Article Number : 6029 |
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| Date | 10/14/2010 9:38:03 AM |
| Written By | LGM & Associates Technical Flooring Services |
| View this article at: | //floorbiz.com/BizResources/NPViewArticle.asp?ArticleID=6029 |
| Abstract | By Emily Hooper With the sales year nearing a close, retailers across the U.S. are preparing to stock for 2011. While product sales varied from state to state, almost every dealer reported the greatest numbers occurring in the middle to upper price range across all categories, with very few... |
| Article | By Emily Hooper With the sales year nearing a close, retailers across the U.S. are preparing to stock for 2011. While product sales varied from state to state, almost every dealer reported the greatest numbers occurring in the middle to upper price range across all categories, with very few customers seeking the lowest priced, bottom-of-the-rung goods. Shoppers looking for the bare minimum at the lowest cost do not typically visit specialty retail stores that specialize in product selection and service. “Those buyers go to the big boxes for lower price but they are really not saving anything,” observed Gary Lawrence, president of Mainline Supply in Binghamton, N.Y. “They are going to have more problems down the road.” Consumers in the Northeast are looking for a product that will not only add lasting beauty to the home, it must also add value. With the housing crisis affecting existing home sales the most in the Northeast, homes need to be improved with a better looking, more reliable product. Generally across the Northeastern states, carpet remains the biggest seller. In fact, almost every dealer with whom FCNews spoke cited carpet as the hottest product, taking anywhere from 30% to 50% of a given store’s sales. Carpet took 48% of sales at Ideal Flooring in Falmouth, Mass., according to Mark Woods, president and CEO. “Consumers are big on warranty and stain resistance and nylons are doing great because of that [stain resistance],” he explained, adding that Anso is doing exceptionally well. A trend within carpet, unique to the category, that has buyer interest piqued is softness (FCNews, Aug. 2/9). “Soft, soft, soft,” said Karen Cook, co-owner of Cook & Kozlak Flooring Center in Canton, Conn. “Customers want to touch it and it has to be soft.” She reasoned a change back to a preference in her store for cut pile was a result of the need for touchable softness with trackless characteristics. Nylon carpet is also a big seller further south in Westbury, N.Y. Wendy Fried of G. Fried Design Center cited soft surface taking the major share of sales in continuous filament textures with a few LCLs. “Shags are really coming into play,” she said. “The Northeast is finally getting used to shags with colors.” While shag fills the niche for soft flooring, it can be a daring buy for today’s conservative buyers, so many are opting for the safer route and buying shags in area rugs. “On more of the contemporary side, the shags are taking off and people seem to be liking viscose, shiny textured, more stringy than broadloom,” she said. “Area rugs make more of a striking impact.” In fact, area rugs are making somewhat of a comeback in the region, particularly at Messner Carpeting in Rochester, N.Y. As a Karastan dealer, the store has consistently carried a selection of area rugs, but consumers aren’t buying the way they used to, said Peter Messner. “The marketplace likes 6 x 9 rugs under $600, so two years ago we started playing around with the category. The new products have been a home run and running with the new price range of products, we can buy aggressively from our regular suppliers like Nourison, Karastan and Kaleen.” Hardwood was commonly the second best-seller among those surveyed in the Northeast, though it ran first in certain cities. Mainline Supply sells more hardwood than anything else, particularly in exotics like Brazilian teak and tigerwood, said Lawrence. His customers don’t seem concerned with the environmental issues associated with imported wood and instead choose them for durability and hardness. “We get our runs with oak but everyone is concerned with indentations, so they think harder woods will improve that. What they don’t realize is that a finish is a finish, and it will scratch.” He said most installations in his market today are homes done entirely in hardwood, with ceramic bathrooms. “Wood seems to be hot product [here] right now.” The New Jersey market is also doing well with hardwood. World Wide Wholesale in Edison, sells a lot of exotics like Brazilian cherry, tigerwood and cumaru in both solid and engineered at about a 50/50 mix, said Darren Braunstein. “In New Jersey, we sell a lot of traditional, oak engineered products in smooth, as well as handscraped, but it is not the majority.” He added that customers haven’t been asking for certifications and proof of responsible sourcing and production. Interest in green products and certifications is more prevalent into the north. There has been greater buyer enthusiasm about bamboo and cork at Cook & Kozlak, “but people make the decision at the last minute to stick with traditional wood,” Cook said. “They’re worried about bamboo affecting the value of the home when it sells and that it won’t look like other houses in the area, though it’s nice to have people interested.” Her customers are interested in authenticity and have taken to the engineered, character woods, particularly from Mirage, Armstrong and Homerwood. “People in this area immediately ask for ‘real wood’, and I have a myth to dispel, that engineered isn’t real wood,” she said. “End users are becoming more aware of this and for the wider widths and character looks, those are more available in engineered [constructions].” Ideal flooring has also seen an uptick in engineered hardwood sales, bringing its share up to around 23%. “New England has always been solid strip but we are seeing a move toward engineered as they become more authentic looking,” Woods explained. “It’s been easier to convince the contractor that the product will perform better to withstand nicks and scrapes, and the consumer is more educated now, too.” He cited HGTV’s Green Home as an example of how mills are using the media to educate buyers about product properties (FCNews, July 5/12). Though handscraped, distressed products are relatively new products from the mills, they are performing well and word of mouth is traveling. Parts of the Northeast strongly experiencing the effects of the soft economy have moved buyers to be a bit more conservative, and hardwood reflects that. Airbase Carpet & Tile Mart sells more of the traditional hardwood in solid oak. “We show the other styles but we sell the beige of the wood business,” said Michael Longwill, president. “People are staying with what they know.” Even its second-strongest hard surface segment is sticking to traditions in wood look-laminates. “Embossed in register and exotics with exciting new attributes are being shown but people are staying traditional,” he said. “We thought laminate would start to sell with the beveled edges, but it is back to the basics.” Resilient sales Most retailers cited lowered laminate sales than in prior years, mainly due to the rising popularity of LVT. Economic timing and improved product attributes were cited at Florhaus in Leola, Pa. “The big problem with laminate is moisture and LVT provides assurance against moisture that laminate can’t provide,” said Amos Stolzfaus. Some of his other ideas for LVT’s success included great visuals. “Products like DuraCeramic and Alterna look and feel three dimensional. Like ceramic, you can actually feel the grout join,” he said, adding that customers are also requesting Konecto’s floating floor systems. Education was a big part of the LVT excitement, not only for consumers but of the staff. “If our salesperson is psyched abut the product it will be the first that he shows the customer, so we will have more success in selling it.” Stolzfaus has seen a gain in salespeople going back to asking for the needs and requests of the customer and better matching those with appropriate products. His said his staff is revved up for the market release of Mannington’s new LockSolid. Luxury vinyl planks have gained popularity in Severna Park, Md., at Family Floors, especially in the wood look. “Many people would put engineered [hardwood] floors on their lower levels but because of the recession they’re using the wood look in vinyl,” said Mitchell Norin, sales manager. “The planks look better than sheet goods plus they’re tougher and stronger. In fact, I just put it in my son’s basement.” Products of particular profit at his store include Konecto and Armstrong’s Luxe Plank. Sheet vinyl still has a strong place in the mid- Atlantic, as does ceramic tile. Commonly installed in place of the original counterparts, sheet and ceramic tile are easier to install and maintain, and have improved with much more realism in visuals, said Norin, citing American Olean and Marazzi as his top suppliers. Florhaus specializes in tile and Stolzfaus believes that is a requirement to sell a lot of it. “You have to have someone on staff who is creative and can present ideas and designs for the consumer because that is one place where 90% of consumers will get confused with all the choices,” he said. “The success of tile is having someone on staff who can put it together in color and design.” |