Atlanta—Expansion echoed at the recent winter International Area Rug Market at AmericasMart here, as exhibitors rolled out an ample offering of new and updated products in defiance to a down economy.

Chas Sydney, senior vice president of new business development for AmericasMart, called the market a success in spite of the current housing situation. “Traffic was probably equal to last year, but under the circumstances that’s a great win. And, the [exhibitors] that did their homework, had more product and did great business.”

Company executives agreed, with the overriding notion being now, more than ever, is the time to develop and introduce products. Reza Momeni, president of Momeni, said, “In a slow market, you need to be more aggressive; always look for an edge.” He also encouraged dealers to visit the annual rug market to prepare for the year ahead “and not miss out.”

Furthermore, AmericasMart enhanced attendees’ market experiences, providing a variety of educational seminars, the Shaw Innovations convention and the America’s Magnificent Carpets Awards. “Dealers come to buy, but also to learn. This is the best education a retailer can get, and it’s free,” Sydney explained.

He also commented on overlapping events with Shaw Industries, pointing out everyone benefited from the simultaneous shows. “Timing and opportunity is everything. Retailers have asked for such a conjunction in the past, and Shaw loved the idea. It allows dealers to knock out numerous markets in one shot.” Sydney said AmericasMart is looking to expand on this notion.

On the topic of growth, AmericasMart will be expanding and restructuring next January. “This construction is a great thing for us,” Sydney said. “It allows us to reshuffle product categories in our complex to make the shopping experience easier for attendees.”

Trends and offerings

Trends resembled those of the last July market with some updated angles. Again featuring rich earth tones, focus shifted to yellow, red and green hues, which were used to enhance visual texture—a hot commodity in ’08. The blue-and-brown and black-and-white story also kept kicking, as well as an enticing amount of animal skin prints. Transitional looks again stole the style spotlight, though the term was used loosely as traditional and modern offerings were plentiful.

One of Shaw Living’s largest introductions was a marketing program linked to its Tommy Bahama line, which added 56 designs. “Tommy tried to broaden his style offerings, moving away from the coastal brand into transitional and traditional looks,” said Kim Barta, brand manager, who noted this is currently Shaw’s best line.

The company introduced a new shag product as well—Pure—made of its EverTouch nylon and treated with its R2X stain protectant. It also updated several of its current offerings including: mary-kateandashley, Kathy Ireland and Antiquities. Barta noted, “Our designers do a great job fitting color and design with what the market is calling for. Transitionals are still very popular as well as earth tones with a splash of more dominant color. These fit the bill.”

Tim Donahue, national sales manager of residential carpet/rugs for Milliken, was excited by the company’s Lake District Ensemble collection. “As its name implies, the line follows an ensemble concept, going after different rooms in the same house.” Offered in a cut pile and faux hook construction, Lake District meshes transitional looks with vertical stripes. “There is a big trend in layers—texture—and dimensional patterns. Retailers are gravitating to the cut pile rugs but like the option of loop construction.”

Themed rugs—featuring game motifs like golf, cards and pool balls—were another Milliken introduction. And, after the success of its NCAA-licensed college collection, the company introduced NFL, MLB, NBA and NHL offerings, which were another dealer favorite according to Thompson. “When things are bad, people rely on sports to escape. It gives them something to hang their hat on.”

Again focused on texture, Karastan launched its Villa Veneto line in the Antique Legends Collection. The top-of-the-line rug, to be featured in the company’s spring national ad campaign with renowned actress Kelly Preston, replicates the look of an old, worn rug—all done with color. “We use the crosshatch technique and numerous shades and colors to achieve the look,” said Anne Carley, director of rug marketing.

Karastan also launched Mandara from its Shapura collection, which features new neutrals such as putty with limestone and brick highlights. Carley said this rug appeals mostly to the higher-end buyers; a more sophisticated crowd.

And, in line with the upcoming summer Olympics, Karastan expanded its English Manor collection to incorporate the “fine Asian art and culture that’s coming into its own,” Carley explained.

Another leader in style, Amici introduced several fashion-forward pieces this market. Its newest introduction—which did not have a name yet at market—is a broadloom roll program. Offering 75 to 80 SKUs in both hand-tufted wool and acrylic and machine-loomed wool, Chuck Cashin, executive vice president of marketing and sales, said the company is very excited by this new venture. “We don’t want to be everything to everyone, but there is a lot of possibility for us in the broadloom arena. We’re currently experimenting with new technology to produce some great designs.”

Amici also added 66 SKUs to its ever-popular Ponte Vecchio collection, always playing off of new colors and designs. “We’re driven a lot by the European apparel world,” said Eva Di Adamo, executive vice president of merchandising and design. “This January we’re introducing a variety of greens with mustard tones, and of course we always play with texture.”

Patrick Muschamp, vice president of sales for Nourison, said the company focused on a plethora of product from high-end to entry-level introductions. “We’re looking for value-driven products that will create a sense of worth to customers.” On that note, Nourison added to its Nourison 2000 and 3000 collections, zeroing in on more relaxed, transitional offerings in earth tones with brighter highlights. “The new styles and colors swing the collection from the standard market,” he explained.

Nourison also updated its Heritage Hall, Jaipur, Liz Claiborne, Silk Pointe and Calvin Klein collections. “We’re staying optimistic. This is a big market to let people see introductions to plan for the future, and they are placing orders.”

Retailers respond

Dealers at the show said exhibitors seemed to be on par this market keeping introductions heavy and attitudes toward to the future light. “The Atlanta market always brings out a lot of innovative products—both in color and design—and this one was no different,” said Rakesh Agarwal, CEO of Rug and Home. The exhibitors really put their best foot forward, he noted. “My expectations were met in every area—price, design, variety and more. Anyone who doesn’t come is losing out big time.”

Sam Presnell, owner of The Rug Gallery, said though he came with no expectations, the high-quality, cost-efficient, variety of product at every vendor was a pleasant surprise. He advised, “It’s important to attend the market even if the money is not there. When times get tough, I’m getting tougher. You have to have new product on your floor to talk about with consumers.”

Bill Martin, executive vice president, chief marketing officer of Rugs Direct, an online retailer, said, “The major companies were in attendance, and that’s where most of the rug business is today.” However, he encouraged visiting markets as it allows to you see what’s new as well as network—“learn from your industry.”

Gary Cissell, director of flooring for Nebraska Furniture Mart, said the market was good in retrospect. “The intros and variety has been great! We’re trying to continue offering increased value to our customer and promote in tough times.” He also noted people were staying optimistic, which shows in the amount of introductions and the fact people are still buying. “I think 2008 will end up being an OK year.”