Unpacking what’s new in the US mattress industry
Next on the agenda was a sales breakdown by brand, with the specialist covering how incumbents and newer entrants are faring. And the prospects for full-year volumes were also discussed, with better consumer awareness of mattresses and wellbeing cited as reasons for a positive outlook. “What’s happening is that the pie is growing bigger. For years, Ispa would publish rates that, on average, 17% of the consumers in the US are buying mattresses. Today, we think that number is north of 20%.”
Looking closely at the competitive landscape, the specialist highlighted Purple as one to watch. “Purple, no doubt, has gained the most market share, because it continues to dominate online and then it’s getting a tremendous amount of bricks-and-mortar retailers.” Its proposition resonates with both customers and industry, with a product innovation that is “uniquely different”.
On the topic of industry challenges, the Ashley Furniture Industries executive noted which brands have been facing stock shortages, as well as commenting on broader supply-chain issues. Alongside problems with wood, where there’s been a “tremendous pass-through of price increases” owing to shortages, foam is a “major challenge” – with constrained supplies leading manufacturers to prioritise higher-end models.
Other subjects discussed include upcoming product releases, when the supply-chain issues will be resolved, and best- and worst-case scenarios for the industry in Q3.
To access all the human insights from Third Bridge Forum’s Forum Pulse: US mattress industry – Q2 2021 update Interview, click here to view the full transcript.
The information used in compiling this document has been obtained by Third Bridge from experts participating in Forum Interviews. Third Bridge does not warrant the accuracy of the information and has not independently verified it. It should not be regarded as a trade recommendation or form the basis of any investment decision.
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