Many find value in premarket
By Thomas Russell -- Furniture Today, March 10, 2008
High Point — More than 60 furniture companies opened their doors to retailers during last week's premarket here to get feedback on new product and pave the way for orders during the April High Point Market.
The list included two dozen official event sponsors that contributed money to pay for lodging, car rentals and meals for some 70 retailers to attend the March 3-4 event.
Hooker Furniture had all of its April introductions on display, including its new Clarendon, North Hampton and Sterling Ridge bedrooms. Over the two days, 52 retailers visited its showroom.
"We were really happy with the number of folks who visited our showroom and with the event itself," said Ray Harm, senior vice president of sales. "We saw some that were not at the last event, and to be able to see more customers really adds value."
Along with getting feedback on new product, Harm said, the event enables sales staff to start presales activities between now and market.
"We are a month ahead of the game than if we were doing this at market," Harm said, adding that three-quarters of Hooker's sales staff was in town for the event.
Bernhardt had 80% of its case goods and upholstery introductions on display, said President Lewis Norman.
"We had a broad assortment, and we're market-ready on a big part of our line," he said, adding that nearly 40 dealers came to the showroom over the two days, up from about 30 at the last premarket in September.
"We were very pleased, knowing the retail environment is difficult," he said, noting that Bernhardt received a number of commitments in both case goods and upholstery. "We were not surprised, but were pleased customers came out in such numbers....They are working really hard to fine tune their assortment with value and designs that appeal to the consumer. We don't sense any holding back from the retailers."
Magnussen Home had six new case goods collections on display and 12 of 20 new occasional groups. These goods represented at least 75% of its product mix planned for April.
The company was expecting to see about 50 accounts over the two days, said Don Essenberg, executive vice president and chief marketing officer.
"A lot of the best are here," he said. "It's a relaxed venue not just to show new product, but also to work out solutions."
Among the solutions Magnussen touted was its new QuickFlex 500 program, which allows dealers to mix up to 24 bedroom or dining room styles per order at direct container pricing. The orders are shipped from the company's new Asian distribution center in Ho Chi Minh City, Vietnam.
"We see that creating a lot of market share for us," said President and CEO Richard Magnussen, adding that supply chain management is a major focus for the company moving forward.
Vaughan—Bassett was expecting to see more than 40 dealers over the two days. President and CEO Wyatt Bassett said he likes the event because it lets the company spend more one-on-one time going over new product with customers, and thus frees up time at market.
Dan Angus, senior vice president of sales and marketing at casual dining specialist Ligo Products, agreed.
"It still offers a more casual conversation with your vendors," he said, noting that Ligo had 18 new casual dining groups on display here.
Legacy Classic and Universal each had more than 40 dealers in over the two days, said Kevin O'Connor, president and CEO of Samson Marketing, which oversees both companies.
"Almost everybody I talked to had in excess of 30 dealers there," said O'Connor, who also leads an organizing committee for the premarket event. "What happens is that they spend really good quality time with them. It's not like at market where (retailers) feel like they need to have 15–20 visits that day and are crunched into processing information and making decisions."
He added that premarket also gives vendors important feedback about new product.
"There are many changes we will make based on feedback that will be costly to us, but really valuable in getting the product right," O'Connor said. "The theme of this market is 'help us help you.' There has never been a more important time for us to get the product right."
Frank Barrett, vice president of sales and marketing for New Holland, Pa.-based Good's Furniture & Flooring, said he thought this season's premarket had some positives and negatives. He liked that it offered a lot more relaxed atmosphere than market, which made it easier to get around. But the product offerings themselves, he said, were more of a mixed bag.
"The bottom line was that we saw some interesting new things and some stuff that wasn't too exciting," he said, adding that he saw a dozen companies over the two days.
Bill Bacon, president and CEO of Port Charlotte, Fla.-based Bacon's Furniture, said he saw 11 of the sponsoring companies, including some new vendors he wouldn't have time to visit at market.
The next premarket event is scheduled for Sept. 15 and 16.
