Atlanta—While the Southeast continued to shake off the ravages of Hurricane Katrina along the Gulf Coast and many in the private sector worried about rising petroleum and natural gas prices, the winter edition of the Atlanta International Area Rug Market exuded an air of success and optimism.

In an almost post-depression glee, many vendors at the four-day event said they had plenty to smile about, claiming it was the best show in years. “Happy Days Are Here Again,” could have been the theme song for the show.

“This has been one of our best shows ever,” said Anne Carley, marketing director for Karastan’s rug division. “Our traffic was enormous and we are really optimistic about the rest of the year.”

Chas Sydney, senior vice president of floor coverings and vice president of new business development for Americasmart, which hosts the market, said he heard similar comments from many vendors. “I think it’s probably our best show in five or six years. We had 200 vendors and they seem happy with the results.”

Last year’s January market was somewhat hampered by a winter storm in the Northeast that sent many buyers scrambling home early to avoid having to sleep at the local airport. The weather kept out of the picture this year, and a wavering economy across the U.S. may have actually helped the show succeed in a backhanded way. “I think there has been a lot of pent-up demand. Inventories have been low and now they’re coming back to restock,” he said.

It’s been said that luck occurs when preparation meets opportunity. Sydney thinks the opportunity will only broaden when the Gulf Coast areas begin to rebuild. “We lost a lot of our market because of Katrina, but it bodes well for the future because as the building moves forward, they will have to restock.”

And while many Americans were recovering from sticker shock after getting their first or second winter heating bills, those at the rug market appeared to be unconcerned about that phenomenon or the bouncing prices of petroleum.
“I don’t know if you can see any link between gas prices and rug sales,” said John Shepherd, CEO of 828 International Trading Co., which boasts “Beautifully Affordable Rugs” in its slogan. “I know that no one’s been crying about the cost of manufacturing heat-set poly rugs. Prices have re-mained pretty standard.”

He said traffic was very good and price seemed to be no object for many. The company’s Latitudes collection was selling very well. The all-wool rug that sports a mosaic, linear pattern is hand loomed in India and comes in five sizes with a retail price of $1,299 for a 5X8-ft. “I think they like the look. The colors blend very nicely together and it is easy to mix and match.” Other similar contemporary and transitional offerings were also popular at the show, vendors said.

Karastan introduced a five-rug collection under its Artworks brand, largely a combination of wool and viscose contrasting lower areas of loop and pile and higher sheared pile. The handcrafted artful motifs sport a dynamic color palette with shiny highlights. All come in five sizes with a retail price of $499 for a 5X8-ft.

The company also released Persian Tapestry and Bidjar under its Original Karastan line, more traditional offerings in classic wool styles. The estimated price of a 5X8-ft. is $1,199. Carley said sales of that line were especially strong. “I’d say it’s been a 12 out of a possible 10.”

Feizy Rugs also blended the traditional with the contemporary. New to the show were the Alexandra, Gazebo, Amazon and Kaitlyn lines in the Feizy Home Collections.

Ray Hashemi, vice president of sales in Division 2 for the Dallas-based company, said Amazon was one of the hottest sellers during the show and noted foot traffic was great during the market and he had his best show in the past few years.

As usual, Shaw Living offered a gamut of new designs and colors in traditional, contemporary and transitional flavors, but perhaps its brassiest was its first indoor/outdoor line, Terrace.

Terrace comes in four designs, Garden District, Laurel, Laguna and Ansley. Its color palette relies on wheat, espresso, red and black to compliment the latest trends in patio furniture. Laurel features classical trellis designs, Laguna sports a geometric look while Ansley comes with a contemporary block design. The rugs are made from solution-dyed olefin and are mold and stain resistant. They retail for $69.99 in a 5X8-ft.

In more traditional motifs, Shaw’s new Century Collection offers 22 designs in soft, modern yarns. The new color palette runs from reds
to soft greens to vintage blue, all paired with onyx and beige.

The designs include Lenox, Sheridan, Beaumont, Danforth and Lancaster. Lenox features oversized palmettes against an open background. Both Sheridan and Beaumont draw on Persian floral designs, but the latter has a slightly more modern look. Danforth relies on the popular onion panel design while Lancaster boasts an 18th century me-dallion design. The suggested retail price for a 5X8-ft. is $379. It is all machine woven olefin.

Shaw also added seven designs in its Kathy Ireland collection and 18 in its Tommy Bahama grouping.

Rob Beistline, market manager for Milliken Carpet, said he thinks higher costs may have had a slight ripple on the area rug market. “Well, first gasoline prices went up and people were just getting used to it, and then they got their first gas bill when cold weather hit, so they sort of had a little sticker shock.”

Despite that, he said the market was a strong one for Milliken. “We had some great days; people were here and they were buying.” The company’s Modern Times collection features eight new designs on a high-twist frieze base. The collection is “both casual in design and rich in texture, with modern, stripes and attractive graduated color block motifs.” The 5X8-ft. retails for $199.

Milliken also unveiled five designs in its braided rug line. They feature oak leaves and floral twist inset borders. The rugs, previously only available in five sizes, now come in nine sizes—four ovals, three rectangles and a runner—with the 5X8-ft. retailing for $269. “With Mulberry Grove we are responding to retailers’ requests for high style at a lower price point,” said Beistline. A 5X8-ft. retails for $99.

David Moyer, sales and product manager for Mohawk, took a rather stoic approach to the rising energy costs. “That’s just the part of doing business.”

The key is to know your customers and watch inventory. “We can ship as good or better as a Domino’s,” Moyer said. He still maintains many of the designs in today’s rug market are driven by television-based home decorating shows, that urge people to quickly mix and match. “Today’s consumer is getting style, quality and value that is directly related to modern technology and trends. These continue to change at a record pace.”

Among new additions unveiled by Mohawk were new styles in its popular Decorator’s Choice collection—Fandango and Jazz.

Fandango incorporates squares, stripes and swirls into an earthy palette of red, browns and okras. Jazz, offers either a solid black or tan center, also features a wider border with designs similar in the Fandango pattern. The rugs retail for $299 for a 5X8-ft. - Joe Fondetti