Mattress Products* Sales Trends, by Region, 2018



Bedding & Mattress Market 2019Bedding Sales and Shipments Continue Multi-Year DeclineAccording to the International Sleep Products Association (ISPA) (and based on a new analytical method), 2018 US sales of mattresses and foundations, including both domestic and imported products, increased modestly. Shipments during 2018 from US manufacturers tell a different story, as 2.4% fewer units were shipped, with a total value of $8.3 billion. Results for both mattresses and foundations are less than those for 2016.Industry reports for Q1 and Q2 2019 indicated further market shrinkage, with total Q1 units sold decreasing 3.4%, and Q2 performing even worse, with a 10.8% decrease in units sold, and 6.7% in dollars.Mattress Products* Sales Trends, by Region, 2018RegionUnits ShippedDollar ValueSouth+3.6%+2.3%Northeast-8.4%-6.8%North Central-9.6%-7.4%West-4.3%-0.2%Furniture Today, June 17, 2019 issue (ISPA) *includes mattresses and stationary foundationsSleeping on IssuesAs with many consumer products, the bedding & mattress industry must address the tariffs issue. Total mattress imports declined 22% during July 2019. Some in the industry view this as a boost to domestic production, but it may be short-lived.According to the Piper Jaffray August 2019 Mattress Survey, 28% of retailers expect substantial sales during the remainder of year; however, the ISPA estimates just a 1.5% increase in total 2019 shipments and another modest 2% increase for 2020.Another recent Piper Jaffray survey revealed only 22% of retailers offer DTC brands, such as Casper, and another 11% said they will by mid-2020. The other 67% of retailers are at a great disadvantage as DTC brands’ market share is approximately 20%.Top 25 Bedding Retailers’ Sales Trends, 2018ChannelShare% Change (2017 to 2018)Bedding specialists53%-2.1%Furniture stores33%+8.6%Warehouse clubs6%+9.9%Department stores6%+0.4%Discount department stores2%-0.6%Furniture Today, September 16, 2019 issue Americans Need Help with SleepFulfilling a need is the primary driver of revenue for businesses/retailers and, according to The Better Sleep Council’s latest (April 2019) State of America’s Sleep study, many Americans need a better mattress, as 56% of respondents said they were poor sleepers.The worst sleepers in America were women, or 57% of all poor sleepers, and, unsurprisingly, 71% of women with children at home younger than 18 were poor sleepers. Most men with children at home were also poor sleepers, at 56%.The fewest poor sleepers were retired adults, at 16%, with just 3% of Silent Generation members and 22% of Boomers in that category. Men (58%) and empty nesters (78%) were some of the excellent sleepers.Selected Categories of Poor and Excellent Sleepers, April 2019Poor SleepersPercentExcellent SleepersPercentMillennials34%Adults with a bachelor’s degree+46%Pet owners70%Save money for unforeseen expenses59%Financially stressed people worried about their future72%Work in a friendly environment84%Adults who feel pressured at work44%Adults in positive, meaningful relationships88%A medical diagnosis of anxiety, etc.25%Adults who enjoy exercising60%The Better Sleep Council, September 2019Retailers’ View of the Industry and its FutureA 2019 Furniture Today retailers survey found a larger percentage (57%) expect their bedding accessories sales to increase during 2019, compared to 40% who said their 2018 accessories sales increased.Another bright spot, according to the same Piper Jaffrey August 2019 Mattress Survey cited on page 1, is selling a mattress with an adjustable base. The median rate has been improving: from 17% for 2017 to 19% for 2018 to 22% for 2019.Although the bedding store sector has contracted by hundreds of stores, with the Chapter 11 bankruptcies of Mattress Firm, Sleep Outfitters and Mattress1One, furniture stores are not leaping into any perceived gap and some are even eliminating 10 Bedding Retailers, by 2018 RankingBedding RetailerEst. Sales% ChangeBedding RetailerEst. Sales% Change#1: Mattress Firm$2.94 B-4.1%#6: Rooms To Go$378 M+6.0%#2: Sleep Number$1.26 B+3.1%#7: Berkshire Hathaway (furniture division)$373 M+1.0%#3: Ashley HomeStore$836 M+20.0%#8: Raymour & Flanigan$306 M+5.0%#4: Macy’s$398 M+6.0%#9: Art Van$261 M-3.0%#5: Sam’s Club$379 M+11.1%#10: Bob’s Discount Furniture$261 M+20.0%Furniture Today, September 16, 2019 issueOnline Mattress Choices Proliferate and Confuse ConsumersAlthough a 41% YOY sales increase is likely to moderate, eventually, according to Furniture Today data, the top 15 bedding e-tailers experienced exactly that during 2018, increasing total sales from $2.18 billion to $3.07 billion.The total online mattress industry is valued at $16.5 billion. ISPA reported 45% of mattresses purchased during 2018 were from e-tailers, compared to 35% for 2017.A quick purchasing process and front-door delivery are certainly what attracts many consumers, but there are an estimated 175 online mattress companies, and many with very little product differences and one or more companies manufacture multiple brands. Top 10 Bedding Online Retailers, by 2018 RankingBedding RetailerEst. Sales% ChangeBedding RetailerEst. Sales% Change#1: Amazon$900 M+50%#6: Saatva$225 M+13%#2: Casper$360 M+31%#7: Tuft & Needle$180 M+13%#3: Nectar$250 M+468%#8: $130 M+8%#4: Purple$250 M+52%#9: Mattress Firm$105 M+5%#5: Wayfair$225 M+50%#10: Brentwood Home$100 M+54%Furniture Today, September 30, 2019 issueConsumers Less Satisfied with Mattress ProductsThe average score in the J.D. Power 2018 Mattress Satisfaction ReportSM declined slightly to 840 from 2017’s 842 (on a 1,000-point scale). The report cites a lack of support, durability and comfort were consumers’ primary reasons for their dissatisfaction. Sleep Number replaced Tempur-Pedic in the top position with a score of 867, which was its score in the 2017 rankings. Tempur-Pedic’s score decreased 39 points from 887 to 848. Sleep Number outperformed Tempur-Pedic in 6 of 7 measured factors.Mattress Brands’ Score* for Consumer Satisfaction, October 2018Brand2018 Score2017 ScoreSleep Number867867Tempur-Pedic848887Serta842846Average840842Sealy837831Simmons/Beautyrest833835IKEA829832Stearns & Foster---829J.D. Power, November 2017*based on a 1,000-point scaleAdditional AnalysisData from three recent market surveys from The Media Audit helps to identify who is planning to buy a bed, mattress and accessories during the next 12 months (through mid-2020).The first significant distinction when looking at the summer 2019 surveys for Detroit, MI; Little Rock, AR; and Boston, MA is women are the majority of future mattress purchasers in these markets, or 63%, 63.8% and 58%, respectively. Another interesting distinction, which shouldn’t be particularly surprising, is the large percentage of African Americans in Detroit and Little Rock planning to purchase a mattress, at 29.9% and 38.3%, respectively, compared to just 7.9% in Boston. A household income comparison reveals 60.7% of adults 18+ in Detroit planning to purchase a mattress during the next 12 months are in the $35K to $100K bracket. In Little Rock, however, 54.1% are in the less than $15K to $50K bracket, with another 18.7% in the $50K to $75K bracket. In Boston, the largest household income bracket is higher, with 45.8% earning from $50K to $150K.Since considerably more women than men are planning to purchase a mattress, the following media day analysis is for women 18+.Media-Day Analysis of Women 18+ Planning to Purchase a Bed, Mattress and Accessories During the Next 12 Months , 2019MediaDetroit, MILittle Rock, ARBoston, MATarget Market MinutesPercentIndexTarget Market MinutesPercentIndexTarget Market MinutesPercentIndexTelevision293.6629.6%114292.1430.8%104216.1927.0%96Radio159.0416.1%111162.3317.1%114145.7218.2%110Newspaper86.748.8%108111.5911.7%14768.848.6%98Billboards94.639.6%13145.264.8%8063.437.9%99Internet (no email)236.5423.9%114251.2926.5%111199.8825.0%105Email120.1912.1%10987.269.2%95106.813.3%104Based on The Media Audit’s Summer 2019 surveysSources: BedTimes Website, 10/19; Furniture Today Website, 10/19; The Better Sleep Council Website, 10/19; CNBC Website, 10/19; J.D. Power Website, 10/19; The Media Audit Website, 10/19.Updated: October 2019? 2019 Media Group Online, Inc. All rights reserved.For Your Local and Station Information ................
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