
9/26/2012 11:40:52 AM
42
FURNITURE |TODAY
OCTOBER 1, 2012
New at Market
All prices retail. In-depth stories on home office introductions will appear in Furniture/Today’s opening day issue.
Home office
HAMMARY
LEDA
IHFC C-926
IHFC H-1112
Coventry has a variety of traditional home office pieces including an executive desk, credenza deck unit and lateral files. It is made with cathedral walnut veneers as well as swirl mahogany, prima vera and ebony veneers. Brighton also has traditional home office pieces including a writing desk, a console on casters and an executive desk. It is made with highly figured cathedral walnut veneers and poplar solids in a dark mocha brown finish.
Linear is a full line office collection available in a variety of sizes and custom configurations. Made in Canada, it is also available in natural wood veneers, eco-friendly veneers or high pressure laminate.
MARTIN FURNITURE
HOOKER FURNITURE
PARKER HOUSE
X HIGHER STYLE: Executive home office footprints get traditional and transitional style treatments, including the use of fancy face veneers and multi-step finishes.
X FUNCTION MEETS FORM: Category remains strong in functionality ranging from electronic components to ample drawers, even in smaller scale, laptop and iPad-friendly writing desks.
X KEEP IT SIMPLE: The inclusion of writing desks in many introductions allows the category to be merchandised for almost any room in the home.
ALDEN PARKES 330 N. Hamilton 2nd floor Elise is an Art Deco-inspired desk with book-matched crown rosewood veneers, and contrasting black legs or stainless steel legs.
AUTHENTIC MODELS
Adagio, a traditional European-inspired collection with grand serpentine shapes, includes an executive desk and a tilt swivel chair. Lassiter is a traditional cherry veneer collection that includes a writing desk. Alicante is a rustic Spanish-inspired collection that has a writing desk with a tooled leather top and nail head trim. Chic Coterie is fashion-forward collection with feminine lines that includes two writing desks, two lateral file units and a computer credenza. Estate is a collection inspired by European and American antiques and includes a writing desk. Westbury is a seven-piece traditional home office group that includes a computer credenza and a tilt swivel desk chair. South Park is a transitional office group with four new pieces including an executive desk, a writing desk and a bunching bookcase unit. Darden has three new home office pieces including a utility file, a bunching bookcase and a 60-inch writing desk. Colonnade is a traditional home office group with five new pieces including a bookcase unit, an executive desk and a tilt swivel chair. Several new styles of writing desks also are offered.
SAMS Salon G-6033
JESPER OFFICE
The Cambridge bookcase has adjustable shelves and a number of large and small drawers, plus a library ladder. It also has solid bronze, hand-rubbed and polished hardware.
220 Elm 324
DIANE PAPARO STUDIO LTD. SAMS Salon G-7018 The Woodlands desk is made with curly maple solids in a clear semi-gloss finish. It is 71 inches long by 18 inches wide and 30 inches tall. Desk also is available in other woods.
The Meridien 85 office collection is made with walnut veneers and features stainless steel bases and frames. This high-end collection was designed by Blake Tovin. Other additions to the line include new pieces in the 300 collection, which is made with espresso or walnut laminate; the 400 collection, in zebrano veneers or white lacquer; and the 500 collection, which has black lacquer and espresso finishes.
JOHATHAN CHARLES 200 N. Hamilton North Center Court 125
GREENINGTON IHFC H-517 The Currant writing desk is made with solid moso bamboo in a honey-toned bamboo finish and has midcentury Danish modern styling as seen in its trim, tapered legs. It also has three storage drawers that span the width of the desk.
The Concord office features picture frame details, satin nickel hardware and a chestnut finish. Executive and writing desk configurations are available.
314 S. Main St.
IHFC C-1058
Key trends
FP 512
The Country Farmhouse collection includes the gothic style walnut desk, which has a rustic design and at 68 inches long, can double as a dining table. The Voyager collection includes a travel trunk style planner’s desk that features an angular trestle base and plenty of drawer storage.
The Allure library wall is a multifunctional entertainment center, home office and library bookcase unit in a modular format and available in a silver bronze finish. All cabinets are 94½ inches high and come in various widths to allow for semi-custom installations. All cabinets have locking bolts to connect cabinets together, and concealed plugs. Also has a removable library ladder and iron-trimmed doors.
PRESIDENTIAL SEATING Radio Building mezzanine level Presidential Seating is focusing on new patented innovations for executive office chairs with heated seats and backs. The company is also expanding its kids and teen collection with chairs that have crystal buttontufted backs. Also new are chairs designed for smaller offices.
TOUCHWOOD UK SAMS G-2043 The new antique rosewood leather top desk features rosewood inlays, a bow front center drawer and two smaller drawers on either side.
UNIVERSAL FURNITURE 2622 Uwharrie Road The Santino writing desk is available in the Old World-inspired Escalera and Castella collections, which are made with poplar solids and knotty cherry veneers. Escalera is in a medium brown finish called Del Mar and Castella is in an antique black stain. The top of the desk features cherry, ash and walnut inlay, while the base boasts carved accents and scrolled antique brass metal stretchers. The desk also has three drawers and removable pencil trays.
WYNWOOD IHFC C-503 American Heritage is a new home office group with American transitional design influences. It is made with cathedral cherry veneers and black walnut inlays in a raw chestnut finish. Pieces feature framed end panels and drawer fronts, hammered metal drawer pulls and metal bar pulls with rivets. Pieces also have wormholes and crevices with dusty hang-up as well as crown moldings and bun feet.
More introductions, p44
X
Exhibitors Directory Key
FT042i5 2
C&D: Commerce & Design Building CP: CenterPoint FP: Furniture Plaza HM: Hamilton Market
HS: Hamilton Square H/W: Hamilton/Wrenn IHFC: Int’l Home Furnishings Center MOG: Market on Green
MOM: Market on Main MS: Market Square MST: Market Square Towers NFM: National Furniture Mart
PS: Plaza Suites SMS: Suites at Market Square SP: Showplace US: Union Square
9/26/2012 11:42:46 AM
FURNITURE |TODAY
44
OCTOBER 1, 2012
New at Market
All prices retail. In-depth stories on motion upholstery introductions will appear in Furniture/Today’s opening day issue.
Motion
heat/massage units. Expanding its assortment of recliners with pushback mechanisms by unveiling several high-leg models at $499 that have special order fabric options. Also strengthening its lineup of recliners at $399, and debuting a collection of recliners for a Buy One/Get One Free promotion at $499 to $999.
GLOBAL FURNITURE USA 118 W. Commerce St.
PALLISER
Adding a motion upholstery group to its successful Main Street collection.
220 Elm 400
IHFC G-570 Introductions include two freestanding recliners at $399 to $499, and a pair of motion seating groups featuring sofas at $699 to $899. All feature casual contemporary styling and are available in fabric, suede or bonded leather covers.
IMG
als with amenities such as cup holders, reading lights, USB ports, iPod docking stations and drop-down tables are taking center stage in hopes of appealing to gadget-obsessed consumers. X IT’S THE COMFORT: Producers are emphasizing seating components such as foam, fiber and coil springs as they tout the comfort of their products. X FASHION-FORWARD: Surprisingly, fashion and motion can be used in the same sentence as producers sharpen their focus on fashion-forward colors in fabric and lighter, brighter colors in leather.
AFFORDABLE FURNITURE 324 S. Main St. Expanding its motion assortment with a new seating group that includes a reclining sofa, loveseat and matching rocker/recliner with a full chaise.
BEST HOME FURNISHINGS 239 S. Main St. Introductions include a pair of recliners and a motion seating group. One new recliner features traditional styling, a semi-attached square back, and a foam-encased coil seating system, while the other entry has transitional styling, smooth banded top arms and a foam-encased coil seating system. The seating group has transitional styling with a contoured back frame, and the loveseat is available with a console. All new models are available with power reclining mechanisms.
FRANKLIN IHFC W-748 Strengthening the $699 to $1,099 price points in motion sofas with several fashion-forward styles in fabric and leather covers. Also unveiling a pair of modular sectionals at $1,999 to $2,499 with a variety of available gadgets, including drop-down tables, reading lights and
X
Exhibitors Directory Key
FT044i5 2
Expanding its home theater lineup with Pennsylvania, which features automotive-inspired bucket seating with arm storage units and optional tray tables and tablet PC holders. It is available with XZipit by DreamSeat, a lineup of sports team logos that can be added to the seat backs. Also unveiling the My Comfort line of upper-end sofa-sleepers that feature a gel-infused memory foam mattress. The new sleepers are at $2,399 to $2,499 in fabric and at $2,999 to $3,199 in leather.
PLANUM
IHFC D-546
X GADGETS GALORE: Motion sofas and section-
IHFC D-1011 Introductions include two recliners, Jet and Kenney. Jet is a contemporary take on a classic recliner with scooped track arms, flared wings and a power reclining mechanism. Kenney is a classic wingback chair with rolled arms, nail head trim and a power reclining mechanism.
HOMESTRETCH
Key trends
NORWALK
Making its High Point Market debut with a pair of new contemporary swivel reclining chairs with matching ottomans. One model has a leather cover and the other is available with a leather or sheepskin cover.
KLAUSSNER
1822 English Rd. A new Kelvin Giormani sofa features a mechanism that allows that adds to the seat depth and space as the back reclines. It is available in more than 100 leather and suede covers.
PRESTIGE MOTION
101 N. Hamilton St. Introductions include three motion seating groups targeting the $899 price point for fabric sofas. Also unveiling a modular sectional at $2,099 that features a drop-down table and three reclining seats with a heat/ massage unit.
LANE IHFC C-800 Motion introductions include a seating group, Knox, that utilizes the heavy-duty mechanism found in the company’s Comfort King recliners. It features transitional styling, a pad-over chaise, and a large-scale 49inch seat height. When fully reclined, it is the length of a king-size mattress. Other motion introductions include Prime, a contemporary reclining sofa that has a dropdown table with cup holders, a storage drawer, iPod docking station, SD card slot, USB port, an auxiliary jack and a pair of speakers; Zephyr, a casual contemporary sofa with pillowtop arms and pad-over chaise seating; and Ryder, a transitional sectional with a pub back design and a zero-gravity mechanism. Seven new recliners include Luck and Tannehill, which are large-scale zero-gravity recliners. Others include Mercilus, which features an automotive-inspired scoop seat design; Bronson, which has casual contemporary styling and pad-over chaise seating; Parliament, a wingback recliner with button-tufting and a traditional skirted design; and Jamie, a traditional high-leg, wingback design with extra lumbar support; and Knox, matching the new motion group.
CPC 30 A new sectional with four power reclining seats and a leather match cover is at $1,899, while a reclining sectional with traditional styling and a leather match cover is at $1,399. Also introducing a pair of reclining sofas at $499 and $599. The $499 model features a velvet cover and a coil seating system, while the $599 model has pillowtop seating and a leather match cover.
PRIMITIQUES SMS I-648 Featuring a lineup of one-of-a-kind motion sofas and recliners with early American styling. They are covered with recycled fabrics that are woven in the U.S.
SITBEST IHFC H-507 Euro-style recliner and sofa source is making its U.S. debut. Features “families” of stationary and motion sofas, loveseats, swivel recliners, swivel rockers, lift chairs and home theater seating in three grades of leather as well as polyester and microfiber covers. Recliners retail from $999 to $2,499. Power options available for all swivel recliners and lift chairs. Recliners have three size options available, and all have built-in footstools.
VANCOLLIER SMS G-6044 Adding the Caldwell tub chair to its Cyrus collection. It features contemporary styling, a swivel base and a nubuck and cowhide leather cover.
MARIA YEE 119 N. Wrenn St. Adding the Latimer swivel chair to its motion furniture lineup. It has a foam seat and a polyester fiber back, and is available in a variety of fabric covers.
C&D: Commerce & Design Building CP: CenterPoint FP: Furniture Plaza HM: Hamilton Market
HS: Hamilton Square H/W: Hamilton/Wrenn IHFC: Int’l Home Furnishings Center MOG: Market on Green
MOM: Market on Main MS: Market Square MST: Market Square Towers NFM: National Furniture Mart
more introductions, p46
PS: Plaza Suites SMS: Suites at Market Square SP: Showplace US: Union Square
9/26/2012 11:44:00 AM
Craftmaster Celebrates 40 Years of Excellence / 1972-2012 ents
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urban elements
A new sophisticated, modern upholstery collection designed for today’s consumer featuring fresh & colorful fabric applications.
This fall the Better Homes and Gardens collection offers fresh new colors and patterns for Classic Home, Modern Outlook, and American Cottage.
• Over 15 new leather styles • Direct Container Program • In Stock Warehouse program
Come by and see the Paula Deen Home upholstery showroom. Inspired by Deen’s Savannah home, the collection captures a mix of low country styles and comfortable, casual living.
Come visit us during the Fall 2012 market in High Point Shuttle Bus Service #336-861-7201 Craftmaster Furniture | 2622 Uwharrie Rd. | High Point, NC | www.cmfurniture.com
46
FURNITURE |TODAY
www.furnituretoday.com
OCTOBER 1, 2012
New at Market
All prices retail. In-depth stories on bedding introductions will appear in Furniture/Today’s opening day issue.
Bedding
Key trends X GOING WITH GEL: Gel bedding continues to gain in popularity with a number of new models debuting this market. X HYBRIDS ARE HAPPENING: Hybrid beds, which combine innersprings and specialty foams, are on the rise. X LATEX LUXURY: Latex continues to gain ground as new single- and two-sided models make their debut.
CAROLINA MATTRESS GUILD
GLOBAL FURNITURE
FP-100
118 W. COMMERCE AVE.
New Cool Coil line combines Cool Breeze gel memory foam and individually wrapped coils in a hybrid mattress option. Retails range from $799 to $1,299. The line bridges the gap between the company’s G-Series and Fresh Touch lines.
Opulance is a 13-inch memory and gel foam mattress with a bamboo cover. All mattresses in Sleep Solutions line are vacuum sealed and boxed for shipment via UPS and FedEx.
IHFC M-610
IHFC M-615
Comfort Collection, retailing from $599 to $1,099, consists of one-sided models with softer feels. Five-line series is available in firm, plush and pillow-top models. New models in Sacro-Support Encased Coil line have lower profiles and updated designs. Retails range from $1,399 to $1,499. The original models in the line, retailing from $799 to $1,199, get a facelift with new stretchknit fabric and new colors. Adding two new models in its Latex Collection. The Platinum is the company’s first two-sided latex mattress, while the Gold is a new one-sided model. Retails range from $1,799 to $2,399.
PostureCloud Collection features a ventilated Cool Gel foam layer designed to promote a cooler sleeping surface. Models include the nine-inch Essence, 11-inch Sanctuary and the new 13-inch Ambiance, each with a pin-dot ticking and sweeping blue designs. Sanctuary and Ambiance also feature coordinating midnight blue waved suede border design. Dormia memory foam collection has enhanced styling with an upgraded cover design, new profiles and refreshed branding. This collection uses CertiPUR-US certified memory foam materials in all four models, which range from eight to 13 inches in height. Classic Mattress Collection is designed for e-commerce. The four beds have no branding on the ticking or label. Eight and 10-inch models have stretch knit covers, while 11-inch model has circle knit tick with decorative cord surrounding waterfall edge. Twelve-inch model has pin-dot design and tan suede sides, plus additional layer of ventilated memory foam. All four models use CertiPUR-US-certified foam materials. An 11-inch latex model is new. The Eden features a geometric knit cover.
ANATOMIC GLOBAL
ENSO SLEEP SYSTEMS
IHFC M-633
Klaussner Home Furnishings, 101 N. Hamilton St.
New Dr. Breus Pillow Collection includes five models — the Breathable Pillow, Puzzle Pillow, Hybrid Pillow, Wave Pillow and Low Profile Pillow. Each is made using FXI’s breathable foam and features dust mite and allergen resistant technology. Each pillow comes with a removable, washable cover that is made with a soft, sateen cotton and Coolmax polyester blended fabric, ensuring temperature regulation and superior moisture wicking, the company says. Retails range from $89 to $109.
Company’s PureGel technology is designed to provide cool, conforming comfort. Denali bed has a 10inch profile and is composed of multiple layers of PureGel-infused memory foam and Tri-Tech memory foams supported on an HD polyurethane foam base. The Denali, which retails at $799, complements the company’s PureGel Kona and Blue Mist models, offering high margin opportunities in the gel memory foam category, the company says.
CABER SURE FIT
FIVE STAR MATTRESS
IHFC M-615
IHFC M-530
Introducing its DreamSerene line. The collection of mattress and pillow protectors features an Allergy Shield and Wet Block Technology — a breathable stain and waterproof barrier — to guard against allergens, bed bugs and water damage, the company says. DreamSerene encasements also feature the company’s patent-pending DreamSeal designed to stop bed bugs from entering and exiting the mattress or box spring where the zipper meets the fabric. The line is offered in a variety of fabrics made from terry, bamboo and eucalyptus, and uses a step-up model of value, good, better and best product categories to address a range of consumer needs. Suggested retail prices for the DreamSerene collection range from $59 to $199.
Introduces its new Gel-Active Collection. The three models are equipped with Gel-Active Memory Foam. Retails range from $899 to $1,299. The line starts with a foam-encased core and utilizes the company’s Kool Form open cell memory foam with Gel Active components.
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Exhibitors Directory Key
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GOLD BOND
CLASSIC BRANDS
GLIDEAWAY SLEEP PRODUCTS IHFC M-513 Comfort Premier mattress protector is an addition to the Sleepharmony mattress and pillow protector collection. It features 100% natural wool and a Silpure silver treatment, designed to inhibit the growth of bacteria and keep the sleep surfaces fresh. All of the company’s protection products are backed with sales training, point-of-purchase materials and retail displays.
C&D: Commerce & Design Building CP: CenterPoint FP: Furniture Plaza HM: Hamilton Market
HS: Hamilton Square H/W: Hamilton/Wrenn IHFC: Int’l Home Furnishings Center MOG: Market on Green
JAMISON BEDDING IHFC M-531 Presenting the “next generation” in Talalay latex bedding, a new eight-model, temperature-regulating collection that the company calls “luxurious but affordable works of art” supported by “stunning POP materials not seen before on any retail sales floor.” Jamison’s Talalay Latex Collection, expected to retail from $1,399 to $2,599 in queen, incorporates layers of a new slow-recovery Talalay GL Latex that relies on phasechange technology, rather than gel, to regulate sleeping temperature through the night. The beds, which feature all-Talalay latex builds, use the company’s high-density Marriott foam core and are available on either a new, low-profile adjustable base or on Jamison’s rigid steel and wood foundation. With the brand message “Lift. Relax. Relieve.” to communicate the feels and sleeping benefits of its TLC line, Jamison has applied the imagery of butterflies across all products, top-of-bed dressings and in-store materials, many of which use animation and other special effects to attract shoppers. The company is presenting the TLC in a specially designed Chrysalis Room. The room, meant to replicate the custom retail environment designed specifically for the collection, “opens” to reveal the line’s upper-end, two-sided models: the Monarch, Emperor and Leaf Wing.
KNICKERBOCKER BED CO. IHFC M-613 Expands its EmBrace bedding support program with the introduction of a fifth color. Program is designed to make a bedroom statement while providing superior support.
MAGNIFLEX IHFC D-843 Introducing Magnigel, a gel designed for maximum airflow and breathability with an open cell design. It is
MOM: Market on Main MS: Market Square MST: Market Square Towers NFM: National Furniture Mart
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PS: Plaza Suites SMS: Suites at Market Square SP: Showplace US: Union Square
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Bedding continued offered as an option for many of the beds in the Magniflex Collection. The gel option will also be available in a series of Magniflex pillows, including the Standard, Wave and Comfort models.
through Restonic’s Twitter, Facebook and website. Three winners will be awarded a new Restonic Marvelous Middle mattress.
SEALY
PARAMOUNT SLEEP
One Office Parkway, Archdale, N.C.
IHFC M-540
PURE LATEXBLISS
Based on the recent retailer success of its Optimum gel memory foam line, Sealy is introducing a new Optimum model featuring a premium pillowtop construction. The full Optimum by Sealy Posturepedic portfolio, supported by a national TV campaign, digital buy and in-store program, will be on display. The new line features the exclusive OptiCool gel memory foam, which the company says is 12 times more effective at removing excess heat than standard memory foam or other gel memory foams on the market. Sealy’s new national ad campaign, which launched in May and was the company’s biggest investment in consumer advertising in five years, will also be featured. In addition to Optimum, Sealy will preview its first value-priced branded gel product that will be available at promotional price points. Starting at $599, the Sealy Comfort Series Gel Memory Foam Collection is made with advanced gel memory foam and features a fresh new aesthetic.
IHFC M-528
SERTA
The new CustomFIT for You retail merchandising program gives consumers the opportunity to design their perfect bed in stores by selecting the mattress, foundation, removable pillow top and pillow that is tailored to their personal preferences. Introducing first collection of ActiveFusion Climate Control pillows, doubling its pillow offerings. The fiveSKU line features two classic and two contoured pillows, and a dual-sided pillow. Retails range from $129 to $149. Company is also expanding its ActiveFusion Climate Control feature, which uses phase-change materials to store and release energy on demand, to all of its mattresses, toppers and pillows.
IHFC H-1141
Company celebrates the value of foam mattresses with its all-new, all-foam HD Super Duty collection. The mattresses, which feature layers of memory foam, gel memory foam and latex, have been independently tested at 350 pounds to ensure durability and strength. They come with a warranty of not more than a halfinch body impression for 20 years. Also introducing all-foam Back Performance MX series and Back Performance Gel series.
PROTECT-A-BED PS 1-519 A new adjustable bed kit includes the AllerZip smooth mattress encasement, a luxury mattress protector and two luxury pillow protectors. Luxury products inhibit bacteria growth and have natural thermo-regulating properties to help sleepers maintain an even core body temperature.
RESTONIC IHFC M-508 Moves into new, larger showroom to celebrate Consumer Digest Best Buy Award for its flagship ComfortCare collection, featuring the company’s trademark Marvelous Middle construction, with a “Sale-A-Bration” that features four products retailing from $588 to $888. The company’s TempaGel memory foam component is featured in an all-foam collection that incorporates Outlast phase-change material in the tick, as well as in Restonic’s ComfortCare Select, a Marvelous Middle individually wrapped coil series, and in a HealthRest hybrid series, with TempaGel over individually wrapped coils, in a non-quilted design. “Show us your Marvelous Middle!” consumer contest, which encourages consumers to submit a photo of their “Marvelous Middle,” which could be a middle child, the middle of a special cake, or a baby’s belly, continues until Nov. 12. The contest will be available
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for greater breathability and airflow, and GelTouch foam. The Beautyrest Black line comes with Transflexion Comfort Technology to ensure a more consistent comfort throughout the life of the mattress and a 20year limited warranty. Suggested retail pricing for the collection is $1,999 to $3,299. Company is planning a major introduction in the specialty sleep arena with new technology to maintain an ideal sleep surface temperature. Details will be released at market.
SPECIALTY SLEEP ASSN. IHFC M-513 Companies showing include Beaudoin LTD, Bedding Technologies, GBS Enterprises-Protect-All, Glideaway, Naturepedic Organic, The Original Cool Slumber Pad, and W. Silver Frames.
THERAPEDIC IHFC M-607 New Agility line combines gel foam and micro-coils in four models retailing from $1,299 to $2,499. The combination of gel and micro-coils provides the most responsive sleep surface on the market, the company says. Agility line is backed by point-of-purchase program featuring banners with lifestyle presentations.
Introducing two new iSeries beds, featuring gel memory foam and innersprings. One is a $1,999 pillowtop. The other retails at $2,999 and has a zippered cover. The line marries the company’s Cool Action gel memory foam with its Duet Coil individually wrapped coil-in-coil support system. Producer will showcase all seven of its iComfort beds along with its complete line of iComfort gel memory foam pillows.
SHIFMAN MATTRESS 301 Hamilton Court Company announces plans to celebrate its 120th anniversary next year. A new marketing campaign with increased online presence, radio marketing and new direct mailers will tout savings on upcoming anniversary promotion. Introducing the Vintage Collection, which the company says combines modern elegance and classic construction techniques. Features include updated border designs, new fabrics and enhanced corner guards.
SIMMONS IHFC W-746 Three new models in the 2012 Beautyrest Black collection blend the technology of the Recharge Sleep System with a firmer coil to deliver a broad range of comfort choices. Inside each Beautyrest Black mattress is Beautyrest Independent Support Technology, which combines alternating rows of Beautyrest Smart Response and Advanced Pocketed Coil springs to deliver a progressive level of personalized back support. Each of the line’s 10 models features ventilated foam encasement right to the edge, high-tech mesh border fabric
C&D: Commerce & Design Building CP: CenterPoint FP: Furniture Plaza HM: Hamilton Market
HS: Hamilton Square H/W: Hamilton/Wrenn IHFC: Int’l Home Furnishings Center MOG: Market on Green
MOM: Market on Main MS: Market Square MST: Market Square Towers NFM: National Furniture Mart
PS: Plaza Suites SMS: Suites at Market Square SP: Showplace US: Union Square
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Industry News
Home Trends & Design moving to SAMS Salon HIGH POINT — Home Trends & Design, a source for solid wood bedroom, dining room and occasional furniture, is moving its showroom to the Salon area of Suites at Market Square for the Oct. 13-18 High Point Market. The company, which had a temporary space in Showplace
at the April market, will be in a 2,128-square-foot showroom in space M-837. Home Trends & Design will be an anchor in the new Salon expansion one floor above the original Salon area on the mezzanine floor, market officials said. “We’re very excited about
our new location,” said Hank Cravey, CEO and co-founder of the company along with Dhaval Lodhavia, who oversees product design. “You can see us to the right-front as you come up the escalator, so we’ll be very visible.” The company will feature
three new collections at market, Cravey said. Bergman is a line of midpriced sofas and chairs inspired by Old World European designs. Details include overstuffed rolled arms, tufted upholstery, rolled piping and hand-nailed trim.
Another new collection, SoCo, is named after the popular South Congress district of Austin, Texas, where Home Trends & Design is based. Highlights of this collection include one-of-a-kind chairs made from reclaimed materials such as silk and teak. In addition, the company will show recent additions to its French Vintage line of classic French-inspired case goods and accent furniture. A founding member of the Sustainable Furnishings Council, Home Trends & Design says it promotes eco-friendly practices, using primarily mango and acacia trees for its solid wood furniture, along with reclaimed wood, and water-based finishes. It sources its line primarily from Southeast Asia.
Kuka relocates showroom to Furniture Plaza HIGH POINT — Leather furniture resource Kuka Home is moving to a new, larger showroom in Furniture Plaza for the October market. The company, which had been exhibiting in the International Home Furnishings Center, is now in a 24,000square-foot showroom in Furniture Plaza space 615. It is about 3,000 square feet larger than the former space. “As our line continues to grow, we’re looking at expanding into new product categories that will require us to have more showroom space,” said Annette Young, manager of the company’s High Point office. “We chose Furniture Plaza because its exhibitor mix draws many of the same retailers with whom we do business. The new location will be more convenient for our retailers.” Based in China, Kuka is a vertically integrated company with two manufacturing plants, a tannery, and a network of more than 1,600 retail stores in China and several other countries. In addition to leather upholstery, the company sells dining chairs, tables and bar stools in the U.S. market.
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The Coolest Thing in Mattress Sales
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Bassett Mirror using iPads, scanners to write orders BASSETT, Va. — Bassett Mirror will unveil new technology at this month’s High Point Market, arming its sales reps with iPads and small hand-held scanners to make shopping easier and quicker for buyers, the company says. And after market, the company promises to follow through quickly, shipping all market products by Nov. 16. “This is just one component of BMC’s new corporate strategy, called ‘moving at the speed of sight,’” Spencer Morten, chairman of the occasional and dining furniture, mirror, lighting and art source, said in a press release. With the iPad system, the scanners can read unique bar codes for each of the company’s 1,400 products on display at market. The iPad will already be loaded with existing customers’ account information, as well as account terms and market promotions, so buyers can begin shopping at once. New customer registrations can be loaded into the iPad in minutes and are submitted along with the order, creating a Bassett Mirror account on the spot, the company said. “We looked outside our industry to retail banking for our new IT director, Zach McPherson, whose DNA was
Bassett Mirror’s new technology platform uses a thumblength scanner to record customer purchases on a sales rep’s iPad. programmed for customerfriendly transactions, providing speed, accuracy and visibility,” Morten said. “Zach has created a technology platform that saves our customers time in the showroom, ensures a mistake-free order, and allows buyers to track orders online while at market.” He said that when a buyer finishes shopping, an electronic order is submitted through the showroom’s secure private network. Orders print wirelessly and immediately so they will be ready before buyers leave the showroom. Customers’ copies will include pictures of every item selected. Throughout the day, orders make their way through credit
and scheduling at Bassett Mirror. Within 24 hours, customers can track acknowledged orders through the BMC/FurnishWeb, the company’s B2B e-commerce site. Customers can start their post-market planning while the market is still under way, the company said. They can review market orders with co-workers and show them pictures of the purchased products, and can plan holiday advertising because high-resolution images will be available to download from the BMC/ FurnishWeb. In High Point, Bassett Mirror shows in the International Home Furnishings Center, G170.
Calvin Klein offers 50-plus new SKUS A Profitable Path to Fresh Bedding Solutions Visit us at the Klaussner Showroom 101 North Hamilton St.
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HIGH POINT — Calvin Klein Home will be in a larger space at this month’s High Point Market and plans to introduce more than 50 SKUs in its two furniture collections. The company will show at Union Square, 410 English Road, moving from its previous space in the C&D Building. At 13,200 square feet, the new showroom is about 800 square feet larger than the former space, but the layout allows for an improved lifestyle presentation of the brands, the company said. More than 25 of the new designs will be in the Calvin Klein
Curator Collection, including upholstery, accent and occasional groups, bedroom and dining room. The use of American black walnut solids with a saddle finish and naturally finished walnut veneers lend a “rich theme of understated luxury” to the new pieces, according to the company. Retail prices for the collection range from $690 to $8,900. Another 25-plus SKUs will be added to the Calvin Klein Furniture line, which the company says takes a “youthful, accessible and relaxed” approach. New products are offered in
upholstery, dining room, occasional and bedroom, including a bed with built-in storage. Introductions in the line will continue in the current price range, including $1,499 to $1,799 for beds, occasional and dining tables at $599 to $1,100, and sofas at $1,599 to $1,999. The Calvin Klein Furniture line was recently rolled out at select Bon-Ton stores’ furniture galleries and continues to be offered at the Lord & Taylor flagship store in New York. All of the Calvin Klein Home furniture designs are conceptualized by Amy Mellen, creative director.
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Ikea plans to ramp up worldwide expansion By Clint Engel STOCKHOLM — Ikea will accelerate its store opening pace over the next few years as it aims for a bigger share on the market in the face of the global economic slowdown, according to reports by The Wall Street Journal and
Reuters news service. The Sweden-based home furnishings giant plans to double the pace of openings by 2020, according to the Journal, with an eye trained on growing its presence in both the United States — where its momentum has been particularly strong
....Come and
— and in China. The retailer wants to open 20 to 25 stores per year starting in 2014, according to the Reuters report, up sharply from the 11 stores it added in the latest fiscal year and seven new stores in the previous year, according to the report.
“We have a positive view on the future ... and we believe possibilities are still great even if the global economy stays shaky for another while,” Peter Agnefjall, who will take over as Ikea’s new CEO a year from now, told Reuters. Worldwide, Ikea said its sales
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for the fiscal year ended Aug. 31 grew about 7% to a record 27 billion euros, equivalent to about $35 billion, according to the report. That was on top of 7% sales growth the year before. “We’re increasing our production in the U.S., and would also like to find more suppliers that have a strategic fit with Ikea,” the company’s current CEO, Mikael Ohlsson, told the Journal. Exactly how the store expansion will play out in the United States is unclear. The retailer has averaged a net one new U.S. store per year for the past three fiscal years. Most recently, it opened its first Colorado store in Centennial in July 2011, bringing its U.S. store count up to 38.
“We have a positive view on the future ... and we believe possibilities are still great even if the global economy stays shaky for another while.” Peter Agnefjall, Ikea
Los Angeles Office Ī San Francisco Office Ī High Point Showroom Ī Las Vegas Showroom Tianjin, China Ī Surabaya, Indonesia
w w w. s u nn y d e sig n s . c o m
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It has since announced plans for its second South Florida store, slated to open in the fall of 2014, but also dropped plans this year for a second Boston-area store. “We currently do not have any set numerical goals here,” Joseph Roth, Ikea’s U.S. public affairs manager, said in an email to Furniture/Today when asked for specifics. “Our expansion was not exactly constrained before by global plans, and has not suddenly been transformed either. We recognize there still are major metropolitan areas without an Ikea store as well as those that could support another one, and plan to address those situations eventually as appropriate,” he said.
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Koh named chairman of Singapore furniture show By Thomas Russell SINGAPORE — The International Furniture Fair Singapore has named Ernie Koh as its chairman. Koh, who replaces outgoing chairman Andrew Ng, is executive director of bedroom,
dining room and occasional manufacturer Koda Ltd. His year-long term began Koh in August. In his new role, he will
help spearhead the show’s marketing strategies, business expansion plans and international and domestic growth initiatives. “I am honored to be part of a dynamic team and I hope to play a significant role in promoting IFFS to be one of the
best exhibition experiences for all delegates through tenancy remixing, introducing new spectrum of experiences and enhanced or innovative marketing and promotions,� Koh said in a statement. Koh is also vice president of the Singapore Furniture
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Inds. Council, which has an ownership stake in the annual furniture show usually held in early March. Ng, who is deputy CEO of Lorenzo International Ltd. and a presidential advisor of SFIC, will remain on the board of directors, continuing his long service to IFFS. Others on the seven-person board include Bert Choong, executive chairman of Nobel Design Holdings Ltd and a presidential advisor of SFIC; James Koh, deputy chairman and managing director of Koda Ltd. and a presidential advisor of SFIC; Jerry Tan, managing director of Jaco Singapore Pte Ltd.; James Chia, chairman of MP International Pte Ltd; and Sylvia Phua, CEO of MP International Pte Ltd.
&YIJCJU 7JFXJOH 224 East Kivett Drive, High Point, N.C. 27260 Tel: 1-800-556-4659
HIGH POINT — Case goods supplier Horizon Home Furniture will return to the High Point Market this fall after two-show absence. It will show in the International Home Furnishings Center, G-578, during the Oct. 13-18 market. Horizon has shown at the Las Vegas Market, but company officials said in a press release that because of recent success with its Bombay, Burma and XX collections, it is seeking wider distribution to a broader audience of retailers. “We felt we needed to make the product available for them, to view these new products in High Point. Especially since a large number of retailers still do not regularly attend the Las Vegas Market,� said Felipe Orozco, vice president of sales and merchandising. The company, whose products are manufactured in Mexico, added that low freight rates from Dallas, coupled with short lead times out of Mexico, give the company a competitive edge.
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Mega Group USA retailers like new mattress gallery By Clint Engel LOUISVILLE, Ky. — Mega Group USA unveiled a new mattress gallery and several other programs at its semiannual convention here last month at the Louisville Downtown Marriott. The furniture, electronics and appliances buying group, in partnership with Serta, introduced The America’s Mattress Gallery program, a 1,200-square-foot display featuring 16 Serta SKUs from Serta’s iComfort and iSeries lines, Dreamhaven Elite Perfect Sleeper and other Dreamhaven bedding, as well as Serta’s Sleep To Go top-of-bed products. More than half the SKUs are exclusive to Mega Group USA dealers at “retail price points from $299 to $999 (for a queen set), giving the members generous margins,” the buying group said in a release. Mega Group said it received overwhelming response to the gallery program at the convention, which drew more than 700 attendees including about 400 dealers. The turnkey package included more than $35,000 of products and displays. Qualified dealers were to receive launch support, training, business analytics,
advertising, local field support, and a $2,500 show special advertising bonus. “This gallery program provides our members yet another competitive advantage in the marketplace,” said Jerry Honea, the buying group’s chief operating officer and furniture division manager. “We have already identified over 30 qualified candidates for the gallery and expect to start installing very soon.” Mega also added two new consumer electronics suppliers to its roster of more than 85 vendors, including Powerhouse Alliance. Web marketing was another focus of the convention with the launch of a revamped merchandising application, Mega RetailDeck. It enables retailers to view multiple product images, detailed specifications, related colors and accessories and more product information from any Internet-enabled device. The app can also print price tags and QR codes. The group also launched a new version of the Basic package for its WebFronts dealer websites program, including new designs, enhanced search engine optimization, free mobile site support, an upgraded
product menu and an enhanced image gallery. Mega’s business services division announced a product protection program for its furniture dealers, with increased coverage, easy claims process and value pricing, the group said. In addition, the group announced Mega U, a four-part, low-cost online training module designed to improve sales, business management, customer service and personal development. Other new business services launched at the show included a program with Profit Management Promotions to assist dealers with long-term promotional events and specials, and “show only” deals with GE Capital, Why Not Lease It and others. Mega Group USA President Rick Bellows said he was pleased with the convention, adding that supplier partners “expressed that attendance and dealer participation was the best they had ever seen.” The group’s spring show will be held March 9-12 in Dallas at the Gaylord Texan Hotel & Convention Center. Mega Group USA has 1,600 retail members with 3,000 stores.
Mega USA unveils merchandising app LOUISVILLE, KY. — Mega Group USA, the furniture, electronics and appliances buying group, has released a revamped merchandising application for any Internet-enabled device. Mega RetailDeck, formerly called Mega Merchandiser, was redesigned to harness technological advances, the buying group said in a release, bringing “together all the moving pieces a retailer needs to efficiently merchandise, price, tag and sell their floors.” With the program, retailers can view multiple images, detailed specifications, related colors and accessories and more product information. Salespeople using the app can improve the consumer’s in-store experi-
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ence by helping them find the right brand, category, model number or desired features such as color and dimension, according to Mega. Mega RetailDeck also puts all pricing guides side by side on the screen, including manufacturers suggested retail price, minimum advertised price and others along with competitors’ pricing, giving retailers the opportunity to control so-called consumer showrooming. Additional pricing and product availability is accessible through integration of information from distributors and vendors or by uploading individual point of sale data. The program also makes professional price tags in seconds
without manual data entry and keeps the tags up to date by tracking everything about tagged products and alerting retailers whenever changes in the marketplace suggest a tag needs updating. “This program makes it almost effortless for retailers to tag their stores the way they always have wanted to but were never able to in the past,” said Missy Hodges, appliance manager for Mega Group USA. The app is positioned for integration with the buying group’s Premium Plus Mega WebFronts websites program for dealers, which now features product information from 700 vendors, including more than 3600 furniture suppliers.
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The Transitions bedroom by Keystone Collections is shown in solid cherry, but also is available in solid maple, solid red oak and quarter sawn white oak.
Solid wood source Keystone to make High Point debut By Thomas Russell HIGH POINT — Keystone Collections, a Pennsylvaniabased manufacturer of solid wood bedroom, dining room and occasional furniture, is making its High Point Market debut in October. The company, which was founded in 1986, operates a 75,000-square-foot plant near Myerstown, Pa., that employs about 60 workers. It will show in space I-638 of the Made in America Pavilion in Suites at Market Square. Up to now, the company has shown its line at regional shows in Pennsylvania and Ohio. Reps also promote the line along the East Coast as far south as Virginia. The company also has accounts in Michigan and Ohio and is looking to expand soon into Florida and North Carolina. “We’re excited about coming to High Point and expect
to have a very successful show,” Marvin Martin, an owner and partner in the family-owned business, said in a statement. “With guaranteed completion dates, uncompromising attention to details in design and quality, and a lifetime guarantee on our products, Keystone Collections combines value with service to produce a beneficial domestic resource that is especially appreciated in today’s marketplace.” The company started out producing dining chairs and later evolved into case goods. Today its upper end line is made with solid maple, red oak, cherry and quarter sawn white oak, said Bryan Shive, an account executive. Case goods feature drawer fronts with matching grain, six-piece dovetailed drawers, concealed undermount soft-close drawer guides, and finished drawer backs and
bottoms. The company said its tables have self-storing leaves, finished undersides, solid hardwood skirting, rigid corner block assemblies and skirting support blocks. A queen bed in the line retails for around $1,600 and a five-piece dining set retails at around $3,200. The company also has 58 wood finishes and 14 painted finishes, but says it can offer any color stain or paint through custom matching services available in its inhouse lab. At market, Keystone will show some finishes it has launched this year as well as some key pieces in the line including a queen bed, a chest and a nightstand, as well as three dining sets that include a counter height table and two chairs. It will show five occasional pieces and 11 styles of chairs it produces in a shadow box display.
High duty for innerspring producer WASHINGTON — The U.S. Department of Commerce has applied a preliminary duty of 234.51% to a Chinese producer of uncovered innerspring units for shipments it made to the U.S. from Feb. 1, 2011, through Jan. 31, 2012. The agency said it imposed the high duty on Tai Wa Hong because the producer failed to provide requested informa-
tion during an annual administrative review, or audit of shipments for the period in question. The case stems from a 2007 petition that U.S. producer Leggett & Platt filed with the DOC alleging that producers in China, Vietnam and South Africa were selling unfairly priced innerspring units into the U.S. market.
The DOC imposed duties ranging from 164.75% to 234.51% after a related investigation by the U.S. International Trade Commission determined that the unfairly priced imports were injuring domestic producers such as Leggett & Platt. Duties are assigned to manufacturers, but paid by importers of record of the subject merchandise.
Steve Davis named president of Arteriors DALLAS — Décor and accent furniture source Arteriors has named Steve Davis as president, succeeding Rich Beckert, who served as interim president since March 2011. Davis was most recently chief operating officer at Success Partners, a marketing ser-
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vices company, and earlier was executive vice president and COO at e-Rewards Market Research. “Steve’s considerable knowledge of process improvement, strategy formulation and customer-focused innovation make him a vital addition to
Arteriors during this period of growth and expansion,” Mark Moussa, CEO and founder Davis of Arteriors, said in a press release.
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Industry News
Dining room made of flowers to bloom at October market HIGH POINT — This month’s High Point Market will feature a new outdoor exhibit called the “Living” Dining Room — a full scale room design created entirely of flowers. The display by floral designer Randy McManus will be in the pedestrian walkway at Commerce Avenue and Main Street. “This fresh-air exhibit showcases the design talent that is prevalent in the home fashion world,” said Tammy Nagem, chief operating officer of the High Point Market Authority. “Randy’s incredible creation is a tour de force that celebrates the High Point Market’s role as the place
A rendering shows the ‘Living’ Dining Room, which will be an outdoor display at the High Point Market.
to discover new trends and products, and to find inspiration and creativity.” The display is co-sponsored by RetailerNOW, Emissary and Lazy Susan (both divisions of J Douglas), Wesley Hall, Boda and Gypsy Faire. More information about
the flowers and plants used to create the exhibit, as well as the sponsors and McManus, is available on the “Living” Dining Room Pinterest board at http://pinterest.com/HighPointMarket/the-living-dining-room/. The market runs Oct. 1318.
Roving helpers on hand in High Point HIGH POINT — A new program of roving ambassadors at the High Point Market might make visitors want to ask, “Wherefore art the nearest Starbucks?” The first team of roving helpers will be actors and staff from the North Carolina Shakespeare Festival, dressed in costumes that highlight the High Point Market’s Fashion Focus campaign, according to market officials. Four ambassadors will be
armed with iPads and will be ready to offer directions, provide assistance in locating exhibitors and products, and help visitors find restaurants and other local businesses or services. “This new Ambassador Program, part of a joint partnership with the High Point Convention & Visitors Bureau, will enhance and add to the information services we already provide,” said Tammy Nagem, chief operat-
ing officer of the High Point Market Authority. “With a market as large as this one, and with such a wide footprint, we want to ensure that people can find information where they are, rather than having to search it out.” Look for the ambassadors in the high traffic areas of market, such as the intersection of Commerce and Elm, in front of the Transportation Terminal, and in the 100-200 blocks of South Main Street.
Market to launch Fashion Focus week HIGH POINT — Home furnishings have always taken a cue from the fashion world, and the High Point Market is showcasing the synergy between the two industries with the Fashion Focus campaign scheduled to debut in conjunction with the fall market. “The High Point Market is our industry’s Fashion Week, defining style, trends and innovation for the home,” said Cheminne Taylor-Smith, vice president of marketing for the High Point Market. “The Fashion Focus campaign showcases that by delivering
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an experience that is fresh, vibrant and fashion-oriented through every marketing and advertising piece for the market.” Creative materials for the Fashion Focus campaign include images photographed at the April market. The photography features models wearing items from a clothing collection by Stephanie Teague, a Greensboro, N.C., fashion designer who has shown her line at New York’s Mercedes-Benz Fashion Week. “Stephanie’s clothing is fun and fresh, but with an
edge to it,” Taylor-Smith said. “Her line has a lot of depth, which allowed us to pair pieces with different styles of furnishings. An added bonus is that the collection was created with eco-friendly and recycled materials.” Emisare, the High Point Market’s agency, created the Fashion Focus campaign, which includes print and direct mail as well as targeted communications materials. The campaign was designed to promote the High Point Market to the retail and design communities.
9/26/2012 4:33:20 PM
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OCTOBER 1, 2012
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KNOWING WHAT MATTERS MEANS SUCCESS FOR YOU!
by David Perry
Today’s topic
Mattress purchases When was the last time you purchased a mattress for your bedroom? In the past 6 months
7%
More than 6 months to 1 year ago
8%
More than 1 year to 2 years ago
14%
More than 2 years to 5 years ago More than 5 years ago
30% 37%
Source: National Sleep Foundation 2012 Bedroom Poll
Cutting replacement cycle a matter of marketing It’s time to consider some big-picture bedding issues. And one of the biggest is: How to reduce the mattress replacement cycle? It’s an axiom of the industry that consumers replace their mattresses about every 10 years, but that figure fluctuates based on a complex set of variables, including the state of the economy and the state of the previous mattress purchased. These figures from an important National Sleep Foundation Bedroom Poll show that 15% of consumers last purchased a mattress in the last year. If that pace were consistent over time, it would equate to a mattress replacement cycle of less than seven years. Retailers offer various messages about mattress replacement times. “Replace Every 8” is one popular message. The industry’s Better Sleep Council says consumers should consider replacing their sleep sets every five to seven years. One key to getting consumers to consider a new mattress purchase is to offer them new beds that promise a significantly better night of sleep. The excitement currently surrounding gel beds suggests they could be such a game-changing product.
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Key take-away Yes, those long producer warranties are an issue, but strong marketing messages can open consumers’ eyes about the benefit of a new sleep set. Mattress Metrics is a regular column of statistical analysis by David Perry, bedding editor. Ideas for future coverage can be shared with Dave at dperry@furnituretoday.com. This column is sponsored by
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Industry News
Antique & Design Center to feature 3 new exhibitors HIGH POINT — New exhibitors in the Antique & Design Center at the fall High Point Market will include Cleveland Art founder Jason Wein; blogger Beth Lewis, the creative force behind retailer Old Time Marketplace; and the brother-and-sister interior design team of Michael and Candace DeLoach, known as DeLoach Design and Decoration. “These three new exhibitors are a perfect example of what the Antique & Design Center is all about,” said Karen Luisana, director of the ADC, which has been a show-within-a-show in High Point for the past two years. The center, in Market Square on the grand and mezzanine levels, will be open during the fall market, which runs Oct. 1318. It features antiques and artwork from more than 70 dealers, whose spaces change daily as pieces are sold and replaced. Luisana said none of the new exhibitors has shown in High Point before. Cleveland Art is known for its recycled and repurposed goods, Old Time Marketplace for its rustic, original-paint looks, and DeLoach Design and Decoration for its mid-century modern eclecticism, she said. With stores in Los Angles and Brooklyn, as well as its home base in Cleveland, Wein’s stark, minimalist designs are a favorite
Cleveland Art offers pieces, including this trestle table, that use recycled and repurposed goods from defunct American factories. of Hollywood celebs, according to Luisana. In High Point, the Cleveland Art space will feature lighting, shelves and tables built from industrial components and fasteners that Wein culls from defunct factories. “Everything is Americanmade using recycled and repurposed materials, right down to the fasteners, because I think it’s the right thing to do,” Wein said. “A lot of the machines that we buy from New England are from the 1700s, before electricity, and have three or four lifetimes of workers behind them.” Lewis said she, too, is passionate about giving new life to old pieces, “taking something that someone has discarded as trash and turning it into something that someone else would love to have in their home, simply by visually displaying it in a way that’s pleasing.” Lewis operates The Old Time Marketplace in Marshville, N.C., in a building built in 1910 that movie buffs will recognize as the
setting for the general store in the film “The Color Purple.” The DeLoaches will show a collection that combines midcentury modern furniture and antiques with dramatic abstract art. “What we’re showing are pieces that have been re-done, refinished and reupholstered, pieces that people can easily incorporate into their homes,” said Michael DeLoach. “It’s a strong modern look. There’s nothing dowdy about what we’re presenting.” In addition to showing vintage pieces, the DeLoaches also will introduce products of their own design for the first time, including occasional tables, Lucite floor and table lamps and wastepaper baskets sheathed in stone. Information about the Antique & Design Center is online at www.hpadc.com and a blog about it can be read at www.highpointantiquecenter. blogspot.com.
CertiPUR-US offers educational video HICKORY, N.C. — CertiPUR-US, the flexible polyurethane certification program, has released a new video designed to educate customers about the benefits of the program. The 90-second video, designed for websites, YouTube and point-of-sale displays, engages viewers with whiteboard animation and is narrated by Kristen Udowitz, the voice of many Discovery Channel and National Geographic documentaries, officials said. The video explains the value of buying products with certified foam to better understand what is and is not in bedding foam. It also conveys the confidence and comfort that comes with purchasing products that contain flexible polyurethane foam that has been tested in accredited labs
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to ensure it is low emission and made without ozone depleters, PBDE flame retardants, formaldehyde, prohibited phthalates, and mercury, lead and heavy metals, officials said. “A growing number of consumers want answers to questions about what is in the products they buy for their home,” said Doug Sullivan, executive director of the Alliance for Flexible Polyurethane Foam, which manages the certification program. “By giving manufacturers and retailers selling tools that are eye-catching, straightforward and simple to understand, we are making it easier to use the program as a powerful, valued-added marketing advantage. This program helps answer consumers’ tough questions.”
The consumer section of the CertiPUR-US website at certipur. us features a list of companies that produce and sell products containing certified foam. There is no cost to retailers or manufacturers to be placed on this list. Sullivan says interest in the program is growing from three groups. “Foam producers are certifying more foams, including some gel foams. Downstream customers are calling to ask how they can get on the list of companies that sell products containing certified foams. And, we are routinely getting direct calls from consumers, sometimes from the retail floor, to confirm the product they are about to purchase contains certified foam,” he said.
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Industry News
Art Resources rug line set for first High Point showing Art Resources will show a line of contemporary and transitional hand-knotted rugs in High Point, including this design.
HIGH POINT — Art Resources, a manufacturer of high-end, hand-knotted rugs for 30 years, will show at the High Point Market for the
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first time later this month. The company, which has leased a 4,691-square-foot showroom in Market Square, space 294, has created a new rug division priced in the mid-range of the market that will target furniture stores and mass merchandisers, according to market officials. A typical 8 by 10 rug will be priced from $500 to $1,600 retail. A range of designs will be offered, including traditional, but the line will focus on transitional and modern styles. “We’re offering an eclectic mix of quality, handknotted rugs imported from India,” Eddie Simantob, a partner in the business with his brother Jack, said in a press release. “They are designed to appeal to a broad range of tastes, with very affordable price points.” Based in Los Angeles, where it also has a warehouse that serves the West, Art Resources also has an East Coast office and warehouse in Secaucus, N.J. The company currently sells its line mostly through rug specialty stores. High-end products are imported from Afghanistan and Pakistan. The company also has enhanced its website at www. artresources.us, according to Eddie Simantob. “We offer retailers and consumers the ability to search our entire line by shape and size, primary color, construction, material and location,” he said. “All the rugs we have in our inventory are in the database, and the search function is compatible with every type of browser. And once a customer has registered, product photos can be easily e-mailed back and forth.” The market runs Oct. 1318.
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OCTOBER 1, 2012
Industry News
Downs launches financial consulting firm HICKORY, N.C. — Home furnishings industry veteran Ron Downs has launched The Downs Group, a financial consulting services provider for furniture and home furnishings industry manufacturers, distributors and suppliers. The firm specializes in corporate finance and restructuring, financial planning, reporting and
analysis, interim c-level management, internal audit and control framework, licensing agreements and requirements, mergers and acquisitions advisory, operations audits and analysis, planning and control systems, and business development. “My unique combination of strong, hands-on expertise, com-
According to a press bined with significant release, Downs has senior executive manmore than 35 years of agement and consulting operations-oriented seexperience in the furninior financial executive ture and home furnishand consulting experiings industry makes me ence in the industry. a perfect fit for a broad Downs He was most rerange of consulting assignments for any size business,” cently treasurer and chief financial officer at manufacturer said Downs.
Taylor King Furniture. Earlier, he operated a senior management consulting company, providing financial and operational advisory services to more than 50 companies. He has also held senior positions with Ayers Furniture Inds., Alexvale Furniture, Hickory-Fry Furniture and Congoleum, as well as operational finance positions with Hammary and Stanley Furniture. Downs has served on the finance division board of the American Home Furnishings Alliance and its predecessor associations, and The Downs Group is a member of the AHFA Suppliers Division and other professional organizations. The firm is online at www. thedownsgroupllc.com, and Downs can be contacted at (828) 446-6336.
Dutchmans opens store in Merinos complex
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MOORESVILLE, N.C. — Eclectic home furnishings retailer Dutchmans has opened an 18,000square-foot showroom within the Merinos Home Furnishings Warehouse complex here. According to a release, Dutchmans is known for colorful furniture and custom designs, reflecting the tastes of owner and furniture designer Stephanie Nieuwendijk with “furniture, accessories and lighting for casual living, with a focus on flair and originality.” “Our goal is for people to get real enjoyment from their furniture and to create rooms they love to be in,” she said in the release. Lines include hand-made mahogany tables, dressers, desks and other pieces from The Bramble Co., for which Nieuwendijk is the designer; handpainted furniture from Steven Shell; and upholstery, sofas and chairs from Rowe Furniture and Robin Bruce. The store, in a portion of the former 1.1 million-squarefoot textile mill that Merinos is converting into retail space, is Dutchmans’ third location, joining stores in Highlands, N.C., and St. Simons, Ga.
9/26/2012 4:44:13 PM
BEECHBROOK presenting Bosnia and Herzegovina furniture manufacturers
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FURNITURE |TODAY
OCTOBER 1, 2012
www.furnituretoday.com
Industry News
Thai students taking on Groovystuff Design Challenge DALLAS — Groovystuff, a resource specializing in sustainable wood furniture, has expanded its Connecting Education to Industry initiative to Thailand, and will show the results at this month’s High Point Market. Thailand’s King Mongkut’s Institute of Technology Ladkrabang is the latest university to take part in the Groovystuff Design Challenge. This program offers students a chance to design furniture for the U.S. market and earn royalties for their designs. The Thai program, under the leadership of Professor Torvong Puipanthavong, will initially include 22 students from the KMITL’s School of Architecture. This summer, they designed product to be considered for Groovystuff’s Dick Idol licensed line of furniture. The students received a pallet of materials from Groovystuff in late May to use in constructing a miniature version of the product they design. The designs will be on display at the High Point Market, in Suites at Market Square 1836. Market attendees will vote on the designs, and the student with the most popular votes will receive a cash prize.
Students from Thailand’s King Mongkut Institute of Technology Ladkrabang listen to a presentation about the Groovystuff Design Challenge. Later, samples of the product will be produced and the design with the most written orders will be included in the Dick Idol collection. The winner will receive royalties based on sales. Since its inception in 2010, several other universities have taken part in the Groovystuff Design Challenge. They include Auburn University, Appalachian State University, The Art Institute of Las Vegas, University of Georgia, University of North Carolina, University of Idaho and Purdue University. In a statement, Groovystuff founder Chris Bruning said, “This new cooperative with the
industrial design students in Thailand offers dealers carrying the Groovystuff line a whole new round of products designed from an entirely new perspective, untarnished by the pressures of U.S. trends and product saturation. “Professor Tor is helping us get our message of sustainability out to a more global audience, and his instructional platform is based on energy conservation, quality of life, and the responsible use of resources when teaching design and we couldn’t be more pleased by our partnership with him and the students.”
Purdue student wins most votes in Vegas
Standard
The exhibition of the BiH furniture at High Point Market Week Fall 2012 is made possible by the support of the United States Agency for International Development (USAID) and the Swedish International Development Cooperation Agency (Sida). The contents of the publications are the responsibility of Beechbrook and do not necessarily reflect the views of USAID, the United States Government, Sida and/or the Government of Sweden.
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DALLAS — Yue Dai, a student in the Industrial Design Department at Purdue University, has won Groovystuff’s By Design: Connecting Education and Industry design challenge at the summer Las Vegas Market by popular vote, the company announced. Dai’s RiSe table and wall lamp were voted Most Versatile and Most Likely to Show a Profit by retailers, interior designers and other trade professionals attending the market. RiSe takes inspiration from a half wagon wheel, with curvy teak ornaments coming out from the body, meant to emulate the rising sun. Light bulbs are placed within the lamp’s base, directing light out toward the sun ray ornaments. Groovystuff, a producer of reclaimed teak home furnishings, said Dai will receive a $250 cash prize and will be a finalist in the ongoing Groovystuff Challenge. Her design will compete against other popular vote winning entries at the winter Las
Design challenge winner Yue Dai presented this product board along with a model of her design in the Groovystuff showroom at the summer Las Vegas Market. Vegas Market, Jan. 28-Feb. 1. The grand prize winner will receive a $500 cash prize and the design will be included in Groovystuff’s Dick Idol Legends line, with the winning designer receiving royalties. Dai competed against 17 other Industrial Design students at Purdue University, under the leadership of Professor Laura Drake, to design an environmentally friendly lighting product.
The design had to reflect the Dick Idol brand and be produced Dai using sustainable manufacturing practices. Contestants created miniature models and product display boards, which were showcased in Groovystuff’s showroom for market attendees to vote on.
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OCTOBER 1, 2012
Industry News
Piedmont group raises $10,000 for cancer research THOMASVILLE, N.C. — Piedmont Furniture Club members and supporters raised $10,000 for juvenile cancer research at their 26th annual golf tournament, held at the Colonial Country Club here this summer. Proceeds went to support research at Brenner Children’s Hospital in Winston-Salem, N.C. This year’s donation was
made in honor of Christine O’Connor DesVergers, the late daughter of Madeline and Kevin O’Connor of Samson Marketing. The club, the local division of the Virginia/Carolinas chapter of the International Home Furnishings Representatives Assn., honored DesVergers for her courage and motivation to others during her struggle with breast cancer. She
died last year at age 38. Many participants, as well as those who could not attend the tournament, made additional contributions to Brenner’s cancer research, officials said. Brenner officials Dr. Sharon Castellino and Nicole Witten attended the tournament and expressed their gratitude for the donation. Sean O’Connor, Chris-
Holding the donation check are Sean O’Connor, left, brother of tournament honoree Christine DesVergers; Christine’s husband, Matt DesVergers; Richard Gillispie, Hooker Furniture; and Dr. Sharon Castellino, Brenner Children’s Hospital. tine DesVergers’ brother, and Matt DesVergers, her husband, also participated. The event drew 26 teams and several sponsoring partners, including International Market Centers, Murrow’s Transfer, Zenith Global Logistics, Wahlquist Management, SDJ Trucking, and Samson Marketing and its brands, Legacy Classic Furniture and Universal Furniture. “The support and contributions of our sponsors and participants at each year’s tournament help make it the success that it has come to be,” said Ray Haislip, Virginia/Carolinas HFRA president.
Stein World redesigns its website MEMPHIS, Tenn. — Accent source Stein World has relaunched its website to make it easier for consumer and dealers to use. The website at www.steinworld.com was developed in partnership with software and Web tools supplier MicroD. It features a changed interface and merchandising platform, new lifestyle photography, a more user-friendly product catalog and dealer locator tools, a press release said. It also has advanced tools for dealers that support product selection, ordering and fulfillment, as well as offering real-time updating of product availability. “We are extremely proud of the new website and excited by its ability to market and merchandise our broad assortment of accent furnishings, lighting and mirrors,” said Jack Johnson, senior vice president of sales and marketing. “Our new site will help inspire consumer demand for our products, drive sales and support our dealers.”
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Industry News
Florida’s Hugo’s expands distribution By Gary Evans JACKSONVILLE, Fla. — For eight decades Hugo’s Fine Furniture here has been a boutique manufacturer and design shop for upper-end buyers and the design trade here in Northeast Florida. Now the company is expanding into a much bigger territory. “Our goal starting out is the East Coast. I believe we can do solid business from Florida to New York,” said Mathew Hugo, the company’s treasurer and great-greatgrandson of the German immigrant who founded the company. Hugo’s is not a household name and Mathew Hugo admits, “We are a well-kept secret.” But the company is known in Florida for making high-quality upholstery with 5/8-inch doweled and glued frames and eight-way handtied spring construction. With a full markup, Hugo’s chairs retail for $3,000 to $4,000, and sofas from $5,000 to $6,000, customizable in virtually any form and ready for shipment in six weeks, the company said. The manufacturer sells through its own two retail stores in Jacksonville and through various designoriented venues. Hugo said he expects 90% of the company’s new business to come from the design and decorator trade and the rest from “retail outlets where they would carry a sofa and two of our chairs on the floor, that sort of thing.” Hugo has been hitting the road and contacting design
sources in Georgia, the Carolinas, New York, New Jersey and Connecticut, and the company also is seeking reps for those areas. Meanwhile, Hugo’s has been preparing for expansion by partnering with Fabricut, a fabric and trim supplier in This Chesterfield Sofa Tulsa. The Oklahoma supby Hugo’s Fine Furniture is shown plier will stock 100 fabrics in a Leather Collection Carone color. It’s also for Hugo’s, with about 25% available in COM covers. inventoried in Jacksonville and the rest availThe company’s No. 452 able in a week. That Tight Back Lounge Chair way the company is shown with a Fabricut “won’t have to put Vilitan cover in the color Willow. fiscal dollars on the shelf,” Hugo said. Factory operations, which include a frame shop, employ 30 people who average 15 years’ experience, and the company has the ability “to add 10 This Tight Seat to 12 more without and Back Lounge Chair from doing anything,” according the business of saying no to Hugo’s is shown in Duralee’s to Hugo. Hugo’s produces 230 people ... where there’s a will pattern 31847, in the color SKUs, from sofas and chairs to there’s a way. We say yes, and Spring Time. executive swivel chairs. De- (tell them) this is what we can signs are mostly traditional do.” in the dockhouse of Jessica and transitional. Mathew Hugo said the Ball duPont, which he used Since Jacksonville isn’t company has earned a repu- in exchange for tending her exactly a hotbed for uphol- tation for high quality since it yacht. The company is now stery making and the pool of was established by his ances- in its fourth generation with trained labor is shallow, the tor, Albert Hugo. Albert was Mathew, 26, and his sister, company has started going to on his way to South Florida Jennie, 24, who does most of tech schools in the Southeast when his train stopped in the fabric selection. Their dad, to interview candidates, hire Jacksonville, and he stepped Richard, who has 35 years them before they graduate off during a layover. He re- with the company, is Hugo’s and pay to relocate them to sumed his trip but the further president. Florida. south he went the more wild The new generation will “We can bring that person and tropical it appeared to preserve the founder’s devoin and train them,” Hugo him so he turned around and tion to making fine furniture, said. returned to Jacksonville. said Matthew Hugo. He added, “The reason Albert married and his “A lot of people call it the we’re so successful with our wife, Euna, a seamstress, and old way to doing things. I call regional design trade is our he made furniture and she it the proven way to do it. It’s ability to adapt. We’re not in made drapes in a shop set up been working for 80 years.”
Agency offering ‘Downton Abbey’ brand for licensing LAS VEGAS — “Downton Abbey,” the addictive British drama series that has aired on PBS in the United States to critical acclaim and high ratings, is available for licensing for home furnishings and other products, an agency says. Knockout Licensing has been appointed by NBCUni-
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versal International Television to launch and manage the licensing program for the brand in the United States and Canada, according to a release from agency copresidents Carole Postal and Tamra Knepfer. “I’ve been a ‘Downton Abbey’ fan since the first season,” said Postal. “I love
the writing, the fashions, the décor and everything else about the story and setting that makes ‘Downton Abbey’ such a compelling brand for licensing.” Knepfer said the agency has already spoken to some potential manufacturing licensees and retailers. It pitched the brand and other
clients at the 2012 International Licensing Expo in June in Las Vegas. Knockout Licensing lists home furnishings among a number of product categories that could be licensed under the brand. Others range from apparel and games to food and home décor.
9/26/2012 4:48:43 PM
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Bedding Today
David Perry Executive editor
$399 memory foam not good for industry
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Premium Growth. Pioneering Innovation. Profit Dollars.
©2012 Tempur-Pedic Management, Inc. All Rights Reserved.
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e caught some flak at our Bedding Conference earlier this year for questioning the wisdom of a major bedding retailer’s promotion of full or queen memory foam sleep sets for $399. Some thought I was too hard on that retailer, which I didn’t name. So let’s explore the tough issue of low-ball bedding promotions. With the assistance of an audience response system we used for some sessions at the conference — thanks, again, to Leggett & Platt for bringing that system to our event — we know how our group of top producers, retailers and suppliers felt about that promotion. Many didn’t like it. It’s an example of the industry taking premium bedding features and turning them into commodities, half of the industry leaders said. Another 17% said that offer was an example of “a desperate bedding retailer.” It’s nice to have some major players on my side on this issue. But are we right and is that retailer wrong? The answer is complicated. Craig McAndrews of Mattress Firm presented consumer research at the conference affirming the importance of price. About 31% of the consumers said that, in shopping for a mattress, price is most important. The in-store experience was cited by 25% of consumers, while 22% cited selection. Lesson: Price is vitally important. But that doesn’t mean the retailer needed to take memory foam down to $399. Another conference speaker, Kristi Griggs of G-Force Marketing Solutions, noted in her presentation that there are a great many ways to deal with the issue of prices in ads. Among them: Low price guarantees, savings per sleep set, and prices per month. What I don’t like about that $399 memory foam ad is that it suggests a premium feature like memory foam is available on the cheap. Let’s be honest here: That $399 memory foam bed is probably not going to deliver a true memory foam experience for the long term. And that $399 price is a very long way from the better memory foam beds at $1,000 and up. Also, I continue to think we’ve got too good a selling story with the benefits of a better night of sleep to just hammer away in ads with low-ball prices. What consumers really want is a better night of sleep. Yet too many retailers act like all they want is a cheaper night of sleep. Having said all of that, I realize the need to “swing the doors” with eye-catching mattress offers. But that doesn’t mean we need to be reducing memory foam beds to commodity price levels. I would rather see sharp prices for a no-name line that enables the retailer to maintain higher prices for flagship offerings and for better beds. What do you think?
9/26/2012 4:41:26 PM
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FURNITURE |TODAY
www.furnituretoday.com
OCTOBER 1, 2012
Industry News
Dormeo gets nice bounce from foam springs launch By David Perry LAS VEGAS — Dormeo Octaspring said it brought something new to the bedding-rich market here. And retailers responded enthusiastically to the innovation, the company said. Dormeo made its official U.S. debut in a flashy, colorful showroom here this summer, welcoming a steady stream of major bedding retailers, company officials reported. The retailers came to see Dormeo’s line of mattresses and pillows cushioned with honeycomblike memory foam springs.
The company calls the eight-pillared, breathable springs “a breakthrough in mattress technology.” It says the memory foam springs work in harmony to create perfect cradling support for the body, with a constant cooling airflow spread throughout the sleep system. The cooling aspect is important, as the industry is increasingly focusing on the importance of offering consumers a cooler night of sleep. Retailers visiting the Dormeo space were told the memory foam springs offer the benefits of that type of material with-
out the heat sometimes associated with memory foam. Dor meo officials were pleased with the company’s U.S. debut. “The response to Octaspring and our U.S. launch was overwhelming,” said Kym Bramm, CEO of Octaspring. “We would like to say a massive thank you to everyone who came to visit our beautiful new showroom. With over 80 of the top retailers coming through our doors, we are delighted about how quickly the industry is taking to our phenomenal new technology. This recent show really reaffirmed our belief that we have something truly special to offer U.S. retailers and consumers alike.” Dormeo’s U.S. efforts are headed by bedding veteran Chris Henning, president of the company’s North American operations. “A number of industry veterans mentioned that it was one of the most impressive One of Dormeo Octaspring’s new mattresses is displayed in the new showroom.
Chris Henning stands at the entrance to the Dormeo Octaspring showroom in Las Vegas. product launches they’ve seen at the Las Vegas Market,” Henning said. “We are a company fully experienced in, and fully committed to, aggressively supporting the launch through multi-channel advertising, social media and innovative point of sale programs. We feel this is the most successful way of highlighting both the new technology and showing how it has and will help the North American consumer improve their quality of life through a better sleep experience.” Henning said the memory foam springs provide ventilation in the mattress, promoting cooler sleep. Consumers understand the benefits of the foam springs, he said.
The line consists of five mattresses retailing from $1,599 to $3,499 and four pillows retailing from $79 to $129. The memory foam coils come in various firmnesses and colors. The creator and owner of the Dormeo Octaspring brand is Studio Moderna, one of the largest multi-channel retailers in Europe. The company is well-funded and understands the importance of the U.S. market in extending its brands around the world, Henning said. Octaspring’s TV campaign is airing across North America and Europe and is backed with a multimillion-dollar budget, the company said.
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FURNITURE |TODAY
www.furnituretoday.com
OCTOBER 1, 2012
Industry News
Spaces takes irreverent look at decorating By Gary Evans NEW YORK — You wouldn’t expect this on a home and garden show: A mother, referring to her son’s living quarters and music studio in the basement of her home, says, “It doesn’t look like a studio. It looks like a damn mess.” OK, the mother’s first generation Sicilian, the son calls her “Ma,” the home is in Queens, and the 23-year-old has been living in her basement for seven years. But it’s an example of the mild profanity and irreverence scattered through a new series of home, design and otherwise fun series launched online by the Digital Broadcasting Group called Spaces, the company’s home and design channel on You Tube (www.youtube.com/ user/SpacesTV). Spaces officially debuted in April as part of YouTube’s original channel initiative. It’s an ongoing series of short, energetic shows that include “I Live with My Mom” (above), “Offbeat Space,” “Profiles in Design,” “Your Place Is a Deal Breaker,” and a soon to be released series called “INspaces with Erika Storm Wasser.” Spaces also is loaded with humor that’s not to be taken seriously. In a segment on the spring market, host Wasser describes High Point as “the home of Chick-fil-A, childhood obesity and the High Point Market.” In one segment open-
Erica Wasser interviews celebrity designer Thom Felicia on her Spaces program, “INspaces with Erika Storm Wasser.” ing, Wasser struggles to open a wine bottle; in another, a case is delivered while she’s delivering her intro. The company describes Spaces as “a far cry from your typical DIY or renovation programs,” offering “a documentary-style glimpse into the lives of homes of urban and suburban sophisticates, celebrities and people within the art, fashion, architecture and design world.” “To us, Spaces reflects our company vision of what home and design program on the Web should be: inspirational,
educational and highly addicting,” said DBG Chief Creative Officer Richard Gomes. “We have a passion for storytelling and big screen values at DBG, and I think viewers will appreciate the high quality, fresh content they’ll see uploaded to the Spaces channel every week.” The Spaces content so far seems like MTV for the design world — youthful, urban, at times eccentric. Most of the videos are just a few minutes long. In an episode of “Your Place Is a Deal Breaker,” the show
makes over the apartment of a young urbanite whose centerpiece of design is a large picture of President Obama, which bugs his significant other. In another, a guy’s girlfriend can’t stand all the tiger paraphernalia he has scattered around. The end result for both is a design makeover that is pleasing to all. Wasser said there’s no particular target audience for Spaces. “Honestly, we target anyone interested in design,” she said. That includes design enthusiasts, people looking for
inspiration and guidance, and design professionals. She said some shows will be for pure entertainment. Here’s a brief description of some of some of the shows on the Spaces’ roster: “Your Place Is a Deal Breaker,” about couples who have partners who have unacceptable living spaces that might tear their relationships apart — or at least give them pause about moving in together. “Offbeat Spaces,” a weekly docu-series with visits to amazingly tiny apartments, offices and spaces to show how much can be done with so little with the right amount of imagination and creative design. “Profiles in Design,” a weekly show filled with short biographies about some standout interior designers, their work and impact on the industry at large. “I Live with My Mom,” a makeover show hosted by Tracy Metro, which visits rooms of grown children who’ve moved back into their old rooms, which are in need of updating. “INspaces with Erika Storm Wasser,” a variety show of sorts with one of the first segments to air called “Wine with Wasser,” in which she sits down, opens a bottle of wine and talks design. Early guests include designer Thom Filicia and J. Alexander Martin, co-founder and owner of clothing specialist FUBU.
The Buying Giant meets to swap advertising ideas NASHVILLE, Tenn. — Members of The Buying Giant buying group recently met here for a Media Marketing
& Operations seminar at the Radisson Opryland Hotel to discuss ideas for more effective advertising programs,
among other topics. The U.S. Postal Service’s Every Door Direct Mail service was one of the hot topics presented and discussed at the Sept. 17-19 program, according to Bethel Poston, executive director of the Harriman, Tenn.-based buying group. Operations topics featured included information on sources of credit card processing, furniture warranty protection programs, and insurance group programs.
TBG members also heard presentations from Cosec International; Group Health, Property, Casualty, Vehicle and Worker’s Compensation Insurance; Mail South Advertising Solutions; Crest Financial-No Credit Score Needed; AdMark Advertising Solutions; MicroD Web Sites; Montage Furniture Protection, and Advanced Payment Solutions-Credit Card Services. Members and guests also enjoyed a visit to the Grand
Members of The Buying Giant buying group prepare to board the General Jackson Showboat in Nashville, Tenn. They met in the city to discuss advertising and operations strategies.
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Ole Opry, hearing performances from Dirks Bentley, Kellie Pickler, Lorrie Morgan, Whispering Bill Anderson, Jimmy Wayne, Riders in the Sky and Connie Stevens. The program also included dinner and a cruise on the Cumberland River to view the lights of downtown Nashville. Members also enjoyed a lunch performance by TBG past president Bo Carey and his son John Carey, who are members of an East Tennessee musical group that performs in the area. TBG has 112 members in 29 states operating 129 stores.
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HIGH POINT MARKET OCTOBER 13-18 , 2012
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OCTOBER 1, 2012
Opinion THE BUSINESS NEWSPAPER OF THE FURNITURE INDUSTRY®
www.furnituretoday.com
Thomas Russell Associate editor
7025 Albert Pick Road, Suite 200, Greensboro, N.C. 27409 Phone: (336) 605-0121 Fax: (336) 605-1143
Kevin Castellani, PRESIDENT AND PUBLISHING DIRECTOR (336) 605-1034, kcastellani@sandowmedia.com Ray Allegrezza, EDITOR IN CHIEF (336) 605-1112, rallegrezza@furnituretoday.com Connie Lineberry, VICE PRESIDENT, MARKETING (336) 605-1060, clineberry@sandowmedia.com
EDITORIAL
ADVERTISING
EXECUTIVE EDITOR David Perry (336) 605-1114, dperry@furnituretoday.com Bedding
REGIONAL SALES MANAGERS Jason Blalock (336) 605-1052, jblalock@furnituretoday.com Ark., Ky., La., Okla., Mo., Miss., Texas, Tenn.
NEWS EDITOR Jay McIntosh (336) 605-1132, jmcintosh@furnituretoday.com BUSINESS EDITOR Larry Thomas (336) 605-1130, lthomas@furnituretoday.com Logistics, recliners, leather upholstery, motion upholstery, gliders UPHOLSTERY/STYLE EDITOR Cindy W. Hodnett (336) 605-1097, chodnett@furnituretoday.com SENIOR RETAIL EDITOR Clint Engel (336) 605-1129, cengel@furnituretoday.com
Kara Dunlay (336) 605-1022, kdunlay@furnituretoday.com Conn., Ill., Iowa, In., Kan., Maine, Mass. Mich., Minn., Neb., N.H., N.J., N.Y. N.D., S.D., R.I., Vt., Wis.
Susan Jones (336) 605-1023, sjones@furnituretoday.com N.C., Canada, Italy
Robin Martinez (336) 605-1010, rmartinez@furnituretoday.com Alabama, Delaware, the District of Columbia, Florida, Georgia, Maryland, Ohio, Pennsylvania, South Carolina, Virginia and West Virginia
Don Wingate (336) 605-1035, dwingate@furnituretoday.com
ASSOCIATE EDITOR Thomas Russell (336) 605-3815, trussell@furnituretoday.com Bedroom, formal dining, home office, metal beds STAFF WRITER Heath E. Combs (336) 605-1123, hcombs@furnituretoday.com Casual dining, occasional furniture, home entertainment RUG EDITOR Lissa Wyman (917) 770-4303, fax: (212) 300-2010, lwyman@rugnews.com 155 East 31st St., Apt. 17F, New York, N.Y. 10016 CANADIAN CORRESPONDENT Michael J. Knell (613) 475-4704, fax: (613) 475-0829, michael.knell@sympatico.ca P.O. Box 3023, Brighton, Ontario K0K-1H0
Ariz., Calif., Colo., Hawaii, Idaho, Mont., Nev., N.M., Ore., Utah, Wash., Wyo.
CHINA MANAGER Nancy Yu 86 21 61409866, fax: 86 21 6539 0321, nancy@oceaniamedia.net INDIA MANAGER Mahesh D. Kala 91 11 5163 8077, fax: 91 11 2921 0993, mahesh@gmnindia.net DIRECTOR OF OPERATIONS Anne Frost (336) 605-1032, afrost@ sandowmedia.com STAFF ACCOUNTANT Delores Gibson (336) 605-1003, dgibson@sandowmedia.com ADMINISTRATIVE ASSISTANTS Karen Milholland (336) 605-1030, kmilholland@furnituretoday.com Barbara Stone (336) 605-1046, bstone@sandowmedia.com
COLUMNIST W.W. “Jerry” Epperson (804) 644-1200, fax: (804) 644-1226
CLASSIFIEDS
COPY/LAYOUT MANAGER Elena Strickler (336) 605-1117, estrickler@furnituretoday.com
Classified Associates Spencer Whittle (336) 605-1027, swhittle@sandowmedia.com Karen Hancock (336) 605-1047, khancock@sandowmedia.com
COPY/LAYOUT EDITORS Carol Trader Barton (336) 605-1045, cbarton@furnituretoday.com Tanya K. Merritte (336) 605-1125, tmerritte@furnituretoday.com GROUP ART DIRECTOR Wes Kennedy (336) 605-1048, wkennedy@homeaccentstoday.com GRAPHICS MANAGER Ronda C. Whitaker (336) 605-1059, rwhitaker@sandowmedia.com KIDS TODAY EDITOR Jane Kitchen (336) 799-0033, jkitchen@kidstodayonline.com
E-MEDIA DIRECTOR OF WEB OPERATIONS - BUSINESS MEDIA GROUP Chris R. Schultz (336) 605-1076, cschultz@sandowmedia.com EMEDIA
PROJECT MANAGER Missy Axe (336) 605-1005, maxe@sandowmedia.com
WEB OPERATIONS SPECIALIST Randy Melton (336) 605-1098, rmelton@sandowmedia.com
MARKET RESEARCH DIRECTOR OF RESEARCH Dana French (336) 605-1091, dfrench@furnituretoday.com RESEARCH ANALYST Stephanie Nickell (336) 605-1096, snickell@furnituretoday.com DATABASE AND WEB ADMINISTRATOR Cynthia Myers (336) 605-1094, cmyers@furnituretoday.com
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SUBSCRIPTION SERVICES CUSTOMER SERVICE (800) 395-2329; (515) 247-2984 outside U.S. Fax: (866) 310-7181, FTYcustserv@cdsfulfillment.com Allison Ternes, Audience Marketing Director aternes@sandowmedia.com Beth Simpson, Audience Marketing Manager bsimpson@sandowmedia.com
CHAIRMAN AND CEO Adam I. Sandow CFO/COO Christopher Fabian VP CREATIVE AND EDITORIAL Yolanda E. Yoh EVP, GROUP PUBLISHER James N. Dimonekas VP INFORMATION TECHNOLOGY Jesus Sardinas
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Indonesia increasingly important for imports
E
lsewhere in this week’s issue is part two of our three-part series on Indonesia. Some resources, particularly those selling upper-medium priced to high-end case goods, have been sourcing there for years and understand what the country represents. For those who have yet to visit or see product from Indonesia, here is a quick overview on why it’s becoming so important. As we noted in week one, the country has one of the largest supplies of plantation-grown mahogany, a prized material for solid wood furniture. The island of Java, which is home to most of the furniture production in Indonesia, also has access to ports, roads and airports. Indonesia has a population of about 240 million, which gives manufacturers a wide selection of workers, both young and experienced. Companies that have sourced there for years say the able-bodied work force is one of the country’s prime assets, including those trained in hand carving and finishing. Labor rates also are among the lowest in Asia, particularly when compared to inflation-prone China and Vietnam. Furniture/Today decided to visit the Indonesia plants after seeing the level of craftsmanship — particularly the application of finishes and high quality veneers — produced and sourced by companies such as Ligna, Hooker, Stanley and Lexington. During a weeklong visit, we saw 10 plants including Furniture Brands International’s new one in central Java. These facilities ranged from a few hundred thousand square feet to more than 2.5 million. All showcased a variety of capabilities and finished product. Most importantly, they show that Indonesia has enormous potential in furniture production. There are challenges too, particularly in terms of infrastructure. The country still has relatively limited hardware and components suppliers, which means those materials have to be imported from places like China, making them potentially more susceptible to price hikes. And while many plants are close to ports, furniture still has to be shipped to larger port facilities, such as Hong Kong, to be transferred to larger vessels, which can boost shipping costs. There is also a fear factor, which may have been exacerbated recently in response to recent protests over an anti-Muslim film produced in the U.S. Fortunately, most folks on the ground have said the protests have been relatively tame and nonviolent, thanks to the peaceful nature of most Indonesians. We found them to be very good natured and friendly and would enjoy the chance to return. We certainly don’t advocate anyone going to Indonesia who doesn’t feel comfortable doing so. Read the travel advisories and get the shots. Make sure you have people on the ground to get you to the right places. Once you’re there, you won’t likely regret the opportunities it opens up for your company and your product line.
9/26/2012 2:46:59 PM
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FURNITURE |TODAY
www.furnituretoday.com
OCTOBER 1, 2012
Industry News
Bedding mega-deal gets mostly positive grades By Larry Thomas LEXINGTON, Ky. — The blockbuster merger of Tempur-Pedic and Sealy has generated generally favorable reaction among industry observers and securities analysts, most of whom believe the combined entity will emerge as an even more powerful force in the marketplace. It brings together a company that became a specialty bedding powerhouse in less than 20 years and an oldline innerspring bedding producer whose roots date back to the 1880s. But more importantly, observers say, it combines the mattress industry’s two most powerful brand names and their vaunted research and development arms, which are the keys to the product innovations that often spur mattress purchases. “It really makes for a great competitive environment,” said longtime industry analyst Jerry Epperson of Mann, Armistead & Epperson. “I think retailers and the American public are going to benefit from this.” Another longtime industry analyst, Budd Bugatch of Raymond James & Co., called the acquisition “strategically brilliant,” while analyst John Baugh of Stifel Nicolaus said it allows Tempur-Pedic to offer products at retail price points below $2,000 without diluting the Tempur-Pedic memory foam story. “One of the biggest strategic questions that has faced Tempur-Pedic in the last 18 months is whether or not to pursue product introductions in competing technologies (gel memory foam, hybrids, latex foam, etc.) and/or lower price points, or to strictly adhere to the Tempur formula of TempurPedic memory foam at prices above $2,000,” Baugh wrote in a report for clients. Although Tempur-Pedic has been on an unprecedented growth streak in recent years, the company has struggled a bit in the past two
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Tempur-Pedic + Sealy Estimated 2011 U.S. wholesale bedding shipments in $ millions Sealy $1,129 Tempur-Pedic $880 $2,009 Share of U.S. bedding shipments, 2011 Serta 18.3% Sealy 17.8%
All other producers 29.6% Tempur-Pedic 13.9% Simmons 4.7% 15.7% Select Comfort Tempur-Pedic and Sealy’s combined share
31.7% Source: Furniture/Today market research
years as competitors — notably Serta — have developed competing products at lower price points. Industry observers say Serta’s iComfort, which com-
X Tempur from p1 30-day average closing price on Sept. 26, but only a 3% premium over the Sept. 26 closing price of $2.14. Tempur-Pedic said it has the written consent of 51% of Sealy shareholders for the deal, and that the boards of both companies have approved it. Sealy’s largest shareholder, an affiliate of the investment banking firm Kohlberg Kravis Roberts & Co. that owns 44.5% of its shares, is among those who have OKed the transaction. The deal is expected to close in the first half of 2013. “This is a transformational deal that brings together two great companies, each with globally recognized brands,” said Tempur-Pedic CEO Mark
bines gel and memory foam, has eaten away at TempurPedic’s market share, and Tempur’s own efforts to develop products that retail below $2,000 have had only modest success. Sealy also has struggled the past two years, and last year lost its position as the nation’s largest mattress producer to Serta. Observers say Sealy has struggled to gain much traction in specialty sleep, although its new Posturepedic Optimum, which utilizes gel and memory foam, has performed very well in its short time in the marketplace. Despite those struggles, observers believe Sealy’s management team will remain in place for at least the near term because Tempur-Pedic’s management team has little or no experience with innerspring bedding since most of them were hired from outside the mattress industry. Sealy’s president and CEO, Larry Rogers, is a 33-year veteran of the company who earlier announced he would retire as soon as his successor was found. However, he said last week he had abandoned those plans and was enthusiastic about the acquisition.
“I think it presents an unparalleled opportunity for our customers, our employees and consumers,” Rogers said during a conference call with securities analysts. “Sealy is now aligned with a company committed to growing its brand equity.” Epperson noted that mattresses are the most profitable category for many furniture stores, and said Tempur-Pedic has been the most profitable mattress brand. “Tempur has done an excellent job of creating demand with the consumer and helping dealers make profits,” he said. Baugh noted that, when Serta and Simmons were put under the same ownership in 2009, fears of reduced choices for retailers didn’t materialize, and he believes the outcome will be similar for the Tempur-Sealy combination. “With this merger having so little overlap on a product basis, we are hard-pressed to see a fallout of shelf space,” he said in his report. According to Furniture Today research estimates, Serta and Simmons have a combined U.S. market share of 34%, while a combined Tempur-Pedic and Sealy would
have a 31.7% share based on 2011 sales. The next largest is air bed specialist Select Comfort, which has an estimated 4.7% market share. Gerry Borreggine, chairman of the International Sleep Products Assn., said the deal could signal good things for the trade association since Tempur-Pedic has been an active participant in industry affairs and Sealy dropped its ISPA membership several years ago. “With this consolidation, it could mark the return of Sealy to ISPA, and also as an active participant in the industry causes ISPA has led,” he said. Borreggine also is CEO of bedding producer Therapedic, and said he believes the merger provides his company a good opportunity to position itself as an alternative to the bigger brands. “This gives Therapedic a more pronounced opportunity to present our alternative of being a smaller and more nimble brand that is able to be both flexible and quick-footed in meeting the retailer’s needs,” he said. News Editor Jay McIntosh and Executive Editor David Perry contributed to this story.
Sarvary. “Tempur-Pedic and Sealy together will have products for almost every consumer preference and price point, distribution through all key channels, in-house expertise on most key bedding technologies, and a world-class research and development team. In addition, our global footprint will span over 80 countries. The shared knowhow and improved efficiencies of the combined company will result in tremendous value for our consumers, retailers and shareholders,” Sarvary said. Tempur-Pedic, which is based in Lexington, and Sealy, based in Archdale, N.C., will operate independently, the companies said in a statement. Sealy CEO Larry Rogers will report to Sarvary. Rogers, who had an-
nounced months ago that he would retire when a replacement was found, said he “will have to put those plans aside” in light of the acquisition. “The complementary product and market fit of these two companies deliver a unique opportunity to create the first full spectrum, global bedding company that addresses all market segments and consumer preferences,” Rogers said in the statement. “Together, we believe that we can deliver more value than either business could on its own by leveraging our strong combined assets.” Tempur-Pedic said the deal is expected to be accretive, with a positive effect on its earnings, in its first full year of operations, and that annual cost synergies of the combined companies will exceed $40 million by the
third year. The companies said that together, they had combined pro forma, adjusted earnings before interest, taxes, depreciation and amortization of $504 million in the 12 months ended June 30 for Tempur-Pedic and May 27 for Sealy. “The combined companies will have strong cash flow characteristics that will enable rapid debt reduction and continued investment growth initiatives,” officials said. Tempur-Pedic said it has received $1.77 billion in loan commitments from Bank of America and Merrill Lynch to finance the deal and provide ongoing working capital. Business Editor Larry Thomas and Executive Editor David Perry contributed to this story.
9/27/2012 4:52:02 PM
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FURNITURE |TODAY
www.furnituretoday.com
OCTOBER 1, 2012
Industry News
Primitiques joins Made in America area in HP HIGH POINT — Primitiques, a producer of Colonial-influenced reproduction case goods and upholstery, will make its High Point debut in the Made in America Pavilion at the Oct. 13-18 market. The company makes case goods and upholstery frames in Aston, Pa., with solid white pine and other woods such
as tiger maple, cherry and walnut. It says it uses traditional, “Old World” manufacturing methods such as hand planing, pegged joints and wooden dowels. Pieces have hand-rubbed, distressed finishes developed by company founders Beth and Bill Merryfield. Primitiques also says it uses
eco-friendly manufacturing techniques, including the use of nontoxic pigmented beeswax and reclaimed wood. It offers bedroom, dining room and kitchen furniture, including tables and ladderback and upholstered chairs. It also produces TV armoires and lighting. Company officials said
from p1
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owners through the process of choosing colors, coordinating patterns and reviewing regional trends. Built to last, our Primitiques are destined to become tomorrow’s antiques.” The company will show in space I-648 in the Made in America Pavilion at the Suites at Market Square.
Greenington takes IHFC showroom
X SLF three bestselling girls’ and boys’ furniture styles in the category. The groups include multiple bed configurations such as bunk beds, panel beds, platform beds, daybeds and lounge beds. RoomGear is the latest concept in youth offered by SLF. In early 2011, it launched its Sammy youth program, which had a golden retriever mascot that was designed to represent safety, trust and reliability in the category. As that branding initiative faded, the company decided to launch RoomGear, which has an outdoor-driven theme designed to appeal to boys and girls alike. “This is gear for the room,” said SLF President Lee Boone. “We wanted a name that was consumer focused and youthful.” He added that the product will feature premium case construction elements such as sanded and sealed drawers, full extension metal side guides and English dovetailing on the front and back of the drawers. Twin beds are targeted to retail at $399 and dressers and chests are priced at $499, Boone said. The introductions include a white Victorian-inspired girls group called Sweetheart, a white cottage inspired group also designed for girls and a relaxed casual cherry group that is primarily designed for boys. The multiple bed options and room configurations allow retailers plenty of ways to position the product on
they work with interior designers and small shops to develop pieces that are custom-built to reflect the styles of individual consumers. “Every piece we build and paint is completely customized to the customers’ needs,” Bill Merryfield said in a statement. “Beth spends a great deal of time walking shop
The Expedition bedroom is part of SLF’s new RoomGear youth program. The relaxed cherry group is designed primarily for boys. their floors and plenty of options for consumers to choose from, Boone said. “ We h a v e i d e n t i f i e d three bestselling styles in youth, and we are going deep within those styles,” he said. “What you do need is a selection of pieces within those styles that allow the consumer to be able to solve problems within the child’s room.” For instance, SLF designed a bunk bed with steps that fit on the front versus the side of the bed, which is aimed at helping consumers more easily fit the bed in the room, Boone said. “Dealers we showed it to at Premarket were very taken with it,” he said. “It creates storage options and doesn’t take up any more space on the wall.” Other product innovations include “floating beds” that feature electronic components such as built-in speakers in the upholstered headboards. These are targeted to retail at $799 for a twin version.
The company previously sourced its youth line in two factories, one in Malaysia and one in Vietnam. It is moving the new line to a different factory in Vietnam that has experience building youth furniture. “We will be their biggest customer once the program develops,” Boone said, adding that the single-source program will allow for greater consistency between groups. The line is expected to ship in January. Groups will be distributed from a humidity-controlled warehouse and will be available on mixed containers, which will allow dealers flexibility as they buy into the program, he said. “It allows you to refine your inventory flow and reduce your costs because you can tailor what you need to a single container,” Boone said. Dealers can see the line during the Oct. 13-18 market in the company’s showroom in 220 Elm, space 200.
HIGH POINT — Upscale bamboo furniture specialist Greenington is moving to a permanent showroom for the upcoming market here. The company will exhibit in a 1,912-square-foot space in the International Home Furnishings Center, H-517. Greenington says it specializes in high quality bamboo products. The company’s line is produced in China from the five-year-old moso bamboo harvested from managed forests, a press release said. “As we’ve grown, we’ve been on the lookout for the right permanent location in the IHFC,”
said company President Yang Lin. “This new showroom is in a very good spot in the ‘big building,’ where our customers will be able to easily find us.” Greenington says all its products are made of 100% solid bamboo, with no MDF, plywood or other wooden material. The company touts its “classic” bamboo as 20% harder than oak, and its “exotic” bamboo as 100% harder than red oak, the release said. At the October market, the company will introduce a dining, barstool and occasional collection in mixed media that combines bamboo with metal.
FXI adds marketing execs MEDIA, Pa. — Foam producer FXI has hired Jacqui Griffith and Aubrecia Cooper as consumer marketing executives in its consumer bedding division. Griffith, named senior director of marketing at FXI, most recently was senior marketing director at construction toy company K’Nex Brands, where she led marketing initiatives for brands such as Nintendo. She has more than 25 years of consumer product experience. Griffith will be responsible for leading marketing and branding initiatives for the consumer bedding division. She will develop and oversee marketing messages for consumer communications as well as direct the product strategy and development process. Cooper, named product
manager, most recently was marketing and product development manager for Just Born, the manufacturer of brands such as Peeps, Hot Tamales, and Mike & Ike candies in more than 35 countries. At FXI, Cooper will focus on product planning and marketing and will assist in product development, identifying target markets and product forecasting. “Jacqui and Bre bring decades of unparalleled marketing and branding experience to our team,” said Diane Adams, senior vice president of consumer products. “Both have worked on campaigns for some of the most recognizable consumer products in the world. Their experience in building consumer products will greatly impact our retailers and prove to be instrumental in helping us grow our brands.”
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Thriving in the new normal requires an all-new, all-in, plugged-in mindset, which is why this year’s Leadership Conference is themed: “All in…Plugged In?” If you’re not, you’re playing with one hand tied behind your back. This year, we’ve invited some of the best minds from within… and from outside…our industry to share how and why they are winning in today’s tougher-than-ever marketplace. Last year’s sold-out event attracted a record crowd, so reserve your spot now and get ready to plug into new ideas and new opportunities from: Keynote Speaker Dr. Roger Blackwell Jerry Epperson, Mann, Armistead & Epperson, Ltd Tim Ciasulli, CEO & President, Planet Honda, Union, NJ Gail Michel, La-Z-Boy Larry Klaben, Morris Home Furnishings Terry Oates, King’s Great Buys Plus Michael Bay, Merinos Home Furnishings Warehouse Doug Wolf, Wolf Furniture
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Online Goes Mobile The one-two punch of tablets plus smart phone adoption makes 2012 the year of mobile. Don’t get left behind! Make sure your business is current on the best mobile sales strategies. This annual conference is specifically designed to meet the needs of retailers and manufacturers in the gift and home furnishings industries. Topics include: • Mobile Advertising for Every Store! • Prepare Your Website for Smart Phone Shoppers • How to Combat Showrooming in Your Store • No Boundaries - Mobile Sales and Flexible Fulfillment • How to Get iShoppers to Buy From You
Early-bird Registration $99 (save $90) (Through October 15th) Standard Registration $189 (Starting October 16th) Fee includes Lunch & Conference Notebook. Seating is limited, so register now! Visit http://furnituretoday.com/techcon for more information and to register online. For more information contact Heather Grant at 336-605-1061 or hgrant@sandowmedia.com.
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Industry News
Casablanca moves X Lexington to IHFC showroom from p1
HIGH POINT — Case goods importer Casabianca Furniture is moving to a new showroom in the International Home Furnishings Center for the Oct. 13-18 High Point Market The company will show in a 1,600-square-foot space in the International Home Furnishings Center, H-511, moving from another IHFC space on the same floor. “Our company has been growing rapidly, so we’ve been looking for a larger space in the right spot,” CEO Isaac Hadida said in a statement. “This new showroom is in a great location, with
more room to show our latest introductions and best sellers. Retailers will be able to see a much wider range of what we have to offer.” The company specializes in mid-priced modern style bedroom and dining room, occasional seating, tables and entertainment units. This market it plans to introduce European-influenced contemporary case goods and leather beds, and also is showing a new line of accent chairs. Hadida said he expects these pieces to do well based on the positive response they have received from retailers before market.
This Gianni club chair from Jofran is offered in red and chestnut brown and features bonded leather, button tufted backs, removable cushions and chunky legs. It can retail for $199.
Jofran debuting accent chair program By Heath E. Combs HIGH POINT — Occasional, entertainment and casual dining importer Jofran will introduce a new domestically warehoused upholstered accent chair program at the fall High Point Market. The program currently has 13 items — six chairs, each offered in two fabrics, plus another standalone chair. The company plans to add one more chair before the market, which opens Oct. 13. Jofran President Joff Roy said the chairs complement items offered in its recent chair-side table introduction at the summer Las Vegas Market. Those tables retail for about $99. “We see a natural dovetail with our occasional program,
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particularly the standalone chair-side program that we’ve recently debuted,” said Roy. “It’s just another opportunity to leverage our domestic logistics capabilities.” Retail pricing for the chairs will range between $129 and $299. The company plans to stock inventory in its Boston and Seattle warehouses, with shipping in 24 to 48 hours of order placement. Chairs have a casual contemporary look and a lifestyle feel, Roy said, adding that the chairs feature wovens, supersoft polyurethane, bonded leather, linen combinations and polyesters. Jofran also will show 12 new casual dining sets and two new occasional groups in High Point.
Commerce and Wrenn, to transform it into the Tommy Bahama oasis. It will include a permanent outdoor living venue on the property adjacent to the building. During market, the café will provide buyers with an opportunity to sample a variety of soft drinks and smoothies and to have their golf swings evaluated by a PGA simulator and a golf pro who will be on site at the café “The outdoor category is experiencing a renaissance at the moment,” said Norman Hamilton, publisher of Casual Living Magazine, a sister publication to Furniture/Today. “Consumers are investing heavily in outdoor living spaces, creating literal extensions of their indoor décor with full amenities. “This represents a huge opportunity for indoor retailers to leverage their existing consumer relationships to include a high-growth category of business that is extremely profitable. It is a natural extension that makes total sense, and buyers will get an appreciation of its true potential at market,” Hamilton said. Since securing the Tommy Bahama indoor furniture license a decade ago, Lexington says it has built the brand into the industry’s most recognized name in the casual living segment. The brand launch of Tommy Bahama Outdoor Living at last month’s casual furniture show in Chicago included eight lifestyle collections with more than 160 SKUs, including deep seating and sectionals, outdoor dining, bistro tables, bars, fire pits and occasional tables. The cover assortment included 175 Sunbrella fabrics with correlating trims, and a custom in-store merchandising program. “I can’t think of a more powerful way to launch a marquee brand like Tommy Bahama Outdoor Living than by creating a high-impact lifestyle venue on the most visible and heavily trafficked corner in downtown
An artist’s rendering shows how the new Tommy Bahama Island Café will look when the High Point Market opens. High Point,” said Phil Haney, president and CEO of Lexington Home Brands. “We love unconventional marketing and recognize that our retailers are looking for leadership in establishing an emotional connection with consumers through lifestyle branding. Tommy Bahama dominates the category of refined casual living and this venue will allow us to showcase that brand strength while hopefully empowering retailers to do the same.” The new Tommy Bahama Island Café is adjacent to Lexington’s downtown Reception Studio at 116 E. Commerce St. That building, leased and renovated in 2009, serves as a concierge lounge, facilitating private transportation to and from the company’s 100,000-square-foot showroom on National Highway, and also giving dealers a preview of Lexington’s new market introductions. Company officials said the corner of Commerce and Wrenn is a strategic location because it’s close to the market transportation terminal and sits in front of the loading area where shuttles pick up and drop off buyers. “We love the dynamic of downtown High Point,” said Haney. “But the breadth of our product line requires a large showroom presentation — particularly with the recent acquisitions of Sligh and Tommy Bahama Outdoor Living. We also enjoy taking advantage of our corporate campus, offering dealers ample parking, indoor and outdoor dining, multiple bars for evening entertainment and a relaxed atmosphere. Now, with our Reception Stu-
dio and the Tommy Bahama Island Café at the nexus of market activity downtown, we will have the best of both worlds.” While the downtown café will accommodate a few key settings from the Tommy Bahama Outdoor Living program, the complete presentation in the main showroom will exceed 15,000 square feet. Lexington said it is doing extensive remodeling in the main facility to show retailers how to effectively transition displays from indoor to outdoor presentations. This is a concept that traditional retailers will need to embrace in order to connect with consumers looking for a seamless transition from indoor to outdoor living, officials said. “The engine driving growth in the outdoor living category has been the amazing advances in fabric technology and custom finishes,” said Casual Living’s Hamilton. “Outdoor fabrics today boast the same exceptional hand, fashionable colors and sophisticated designs as indoor fabrics. Outdoor has become indoor — with the performance advantages as a huge additional benefit. Trims and fringes add further to the consumer’s ability to customize. “The Tommy Bahama Outdoor Living program introduced in Chicago took outdoor finishing to an entirely different level. To even the trained eye, one cannot tell the difference between their outdoor finish on aluminum and a furniture finish on wood. The same can be said for the designs. They are extraordinary,” he said.
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Established, fast growing company seeks reps with specialty store and retail furniture relationships. Diverse line of antique reproductions, reclaimed goods and occasional furniture. US Warehouse and aggressive container program. Permanent showrooms in Atlanta, High Point and Las Vegas. Territories available: AZ, N. CA, IN, KS, MI, MO, NE, NM, NV, ROCKIES, E. CANADA. Email: sales@furnitureclassicsltd.com www.furnitureclassicsltd.com
Ads4sandow.com Broad River Furniture, the 4th fastest growing Top 100 company, is hiring these leadership positions in Charlotte, North Carolina: Regional Manager to oversee our Ashley Furniture HomeStores, and General Manager for our innovative and stylish brand, Savvy Spaces! Check out our job description and apply online TODAY at: www.BroadRiverFurniture.com/careers
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www.decor-rest.com A leading Canadian upholstery manufacturer seeks Sales Professionals for New York, New Jersey, New England, Minnesota, Iowa. Candidates must have an upholstery background and proven sales training skills. Please email resume to: ron@decor-rest.com Taiwan Textile Federation The largest textile trade organization in Taiwan, dedicated to the development and improvement of Taiwanese fabrics for export seeks agent representation across the USA and Canada to represent lines of upholstery fabric and curtain poles accessories. Must be established and have a track record of success. Please send cover letter and resume to fabricinternational@gmail.com Sponsoring authority Organizer
Leading Accents company has opportunities for motivated, results-driven sales representatives nationwide. Experienced professionals only. Please submit resume and letter outlining your record of success to Attn: BB177 to classifieds@sandowmedia.com Key Positions Available with Chicagoland Home Furnishings Importer Chicagoland area home furnishings importer experiencing rapid growth will add key positions during the fourth-quarter: Inside Sales Manager; Account Manager; Sales & Merchandising Manager. These positions will be based in Wheeling, IL and will support our current growth trends. Detailed position descriptions will be provided to qualified applicants followed by an interviewing process if applicable. Please submit resumes to: careerfurniture@gmail.com Successful leading contemporary full line furniture mfr seeks experienced sales reps for select U.S. territories. Must have strong relationships with contemporary and transitional furniture stores. Email resume to: modernfurniture@outlook.com
LEATHER CREATIONS High end leather furniture manufacturer seeks USA regional sales reps. Made in USA, 4 week shipping, no internet cross shopping, dealer exclusivity available. ddelor@leathercreations.net
BUTLER SPECIALTY CO. seeks professional representation for our West Texas /New Mexico Territory. Please send resume to dsumner@butlerspecialty.net Or call Dan Sumner at (800) 799-2857 x 131
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Well established chain of furniture stores is now hiring an ASSISTANT MANAGER/SALES MANAGER to lead a staff of 10 sales people for its Elizabethtown, Kentucky store. Must have experience in sales management and a proven track record of personal furniture sales. Must be willing to relocate. Great compensation package including: salary, commission, bonuses, 401K, profit sharing, medical and dental. Send resume to: anitashawver@aol.com
Managers Wanted Established 60 year Furniture, Mattress, Appliance and Electronics Store in Eastern NC seeks Sales Managers. Experience Required. Call: Lance Popkin 910-233-6230 or email: atruell@furniture-fair.net
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HELP WANTED Major Importer/Distributor of Home Furnishings seeking Product Development Manager. Duties include product development for casegoods and upholstery/motion, from research and design to final production. Managing existing product lines, changes, quality, sales tracking, etc. Extensive domestic and overseas travel. Please send resumes Attn: BB180 to classifieds @sandowmedia.com S u c c e s s
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Earnings per share are fully diluted, and all figures in parentheses are losses or declines.
Industry Numbers
Posturepedic Optimum debut sends Sealy sales up 9.4% By Larry Thomas ARCHDALE, N.C. — Driven by the launch of its Posturepedic Optimum specialty bedding line, Sealy’s third quarter sales jumped 9.4%, the company reported. The company, which also announced Thursday it had agreed to be acquired by rival TempurPedic, said its sales growth in the U.S. was especially strong at $286.2 million, an 11.2% increase over last year’s third quarter. Sealy said its average unit
selling price in the U.S. rose 7.6%, while wholesale unit volume was up 2.7%. The jump in the average unit selling price was aided by the success of the Optimum line and the Next Generation Stearns & Foster line, which was unveiled earlier this year. Worldwide sales for the quarter ended Aug. 26 totaled $365.4 million, up from $334.1 million in the same quarter last year. The company recorded a net loss of $106,000 for the quarter due largely to increased expenses related to the Optimum product
launch. Those costs included $6.6 million for national advertising, the company said. In last year’s third fiscal quarter, the Sealy had net income of $6.6 million or 4 cents per share. For the nine months ended Aug. 26, worldwide sales increased 3% to $989.8 million. Nine-month net income totaled $2.81 million or 2 cents per share. That was down from $5.32 million or 7 cents per share in the first nine months of the previous fiscal year.
Consumer Confidence up 9 points in Sept. NEW YORK— Consumer confidence rebounded in September as the widely watched Consumer Confidence Index increased to 70.3. The September reading was the highest since February, when it hit 71.6, and was nine points ahead of the August reading of 61.3 (1985=100). “Consumers were more positive in their assessment of current conditions, in particular the job market, and considerably more optimistic about the short-term outlook for business conditions, employment and their financial situation,” said Lynn Franco, director of economic indicators at The Conference Board, which publishes the monthly index. The Conference Board said
the latest survey also showed an improvement in consumers’ appraisal of current conditions. Those claiming business conditions are “good” edged up to 15.5% from 15.3% in August, while those describing business conditions as “bad” declined to 33.3% from 34.3%. The survey also showed that consumers’ assessment of the labor market was more upbeat. Those describing jobs as “plentiful” rose to 8.3% from 7.2% in August, while those claiming jobs are “hard to get” slipped to 39.9% from 40.6%. Those expecting business conditions to improve over the next six months increased to 18.2% from 16.7% in August, while those predict-
X Bassett
open market independent retailers contributed to the 8.5% consolidated revenue growth that the company generated during the period.” Sales in the wholesale segment were up 6.9% to $44.8 million, while sales at company-owned stores totaled $41.2 million. That was a 22.5% increase from $33.6 million in the same quarter last year. Bassett ended the quarter with 51 company-owned stores and 35 owned by licensees. Spilman said he’s optimistic about the fourth quarter as the company’s HGTV Home branded furniture line begins
from p1 Net income, including a $1.9 million federal tax refund, totaled $2.37 million or 21 cents per share. In the same quarter last year, net income was $417,000 or 4 cents per share. “The achievement of solid growth in both our wholesale and retail segments in our fiscal third quarter was encouraging,” said Rob Spilman, president and CEO. “New product introductions, comparable corporate retail sales gains, and greater penetration with
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Sealy
ing business conditions will get worse fell to 13.8% from 17.6%.
Quarter ended 8/26 Sales Operating income Net income Earnings per share 9 months ended 8/26 Sales Operating income Net income Earnings per share
2012 $365,434,000 27,573,000 (106,000) 0.00 2012 $989,755,000 70,346,000 2,808,000 0.02
2011 $334,067,000 32,873,000 6,598,000 0.04 2011 $960,892,000 65,270,000 5,319,000 0.07
Change 9.4% (16.1%) — — Change 3.0% 7.8% (47.2%) (71.4%)
Furniture Brands secures $250 million credit facility ST. LOUIS — Furniture Brands International said it has closed on a new five-year secured credit facility with a $200 million asset-based loan and a $50 million secured term loan. GE Capital, Bank of America, and Wells Fargo provided the majority of the facility. The loan contains a provision that allows it to expand by up to $50 million. Both the asset-based and the term loan have a maturity date of September 2017 and do not have any principal amortization. “These facilities will allow our company to continue our
future growth and execute on initiatives that will improve our competitiveness and financial performance,” CEO Ralph Scozzafava said in a press release. The facilities repay the amounts outstanding under the existing asset-based loan, and after closing costs, result in over $90 million of excess borrowing availability, the release said. The company’s old credit agreement was an asset-based revolving facility provided with a commitment of $250 million and had a maturity date of April 27, 2016.
RH says IPO will raise as much as $150M C O RT E M A D E R A , C a l i f . — RH, formerly Restoration Hardware, filed a Securities & Exchange Commission document last week that shows it expects to raise a maximum of $150 million through its initial public stock offering later this year. The stock will be listed on the New York Stock Exchange with the ticker RH. The document also confirmed earlier news reports highlighting the circumstances leading to Gar y Friedman, former chairman and co-CEO, stepping down to hit the sales floors of independent retailers. The design centers inside the Bassett Home Furnishings retail stores already have been co-branded with HGTV, he pointed out. “As we move into what has generally been a stronger selling season for our industry, we believe this partnership will drive additional sales,” said Spilman. For the nine months ended Aug. 25, sales totaled $192.9 million, an increase of 1.5% from $189.9 million in the first nine months of the previous fiscal year. Nine-month net income totaled $9.82 million or 82 cents
from the top posts at the company. Friedman resigned following an investigation by a special board committee that was “prompted by disclosure that Mr. Friedman and a company employee were engaged in a personal relationship, described by the parties as consensual,” the report said. It said investigation concluded Friedman engaged in activities “inconsistent” with the board’s “expectations for executive conduct” and failed to comply with certain com-
pany policies. Friedman became chairman and CEO of Hierarchy, a company that will develop lines including apparel, accessories, footwear and jewelry. RH will have exclusive rights to acquire the new businesses “when they reach an appropriate level of maturity and profitability,” it added. Carlos Alberini, co-CEO of Restoration, became sole CEO, while Friedman will continue to be involved in an advisory role and with the honorary title of chairman emeritus.
Bassett Furniture Inds. Owns Bassett Glass, Bassett Motion and Bassett Supply
Earnings per share are fully diluted, and all figures in parentheses are losses or declines.
Quarter ended 8/25 Sales Operating income Net income (a) Earnings per share 9 months ended 8/25 Sales Operating income Net income (a) Earnings per share
2012 $64,438,000 927,000 2,371,000 0.21 2012 $192,860,000 4,051,000 9,817,000 0.87
2011 $59,417,000 (16,000) 417,000 0.04 2011 $189,942,000 3,643,000 54,709,000 4.72
Change 8.5% — 468.6% 425.0% Change 1.5% 11.2% (82.1%) (81.6%)
(a) Includes income tax benefit of $1.9 million in the 2012 quarter, $342,000 in the 2011 quarter and $481,000 in the 2012 nine months, and income tax expense of $3.6 million in the 2011 nine months. The 2011 nine months also included an $85.5 million pretax gain on the sale of the company’s stake in the International Home Furnishings Center.
per share. In the first nine months of the previous year, net income was $54.7 million or $4.72 per share. That figure
included a gain of more than $85 million on the sale of Bassett’s stake in the International Home Furnishings Center.
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