MSE readies RTA furniture rollout

DSN Retailing Today, March 28, 2005 by Mike Duff

The media frenzy surrounding Martha Stewart bloomed in the days after her release from federal prison, and the timing couldn't be better for Martha Stewart Everyday's ready-to-assemble furniture launch. The positive press should boost the prospects for the RTA line which Kmart will begin rolling out in late April with complete stock-up in May, said spokesman Stephen Pagnani.

Sears Canada will watch developments as it decides about a launch, said spokesman Vincent Power. Sears Canada must consider if the line works for it, whether and how to integrate the line into its relatively upscale broadline stores or whether to introduce it into the company's dedicated furniture outlets.

"We're are probably going to look at it later this year," Power said.

Although some have questioned MSE viability in the wake of studies saying consumers were concerned by Martha Stewart's legal troubles, Power said that Canadian consumers, like their American counterparts, make a distinction between the personality and the product.

"One of the things we found is that the customer is able to separate Martha products from any legal issues she had. The customer likes the level of taste and design of the products," Power said.

Wall Street, on the other hand, was not as forgiving. As Martha tearfully reacquainted herself with the company's New York staff, an analyst called Martha Stewart Living Omni-media shares overpriced and investors bid down the stock.