Safavieh adds second warehouse in Easton, Pa.

Sales projections determine need for additional space

Home Accents Today Staff -- Home Accents Today, 7/17/2012 1:59:52 PM

PORT WASHINGTON, N.Y. -- Safavieh, an area rug, soft goods, lighting and accent furniture source based here, has acquired a 300,000-square-foot facility in Easton, Pa., doubling its warehouse space there.

Safavieh already had an existing 320,000-square-foot in Easton as well as a 250,000-square-foot warehouse in Allentown, Pa. The company will continue to ship from both locations.

According to a release from the company, the additional warehouse space is necessary to maintain appropriate levels of stock for quick-ship delivery projected by forecasted growth and substantial sales increases in 2011 and the first half of 2012.

Safavieh attributes its recent sales growth to its expansion into lower-end rug qualities for the purpose of targeting new distribution channels, including big box stores and warehouse clubs.

"We have experienced significant sales increases since the introduction of power-loomed and hand-tufted rugs, as well as several rug qualities designed for indoor and outdoor use," said Cyrus Yaraghi, a principal at Safavieh. "The new facility will allow us room to expand our current rug offerings with even more diversity in 2012."

Continued growth in the company's furniture division, launched in January 2006, was also noted.

Safavieh's furniture offerings now include occasional seating and accent pieces as well as outdoor furniture. The company maintains an inventory of 500-plus quick ship items, which constantly change with new designs and color ways.

Safavieh also has warehouse facilities in or near Antwerp, Belgium; Fontana, Calif.; and Port Washington, N.Y., bringing total warehouse space to 1,140,000 square feet.

Safavieh drop-ships product to end-use customers on behalf of retailers in the United States, Canada, South America, Europe and Asia. Warehouse stock levels provide immediate delivery on more than 1,000 programmed rug designs, each in more than eight sizes and several color schemes. In furniture, 500 SKUs are stocked for quick ship.