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Rug
Suppliers Look to Retailers to Spruce up Assortments
Home Textiles Today Staff -- Home Textiles
Today, 7/15/2011 4:15:37 AM
Jaipur
Rugs evokes the Catalonian countryside with its new
collection of indoor outdoor rugs, Barcelona. Hand-Hooked of
100% polypropylene.
ATLANTA - The summer always
promises sunshine, warmth, and some rest and relaxation, and
area rug companies are hoping this year it will also
generate new business.
While the July version of the biannual Atlanta International
Area Rug Market is typically slower in retailer attendance
compared to the January show, exhibiting area rug
manufacturers and importers are cautiously hopeful that
trend will shift.
They argue that while the still-sluggish economy, housing
market and unemployment continue to affect business, these
conditions potentially pose an opportunity for retailers to
expand their soft flooring assortments and stir sales.
"Although it's usually a slower market for us in terms of
traffic, the Atlanta July market looks to be very productive
this year with several key customer meetings scheduled
throughout the week," said Jason Moody, creative director of
Jaipur Rugs. "It's also an important opportunity for us to
reconnect with our national sales team, providing training
on new sales programs and product introductions."
Conscious that price "continues to play a large role with
several of our buyers," Moody added, Jaipur "continues to
respond to this trend with several new, fashion-forward
collection introductions offered at popular price points."
These include synthetic indoor/outdoor varieties that speak
to two trends: shoppers' orientation toward value-priced
goods and at-home entertainment as an economical alternative
to dining out.
"The outdoor/indoor category is so important right now, and
for it we are showing pillows, rugs and mats - products with
very wide appeal," noted designer Liora Manne, who is
launching several new collections with longtime partner
Trans-Ocean.
"We are excited," she went on. "We are expecting lots of
walk-in traffic and new customers. Price is important,
however, our product is fashion, and retailers are coming to
us for the bright colors and the uplifting designs."
Linon also has a heftier appointment list for market than it
had a year ago, said Steve Mazarakis, who heads the
company's rug business.
"A lot of key players will be attending, and many of the
smaller accounts will be coming as well," he said. "The
majority will be still looking for price and value and they
will be trying to get the best look for their dollar."
But Mazarakis believes that as long as the housing market
continues to be slow, "so will be the home furnishing
business as we know it. Where there was once a large market
for mid-price- level products, it seems it is now [focused
on] high-end for the rich and [lower-end] affordable for
everyone else."
Capel Rugs holds a contrary view.
"Definitely our mid- to high-end collections are what are
selling best, and that is where buyers will be looking,"
observed Allen Robertson, vp of sales. "We have really
strengthened our collections that retail from $999 to $1,499
in the 8- by-11 size, and these represent areas that we have
always been successful."
Robertson said this is the result of an improving economy.
"My instinct is that we have weathered the worst of the
financial storm. The customers that usually come [to market]
will be here ... I feel certain that we will write more
business than we did last. Several dealers have shared with
us that store traffic is increasing and many need to buy new
fresh rugs."
Capel is presenting 75 new rugs, "with much emphasis on new
creative transitional and soft contemporary designs,"
Robertson added.
Natco/Central Oriental is also seeing a slight shift in
retailers' attention on price, said Jim Thompson, vp of
sales and marketing.
"At the past few markets all of the action has been in the
lower opening price points with retailers looking to add
value priced rugs to their assortments," he said. "But I am
finally hearing that there is a need for better rugs with
slightly higher retails."
He added: "I do not foresee a dramatic up-swing in retail
prices, but at least they are going in the right direction
... It is still a matter of quality over quantity, and if
vendors make their appointments the buyers who do attend are
likely to buy. The retailers who attend the summer markets
are driving the rug business in their market place and
despite tough economic conditions are selling rugs and,
hopefully, buying rugs for the upcoming fall selling season.
From a product standpoint I expect to see retails creep up,
which is good news."
Anticipating the typical summer traffic is Joyce Lowe,
Nourison's national sales director, rugs.
"We expect our business to be steady. The summer markets are
always slower we do not expect to write more than we did
last summer," she said, adding that the company's
appointment book for this market is "slightly lower" versus
last summer.
Lowe expects buyers to be focusing on "replacing their best
selling styles as well as making a few collections to punch
up their assortment."
Less optimistic is John Shepherd, president of 828
International Rug Co.
"To be very honest, my expectations are low," he warned.
"Hopefully, the buyers that show up will buy. [Our]
appointment book is about the same [as last summer's], but I
hope we get more between now and market."
Price continues to be "on everybody's mind," Shepherd
continued. "The retailers are not getting traffic. And those
[shoppers] who do come in are very price conscience."
Safavieh is bent on turning "lemons into lemonade" in light
of the dampened economy; company principal Arash Yaraghi
said the company is "doing whatever we can to create new
product that will drive consumers into stores."
Based on the product previews it has given some retail
customers, "we feel that we will see positive growth in all
categories from hand-knotted to hand-tufted and machine-made
rugs."
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