Tampa showroom opens doors to public
Children convince Design Interiors owner to become two-unit retailer
By Clint Engel -- Furniture Today, February 16, 2004
YBOR CITY, Fla. — Bob Cadrecha and his family have transformed their trade-only Design Interiors Furniture Showrooms into a full-blown retail business, flinging the doors open to the public.
For years, the two-store operation in this historic suburb of Tampa had been closed to the public except for an annual clearance sale. But Cadrecha's children, Mary Jo Polo and Matt Cadrecha, convinced their father to take a giant step.
"We've been sort of dialoguing for a long time about how the (trade) showroom business is probably a dinosaur," said Bob Cadrecha, president and second-generation owner. "The furniture industry had gotten very competitive."
As a trade-only operation, Cadrecha's showrooms offered the same services as a typical full-service retailer. By the time sales commissions of 10% to 30% were added in, the pricing took away its competitive edge, he said.
Cadrecha's children told him the company had too much to offer to remain closed to the public.
Each store is about 25,000 square feet, and most case goods are backed up for immediately delivery.
Key lines include Henredon, Drexel Heritage, Sherrill and E.J. Victor at the higher-end East location, and Lexington, Stanley, Schnadig, Hooker and Taylor King at the more midprice-oriented store nine blocks up Seventh Avenue, at the western end of a rejuvenated shopping and entertainment district.
Initial response from consumers has been "absolutely mind-boggling," Bob Cadrecha said.
Well before advertising began, consumers were calling to find out when the store was opening, and traffic has been building ever since, particularly on Saturdays, he said.
Cadrecha wouldn't disclose 2003 sales, but said business had declined in recent years due to the company's dependence on the design trade. With the new strategy, he expects a nice increase this year.
"I would be really disappointed if we're not doing between $10 million and $15 million within a couple of years," he said.
He said his children "have brought a whole new energy" to the business.
Polo, who has been with the company for over 15 years and heads operations at the East store, said the timing was right for the change. "There isn't a better-end store in the area," she said.
Matt Cadrecha, chief financial officer, has been with the business for about 12 years. He called the change "an opportunity to expand as a brand and market ourselves and price our product the way we feel we need to price it in the competitive Tampa market."
For now, Bob Cadrecha said Design Interiors has become the largest high-end player in the Tampa area. That could change if, as he's been hearing, Robb & Stucky enters the market. He said he welcomes the Top 100 company, calling it "a good professional competitor … and I think it will do nothing but result in more business for all of us in the Bay area."
Robb & Stucky President Fred Berk confirmed the retailer is interested in the market. "Hopefully, in the near future, we'll be able to make an announcement," he said.
