Rug retailers rethinking direct buying strategies
By Lissa Wyman -- Furniture Today, October 15, 2001
HIGH POINT — In recent years, many major retailers have traveled abroad to buy hand-made rugs at the source. Current conditions are prompting some to rethink this strategy, particularly in terms of where they will travel.
"I'm certainly not going to give up traveling abroad to buy rugs," said Bob Batt, executive vice president of Nebraska Furniture Mart in Omaha. "But I'm not crazy. I'm not going to go any place where there's shooting."
Batt said he had planned a trip to Iran, but that's now out. NFM buys hand-made rugs both from importers and on a direct basis.
Some large chains and catalog houses have halted travel abroad, according to Steve Mazarakis, president of Hellenic Rug Imports.
"The events of Sept. 11 definitely created a scare, but all of us importers will continue to travel and do what we have to do," he said. "Now, more than ever, we must forge relationships with our retail customers to assure them of a source of supply."
Hellenic imports rugs from Greece and India, and last year brought in some post-embargo rugs from Iran.
Mohawk Home, the rug and textiles division of Mohawk Inds., has become more deeply involved in the import business in the past few years. That business includes overseas purchases and product development for major retailers.
"In the future, retailers may depend more on the expertise of importers rather than becoming more involved with direct buying," said Pat Moyer, vice president of marketing at Mohawk Home.
