Supply chain logistics Archives - Home News Now https://homenewsnow.com/blog/category/supply-chain-logistics/ Your Source for Home Furnishings Retail News Fri, 28 Jun 2024 12:04:16 +0000 en-US hourly 1 https://wordpress.org/?v=6.5.5 https://homenewsnow.com/wp-content/uploads/2021/01/cropped-Screen-Shot-2021-01-11-at-8.33.36-PM-32x32.png Supply chain logistics Archives - Home News Now https://homenewsnow.com/blog/category/supply-chain-logistics/ 32 32 Dania Furniture recalls bookcase units involved in tip-over-related death of 4-year-old https://homenewsnow.com/blog/2024/06/27/dania-furniture-recalls-bookcase-units-involved-in-tip-over-related-death-of-4-year-old/ https://homenewsnow.com/blog/2024/06/27/dania-furniture-recalls-bookcase-units-involved-in-tip-over-related-death-of-4-year-old/#respond Thu, 27 Jun 2024 22:19:24 +0000 https://homenewsnow.com/?p=45047 CPSC says units are unstable if not anchored to the wall, posing a danger to children WASHINGTON — The U.S. Consumer Product Safety Commission has …

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CPSC says units are unstable if not anchored to the wall, posing a danger to children

WASHINGTON — The U.S. Consumer Product Safety Commission has announced the recall of a bookcase unit that was involved in a tip-over incident last summer that caused the death of a 4-year-old child.

Dania Furniture of Boise, Idaho, is recalling 940 of its Hayden bookcase units that the CPSC said are unstable if not anchored to the wall, posing a tip-over and entrapment hazard that can result in death or injuries to children. The company received a report of one tip-over incident in August 2023 that involved an unanchored bookcase unit that resulted in the death of the child.

The Hayden bookcase by Dania Furniture

The CPSC said that these bookcases, made in Italy, were sold exclusively at Dania Furniture stores nationwide and online at www.daniafurniture.com from November 2017 through February 2024 for about $370.

The recall involves the wooden Hayden bookcase, which has six storage cubbies and three sliding white doors. It is 35.5 inches wide, 16 inches deep and 73 inches tall. A label on the back of each unit contains the product name and SKU number LB2225/A.

The CPSC has advised consumers to immediately stop using the recalled bookcase if it is not anchored to the wall and place it in an area that children cannot access.

Consumers also have been advised to contact Dania Furniture for a free, in-home installation of a tip-over restraint kit. In cases where the units cannot be anchored to the wall, or if consumers prefer a refund, the CPSC said, Dania Furniture will provide a full refund of the purchase price and arrange for the pickup and disposal of the units. The company also is contacting all known purchasers directly.

For additional information, consumers can contact Dania Furniture toll-free at 844-722-6347 from 9 a.m. to 6 p.m. PT Monday through Friday, via email at ProductSafetyHotline@interline.com, or online at https://daniafurniture.com/pages/safety-recalls. Or they can visit https://daniafurniture.com/ and click on the “Safety Recalls” tab at the top of the page.

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The soul-less profiteering of container carriers https://homenewsnow.com/blog/2024/06/25/the-soul-less-profiteering-of-container-carriers/ https://homenewsnow.com/blog/2024/06/25/the-soul-less-profiteering-of-container-carriers/#comments Tue, 25 Jun 2024 11:57:41 +0000 https://homenewsnow.com/?p=44890 A news item published by Bloomberg tells us all we need to know about the supposed container shortage on the world’s oceans, a pirate problem …

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A news item published by Bloomberg tells us all we need to know about the supposed container shortage on the world’s oceans, a pirate problem causing U.S. furniture importers to crash the spot market for stopgap shipping solutions. 

The spot market is the global trade equivalent of seeking out a loan shark to tide you over until your next paycheck; it is merciless, expensive and simply not a sustainable financing strategy.

The Bloomberg report has A.P. Moller-Maersk warning that the world’s supply lines have and will continue to be more disrupted by congestion in the Red Sea than has been previously acknowledged. Out of the other side of its sizable mouth, the shipping giant raised its profit outlook. This is the difference between, on the one hand, container carriers and oil companies and, on the other, businesses that have to rely on persuasion to win the customer’s hard-earned disposable dollar. The message? “You need us, so suck it.”

The Danish company cited the now 6-month-old problem of Houthi “pirates” for the decline in container capacity, which in the world of shipping means ever-higher prices to secure a diminishing resource. Supply is reportedly down; prices are way, way up. Spot rates for full-size containers coming here from Asia are north of $6,000 for a 40-foot unit or its equivalent, according to the Drewry World Container Index. That’s three times the rate as recently as December. Editor’s Note: Industry sources have told Home News Now that they are paying as high as $10,000.

The Maersk announcement, which predicted “strong” demand for its containers for the foreseeable future, also cited what the company calls Red Sea “ripple effects” for the declines in capacity. These effects include bottlenecks at some of Asia’s biggest ports and major customers’ willingness to pay big up front to secure shipping capacity for the all-important holiday selling season. 

What the announcement doesn’t mention are the ripple effects of the ripple effects. Another news item, this one from the South China Morning Post, warns that shipping costs even from the interior of the country also are on the rise because of traffic jams on the Yangtze River, Asia’s longest waterway and the functional equivalent to the Mississippi River. The cause of the choke points also is a decline in capacity, increasing wait times and delays. The ripple effects of the ripple effects, therefore, are the difficulties getting raw materials and even fuel into the country in order for goods to flow back out of the country. These delays inevitably affect the international trade routes, as well. 

Vietnam v. China

Meanwhile, over in Vietnam, there is more than deep concern. You can go ahead and call it alarm. 

Higher shipping costs and increasing delays trigger contract penalties and threaten already thin margins, putting billions of dollars at risk, according to Vietnamese state media. And at least from the view of Vietnamese logistics experts, this is a situation that shows no signs of improving any time soon. 

For these experts, add to the Red Sea disruptions the escalating tensions between the United States and China and the recent round of tariffs on Chinese goods levied by the Biden administration. The run-up to these tariffs that take effect in August has spurred U.S. importers and Chinese exporters alike to expedite shipments before that deadline. This puts many if not most Vietnamese exporters at a competitive disadvantage. 

Chinese companies can pay up to $1,000 to secure a shipping slot, whereas Vietnamese companies can only offer perhaps $600, according to the Vietnam Ship Agents, Brokers and Maritime Services Providers Association. Add to this the fluidity of pricing from the container carriers. Typically, rates are good for 15 days to a month; in today’s environment, they can change daily. And sea freight rates for Vietnamese producers to ship to the U.S. have reportedly doubled this year already.

Danish danger

As inflation at least loosens its grip, the container carriers seemingly couldn’t care less. They are proving yet again that they will seek maximum profits even as their customers buckle and break under yet another sustained period of uncertainty with respect to supply chains. The revised profit outlook from Maersk is the second this month. 

The Red Sea-caused re-routes are “expected to contribute to a stronger financial performance in the second half of 2024,” according to Maersk’s self-serving statement. Stronger for the carriers. Not mentioned? The weaker financial performance presumably for nearly all of its customers.

For those scoring at home, Maersk revised its profit outlook to $7 billion to $9 billion this year over the previous estimate of $4 billion to $6 billion, or a nearly 30% to 50% markup. Are you kidding me? Of course, Maersk shares rose nearly 4% on the news of the revised forecast.

The Copenhagen-based company also stated that congestion will continue to cause disruptions in ports in Asia and the Middle East, which sets the company up nicely for yet another revised outlook and yet higher quoted rates in the near future. Maybe tomorrow.

La La Land

A quick check on some of the bigger ports finds congestion at all of them, including Singapore, Ningbo, Shanghai and Qingdao. The Port of Los Angeles, the busiest port in the country, remains above the pre-pandemic peak, according to Bloomberg.

Returning to Drewry’s data, the cost of a 40-footer to L.A. from Shanghai saw six straight weeks of price increases, including a nearly 1% hike two weeks ago to bump the container cost to $6,025. That’s a tick better than Shanghai-to-Rotterdam, which increased 2.4% to $6,200, the highest that route has been since September 2022 coming out of the pandemic.

The routes hardest hit? Shanghai to Genoa, Italy, now at $6,900, or 3% higher than the first of the month and also the highest since September 2022, according to Drewry. 

As reporting by HNN’s Tom Russell uncovered earlier this month, yet another disrupter is the lower average vessel speed, which has dipped to an average of 17 nautical miles per hour from a high of 24 knots, a drop of nearly a third, according to Statista. 

The ships keep getting bigger and, therefore, heavier, turning an idiom into description: the slow boats from China. 

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Spring Air International adds Thailand to growing licensee base https://homenewsnow.com/blog/2024/06/24/spring-air-adds-thailand-to-growing-licensee-base/ https://homenewsnow.com/blog/2024/06/24/spring-air-adds-thailand-to-growing-licensee-base/#respond Mon, 24 Jun 2024 23:00:59 +0000 https://homenewsnow.com/?p=44915 WOBURN, Mass. – Spring Air International, a Top 20 U.S. bedding manufacturer and widely known consumer brand, is adding Theptex (Thailand) Co., Ltd., a Thailand-based …

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WOBURN, Mass. – Spring Air International, a Top 20 U.S. bedding manufacturer and widely known consumer brand, is adding Theptex (Thailand) Co., Ltd., a Thailand-based natural latex manufacturer that produces bedding, custom natural latex and more,
to their growing international licensee base.

Founded in 2014, Theptex (Thailand) Co., Ltd. specializes in high-quality, 100 percent natural latex sheets products, including mattresses of custom shapes, furniture and more. By using the GOLS certified organically grown latex from Thailand’s natural rubber trees, Theptex is able to produce products that have one of the highest percentages of natural latex in the mattress industry, boosting consumers’ health, one sleep at a time.

With close to 100 employees, Theptex is able to supply products to a wide range of countries, including Thailand, China, India, Korea, Singapore, Malaysia, Taiwan, Laos, Vietnam, Australia, USA, and Europe. Their innovative approach to health-forward mattresses sets them apart from their competitors, using varied approaches to not only aid in peaceful sleep, but to help with various health conditions as well, including orthopedic issues and pressure ulcers.

Their use of pinholes in their mattresses aid in cooling and heating properties naturally, producing a more restful and healthy sleep experience.

“We are thrilled to be welcoming Theptex (Thailand) Co., Ltd. to our international network in an effort to expand our brand’s reach and to experience what the Thailand markets have to offer,” said Nick Bates, president of Spring Air International. “We look forward to many years of watching the company advance in this market while simultaneously advancing our international efforts.”

“With our company’s roots deeply seeded in Thailand’s culture and natural product, Theptex aims to provide a healthy, restful sleep to all consumers, regardless of which mattress they choose. Producing innovative and high-quality products are at the utmost importance to us, and through researching Spring Air’s mattresses, it is clear that their goals align with ours; we were impressed by their efforts on this front,” said Saurabh Gupta, a company director. “As we embark on this journey together, we are committed to achieving our mutual business objectives while creating long-lasting value for our consumers and stakeholders.”

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Universal Furniture names Rick Lovegrove VP, upholstery https://homenewsnow.com/blog/2024/06/24/universal-furniture-names-rick-lovegrove-vp-upholstery/ https://homenewsnow.com/blog/2024/06/24/universal-furniture-names-rick-lovegrove-vp-upholstery/#respond Mon, 24 Jun 2024 16:53:12 +0000 https://homenewsnow.com/?p=44892 Industry veteran brings 25 years of industry experience to new position HIGH POINT — Universal Furniture has hired industry veteran Rick Lovegrove as vice president …

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Industry veteran brings 25 years of industry experience to new position

HIGH POINT — Universal Furniture has hired industry veteran Rick Lovegrove as vice president of upholstery, a new position devoted to the enhancement and growth of the company’s domestic and import upholstery business.

Lovegrove comes to the company from Four Hands, where he has worked for the past decade, most recently as president of upholstery and before that as vice president, product services group and upholstery.

Rick Lovegrove

Before that he worked at upholstery manufacturer G. Romano for more than 18 years, both as vice president of design and creative director and brand manager.

In his new position, he reports to Universal President Sean O’Connor, who started the upholstery business for the company around 2015 and who has since handled the development/merchandising responsibilities alongside Shannon Lookabill, vice president of product development. In addition to its import upholstery line produced in Vietnam, the company expanded into domestic upholstery when it acquired Southern Upholstery in 2019. The company said the acquisition allowed Universal to develop its domestic upholstery operations in 2020.

The company said that Lovegrove will collaborate closely with O’Connor and Lookabill to “drive strategic initiatives and innovation within Universal Furniture’s designs. Together, they aim to capitalize on emerging trends, enhance product offerings and reinforce Universal Furniture’s position as a whole home leader in the furniture marketplace.”

Universal said that Lovegrove’s leadership role at Four Hands expanded the category into the “largest product segment at the company. With a career distinguished by domestic and imported furniture expertise, Lovegrove brings a unique skill set to Universal Furniture, poised to drive innovation and growth within the upholstery segment.”

“The upholstery business at Universal has been a focal point in our growth strategy, aimed at expanding design appeal and growing sales,” O’Connor said. “The rapid expansion of this division necessitated the creation of this role, and Rick’s extensive industry experience positions him perfectly to lead and further accelerate our momentum.”

“Rick’s proven track record in scaling businesses within the furniture sector aligns with our vision for Universal Furniture’s future,” O’Connor added. “His leadership will be instrumental as we continue to innovate and meet the evolving demands of our customers.”

Lovegrove said he looks forward to this next step in his industry career.

“I am truly excited to join the Universal team,” he said. “The growth of the brand over the last couple of years has been exciting to witness, and I can’t wait to build and scale the next generation of the upholstery business.” 

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Dressers sold at Rooms To Go recalled because of tip-over, child entrapment hazard https://homenewsnow.com/blog/2024/06/21/dressers-sold-at-rooms-to-go-recalled-due-to-tip-over-child-entrapment-hazard/ https://homenewsnow.com/blog/2024/06/21/dressers-sold-at-rooms-to-go-recalled-due-to-tip-over-child-entrapment-hazard/#respond Fri, 21 Jun 2024 23:12:16 +0000 https://homenewsnow.com/?p=44873 This is the 2nd recall in 2 months of a unit sold exclusively at Rooms To Go that allegedly does not meet the requirements of …

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This is the 2nd recall in 2 months of a unit sold exclusively at Rooms To Go that allegedly does not meet the requirements of the STURDY Act

SEFFNER, Fla. — Another dresser sold exclusively at Rooms To Go has been recalled because it does not comply with the performance requirements of the STURDY (Stop Tip-Overs of Risky Dressers on Youth) Act according to the United States Consumer Product Safety Commission.

On Thursday, the CPSC announced a recall involving 400 Cedona Natural View six-drawer dressers. Although there have been no injuries or incidents reported, the CPSC said that the units are unstable if they are not anchored to the wall, thus posing “serious tip-over and entrapment hazards” that can kill or injure children.

This is the second recall in the past two months for a dresser sold exclusively at Rooms To Go that allegedly does not meet the performance requirements of STURDY.

The recalled Cedona six-drawer dresser sold exclusively at Rooms To Go

The recall involves the Cedona Natural View six-drawer dresser with model number 33117082, which is printed in black ink on a label at the back of the unit. The dresser is 68 inches long by 18 inches wide and 36 inches tall and weighs about 238 pounds.

The CPSC said the unit was made in India and sold at Rooms To Go stores nationwide and at www.roomstogo.com from November 2023 through February for about $1,000.  

Consumers have been advised to stop using the recalled dresser immediately and go to their local Rooms To Go for a replacement. The retailer, which also is contacting all known purchasers directly, will schedule a free delivery of the replacement dresser and remove the recalled dresser from their home, the CPSC said.  

For more information, consumers can contact Rooms To Go toll-free at 855-688-0919 from 9 a.m. to 4 p.m. ET Monday through Friday. Or they can email productcare@roomstogo.com or go online at www.cedonadresserrecall.com.

Home News Now has reached out to Rooms To Go and is awaiting a response to this recall and the one involving its Mill Valley Jr. six-drawer dresser announced on May 2.

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Tough times result in tough measures for a challenged industry https://homenewsnow.com/blog/2024/06/21/tough-times-result-in-tough-measures-for-a-challenged-industry/ https://homenewsnow.com/blog/2024/06/21/tough-times-result-in-tough-measures-for-a-challenged-industry/#comments Fri, 21 Jun 2024 12:24:53 +0000 https://homenewsnow.com/?p=44771 Rising container costs result in actions including freight surcharges and price hikes HIGH POINT — Rising container rates that are occurring in a still slow …

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Rising container costs result in actions including freight surcharges and price hikes

HIGH POINT — Rising container rates that are occurring in a still slow business environment are causing furniture industry resources to take measures including raising prices and implementing freight surcharges. Others meanwhile are cutting expenses in order to cover costs.

Ashley Furniture, for example, has alerted customers that it is raising prices by about 3% on all products except domestic case goods and domestic bedding which will increase by about 1%. The increases take effect on all new orders on July 15. It will reprice all open orders July 29.

The company said the change is related to disruption in the marketplace including factors such as 1) a surge in demand driven by a shortage of capacity 2) the fact that major ports such as Singapore are experiencing severe backlogs because of congestion 3) the impact of disruptions in the Suez Canal 4) average vessel speed being at its lowest recorded levels.

“The disruptions in the marketplace have had a notable impact on shipping capacities and have contributed to significant cost increases across various areas,” wrote John Mask, senior vice president of strategic sales and marketing. “Ocean freight, labor costs, vendor finished goods, vendor components and raw materials prices have all been impacted. In response to these challenges, we have engaged with our container suppliers and have secured the necessary container volume to continue moving our freight. Securing these containers has come at a higher cost than we anticipated during our product costing process. To effectively navigate these rising costs and maintain the quality and reliability of our services, we find it necessary to review our pricing structure. … We remain committed to offering you the best value in the industry. When container freight costs stabilize, we will reassess our pricing.”

Todd Wanek

Yet for now, it has been extremely difficult for Ashley and others facing similar pricing decisions, whether it be an increase or a freight surcharge. Todd Wanek, president and chief executive officer, described this period as a perfect storm of issues ranging from Singapore port congestion to the Red Sea turmoil and peak season timing.

“All those things are kind of hitting at the same time,” he told Home News Now.

“There is really no choice,” Wanek added of the price increase. “The fact of the matter is the spot market has gone up so much. We are a contract-based company, but we are just not getting enough ships. There is not enough capacity out there so you end up on the spot market trying to buy freight, and that’s what we are doing.”

Despite the massive capacity constraint, he said, it’s important to do what’s needed to get furniture to the marketplace.

“Our responsibility and everybody’s responsibility is to keep supply chain moving,” he said. “If somebody wants to buy a piece of furniture, it’s our job to make sure that piece of furniture is available quickly to satisfy the customers.”

“So this is a temporary price increase,” he added. ” We hope this eases. We hope that within six months the capacity problem is gone and the price increase is gone as well or at least part of it.”

The increases in freight are impacting importers throughout the industry, effectively raising container prices as much as several times what they were earlier this year. This means that rates will be several thousand dollars higher, resulting in an increased cost of Asian-sourced products ranging from bedrooms and dining rooms to stationary and motion upholstery. One source said this has brought container rates to as high as $10,000, compared to a few thousand earlier this year.

Flexsteel is implementing a freight surcharge on all imported soft goods and case goods purchased from its warehouse. The charge applied to all new orders placed after 2 p.m. June 19.

“Ocean carriers are systematically cancelling sailings and are not providing consistent bookings at our contracted rates,” said Brian DesBiens, vice president of retail sales at Flexsteel in a June 10 letter to dealers. “This is driving us to the open market to ensure we keep inventory flowing to support our business.”

David Crimmins

Yet rates don’t seem to be coming down even as those bookings are rescheduled. For example, Flexsteel told Home News Now that in mid-June, it received an increase that was $800-$1,000 higher than what its surcharge covers. On July 1, it is expected to increase another $500 to $1,000.

“Every two weeks we have an analysis,” said David Crimmins, vice president of sales and product management, adding that the company held off on increases earlier in the year only to see them level off then rise again — and potentially keep rising. “We don’t think we are at the peak yet. We don’t have any actions planned now, but if they keep climbing, we will have to raise it.”

Kuka Home told dealers it is adding a temporary freight surcharge of $2,500 on all landed shipments to the U.S., Canada and Mexico from its China and Vietnam facilities. It will be effective on shipments invoiced starting June 21.

Company President Matt Harrison said in a June 18 letter to dealers that the surcharges were introduced “earlier than usual due to various factors, including diversions in the Red Sea and trade imbalances necessitating the repositioning of empty containers worldwide. Additionally, major retailers are shipping their fall inventories earlier to avoid potential delays, further exacerbating the issue. The resulting lack of capacity and equipment has even compelled us to rent temporary warehouse facilities at exorbitant rates to store finished goods awaiting shipping documents.”

“It’s an unavoidable situation, whether it’s a landed customer or FOB customer. They are paying more for freight, if they want to get their furniture shipped,” Harrison told Home News Now. “I can tell you for a fact that major, major retailers are paying significantly more than they were in the past because they understand what they have been through in the past during Covid, and they need their furniture. They need their containers. So they are securing inventory at a much higher rate than you would dream they would pay right now, because we are grabbing capacity on our freight lines that we have contracted with.”

Matt Harrison

However, Harrison also noted that the surcharge the company has imposed is less than the charges the company is incurring. In the letter, he said that the company has been absorbing the additional charges for the past few weeks, but that “the latest increase has made it unsustainable for us to continue for our landed customers.”

“We are sharing that and that’s even at a loss,” Harrison said, noting that everyone got an increase on their contracts which expired in May, followed by a peak season surcharge June 1, with another one slated for July 1.

“It’s an unavoidable situation for everyone buying out of Asia,” Harrison said. “Furniture is a higher cube percentage than shipping clothing or something else where it affects us more for the cost of goods. It’s the reality.”

In the letter, he added that the company is “actively monitoring the situation and doing everything possible to mitigate this burden. As soon as conditions improve, we will adjust or remove the surcharge. Your business is greatly valued, and we appreciate your understanding during these challenging times.”

Other furniture companies interviewed this week also said they likely will raise prices or issue container surcharges sooner than later based on current and future container rates should they continue to rise.  

Sam Malouf

Others still are taking steps to cut costs. Malouf, for example, announced a restructuring that took place last week that resulted in an unspecified reduction in force at its Cache Valley, Utah, headquarters. The company said this was related to external forces, including competition from online resources selling apparel and other fashion and home-related products including furniture.

“Through the years, we’ve prided ourselves on our nimbleness, innovation and early arrival in the bedding industry,” said CEO Sam Malouf. “However, the company must begin shifting focus from certain categories due to circumstances largely outside of our control. As a reflection of these category shifts, our senior leadership team made the difficult decision to reduce the workforce at corporate headquarters.”

“The playing field is no longer level or fair with the rise of platforms like Temu and Shein, which are decimating American companies,” he added. “We needed to make changes to thrive in today’s market. By increasing clarity and focus, we expect to improve market share and drive long-term success.”

Also, Hooker Furnishings recently announced in its latest earnings report that it plans to cut costs by about 10% in order to regain profitability.

And Hillsdale Furniture announced to the Vietnam government in late May that it was closing its Vietnam office effective June 1.

“Due to the difficult business situation of the parent company, leading to the inability to maintain the management and operation of the representative office in Vietnam, we have decided to terminate the operations of the representative office in Vietnam and are carrying out other procedures for dissolution/termination of operations according to Vietnamese law,” the company told government officials in late May.

The state of the company’s U.S. operations is unknown at this stage. Sources have said that the company also has closed its U.S. offices, but Home News Now has not been able to verify this as company officials have not responded to repeated calls or emails.

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Mark Thatcher named president of Malouf Home https://homenewsnow.com/blog/2024/06/21/mark-thatcher-named-president-of-malouf-home/ https://homenewsnow.com/blog/2024/06/21/mark-thatcher-named-president-of-malouf-home/#respond Fri, 21 Jun 2024 12:01:33 +0000 https://homenewsnow.com/?p=44851 Former president Eric Holmstead is now head of merchandising and global souring LOGAN, Utah — As part of a restructuring announced this week, Malouf Home …

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Former president Eric Holmstead is now head of merchandising and global souring

LOGAN, Utah — As part of a restructuring announced this week, Malouf Home has named Mark Thatcher president and Jesse Gibbs as head of business development and rep management.

Mark Thatcher
Eric Holmstead

Thatcher fills a role previously held by Eric Holmstead, who has been president since 2022. Before this he was national sales manager since 2019.

Holmstead will now serve as head of merchandising and global sourcing, addressing challenges on the sourcing side of the business, while also helping manage the development of new products.

“I’ve been working exclusively with our retail partners for the last 10 years, and my strong relationships and understanding of how to succeed in this space will influence the new products we’ll bring to market,” Holmstead said. “We’re already seeing the overwhelmingly positive response to our new mattresses. There are more big opportunities out there for our retail partners and for us, and I’ve already started working on them.”

Thatcher has been with the company as vice president, sales for the past two and a half years and before that was director, business development at case goods manufacturer Maven.

Before this he was director, online marketing and online marketing manager at Icon Health and Fitness for  more than 16 years.

As part of the restructuring, the company sales team has launched a new structure that classifies accounts by size, instead of by region.

“We needed to rethink the types of support we were offering our partners, so we can help maximize their business and offer them the right resources,” Thatcher said. “This new sales structure will create better partnerships with a higher impact for our retailers’ bottom

line.”

Jesse Gibbs

Jesse Gibbs has been with the company for just over eight years, previously serving as vice president, national sales, district sales manager and territory sales manager. Before joining Malouf, he was in product development and management roles at HRI Research for more than seven years.

In his new role, the company said that Gibbs is “working to provide more tools and resources for outside sales representatives, so they best serve the needs of retail partners, in addition to strategizing for tradeshows.”

CEO Sam Malouf said, “I believe we’re going to look back on this as a key moment for the company. We are returning to our entrepreneurial core, leveraging market shifts and focusing on our retail partners and customers. There’s a bright future ahead.”

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Furniture Manufacturing Expo offers a glimpse into state of industry https://homenewsnow.com/blog/2024/06/18/furniture-manufacturing-expo-offers-a-glimpse-into-state-of-industry/ https://homenewsnow.com/blog/2024/06/18/furniture-manufacturing-expo-offers-a-glimpse-into-state-of-industry/#respond Tue, 18 Jun 2024 13:25:04 +0000 https://homenewsnow.com/?p=44589 Hoping for a rebound early next year, many suppliers offer solutions for manufacturing and retail partners that are seeking efficiencies and ways to cut costs …

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Hoping for a rebound early next year, many suppliers offer solutions for manufacturing and retail partners that are seeking efficiencies and ways to cut costs

HICKORY, N.C. — Industry equipment, materials and service providers showing at this past week’s Furniture Manufacturing Expo had a chance to connect with furniture manufacturers hoping for a turnaround if not in the second half, sometime early next year.

Held June 13-14 at the Hickory Metro Convention Center, it featured nearly 100 exhibitors offering equipment ranging from sewing machines to large-scale fabric and leather cutting machines plus materials such as hardware, plywood panels, brackets, nailhead trim, dowels, webbing, adhesives and more for manufacturers and distributors. Many came to visit with existing resources, and many came to meet new resources to help diversify their mix of suppliers.

Mark Hill, left and Gaurav Kakkar, both lumber traders with Richmond International Forest Products.

“With what happened to the supply chain during Covid, I would hope that everyone sees the benefit of having multiple suppliers,” said Mark Hill, a trader with lumber and engineered wood particleboard supplier Richmond International.

With customers in the upholstery and case goods segments as well as wood cabinetry, he noted that the company has shown at the expo for several years. This time around, it saw new customers and prospects from North Carolina, Maryland, New Jersey and Ohio and as far west as California.

“This is one of the best shows we do every year because it attracts a lot of decision makers,” he said, noting that the company has warehouses around the country that serve customers in those regions, many of whom buy product in truckloads.

For Richmond and other suppliers, a key purpose of the event is to help educate customers about the services and products available, as opposed to actually selling product. Those buying decisions, more often than not, take place between shows where companies can review their options, similar to large retailers attending a furniture market.

“Right now, the market is flat and it’s not as hard to find stuff,” Hill added, noting that it’s still important for the industry to know what’s available in the marketplace.

Leggett & Platt, for example, showcased new mechanisms for recliners and sleepers, allowing customers to see some of its various innovations in person, including a recliner that converts into a glider rocker. As importantly, it gave the company and its customers a chance to reconnect in a casual and informal setting.

Leggett & Platt demonstrated new mechanisms for recliners and sleepers among other products.

“It’s just an opportunity for us to engage with our customer base,” said Taylor Knuckles, a company sales professional who covers North Carolina and the Northeast. In addition to some customers from up north, he said the show mostly drew existing customers and some prospects  from the North Carolina region as well as Georgia and Tennessee. He agreed that this also is an efficient way for suppliers and their customers to meet in one setting.

“People are wearing multiple hats, so time is of the essence,” he said, adding, that the face-to-face meetings give companies a chance to interact on a personal level. “Everyone’s asking the same question — ‘How’s business?’ 98 to 100% of the suppliers here would give you the same answer — ‘it’s soft right now.’”

For that reason, the company and others are offering new products and solutions aimed at spurring manufacturing efficiencies and/or interest among consumers.

Seat spring manufacturer Barber Manufacturing, for example, showed some of its innovations in the segment, including rigid bar, drop- in construction that features single-cone springs attached to roll-formed steel channel bars. Together, they form a rigid bar drop in for a recliner, that provides more comfort than sinuous spring construction.

A similar type of construction also was available to drop into the frame of a dining chair. (This writer tested it out as he hadn’t seen anything like it in the market previously. The fact that he did the entire interview seated in the chair — without wanting to get up — was one indication this could be a hit at retail.)

Corey Helfgott, left, and Jan Miller, of Barber Manufacturing, show off some of the company’s latest innovations, including spring coil seating for these dining chair frames.

“It is more expensive than sinuous (spring support), but we have some customers for it,” noted Jan Miller, general manager, adding that sinuous spring support also has been the norm in recliners.

However, this could be a game changer as the coils provide comfort across the entire seat regardless of the position of the recliner. By comparison, the sinuous springs provide more give in the middle, but are typically more rigid along the front and back of the seat.

Associated Hardwoods was on hand to help educate customers about how it can tailor the specs of wood frames and plywood to the needs of the customer, thus allowing them to do as much or as little of the wood processing as they want in house. 

Associated Hardwoods of Granite Falls, North Carolina, is seen here discussing its different services.

“Even with it being slow, it’s still a challenge,” said sales associate Jay Osmer regarding labor and getting workers with the right skill sets.

Thus, lumber yield remains a critical element, particularly for furniture manufacturers looking to maximize efficiency and also cut down on material costs.

“The furniture industry is dependent on yield,” Osmer said. “Yield is money.”

The company visited with customers — some from as far away as Texas, with others stopping by from North Carolina, Virginia and Tennessee — to help communicate the services and technologies the company can provide not just during a slow economy but also when business improves.

Hickory Springs representatives are seen speaking with customers at the show.

Hickory Springs was on hand to help educate customers — existing and new prospects including upholstery and bedding manufacturers from the Carolinas plus Michigan, Indiana, Tennessee and Massachusetts, to name several — about its many products and services. Part of the education process also was on how some of these products also can help customers improve efficiencies, while also maximizing the comfort level and durability of their products ranging from sofas to mattresses.

Conversations also focused on the state of the economy, noted Jason Porter, vice president of sales for the furniture segment.

“We are asking them and they are asking us, how they are seeing things and how we are seeing things,” he said, adding, “People are optimistic that we will come out of this. The key is timing. We are preparing for what’s coming.”

Miller, of Barber Manufacturing Co., said the company saw both existing customers and new prospects. Here, too, conversations also touched on the economy, with hopes of a turnaround sooner than later.

“It’s feast or famine for a lot of people,” Miller said, adding that middle to upper end is generally not having as hard a time as the lower middle to lower end of the spectrum. Some companies, he noted, are maintaining their workweek, while others are working three- to four-day weeks, with others still working overtime. “But not many,” he said.

Some also noted that in typical election-year fashion, many are waiting to pull the trigger on spending until after Nov. 5. Lower interest rates, they note, also will have a major impact on home buying and selling, which typically spurs furniture sales.  

“Business has been way off for close to a year now,” said Mark Miller, a senior account manager at Beeson, which supplies the industry products ranging from plywood and sandpaper to screws, glue and safety supplies. “Furniture is driven by the overall economy, and consumers are not spending money. And furniture factories are not spending money they don’t have to spend and are very frugal on what they do spend. Everybody is waiting for and hoping for a change in November. You cannot keep going down the path we have been going. … People have been tightening their belts and trying to run smarter and more efficient, and you can only do that for so long.”

Mark Miller, a senior account manager with Beeson Hardware, one of the oldest businesses in High Point, dating back to 1883

He said this was the company’s first year at the show and that he was pleasantly surprised at the depth and breadth of attendance from states as far west as California, Utah and Texas, not to mention Oklahoma, Illinois and Massachusetts.

“I thought this would be a more regional show, and it’s been much broader than that,” he said, noting that this will help with new business prospects.

“We are looking at expanding our customer base,” he said, adding, “Our current customers are very loyal and are giving us everything they can. We are just looking for new customers to broaden our scope.”

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Inside the Furniture Manufacturing Expo https://homenewsnow.com/blog/2024/06/18/inside-the-furniture-manufacturing-expo/ https://homenewsnow.com/blog/2024/06/18/inside-the-furniture-manufacturing-expo/#respond Tue, 18 Jun 2024 13:24:15 +0000 https://homenewsnow.com/?p=44623 HICKORY, N.C. This past week, Home News Now attended the annual Furniture Manufacturing Expo where it got to visit with a number of suppliers to …

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HICKORY, N.C. This past week, Home News Now attended the annual Furniture Manufacturing Expo where it got to visit with a number of suppliers to the residential and commercial furniture industries. Held June 13-14 at the Hickory Metro Convention Center, it featured nearly 100 companies showcasing machinery, products and services geared toward helping the industry become more competitive from a manufacturing, design and cost perspective.

Machinery ranged from large-scale fabric and leather cutting machines to smaller sewing machines and embroidery equipment. Resources were also on hand with the latest components, ranging from hardware and hardwood samples to spring seating and sleeper mechanisms. Home News Now captured much of this with photos taken on the show floor. To catch a glimpse of the varied displays and people we saw at the event, scroll through the slideshow below.

Tom Inman, left, president of Appalachian Hardwood Manufacturers Inc., and Steve Walters, of Richelieu USA, at the Appalachian Hardwood booth during the show.

Atlanta Attachment Co., a sister company of Hickory Springs, showcased some of its sewing, cutting, material handling and custom equipment for the furniture and mattress industries.

Consew and Meistergram showcased some of their latest sewing and cutting equipment at the show.

A show attendee checks out some of the multiple products offered by Heico Fasteners, ranging from decorative hardware and nailheads to dowels, webbing, zippers and more.

Richelieu USA also showed a wide mix of products ranging from screws and decorative hardware to hinges, drawer slides, lighting, glues, finishing products and more. It has an estimated 145,000 items in stock across industry segments and also has access to another 200,000 SKUs for special orders, the company told Home News Now.

Pathfinder Cutting Technology brought one of its fabric-cutting machines to the show, where it provided live demonstrations of its latest technologies in the sector.

Andre MacDonough, a field technician at Zund, showed off equipment that determines how to nest patterns to be cut on a piece of leather. The goal is to minimize waste and improve yield and efficiency in the cutting of leather and fabric.

Zund occupied a space near the front entrance of the exhibit hall, providing visitors a view of some of its cutting equipment in action.

ABM International, a resource for industrial quilting machines, showed some of the patterns that its equipment can produce, offering customers a glimpse at its many custom capabilities in such processes.

The process of custom embroidery is shown on a machine that ABM International brought to the show.

More vendors are seen at the show on Friday. They said traffic was noticeably lighter on the second day of the event, but were still seeing existing customers and new prospects alike. The show allowed vendors to educate customers about their equipment, products and services in hopes of boosting their business in the second half and beyond.

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Corinthian adds East Coast distribution center https://homenewsnow.com/blog/2024/06/17/corinthian-adds-east-coast-distribution-center/ https://homenewsnow.com/blog/2024/06/17/corinthian-adds-east-coast-distribution-center/#respond Mon, 17 Jun 2024 19:33:13 +0000 https://homenewsnow.com/?p=44655 ARCHDALE, N.C. — Corinthian, Inc., a Corinth, Mississippi-based upholstery manufacturer and importer of motion furniture, is partnering with longtime furniture distributor Larry Huskey to form …

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ARCHDALE, N.C. — Corinthian, Inc., a Corinth, Mississippi-based upholstery manufacturer and importer of motion furniture, is partnering with longtime furniture distributor Larry Huskey to form a new East Coast distribution center here. The joint venture, to be called Corinthian, N.C. Furniture Warehouse, is effective immediately.

Huskey is already distributing Corinthian product through his company, NC Furniture Warehouse. However, he will transition from being a full service distributor to carrying Corinthian import motion product exclusively.

“We see this as a tremendous opportunity to partner with one of the best in the business when it comes to logistics,” said Jason Etheridge, executive vice president of Corinthian. “Larry already has a significant base of retailers in North and South Carolina who are buying Corinthian product. We want to expand up and down the east coast and be a full-service distributor of our import motion.”

Sales and marketing for Corinthian East Coast will be handled by Lon Tripoli, Corinthian executive vice president, sales, and Heather Walden, who currently heads sales and marketing for NC Warehouse.

“We’re extremely excited at this opportunity to work with Corinthian, and look forward to providing our customers with the very best in import motion,” Walden said.

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