Accent furniture vendors hope retailers will look for quality
Accent Furniture Business By Kara Cox -- Home Accents Today, 6/1/2006
Accent furniture vendors continue battling the price war at retail and hope consumers will put more emphasis on quality and style than simply the lowest price tag.
With fuel prices soaring and everyone paying more for domestic and international shipping, price seems to be on every vendor's mind.
Dan Sumner, vice president of sales and marketing for Butler Specialty, believes the biggest challenge to the accent furniture industry is getting the consumer to step up and appreciate better quality products.
"There is so much product out there at a low price point that gives the look without giving the durability as a quality product," he said. "That's a thorn in our side and it comes down to getting the retail salesperson to invest the time in selling quality items."
Butler Specialty is fighting back by providing features/benefits sheets on each collection to both sales reps and dealers to empower the retail salesperson to understand the importance of accents.
"People do not go to a furniture store to buy accent furniture," he said. "It's an add-on sale, you have to maximize the buying power of every consumer that comes in."
Alex Boyer, sales manager for Furniture Classics, feels much the same. "There is growing sophistication with the producers that's enabling them to provide the look at the price," he said. "We are providing solid wood with hand-applied paint decoration at a price, the exact same piece is being made in MDF with a sophisticated finish and the retailers are confused about how to buy from the manufacturer and present the perceived value to the consumer."
"We have to educate our sales force and leave it up to our reps to communicate what the differential is," he said. "If they are smart they will qualify their customer and they'll present the better end goods first, then move down to the acceptable price for the consumer."
John Scott, president of Sterling Industries, is challenged by the perceived value of the size of a piece.
"The price to make a small piece is the same as a large piece," he said. "It's a lot easier to place the small pieces at retail, but you can't get the price down enough to make it a volume selling piece. On the consumer side, they're adding to decor, they are looking for accent pieces that fit a niche, that's where the smaller pieces are so important."
Andy Stein, president and CEO of SteinWorld, works to create a higher perceived value by adding more bells and whistles to each piece.
"I don't think price is high on the list for perceived value," he said. "People have to look at the piece and fall in love with it. If the price is reasonable they'll take it home, they have to like it first so it's not a price-sensitive item. That's why it's important to offer a broad spectrum of product to reach everyone."
Several vendors see expanding channels of distribution as the key to sales for accent furniture.
"The consumer is finding more and more outlets for purchasing accents today," Boyer said. "There are so many more places to sell than just furniture stores that it's becoming confusing as to who we're actually distributing product to. If I'm going to maintain my business I have to expand my distribution."
"Our customer base is broadening outside the furniture trade," Stein said in agreement. "We haven't changed our distribution but there is a bigger piece of the pie that's interested in accent furniture like department stores and big box. Lighting stores are also doing well with accent furniture."
Lighting stores are also doing well for Sumner. "Lighting stores get to the consumer first especially in new home construction," he said. "There is a huge increase in the 3,000-4,000-sq.-ft. designer studio type store. Designers understand the value of accent furniture and they're busy placing it. Our best customers are stores that are in tight with designers."
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