Higher-quality furniture, better displays boost fast-growing category - Discount Store News Productivity Report

Discount Store News, August 5, 1996

For the second year in a row, the sales gains in the furniture category for 1995 are the fastest growing of the 20 categories examined in the annual productivity report. The $4.7 billion category is up 40% from its $3.35 billion sales mark last year. Last year's numbers were about 25% higher than sales in 1993 ($2.69 billion).

Consumers are more comfortable than ever buying ready-to-assemble furniture, and stores are doing a better job of romancing their products.

Bradlees, as part of its upscaling shift, has made a strong presentation with solid-wood furniture. Cabinets, letter desks and night stands, all ready-to-assemble and pre-finished, are merchandised opposite improved-quality fiberboard furniture. The solid-wood has helped the chain in its image transition from discounter to a merchant of better-quality merchandise. Since the second quarter, the chain displays between four and six dinette sets on the floor, not on the gondola, a big change for the retailer. The company had intentions of romancing the sets with table settings and other items from the domestics and decorative housewares categories, but that has yet to crystallize.

ShopKo is another retailer that has brought select items of furniture off the gondola and onto the floor. As part of its emphasis on home office, desks now sit on the selling floor.

Venture, another transitioning former discounter, had a strong spring season with RTA metal futons and solid-wood futons. Office furniture will be the focus for the Back-to-School season. The lifestyle retailer has exited bean bags and flip chairs in order to upscale its image.

           Furniture
          Productivity