Clinton, S.C.—Nearly four years ago, Anderson Hardwood Floors began a long-term strategy to become a major force in the wood flooring category. At Surfaces ’06, the company will unveil more than just new products and designs as it enters the next phase of its initiative. “We have a plan, we know where we’re going and how to get there,” said Mike Beavers, newly appointed senior vice president of marketing and merchandising (see related story on page 29). “We have an owner who is willing to invest when and where it’s needed to ensure our success.”

It began by first building relationships with the industry’s top distributors. With wholesalers such as Hoboken Floors, Herregan Distributors, Tom Duffy Co. and others, he said that part is in place.

Anderson then put its emphasis on creating a merchandising system that would help build its brand at retail. The result was its award winning Profitmaker Flooring Showcase, which allowed the mill to connect with dealers who “saw how it worked,” Beavers said. “It attracted consumers and gave salespeople an opportunity to sell up.

“Now,” he explained, “we are ready to take the next step—creating a brand name consumers recognize and trust. If we are to survive over the next five years it will be on brand; we don’t want Anderson to be just another wood company.”

To understand the importance of having a brand, Beavers said the mill looked at other industries and who survived, “and it’s the companies with the brands—people trust them. “The fact is,” he added, “this is a global market and the most valuable thing you can have is a brand name.”

With that, Anderson’s 2006 consumer advertising campaign is targeted to build on the success of last year’s initiative, which saw the company’s name not only in print but as a sponsor of a number of TV programs dedicated to home decorating. “Our print budget is almost twice as big as last year,” Beavers noted.

Plus, research conducted by the company indicates the male may play a larger role in the decision-making process, especially among the younger generation. “It may be more of a joint decision,” he said. So, Anderson will be running ads on “This Old House” which has a 50/50 male/female audience. “We’re placing our ads where we can get the most bang for the buck, including special projects such as ‘idea houses’ that many of the shelter magazines put together.”
While Anderson is committed to building a brand, it continues to invest in product development. Last year, it opened an office in Shanghai, China, and began production using its own milling and finishing technology.

The results will be seen in 29 products coming from this operation along with the creation of a new brand—Anderson Pacific.

“Our theme this year is, ‘Anderson brings you the world,’” Beavers said, “and this reflects in a commitment to be a major contributor to the growing exotic market segment.” With the 29 new products being introduced, the company now has more than 40 exotic choices.

In addition to more exotics, Beavers said a number of new offerings this year are the direct result “of our concept products shown at last year’s Surfaces and voted on by the retail visitors.” Three products made the cut: Boardwalk and Barnacle Board in the Anderson Coastal Collection and Dominion Pine in its Virginia Vintage line. The Medallion Collection, which was also previewed last year, will be officially launched with 10 products. Created to fit with a multitude of Anderson floors with no special cutting or routing, the line is designed to give retailers looking for additional sales a lower-cost solution.

Finally, because of the success of its Flooring Showcase display, Anderson is offering two compact versions specifically designed for its Anderson and Appalachian branded products. “It takes about half the space as the original,” Beavers said, “and is perfect for dealers who are strapped for space.
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For Surfaces ’06 Anderson has created a two-story, 8,400-sq.-ft. exhibit booth—nearly twice the size of its 2005 space—to showcase its latest products, displays and marketing programs. In addition, retailers can visit the exclusive “Club Next” on the second floor to see and vote on future products the company is developing.

To learn more, stop by Anderson’s booth 3038, or call 864/833-6250.
—Kathlene Vercellino