Ensembles key to housewares - Discount Industry Annual Report: Part 2: Merchandising & Productivity

Discount Store News, July 17, 1989

The political unrest in China is expected to remain on the minds of retailers and manufacturers, especially as the fourth quarter selling season approaches. While some placed their orders far enough in advance to receive the finished goods or materials required to take them through the end of 1989, many retailers have not. The housewares industry is not heavily dependent on China for most of its products, but there are many vendors who would be seriously hurt.

Total housewares industry sales through discount channels are projected to be $13.3 billion in 1989. Discount department stores will sell $11.9 billion worth of housewares. Another $1.4 billion will be sold by catalog showrooms.

At full-liners, housewares are projected to turn 3.4 times annually and achieve a gross margin of 24.2 percent.

PHOTO : Keeping with the trend of coordinated ensemble goods is K mart's Martha Stewart label.

PHOTO : Home office units are the growth area in RTA. A steady stream of new products by vendors

PHOTO : is keeping the category fresh.